PRESS RELEASE

June 7, 2017

Public Joint Stock Company «Mining and Metallurgical Company «NORILSK NICKEL»

("Nornickel", the "Company")

Nornickel announces completion of Talnakh Concentrator modernization project

Talnakh Concentrator of Nornickel's Polar Division has reached the project design parameters and capacity in line with the targets set by the modernization project. The plant's total throughput capacity has increased over 30% from 7.6 to 10.2 mtpa of ore, metal losses in tailings have been reduced, while target nickel and copper recovery rates to the collective concentrate as well as the target quality of nickel-pyrrhotite and copper concentrates have been reached. Following the upgrade and expansion of capacity of Talnakh Concentrator, Nornickel continues fully meeting its metal production targets whilst utilizing smaller smelting capacity.

The project's total capex exceeded RUB 47 bn.

In addition to higher operating efficiency and increased throughput, the upgrade programme also aimed at reducing the environmental footprint: higher sulphur disposal to tailings combined with the shutdown of the Nickel Plant have helped cutting sulphur dioxide emissions in the Norilsk Industrial District.

The major modernisation project of Talnakh Concentrator launched in 2014 was split into two stages and additionally involved construction of major engineering infrastructure for a new tailings pit. The Concentrator's reconstruction and technical upgrade project involved the expansion of the main building, installation of a unique semi-autogenous grinding mill with a capacity of 10.2 mtpa of ore by Metso Minerals, flotation machines, and fine grinding mills. The new tailings pit has a capacity of approximately 6 mtpa using a closed water circuit, which will significantly reduce fresh water usage and improve the environmental impact.

Sergey Dyachenko, First Vice-president of Nornickel, said: "Upgrade of the Talnakh Concentrator is a key element of our downstream reconfiguration programme aiming at raising the operating efficiency of our business and reducing the environmental footprint of Nornickel's production sites. In March 2017, Talnakh Concentrator reached the targeted throughput capacity, and in April, the design parameters. Going forward, we will focus on enhancing the Talnakh Concentrator's operating performance."

ABOUT THE COMPANY

PJSC «MMC «NORILSK NICKEL» is a diversified mining and metallurgical company, the world's largest producer of refined nickel and palladium and a leading producer of platinum, cobalt, copper and rhodium. The company also produces gold, silver, iridium, selenium, ruthenium and tellurium.

The production units of «NORILSK NICKEL» Group include Polar Division, located at the Norilsk Industrial District on Taimyr Peninsula, and Kola Mining and Metallurgical Company located on the Kola Peninsula in Russia as well as Harjavalta nickel refinery in Finland.

PJSC «MMC «NORILSK NICKEL» shares are listed on the Moscow and on the Saint-Petersburg Stock Exchanges. PJSC «MMC «NORILSK NICKEL» ADRs trade over the counter in the US and on the London and Berlin Stock Exchanges.

Media Relations: Investor Relations:

Phone: +7 (495) 785 58 00                     Phone: +7 (495) 786 83 20

Email: pr@nornik.ru                                Email: ir@nornik.ru