Enisey Mining and Geological Company, a Polymetal subsidiary, received a State certificate listing them as the pioneer discoverers of the Anenskoye gold deposit in the Krasnoyarsk Territory of Russia. The certificate granted by the State Territorial Agency of Natural Resources lists the deposit’s discovery date as June 21st, 2006.

The licensed Anenskiy field (11.8 km2.) is located in the Sukhobuzimskiy Region of the Krasnoyarsk Territory. The Company obtained a license for geological survey of the Anenskiy field, prospecting and estimating gold deposits on September 8th, 2003.

Polymetal carried out active prospecting work at the licensed Anenskiy field in 2004-2005. Last year, Polymetal fulfilled detailed geochemical studies and conducted 5.4 th. meters of prospect and test drilling at the field.

According to drilling results, the new Anenskoye deposit was discovered. As of December 31st, 2005, the reserves1 approved by the State were 1,168 th. tons of ore and 9,992 kg. (321 th.oz.) of gold with an average head grade of 8.5 g./t. for gold and 20 g./t. for silver.

Polymetal considers the deposit to be not well studied as of now. The Company sees the possibility of increasing the deposit’s scale to 32 tons (1 mln.oz.) of gold. The total resource potential of the licensed area is estimated at 60 tons (2 mln.oz.) of gold.

The deposit within the Anenskiy field is considered to be a potentially promising independent project. The forecast type of mining is underground operations and the technological scheme – gravitational-flotation.

The results of the estimation work at the Anenskiy field were summarized in a geological report for the State authorities. Polymetal plans to be one of Russia’s first companies to obtain before the end of 2006 a joint license for geological study and mining based on the right of “pioneer discoverer” of the deposit.

This procedure will allow the Company to obtain mining rights and start to develop the deposit without an auction or any payments. Polymetal plans to continue exploration at the deposit in 2007-2009 after the conversion of the license. In addition to that, the Company plans to expand its activities in the region at new areas.

Commenting on today’s announcement, Vitaly Nesis, Polymetal CEO, said: “This is a result of our geologists’ successful work. Discovering the Anenskoye deposit is the next significant step toward our key goal – creating second-generation assets. We hope to make a final decision about the deposit’s development and expand our operations in the region in the near future.”