01EVRAZ GROUP S.A. FY 2006

Preliminary Results

EVRAZ GROUPLehman Brothers Conference Leaders in Energy and Commodities

3-5 June 2008

02Disclaimer

This document does not constitute or form part of and should not be construed as, an offer to sell or issue or the solicitation of an offer to buy or acquire securities of Evraz Group S.A. (Evraz) or any of its subsidiaries in any jurisdiction or an inducement to enter into investment activity. No part of this document, nor the fact of its distribution, should form the basis of, or be relied on in connection with, any contract or commitment or investment decision whatsoever. No representation, warranty or undertaking, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or the opinions contained herein. None of Evraz or any of its affiliates, advisors or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this document or its contents or otherwise arising in connection with the document.

This communication is only being distributed to and is only directed at (i) persons who are outside the United Kingdom or (ii) investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”) or (iii) high net worth companies, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons together being referred to as “relevant persons”). Any person who is not a relevant person should not act or rely on this document or any of its contents.

This document contains “forward-looking statements”, which include all statements other than statements of historical facts, including, without limitation, any statements preceded by, followed by or that include the words “targets”, “believes”, “expects”, “aims”, “intends”, “will”, “may”, “anticipates”, “would”, “could” or similar expressions or the negative thereof. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors beyond Evraz’s control that could cause the actual results, performance or achievements of Evraz to be materially different from future results, performance or achievements expressed or implied by such forward-looking, including, among others, the achievement of anticipated levels of profitability, growth, cost and synergy of recent acquisitions, the impact of competitive pricing, the ability to obtain necessary regulatory approvals and licenses, the impact of developments in the Russian economic, political and legal environment, volatility in stock markets or in the price of our shares or GDRs, financial risk management and the impact of general business and global economic conditions.

Such forward-looking statements are based on numerous assumptions regarding Evraz’s present and future business strategies and the environment in which Evraz Group S.A. will operate in the future. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. These forward-looking statements speak only as at the date as of which they are made, and Evraz expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained herein to reflect any change in Evraz’s expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based.

Neither Evraz, nor any of its agents, employees or advisors intends or has any duty or obligation to supplement, amend, update or revise any of the forward-looking statements contained in this document.

The information contained in this document is provided as at the date of this document and is subject to change without notice.

03Evraz at a Glance

◦ World class steel and mining company with the strategy to be one of the top five most profitable steelmakers globally by ROCE and EBITDA* margin

◦ Leader in the construction and railway steel product markets in Russia and CIS

◦ Global player with strong position in flat product markets of Europe and the US

◦ One of the lowest cost producers of crude steel in Russia and CIS

◦ Vertically integrated business with 87% self-coverage of iron-ore and 100% self-coverage in coking coal in 2007

◦ Leading global vanadium producer

◦ Production of 16.4 million tonnes of crude steel in 2007

◦ Consolidated revenues of US$12.8 billion in 2007 and US$8.3 billion in 2006

◦ EBITDA* of US$4.3 billion in 2007 and US$2.6 billion in 2006

◦ Multiple upgrades from S&P, Fitch and Moody’s

* Adjusted EBITDA represents profit from operations plus depreciation and amortisation, impairment of assets and loss (gain) on disposal of PP&E

04Evraz Strategy

Our Vision is to be a world class steel and mining company and one of the Top 5 most profitable steelmakers globally by ROCE and EBITDA margin

Advance long product leadership in

514

387

325

260

216 214 197 190 180 178 167144 139

8863

0

100

200

300

400

500

600

CSN

NLM

K

Usi

min

as

Evra

z

POSC

O

Nip

pon

Stee

l

Ger

dau

Chin

a St

eel

MM

K

Bao

shan

Ste

el

Arce

lorM

ittal

Nuc

or

Mec

hel S

teel

US

Stee

l

Maa

nsha

n St

eel

Sources: IISI, Renaissance Capital estimates

2007 EBITDA per Tonne of Steel Sales

Russia and CIS US$

Enhance cost leadership position

Expand presence in international plate markets

Complete vertical integration and competitive mining platform

Achieve world leadership in vanadium business

05Leveraging Presence in Attractive Markets

4,2175,952

1,882

1,945340

2,140

1,410

1,894

344

575365

36

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

2006 2007Russia Asia Americas Europe CIS Af rica & RoW

8,292

12,808

5,457

4,1535,122

1,6302,290

7,601

1,612 2,16514 664950 778

0

3,000

6,000

9,000

12,000

15,000

18,000

2006 2007

Semi-f inished products Construction products Railw ay products

Flat-rolled products Tubular products Other steel products

15,960 16,476

◦ Russia remains key market with 46% share in revenue

◦ European sales advanced by 43% driven by higher prices, a 9% steel volume increase and vanadium sales

◦ Strong growth in sales in North America to US$2,140 mln or 17% of total revenues due to Evraz OSM acquisition

◦ Asian sales almost flat y-o-y at US$1,882 mln

‘000 tonnes

Revenues by Region Steel Product Sales Volumes

FY07 Steel Segment Revenue by Products

8372,480

3,670

1,697

1,968

702

496583 Semi-f inished products

Construction products

Railw ay products

Flat-rolled products

Tubular products

Other steel products

Vanadium

Other revenues

US$ mln

US$ mln

06Steel: Yielding on Russian Demand Growth◦ Russian steel revenue grew by 41% fuelled by a domestic construction boom and strong

pricing ◦ Steel sales volumes increased by 7.7% to 7.6 mln tonnes and selling price averaged

US$664/tonne ◦ Russian construction sales: revenues expanded by 71% on the back of 23% increase in

sales volumes ◦ Railway products: revenues grew by 37% with sales volumes increasing by 13%

Russia: Composition of Steel Revenue by Products Russian Steel Sales Volumes

1,573 1,412

3,636

1,399

1,576

2,962

359

404763

574

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

2006 2007

Semi-f inished Construction Railw ay Plates Other

7,0567,602

675

1,548

2,646

811

1,111

580

195

268

359

348

146

145398

303

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

5,000

5,500

2006 2007Semi-f inished Construction Railw ay Flat Other steel Vanadium Other

3,943

5,590‘000 tonnesUS$ mln

072007 Construction Steel Market in Russia ◦ Russian and CIS steel consumption per capita remains below global benchmarks◦ Rebar market increased by 30% in 2006 and by 23% in 2007◦ Sections market grew by 32% in 2007 due to increased investments in industrial and

infrastructure constructions with strong demand for H-beams and channels, Evraz leadership products

◦ Steel usage in construction is expected to increase from 75 kg per m2 to 93 kg per m2

due to higher volumes of monolithic buildings

Rebar Market in Russia Sections Market in Russia

800912

3,800

2,8862,7152,516

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

2 0 0 4 2 0 0 5 2 0 0 6 2 0 0 7 1 Q2 0 0 7 1 Q2 0 0 8

1,7091,357

5,886

4,860

3,7303,276

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2 0 0 4 2 0 0 5 2 0 0 6 2 0 0 7 1 Q2 0 0 7 1 Q2 0 0 8

‘000 tonnes

Source: Evraz market estimates

‘000 tonnes

08Strong Pricing Environment to Continue

100

250

400

550

700

850

1,000

1,150

1,300

1,450

1,600

Jan-06

Feb-06

Mar-06

Apr-06

May-06

Jun-06

Jul-0

6

Aug-06

Sep-06

Oct-06

Nov-06

Dec-06Ja

n-07

Feb-07

Mar-07

Apr-07

May-07

Jun-07

Jul-0

7

Aug-07

Sep-07

Oct-07

Nov-07

Dec-07Ja

n-08

Feb-08

Mar-08

Apr-08

May-08

H-beams Rebars (CPT, Moscow)

Channel 10-16 (CPT, Moscow) Turkey Rebars, export (FOB) 

US$/tonne

Average Prices in Moscow Region

Source: Evraz market estimates

09Steel: Non-Russian Business Overview

Composition of Revenue by Products Steel Sales Volumes by Region

◦ European revenue grew by 38% to US$1,894 mln on the back of strong pricing environment and contribution from vanadium products sales

◦ North American sales increased strongly from US$340 mln to US$2,140 mln on Evraz OSM acquisition with steel sales increased by 162% to 1.86 mln tonnes of higher margin products

◦ Asian sales volumes decreased by 32% in FY07 with revenues almost flat y-o-y at US$1,882 mln

◦ CIS revenues expanded by 67% to US$577 mln in FY07

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

CIS Europe Americas Asia Africa

Semi-f inished Construction Railw ayFlat-rolled Tubular Other

739

2,0171,860

3,813

394

‘000 tonnes2,279

579

147

881

196

1,806

1,020

582

1,698

695

133

0

500

1,000

1,500

2,000

2,500

Semi-f inished

products

Constructionproducts

Railw ayproducts

Flat-rolledproducts

Tubularproducts

Other steelproducts

2006 2007

US$ mln

010Semi-products prices spike

200

250300

350400

450500

550600

650

700750

800850

900950

1,0001,050

1,100

Aug-03

Oct-03

Dec-03

Feb-0

4Apr-0

4Ju

n-04

Aug-04

Oct-04

Dec-04

Feb-0

5Apr-0

5Ju

n-05

Aug-05

Oct-05

Dec-05

Feb-0

6Apr-0

6Ju

n-06

Aug-06

Oct-06

Dec-06

Feb-0

7Apr-0

7Ju

n-07

Aug-07

Oct-07

Dec-07

Feb-0

8Apr-0

8

Billet Slab

US$/tonne

*Prices has shown on Far East FOB basis except Jan-Jul 07 (Black Sea FOB)

011Vanadium: Capturing Market Momentum

◦ Vanadium business contributed US$583 mln to revenues◦ Russian vanadium slag sales volumes increased by 9% to 10,840 tonnes*◦ Volumes of vanadium in alloys & chemicals sold amounted to 11,290 tonnes*◦ Recent spike in prices will further drive business growth

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000

Jan-06

Mar-06

May-06

Jul-06

Sep-06

Nov-06

Jan-07

Mar-07

May-07

Jul-07

Sep-07

Nov-07

Jan-08

Mar-08

May-08

416

167

Vanadium in slag

Vanadium in alloys & chemicals

US$ mln

Vanadium Sales by Products

* Metric tonnes of vanadium equivalent** Per tonne of Vanadium in Ferro-vanadium products at major European destinations

Vanadium Market Price**

Source: Metal Bulletin

US$/tonne

012Mining: Hedging Steel Segment Costs

◦ EBITDA increased by 52% to US$633 mln ◦ 18.8 mln tonnes iron ore output covered

87% of total ore consumption ◦ Coking coal production fully covered* steel

segment requirements for coal

4,049

453

4,517

Raspadskaya Yuzhkuzbassugol Mine 12

1,147

1,901

415 633

0

500

1,000

1,500

2,000

2 0 0 6 2 0 0 7Revenues EBITDA

9,257

5,683 5,506

2,415 2,737

8,949

1,350

0

5,000

10,000

15,000

20,000

2006 2007

Kachkanarsky GOK Evrazruda Vysokogorsky GOK Highveld

Mining Segment Performance

Iron Ore Production‘000 tonnes

Coking Coal Production

‘000 tonnes

US$ mln

* Self-coverage is calculated as a sum of coking coal production by Mine 12, pro forma Yuzhkuzbassugol production and pro rata to Evraz’s ownership production of Raspadskaya , in coal concentrate equivalent, divided by group’s total coking coal consumption excluding coal, used in production of coke for sale to third parties

013

133 209 249

878844 737

328335 509

0

300

600

900

1,200

1,500

2006 2007 2008F

Pig iron Semis Construction

Ukraine: Diversifying into One of the Lowest Cost Producing Regions

◦ Integrated steel mill, located in the proximity to iron ore resources and key markets◦ 3 blast furnaces with annual capacity of 1.8 mln tonnes of hot iron◦ 3 converters with 2007 crude steel production of 1.3 mln tonnes ◦ Total sales in 2007 amounted to 1.4 mln tonnes of products

◦ Sukha Balka iron ore mining and processing complex ◦ 2 underground iron ore mines with 30 years of estimated reserve

life◦ 2007 sales of 2.85 mln tonnes of lumpy ore (57.7% of Fe)◦ FY08 expected cash cost is US$32 per tonne of lumpy ore

◦ 3 coking plants (Bagley Coke, Dnepro Coke, Dneprodzerzhinsk Coke )◦ total annual capacity of 3.52mln tonnes of metallurgical coke ◦ built and reconstructed in 1985-1992◦ 2007 production of 2.0 mln tonnes of coke

‘000 tonnes

2,8543,400

3,028

0

500

1,000

1,500

2,000

2,500

3,000

3,500

2006 2007 2008F

Sukha Balka Iron Ore Sales‘000 tonnes

Dnepropetrovsk Metal Works Sales Mix

Dnepropetrovsk Metal WorksSukha Balka

Bagley Coke Dnepropetrovsk Coke

Dneprodzerzhinsk Coke

014North American Operations: Exposure to Infrastructure and Energy Markets

ERW pipe, 303

LD pipe, 351

Plate/Coil, 379

◦ In January 2008, Evraz acquired shares in Claymont Steel for cash consideration of US$422 mln

◦ Leading integrated producer of custom steel plate on the East Coast of the USA with 450,000 tonnes capacity

◦ In March 2008, Evraz signed an agreement to acquire IPSCO's Canadian plate and pipe business for an anticipated net amount of US$2.3 bln

◦ 1 mln tonnes of crude steel capacity; own scrap collecting facilities

◦ 3 tubular mills with annual capacity of 1.2 mln tonnes of OCTG and LD pipes

◦ Strong synergies expected from business combination with existing facilities in North America

◦ Acquisition remains subject to regulatory approvals

IPSCO Canada 2007 Product Mix‘000 tonnes

2,410

3,974

3,353

4,7534,313

0

1,000

2,000

3,000

4,000

5,000

2008F 2009F 2010F 2011F 2012F

Announced North American Pipeline Expansionsmiles

Source: Canadian Energy Pipeline Association, Interstate Natural Gas Association of America and IPSCO Tubulars management estimates

EOSMRed DeerCalgary Regina

EOSM

EOSM

Stratcor

Claymont Steel

Source: IPSCO Tubulars, Claymont/ market data

015Delong Holdings

◦ In February 2008, Evraz signed an agreement to acquire up to 51% of Delong Holdings◦ 3.0 mln tonnes integrated modern HRC mill located in Hebei province in 400 km from Beijing

and from the sea ports◦ 850 mm and 1,250 mm wide strip coils used mostly in pipemaking◦ Second lowest cost HRC producer in China in 2006◦ 2007 revenue and EBITDA amounted to US$1,021 mln and US$135 mln respectively◦ The deal is subject to further regulatory approvals

1,420

1,692

2,382

3,000

0

500

1,000

1,500

2,000

2,500

3,000

3,500

2005 2006 2007 2008F

Delong Shipments‘000 tonnes

Delong Location in China

Delong Holdings

016Investments in Rolled Capacity Expansion

Implementation of US$1.8 billion investment programme in 2008-2012 announced in May 2008 is to result in additional 3 million tonnes of rolled products (+40% to 2007 volumes) supplied to the Russian market

Production of railway products:

◦ Wheel-rolling mill reconstruction at NTMK: US$215 million; 580,000 wheels p.a. ◦ Rail production reconstruction at NTMK: €375 million, up to 950,000 t of rails p.a.◦ Rail production reconstruction at NKMK: €125 million, up to 750,000 t of rails p.a.

◦ Construction of small section rolling mill 320 at the existing production facilities of NKMK: US$80 million, capacity: 400,000 tonnes of rebars and wire rod p.a.◦ Construction of a section rolling mill in Bratsk, Irkutsk region Zapsib: US$80 million, capacity: 400,000 tonnes of rebars p.a. ◦ Construction of small section mill 350 at the site of the Kostanaisk diesel engine plant in Kazakhstan (approx 200 km from Chelyabinsk): US$160 million, 600,000 tonnes p.a.(rebars, channels, angles)

Production of long products:

Production of flat-rolled products:

◦ Construction of a heavy plate mill Quarto 3600 at Zapsib: US$500 million, 1st stage – 800,000-850,000 tonnes p.a.; 2nd stage - 1-1.2 million tonnes p.a.

017

FY2008 Outlook

018World Steel Production and Consumption ◦ In 2007 world crude steel output increased by 7.5% to 1,343.5 mln tonnes◦ China’s steel production in 2007 grew by 15.7% to 489 mln tonnes. Without China world

crude steel production would have only grown at 3.3%.◦ According to IISI preliminary data, in 2007 China apparent steel use went up by 40.6 mln

tonnes or by 11.4%. Brazil, Russia, India and Ukraine (BRIU) increased steel use by 19.4 mln tonnes in total and RoW – by 17 mln tonnes.

2007 Apparent World Steel Use2007 World Crude Steel Production

1,343.5

1,250.2

13.24.09.8

66.3

800

900

1,000

1,100

1,200

1,300

1,400

2006 China BRIU Japan Others 2007

mln tonnes

1 ,1 2 0

1 ,1 9 715.81.219.4

40.6

800

850

900

950

1,000

1,050

1,100

1,150

1,200

1,250

2006 China BRIU Japan Other 2007

mln tonnes

Source: IISISource: IISI

019Global supply/demand balance

◦ On the 12-month rolling basis, the capacity utilisation is around 87%, representing virtually full capacity utilisation.

◦ World ex China demand has been growing by some 5-6% per year over the past four years

Global Steel Operating Rates World Excluding China: Supply and Demand Growth

-15.0%

-10.0%

-5.0%

0.0%

5.0%

10.0%

15.0%

20.0%

Jan-97 Jan-98 Jan-99 Jan-00 Jan-01 Jan-02 Jan-03 Jan-04 Jan-05 Jan-06 Jan-07

Apparent demand growth ex China Trend growth

est

0

200

400

600

800

1000

1200

1400

1600

1995 1997 1999 2001 2003 2005 2007E

0%

5%

10%

15%

20%

25%

30%

Surplus effectiv e capacity Global apparent demand ov ercapacity

(kt) (%)

Source : Credit Suisse estimates Source : Credit Suisse estimates

020Outlook◦ Consolidated revenues are expected to increase in 1H08 by 60-65% vs. US$6,053 mln in 1H07

EBITDA is expected to grow to apx. US$3,050 mln in 1H08 vs. US$2,050 mln in 1H07

1Q EBITDA amounted to US$1,393 mln

◦ FY08 capital investments are budgeted at US$1,070 mln

◦ Investment capex: US$545 mln Maintenance capex:US$523 mln

◦ Numbers to be revised following completion of IPSCO Canada and Delong Holdings acquisitions

346

369

329

1,234

768

Coal Iron ore Vanadium

Russian steel Non-Russian steel

1H08 Expected EBITDA Composition

4,600

23,00018,900 18,70010,500

5,500

0

5,000

10,000

15,000

20,000

25,000

Coal Iron ore Crude steel Steel products

FY08 Expected Production ‘000 tonnes

* Coal production includes 10.5 mln tonnes of coking coal, 4.6 mln tonnes of steam coal and 40% of Raspadskaya 2008F outputIron ore output includes Sukha Balka ¾ 2008F production. Crude steel and steel products includes output from existing assets, impact from consolidation of Claymont Steel and ¾ of Dnepropetrovsk Metal Woks 2008F output. Steel products also includes pig iron sales from Russian mills.

US$ mln

021Evraz’s Global Business

022

+7 495 232-1370 IR@evraz.com

www.evraz.com