Nordgold GDRs Commence Trading on the London Stock Exchange

Approximately 10.6% of Nordgold’s share capital will trade in the form of the GDRs. The remaining Nordgold shares are held by a wholly owned subsidiary of Severstal but will be transferred to Rayglow Limited, an entity controlled by Severstal’s controlling shareholder, by mid-February.

“We welcome the holders of GDR’s in Nordgold as the company embarks on life as an independent London-listed international mining company. The board and management will strive to ensure that investors benefit from attractive earnings growth whilst protected by the highest standards of corporate governance. The business will operate as a responsible corporate citizen fully committed to the health and safety of all its employees and contractors, and its responsibilities to the environment and the communities in which it operates. We will review opportunities to increase the size of the free float to increase liquidity in the stock.” Philip Baum

“We are delighted with the support shown for Nordgold by those Severstal shareholders that accepted the offer. The separation will enhance Nordgold’s industry profile as an independent, pure-play gold producer focussed on emerging markets. We will now be able to adopt a tailored business model, managerial approach and reporting structure which better reflects our unique position in the market and geography where we operate. From Russian origins in 2007 we have grown into an internationally diversified gold miner. Our growth in West Africa has demonstrated the success of our proven three-pillar strategy of delivering organic expansion through exploration of new reserves and greenfield projects; optimising operations to drive production and further efficiencies; and pursuing value accretive acquisitions. I believe we have huge potential to continue to grow the business and to deliver value to our shareholders through the continued operational improvements at our producing mines plus the significant development projects, Bissa and Gross, which we expect to deliver more than 150 000 ounces of gold in 2013, their first year of production.” Nikolai ZelenskiCEO of Nordgold

Overview of Nordgold

Nordgold is an established pure-play gold producer focused on emerging markets with eight producing mines, two development projects, five advanced exploration projects and a broad portfolio of early exploration projects and licences located across West Africa in Guinea and Burkina Faso, Kazakhstan and the Russian Federation.

Since undertaking its operations in 2007, the Group has grown by both acquisitions and organically, increasing its production from approximately 21 koz in 2007 to 754 koz in 2011, and is targeting production of over 1 moz from its operating mines and development projects on a fully consolidated basis by 2013.

As of 1 June 2011, Nordgold’s resource base consisted of 22.7 Moz of gold resources on a fully consolidated basis and 103 Moz of silver resources (represented by a 50 per cent. interest in the Prognoz silver deposit) classified as measured, indicated and inferred according to JORC and 8.2 Moz of proven and probable gold reserves according to JORC.

In 2010 and the nine months ended 30 September 2011, the Group generated revenue of US$754 million and US$797 million, respectively, and Normalised EBITDA of US$367 million and US$380 million, respectively.

In 2010 and the nine months ended 30 September 2011, the Group’s average total cash cost was approximately US$556.6/oz and US$677/oz, respectively, which places the Group in the middle of the cost curve when compared with publicly traded West African and Russian peers.

Enquiries:

Nordgold

+31 20 406 4480
Alexey Shchedrin, Financial communications and IR +7 917 502 2048
Sergei Loktionov, Media Relations
+7 916 800 1409

FTI Consulting

Ben Brewerton / Chris Welsh — London
+44 20 7831 3113
Oleg Leonov / Maria Shiryaevskaya — Moscow
+7 495 795 0623

Notes to Editors

Nordgold is an established pure-play gold producer focussed on emerging markets. Nordgold’s production in 2010 was 589 koz of gold with revenue US$754 and generated EBITDA US$377 million. Production in 2011 was 754 koz.

As of 1 June 2011, the company’s resource base consisted of 22.7 moz of gold resources on a fully consolidated basis and 103 moz of silver resources (represented by a 50.0% interest in the Prognoz silver deposit) classified as measured, indicated and inferred according to JORC and 8.2 moz of proven and probable gold reserves according to JORC.

Nordgold organizes its business into eight reporting segments across three regions:

West Africa:

Somita: This segment comprises the Taparko mine in Burkina Faso, an open pit gold mine consisting of three open pit deposits. In 2010, this segment generated EBITDA of US$106 million and production of 127 koz of gold. Somita’s JORC compliant resources amount to approximately 0.6 moz of gold as of 1 June 2011.

Crew Gold: This segment comprises the Lefa mine in Guinea, an open pit gold mine consisting of two open pit deposits. Nordgold achieved 100% control over Crew Gold Corporation («Crew Gold») in January 2011. In 2010 the mine produced 73 koz of gold. LEFA’s JORC compliant resources amount to approximately 5.7 moz of gold as of 1 June 2011.

Development West Africa: This segment comprises a number of projects in the development and exploration stage located in West Africa. The key development project in West Africa is at Bissa, which is expected to begin production in 2013. The company also has over 30 exploration permits in Burkina Faso, where exploration works are being carried out, and assessment of exploration potential at licence areas that belong to Crew Gold in Guinea is currently underway.

Kazakhstan:

Celtic and Semgeo: This segment comprises the Suzdal underground gold mine in Kazakhstan and gold deposits in the auxiliary open pit gold mines of Zherek and Balazhal in the vicinity of Suzdal, which are currently under technological review. In 2010, this segment generated EBITDA of US$58.9 million and production of 87 koz of gold. Suzdal’s JORC compliant resources amount to 1.4 moz of gold as of 1 November 2010 with Zherek and Balazhal adding approximately 0.8 moz of measured, indicated and inferred resources.

Russia:

Berezitovy: This segment comprises an open pit gold mine located in the Amur region of the Russian Federation. In 2010, this segment generated EBITDA of US$32 million and production of 71 koz of gold. Berezitovy’s JORC compliant resources amount to approximately 1.3 moz of gold as of 1 June 2011.

Buryatzoloto: This segment comprises the operations of Zun-Holba and Irokinda, two underground gold mines, located in the Buryatia Republic of the Russian Federation. In 2010, this segment generated EBITDA of US$91 million and production of 136 koz of gold. Their combined JORC compliant resources amount to approximately 0.4 moz of gold as of 1 November 2010.

Neryungri-Metallic and Aprelkovo: This segment comprises open pit gold mines in the Republic of Yakutia and Transbaikal region of the Russian Federation. In 2010, this segment generated EBITDA of US$54 million and production of 94 koz of gold. Their combined JORC compliant resources amount to approximately 3.0 moz of gold as of 1 June 2011.

Development Russia: This segment comprises mines in the exploration and evaluation stage located in the Russian Federation. The primary focus of this segment is the Gross project.

The Company has two development projects and a large number of exploration projects and licences. The key development projects are Gross and Bissa.

Bissa: Located in Burkina Faso, Bissa is an actionable late-stage development project which is expected to contribute 93 koz and 161 koz of production in 2013 and 2014, respectively. Bissa’s JORC compliant resources amount to approximately 2.9 moz of gold as of 1 June 2010.

Gross: Located four kilometres from the Neryungri mine in the Republic of Yakutia in the Russian Federation, Gross is a development project expected to contribute 61 koz and 110 koz of production in 2013 and 2014, respectively. Gross’s JORC compliant resources amount to approximately 5.7 moz of gold as of 1 June 2011.

Key exploration projects include the LEFA and Banora corridors in Guinea, Bouly, Zinigma, Gougre and Labola in Burkina Faso and Prognoz, Nerchinsk, Uryakh and Vitimkan in Russia. Prognoz, located in the Republic of Yakutia in the Russian Federation, 444 kilometres north of Yakutsk, is one of the largest high grade undeveloped primary silver deposits in the world with current JORC compliant resources of 205 moz of silver. Management believes that the significant existing resource base has further exploration potential. The Company holds its interest in Prognoz through its 75.1% per cent interest in High River Gold, which in turn indirectly holds a 50.0% interest in Prognoz.

Contacts

Corporate Communications
Procurement Department