Chelyabinsk Zinc Plant Reports Production Results for the H1 2009

Chelyabinsk Zinc Plant (LSE: CHZN, RTS: CHZN, MICEX: CHZN), Russia’s largest producer of zinc and zinc alloys, announces its production results for the first half of 2009. January through June, 2009, Chelyabinsk Zinc Plant (CZP) produced 51,686 tonnes of salable SHG zinc and zinc based alloys, a decrease of 32.9% as compared to the same period of 2008 (76,980 tonnes). 57% of the plant output was supplied to the domestic market.

CZP’s subsidiary, Nova Zinc LLC, operator of Akzhal zinc and lead mine in Kazakhstan, processed 596.3 thousand tonnes of ore in January – June of 2009, 10.8% less than for the same period of 2008 (668.8 thousand tonnes). Average zinc content in the ore for the period was 3.17% with average lead content of 0.43%, compared to 2.18% and 0.52% respectively a year ago. Production of zinc in zinc concentrate for the first six months of 2009 increased 29.45% to 17,217 tonnes over the prior year result of the same period of 13,300 tonnes. Lead in lead concentrate production decreased by 26.6% to 2,088 tonnes (vs. 2,843 tonnes in the first half of 2008).

CZP’s subsidiary, The Brock Metal Company Limited (the leading UK supplier of zinc and aluminum die-casting alloys) sold 9,785 tonnes of products January through June 2009, 33,1% less than for the same period of 2008 (14,613 tonnes).