The Uralkali Group and its operations

Public Joint Stock Company Uralkali (the “Company”) and its subsidiaries (together the “Group”) produce mineral fertilizers, which are extracted and processed in the vicinity of the cities of Berezniki and Solikamsk, Russia. They are distributed both on foreign and domestic markets. The Group manufactures various types of products, the most significant being a wide range of potassium salts. The Group is a major Russia-based potash manufacturer. For the year ended 31 December 2016 approximately 79% of total volume of the potash fertilizers was exported (for the year ended 31 December 2015: 82%).

The Company holds operating licences, issued by the Perm regional authorities for the extraction of potassium, magnesium and sodium salts from the Durimanskiy, Bigelsko-Troitsky, Solikamskiy (north and south parts), Novo-Solikamskiy and Romanovskoye plots of the Verkhnekamskoye field. The licenсes were prolonged on 1 April 2013 till 2018-2021 at nominal cost. In 2016 licenсes previously valid till 2018 were prolonged till 2043 - 2055 (north part of Solikamskiy plot, Bigelsko-Troitsky and Novo-Solikamskiy plots). The Company also owns a licence for the Ust’-Yaivinskiy plot of the Verkhnekamskoye field, which expires in 2024, and for the Polovodovskiy plot of the Verkhnekamskoye field, which expires in 2028.

As at 31 December 2016 and 31 December 2015 the Group had no ultimate controlling party.

The Company was incorporated in the Russian Federation on 14 October 1992 and has its registered office at 63 Pyatiletki St., Berezniki, Perm region, Russian Federation. Almost all of the Group’s production capacities and all long-term assets are located in the Russian Federation. As at 31 December 2016 the Group employed approximately 20.5 thousand employees (31 December 2015: 21.3 thousand).