KGHM Polska Miedź S.A.

Audit Report / Information • Jan 15, 2020

Identification of indications to verify the recoverable amount ofinternational mining assets

The Management Board of KGHM Polska Miedź S.A. ("the Company") announcesthat as a result of reviewing the technical and economic parameters ofkey international mining assets belonging to the KGHM Polska Miedź S.A.Group and current forecasts of pricing paths of commodities, indicationsof a possible change in the recoverable amounts of a part of theseassets were identified.

As a result, pursuant to IAS 36, it obliges the Company to conduct testsfor impairment as at the end of the last reporting period, i.e. 31December 2019 in order to estimate the recoverable amount with respectto assets due to involvement in the joint venture Sierra Gorda SCM,assets of the Sudbury Basin mines (i.e. Morrison/Levack mine, McCreedymine and the Victoria project) and the Franke, Robinson and Carlotamines.

For other key international mining assets, indications to conduct testshave not been identified.

The results of the tests will be disclosed by the Company in a separateregulatory filing.

Legal basis: Art. 17 (1) of MAR (Regulation (EU) No 596/2014 of theEuropean Parliament and of the Council of 16 April 2014 on market abuse(market abuse regulation) and repealing Directive 2003/6/EC of theEuropean Parliament and of the Council and Commission Directives2003/124/EC, 2003/125/EC and 2004/72/EC (Official Journal of theEuropean Union dated 12 June 2014, no. L 173/1)