OJSC Polyus Gold (RTS, MICEX and LSE: PLZL), Russia’s leading gold producer, today announced the establishment of OJSC Polyus Exploration, its wholly owned new subsidiary. Polyus Exploration will be holding licenses for greenfield exploration projects which are currently in Polyus Gold’s pipeline. The decision to create Polyus Exploration was taken by the Board of Directors of Polyus Gold by absentee ballots in March 2006.

Alexei Osenmuk, former Chief Financial Officer of Polyus Gold, will be appointed as General Director of Polyus Exploration.

Dmitry Glotov, former Deputy General Director for international financial reporting of OJSC “MMC Norilsk Nickel”, is appointed as Polyus Gold’s new Chief Financial Officer and Vice President.

Andrey Konyukhov, who recently worked for Barrick Gold in Central Asia, will be appointed as Chief Operating Officer of Polyus Exploration.

Creation of OJSC Polyus Explorations is a part of the programme to streamline the Company’s exploration business, stipulated in its strategic development plan till 2015. According to Evgueni Ivanov, CEO of Polyus Gold, “the programme is focused on bringing on good organization to our greenfield exploration projects and aimed at making the process more transparent for investors. The Company’s exploration business has proved to be highly efficient, and the programme will help to raise its investment appeal and to achieve even better results in the future”.

Alexei Osenmuk

Born in 1966. Graduated from Moscow Financial Institute, international economic relations department. In 1992-1997, as well as in 2003-2004, he served as Deputy General Director and Management Board Member of Moscow Interbank Currency Exchange (MICEX). From 1997 till 2003 he worked in the Client Service of Uneximbank and Rosbank. In August 2004 Mr. Osenmuk joined Polyus Gold Mining Company as its Vice President and CFO.

Dmitry Glotov

Born in 1965. Graduated with honor from Moscow Financial Institute, international economic relations department.  In 1989-1993 he worked in the USSR Ministry of Finance, and in Ingosstrakh. In 1993 Mr. Glotov joined Coopers & Lybrand in Germany where he worked till 1997. In 1996 Mr. Glotov successfully passed his CPA examination. In 1997 he was appointed chief specialist of the enterprises development department of Interros. In 1998 Mr. Glotov became Director of financial department of OJSC Uneximbank, and then head of consolidated accounts of Rosbank. In 2002-2007 he worked as Deputy General director, international financial reporting, in MMC Norilsk Nickel.

Andrey Konyukhov

Born in 1962. Graduated from geological department of Leningrad State University. In 1984-1994 he served as Chief Geologist of the Natural Resources Ministry and conducted due diligence studies and evaluated expansion projects on the territory of the former Soviet Union. In 1995-1997 Mr. Konyukhov participated in Kumtor mine construction (Kirgizia). Since then he had been employed as a geologist-consultant for a number of exploration projects in the Central Asia. In 1999 he was appointed as Senior Consultant Geologist at Barrick Gold Corp. (Canada), where he was in charge of corporate development, exploration and evaluation of the company’s exploration projects in Uzbekistan, Kazakhstan and Kirgizia.

Note for editors:

Polyus Gold is the largest gold producer in Russia. In 2006 its gold output totalled 1.2 million ounces. Headquartered in Moscow, Polyus Gold’s operating mines and development/exploration projects are located in five major gold mining regions of Russia - Krasnoyarsk, Irkutsk, Magadan, Amur and Yakutia. The Company’s P&P reserves (JORC) amount to 50.8 million oz.