1. SEEBF, Istanbul 22-23 November 2012 1 KCM AD and The Lead and Zinc Markets in the Region Anton Shukerov Foreign Trade Analyst KCM TRADE AD Bulgaria

2. SEEBF, Istanbul 22-23 November 2012 2 KCM AD – Producer of High Quality Non-Ferrous Metals and Alloys Location: Plovdiv, Bulgaria, in the centre of the Balkan Peninsula Production capacity: Zinc- 75 thousand mt/y Lead - 65 thousand mt/y Raw materials Zinc- 80% primary 20% secondary Lead- 75% primary 25% secondary Production list -Lead 99.99 LME registered -Lead alloys -Copper products -SHG Zinc LME registered -CGG Zinc, Zamak -Silver and Gold -Cadmium and Tellurium -Sulphuric acid -Zinc sulphates KCM AD The Biggest Lead and Zinc Smelter in the Region

3. SEEBF, Istanbul 22-23 November 2012 3 KCM AD – Producer of High Quality Non-Ferrous Metals and Alloys KCM’s Lead and Zinc metal are registered brands at the London Metal Exchange (LME) KCM’s Silver metal is in the “Good Delivery List” of approved brands at the London Bullion Market Association (LBMA), Istanbul Gold Exchange (IGE), Dubai Multi Commodities Centre (DMCC)

4. SEEBF, Istanbul 22-23 November 2012 4 First Uses of Lead

5. SEEBF, Istanbul 22-23 November 2012 5 First Uses of Zinc

6. SEEBF, Istanbul 22-23 November 2012 6 Consumption in Bulgaria and in the Neighbour Countries Total Lead Consumption: 150,337 mtTotal Zinc Consumption: 218,581 mt

7. SEEBF, Istanbul 22-23 November 2012 7 Lead and Zinc Consumption changes after the “crisis” Lead Consumption (Bulgaria and neighbour countries) -Before “Crisis” (Y2007): 162,148 mt - (Y2011): 150,337 mt - Change: -11,881 mt Zinc Consumption (Bulgaria and neighbour countries) -Before “Crisis” (Y2007): 206,616 mt - (Y2011): 218,581 mt - Change: +11,965 mt -25% -12% -25% - 12% -24% -12% +6% -7%

8. SEEBF, Istanbul 22-23 November 2012 8 KCM AD – Main Advantages The biggest producer of high quality non-ferrous metals, LME registered lead and zinc brands manufacturer on the Balkans Trading policy with regard to the supply of raw materials and sale of the primary metals is to be in direct contact to both mines as suppliers of concentrates and to end users of the goods produced by KCM Diversified product list in order to cover the main first and end uses of the metals Good logistics for the neighbour countries, perfect service for door to door delivery Working with long lasting partners, knowing specific idiosyncrasies of the markets Certified under ISO 9001:2008, ISO 14001:2004, BS OHSAS 18001:2007

9. SEEBF, Istanbul 22-23 November 2012 9 KCM AD – Producer of High Quality Non-Ferrous Metals and Alloys Conclusions: Bulgaria is of great importance for the lead and zinc sector in the region We balance the lead and zinc consumption in the region – all neighbour markets are net importers of lead and zinc and have potential for growth. KCM is the only producer of high quality lead and zinc in the region with LME registered brands. Bulgaria is the only existing concentrates processing country in South East Europe, ensuring about 40% of the processing potential for the produced primary raw materials in the region We have potential for increase of the share of the secondary raw materials processing.

10. SEEBF, Istanbul 22-23 November 2012 10 KCM AD – Producer of High Quality Non-Ferrous Metals and Alloys THANK YOU FOR YOUR KIND ATTENTION!