ACRON : ACRON : Acron Group Releases 1Q 2013 Operating Results

        ACRON : ACRON : Acron Group Releases 1Q 2013 Operating Results

                                      


                                                                April 18, 2013

                Acron Group Releases 1Q 2013 Operating Results
 Group's Consolidated Output (Operating Results for Acron, Dorogobuzh, Hongri
                               Acron and NWPC)

Stated in '000 tonnes                                 1Q 2013 1Q 2012 YOY (%)
CHEMICAL PRODUCTS
Ammonia                                               482.4  475.1        2
Incl. in-house consumption                            449.9  439.0 
Nitrogen fertilisers, including:                      752.6  688.5       9
Incl. in-house consumption                            119.4  101.3 
Ammonium nitrate                                      413.1  419.0      (1)
Incl. in-house consumption                            32.4   31.2 
Urea                                                  152.0  125.3       21
Incl. in-house consumption                            87.0   70.1 
Urea-ammonium nitrate (UAN)                           187.5  144.2       30
Complex fertilisers, including:                       693.2  735.7      (6)
Incl. in-house consumption                            10.4   17.1 
NPK                                                   597.0  637.6      (6)
Incl. in-house consumption                            10.4   17.1 
Bulk blends                                           96.2   98.1       (2)
Organic compounds, including:                         98.3   90.4         9
Incl. in-house consumption                            49.8   47.7 
Methanol                                              21.6   18.5        17
Incl. in-house consumption                            18.2   17.2 
Formalin                                              34.1   32.5         5
Incl. in-house consumption                            31.4   30.3 
Urea-formaldehyde resins (UFR)                        42.6   39.4         8
Non-organic compounds, including:                     161.9  191.8     (16)
Low-density and technical-grade ammonium nitrate      60.3   63.2       (5)
Calcium carbonate                                     52.0   78.6      (34)
Liquid carbon dioxide                                 11.4   12.4       (8)
Argon                                                  1.7    1.9      (12)
Hydrochloric acid                                     36.5   35.7         2
TOTAL COMMERCIAL OUTPUT (output less own consumption) 1,558.9 1,576.5     (1)
PHOSPHATE INPUTS
Apatite-nepheline ore
Extraction                                             767.7     -          -
Sales to the third parties                             133.2     -          -
Apatite concentrate (production)                       105.2     -          -

Acron Board of Directors Chair Alexander Popov comments on the results:

"In the  first quarter  2013,  the Group's  total  commercial output  was  1.6 
million tonnes and  did not change  year-on-year. The Oleniy  Ruchey mine  has 
been gradually  expanding  its  apatite concentrate  production  (from  21,000 
tonnes in December  2012 to 45,000  tonnes in  March 2013). We  plan to  reach 
60,000 tonnes per  month by the  end of  the second quarter  2013, which  will 
allow the Group's Russian  production facilities to  produce NPK using  wholly 
owned phosphate raw materials.

"The Group's operating  results for the  first quarter 2013  were affected  by 
several factors. Ammonia production was up  due to an increase in capacity  of 
the ammonia units at Acron  (Veliky Novgorod) and Dorogobuzh after  completion 
of a scheduled upgrade in 2012. Urea and UAN output increased 21% and 30% with
the launch of  a new  urea unit.  NPK production was  down since  part of  our 
capacity was redirected  to nitrogen  fertiliser production  to meet  seasonal 
high demand for nitrogen products. 

"Structural changes in the  product portfolio resulted  in higher UFR  output. 
Acron keeps retargeting its production at Russia's resins of choice with a low
formaldehyde grade. Non-organic compounds output was down due to weak domestic
demand.

"In the first quarter 2013, the global mineral fertiliser market saw different
trends. Nitrogen  segment prices  were  up due  to  high demand  for  ammonium 
nitrate, urea  and UAN  before the  spring sowing  season. Complex  fertiliser 
prices and demand were under pressure  because of a decrease in global  prices 
for phosphate and potash fertilisers."

Global Average Prices, USD per tonne*

             1Q 2013 1Q 2012 YOY (%)
NPK 16-16-16   409     451     (9)
AN             335     310      8
UAN            310     265     17
Urea           383     381      1

* Indicative FOB Baltic / Black Sea

For Further Information:
Acron
Ms. Elena Kochubey -                          Tel: 
+7 (495) 777 08 65

Head of Public Relations

Mr. Ilya Popov -                                 
Tel: + 7 (495) 411 55 94 (ext. 5252)
Head of Investor Relations

Background

Acron Group is a leadingRussian and global mineral fertiliser producer with a
diversified product  portfolio  consisting  of multi-nutrient  (NPK  and  bulk 
blends) and straight  nitrogen-based fertilisers (urea,  ammonium nitrate  and 
UAN), as well as industrial products.  In 2012, the Group's output  (exclusive 
of own use) totalled 5.9 million  tonnes. The Group's key markets are  Russia, 
China and other Asian countries, Europe, America, and CIS countries.

In 2012, the Group's consolidated revenues under IFRS were RUB 71,112  million 
(US$ 2,287 million), and net profit  was RUB 14,861million (US$ 478  million). 
Acron's shares are  listed and traded  on the Moscow  Exchange and the  London 
Stock Exchange (ticker AKRN). Acron employs over 15,600 people.

A high vertical  integration, including  development of  potash and  phosphate 
deposits, operation of three  large production facilities, own  transportation 
infrastructure and international distribution network,  is a platform for  the 
Group's sustainable growth. The  phosphate and potash  projects in Russia  and 
Canada are Acron  Group's most intensively  evolving segment. After  launching 
the Oleniy Ruchey mining  and processing complex, the  Group will reach a  new 
stage of development by securing supplies  of its own phosphate raw  materials 
to Acron's processing facilities.

For more information about the Group please visit www.acron.ru/en.



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