SUAL Group, one of the world’s top ten aluminium producers, today announces production results for the second quarter and first half of 2004.

Upstream production:

Bauxite production for the period was 2.45 million tonnes, an increase of 16.7 per cent on the first half of 2003. This growth reflects an 84 per cent increase in production volume at the Middle Timan Mine, where an expansion programme is underway to meet SUAL's growing demand for alumina.

Alumina production in first half 2004 was over 1 million tonnes, representing a 1.8 per cent increase against the same period of 2003. The growth is a result of the modernisation and technical development programme underway within SUAL's alumina businesses.

During the first six months to 30 June 2004, SUAL Group's overall production of primary aluminium increased by 4.3 per cent, from 440.2 thousand tonnes to 459.2 thousand tonnes.

Although Bogoslovsky Aluminium and Kandalaksha Aluminium reported marginally lower volumes, Ural Aluminium increased production by 26 per cent, following the launch of a new potline in 2003.

Output of silicon in the first half of 2004 increased by 12.3 per over the first half of 2003 and reached 28.7 thousand tonnes cent following an increase in supplies to the domestic market.

Upstream production: Key indicators (for six months ended 30 June 2004)

Downstream production:

The Group's downstream businesses reported strong growth in the first half of 2004, reflecting more effective marketing, both domestically and overseas; improved management systems; and the implementation of a set of measures aimed at technical re-equipment. Production of rolled products and semi-fabricated products increased by 21.4 per cent; the output of foil increased by 38.4 per cent; cable production increased by 29.3 per cent; while consumer products were 34.2 per cent above their level in the first half of 2003.

Downstream production: Key indicators (for six months ended 30 June 2004)

Production highlights: Second Quarter (from 1 April to 30 June 2004)

Notes to Editors

About SUAL

The SUAL Group is a vertically integrated business among the ten largest aluminium producers of the world.

Annually, operations of the SUAL Group:

• Mine some 4.4 million tonnes of bauxite
• Refine more than 2 million tonnes of alumina
• Produce over 890,000 tonnes of primary aluminium
• Produce more than 50,000 tonnes of silicon
• Manufacture more than 110,000 tonnes of aluminium products

Appendix 1

Production by business unit (1H 2004 / 1H 2003 comparison)

Production by business unit (2Q 2004 / 2Q 2003 comparison)