/IRBIS April 14, 2010/ - Consideration of a possible transaction KazakhGold Group Limited on the reverse takeover of OJSC Polyus Gold is at a preliminary stage, indicated in the report released today KazakhGold.

In its report KazakhGold confirms that applied for approval of a government commission to monitor foreign investment in Russia to acquire control of Polyus Gold.

However, the final decision on the matter is pending, the company points out.

"Nevertheless, consideration of a possible transaction remains at a preliminary stage; no decisions have been made regarding any possible transaction, and any transaction that would apply a series of agreements and pre-conditions,including various corporate and governmental approvals. Therefore there is no assurance that any transaction will be made ", - stated in the message body.

On 13 April Mr. Igor Artemyev the head of the FAS Russia said that the government commission Russia to monitor the implementation of foreign investment at a meeting on Tuesday approved a deal to make KazakhGold in

the parent company holding Polyus Gold. According to Mr. I. Artemyev, it was "a connection in a single company, including the Russian and Kazakh certain number of gold assets by the relevant company KazakhGold Limited".

RF Government Commission considered the application KazakhGold Group Limited trades in agreement to acquire indirectly the right to dispose of votes falling on the voting shares of OJSC Matrosov Mine behalf of the JSC, Yuzhno- Verkhoyansk Mining Company ", OJSC" Firstborn ", CJSC" Tonoda, CJSC Polyus ", LLC" Amur EMG.

These companies with strategic deposits, are the daughters of "Polyus Gold", the largest gold producer in Russia, which is also in August 2009 holds 50.1% stake in Kazakhstan's gold-mining company KazakhGold. At the end of last year, there is information that can be done reverse takeover deal for Russian gold holding its current "daughter" KazakhGold to improve the liquidity of shares in Polyus Gold. "Assumed that in this case KazakhGold become the parent company and holding company will be renamed in Polyus Gold.

According to RIA Novosti, the principal beneficial owners of OJSC Polyus Gold "are businessmen Mikhail Prokhorov and Suleiman Kerimov - they belong to 29.9% and 36.9% of shares in the company respectively.

[2010-04-14]