Financial results for 3 months period, ended 31 March 2020
JSC National Atomic Company “Kazatomprom” (“Kazatomprom” or “the Company”) announces that its reviewed, unaudited consolidated financial statements and notes for the first three months ended 31 March 2020 (“financial statements”), prepared in accordance with International Financial Reporting Standards (IFRS), are now available on the Company’s website at: www.kazatomprom.kz/en/investors/finansovaya_otchetnost.
Quarterly reporting is not a listing requirement for Kazatomprom. However, the Company must prepare three-month and nine-month financial statements to fulfil certain obligations under existing loan covenants, and to meet regulatory requirements under local laws in Kazakhstan. Once the financial statements are filed with the local regulatory bodies, they become publicly available. Preparation of an accompanying Operating and Financial Review (“OFR”) is not necessary to meet these obligations.
With respect to formal periodic reporting to the investment community in 2020, Kazatomprom expects to:
- provide investors with a quarterly operations and trading update approximately one month after the end of each fiscal quarter; and
- provide biannual financial reporting, with reviewed half-year financial statements and an OFR, and audited full-year financial statements and an OFR, both within the required timelines prescribed by the Astana International Exchange (AIX) and the London Stock Exchange (LSE) regulations.
The Сompany expects to release auditor-reviewed financial statements with an accompanying OFR for the half-year ending 30 June 2020, before the LSE market opens on 27 August 2020.
COVID-19 Impact Update
Kazatomprom and all our subsidiaries continue to take comprehensive measures to combat the spread of COVID-19 and protect employees, their families, and the local communities. All of the Company's mining operations have reduced to minimum staff levels with all non-essential staff remaining at home.
As previously disclosed, these measures are expected to remain in place for three months, resulting in a stoppage of wellfield development activity and, in consequence, a reduction in overall 2020 production volumes. However, production volumes through the first half of 2020 are expected to be similar to the first half of 2019, as first half 2020 production is the result of wellfield development that took place before implementation of the current measures. These measures, taken during the second quarter, will therefore impact production rates in the third and fourth quarters of 2020.
It is also important to note that while the reduction in production affects all of Kazakhstan’s uranium mines, the lost production will not be equal at every operation. The production impact at each operation depends on a number of factors, including the number of wellfields already in operation when staffing was reduced, and the geological characteristics of each deposit.
A great deal of uncertainty remains, and the duration of the pandemic situation is still unknown. The Company will adapt accordingly, as the welfare of our people will always be our first priority when determining the right time to safely resume regular operations.
For further information, please contact:
Kazatomprom Investor Relations Inquiries
Cory Kos, Director of Investor and Public Relations
Tel: +7 (8) 7172 45 81 80
Email: ir@kazatomprom.kz
Kazatomprom Public Relations and Media Inquiries
Torgyn Mukayeva, Deputy Director of Investor and Public Relations
Tel: +7 (8) 7172 45 80 63
Email: pr@kazatomprom.kz
A copy of this announcement will be made available at www.kazatomprom.kz.
About Kazatomprom
Kazatomprom is the world's largest producer of uranium, with the company’s attributable production representing approximately 24% of global primary uranium production in 2019. The Group benefits from the largest reserve base in the industry and operates, through its subsidiaries, JVs and Associates, 24 deposits grouped into 13 mining assets. All of the Company’s mining operations are located in Kazakhstan and mined using ISR technology with a focus on maintaining industry-leading health, safety and environment standards.
Kazatomprom securities are listed on the London Stock Exchange and Astana International Exchange. As the national atomic company in the Republic of Kazakhstan, the Group's primary customers are operators of nuclear generation capacity, and the principal export markets for the Group's products are China, South and Eastern Asia, Europe and North America. The Group sells uranium and uranium products under long-term contracts, short-term contracts, as well as in the spot market, directly from its headquarters in Nur-Sultan, Kazakhstan, and through its Switzerland-based trading subsidiary, Trade House KazakAtom AG (THK).For more information, please see our website at http://www.kazatomprom.kz
Forward-looking statements
All statements other than statements of historical fact included in this communication or document are forward-looking statements. Forward-looking statements give the Company’s current expectations and projections relating to its financial condition, results of operations, plans, objectives, future performance and business. These statements may include, without limitation, any statements preceded by, followed by or including words such as “target,” “believe,” “expect,” “aim,” “intend,” “may,” “anticipate,” “estimate,” “plan,” “project,” “will,” “can have,” “likely,” “should,” “would,” “could” and other words and terms of similar meaning or the negative thereof. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond the Company’s control that could cause the Company’s actual results, performance or achievements to be materially different from the expected results, performance or achievements expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding the Company’s present and future business strategies and the environment in which it will operate in the future. THE INFORMATION WITH RESPECT TO ANY PROJECTIONS PRESENTED HEREIN IS BASED ON A NUMBER OF ASSUMPTIONS ABOUT FUTURE EVENTS AND IS SUBJECT TO SIGNIFICANT ECONOMIC AND COMPETITIVE UNCERTAINTY AND OTHER CONTINGENCIES, NONE OF WHICH CAN BE PREDICTED WITH ANY CERTAINTY AND SOME OF WHICH ARE BEYOND THE CONTROL OF THE COMPANY. THERE CAN BE NO ASSURANCES THAT THE PROJECTIONS WILL BE REALISED, AND ACTUAL RESULTS MAY BE HIGHER OR LOWER THAN THOSE INDICATED. NONE OF THE COMPANY NOR ITS SHAREHOLDERS, DIRECTORS, OFFICERS, EMPLOYEES, ADVISORS OR AFFILIATES, OR ANY REPRESENTATIVES OR AFFILIATES OF THE FOREGOING, ASSUMES RESPONSIBILITY FOR THE ACCURACY OF THE PROJECTIONS PRESENTED HEREIN. The information contained in this communication or document, including but not limited to forward-looking statements, applies only as of the date hereof and is not intended to give any assurances as to future results. The Company expressly disclaims any obligation or undertaking to disseminate any updates or revisions to such information, including any financial data or forward-looking statements, and will not publicly release any revisions it may make to the Information that may result from any change in the Company’s expectations, any change in events, conditions or circumstances on which these forward-looking statements are based, or other events or circumstances arising after the date hereof.