History

The Company was founded in 1994 when Peter Hambro (now Chairman) agreed to help finance a greenfield gold deposit owned by Pavel Maslovskiy (now CEO) in the Amur Region, Russia’s Far East.

Over the course of the Group’s history, this deposit was developed into the Pokrovskiy gold mine which, to date, has produced over 1Moz of gold.

Since then, the company has grown to become one of the largest gold producers in Russia with over 100 licences across the country, its own in-house exploration, engineering, construction and technological support base, c.11,000 employees and a market capitalisation of c.£2 billion.

Key events in Petropavlovsk’s history:

1999

• The first ounce of gold is recovered from the Pokrovskiy mine using the heap-leach method 

2001

• Peter Hambro Mining obtains a licence for a new greenfield gold deposit, Pioneer, in the Amur Region

2002

• On 29 April, the Company’s ordinary shares are admitted to trading on London’s Alternative Investment Market (“AIM”) as Peter Hambro Mining Plc
• In July, a resin in pulp (“RIP”) plant at the Pokrovskiy mine is launched. The first gold is produced in September

2003

• Omchak, a 50:50 gold mining joint venture in Russia’s Magadan Region, is established with OAO SGOC Susumanzoloto and OAO Shkolnoye (Omchak becomes a subsidiary of the Group in 2010 following an increase in the Group's total holding. Subsequently, the alluvial gold assets are transferred to the Group)
• In April, the Company completes a placing and open offer, raising c.£16.8 million which was used in part to fund the Omchak JV and the acquisition of OOO Tokurskiy Rudnik
• In December, the Company divests its titanium interests and Aricom Plc is listed 

2004

• In April, Pokrovskiy Rudnik acquires 90% of the issued share capital of OAO Yamalzoloto, which holds the licences for the Company's assets in the Yamal Region
• In October, the capacity of the RIP plant at Pokrovskiy is upgraded, allowing the site to process 1.5 million tonnes of ore annually

2005

• During 2005, Peter Hambro Mining obtains licences for the Malomir and Albyn deposits in the north-east of the Amur region, both greenfield sites
• In April, the International Finance Group (“IFC”) invests US$15 million in the Company by subscribing for 1,448,545 new Ordinary Shares. IFC is granted an option to apply for a matching amount of additional new Ordinary Shares, investing a further US$17.4 million in the Group in 2006 when the option is exercised
• In July, US$140 million is raised through the issue of Convertible Bonds
• In September, the Group acquired 74.9% of the shares of OAO Yamalskaya Gornaya Company which owns a number of assets in the Yamal Region as well as the 10% of Yamalzoloto not already owned by the Company

2006

• The Group receives the Queen's Award for Enterprise
• In October, the Group acquires OAO Irgiredmet, one of the best-known laboratory, research and scientific consulting companies in Russia, for a consideration of US$40.2 million

2007

• In September, Pioneer's first stage production facility was completed.

2008

• Production commences at the Pioneer mine in April

2009

• In April, the Peter Hambro Mining completes the merger with Aricom Plc to create a mining industry leader in the Far East of Russia. The merged Group begins trading on the Main Market of the London Stock Exchange
• In September, Peter Hambro Mining Plc changes its name to Petropavlovsk Plc, to better reflect its Russian focus
• A second processing line at Pioneer is successfully commissioned during Q3

2010

• In February, Petropavlovsk issues a US$380 million 4% convertible bond, maturing February 2015
• A third processing plant at the Pioneer mine is launched in April
• In May, the Group commissions Kuranakh, a titanomagnetite processing and production plant
• In August, Petropavlovsk commissions its third gold mine, Malomir
• The Group’s gold portfolio is strengthened by several key licence acquisitions
• In October, the Group lists its Non-Precious Metals Division, IRC Limited, on the Stock Exchange of Hong Kong Limited, with a market capitalisation of c.US$780 million
• Additional non-precious metals highlights during 2010 include the completion of a US$340 million finance agreement with the Industrial and Commercial Bank of China ("ICBC") and US$400 million Engineering, Procurement and Construction Contract ("EPC") signed with the China National Electric Equipment Corporation ("CNEEC")

2011

• In March, the Group announced a 36% increase in its Proven and Probable Ore Reserves and a 96% increase in its Total Mineral Resources, largely due to the success of its exploration programme. In August the Group announced that its exploration activities had added a further c.1.6Moz of gold Mineral Resources including c.550,000oz of Proven and Probable gold Ore Reserves
• In June, following a period of extensive research and testing, the Group announced the results of an internal feasibility study for the construction of a pressure oxidation processing plant to be located at the Pokrovskiy mine
• In mid-July, the second crushing and grinding line at Malomir was commissioned ahead of schedule
• The Group's fourth gold mine, Albyn, is launched