KAZ MINERALS GROUP Production Report for six months and THE second QUARTER Ended 30 june 2016

• Copper cathode equivalent production¹ of 52.6 kt in H1 2016, an increase of 43%
  • Rise in copper output due to commissioning of new mines
  • Continued production growth expected in the second half
  • Group on track to meet 2016 guidance of 130-155 kt copper cathode equivalent¹

• Bozshakol commissioning progressing well, FY guidance maintained
  • 100% load tests successfully performed on key equipment
  • Copper in concentrate production of 9.5 kt in Q2 (Q1: 1.1 kt)
  • Q2 throughput limited by 17 day scheduled shutdown in May and commissioning works in June
  • Throughput increasing in Q3, 2016 guidance maintained at 45-65 kt copper cathode equivalent¹

• Aktogay oxide cathode output of 3.9 kt in Q2 (Q1: 1.5 kt)
  • Ramp up progressing, on track for 15 kt full year guidance

• Significant increase in gold production
  • Gold bar equivalent output¹ of 39.1 koz in H1 2016 (H1 2015: 16.1 koz)
  • Bozymchak operated at design capacity throughout the first half, producing 17.9 koz of gold bar equivalent¹ (H1 2015: 5.1 koz)
  • East Region and Bozymchak produced 30.0 koz of gold bar equivalent¹, now on course to meet or exceed top of 2016 guidance range (40-50 koz)
  • Bozshakol contributed 9.1 koz of gold bar equivalent¹ in H1 2016, with 8.8 koz in Q2

1. The Group’s finished goods “equivalent” production includes both finished metals produced and the finished metal equivalent of concentrate sold in the period.

Oleg Novachuk, Chief Executive, said: “Our new mines at Bozshakol, Aktogay and Bozymchak have begun to make a meaningful contribution to Group production with copper output growing by 43% in the first half. The East Region assets continue to deliver against targets and all mines are on track to achieve the Group’s full year production guidance. We are now delivering the highest growth rate in the sector and we look forward to updating the market on our financial performance when we announce our half year results in August.”

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KAZ Minerals PLC (“KAZ Minerals” or “the Group”) announces that following a review of the Group’s Aktogay project, the expected project cost has been reduced by $100 million to $2,200 million. The project has benefitted from the experience gained at Bozshakol and from the use of local contractors following the 2015 tenge devaluation.

The lowered budget for the Aktogay project results in revised capital expenditure guidance for 2016 of $230 million and 2017 of $350 million. The final payment of $300 million to the project’s principal construction contractor remains deferred to 2018, after the project has been completed.

Oleg Novachuk, Chief Executive, said: “The experience gained developing our first major growth project, Bozshakol, has resulted in a reduction in the expected budget for Aktogay. We look forward to updating the market on the project’s construction progress later in 2016.”