Evercore
Annual Report 2021

ANNUAL REPORT  
& ACCOUNTS 2021

MEET EVRAZ
•	 In construction and railway product markets in Russia.
•	 In production of rails and large diameter pipes in North America.
•	 In coking coal production in Russia.
CONTENTS
Report boundaries
This annual report (“the Report”) presents the results for EVRAZ plc 
and its subsidiaries for 2021 divided into segments: Steel, Steel North 
America and Coal. It details the Group’s operational and financial results 
and sustainability activities in 2021.
The Report has been prepared in accordance with the disclosure 
requirements of the United Kingdom and the Financial Conduct 
Authority: the Companies Act 2006, the Listing Rules, the Disclosure 
Guidance and Transparency Rules, and the Competition and Market 
Authority. The Report has also been prepared taking into account 
the International Integrated Reporting Framework, and sustainability 
reporting best practices.
Office
  Steel segment      Steel, North America segment     Coal segment
Sustainability management
54
Health, safety and environment
58
	
Our approach
58
	
Occupational health and safety
61
	
Climate change and GHG emissions 
62
	
Environmental management 
67 
Our people
71
Community relations
74
Anti-corruption and anti-bribery
76
Moscow
London
   Canada
   USA
  Switzerland
  Czech Republic
  Kazakhstan
   Novokuznetsk
  Nizhny Tagil
Russia
FOR OUR 
COMMUNITY
Social and social infrastructure 
maintenance expenses
m
35
FOR OUR  
PEOPLE
Employees (as of 31 December 2021)
m          
FOR OUR 
PARTNERS
steel products sales
mt
71,591
13
US$
Global footprint
Strategic report
MEET EVRAZ
EVRAZ in figures
Corporate governance
Financial statements
Additional information
Chicago
  Meet EVRAZ
  EVRAZ in figures	
4
  Strategic report	
6
Chairman’s introduction	
7
CEO letter	
10
EVRAZ business model 	
14
Operational model	
16
Decarbonisation Pathway 	
18
ESG highlights	
19
EVRAZ Business System 	
20
Market outlook	
22
Strategic priorities	
26
Impact of COVID-19	
32
Key performance indicators 	
34
Financial review	
36
Business review	
48
Sustainability	
54
Sustainable R&D	
79
Digital transformation	
83
Risks and risk management	
84
Viability statement	
97
Statement in accordance with 
S172 of the Companies Act	
98
Non-financial reporting	
100
  Corporate governance report	
102
Board of Directors	
104
Managment	
109
Corporate governance report	
114
Audit Committee Report	
126
Remuneration report	
140
Director's report	
154
Director's responsibility statement	
162
→ Financial statements	
164
Independent auditor’s report  
to the members of EVRAZ PLC	
166
→ Additional information	
284
TCFD compliance statement and index	
284
Stock performance indicators 
and shareholder information	
288
Unsolicited telephone calls 
and correspondence	
289
Electronic shareholder communications	
289
Definitions of selected alternative 
performance measures	
290
Data on mineral reserves	
293
Short summary of relevant 
anti-corruption policies	
294
Terms and abbreviations	
296
Legal disclaimer	
303
Contact details	
304
3
2
ANNUAL REPORT & ACCOUNTS 2021

North America
10.2%
Russia
0.2%
Europe 
(excl. UK, Russia)
5.2%
Asia&Pacific
1.5%
Other
1.9%
United Kingdom
9.2%
SHAREHOLDER 
STRUCTURE
CSR HIGHLIGHTS
Geographic dispersion of institutional 
shareholders, % of voting rights
LTIFR (excluding fatalities)
Total air emissions  
(including key emissions)
EVRAZ GHG emissions
Freshwater intake for production needs
6.	 The number of shares per dealing notification dated 20 June 2019.
7.	 The number of shares is as per TR-1 Form: Notification of major interest in shares dated 6 February 2013. For Mr Kozovoy, includes shares held directly.
8.	 The number of shares per dealing notification dated 23 July 2021
Steel products output4
Iron ore products output
Read more on   page 61
Read more on   page 68
Raw coking coal production
Coking coal concentrate production
Gross vanadium slag production5
Read more on   page 69
Read more on   page 71
Read more on   page 62
OPERATING HIGHLIGHTS
Crude steel output
13,630
13,814
13,569kt 
13,569
2020
2019
2021
2020
2019
2021
20,653
26,140
23,272 kt 
23,272
12,768
13,230
12,418kt
2020
2019
2021
 
12,418
2020
2019
2021
1.35
2.04
1.21
 
per million 
hours
1.21
Coal segment   
 Steel segment
2020
2019
2021
15,528
15,923
15,962 kt 
13,598
13,975
1,930
1,947
14,448
1,514 15,962
2020
2019
2021
43.48
43.14
42.13 MtCO2e
 
42.13
2020
2019
2021
14,205
13,765
14,399 kt 
14,399
2020
2019
2021
381.57
396.22
370.69 kt
 
370.69 
2020
2019
2021
19,533
18,380
20,058 mtV
 
20,058
2020
2019
2021
206.20
205.32
199.42 m m3
 
199.42
Employees by region
Diversity, % (number of people)
303
 10
51,637
Board
Employees
Senior Management
23%
77%
27%
73%
19%
81%
73
3 
19,573
Men
Women
 Russia and CIS 
94.8%
5.0%
0.2%
Europe
North America
EVRAZ IN FIGURES
FINANCIAL HIGHLIGHTS
Net debt
US$ 2,667 m         
Net profit
US$ 3,107 m
CAPEX3
US$ 920m
Total segment revenues1
Total segment EBITDA2
Steel
Coal
Steel, 
NA
Other 
operations
Eliminations and 
unallocated subsidiaries
2021
3,609
1,292
321
19
(226)
2020
1,930
400
(28)
15
(105)
2019
1,795
843
38
18
(93)
9,754 
14,159
11,905
US$ 14,159m
2020
2019
2021
Steel
Coal
Steel, 
NA
Other 
operations
Eliminations and 
unallocated subsidiaries
2021
10,188
2,321
2,324
535
(1,209)
2020
6,969
1,490
1,779
410
(894)
2019
8,143
2,021
2,500
483
(1,242)
1.	 Total revenues include those from continuing operations (US$13,486 million in 2021 and US$9,452 million in 2020) and discontinued operations (US$673 million in 2021 
and US$302 million in 2020). See more in Note 3 of consolidated financial statements on page 202 and see page 290 for definition.
2.	 Total EBITDA includes that from continuing operations (US$3,692 million in 2021 and US$1,830 million in 2020) and discontinued operations (US$1,323 millon in 2021 
and US$382 million in 2020). See more in Note 3 of consolidated financial statements on page 202 and see page 290 for definition..
3.	 Including payments on deferred terms recognised in financing activities.
4.	Net of re-rolled volumes.
5.	 In tonnes of pure vanadium.
Ultimate 
beneficial owners, 
% of voting rights4
Roman Abramovich6
28.64%
Alexander Abramov6
19.32%
Alexander Frolov6
9.65%
Gennady Kozovoy7
5.74%
Maxim Vorobyev8
3.01%
Free-float
33.64%
↓21% YoY
↑40% YoY
↑3.6X YoY
2,212 
2,601
5,015 
US$ 5,015m
2020
2019
2021
Read more on  
 page 36
Read more on  
 page 36
5
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ANNUAL REPORT & ACCOUNTS 2021
Strategic report
Meet EVRAZ
EVRAZ IN FIGURES
Corporate governance
Financial statements
Additional information

FOR A BETTER 
FUTURE
Strategic report
Last year was one of considerable 
turbulence, as COVID-19 continued to 
disrupt many aspects of life for numerous 
individuals. In this reality, our people 
demonstrated tremendous resilience, and 
I am proud of their dedication and the 
results that we achieved together.
Environment
Amid an exponential increase 
in focus on the environment, the issue 
of climate change is more prominent 
than ever on the global agenda. 
EVRAZ recognises the contribution that 
it should make to particular actions 
in this area. In 2021, we pressed ahead 
with evaluating our climate-related 
risks in accordance with the Task Force 
on Climate-related Financial Disclosures 
(TCFD) recommendations. As part 
of this, we have performed an update 
of the qualitative assessments, 
and scheduled the further financial 
analysis of climate change risks.
For more details, 
 see page 62
Continued
Alexander Abramov
Non-Executive Chairman
CHAIRMAN’S  
INTRODUCTION
ANNUAL REPORT & ACCOUNTS 2021
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ANNUAL REPORT & ACCOUNTS 2021
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ANNUAL REPORT & ACCOUNTS 2021

To maintain focus and drive progress 
in this area, the Group regularly reviews its 
environmental strategy based on sustainable 
business practices and environmental 
principles. In turn, we endeavour to embed 
these into every part of our value chain 
to ensure compliance and mitigate impact.
In February 2021, EVRAZ presented its new 
environmental strategy, which includes 
goals for 2030. These include reducing 
our GHG emissions per tonne of steel 
by 20% compared with 2019, the base year, 
which is in line with the current pledges 
of the transition to a low-carbon economy.
Later in the reporting period, we 
identified several measures to support 
our decarbonisation efforts between now 
and 2025, with the main focus on energy 
efficiency. In addition, we have already 
begun formulating our next steps to reduce 
GHG emissions between 2025 and 2030. 
While this will clearly depend on harnessing 
some new technologies currently under 
development, by working with the right 
partners, we are believe that we can make it 
happen.
For more details, 
 see page 63
Social
Our first priority in ESG is to maintain 
a sustainable, well run business, one that 
places the safety of our people at the heart 
of everything that we do, both employees 
and contractors. Regretfully, there 
were 8 fatalities in 2021, which is tragic 
and unacceptable. In response, EVRAZ 
is redoubling its work to ensure a culture 
of the utmost care and attention regarding 
safety practices at all enterprises. Our 
ultimate strategic goal remains to reduce 
fatalities to zero.
For more details, 
 see page 61
Central to achieving our goals is keeping our 
culture aligned with our purpose and values 
(as detailed on pages 71–73), and the Board 
devotes considerable effort to this. The main 
tool here is employee engagement surveys, 
which are reviewed and used to inform 
actions needed by the management.
With over 71 thousand employees, 
EVRAZ recognises that the success 
of its business depends on its people. 
In this light, we place great emphasis 
on social programmes. In 2021, we further 
developed existing initiatives focusing 
on employee health, engagement 
and training, as well as introducing new 
ones. We also provide support through 
various means in the areas of education, 
sport, environment, urban development 
and charity. In the reporting period, 
the Group continued to dedicate significant 
effort to helping employees and local 
communities as part of its COVID-19 
prevention and response measures.
For more details, 
 see pages 32–33
Governance
Board diversity
In 2021, assisted by its Nominations 
Committee, the Board considered diversity 
across the Group in detail. As a result, 
EVRAZ has adopted an updated policy 
regarding board diversity that covers both 
gender and ethnic diversity. The Board 
recognises that the Group’s business 
operations, which are predominantly 
in Russia and North America, should 
have workforces that closely represent 
the diversity of the communities where its 
enterprises are based.
The Board has discussed the Parker review 
and its recommendations to FTSE 100 
boards. When recruiting members, it will take 
into account these and the recommendations 
of the Hampton-Alexander review 
(the predecessor of the FTSE Women 
Leaders Review) and ensure that female 
representation on the Board never drops 
below two members. Equally, the Board 
is mindful that any appointment needs 
to be based on merit and that the Group’s 
operations are outside the UK. As such, 
there may be a requirement for other 
experience that better reflects a diversity 
of views for the benefit of the Board 
and EVRAZ stakeholders.
Appointment of Aleksey 
Ivanov as CEO
In the reporting period, the Board appointed 
Aleksey Ivanov, a senior vice president, 
as CEO to take over from Alexander Frolov, 
who remains as a non-executive director. 
Alexander Frolov did a tremendous job 
for 12 years, and the Board is confident 
that Aleksey will build on and develop 
his good work. The Board appointed him 
as a director of the Company and a member 
of the Sustainability Committee 
on 1 February 2022.
Changes in Board composition
On 15 June 2021 Ms Sandra Stash, 
Mr Stephen Odell and Mr James 
Rutherford were appointed by shareholders 
at the 2021 Annual General Meeting 
(AGM) as independent non-executive 
directors of EVRAZ. Ms Stash became 
chair of the Sustainability (formerly 
the Health, Safety and Environment 
Committee, which was renamed 
on 14 December 2021) Committee 
and a member of the Remuneration 
Committee, Mr Odell became a member 
of the Audit Committee, the Remuneration 
Committee and the Nominations 
Committee and Mr Rutherford became 
a member of the Nominations Committee 
and the Audit Committee. The three 
new directors bring additional vision 
and expertise across the Group’s key 
geographic regions, as well as industry-
specific knowledge, including of the global 
energy market, mining and the automotive 
sector.
Additionally, on 1 February 2022, Ms Maria 
Gordon was appointed by the Board 
as an independent non-executive director 
of the Company and became a member 
of the Sustainability Committee and Audit 
Committee. She will not only enhance 
the Board expertise in finance and capital 
markets, but also assist the current 
independent non-executive team with her 
wide knowledge of Russian markets 
and industry. Ms Gordon will seek election 
by shareholders as an independent director 
at the upcoming AGM in June 2022.
Although Karl Gruber and Sir Michael Peat 
had both completed nine years’ service 
as independent non-executive directors, 
the Board was pleased that they had agreed 
to remain in their posts to support the newly 
appointed directors while the proposed 
demerger of PJSC Raspadskaya (hereafter 
Raspadskaya) was finalised. The Board 
deemed that both directors continued 
to be independent in accordance with the UK 
Corporate Governance Code. The Company 
has announced that they are expected 
to retire as directors with effect from 31 March 
2022. I would like to thank both Karl and Sir 
Michael for their significant contribution 
to the Group.
In December 2021, the HSE Committee 
was transformed into the Sustainability 
Committee to reflect the Board’s increasing 
focus on driving sustainability across 
the Group, as well as the body’s increased 
responsibility and scope of work. In addition, 
the terms of references for the Sustainability 
Committee and Audit Committee 
were updated to provide increased scrutiny 
of the Company’s activities in this area.
On 1 February 2022 Alexander 
Frolov was appointed as a member 
of the Nominations Committee.
Raspadskaya demerger
In 2021, the Board and management 
of EVRAZ conducted a comprehensive 
review of the rationale and feasibility 
of the demerger of Raspadskaya, under 
which the Group’s metallurgical coal 
assets are consolidated. They concluded 
that the separation of the two businesses 
serves the long-term interests of EVRAZ’ 
shareholders, employees, clients and other 
stakeholders.
The demerger will result in the creation of two 
distinct publicly listed businesses with leading 
positions in their respective fields, allowing 
each to pursue tailored strategic, capital 
allocation and sustainability objectives.
On 11 January 2022, at General Meeting, 
EVRAZ shareholders approved the terms 
of the demerger and related matters. 
This marks another major milestone 
in the transaction timeline.
Investment Programme
In mid December 2021, the Board approved 
the capital investment programme 
of US$1.1 billion a year to 2026, the largest 
in the Group’s history. Successful 
realisation of such ambitious plans will 
be among the top priorities for the Board 
and management.
For more details, 
 see pages 26–27
Dividends
EVRAZ’ dividend policy continues 
to envisage dividend payments 
to shareholders of a minimum amount 
of US$300 million a year, provided that 
the Group’s net debt/EBITDA ratio remains 
below 3.0x.
In the reporting period, the Board 
discussed proposals to pay interim 
dividends of US$0.30 per ordinary 
share, totalling US$437 million, on 7 April 
2021; US$0.20 per share, equivalent 
of US$292 million, on 25 June 2021; US$0.55 
per share, equivalent of US$802 million, 
on 10 September 2021, US$0.20 per share, 
equivalent of US$292 million, on 14 January 
2022.
Alexander Abramov
Non-Executive Chairman
In recognition of its record performance 
in 2021, EVRAZ has announced another 
interim dividend. On 24 February 2022, 
the Board voted to disburse US$0.50 per 
share, totalling US$729 million, with a record 
date of 11 March 2022 and payment date 
of 30 March 2022.
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ANNUAL REPORT & ACCOUNTS 2021
STRATEGIC REPORT
Meet EVRAZ
EVRAZ in figures
Corporate governance
Financial statements
Additional information

Dear stakeholder,
This is my inaugural letter as CEO 
of EVRAZ, which is an honour 
for someone who has been with 
the company for almost two 
decades. In my new role, I intend 
to ensure that EVRAZ strengthens 
its leading positions, while 
preserving its unique corporate 
DNA and keeping the business 
model sustainable in the rapidly 
changing external environment.
Regretfully, in 2021, we lost 6 employees 
and there were 2 fatalities among 
our contractors. We have thoroughly 
investigated the root causes of these 
tragedies and introduced corrective 
measures to mitigate future risks. We 
also provided the necessary support 
and assistance to the families affected.
Through focused efforts across 
the company, we reduced our lost-time 
injury frequency rate (LTIFR1) to 1.21x 
in 2021, down from 1.35x in 2020.
Raspadskaya demerger
In the reporting period, we announced 
the demerger of Raspadskaya, our coal 
business, a process currently expected 
to complete in late March 2022. In our 
view, the demerger will establish a clear 
and focused equity story for both 
companies and provide greater flexibility 
to execute dedicated strategy for each. 
EVRAZ will continue its journey as a low-
cost integrated steelmaker, adding 
finished goods and capacity to produce 
premium ones for infrastructure projects. 
Raspadskaya, in turn, will be able to seek 
business combinations that are more difficult 
to achieve in the current corporate structure.
Markets
Despite COVID-related restrictions, market 
conditions supported our operational 
and financial results in 2021. Both iron 
ore and coking coal prices spiked to new 
highs, quickly translating into stronger 
prices for semi-finished and finished 
steel products. Across the markets 
in which we operate, demand was healthy. 
In the reporting period, global steel 
demand rose by 3.1% year-on-year 
amid a recovery following the first year 
of pandemic and decarbonisation efforts, 
especially in China.
CEO LETTER
Sustainability
We are in the steelmaking business – 
an important component for global 
infrastructure rebuild as people strive 
to improve the quality of their living 
in the years to come. Steel will play 
a significant role in the decarbonised 
circular economy. EVRAZ recognises 
the need to produce it in a better way 
for the environment. We continuously 
review every aspect of our business 
to identify where we could do better using 
the resources and engineering available 
today, while keeping a close eye on advances 
in technology. Moreover, we address how 
we can ensure shareholder returns, improve 
natural resource use and maintain close ties 
with our employees and communities where 
we operate, and other stakeholders.
In 2021, EVRAZ continued to improve 
its environmental footprint. Our Board 
of Directors approved a new set of targets 
for 2030 against 2019 baseline. The goals 
include to:
	• Reduce greenhouse gas emissions 
(Scope 1 and 2) by 20% to 1.551 tCO2e 
per tonne of crude steel produced.
	• Cut atmospheric emissions from steel 
production by 33%.
	• Zero wastewater discharges from steel 
production.
	• Recycle 95% of general 
and metallurgical waste.
One of our overriding priorities is the safety 
of our employees and contractors. Last 
year was the second year of the global 
COVID-19 pandemic. EVRAZ is moving 
along the learning curve on protecting 
our employees in these turbulent times 
by adding new risk management practices, 
protocols and other measures to avoid 
business disruptions. Among our employees, 
the rate of vaccination, a vital tool in tackling 
coronavirus, is 74% of employees in Russia 
and over 50% of employees in North 
America. While paying attention to COVID-
related risks, we also constantly review our 
regular ones to ensure the health and safety 
of our 71,591 team members around the world.
LTIFR in 20212  
1.21x
1.	 Base year (2019) results were recalculated due to the updated values of global warming potentials from the IPCC's Fifth Assessment Report and Russia's new Scope 
2 emission factors (see the page 64). In addition, the quality of primary data gathering in the Company has improved, which resulted in the decrease of base year 
GHG intensity to 1.94 tCO2e/tcs vs. previously reported 1.97 tCO2e/tcs. The goal (-20%) was recalculated accordingly and reduced to 1.55 tCO2e/tcs vs previously 
indicated 1.58 tCO2e/tcs.
2.	 Including contractors
Aleksey Ivanov
Chief Executive Officer
Whilst there have not been direct impacts 
on the Group to date, the Board continues 
to monitor the situation in Ukraine 
and the response of international 
governments.
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ANNUAL REPORT & ACCOUNTS 2021
STRATEGIC REPORT
Meet EVRAZ
EVRAZ in figures
Corporate governance
Financial statements
Additional information

Operational and financial 
results
In 2021, our crude steel production remained 
almost flat year on year and amounted 
to 13,569 kt. Total segment EBITDA reached 
US$5,015 million. Total segment EBITDA 
includes that from continuing operations 
(US$3,692 million) and discontinued 
operations (US$1,323 million). This strong 
result is mainly attributed to higher sales 
prices of steel products, coal, and vanadium. 
The Steel segment’s EBITDA increased 
by 87% to US$3,609 million with the Coal 
segment generating US$1,292 million 
and North America segment making 
US$321 million
EVRAZ reduced its net leverage and ended 
2021 with net debt/EBITDA of 0.5x (net 
debt of US$2,667 million).
Overall, EVRAZ was able to generate 
strong free cash flow of US$2,257 million 
(121% y-o-y), which made it possible 
to pay dividends of US$1,549 million. 
EVRAZtotal shareholder return (TSR) 
reached 48% in 2021.
Investments
Last year, we moved from conducting 
feasibility studies and design work 
to executing our key projects that will 
contribute to the company`s strategy 
in the medium term. In Russia, three 
major initiatives will require management 
focus in the next few years. First, 
at EVRAZ ZSMK, we are working on a new 
integrated flat casting and rolling facility. 
We are now at engineering stage 
and are conducting preparation works 
for infrastructure. Once completed, 
the mill will produce around 2.5 million 
tonnes of finished steel products a year, 
contributing to the business model shift 
towards premium products. This is our 
crucial investment project that aims 
to increase the share of finished products 
to 77% in our sales portfolio. Once 
commissioned, which is due in 2026, it will 
add around US$130 million to our EBITDA 
at an overall cost of US$767 million. Second, 
as part of extending our value chain 
in the vanadium business, we have started 
a vanadium processing plant construction 
with a design capacity of 8.6 mtpa of slag 
to reduce tolling practices. The facility 
is scheduled to become operational 
in 2024, adding c.US$60 million to company 
EBITDA at a total cost of US$228 million. 
Third, we are upgrading the rail mill 
at EVRAZ NTMK, an important project 
that will cater to domestic customers – 
and we have finished engineering works 
and conducting tenders with contractors. 
We also already have a offer from 
an equipment supplier and doing part 
of the necessary preparatory works. 
In North America, we are constructing 
a high-efficiency long product mill 
at Pueblo in Colorado, which will produce 
100-metre rails using solar power. This will 
help to maintain our technical leadership 
and contribute to the shift to a higher 
value-added product mix. Due to become 
operational in 2023, the facility will add 
c. US$70 million each year to our EBITDA 
at a total project cost of US$726 million
In total, EVRAZ invested US$403 million 
in development projects and US$517 million 
in maintenance initiatives in 2021, in line 
with its strategic priorities and payback 
targets. Our long-term CAPEX programme 
will help us to maintain a diversified product 
portfolio in the niches where the company 
retains leading positions, as well as to remain 
at the lower end of the cost curve.
In parallel, we are actively looking 
for efficiencies in our daily operations that will 
contribute to our financial performance. Most 
of the projects aim to enhance customer 
experience, reduce costs and optimise 
the use of input materials. In the reporting 
period, such improvements generated 
US$590 million, mainly in the steel segment. 
Another vital improvement pillar is digital 
transformation, which brought savings 
of US$65 million from more than 170 projects 
last year.
OUTLOOK  
FOR 2022
In 2022, we will press ahead 
with further improving our ESG 
performance and strengthening 
our culture of continuous 
operational improvement. 
I strongly believe in our long-term 
success given the commitment of 
our employees, who represent the 
forefront of the industry.
Aleksey Ivanov
Chief Executive Offcer
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EVRAZ  
	 BUSINESS  
MODEL 
OUR VISION
To be the leading manufacturer 
of steel for infrastructure.
GLOBAL 
MARKET TRENDS
In 2021, the steel industry was 
mostly driven by demand-
side fluctuations. Steelmakers 
increased output in anticipation 
of more robust demand from the 
construction and manufacturing 
sectors. Unable to keep up with the 
accelerated pace of recovery, steel 
prices rose to their highest in years.
OUR  
BASES
STRATEGIC 
PRIORITIES
BUSINESS 
SEGMENTS
COMPETITIVE 
ADVANTAGES
THE VALUE WE 
CREATE FOR 
STAKEHOLDERS
Read more on   pages 22–25
For additional information, 
pls see 
 the EVRAZ Sustainability 
Report for 2021, which will 
be published in May 2022 
SHAREHOLDERS  
AND INVESTORS 
EVRAZ strives to act in 
shareholders best interest 
by building an experienced 
management team, 
implementing corporate 
governance best practices 
and by providing robust 
total shareholder return.
LOCAL COMMUNITIES 
EVRAZ believes that 
conducting its business 
in a sustainable manner 
helps to promote regional 
prosperity where it operates 
and strives to create 
healthier, happier local 
communities by sponsoring 
social and economic 
development programmes.
CUSTOMERS 
EVRAZ generates value 
for its global clientele by 
prioritising value-added 
products, offering better 
shipping terms and running 
a client oriented service.
MEDIA 
EVRAZ' proactive 
engagement with the 
media boosts the quality 
and transparency of 
information about the 
Group.
EMPLOYEES 
EVRAZ is among the most 
sought-after employers in 
its regions of operation 
partly due to its staff 
development programmes 
and best-in-class working 
conditions.
GOVERNMENT  
AND REGULATORY 
AUTHORITIES 
EVRAZ is one of Russia’s 
largest taxpayers and 
employers, and plays a 
valuable role for the state 
by providing construction 
and railway products 
for the development of 
infrastructure.
SUPPLIERS AND 
CONTRACTORS 
EVRAZ honours its position 
as a vital purchaser of 
auxiliary materials by 
fostering the advancement 
of its customers’ industries 
and running fair, 
transparent tenders.
INDUSTRY 
ORGANISATIONS 
EVRAZ cooperates and 
supports various industry 
organisations through joint 
initiatives and proactivly 
participates in conferences 
and forums.
SUSTAINABLE 
DEVELOPMENT
DEBT 
MANAGEMENT 
AND STABLE 
DIVIDENDS
PRUDENT 
CAPEX
RETENTION  
OF LOW-COST 
POSITION
DEVELOPMENT 
OF PRODUCT 
PORTFOLIO 
AND CUSTOMER 
BASE
LEADER IN 
INFRASTRUCTURE 
STEEL PRODUCTS
A premium portfolio of railway, 
construction and tubular products with 
a firm footprint in Russian, North American 
and global markets.
VERTICALLY INTEGRATED 
LOW-COST OPERATIONS
A sound base of steel and coal assets 
in the first quartile of the global cost 
curve.
LEADER IN VANADIUM 
PRODUCTION GLOBALLY
Second largest vanadium producer in the 
world, with the unique technology and 
lowest production cost.
EVRAZ BUSINESS 
SYSTEM
The section 172(1) statement, describing how 
the directors have had regard to the matters set out 
in section 172(1)(a) to (f) when performing their duty 
under section 172, is   pages 98–99
EVRAZ strategic priorities reflect 
current focus areas that are 
driven by market conditions and 
business fundamentals.
STEEL
EVRAZ Steel segment 
uses locally sourced raw 
materials to produce 
steel products in Russia 
and Kazakhstan, which it sells 
for domestic infrastructure 
and construction projects 
while taking a flexible 
approach to exports. 
The Group’s vanadium 
business is based 
on processing vanadium slag 
from steelmaking operations.
Read more on   page 48
STEEL, NA
The Steel, North America 
segment focuses 
on the premium markets 
in the Western US 
and Canada, offering high 
value-added products 
including infrastructure 
steel, rails, large-diameter 
pipes and oil country tubular 
goods.
Read more on   page 50
EVRAZ uses the synergies derived from 
its competitive advantages to ensure that 
its overall operations are able to generate, 
sustain and capture value over the long-term.
In the reporting period, EVRAZ 
announced the demerger of its 
coal business.
The demerger will result in the 
creation of two distinct publicly 
listed businesses with leading 
positions in their respective fields, 
and will allow each to pursue 
tailored strategic, capital allocation 
and sustainability objectives.
COAL
The Coal segment sells 
almost half of its volumes 
to the the EVRAZ steel mills, 
supplies coking coal to major 
domestic coke and steel 
producers, and exports its 
products to foreign customers.
Read more on   page 52
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Flat-rolled products
Tubular products
Railway products
Construction products
625
402
383
268
1,678 kt
Steel 
products
The Steel, North America segment's EBITDA increased 
because of higher revenues from sales of flat-rolled, 
construction and railway products.
US$ 321 m
Read more on   page 50
STEEL, NORTH 
AMERICA SEGMENT
Steelmaking
 Crude steel production 
1,879 kt
Rolling and processing
 Steel products production 
1,655 kt
Raw materials
 3rd party scrap puchases 
2,085 kt
 3rd party slab purchases 
58 kt
 3rd party billet purchases
34 kt
OPERATIONAL  
	 MODEL
INPUT
46,728 
in Steel segment
16,231 
in Coal segment
NUMBER OF EMPLOYEES
73% 
of iron ore
222%
of coking coal
SELF-COVERAGE1
1.	 The raw material requirement of EVRAZ steelmaking 
facilities compared with coal product sales or production 
of iron ore products from own raw materials
3,603 
in Steel, NA segment
9.8 bln t
of iron ore
1.8 bln t
of coking coal
PROVED AND PROBABLE 
RESERVES
OPERATIONS
SALES TO 3RD PARTIES
EBITDA
In 2021, higher prices for semi-finished, construction and vanadium 
products almost doubled the Steel segment's EBITDA, despite an 
increase in cost of sales.
US$ 3,609 m
 ↑ 87% YoY
Read more on   page 48
Iron ore products
1,430 kt
Vanadium products (alloys and chemicals)
20,341 mtV
Semi-finished products
Construction products
Railway products
Flat-rolled products
Other steel products
5,541
3,905
1,192
245 714
Steel 
products
11,597 kt
Raw materials
 Iron ore products consumption 
18,127 kt
 Internal consumption 
13,822 kt
 3rd parties iron ore products purchases
 4,305 kt
 3rd parties scrap purchases 
1,629 kt
 Coking coal products consumption 
8,581 kt
 Coal segment coal products 
6,189 kt
 3rd party raw coal 
408 kt
 3rd party concentrate 
1,984 kt
Steelmaking
Pig iron production 
10,819 kt
Crude steel production 
11,690 kt
Vanadium slag production 
20,058 mtV
Rolling and processing
Steel products production 
10,763 kt
The Coal segment’s EBITDA rose YoY due to higher 
average realised prices.
US$ 1,292 m
 ↑ 3.2x YoY
Coking coal concentrate
Raw coal
9,922
686
10,608 kt
Coking 
coal 
products
Read more on   page 52
COAL 
SEGMENT
Mining
 Total raw coking coal mined 
23,272 kt 
 Sales to Steel segment
2,172 kt
Coal washing
 Total coking coal concentrate production 
14,448 kt
 Sales to Steel segment 
4,025 kt
STEEL 
SEGMENT
FROM 
COAL 
SEGMENT
TO STEEL 
SEGMENT
TO STEEL 
SEGMENT
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OUR APPROACH TO SUSTAINABILITY
EVRAZ understands the responsibility inherent in its position as one of the world’s leading 
steelmakers and, as such, is committed to integrating sustainable development principles and 
values into its daily operations. The Group believes that sustainable development will help it to 
maintain the long-term stability of its business, retain a competitive market position and create 
value for its stakeholders.
EVRAZ' sustainable development initiatives adhere to the OECD’s Guidelines for Multinational 
Enterprises to apply a consistent approach and adopt best practices across its global operations.
The Group bases these commitments on the best international standards and practices, fully 
endorsing the United Nations Universal Declaration of Human Rights provisions and respecting 
people’s civil, political, economic, social and cultural rights.
ESG HIGHLIGHTS
DECARBONISATION   
	  PATHWAY 
EVRAZ CO2 REDUCTION INITIATIVES UNDER 
REVIEW 
Social and community 
matters
EVRAZ strives to adhere to international 
corporate social responsibility principles 
by making a meaningful contribution to local 
economies and supporting communities 
wherever it operates. Everywhere the Group 
operates, it seeks to build sustainable, 
positive partnerships with local governments 
and non-government organisations, 
as well as with business, media and other 
partners.
Read more on   pages 74–75
Governance
Read more on   pages 104–125
Health and safety
Read more on   page 61
Environmental matters
Read more on   pages 67–70
Our people
Read more on   pages 71–73
1.	 EVRAZ’s intensity ration was calculated for steel assets.
2.	 Base year (2019) results were recalculated due to the updated values of global warming potentials from the IPCC's Fifth Assessment Report and Russia's new Scope 
2 emission factors (see the page 64). In addition, the quality of primary data gathering in the Company has improved, which resulted in the decrease of base year 
GHG intensity to 1.94 tCO2e/tcs vs. previously reported 1.97 tCO2e/tcs. The goal (-20%) was recalculated accordingly and reduced to 1.55 tCO2e/tcs vs previously 
indicated 1.58 tCO2e/tcs.
EVRAZ GHG Scope 1 and 2 
emissions, MtCO2e
Freshwater intake for production needs, 
m m3
LTIFR (excluding fatalities),  
per million hours
Diversity, % (number of people)
Board
Employees
Senior 
Management
77%
23%
81%
19%
73%
27%
Men
Women
Read more on   page 71
Energy efficiency
Green energy
Purchased energy
Production volumes 
change
EAF/DRI
Total production
Technological 
upgrade
Green energy
Own generation and purchased
Additional initiatives 
to be identified
CCUS
Residual emissions
CO2 intensity in 2030
CO2 intensity1
tCO2/t CS
INITIATIVES IN PROGRESS
FUTHER 
DECARBONISATION POTENTIAL 
1.94
2
 tCO2/t CS
1.55
2
 tCO2/t CS
0.42 tCO2/t CS
Read more on   page 61
2020
2019
2021
1.35
2.04
1.21
Read more on   page 62
2020
2019
2021
43.48
43.14
42.13
Read more on   page 69
2020
2019
2021
206.20
205.32
199.42
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EVRAZ  
	 BUSINESS SYSTEM 
KEY EVENTS
EVRAZ Business System (EBS) is a combined approach based 
on a culture of continuous improvements which currently covers 
nearly all the Group’s main operations.
RESULTS 
2021
EVRAZ principles
The basic working principles are 
safety, respect, performance and 
responsibility, customer focus and 
effective teamwork.
Process  
improvement
Every employee views finding and 
implementing improvements as part of their 
daily work.
Employee development
Employees have opportunities for learning 
and development, as well as access to 
the tools and knowledge needed to 
achieve the target.
Efficient 
management
Managers support the continuous 
improvement process by acting in accordance 
with EVRAZ principles, as well as training and 
encouraging their employees.
Ambitious 
target setting
Every employee does the best to 
improve the working process.
Idea Factory results
Problem-Solving 
Board results
Plant shops 
involved in 
transformation
Number of people 
completed an internship 
at EBS teams
109
1,081
SIBERIA 
DIVISION
URALS 
DIVISION
VANADIUM 
DIVISION
COAL 
DIVISION
IDEAS 
PROBLEMS
28
100,072
implemented
28,789
eliminated
56,611
accepted
20,807
submitted
40,252
submitted
Average 
problem 
elimination 
term, days
	• Project activity with a high degree 
of uncertainty was transferred to the 
agile format.
	• Deployed Azure software for agile 
project management.
	• Debureaucratization projects 
startup.
	• Digital transformation projects are 
gaining momentum.
	• IT platform "Idea Factory 2.0" was 
put into commercial operation.
	• Development of the EBS-
Transformation in ENA (rails, tubes, 
rod) continues.
2021
588
447
588
 
2020
2021
388
311
388
 
2020
2021
8
8
8
 
2020
2021
97
50
97
 
2020
2021
47
43
47
 
2020
2021
43
32
43
 
2020
2021
2
2
2
 
2020
2021
17
14
17
 
2020
2021
33
25,819
44,216 
24,223
44,872
17,053
2020 2021
20,360 
21,997 
30,433 
27,297
40,273
21,361
2020 2021
17,202 
189
617
462
756
336
2020 2021
257
1,906 
5,358 
4,629
14,171
1,502
2020 2021
975 
20,373 
21,222 
13,756
19,639
2020 2021
days
26 days
15
3,752 
3,961 
3,148
4,759
2020 2021
days
60days
39
235
241
137
126
2020 2021
days
30 days
31
3,752
3,961 
4,265
3,766
2020 2021
days
9 days
21
21
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MARKET  
	 OUTLOOK
Steel
According to the World Steel Association, 
in 2021 global crude steel production 
increased to 1.951 billion tonnes, up 3.7% YoY. 
This was mainly driven by improvements 
in countries outside China. Following 
a record 99.5 million tonnes in May, China 
had decreased its monthly steel production 
by 30% by November as a result of initiatives 
to reduce carbon emissions. In 2021, 
the country’s production totalled 1.033 billion 
tonnes, down 3.0% YoY. Curbs on steel output 
were the most important driver of markets 
in H2 2021.
In the reporting period, global finished steel 
consumption rose by 3.1% to 1.828 billion 
tonnes, compared with 1.774 billion tonnes 
in 2020, according to CRU. The main 
growth driver was the economic recovery 
following the first year of the pandemic. Steel 
mills increased production in anticipation 
of more robust demand, primarily from 
the construction and manufacturing 
sectors. Consumption in China fell by 4.8% 
to 0.975 billion tonnes amid headwinds 
in the property sector. Global demand, 
excluding China, rose by 13.9% to 0.853 billion 
tonnes.
Steelmakers struggled to keep up 
with the pace of global demand. 
This brought steel margins to as high 
as 40–50% in parts of the world, compared 
with the normal level over a cycle of 5–10%. 
In May, the FOB China hot-rolled coil index 
hit a record US$1,031/tonne. While prices 
have subsequently declined well below 
those levels, they are still relatively high, 
supported by aggressive cuts to steel supply. 
Following the Chinese market, steel prices 
rose in North America, Europe and the CIS. 
The variations among regions were caused 
by trade barriers, lead times and logistical 
constraints.
In the reporting period, government stimulus 
and supply chain issues pushed 62% Fe iron 
ore fines prices to new record highs, peaking 
at over US$230/dry metric tonne in June. This 
was followed by a record collapse in Q3 2021, 
mainly driven by the sudden drop in Chinese 
steel demand and steel production. Iron ore 
prices fell to as low as US$90/tonne, before 
rebounding to over US$120/tonne towards 
the year-end. Average iron ore prices climbed 
by 48% to US$160/tonne, up from US$108/
tonne in 2020.
Coal
In China, domestic supply tightness 
and disruptions in coking coal imports 
drove prices to new record highs in 2021. 
The country’s ban on coal imports from 
Australia impacted demand and changed 
trade flows, increasing price volatility. 
The premium hard coking coal price 
(CFR China) rose to a high of US$613/
tonne in late October. However, after 
government intervention and improvements 
in supply, it tumbled and had almost 
caught up with the Australian benchmark 
in December. Hard coking coal (FOB 
Australia) averaged US$223/tonne 
in the reporting period, compared 
with US$124/tonne in 2020. The CFR China 
price averaged US$337/tonne, up 135% YoY.
According to the report of the CRU dated 
November 2021, global metallurgical coal 
consumption climbed by 4.7% year-on-
year to over 1.213 billion tonnes. In China, 
consumption amounted to 826 million 
tonnes, 3.6% higher than in 2020. 
However, Chinese coking coal imports 
slumped by 34.2% to 48 million tonnes 
amid changing trade flows with Australia 
and greater domestic supply.
Global coking coal production climbed 
by 5.7% YoY to 1.204 billion tonnes 
in the reporting period. China continued 
to increase domestic metallurgical coal 
supplies, which rose by 6.3% to 779 million 
tonnes. In Australia, they amounted 
to 172 million tonnes, down 1.1%, amid 
supply issues at core assets.
GLOBAL MARKETS
Based on hot-rolled coil (HRC) China FOB 
contracts, steel prices averaged US$838/tonne 
in the reporting period, up 52% from US$553/
tonne in 2020. Based on the CFR slab FE&SEA 
benchmark, they averaged US$764/tonne, up 
72.0% from US$444/tonne in the year before.
Iron ore
In 2021, the iron ore market was primarily 
driven by demand-side fluctuations. 
Chinese steel production soared in H1 2021, 
and steelmakers struggled with iron ore 
availability at times. The situation changed 
quickly in H2 2021, mainly driven by the slump 
in Chinese steel demand and steel 
production. This resulted in much weaker 
demand for iron ore and a spike in inventories 
across the supply chain. According to CRU, 
global consumption of iron ore grew by 2.8% 
to 2.281 billion tonnes in 2021, while in China it 
fell by 1.9% to 1.395 billion tonnes. In other key 
markets, there were improvements: demand 
climbed by 22.9% in the US, 18.0% in India, 
14.3% in Europe and 2.1% in South Korea.
Global iron ore exports grew by 2.3% 
to 1.688 billion tonnes in 2021. Australian 
shipments were broadly unchanged YoY, 
as most major producers were operating 
at close to full capacity. In Brazil, Vale 
managed to increase shipments slightly 
following a muted performance in 2019 
and 2020. Another key development 
was a spike in the number of smaller 
producers that took advantage of high prices. 
While demand in China is declining, output 
from major producers from Australia is rising 
and an increase from Brazil may create 
oversupply.
Vanadium
In 2021, the MB FeV benchmark averaged 
US$34.3/kgV, up 37% YoY. This was mainly 
driven by historically high rebar production 
in China, as well as restocking throughout 
the supply chain in the automotive 
industry. This and continued shipping 
delays pushed the price to US$40/kgV 
in H1 2021. However, the market softened 
in H2 2021 amid aggressive steel output 
cuts under China’s policy to zero growth 
in 2021 and a crisis in the country’s 
construction sector. The global shortage 
of semiconductors also affected car 
production in H2 2021 and limited demand 
for microalloyed automotive steel outside 
China.
Global vanadium demand reached 
an estimated 114,000 mtV in the reporting 
period, up 7% YoY. The steel sector 
was again the main driver of vanadium 
demand. Steel output recovered strongly 
in most regions outside China, as demand 
from key industries almost reached pre-
pandemic levels. The market in China 
was supported by rapidly growing 
demand for vanadium-based energy 
storage. Overall, the trading environment 
is expected to be fairly balanced 
in the medium term, supported by further 
demand growth from the automotive 
and energy storage sectors.
Global finished steel 
consumption, million tonnes
Global crude steel 
production, million tonnes
Steel price, US$/tonne
Iron ore, Fe 62%, CFR China,  
US$/tonne
Coal, US$/tonne
Vanadium price (LMB FeV mid), US$/kg
Trends  
on core markets
Source: CRU
 0
500
1,000
1,500
2,000
HRC US, FOB Midwest
HRC Black Sea, FOB
2017
2021
Source: CRU
1,828
 
mt
 0
500
1,000
1,500
2,000
2017
2021
Rest of the world
EU+UK
Asia, excl. China
China
Source: World Steel Association
1,951
 
mt
 0
500
1,000
1,500
2,000
2017
2021
Rest of the world
North America
India
EU
China 
Source: CRU
 50
100
150
200
2017
2021
Source: CRU
 
2017
2021
100
150
200
250
300
350
HCC, spot FOB Australia
HCC, spot CFR China
Source: Bloomberg
 
20
40
60
80
100
2017
2021
23
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TRENDS ON CORE MARKETS
Steel Russia
In 2021, Russian steel consumption taking 
into account  pipes and primary materials 
for pipes according to Metal Expert, 
totalled 57.0 million tonnes, up 3.3% YoY, 
amid better economic conditions. Total 
apparent consumption for long products 
increased by 2.0% to 16.8 million tonnes. 
In the railway segment trends were mixed. 
Russian rail market decreased by 37.7% in 
the year, but demand for wheels remained 
high. The construction sector recovered, 
with demand increasing by 10.7% for rebars, 
while it decreased by 10.5% for structural 
steel amid delay of some industrial and 
commercial construction projects in late 
2021 due to high prices volatility. Domestic 
shipments of long products amounted 
to 16.1 million tonnes, a historical high. There 
was a significant improvement in the rebar 
segment. Exports of long products 
amounted to 4.4 million tonnes, compared 
with 3.9 million tonnes in 2020. This 
marked the continuation of a positive trend 
for a second year, despite the introduction 
of export duties on ferrous metals since 
1 August 2021.
In the reporting period, crude steel 
production in Russia amounted 
to 76.0 million tonnes, up 6.1% YoY, 
according to the World Steel Association 
data. Russian steel prices fluctuated 
in accordance with global benchmarks. 
Average domestic prices for rebar were up 
by 71% YoY, for channels and angles up by 
48% YoY and for beams up by 58% YoY.
Steel North America
Through 2021, North American steel 
markets recovered from the impact 
of COVID-19, driven by improved demand 
and record-high steel prices. Estimated 
domestic steel production totalled 
92.1 million tonnes, up 29% YoY, while 
annualised US steel imports of finished 
products totalled 31.1 million tonnes, up 
61%. US steel mill utilisation ended the year 
at 81.1%, down from a two-year high of 85% 
in September 2021. In addition to rising 
raw material costs, tightness in domestic 
supply, strong demand and low service-
centre inventories supported strong 
price increases: the averages for carbon 
plate and hot-rolled coil soared by 132% 
and 174% to US$1,536/tonne and US$1,734/
tonne, respectively.
In the reporting period, US steel product 
consumption totalled an estimated 
115.2 million tonnes, up 36% from 
85.0 million tonnes in 2020. Total apparent 
demand for all long products rose by 41% 
YoY. Estimated North American rail demand 
amounted to around 900 thousand tonnes, 
Russian steel consumption by product 
type, million tonnes
US finished steel consumption,  
million tonnes
North America prices, US$/tonne
EVRAZ market shares in North America 
by key products, %
Russian steel prices, US$/t
EVRAZ market shares in Russia by key 
products, %
Russian metallurgical coal consumption, 
million tonnes
Coal prices, US$/tonne
up 1%, with growth in domestic production 
offsetting reduced import volumes. 
Estimated North American demand for rod 
and bar products reached around 11 million 
tonnes, up 5%. Strength in the non-
residential construction sector and supply-
side constraints created a favourable 
environment for EVRAZ North America’s 
products. Wire rod prices averaged 
US$928/tonne, up 38%, while rebar prices 
averaged US$989/tonne up 44%.
In 2021, North American OCTG shipments 
totalled 3.8 million tonnes, up 28% year-
on-year. Line pipe shipments amounted 
to 1.5 million tonnes, down 37%, driven 
largely by a decline in major pipeline 
projects. ERW OCTG and line pipe prices 
averaged US$1,800/tonne and US$2,300/
tonne, up 60% and 64%, respectively. 
Average seamless OCTG prices rose by 44% 
to US$1,980/tonne. Raw material cost 
increases, improved pipe demand and mill 
supply constraints supported strong price 
gains. In 2022, crude oil and gas prices look 
set to remain elevated, which will drive E&P 
spending, land rig deployment and OCTG 
and line pipe demand.
11,785
 
mt
 0
2,000
4,000
6,000
8,000
10,000
12,000
2017
2021
Structurals
Rails
Beams
Rebar
Source: Metal Expert
Source: Metal Expert
 
400
600
800
1,000
1,200
Rebar
Structurals
Beams
2017
2021
Source: Company estimates
2021
2020
Railway 
wheels
25
Rails
Grinding 
balls
Structural 
shapes
Beams
Rebar
74
65
31
69
9
28
97
55
37
69
10
Source: Metal Expert
 20
25
30
35
40
Russian metallurgical coal consumption
Russian metallurgical coal exports
2016
2021
Source: Metal Expert
 50
100
150
200
2017
2021
GZh
Zh
 
500
1,000
1,500
2,000
Rebar, domestic US
Plate, domestic US
OCTG Carbon
2017
2021
Source: CRU, Pipelogix
Coal Russia
After a challenging 2020 year, domestic coal 
demand improved in 2021 as output recovered. 
Estimated Russian mining volumes increased 
to 103.4 million tonnes, up 14.7% YoY, while 
coking coal concentrate consumption reached 
around 38.9 million tonnes, as coke production 
rose amid the recovery following the first year 
of the pandemic. Coking coal exports climbed 
by 7.3% to 30.3 million tonnes, reaching a record 
high in August, with sales increasing most 
in Asian markets.
Russian prices of metallurgical coal followed 
international benchmarks during the reporting 
period. Prices started to rise more rapidly 
in Q2 2021. During the year, the FCA Kuzbass 
benchmark price averaged US$159/tonne 
for premium Zh-grade coking coal, up 99% year-
on-year, and US$126/tonne for the semi-hard 
GZh-grade, up 103%.
Source: Company estimates
2021
2020
Large-
diameter 
pipe
16
Canadian 
OCTG
Rails
28
45
29
17
48
115.2
 
mt
 0
20
40
60
80
100
120
2017
2021
Tubular
Semi-finished
Long
Flat
Source: Platts
25
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ANNUAL REPORT & ACCOUNTS 2021
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STRATEGIC  
	 PRIORITIES
DEBT MANAGEMENT AND STABLE DIVIDENDS
EVRAZ remains focused on the medium-
term debt management and stable dividend 
payout approach:
	• Dividend payout according to the stated 
dividend policy: a minimum 
of US$300 million is annually provided 
provided that the net leverage ratio 
remains below 3.0x.
	• Medium-term net debt level below 
US$4,000 million.
	• Target average net debt/EBITDA 
below 2.0x throughout the cycle.
In 2021, the Group’s net debt amounted to 
US$2,667 million.
In 2021, the Group generated solid free cash 
flow of US$2,257 million. Coupled with the 
net debt/EBITDA ratio below 2.0x, which 
enabled EVRAZ to return US$1,549 million to 
its shareholders in the form of dividends for a 
dividend yield of 13%.
Net debt (net debt/EBITDA), US$ million 
2017
2018
2019
2020
2021
Net debt
3,966
3,571
3,445
3,356
2,667
Net debt/EBITDA, x
1.5
0.9
1.3
1.5
0.5
Dividends, US$ million 
2017
2018
2019
2020
2021
Dividends
430
1,556
1,086
872
1,549
Yield
9%
17%
11%
14%
13%
PRUDENT CAPEX
In 2021, EVRAZ invested a total 
of US$920 million in CAPEX, of which 
US$517 million was spent on maintenance 
projects and US$403 million 
on development projects. Development 
CAPEX doubled year-on-year, mainly as 
a result of an increase in spending on key 
projects.
Annual CAPEX, US$ million
2017
2018
2019
2020
2021
Maintenance
367
360
581
458
517
Development
236
167
181
199
403
TOTAL
603
527
762
657
920
Key projects
Effect:  
produce 630 ktpa of rails with a maximum 
length of 100 metres to maintain technical 
leadership and continue shifting to a 
higher-value product mix
Total CAPEX:  
US$726 million
Effect:  
make high value-added products 
(H-beams, sheet piles and HH rails) 
instead of semi-finished products 
Total CAPEX:  
US$305 million
Effect:  
process an additional 8.6 mtpa 
of V-slag within EVRAZ, instead 
of tolling parties 
Total CAPEX:  
US$228 million
Long rail mill at EVRAZ 
Pueblo
Rail and beam mill 
modernisation at EVRAZ 
NTMK
Vanadium processing 
at EVRAZ Uzlovaya
Effect:  
increase Tashtagolsky deposit’s annual 
ore production through the partial 
switch to sublevel caving using mobile 
equipment 
 
Total CAPEX:  
US$147 million
Effect:  
launch a new wheel production line 
with a capacity of 200 kt.  
LLC Allegro, a 50/50% joint venture 
of EVRAZ and Rail Service Industrial 
Group, has been established to set up a 
railway wheel manufacturing facility.
Total CAPEX:  
US$208 million
Effect:  
produce 2.5 mtpa of premium 0.8-16 
mm flat products instead of slabs 
and billets  
 
 
Total CAPEX:  
US$767 million
Tashtagol iron ore mine 
upgrade at EVRAZ ZSMK
Wheel rolling mill no. 2 at 
EVRAZ NTMK (Allegro)
Integrated flat casting 
and rolling facility at 
EVRAZ ZSMK
27
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RETENTION OF LOW-COST POSITION
Efficiency and cost-cutting remain 
a primary focus for the Group. EVRAZ 
is on pace to generate improvements 
with an annual EBITDA effect of 3% 
of the cost of goods sold.
In 2021, the EBITDA effect from cost-cutting 
initiatives totalled US$335 million
Breakdown of cost-cutting programme effect in 2021, US$ million
Steel segment
2021 key initiatives and results
	• Increased blast furnace productivity 
and reduced overhaul days 
at EVRAZ NTMK.
	• Record production of pig iron, steel, 
vanadium and wheels in new history of 
EVRAZ NTMK. 
	• Record value in terms of ore production at 
EVRAZ KGOK.
	• Launched a sustainability analysis of EBS 
tools with online tracking.
	• Started construction of a new vanadium 
production plant. 
	• Implemented various digital transformation 
projects, including 
	• predictive analytics, digital BOF efficiency 
management and ferroalloy
	• consumption optimisation at EVRAZ 
NTMK.
	• Improved the efficiency of expert systems 
at EVRAZ ZSMK.
	• Implemented initiatives various costs 
reduction initiatives.
	• Urals and Siberia divisions implemented 
different measures to reduce energy 
consumption.
2022 key initiatives
	• Implement the automated rolling 
parameters control system of the wide 
beam shop and the converter shop.
	• Improve the efficiency of expert systems 
and develop predictive and advanced 
analytics.
	• Implement initiatives aimed at reducing 
the costs of manufactured products.
	• Ensure the operational stability 
of production and maintain equipment 
at necessary levels.
	• Implement the clean air and water 
protection programmes and construct 
a hazardous industrial waste storage 
facility.
Coal segment
224
36
34
32
3 3 3
US$335 m
Increasing productivity and cost effectiveness
Auxiliary materials & service costs of Urals and 
Siberia divisions
Procurement efficiency 
Various improvements at Coal beneficiating 
plants & mines
Optimization of assets
General and administrative (G&A) costs and 
non-G&A headcount
Auxiliary materials & service costs of North 
American and Vanadium
Steel, North America segment
	• Resumed work at Razrez Raspadsky, 
which had halted operations 
from May to September 2020.
	• Transferred operations at Esaulskaya 
to the new longwall no. 29.
	• Continued implementing EBS 
transformation projects on schedule.
	• Launched 54 digital transformation 
initiatives. 
	• Aim to achieve record raw coal 
production volumes despite 
the increasingly difficult 
technological conditions.
	• Increase coal exports to Asia 
and boost the percentage 
of innovative coal wagons.
	• Maintain steady production of GZh-
grade coal throughout the year.
	• Implement four major investment 
projects to develop current assets.
	• Continue EVRAZ Pueblo’s long rail mill 
project.
	• Complete ongoing projects at EVRAZ 
Red Deer and EVRAZ Regina, 
as well as scheduled projects at EVRAZ 
Pueblo steelmaking operations.
	• Continue EBS implementation across 
EVRAZ North America facilities.
	• Focus on development 
and implementation of Maintenance 
Reliability Program, operational 
improvements and cost controls.
	• Launch pilot digital transformation 
projects in North America focusing 
on automation and optimization 
of operations.
	• Enhanced the efficiency of EVRAZ 
Regina’s steelmaking operations.
	• Continued implementation of EBS 
at EVRAZ Pueblo steelmaking, rail 
and rod / bar operations.
	• EVRAZ Pueblo’s new long rail mill 
project continued according to schedule.
	• Capital investments to modernise 
equipment and expand production 
capacity also progressed at EVRAZ 
Regina in Saskatchewan and EVRAZ Red 
Deer in Alberta.
2021 key initiatives and results
2022 key initiatives
29
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Coal segment
	• EVRAZ Group and Raspadskaya 
entered into a new, long-term coal 
offtake agreement.
	• Launched claims handling unit. 
Introduced standardized procedures 
for dealing with customer’s requests.
	• Signed long-term agreements 
with new customers in Europe 
and Russia. 
2022 key initiatives
	• Improve sales under long-term 
contracts to premium markets.
Steel, North America segment 
 
 
	• Expanded leadership position in the North American rail market.
	• Maintained strong market share in the Canadian OCTG market.
	• Strengthened Quality organization and management systems across North 
American sites.
	• Continued working on developing new production capabilities and capacity 
to keep strong competitive position in the markets served.
	• In close cooperation with partners, continued cooperation on projects aimed 
to reduce environmental impact of operations (e.g. Big Horn solar plant to power 
EVRAZ Pueblo facility).
 
	• Maintain and increase our leading market position in the rail and tubular 
markets.
	• Continue developing “green steel” products at EVRAZ Pueblo, the first EAF 
steel manufacturer powered by solar energy.
	• Continue developing an ongoing dialogue with our customers, external experts, 
universities and research institutions to build a path forward to reaching ESG 
objectives.
	• Increase vertical integration in EVRAZ North America to maintain and improve 
our competitive cost position.
2021 key initiatives and results
DEVELOPMENT OF PRODUCT PORTFOLIO 
AND CUSTOMER BASE
In 2021, EVRAZ worked to further improve 
customer service and develop new products 
as part of its strategic objective to remain 
the leading manufacturer of infrastructural 
steel. The Group remains focused 
on executing its development projects 
aimed at diversifying its product portfolio.
In 2021, the customer focus programme 
generated an EBITDA effect 
of US$255 million
Customer focus programme EBITDA effect in 2021, US$ million
120 
53 
50 
8 
US$255 m
24
Beams
Logistics optimisation
Sales improvements
New product development
Other
Steel segment
2021 key initiatives and results
	• Continued to develop the programme 
aimed at promoting demand for beams 
and structural products in construction 
and improving the availability of products 
to clients, including a project to sell pre-
engineered beam-based steel building 
solutions via EVRAZ Steel Building 
for the medium-sized industrial, social 
and commercial segment.
	• Launched the EVRAZ Steel Box project, 
which is targeted at selling small-sized 
buildings.
	• Maintained full capacity at the hub 
launched in Nizhny Tagil in 2020 
to improve the availability of beams 
for customers, continued to work at full 
capacity; the hub places a priority 
on orders for rare profiles.
	• Continued to serve customers 
at the metal service centre launched 
in Noginsk in 2020, including small 
metal fabrication facilities that do 
not have their own automated CNC 
line and large plants that need 
to increase production without investing 
in the purchase of expensive equipment.
	• Continued initiatives to digitalise sales 
channels, including the following key 
projects:
	- Steel Radar: an online resource that 
shows beam inventories in traders’ 
warehouses and enables purchase 
orders to be placed. The resource 
has been redesigned in accordance 
with the best E-Commerce practices. 
20-fold increase in traffic to the site 
as a result of the promotion 
programme.
	- EDI/EDO: EDI is a platform for placing 
orders and handling administrative 
tasks like amending documents 
and invoices, while EDO is a platform 
for exchanging legal documents. 
The document flow for EDI of EVRAZ 
TC increased from 52% to 89%.
	- EVRAZ Webshop: a single 
e-commerce platform for all types 
of customers. Achieved of 142% 
online sales goals. Significant 
changes in business processes 
and improvements to IT systems 
to serve retail customers.
	• In the vanadium business, EVRAZ 
R&D Vanadium Centre has signed 
an agreement for scientific 
research on a metallurgical project 
with the Department of Engineering 
of the University of Perugia, Italy, 
targeting the production of lighter, high-
performance structures for buildings 
and civil engineering with potential 
advantages such as an increase 
in usable space, material and cost 
savings, and a consequent reduction 
in environmental impact.
	• EVRAZ and Russian Railways agreed 
to join efforts in reducing GHG 
emissions through manufacturing 
and operating rails made of steel 
with a low carbon footprint.
	• Developed a new product, resistant 
rebar for the use in seismic areas.
	• Launched the transformation process 
of EVRAZ Market to increase sales 
in the small wholesale segment 
and provide better service for all types 
of customers by changing the sales model 
and developing digital services and tools.
	• Carried out an assessment of the 
economic effect of the new DT400IK 
rails. Operational tests completed.
2022 key initiatives
	• Expand the range of steel solutions for 
the construction industry.
	• Implement digital transformation projects 
for clients.
	• Develop new rails of increased hardness 
and plasticity for curves.
	• CRM implementation for wholesale 
customers.
	• WebShop development.
	• Expand consignment stocks project.
	• Continue Improvements in claims 
handling service.
	• Launch сhatbot project of trading unit 
for the prompt collection of feedback 
and satisfaction level of the order or 
EVRAZ' services
Steel segment
31
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GOING CONCERN ASSESSMENT
The Group’s financial position at 31 December 2021 including its cash flows, liquidity position and borrowing 
facilities are set out in these financial statements and the Financial Review section. The Group’s net debt 
as at 31 December 2021 was $2,667 million (31 December 2020 and 2019: $3,356 million and $3,445 million, 
respectively) and its cash plus committed undrawn facilities were $2,050 million (31 December 2020 
and 2019: $2,564 million and $1,870 million, respectively).
As disclosed in Note 30, macroeconomic uncertainty and instability have arisen due to the COVID 19 
pandemic. However, the majority of the Group’s businesses were relatively unaffected with no significant issues 
for production, supply or shipments. Moreover, during 2021 there was a very significant increase in demand 
for, and prices of, almost all of the Group’s products leading to the Group’s strong financial performance.
The management of EVRAZ plc has considered the Group’s cash flow forecasts for the period to 30 June 
2023, the going concern assessment period, forecasting both liquidity and covenant compliance. It initially 
evaluated two financial performance scenarios, being a base case and a pessimistic case reflecting 
a reduction in forecast prices to the lower end of market analysts' current forecasts. Both scenarios reflect 
the effect of the highly probable demerger of the coal business (Note 13), the scheduled repayment 
of debt, most significantly $750 million of US-denominated notes due in 2023 (Note 22), and the effect 
of the new excise tax on liquid steel and higher taxes on mineral extraction imposed by the government 
of the Russian Federation from 1 January 2022 (Note 30). Management has considered whether the effects 
of risks associated with climate change, including decarbonisation (Note 6), will impact the going concern 
period, concluding that they will not have any significant impact. Under both scenarios, the Group 
is forecast to maintain sufficient liquidity for the period to 30 June 2023 and to operate within its debt 
covenants. In the pessimistic case the amount of cash is assumed to be close to the minimum operating 
level in the first half of 2023. These scenarios do not however include actions at management’s disposal 
to strengthen projected liquidity, including the deferral of uncommitted capital expenditure.
In order to further test the resilience of the going concern assessment to potential uncertainties, particularly 
with respect to the worsening situation relating to Ukraine and heightened risk of the economic sanctions, 
management performed a severe downside sensitivity. This assumed that capital expenditure was reduced 
to $500 million per annum and then determined the extent to which EBITDA could fall throughout 
the period, whilst maintaining an operating level of liquidity. Such a fall would reflect a highly material 
interruption to the Group’s current business including reducing Russian export sales outside the CIS to nil 
throughout the going concern period combined with a further reduction in EBITDA as a result of other 
possible factors, including further international sanctions. The directors have also considered additional 
mitigating actions that would be available in such circumstances including further reductions in costs, capital 
expenditure and the deferral of dividends.
None of the scenarios modelled reflect any new financing beyond that currently committed. In managing 
the financing of the Group, management continues to monitor opportunities for future raising of finance, 
including as current notes mature.
The directors, having considered the scenarios above, conclude that the likelihood of a scenario that would 
eliminate liquidity or breach covenants is remote. Based on this analysis and other currently available 
facts and circumstances the directors and management have a reasonable expectation that the Company 
and the Group have adequate resources to continue as a going concern.
EVRAZ is closely monitoring the 
pandemic and its impact on employees, 
operations and the broader stakeholder 
base. The Group is committed to doing 
everything possible to protect the lives 
and health of its employees, as well as to 
minimise the effect on its enterprises and 
the communities in which it operates.
Impact on key markets 
and operations
COVID-19 has caused macroeconomic 
uncertainty and instability. At the same 
time, in 2021, demand for and prices 
of almost all of EVRAZ’ products 
soared, resulting in a strong financial 
performance for the Group. For more 
details about the performance of key 
markets in 2021, see the “Market review” 
section.
As of 31 December 2021, there were 428 
active COVID-19 cases among employees. 
Despite that, the majority of EVRAZ’ 
businesses were relatively unaffected 
in the year, with no significant issues 
for production, supply or shipments.
Impact on liquidity, solvency 
and access to financing
In 2021, the pandemic had little effect 
on the Group’s liquidity situation. Amid 
positive market trends, operations 
and sales generated robust operating 
cash flow. EVRAZ has proactively 
addressed its upcoming obligations 
and maintained a strong liquidity 
position. As of 31 December 2021, cash 
and cash equivalents stood at around 
US$1.4 billion, supported by operating 
cash flow and financing initiatives. 
For more details, see the “Financing 
and liquidity” section.
Measures to protect 
the wellbeing 
and safety of employees 
and communities
To prevent the spread of COVID-19, 
the Group has implemented a vaccination 
campaign. As of 31 December 2021, 
this covered 74% of employees 
in Russia and over 50% of employees 
in North America. To support medical 
professionals, EVRAZ has arranged 
regular donations of oxygen, medical 
supplies and personal protective 
equipment to regional hospitals.
In addition, the Group continues 
to implement the measures that it 
introduced in 2020 to prevent the spread 
of COVID-19. These include:
	• reducing domestic business travel 
and overseas trips.
	• enabling remote working, 
as well as providing additional 
personal protective equipment 
for employees who have to come 
to work, including eye protectors, 
respirators and gloves.
	• using thermal imaging devices 
and pyrometers at facility entrances 
to monitor people’s temperatures.
	• changing approaches to all major 
corporate, sporting and entertainment 
events (online or offline), depending 
on the particular situation 
and imposed restrictions.
	• increasing supplies of antiseptic 
and disinfectant products in communal 
areas, as well as regularly sanitising 
facilities and transport.
	• organising campaigns to raise 
awareness among employees 
and contractors about behavioural 
guidelines, social distancing 
and personal protection.
In addition to caring for the physical 
health of employees and their families, 
EVRAZ is carefully assessing the possible 
mental impact of the preventative 
measures undertaken amid the pandemic. 
As of 31 December 2021, more than 1,500 
of its employees were working remotely.
IMPACT  
	 OF COVID-19
33
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KEY PERFORMANCE  
	 INDICATORS 
FINANCIAL
NON-FINANCIAL
EVRAZ performance is assessed against several key performance indicators (KPIs), 
which are linked to our strategic priorities.
KPI
HOW DID WE PERFORM IN 2021?
RELEVANCE TO STRATEGIC PRIORITIES
Total segment 
EBITDA,1  
US$ million
2,212
2,601
5,015
US$5,015m
2020
2019
2021
The increase in total segment 
EBITDA was primarily 
attributable to higher steel, 
vanadium and coal product 
sales prices.
Cash cost of coal 
concentrate,  
US$ per tonne
31
35
41
41US$/tonne
2020
2019
2021
Coking coal concentrate 
cash cost increased due to 
cost inflation and change in 
production mix.
Effect from efficiency 
improvement 
programme, US$ million 
(cost cutting + customer focus)
US$590m
426
407
590
2020
2019
2021
The efficiency programme 
generated additional effect mostly 
through productivity growth, yield 
improvements and numerous 
savings projects. Customer focus 
initiatives generated additional 
effect as result of sales efforts 
in railway products as well as 
due to numerous improvements 
in logistics and procurement 
efficiency.
LTIFR (excluding 
fatalities),  
per 1 million hours
1.35
2.04
1.21
1.21
2020
2019
2021
As part of its efforts to improve 
the safety culture, EVRAZ 
focused on the approach 
to engage employees 
in the process of identifying 
and mitigating risks. This 
and other initiatives helped 
to bring the lost-time injury 
frequency rate – a key health 
and safety metric – down 
to 1.21x. The Group surpassed 
its target level of 1.36x.
Free cash flow,  
US$ million
US$2,257m
1,020
1,456
2,257
2020
2019
2021
Free cash flow increased 
because of higher EBITDA 
and cash flow from operating 
activities.
Labour  
productivity,  
steel, tonnes per person
376
392
367
367
2020
2019
2021
Labour productivity 
decreased as a result of lower 
production volumes coupled 
with a decline in the average 
number of employees 
at Steel and Steel, North 
America segments comparing 
to the previous year
Cash cost of slab,  
US$ per tonne
308US$/tonne
213
236
308
2020
2019
2021
Cash cost of slab increased 
mainly due to higher raw 
material prices and change in 
raw materials yields and mix.
GHG intensity ratio,  
tCO2e per tonne of crude 
steel
1.95
1.94
1.90 
1.90 
2020
2019
2021
Overall GHG emissions 
in the steel sector (the Steel 
and Steel North America 
segments) were lower than 
the 2020 level by nearly 3% 
year-on-year and therefore 
the specific intensity of GHG 
emissions declined as overall 
steel production remained 
almost flat YoY.
Further details on  page 290
Further details on  pages 28-31 
Further details on  page 292 
Further details on  page 290
Further details on  page 292 
Retention of low cost 
position
Debt management and 
stable dividend
Retention of low-cost 
position
Debt management and 
stable dividend
Retention of low cost 
position
Retention of low-cost 
position
Sustainable 
development
Sustainable 
development
Development of product 
portfolio and customer 
base
Prudent CAPEX
Development of product 
portfolio and customer 
base
Prudent CAPEX
Development of product 
portfolio and customer 
base
Retention of low cost 
position
EVRAZ business system
Development of product 
portfolio and customer 
base
1.	 Total EBITDA includes that from continuing operations (US$3,692 million in 2021 and US$1,830 million in 2020) and discontinued operations (US$1,323 millon in 2021 
and US$382 million in 2020).
35
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FINANCIAL  
	 REVIEW
STATEMENT OF OPERATIONS
In 2021, EVRAZ’ total segment revenues 
climbed by 45.2% YoY to US$14,159 million, 
compared with US$9,754 million in 2020. 
The increase was caused primarily 
by higher sales prices for semi-
finished and construction products, 
as well as greater volumes for vanadium 
products. This increase was also attributable 
to higher average realised prices and third 
party sales for coal.
The Group’s total segment EBITDA 
amounted to US$5,015 million during 
the period, compared with US$2,212 million 
in 2020, boosting the EBITDA margin from 
22.7% to 35.4%. The increase in EBITDA 
was primarily attributable to higher steel, 
vanadium and coal product sales prices.
Total segment revenues and total segment 
EBITDA include the contribution of 
discontinued operations. Revenues and 
EBITDA from continuing operations are 
US$13,486 million (2020: US$9,452 million) 
and US$3,692million (2020: US$1,830 million) 
respectively.
Free cash flow soared by 121.3% YoY 
to US$2,257 million due to better operating 
results.
In 2021, the Steel segment’s revenues 
(including intersegment sales) rose 
by 46.2% YoY to US$10,188 million, 
which constitutes 66.3% of the Group’s 
total before eliminations. The increase 
was mainly attributable to higher revenues 
from steel and vanadium products, 
which climbed by 45.5% and 47.6% YoY, 
respectively. This was primarily because 
average sales prices advanced by 50.4% 
for steel products and by 38.8% 
for vanadium. The effect of higher prices 
on the Steel segment revenues were partly 
offset by lower sales volumes, which edged 
down from 12.3 million tonnes in 2020 
to 11.6 million tonnes in 2021 following 
planned decrease in production volumes 
at Russian mills.
In 2021, revenues from the Steel, North 
America segment rose by 30.6% YoY 
to US$2,324 million, driven by a 33.6% 
increase in sales prices. The latter 
was offset by a 3.0% reduction in sales 
volumes, primarily in the semi-finished 
and tubular products, but compensated 
by improvements in sales of flat-rolled 
products.
The Coal segment’s revenues increased 
by 55.8% YoY to US$2,321 million, mainly 
driven by an increase of 68.8% in coal 
product sales prices and a decrease 
of 13.0% in sales volumes of coking coal 
products.
In 2021, higher prices for semi-finished, 
construction and vanadium products almost 
doubled the Steel segment’s EBITDA, 
despite an increase in cost of sales.
The Steel, North America segment’s EBITDA 
increased because of higher revenues from 
sales of flat-rolled, construction and railway 
products.
The Coal segment’s EBITDA rose YoY, due 
to higher average realised prices.
Total segment revenues, US$ million
SEGMENT
2021
2020
CHANGE
CHANGE, %
Steel
10,188
6,969
3,219
46.2
Steel, North America
2,324
1,779
545
30.6
Coal
2,321
1,490
831
55.8
Other operations
535
410
125
30.5
Eliminations
(1,209)
(894)
(315)
35.2
TOTAL
14,159
9,754
4,405
45.2
Total segment revenues by region, US$ million
REGION
2021
2020
CHANGE
CHANGE, %
Russia
5,521
3,722
1,799
48.3
Asia
3,684
2,949
735
24.9
Americas
3,016
1,915
1,101
57.5
Europe
946
461
485
n/a
CIS (excl. Russia)
934
584
350
59.9
Africa and rest of the world
58
123
(65)
(52.8)
TOTAL
14,159
9,754
4,405
45.2
Total segment EBITDA1, US$ million
SEGMENT
2021
2020
CHANGE
CHANGE, %
Steel
3,609
1,930
1,679
86.9
Steel, North America
321
(28)
349
n/a
Coal
1,292
400
892
n/a
Other operations
19
15
4
26.6
Unallocated
(146)
(126)
(20)
15.9
Eliminations
(80)
21
(101)
n/a
TOTAL
5,015
2,212
2,803
n/a
1.	 For the definition of EBITDA, please refer to page 290
Effect of Group’s cost-cutting initiatives in 2021, US$ million
Increasing productivity and cost effectiveness
224
Improving auxiliary materials and service costs
71
Procurement efficiency
34
Other
6
TOTAL
335
Nikolay Ivanov
Chief Financial Officer
Management have concluded that the 
demerger of the coal business had 
become highly probable within one year 
and that Raspadskaya Group met all 
criteria to be classified as a disposal held 
for distribution to owners, as discussed 
in more detail in Note 2 and Note 13 
of the EVRAZ consolidated financial 
statements, as at 31 December 2021. 
Consequently, in accordance with the 
requirements of IFRS 5 “Non-current 
Assets Held for Sale and Discontinued 
Operations”, it was accounted for 
as discontinued operations in the 
consolidated financial statements.
During 2021 the Coal business was an 
integral part of the Group and was 
managed on this basis. Due to this the 
analysis presented below is based on the 
data disclosed in the Note 3 “Segment 
information” of the Consolidated financial 
statements and follow the same logic as in 
all previous years.
The reconciliation of these results with the 
amounts presented in the consolidated 
statement of operations is provided in Note 
13. It is limited to the presentation of the 
results of the coal business as discontinued 
operations.
The following table details the effect of the Group’s cost-cutting initiatives:
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Total segment gross profit, expenses and results, US$ million
2021
2020
CHANGE
CHANGE, %
Gross profit
6,020
3,042
2,978
97.9
Selling and distribution costs
(907)
(840)
(67)
8.0
General and administrative expenses
(617)
(552)
(65)
11.8
Impairment of non-financial assets
(30)
(310)
280
(90.3)
Foreign-exchange gains/(losses), net
34
408
(374)
(91.7)
Social and social infrastructure maintenance expenses
(35)
(31)
(4)
12.9
Gains/(losses) on disposal of property, plant and equipment, net
(8)
(3)
(5)
n/a
Other operating income and expenses, net
(44)
(43)
(1)
2.3
Profit from operations
4,413
1,671
2,742
n/a
Interest expense, net
(227)
(322)
95
(29.5)
Share of profit/(losses) of joint ventures and associates
14
2
12
n/a
Gain/(loss) on financial assets and liabilities, net
(21)
(71)
50
(70.4)
Gain/(loss) on disposal groups classified as held for sale, net
2
1
1
100.0
Other non-operating gains/(losses), net
3
14
(11)
(78.6)
Profit before tax
4,184
1,295
2,889
n/a
Income tax expense
(1,077)
(437)
(640)
n/a
NET PROFIT
3,107
858
2,249
n/a
Foreign exchange gains amounted 
to US$34 million. They were mainly 
related to intragroup loans denominated 
in rubles and payable by Evraz Group 
S.A., whose functional currency is the US 
dollar, to the Russian subsidiaries, which 
have the ruble as their functional currency. 
The depreciation of the Russian ruble against 
the US dollar in 2021 led to foreign exchange 
gains being recognised on the income 
statements of non-Russian subsidiaries.
Net interest expense decreased 
to US$227 million in 2021, compared 
with US$322 million in 2020. This was mainly 
due to repayment of expensive debt 
and a lower indebtedness level during 2021. 
In the first quarter of 2021, the Group settled 
the 8.25% notes due 2021 (US$735 million 
principal) and 12.6% ruble-denominated 
bonds due 2021 (US$203 million principal 
at 31 December 2020). Later during 2021, 
the full amount of the 6.75% notes due 2022 
(US$500 million principal) was repurchased 
early.
In the reporting period, the Group had 
an income tax expense of US$1,077 million, 
compared with US$437 million in 2020. 
The change mostly reflects the significant 
improvement in operating results.
Cash flow, US$ million
2021
2020
CHANGE
CHANGE, %
Cash flows from operating activities before changes 
in working capital
4,000
1,593
2,407
151.1
Changes in working capital
(576)
335
(911)
n/a
Net cash flows from operating activities
3,424
1,928
1,496
77.6
Short-term deposits at banks, including interest
4
4
0
0.0
Purchases of property, plant and equipment and intangible 
assets
(910)
(647)
(263)
40.6
Proceeds from sale of disposal groups classified as held 
for sale, net of transaction costs
2
11
(9)
(81.8)
Other investing activities
(1)
8
(9)
n/a
Net cash flows used in investing activities
(905)
(624)
(281)
45.0
Net cash flows used in financing activities
(2,707)
(1,107)
(1600)
n/a
including dividends paid
(1,549)
(872)
(677)
77.6
Effect of foreign exchange rate changes on cash and cash 
equivalents
(12)
7
(19)
n/a
Net increase/(decrease) in cash and cash equivalents
(200)
204
(404)
n/a
Calculation of free cash flow1, US$ million
2021
2020
CHANGE
CHANGE, %
EBITDA
5,015
2,212
2,803
n/a
EBITDA excluding non-cash items2
5,042
2,203
2,839
n/a
Changes in working capital
(576)
335
(911)
n/a
Income tax accrued
(1,007)
(579)
(428)
73.9
Social and social infrastructure maintenance expenses
(35)
(31)
(4)
12.9
Net cash flows from operating activities
3,424
1,928
1,496
77.6
Interest and similar payments
(248)
(269)
21
(7.8)
Capital expenditures, including recorded in financing 
activities and non-cash transactions
(920)
(657)
(263)
40.0
Proceeds from sale of disposal groups classified as held 
for sale, net of transaction costs
2
11
(9)
(81.8)
Other cash flows from investing activities
(1)
7
(8)
n/a
FREE CASH FLOW
2,257
1,020
1,237
n/a
1.	 For the definition of free cash flow, please refer to page 253.
2.	 See Note 3 on pages 202 of the consolidated financial statement for additional information and reconciliation with IFRS financial statements.for additional 
information and reconciliation with IFRS financial statements.
Revenues, cost of sales and gross profit by segment, US$ million
2021
2020
CHANGE
CHANGE, %
Steel segment
Revenues
10,188
6,969
3,219
46.2
Cost of sales
(6,070)
(4,596)
(1,474)
32.1
Gross profit
4,118
2,373
1,745
73.5
Steel, North America segment
Revenues
2,324
1,779
545
30.6
Cost of sales
(1,835)
(1,604)
(231)
(14.4)
Gross profit
489
175
314
n/a
Coal segment
Revenues
2,321
1,490
831
55.8
Cost of sales
(919)
(1,027)
108
(10.5)
Gross profit
1,402
463
939
n/a
Other operations – gross profit
206
115
91
79.1
Unallocated – gross profit
(12)
(8)
(4)
50.0
Eliminations – gross profit
(183)
(76)
(107)
n/a
TOTAL
6,020
3,042
2,978
97.9
In 2021, selling and distribution expenses rose 
by 8.0% amid increased freight transportation 
costs related to higher shipment volumes 
and freight rates. General and administrative 
expenses climbed by 11.8%, mostly because 
of the implementation of projects aimed 
at increasing productivity (EVRAZ Business 
System transformation, legal and IT) 
and consulting services for these projects. 
This was partly offset by the effect that 
depreciation of the average ruble exchange 
rate had on costs.
In 2021, EVRAZ recognised a US$30 million 
impairment loss mainly in relation to certain 
functionally obsolete items of property, plant 
and equipment.
39
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CAPEX AND KEY PROJECTS
During the reporting period, EVRAZ’ capital expenditures rose to US$920 million, compared with US$657 million in 2020, driven by higher 
development expenses. Capital expenditure projects during 2021, indicated in millions of US dollars, can be summarised as follows. 
FINANCING AND LIQUIDITY
EVRAZ began 2021 with total debt 
of US$4,983 million
In January, the Group repaid at maturity 
US$735 million in outstanding principal of its 
Eurobonds due in 2021. In June and August, 
the Group completed several transactions 
to repurchase, in aggregate, US$65 million 
in outstanding principal of its Eurobonds 
due in 2022 and later in October completed 
a make-whole call for the remaining 
US$435 million in outstanding principal 
of these Eurobonds.
In March, the Group repaid, at maturity, 
RUB15,000 million (roughly US$201 million) 
in outstanding principal of its ruble-
denominated bonds due in 2021.
In March, to compensate for the reduction 
in liquidity, EVRAZ drew US$750 million 
under the committed syndicated facility that 
it signed with a group of international banks 
in early 2020.
In February, EVRAZ signed a new credit 
facility with SberBank and borrowed 
US$67 million of the available funds.
In June, EVRAZ signed an amendment to its 
existing US$100 million credit facility with ING 
DiBa, extending its repayment schedule until 
2026 and increasing its size to US$150 million. 
In July, EVRAZ utilised an additional 
US$50 million. In October, the Group 
agreed an amendment to this credit 
facility implementing sustainability-linked 
provisions, namely a pricing mechanism 
linked to the management score component 
of the Sustainalytics ESG rating.
In November, EVRAZ signed a new, 
committed US$350 million credit facility 
with Intesa with an availability period of six 
months from the signing date. The facility 
remained unutilised as at 31 December 2021.
In the process of preparing for a potential 
demerger of its Coal assets, the Group 
obtained necessary creditor approvals, 
including a Eurobond consent solicitation 
from the majority of holders of its Eurobonds 
due in 2022, 2023 and 2024. It also took 
steps to rebalance its debt between the Steel 
and Coal divisions and refinance certain 
outstanding loans.
Raspadskaya received a US$200 million 
long-term loan from Alfa Bank 
and a US$200 million long-term loan from 
SberBank.
Steelmaking subsidiaries of the Group repaid 
a total of around US$619 million of their 
outstanding bank debt of varying maturities 
during 2021.
As a result of these actions, 
as well as scheduled repayments of bank 
loans and leases in 2021, total debt fell 
by US$889 million to US$4,094 million 
as at 31 December 2021.
In 2021, EVRAZ paid three interim dividends 
to its shareholders: US$437 million (US$0.30 
per share) in April, US$292 million (US$0.20 
per share) in June, and US$802 million 
(US$0.55 per share) in September.
On 14 December 2021, EVRAZ announced 
an interim dividend to its shareholders 
of US$292 million (US$0.20 per share), 
payable in January 2022.
Net debt dropped by US$689 million 
to US$2,667 million, compared 
with US$3,356 million as at 31 December 2020.
Interest expense accrued on loans, bonds 
and notes amounted to US$186 million during 
the period, compared with US$291 million 
in 2020. The repayment of the Eurobonds 
due in 2021 and 2022 and ruble bonds due 
in 2021, all of which had high coupon rates, 
together with management’s efforts to reduce 
total debt and refinance indebtedness 
on favourable terms, led to the significant 
reduction of interest expense compared 
with the previous year.
The higher EBITDA amid a strong market 
recovery and lower net debt resulted 
in a significant reduction in the Group’s 
major leverage metric, the ratio of net debt 
to last twelve months (LTM) EBITDA, to 0.5 
as at 31 December 2021, compared with 1.5 
as at 31 December 2020.
As at 31 December 2021, various bilateral 
facilities with a total outstanding principal 
of around US$1,697 million contained financial 
maintenance covenants tested at the level 
of EVRAZ plc, including a maximum net 
leverage and a minimum EBITDA interest 
cover.
New debt facilities of Raspadskaya 
contain financial maintenance covenants 
tested on the consolidated financials 
of Raspadskaya, including a maximum net 
leverage and a minimum EBITDA interest 
cover.
As at 31 December 2021, EVRAZ and its 
subsidiaries were in full compliance 
with the financial covenants.
As at 31 December 2021, cash and cash 
equivalents amounted to US$1,427 million, 
while short-term loans and the current 
portion of long-term loans amounted 
to US$101 million. Cash balances 
and committed credit facilities available 
to the Group (US$623 million) comfortably 
cover upcoming maturities.
Development Projects, US$ million 
Steel segment
Tashtagol iron ore mine upgrade at EVRAZ ZSMK mining site
The project aim is to increase the annual iron ore production of the Tashtagolsky deposit with a partial 
switch to sub-level caving using mobile equipment.
33
Sobstvenno-Kachkanarsky deposit greenfield project
The project aim is to maintain production of raw iron ore.
29
Rail and beam mill modernisation at EVRAZ NTMK
The project aim is to increase production of beams and sheet piles.
14
Construction of Vanadium processing facility at EVRAZ Uzlovaya
The strategic aims of the new unit are to increase cost efficiency in fully controlled and coordinated 
at all stages processing chain from slag to final product.
13
Transfer of direct coke oven gas for cleaning in capture shop no. 3 at EVRAZ NTMK 
The project aim is to decrease air emissions.
11
Reconstruction of pig-casting machines section for blast furnace at EVRAZ NTMK 
Technical re-equipment of the bottling section blast furnace machines.
9
Construction of uncompressed gas recovery turbines for blast furnace no. 7 at EVRAZ NTMK 
The project aim is to increase own electricity generation.
6
Steel, North America segment
Long rail mill at EVRAZ Pueblo
The project aim is to replace the existing rail facility and meet the needs of customers for long rail products.
146
Electric arc furnace (EAF) repowering at EVRAZ Regina
The project aim is to increase EVRAZ Regina’s prime coil and plate production and reduce electrode 
consumption.
7
Coal segment
Acquisition of equipment at Alardinskaya mine
The project aim is to reduce the time required for transition from longwall to longwall and to increase 
annual production volumes to 3.2mt.
17
Acquisition of equipment at Raspadskaya-Koksovaya mine
Equipment for open pit mining.
12
Acquisition of equipment at Osinnikovskaya mine
The project aim is to acquire equipment that fully complies with the mining and geological conditions 
to provide the projected monthly longwall load.
11
Other development projects
95
MAINTENANCE CAPEX
517
TOTAL
920
41
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1.	 Includes billets, slabs, pig iron, pipe blanks and other semi-finished products
2.	 Includes rebars, wire rods, wire, beams, channels and angles
3.	 Includes rails, wheels, tyres and other railway products
4.	Includes commodity plate and other flat-rolled products
5.	 Includes rounds, grinding balls, mine uprights and strips, and tubular products
REVIEW OF OPERATIONS BY SEGMENT
(US$ MILLION)
STEEL
STEEL, NORTH 
AMERICA
COAL
OTHER
2021
2020
2021
2020
2021
2020
2021
2020
Revenues
10,188
6,969
2,324
1,779
2,321
1,490
535
410
EBITDA
3,609
1,930
321
(28)
1,292
400
19
15
EBITDA margin
35.4%
27.7%
13.8%
(1.6)%
55.7%
26.8%
3.6%
3.7%
CAPEX
468
401
216
92
228
154
8
10
Steel segment
Sales review
Steel segment revenues by product
2021
2020
US$ MILLION
% OF TOTAL 
SEGMENT 
REVENUES
US$ MILLION
% OF TOTAL 
SEGMENT 
REVENUES
CHANGE, %
Steel products, external sales
8,842
86.8
6,079
87.2
45.5
Semi-finished products1
3,779
37.1
2,479
35.6
52.4
Construction products2
3,177
31.2
2,013
28.9
57.8
Railway products3
1,083
10.6
1,099
15.8
(1.5)
Flat-rolled products4
237
2.3
146
2.1
62.3
Other steel products5
566
5.6
342
4.9
65.5
Steel products, intersegment sales
28
0.3
37
0.5
(24.3)
Including sales to Steel, North 
America
8
0.1
26
0.4
(69.2)
Iron ore products
234
2.3
146
2.1
60.3
Vanadium products
515
5.1
349
5.0
47.6
Other revenues
569
5.6
358
5.1
58.9
TOTAL
10,188
100.0
6,969
100.0
46.2
Sales volumes of Steel segment, thousand tonnes
2021
2020
CHANGE, %
Steel products, external sales
11,597
12,197
(4.9)
Semi-finished products
5,541
6,039
(8.2)
Construction products
3,905
3,944
(1.0)
Railway products
1,192
1,299
(8.2)
Flat-rolled products
245
267
(8.2)
Other steel products
714
647
10.4
Steel products, intersegment sales
29
67
(56.7)
TOTAL STEEL PRODUCTS
11,626
12,264
(5.2)
Vanadium products (tonnes of pure vanadium)
20,341
18,696
8.8
Vanadium in slag
7,053
6,129
15.1
Vanadium in alloys and chemicals
13,288
12,567
5.7
Iron ore products (pellets)
1,430
1,732
(17.4)
Geographic breakdown of external steel product sales, US$ million
2021
2020
CHANGE, %
Russia
4,263
2,962
43.9
Asia
2,627
2,200
19.4
CIS
682
490
39.2
Europe
596
221
n/a
Africa, Americas and rest of the world
674
206
n/a
TOTAL
8,842
6,079
45.5
In 2021, the Steel segment’s revenues 
climbed by 46.2% YoY to US$10,188 million, 
compared with US$6,969 million in 2020. This 
was the result of higher sales prices, primarily 
for semi-finished products and construction 
products, as well as greater vanadium product 
volumes.
Revenues from external sales of semi-finished 
products rose by 52.4% YoY. This was driven 
by a 60.6% increase in average prices, which 
was partly offset by an 8.2% decline in sales 
volumes. The decrease was attributable to 
change in product mix and a reduction in 
the output following the introduction of 
the export duty in 2021. The primary factor 
was a surge of 90.0% in the average prices 
of slabs.
Revenues from sales of construction products 
to third parties jumped by 57.8% YoY amid 
an increase of 58.8% in average prices. This 
was caused mainly by higher sales prices 
for rebars on the Russian and CIS markets, 
greater beam sales prices, as well as higher 
sales prices for channels, primarily 
on the Russian market.
Revenues from external sales of railway 
products decreased because of reductions 
of 8.2% in sales volumes, which was partly 
offset by a 6.7% increase in sales prices. 
The drop in sales volumes was caused 
mostly by lower sales of rails amid reduced 
demand in Russia and the CIS.
External revenues from flat-rolled products 
surged by 62.3% YoY, driven by a 70.5% 
upswing in sales prices.
Revenues from external steel product sales 
in Russia climbed by 43.9% YoY, primarily 
because of higher prices and greater 
demand. The share of the Russian market 
in total external steel product sales decreased 
from 48.7% in 2020 to 48.2% in 2021. Asia’s 
share of sales fell from 36.2% to 29.7% 
because of lower sales volumes for billets.
Steel segment revenues from sales of 
iron ore products, including intersegment 
sales, surged by 60.3%, driven by an 77.7% 
jump in sales prices and a 17.4% decline in 
sales volumes. The main decrease in sales 
volumes was caused by a shortage of iron 
ore, unplanned equipment downtimes and 
logistics restrictions.
During the reporting period, around 68.1% 
of EVRAZ’ iron ore consumed in steelmaking 
came from its own operations, compared 
with 63.2% in 2020.
Steel segment revenues from sales 
of vanadium products, including 
intersegment sales, climbed by 47.6%, due 
primarily to a 38.8% increase in sales prices. 
Vanadium product prices followed market 
trends, including the London Metal Bulletin 
and Ryan’s Notes benchmarks.
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1.	 Primarily includes goods for resale, intersegment unrealised profit and certain taxes, semi-finished products and allowances for inventories
2.	 Includes slabs
3.	 Includes beams and rebars
4.	Includes rails and wheels
5.	 Includes commodity plate, specialty plate and other flat-rolled products
6.	 Includes large-diameter line pipes, ERW line pipes, seamless and welded OCTG and other steel products
7.	 Includes scrap and services
Steel segment cost of revenues
2021
2020
US$ MILLION
% OF SEGMENT 
REVENUES
US$ MILLION
% OF SEGMENT 
REVENUES
CHANGE, %
Cost of revenues
6,070
59.7
4,596
65.9
32.1
Raw materials
3,150
30.9
2,025
29.1
55.5
Iron ore
776
7.6
503
7.2
54.3
Coking coal
1,218
12.0
769
11.0
58.4
Scrap
673
6.6
442
6.3
52.3
Other raw materials
483
4.7
311
4.5
55.3
Auxiliary materials
328
3.2
339
4.9
3.2
Services
266
2.6
241
3.5
10.4
Transportation
380
3.7
407
5.8
(6.6)
Staff costs
518
5.1
477
6.8
8.6
Depreciation
256
2.5
233
3.3
9.9
Energy
416
4.1
398
5.7
4.5
Other1
756
7.4
476
6.8
58.8
In 2021, the Steel segment’s cost of 
revenues increased by 32.1% YoY. The main 
reasons for the growth in costs were as 
follows:
	• The cost of raw materials rose by 55.5%, 
primarily because of the higher cost 
of coking coal (up 58.4%) and iron ore 
(54.3%) amid price increases. Scrap costs 
climbed by 52.3% because of higher 
prices for scrap, which was driven by 
global market trends.
	• Service costs rose by 10.4%, primarily 
driven by higher costs for processing 
costs of vanadium in slag.
	•  Transportation costs dropped by 6.6%, 
primarily because of lower railway tariffs.
	•  Depreciation costs increased by 9.9%, 
mainly because of higher depreciation 
at EVRAZ NTMK after fixed assets were 
upgraded to improve their technical 
condition.
	• Other costs jumped by 58.8%, largely 
because of increase in taxes due to 
export duty on metal products effective 
from 1 August 2021 and lower cost of 
goods for resale amid an increase in 
purchase prices in 2021 compared with 
2020.
Steel segment gross profit
The Steel segment’s gross profit surged 
by 73.5% YoY and amounted to US$4,118 
million in the reporting period driven 
primarily by higher prices for semi-finished, 
construction and vanadium products. This 
was partly offset by the negative effect 
of higher costs.
Steel, North America segment revenues by product
2021
2020
US$ MILLION
% OF TOTAL 
SEGMENT 
REVENUES
US$ MILLION
% OF TOTAL 
SEGMENT 
REVENUES
CHANGE, %
Steel products
2,227
95.8
1,684
94.7
32.2
Semi-finished products2
10
0.4
109 
6.1
(90.8)
Construction products3
268
11.5
183 
10.3
46.4
Railway products4
392
16.9
326 
18.3
20.2
Flat-rolled products5
900
38.7
323 
18.2
178.6
Tubular and other steel products6
657
28.3
743 
41.8
(11.6)
Other revenues7
97
4.2
95
5.6
2.1
TOTAL
2,324
100.0
1,779
100.0
30.6
Sales volumes of Steel, North America segment, thousand tonnes
2021
2020
CHANGE, %
Steel products
Semi-finished products
-
144
(100.0)
Construction products
268
262
2.3
Railway products
383
404
(5.2)
Flat-rolled products
625
382
63.6
Tubular and other steel products
402
537
(25.1)
TOTAL
1,678
1,729
(2.9)
The Steel, North America segment’s 
revenues from the sale of steel products 
climbed by 32.2% YoY amid a 35.3% surge 
in sales prices, offset by a 2.9% decrease 
in sales volumes. The reduction in volumes 
was mainly attributable to sales of tubular 
and semi finished products, which was 
partly compensated by increased sales of 
flat-rolled and construction products. 
Revenues from semi-finished product 
sales dropped to almost zero following 
the fulfilment of a contract with a key 
customer in 2020.
Revenues from construction product 
sales rose by 46.4% YoY because 
of a 2.3% increase in volumes and a 44.1% 
improvement in prices. The upward trend 
was driven by greater market demand amid 
the economic recovery.
Railway product revenues increased 
by 20.2%, driven by a growth in sales 
prices of 25.4%. This was partly offset 
by a decrease in sales volumes of 5.2%.
Revenues from flat-rolled products soared 
by 178.6% amid a 63.6% jump in volumes. 
This was supported by rapid market 
improvement and a 115.0% increase in sales 
prices as a result of higher third-party 
demand in 2021 amid the rapid market 
recovery from the pandemic and limited 
supply.
Revenues from tubular and other steel 
product sales fell by 11.6% YoY due to a 
25.1% drop in sales volumes, which was 
partly offset by an 13.5% uptick in sales 
prices. The reduction in volumes was 
caused by the idling of the spiral mills 
following the completion of 2020 orders.
Steel segment cost of revenues
Steel, North America segment
Sales review
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1.	 Primarily includes transportation, goods for resale, certain taxes, changes in work in progress and fixed goods and allowances for inventories
Steel, North America segment cost of revenues
2021
2020
US$ MILLION
% OF SEGMENT 
REVENUES
US$ MILLION
% OF SEGMENT 
REVENUES
CHANGE, %
Cost of revenues
1,835
79.0
1,604
90.1
14.4
Raw materials
888
38.2
454
25.5
95.6
Semi-finished products
137
5.9
238
13.4
(42.4)
Auxiliary materials
202
8.7
172
9.7
17.4
Services
135
5.8
145
8.2
(6.9)
Staff costs
240
10.3
240
13.5
-
Depreciation
89
3.8
100
5.6
(11.0)
Energy
119
5.1
90
5.1
32.2
Other1
25
1.1
165
9.3
(84.8)
In 2021, the Steel, North America segment’s 
cost of revenues increased by 14.4% YoY. 
The main drivers were as follows:
	• Raw material costs surged by 95.6%, 
which was primarily attributable to the 
higher cost of scrap metal and increased 
consumption due to transition to increased 
share of internal supply of semi-finished 
products.
	• The cost of semi-finished products 
dropped by 42.4% driven by a reduction 
of externally purchased materials and 
transition to internal supply.
	• Auxiliary material costs rose by 17.4% 
following a change in classification (lime 
and coke to auxiliary materials, which 
were previously included in other raw 
materials).
	• Service costs fell by 6.9%, mainly driven 
by decline in coating services due to 
decreased pipe sales volumes.
	• Energy costs rose by 32.2%, primarily 
because of higher natural gas prices.
	• Other costs were down for the reporting 
period, mainly because of changes 
in balances of finished goods and work 
in progress compared with 2020 amid 
higher production and prices, which 
were driven by global market trends.
Steel, North America segment 
gross profit
The Steel, North America segment’s gross profit 
totalled US$489 million in the reporting period, 
up from US$175 million in 2020. The increase 
was primarily driven by a significant growth 
in revenues amid favourable market conditions. 
It was partly offset by higher prices for raw 
materials, auxiliary materials and energy.
Coal segment revenues by product
2021
2020
US$ MILLION
% OF TOTAL 
SEGMENT REVENUES
US$ MILLION
% OF TOTAL 
SEGMENT REVENUES
CHANGE, %
External sales
Coal products
1,531
65.9
929
62.4
64.8
Coking coal
95
4.1
74
4.9
28.4
Coal concentrate
1,436
61.9
853
57.3
68.3
Steam coal
-
-
2
0.2
(100)
Intersegment sales
Coal products
762
32.8
536
35.9
42.2
Coking coal
184
7.9
101
6.8
82.2
Coal concentrate
578
24.9
435
29.2
32.9
Other segment revenues
28
1.2
25
1.7
12.0
TOTAL
2,321
100
1,490
100.0
55.8
Sales volumes of Coal segment, thousand tonnes
2021
2020
CHANGE, %
External sales
Coal products
10,608
12,336
(14.0)
Coking coal
686
2,233
(69.3)
Coal concentrate and other products
9,922
10,066
(1.4)
Steam coal
37
n/a
Intersegment sales
Coal products
6,197
6,986
(11.3)
Coking coal
2,172
2,323
(6.5)
Coal concentrate
4,025
4,663
(13.7)
TOTAL, COAL PRODUCTS
16,805
19,322
(13.0)
In 2021, the Coal segment’s overall revenues 
increased as sales prices rose in line 
with global market trends. As the global 
market recovered from the pandemic-
related decline seen in 2020, demand 
for coal grew. Production restrictions 
observed since the second half of 2021 in key 
global producing regions also contributed 
to the strong increase in international prices.
Revenues from external sales of coal products 
increased amid a 78.8% upswing in prices. This 
was partly offset by an 14.0% decrease in sales 
volumes because of lower production of the 
GZh grade and a change in the product mix 
in favour of coking coal concentrate to meet 
customer needs. Revenues from external sales 
of coking coal and coking coal concentrate 
climbed by 28.4% and 68.3%, respectively, 
amid higher prices.
Revenues from internal sales of coal products 
surged by 42.2%, mainly because of a 53.5% 
jump in sales prices, which was partly offset 
by an 11.3% drop in sales volumes amid 
a shortage of premium K-grade coal.
In 2021, the Coal segment’s sales to the Steel 
segment amounted to US$762 million (32.8% 
of total sales), compared with US$536 million 
(35.9%) in 2020.
During the reporting period, roughly 
70.7% of EVRAZ’ coking coal consumption 
in steelmaking came from the Group’s own 
operations, compared with 78.0% in 2020.
Steel, North America segment cost of revenues
Coal segment
Sales review
Coal segment cost of revenues
2021
2020
US$ MILLION
% OF SEGMENT 
REVENUES
US$ MILLION
% OF SEGMENT 
REVENUES
CHANGE, %
Cost of revenues
919
39.6
1,027
68.9
(10.5)
Auxiliary materials
141
6.1
110
7.4
28.2
Services
65
2.8
53
3.5
22.6
Transportation
286
12.3
294
19.7
(2.7)
Staff costs
226
9.7
200
13.4
13.0
Depreciation
164
7.1
163
10.9
0.6
Energy
46
2.0
43
2.9
7.0
Other1
(9)
(0.4)
164
11.0
(105.5)
The volume of total coal products sales 
decreased by 13% and caused decrease 
of cost of sales by 10.5% while cost 
of production increased due to increase 
of production as well as the following 
factors:
	• The cost of auxiliary materials rose 
by 28.2% amid higher longwall 
move costs at the Alardinskaya, 
Osinnikovskaya, Erunakovskaya 
and Raspadskaya mines.
	• Costs for services climbed by 22.6% 
due to the high growth of the prices 
of contractors services in Kuzbass 
region.
	• Staff costs were up because of higher 
mining volumes accompanied 
with insourcing new equipment 
and resumption of work at Razrez 
Raspadsky.
Coal segment gross profit
In 2021, the Coal segment’s gross profit 
amounted to US$1,402 million, up from 
US$463 million a year earlier, primarily 
because of the surge in sales prices.
Coal segment cost of revenues
1.	 Primarily includes goods for resale, certain taxes, changes in work in progress and finished goods, allowance for inventory, raw materials and intersegment unrealised 
profit
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STEEL SEGMENT
EVRAZ is the leader in the long 
products and rail segments in Russia 
and is the world’s largest producer 
of vanadium, with a global market 
share of 14%. The Steel segment’s 
primary focus is producing steel in 
the CIS from nearby raw materials 
to serve regional infrastructure 
and construction sectors, while 
maintaining export flexibility. We 
are in the first quartile of the 
global crude steel cost curve.
Production highlights
Sales highlights2
Financial highlights
Crude steel  
11,690 kt
Steel products  
10,763 kt
Iron ore products  
14,399 kt
Vanadium slag  
20,058 mtV
Finished products 
6,056 kt
Semi-finished products 
5,541 kt
Iron ore products 
1,430 kt
Vanadium final products 
13,288 mtV
Revenues 
US$10,188 m
EBITDA 
US$3,609 m
EBITDA margin 
35.4 %
CAPEX 
US$468 m
BUSINESS  
	 	 REVIEW
1.	 Former Evrazruda
Steelmaking operations
EVRAZ ZSMK, Russia
The largest steel producer in Siberia, EVRAZ 
ZSMK is located in the city of Novokuznetsk 
in Kemerovo region (Kuzbass). It has five 
coke oven batteries and three blast furnaces 
in operation. For steelmaking, it has two 
oxygen converter shops, which have five 
basic oxygen furnaces, and an electric arc 
furnace (EAF). EVRAZ ZSMK operates one 
eight-strand continuous casting machine, 
which produces square billets; a two-strand 
continuous slab casting machine; and one 
four-strand continuous casting machine, 
which makes semi-finished products for 
the rail mill. Rolling facilities include a 
blooming mill, one medium-section 450 
mill, two small-section 250 mills, one rail 
and structural steel mill, one sectional mill 
and two ball-rolling mills. The steel mill has 
its own coal washing plant for coking coal 
and can also produce customised coking 
coal blends.
Vanadium operations
EVRAZ Vanady Tula, Russia
EVRAZ Vanady Tula is the largest European 
producer of vanadium pentoxide, 
ferrovanadium-50 and ferrovanadium-80, 
which are alloy additions used to 
manufacture extra-high-strength steel for 
various applications and titanium alloys. 
It is located in Tula, 180 kilometres from 
Moscow. The site’s production and scientific 
resources make it possible to process 
any vanadium-containing materials into a 
wide range of products. EVRAZ Vanady 
Tula uses low-cost, efficient technology to 
process vanadium slag from EVRAZ NTMK.
EVRAZ Nikom, Czech 
Republic
Located 30 kilometres from Prague, 
EVRAZ Nikom produces ferroalloys 
and corundum material. It converts 
the vanadium oxide produced by EVRAZ 
Vanady Tula into ferrovanadium, 
the major vanadium product used 
by the steel industry to increase strength 
and hardness.
EVRAZ East Metals
A Switzerland-based trading company, 
East Metals AG is EVRAZ’ sole distribution 
channel outside the CIS. Its main exports 
include semi-finished steel products 
(slab and square billet), long finished 
products (rail, beam, wire rod and rebar), 
pig iron, coking coal, vanadium products 
and iron ore pellets. It has a wide 
network of agencies and representative 
offices (including in China, Hong Kong, 
Indonesia, Japan, the Philippines, South 
Korea, Taiwan, Thailand and Turkey), 
which ensures proximity to clients in key 
markets.
Mining operations
EVRAZ KGOK, Russia
EVRAZ KGOK is the Group’s core mining 
asset. It is located in Urals, 140 kilometres 
from the primary consumer of its products, 
EVRAZ NTMK. EVRAZ KGOK mines 
titanomagnetite iron ore, which contains 
vanadium, meaning that it can be used to 
produce high-strength grades of alloy steel. 
EVRAZ KGOK mines ore from three open 
pits and then processes it in its crushing, 
processing, sintering and pelletising plants. 
The final product, in the form of sinter and 
pellets, is shipped by railcar to consumers, 
including those abroad.
EVRAZ ZSMK mining 
operations1, Russia
EVRAZ ZSMK include several mining and 
processing facilities in Siberia. Most of 
the iron ore that it produces is consumed 
internally by its steelmaking operations. 
It conducts underground mining, and its 
mining complex includes three mines, a 
limestone quarry, and a concentration and 
sinter plant.
EVRAZ NTMK, Russia
EVRAZ NTMK is one of the largest 
integrated steel production plants in 
Russia and has a full processing cycle. It 
is located in the city of Nizhniy Tagil in 
the Ural region. It has coke and chemical 
production facilities, two blast furnaces, 
steelmaking units (one oxygen converter 
shop consisting of four LD converters), 
four continuous casters, seven rolling 
mills, and a heat and power generation 
plant.
EVRAZ Caspian Steel, 
Kazakhstan
EVRAZ Caspian Steel is located in 
Kostanay, Kazakhstan. It has a light-
section rolling mill.
Trading companies
EVRAZ Market
EVRAZ Market is a leading Russian 
provider of steel for infrastructure projects 
and a trader supplying rebar, profile, flat, 
tubular and rolled steel from major plants 
in the CIS. Its major presence in various 
regions of Russia is supported by a branch 
network that includes 48 subdivisions, 
and its branches are located in industrial 
centres across the country, as well as 
in Kazakhstan. Each subdivision’s product 
range is tailored to local demand. In 
addition, it has a pool of 120 metal 
processing machines, which enables it to 
offer HVA products.
Trading Company EVRAZ
Trading Company EVRAZ is Russia’s 
largest supplier of rolled steel and sells 
EVRAZ products domestically and in 
the CIS. It focuses on products for the 
construction, engineering, transportation 
(rails, wheels and specialist products), 
mining and pipe-making sectors.
EVRAZ 
KGOK
EVRAZ 
Nikom
EVRAZ 
ZSMK
EVRAZ 
NTMK
EVRAZ 
Vanady Tula
EVRAZ 
Caspian Steel
KAZAKHSTAN
RUSSIA
CZECH 
REPUBLIC
Moscow
2.	 Sales to third parties only.
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Production highlights
Sales highlights1
Financial highlights
Crude steel  
1,879 kt
Steel products  
1,655 kt
Steel products 
1,678 kt
Revenues 
US$2,324 m
EBITDA 
US$ 321  m
EBITDA margin 
13.8 %
CAPEX 
US$ 216 m
1.	 Sales to third parties only
EVRAZ Portland
EVRAZ Portland in Oregon has a Steckel 
rolling mill, a plate quench and tempering 
facility, and two HSAW pipe mills. The 
rolling facility is the only plate mill on the 
West Coast and has deep-water access 
to the Pacific Ocean, as well as access to 
Class I railways and trucking routes serving 
North America. Finished products include 
hot-rolled carbon and alloy steel plate, hot-
rolled coil, heat-treated plate, shot-blasted 
and primed plate, temper-passed cut-to-
length plate and plate coil.
EVRAZ Regina
Located in Saskatchewan, EVRAZ Regina is 
the largest steelmaker in Western Canada. 
It operates two EAFs, a ladle furnace and 
a continuous variable-width slab caster, 
and a Steckel mill capable of rolling coil 
and plate with a width of up to 72 inches. 
EVRAZ Regina produces carbon steel slabs, 
flat-rolled discrete plate and coiled plate. 
Its tubular operations consist of a 24-inch 
Electric Resistance Welded (ERW) line pipe 
mill, a 2-inch ERW pipe mill (for OCTG 
welding), five helical submerged arc-welded 
(HSAW) mills and an ID/OD coating facility, 
which produces LDP for oil, natural gas and 
LNG transportation. EVRAZ Regina’s tubular 
mills are important suppliers to the North 
American energy markets, serving leading 
energy producers and midstream operators 
in both Canada and the US.
Recycling
EVRAZ Recycling
EVRAZ Recycling is the largest metal 
scrap recycler in Western Canada, with 
13 facilities across the prairies, as well as 
three facilities in the US, located in North 
Dakota and Colorado. EVRAZ Recycling 
buys, processes and sells a wide range 
of ferrous and nonferrous materials, while 
also offering a variety of metal recycling 
and other services, including auto 
wrecking yards that provide low-cost parts 
on a self-serve basis.
EVRAZ 
Regina
EVRAZ 
Pueblo
EVRAZ 
Camrose
EVRAZ 
Calgary
EVRAZ 
Portland
EVRAZ 
Red Deer
CANADA
USA
EVRAZ is a leading North 
American producer of high-
quality, engineered steel for 
rail, energy and industrial end-
user markets. The segment is the 
largest producer of rail and large-
diameter pipe (LDP) in North 
America. Its operations also lead 
in Western Canada’s oil country 
tubular goods (OCTG) and small-
diameter line pipe (SDP) markets, 
as well as in the US West Coast 
plate market.
STEEL, NORTH AMERICA 
SEGMENT
EVRAZ Calgary
EVRAZ Calgary has an ERW pipe mill and 
heat treatment, API threading and finishing 
lines for OCTG casing with an external 
diameter of up to 9 5/8 inches. The site 
also operates ERW tubing finishing facilities 
comprising pipe upsetting, threading, testing 
and inspection. EVRAZ Calgary’s products 
are primarily used in oil and gas exploration 
and production in Canada and the US.
EVRAZ Camrose
EVRAZ Camrose operates an ERW pipe mill 
and a finishing line, capable of producing 
SDP and carbon OCTG casing with an 
external diameter of up to 16 inches. Its 
products are primarily used in oil and natural 
gas drilling, transportation and distribution, 
as well as in the transportation of other 
substances such as carbon dioxide.
EVRAZ Pueblo
EVRAZ Pueblo in Colorado has three 
rolling mills: a rail mill; a seamless pipe 
mill that produces OCTG products for use 
in oil and gas production; and a wire rod 
and coiled reinforcing bar mill. It also 
operates one EAF and a billet caster that 
supplies round billets to the hot rolling 
mills. In addition, EVRAZ Pueblo owns 
and operates the Colorado and Wyoming 
railway. This short-line route serves 
the Group’s mills and connects the site 
to both the Burlington Northern Santa Fe 
and the Union Pacific railway lines, thereby 
reducing delivery costs to these customers.
Steelmaking and rolling – USA
Steelmaking and rolling – Canada
EVRAZ Red Deer
EVRAZ Red Deer has an ERW pipe mill 
producing OCTG casing and SDP with an 
outside diameter of up to 13 3/8 inches. 
The site includes a casing heat treatment 
line, API and premium threading lines, and 
separate OCTG casing and SDP finishing 
line.
EVRAZ Edmonton Coupling 
Machining
EVRAZ Edmonton Coupling Machining 
specialises in manufacturing API couplings 
with an outside diameter of up to 9 5/8 
inches. Couplings produced at ECM are 
supplied to EVRAZ’s Calgary and Red 
Deer OCTG casing and tubing operations.
Chicago
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Production highlights
Sales highlights1
Financial highlights
Raw coking coal 
23,272 kt
Coking coal concentrate  
14,448 kt
Raw coking coal 
686 kt
Coking coal concentrate  
9,922 kt
Revenues 
US$2,321 m
EBITDA 
US$1,292  m
EBITDA margin 
55.7 %
CAPEX 
US$228 m
1.	 Sales to third parties only
Mezhdurechensk site
Raspadskaya has two operational 
underground coking coal mines and two 
open pits in Mezhdurechensk, including 
the Raspadskaya mine, Russia’s largest. 
The site produces hard coking coal 
(K and OS grades), semi-hard coking 
coal (GZh grade) and semi-soft coking 
coal (GZhO grade). Its coal washing plant 
is one of the most modern in Russia. It has 
low maintenance costs and is designed 
to process high volumes with few 
employees.
Mezhegeyugol
Raspadskaya
Yuzhkuzbassugol
Raspadskaya is one of the leading 
coal producers in Russia in terms 
of both volume and cash costs. 
It also has a diverse product 
portfolio and diversified client 
base.
COAL SEGMENT
Novokuznetsk site
Raspadskaya has five coking coal mines 
in Novokuznetsk. They produce hard 
and semi-hard coking coal (Zh, GZh 
and KS grades), which is processed 
into high-quality concentrate (classified 
as HCC grade internationally). Most of this 
comes from the Yerunakovskaya-8 mine. 
At the Novokuznetsk site, Raspadskaya 
has two coal washing plants, which 
produce customised coking coal blends 
and pulverised coal injection (PCI) 
coal. The Kuznetskaya washing plant 
produces high-quality HCC concentrate 
for the domestic market. The Abashevskaya 
washing plant produces a wide variety 
of products tailored to specific customers’ 
needs.
Mining and coal washing operations
Mezhegey
In the beginning of 2020, the decision 
was made to halt production 
at the Mezhegey mine. Subsequently, 
in December 2021 the decision was made 
to resume mining operations in 2022.
RUSSIA
Raspadskaya consolidates EVRAZ’ Russian coal assets, which are located in the Kemerovo region and the Republic of Tuva (Russia).
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SUSTAINABILITY
SUSTAINABILITY MANAGEMENT
Lost-time injury frequency rate1, X
Fatalities1, number of people
GHG intensity ratio1, tCO2/tcs
Key air emissions1, kt
Wastewater discharges1, million m3
Non-mining waste recycling 
or re-use rate1, %
ESG highlights, Steel segment
Sustainability governance
In December 2021, the Board 
of Directors of EVRAZ established 
the Sustainability Committee – 
an expansion of the previous Health, 
Safety and Environment Committee – 
to drive the Group’s sustainability agenda. 
Prior to that, in August 2021, we created 
a separate sustainability-focused body 
at the management level to supervise 
and monitor the performance of corporate 
functions in this area. Read more 
on pages 58-60 in the Health and safety, 
and environment section.
EVRAZ has internal corporate documents 
in place governing its activities in the area 
of sustainability and requires strict compliance 
throughout the business. We regularly 
review and update both the requirements 
and the documents themselves to ensure that 
they remain aligned with our sustainability 
agenda. The following are the most important 
documents for the Group:
	• Code of Business Conduct.
	• Supplier Code of Conduct.
	• Health, Safety and Environmental Policy.
	• Social Investments Guidelines.
	• Anti-Corruption Policy.
	• Hotline Policy.
	• Policy on Main Procurement Principles.
	• Human Rights Policy.
	• Diversity and Inclusion Policy.
	• Modern Slavery Statement.
Best practices and standards
EVRAZ strives to adhere to international 
standards across its operations. We 
have been a participant in the UN 
Global Compact initiative since 2020. 
Consistent with the Group’s commitment 
to transparency, we make comprehensive 
ESG disclosures in our annual 
and sustainability reports and published our 
first climate change report in 2020. We align 
our reporting with the recommendations of 
international standards-setting organisations, 
such as the Global Reporting Initiative (GRI) 
and  Sustainability Accounting Standards 
Board (SASB).
0.85x
 
0.74x
0.74x 
2020
2021
116.47
122.46
 
105.43
105.43 kt
2020
2019
2021
1.95
1.94
 
1.90
1.90
2020
2019
2021
1
7
 
6
6
2020
2019
2021
81.05
81.76
 
74.32
74.32
2020
2019
2021
68.58 
68.90 
12.47
12.86
63.48 
10.84
Steel
Mining - Ore
103.1
105.6
 
105.4
105.4
2020
2019
2021
Read more on   page 62
Read more on   page 70
Read more on   page 68
Read more on   page 69
Read more on   page 61
Read more on   page 61
Our approach
At EVRAZ, we believe that sustainable development 
plays a vital role in our success. To maintain focus 
on this important area, we have made ESG one 
of the key bases of our business.
Steel is a crucial material in the transition towards 
a circular, low-carbon economy. We recognise 
our responsibility to produce it in a way that 
minimises the impact on the environment while 
responding to the needs of our stakeholders. We 
are looking at more than just our carbon footprint. 
We want to address all the ways in which we 
can improve on how we use the world's natural 
resources, maintain close ties with our employees, 
communities, and other stakeholders, and align our 
business with sustainable shareholder returns.
We aim to navigate sustainable development 
challenges in current and future operations 
and business processes across the Group 
by focusing on:
	• Combatting climate change: mitigating climate 
risks and reducing GHG emissions to contribute 
to urgent action against climate change impacts.
	• Environmental protection: taking responsibility 
for preserving the natural environment 
in the regions of our presence.
	• Employee wellbeing: providing safe working 
conditions, extensive learning and development 
opportunities, and competitive compensation 
packages.
	• Diversity: promoting equal opportunities and zero 
tolerance of discrimination of any kind.
	• Local community development: supporting 
the sustainable social and economic development 
of the regions in which we operate.
1.	 Data on this indicator does not include EVRAZ coal segment.
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The climate-related disclosure is discussed 
in Task Force on Climate-related Financial 
Disclosures (TCFD) compliance statement.
 see page ХХ 
The Group determines relevant climate-
related risks for the short, medium and long 
term in line with TCFD recommendations. 
Risks are categorized as transition or physical. 
EVRAZ has evaluated climate-related risks 
and ranked them by importance.
Read more  on pages 92-96
In 2022, the Group intends to carry out 
a quantitative assessment of climate-
related risks. These risks are integrated 
into the corporate risk management system, 
and EVRAZ has a strategy for mitigating 
them. 
Read more  on pages 84-96 
in the Principal risks section
EVRAZ fully supports the UN Sustainable Development Goals (SDGs), which the UN General Assembly 
approved in 2015. We make substantial efforts to contribute to the achievement of all SDGs, including by 
providing quality employee benefits, promoting green technologies and encouraging the implementation 
of sustainability projects, among other initiatives. As part of our ESG agenda, we focus our efforts on 
contributing to the following six priority SDGs: 
We ensure healthy lives and promote 
wellbeing for all.
Read more   pages 58-70 in the Health, safety and 
environment section
Our core values include environmental protection, 
including water resource management and biodiversity loss 
prevention.
Read more   pages 67-70 in the Environmental management section
We prioritise energy efficiency and 
combating climate change.
Read more   pages 62-66 in the Climate change 
and GHG emissions section
We promote diversity and inclusion and do not tolerate 
discrimination in any form.
Read more   pages 71-73 in the Our people section
We also strive to contribute 
to the achievement of the SDGs 
through our membership in key industry 
and business associations and our 
collaboration with various institutes. In 2021, 
EVRAZ was a member of the following 
organisations:
	• Russian Managers Association.
	• Russian Union of Industrialists 
and Entrepreneurs.
	• Association of Industrialists of Mining 
and Metals Production Sector of Russia.
	• World Steel Association.
	• Russian Steel Association.
	• Non-Commercial Partnership National 
Association for Subsoil Use Auditing.
	• American Railway Engineering 
and Maintenance-of-Way Association.
	• Consumer Council on Operations 
of OJSC Russian Railways.
	• Steel Construction Development 
Association.
	• Russian Union of Metal and Steel 
Suppliers.
	• Canadian Chamber of Commerce.
	• Saskatchewan Chamber of Commerce.
	• Canadian Manufacturers and Exporters 
organisation.
	• Canadian Steel Producers Association.
	• American Iron and Steel Institute.
	• Donors Forum.
	• Association of American Railroads.
TCFD disclosure
Disclosure of information regarding climate 
change follows TCFD recommendations 
and is broken down according to several 
categories: governance, strategy, risk 
management, and metrics and targets. 
The Board of Directors oversees matters 
related to climate change, including 
by setting GHG emissions targets, 
as well as by assessing and managing 
transition and physical climate risks. Climate 
is also within the remit of the Sustainability 
Committee.
The Group’s Environmental Strategy 2030 
names GHG emissions management as 
one of a key activity. EVRAZ sets GHG 
emissions targets within this strategy 
and discloses the methodologies used 
to calculate them to better comply with 
international requirements.
Read more  on pages 62-66 in the Climate change 
and GHG emissions section
Stakeholder engagement
We are closely engaged with our 
stakeholders and recognise their rising 
expectations, especially regarding 
decarbonising our operations in alignment 
with the Paris Agreement, adhering 
to sustainability standards across the supply 
chain, protecting the health and wellbeing 
of our employees and local communities, 
and promoting diversity.
The Group’s key stakeholders 
are employees, investors and shareholders, 
customers, suppliers and contractors, local 
communities, regulatory bodies, the media 
and industry organisations. We strive 
to deliver value to all our stakeholders 
and improve engagement strategies 
regularly. Our stakeholder engagement 
includes a wide range of interactive tools 
and mechanisms. We rely on transparency 
and open communication when reaching 
out to our stakeholders and intend to do so 
in future.
Responsible supply chain 
management
Our approach to engaging suppliers 
is regulated by EVRAZ Policy on Main 
Procurement Principles and the Supplier 
Code of Conduct. We are dedicated 
to integrating sustainability concepts 
into not just our internal operations 
and processes, but also into those 
of the Group’s broader network of partners. 
EVRAZ encourages potential partners 
to adhere to our sustainability values 
by developing standards for suppliers. 
To evaluate suppliers, we conduct field 
inspections and audits and collect 
feedback from supplier representatives. 
Our Procurement Commission verifies 
information included in forms filled 
by representatives regarding their 
commitment to a responsible approach 
to HSE issues throughout the assessment 
phase for prospective suppliers. Non-
compliance with HSE requirements is one 
of the reasons EVRAZ would reject 
a partnership. The Group strives to establish 
favourable circumstances for the socio-
economic growth of the regions in which it 
operates and collaborates actively with local 
suppliers.
Mid-term outlook
EVRAZ aims to continuously improve its 
sustainability management practices. Our 
nearest and mid-term plans include major 
projects in the following areas:
Health and safety
	• Revising the operational model 
for safety management at our 
production to standardise and specify 
all the innovations implemented 
in the Company for 2020-2021.
Climate change and GHG emissions
	• Calculation of Scope 3 GHG emissions.
	• Carrying out a quantitative assessment 
of climate-related risks.
	• Continuing to develop a climate strategy.
	• Updating accounting and monitoring 
practices for energy consumption.
	• Undertaking investments 
and operational measures aimed 
at improving energy efficiency, 
developing internal power generation 
capacity, using renewable energy 
sources and upgrading equipment.
Environmental management
	• Continuing to implement waste 
management, water conservation 
and emissions reduction projects.
	• Implementing our biodiversity roadmap.
Our people
	• Revising our human resources strategy.
	• Implementing a supportive learning 
structure for production managers 
aimed at developing new skills 
for external change management.
	• Developing a long-term planning 
programme to forecast our needs 
as an employer and enhance 
the channels that we use to attract new 
workers.
Community relations
	• Improving partnerships with local 
communities in a variety of ways, 
including upgrading urban 
infrastructure, financing sport events, 
and implementing educational 
and social projects.
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HEALTH, SAFETY AND ENVIRONMENT
HSE GOVERNANCE STRUCTURE
1.	 Appointed in January 2022
AUDIT COMMITTEE
CORPORATE STRATEGY 
AND PERFORMANCE 
MANAGEMENT VICE 
PRESIDENT
ENERGY AND CLIMATE 
MANAGEMENT 
DIRECTOR1
HSE REPRESENTATIVES AT ALL EVRAZ OPERATIONS
HEALTH AND SAFETY 
DIRECTOR
INDUSTRIAL SAFETY 
DIRECTOR
ENVIRONMENTAL 
MANAGEMENT 
DIRECTOR
HSE VICE PRESIDENT
TECHNOLOGIES 
DEVELOPMENT VICE 
PRESIDENT
RISK MANAGEMENT 
WORKING GROUP
SUSTAINABILITY MANAGEMENT COMMITTEE
CEO
BOARD OF DIRECTORS
SUSTAINABILITY COMMITTEE
Our approach
HSE management systems
Preserving the life and health of employees 
and protecting the environment during 
our daily operations is an absolute priority 
for EVRAZ. The Company operates 
HSE management systems to mitigate 
the associated risks in its operations.
The Group adheres to international best 
practices in HSE. While international 
certification of the HSE management 
systems is not a legal requirement, most 
EVRAZ facilities are certified as compliant 
with the requirements of the OHSAS 18001/
ISO 45001 occupational health and safety 
management and ISO 14001 environmental 
management standards. EVRAZ is currently 
aligning the occupational health and safety 
management system for relevant 
facilities to certify them under ISO 45001 
as the validity period of OHSAS 18001 
expires.
The Group recognises that the engagement 
of senior executives in the HSE 
management process is a crucial element 
in the plan to enhance the effectiveness 
and improve the functionality of its 
HSE management systems. HSE issues 
are considered at every corporate level, 
including our line and senior management. 
To bolster our HSE management systems 
and foster a safety culture, in 2021, EVRAZ 
established two governing bodies within its 
organisational structure.
In December 2021, the Board 
of Directors transformed HSE Committee 
into the Sustainability Committee. It 
plays a key role in managing HSE issues 
at the Board level and is responsible 
for setting the Company’s strategy in this 
area.
In August 2021, EVRAZ established 
a Sustainability Management Committee 
at the executive level. The Group’s corporate 
strategy and performance management vice 
president chairs the committee and the CEO 
and heads of business units regularly attend 
its meetings. The committee’s tasks include 
driving improvements in the safety culture 
by setting and revising relevant goals 
and approving annual KPIs for line managers. 
At the level of the Group’s enterprises, local 
HSE departments supervise HSE issues.
EVRAZ actively engages with industry 
associations on matters related 
to occupational health and industrial safety, 
such as the World Steel Association’s Safety 
and Health Committee, as well as the HSE 
committees of Russian Steel (a Russia-
based non-commercial partnership) 
and the Russian Union of Industrialists 
and Entrepreneurs. We evaluate 
and formulate proposals on various 
legislative initiatives and work to develop 
a common position among the associations’ 
members.
HSE documents
The EVRAZ HSE Policy is the fundamental 
document regulating issues 
of environmental matters, including climate 
change, issues related to biodiversity, 
occupational health and safety 
and the involvement of contractors in safety 
processes. The policy formalises the basic 
principles that the Group has set for itself, 
as well as the commitments that have been 
made. The Company's policy is regularly 
reviewed, the last changes were made 
to it in 2021. EVRAZ strives to comply 
with all requirements of labour protection 
legislation and internal Company rules.
The Company operates in accordance 
with technical regulations, 
as well as the following documents governing 
labour protection:
	• HSE Policy.
	• Cardinal Safety Rules.
	• Fundamental Environmental Requirements.
	• Standard Incident Reporting Rules.
In 2021, the number of corporate HSE 
documents was revised and amended. 
Some changes were made to the Standard 
Incident Reporting Rules. The Cardinal 
Safety Rules were also updated and a new 
lockout, tagout (LOTO) procedure 
was added that prohibits working without 
applying safety locks.
Climate risk governance
Issues related to climate change are handled 
by the Board of Directors and are considered 
at regular Board and Sustainability Committee 
meetings.
At the executive level, the Sustainability 
Management Committee also considers issues 
related to climate change and decarbonisation.
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RESPONSIBLE BODY
CLIMATE-RELATED RESPONSIBILITIES
Board of Directors (BoD)
	• The BoD oversees the process of identifying and managing climate-related risks and opportunities and 
approves the Group’s risk appetite.
	• The BoD’s agenda includes matters related to climate change, such as governance, strategy, risk 
management and environmental targets.
	• The BoD meets 10-12 times a year to review and guide strategic decisions, budgeting, investment 
decisions,  including climate-related issues and the Company’s progress against sustainability targets 
such as emissions reduction.
Sustainability Committee 
(previously HSE Committee)
	• The Sustainability Committee oversees group-level policies, processes and strategies designed to 
manage risks and opportunities related to health, safety, the environment, socio-economic issues, the 
supply chain and climate change.
	• The committee assists the BoD in monitoring the implementation of climate-related matters and 
determines the strategic actions needed to respond to particular market trends, as well as the 
acceptable level of risk exposure to climate change.
	• It meets at least four times a year at set times or as otherwise required. Members of the Sustainability 
Committee also makes a site-visits.
Audit Committee
	• The Audit Committee oversees the Internal Audit Directorate and monitors the implementation of 
climate change measures in compliance with applicable policies, plans, procedures, laws and regulations.
	• It supports the BoD in monitoring risk exposure against risk appetite and reviews the effectiveness of 
the risk management system, as it relates to climate change.
Chief executive officer 
(CEO)
	• The CEO has ultimate responsibility for risk management and ensures that the risk management system 
is well organised, covering climate-related issues.
	• The CEO leads the process of developing a decarbonisation pathway and monitors the achievement of 
group-level climate-related targets, which are then reported to the Sustainability Committee and BoD 
after the CEO’s approval.
Sustainability Management 
Committee
	• The Sustainability Management Committee oversees various issues related to climate change, including 
decarbonisation (involving the analysis of available technologies and options for their application), 
specific asset-oriented measures aimed at helping enterprises to achieve emissions goals, and analysis 
of automated emissions accounting systems.
	• The committee is composed of the CEO, corporate strategy and performance management vice 
president, HSE vice president, technologies development vice president, representatives of the Risk 
Management Working Group, and in some cases heads of departments and production divisions, who 
report key findings and results to inform the committee when it takes strategic decisions.
	• The committee monitors Company’s sustainability performance and progress against climate-related 
targets and reports its findings to the CEO.
	• The committee meets at least once a month.
Corporate strategy and 
performance management 
(CSPM) vice president 
	• The CSPM vice president chairs the Sustainability Management Committee and is responsible for 
aligning its agenda with the Company’s strategy, as well as sustainability and climate goals. CSPM vice 
president reports to the CEO.
HSE vice president
	• The HSE vice president oversees health, safety and environmental issues arising in relation to physical 
and transitional climate risks. The HSE vice president reports to the CEO.
Technologies development 
vice president
	• The technologies development vice president is responsible for the technology side of the carbon 
neutrality transition. Technological development vice president reports to the CEO. 
Energy and climate 
management director
	• The energy and climate management director represents the Company’s interests in the field of climate 
regulation and is responsible for:
	– Participating in working groups under governmental bodies, industry associations, committees and 
commissions.
	– Monitoring climate regulation and decarbonisation initiatives.
	– Forming the Company’s position concerning climate-related issues.
	– Implementing decarbonisation measures, developing an energy management system and increasing 
the energy efficiency of production.
The director reports all findings to the Corporate strategy and performance management (CSPM) vice 
president.
Environmental 
management director
	• Support for greenhouse gas inventory methodology, data collection, consolidation and reporting.
Risk Management Working 
Group
	• The Risk Management Working Group consolidates all results and plays a key role in identifying, 
assessing and monitoring climate-related risks and mitigation measures within the Group.
HSE function and safety 
representatives for all 
EVRAZ operations
	• The HSE function and safety representatives at the operational level implement and control activities in 
compliance with the Company’s general strategy and the Climate Action Plan in day-to-day operations.
	• They report to the division directors and management.
Safety culture and health 
and safety training
EVRAZ strives to foster a safety culture among 
its employees. This is made possible through 
ongoing occupational safety initiatives such 
as the Risk Management Project and the 
innovative Risk Hunting application. These 
programmes aim to encourage employees to 
take an increasing level of interest in their own 
safety. An assessment of the Risk Management 
Project performed in late 2021 revealed 
that most business unit heads consider the 
project an integral component of the HSE 
management systems. We are pleased to see 
our employees perceive risk management 
tools as a part of standard daily operations. 
We view this as an example of how all EVRAZ 
facilities are successfully implementing 
dynamic risk assessment measures.
We empower all employees to suspend 
any operation that poses a potential risk 
for people’s health and safety. The Risk 
Management Project has helped to improve 
employee satisfaction by changing the 
management’s perception of the right to 
refuse unsafe work as a risk for production 
process disruption. In 2021, we revised the 
approach to motivating safe behaviour by 
modifying both the criteria and process for 
bonus payment. 
During the reporting period, EVRAZ trained its 
production personneland line managers under 
the Risk Management Project. In addition, 
employees of contracting organisations 
began to undergo risk management training 
with the help of specially developed internal 
programmes.
Occupational health and safety
2021 HIGHLIGHTS
8  
fatal incidents
1.21x  
Group LTIFR
Performance in 2021
LTIFR
EVRAZ annually assesses working conditions 
in its production sites. The leading indicator 
that reflects the effectiveness of HSE 
management systems is the lost-time injury 
frequency rate (LTIFR). 
Fatalities 
EVRAZ thoroughly investigates any fatal 
incidents that occur at its operations and 
makes every effort to prevent fatalities 
among its employees and contractors. 
Lost-time injury frequency rate1
 
1.21
1.21
2020
2021
1.35
2.04
2190
All accidents in the Company are subject 
to a mandatory investigation. Prompt 
identification of critical factors and root 
causes of incidents helps to identify 
systemic shortcomings and develop the 
necessary measures to minimise dangerous 
factors more accurately. The Sustainability 
Management Committee is responsible 
for the implementation of such initiatives, 
both within the Group and in individual 
divisions. Each initiative implemented by 
the Sustainability Management Committee 
is regularly monitored and assessed to 
determine its effectiveness.
Work-related employee fatalities
1.	 The values of the indicator have been recalculated to include contractors and are different from those presented in the Annual report 2020 and 
the Sustainability report 2020.
EVRAZ employees
Contractors
2021
2
2020
2019
0
4
6
5
12
Main types of high-consequence work-
related injuries and fatalities (including 
contractors), %
35 
Moving, rotating equipment, mechanisms 
and flying object
Hitting by external object
Dropped objects
Fire or smoke exposure
Fall from height
Traffic accident
Electric shock or arc flash
Extremal temperature exposure
19 
11 
11 
8 
8 
4 
4
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1.	 Or 96,555.5 million kWh and 6,402.8 kWh/tcs
2.	 All enterprises from the steelmaking segment in North America and Russia are involved in the process of achieving this goal.
3.	 Base year (2019) results were recalculated due to the updated values of global warming potentials from the IPCC's Fifth Assessment Report and Russia's new Scope 2 
emission factors. In addition, the quality of primary data gathering in the Company has improved, which resulted in the decrease of base year GHG intensity to 1.94 
tCO2e/tcs vs. previously reported 1.97 tCO2e/tcs. The goal (-20%) was recalculated accordingly and reduced to 1.55 tCO2e/tcs vs previously indicated 1.58 tCO2e/tcs. 
Climate change and GHG emissions
Our approach
The Group is fully aware of the necessity 
of taking steps to mitigate its impact on 
climate change and takes continuous 
measures to reduce greenhouse gas 
emissions (GHGs). EVRAZ supports both 
global and national programmes and 
projects for combating climate change. 
Being a member of the World Steel 
Association, the Russian Steel and the 
UN Global Compact initiative, EVRAZ 
prioritises decarbonisation issues. GHG 
emissions management is included in 
the Environmental Strategy as one of 
the key activities and climate-related 
risk management is integrated into the 
corporate risk management system. 
In its pursuit of decarbonisation, the Group 
focuses its efforts on maximising energy 
efficiency, using secondary and low carbon 
energy, and technical re-equipment. One 
crucial area is improving energy efficiency 
and enhancing energy management. EVRAZ 
has a uniform methodology for internal 
audits of the energy management system. 
Energy consumption and energy efficiency 
management of plants and production 
workshops is measured for compliance 
against criteria in special checklists 
developed according to ISO 50001. 
EVRAZ follows TCFD requirements in 
describing risks and opportunities for 
the short, medium, and long term; 
management’s role in assessing and 
managing climate related risks, where 
the Group’s strategy may be affected 
by climate-related risks, GHG emissions 
targets and methodologies used to 
calculate them. 
Read more 
 on pages 54-57 in the Sustainability 
management section, 
 on pages 58-70 
in the Health, safety and environment section, 
and 
 pages 84-96 in the Principal risks section
GHG emissions
In 2021, the Group accomplished the 
upgrade of the CDP (Carbon Disclosure 
Project) climate change rating to level 
C. EVRAZ achieved the result due to 
the increase in the scope of information 
disclosure and the improvement in the 
quality of reporting, identification and 
assessment of climate-related risks. 
All emissions are calculated, however 
targets are set on specific processes. 
EVRAZ intends to reduce specific Scope 1 
and 2 GHG emissions from steelmaking2 
operations by 20% and reach 75%-utilisation 
of methane (CH4) emitted while degassing 
coal mines by 2030 compared to 2019. 
Our goal is to achieve the GHG intensity 
ratio of 1.553 tCO2e/tcs (tonnes of carbon 
dioxide equivalent per tonne of crude steel), 
which complies with the Paris Agreement 
(PA) pledges and is calculated based 
on the Transition Pathway Initiative (TPI) 
methodology for steel producers "Carbon 
performance assessment of steel makers: note 
on methodology". To meet the goal, EVRAZ is 
considering promising technologies. 
Read more   on page 63 in the Decarbonisation 
pathway section
An important accomplishment for EVRAZ in 
reducing greenhouse gas emissions is evident 
in its efforts to utilise emitted methane to 
lessen its impact on the climate. The Group 
is implementing pilot projects on introducing 
installations for thermal utilisation of methane 
at the Raspadskaya Coal Company. It enables 
the transformation of methane into CO2 thus 
reducing GHG effect, since methane has a 
greater global warming potential and a higher 
impact related to the increase in average 
global temperatures. If the pilot projects are 
successful, the Group will scale them up. The 
Group evaluates the practicability of energy 
generation to improve the efficiency of 
methane using. 
EVRAZ discloses data in tCO2e using IPCC 
global warming potentials for its calculations. 
The methodology for calculating Scope 1 
and 2 GHG emissions complies with the 
requirements of the IPCC Guidelines for 
National greenhouse gas inventories and 
GHG Protocol Corporate Accounting and 
Reporting Standard. Scope 2 GHG emissions 
were measured using official data of Russian 
energy exchange. Evaluation of Scope 3 
GHG emissions is in process and will be 
performed for all relevant categories. 
In the current year, GHG emissions have 
decreased by 3.1%. This was a result of lower 
steel production at EVRAZ ZSMK, decrease 
of methane emissions at some coal mines, 
modernisation of equipment and the success 
of the energy efficiency policy. In 2021, the 
steel segment accounted for the largest part 
of GHG emissions (68% from EVRAZ' total 
GHG emissions). 
EVRAZ GHG emissions by segment 
in 2021, million tCO2e 
Scope 1 and 2 GHG intensity from 
steel production (Steel and Steel, North 
America segments)6, tCO2e/tcs
2021 HIGHLIGHTS
Total energy consumption  
347.5
1   
million GJ
Energy intensity  
23.0
1   
GJ/tcs
Total GHG emissions  
42.13 
MtCO2e
GHG emission intensity 
1.90 
tCO2e/tcs 
2019
2020
2021
Direct (Scope 1)
40.76
41.21
40.17
Consisting of:
CO2
28.22
28.06
27.55
CH4
12.48
13.09
12.57
N2O
0.06
0.05
0.06
PFC and HFC
0.00002
0.00012
0.00003
SF6
—
—
—
NF3
—
—
—
Indirect (Scope 2)
2.38
2.27
1.96
Total GHG emissions
43.145
43.485
42.13
EVRAZ GHG emissions4, 2019-2021, million t CO2e
26.14 
0.72 
0.97
0.63
13.32 
0.36
40.17 
1.96
Direct emissions (Scope 1)
Indirect energy emissions (Scope 2)
EVRAZ total
Steel segment
Steel, NA 
segment
Coal segment
EVRAZ steel segment (incl. NA)
EVRAZ target
2021
2020
2019
1.90
-20% vs 2019
1.95
1.94
2019
2020
2021
Scope 1 carbon intensity
per tonne of crude steel and sold pig iron
1.80
1.80
1.75
per tonne of crude steel
1.85
1.87
1.82
Scope 2 carbon intensity
per tCO2e of crude steel and sold pig iron
0.09
0.08
0.07
per tonne of crude steel
0.09
0.08
0.08
Scope 1+2 carbon intensity
per tonne of crude steel and sold pig iron
1.88
1.88
1.83
per tonne of crude steel
1.94
1.95
1.90
EVRAZ Carbon intensity of GHG emissions per t, tCO2e
This year it was decided to disclose one more intensity figure that better reflects 
performance of the steel segment and takes into account volumes of pig iron produced by 
steel mills and sold to 3rd parties.
4.	Scope 1 data includes emissions in tonnes of carbon dioxide equivalent from the combustion of fuel and from other sources that are owned or controlled 
by the Company.
5.	 Results of 2019 were recalculated: Change of Scope 2 EFs for Russian mills (-1.91MtCO2e), data quality improvements (+0.26 MtCO2e), GWPs update acc. to AR5 
(+1.43MtCO2e).
6.	 Tonnes of CO2 equivalent (Scope 1 and 2 GHG emissions) divided by tonnes of crude steel. Оnly steelmaking enterprises are included into the calculation.
Decarbonisation pathway
To make our business strategy more resilient 
to the consequences of climate change 
and identified climate-related risks, we 
continuously assess how our business may 
improve to become more sustainable. At 
the end of 2021, our risk reassessment 
demonstrated that climate-related issues 
require greater attention at the Group 
level due to increasing regulatory changes 
and increased stakeholder attention. By 
addressing and analysing how climate 
change affects our Company, we can 
plan and design measures to mitigate the 
consequences of potential issues in the future. 
We believe that our decarbonisation pathway 
shall be cost-effective. Our short-term 
sustainability focus is based on substantial 
side effects yet does not compromise our 
ability to create long-term value.
We have started developing a 
decarbonisation pathway for the Group 
that will be integrated into our daily 
operations, strategic and financial planning, 
which will also help us to avoid climate-
related risks and meet climate targets. Read 
more on pages 84-96 in Principal risks 
section. In the next 3-4 years, our priority 
will be to maximise energy efficiency 
and develop measures that will decrease 
the Group's volumes of greenhouse gas 
emissions in order to provide the market 
with reduced CO2 steel products.  
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2022-2025 
	• Monitor regulatory changes and 
launch the development of a 
decarbonisation strategy for the 
industry in consort with the state.
	• Improve energy efficiency by 18% 
by 20251.
	• Use waste as coal and coke substitutes. 
	• Use of low-carbon energy purchased. 
	• Develop renewable energy generation 
on site.
2025-2035
	• Increase the share of scrap and EAF.
	• Examine the possibility of DRI (direct 
reduced iron) usage.
	• Consider using alternative energy.
	• Consider upgrading production 
facilities.
After 2035 
	• Implement CCUS (Carbon capture 
and utilisation/storage technology.
	• Use hydrogen in the BF-BOF route 
and DRI.
	• Practice smart carbon usage.
OTHER ACTIVITIES COMPLETED IN 2021:
•	Conducted a CO2 price forecast.
•	Launched the revision of the CO2 calculation methodology. The goal is to align internal 
methodology with best practices and future government requirements.
•	Initiated a study of a DRI usage at EVRAZ NTMK including an analysis of vanadium extraction 
potential.
•	Testworked Timir’s metallurgical iron ore (with further analysis of DRI).
•	Initiated research on carbon capture and storage technologies.
•	Researched alternative energy possibilities. At this point, preliminary research indicates that 
using solar and wind energy at EVRAZ ZSMK and EVRAZ NTMK would not be efficient 
enough economically.
Some of these measures should have an 
economic effect on the Group and foster 
technological advances in production:
	• Implementing measures to increase 
energy efficiency and better utilise 
secondary energy resources.
	• Recycling secondary waste stemming from 
our own production.
	• Involvement in the coking charge of 
carbon-containing industrial and domestic 
waste.
EVRAZ is developing a detailed roadmap 
and estimated the potential decrease 
of tCO2e/tcs intensity. Until 2030, 
decarbonisation initiatives will be mainly 
focused on energy efficiency, technological 
upgrade of equipment, and higher 
productivity while we continue to review 
the economic feasibility and decarbonisation 
potential of other technologies
EVRAZ has already launched several 
initiatives in order to comply with its 
decarbonisation goals. It has also started 
researching long-term possibilities. Below are 
some examples of climate-related initiatives 
integrated into the business strategy. These 
should help the Group mitigate climate risks, 
pursue opportunities, improve resilience and 
stimulate innovation within its operations:
	• Energy efficiency.
	• Circularity of resources.
	• Climate-related KPI's.
	• Internal carbon price.
	• Sustainable Development Training 
for Employees.
Energy efficiency
In December 2021, the Group developed 
a schedule to implement initiatives 
and changes for 2022-2023.
	• Energy efficiency measures.
Measures include increasing and capturing 
steam generation from the dry coke 
quenching plant to generate electricity, 
replacing an electric motor with a turbo drive 
at the Siberian Division and purchasing low-
carbon energy for the Group.
	• Electricity generation.
EVRAZ Pueblo plans to use a 240 MW solar 
power plant as its primary energy resource. 
In partnership with Lightsource BP and Xcel 
Energy, the project supports the Colorado 
Energy Plan, helping Xcel Energy provide 55% 
renewable energy by 2026.
Circularity of resources
EVRAZ recognises economic trends such 
as the EU's green deal climate policy and 
clear focus on resource efficiency. Such 
developments directly address the increasing 
cost and scarceness of materials in the 
future, as well as the lifecycle of constituent 
alloys within steels. The Group is working on 
developing technologies and procedures to 
prolong the lifecycle of raw materials.  
	• Secondary use of carbon-containing 
coking waste
The Group is set to determine by end of 2022 
the possibilities of involving the charge 
for coking carbon-containing waste 
and determining the potential for reducing 
the carbon footprint by replacing coal 
with other components.
	• Processing CO2 into products.
EVRAZ began identifying new products 
from CO2 processing, energy intensity, 
and application possibilities. In addition, 
EVRAZ will assess the feasibility of CO2 
entrapment with subsequent disposal/
utilisation and transfer to the Group's 
steelmaking facilities from hydrocarbons 
to methane-hydrogen fuels to reduce GHG 
emissions. The Group views hydrogen 
as a high-potential green energy source.
Climate-related KPIs
The Group is currently aligning its 
remuneration process with decarbonisation 
goals and targets. In 2022, we are planning to 
include climate-related and decarbonisation 
KPIs for the vice presidents of EVRAZ.
Internal carbon price
EVRAZ has set an internal carbon price 
to be able to more accurately budget and 
plan its operations within a continuously 
changing environment of climate regulation. 
The carbon price will be an additional metric 
during investment project assessments 
and mitigate regulatory risks. Currently, the 
methodology for establishing the metric 
is being revised. EVRAZ plans to disclose 
information upon this metric in future 
disclosures. 
Regulatory changes
EVRAZ is assisting in developing 
a decarbonisation strategy for the steel 
industry in Russia by 2060. The project 
will involve all key steel producers within 
the Russian Steel Association.
In addition, EVRAZ interacts with government 
bodies to develop CO2 legislations in Russia, 
assist in setting up a defined system for 
reporting CO2 emissions in the country, and 
work to develop state support measures.
National targets
EVRAZ has considered Russia's national net 
zero target by 2060 while developing the 
decarbonisation pathway.
Energy management
All the Group's employees are involved 
in energy efficiency issues and practices. 
EVRAZ is constantly striving to improve 
the energy management system within 
the Group. One of the goals of the Group 
is to pass the certification procedures 
for compliance with the ISO 50001 
requirements at the factories, and, 
in 2021, EVRAZ ZSMK and EVRAZ KGOK 
accomplished this goal. In 2021, the Group 
developed and approved a policy for the use 
of energy efficient transformers for EVRAZ. 
The goal of the policy is to improve 
activities to reduce the loss of energy 
resources. In 2021, a standard was developed 
containing requirements for the energy 
efficiency of the applied technical solutions 
when designing production facilities. 
The Group is aiming to organise the process 
of implementing the document by designers 
in 2022.
In 2021, the Group held many events 
to generate ideas in the field of improving 
the energy efficiency of production, such 
as “Energy Session” and “Growth Points. 
Decarbonisation”. Also, EVRAZ provided 
educational events for employees, such 
1.	 With 2018 as baseline year.
In line with the international and local climate agenda, and as an element of the transition to a low-carbon economy, EVRAZ is 
developing a roadmap with the following initiatives, as well as a preliminary decarbonisation plan for EVRAZ ZSMK and EVRAZ 
NTMK to be achieved by 2060.
METHODOLOGY CHANGES
We have made several upgrades of our methodology in 2021:
•	Global Warming Potential values for 100-year time horizon are taken from the IPCC Fifth 
assessment report (AR5) instead of values from the Fourth assessment report (AR4) previously used.
•	Scope 2 emission factors for entities in the Russian Federation are taken from the official source 
of Russian energy exchange (https://www.atsenergo.ru/results/co2) which, in our opinion, 
reflect more realistic energy balance of the country energy systems than previously used 
factors from the baseline study report "Development of the electricity carbon emission factors 
for Russia" by EBRD&Lahmeyer (https://www.ebrd.com/downloads/sector/eecc/Baseline_
Study_Russia.pdf).
•	Improvements in data quality which cover double-counting issues and more precise data 
on material flows.
In the upcoming year we'll continue to improve our methodological approach in order to align it 
with best practices.
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energy consumption or installed capacity 
of equipment. The full operability 
of reactive power compensation devices 
at Erunakovskaya-VIII mine was restored.
RENEWAL OF THE THERMAL POWER PLANT AT 
EVRAZ NTMK
In 2021, the thermal power plant at EVRAZ NTMK was successfully modernised. Following the 
renewal, greenhouse gas emissions into the atmosphere decreased by 7.5 thousand tons per 
year. At the same time, the plant's own electricity generation increased by 1.5% per year. A 
boiler installation was upgraded, two smoke pumps with reduced energy consumption were 
installed on boiler No. 9. The consumption of resources by each smoke pump reduced by 
23%. This significantly facilitated the increase in their performance efficiency. In addition, the 
consumption of blast furnace and coke oven gases as fuel for steam boilers increased.
CASE STUDY
1.	 The figure of total energy consumption comprises data on enterprises of the steelmaking segment (EVRAZ NTMK, EVRAZ ZSMK, EVRAZ Nikom, EVRAZ Caspian 
Steel, EVRAZ Inc. NA, EVRAZ Inc. NA Canada, EVRAZ Vanady Tula) and the mining and coal segment (EVRAZ Kachkanarsky Mining-and-Processing Integrated 
Works (EVRAZ KGOK), Raspadskaya Coal Company, Evrazruda). 
2.	 The figure of energy intensity includes data on the Steel segment (EVRAZ ZSMK, EVRAZ NTMK) and Steel, North America segment (EVRAZ Portland, EVRAZ 
Pueblo, EVRAZ Regina, EVRAZ Camrose, EVRAZ Calgary, and EVRAZ Red Deer).
3.	 EVRAZ energy intensity in kWh: 6,387 in 2021, 6,472 in 2020 and 6,805 in 2019.
4.	EVRAZ does not have any production facilities in the UK, only the office. Data for UK office as well as data for offices located in Russia and North America were not 
included in the graphs, since the volumes of consumed power are not material in terms of overall energy consumption within the Group.
EVRAZ total energy consumption1, 
2019–2021
Energy consumption, million GJ
2021
2020
2019
347.50
351.77
372.00
Energy intensity of EVRAZ' steelmaking 
operations, 2019 - 2021, GJ/t2.3.4
EVRAZ
EVRAZ NTMK and EVRAZ ZSMK
2021
25.85
2020
2019
25.60
27.50
23.05
23.30
24.50
as “Production energy efficiency” trainings 
on energy consumption and energy 
efficiency management and "Energy 
Transition 4.0" on the growing importance 
of climate change and environmental 
sustainability issues, changing public opinion 
and new government policies regarding 
climate and energy.
In 2021, EVRAZ implemented 280 energy 
efficiency activities, and consequently, 
it managed to make energy savings 
in the amount of 7.8 million GJ 
and US$43 million. Those activities include 
equipment modernisation, analytics 
advancements and improvements 
of the monitoring system. In 2021, we 
provided inter-shop metering for energy 
flows worth more than US$25 million 
and reduced unmetered inter-shop energy 
flows from 25% to 15%, which will increase 
the transparency of energy consumption 
at each stage and the ability to manage 
energy-intensive processes.
The installation of a gas top pressure recovery 
turbine at EVRAZ NTMK and the renovation 
of oxygen production at EVRAZ ZSMK 
were completed in 2021. This helped reduce 
energy intensity.
Over the past few years, EVRAZ has been 
reducing total energy consumption. Sound 
energy efficiency policy brings tangible results. 
The Group manages to consistently reduce 
energy intensity year on year. In 2021, total 
energy consumption decreased by 1.3%.
The divisions implement different measures 
to reduce energy consumption. In Urals 
Division equipment was modernised 
for additional power generation by switching 
on the right flow of the left discharge duct. 
Also, the Group has developed digital model 
of the thermal power plant and compressor 
station. The change in the specific yield 
of gross coke due to baking allowed saving 
a large amount of money and energy. The air 
heater was replaced with an additional stage 
of the water economiser on the steam boiler.
The Siberia Division increased the efficiency 
of vacuum filters due to the use 
of a dehumidifier. A notable event was also 
a change in the chemical composition of cast 
iron. EVRAZ started using lump shungite 
in blast furnace production. The content 
of MgO in blast furnace slag was lowered.
In the Coal division were implemented 5 
projects in installation of frequency control 
systems and 19 projects in reduction 
Environmental management
Our approach
One of the Group’s strategic goals is to 
ensure sustainable business activities. Our 
approach to environmental management 
is defined in the EVRAZ Business Strategy 
and HSE Policy. All of our enterprises use 
an environmental management system 
based on the plan-do-check-act model. 
The Group strives to ensure compliance 
with all relevant environmental 
requirements. We strictly comply with 
the rules on registration, evaluation, 
authorisation and restriction of chemicals 
(REACH) for products supplied from or 
manufactured in the European Economic 
Area by the Group’s assets. 
When developing new projects 
and operations, we perform special 
environmental and social impact 
assessments that evaluate possible indirect 
and direct effects of our activities on the 
local environment and communities. We 
also develop plans to reduce these impacts 
and manage them through engagement 
with local stakeholders, including 
regional authorities, enterprises and host 
communities.
To maintain a high level of environmental 
awareness and competence among our 
employees, we provide training on waste 
management approaches, HSE practices 
and other relevant topics.  
2021 HIGHLIGHTS
ENVIRONMENTAL STRATEGY
2.9%  
reduction of total air 
emissions
105%  
non-mining waste recycling 
and reuse rate
EVRAZ has developed an environmental strategy based on the sustainable business and environmental protection principles, 
which are integrated into all stages of our value chain. The following key indicators were achieved in 2021:
AREA
GOAL (2019-30)
2021 STATUS
Water
Zero wastewater discharges from steel production
63.5 million m3
Waste
Utilise 95% of waste from metal production and general waste
105%
Recycle 50% of mining waste
30.9%
Air emissions
Reduce total atmospheric emissions from steel production by 33%
2.9% reduction 
year-on-year
Reduce dust emissions from coal mining by 1.5 times
10.8% increase due to 
higher production volumes 
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Lowering air emissions
EVRAZ uses best available technologies 
and regularly updates equipment to 
lower air emissions and reduce their 
potential impact on human health and 
the environment. The primary emissions 
resulting from our business activities 
include sulphur oxides (SOx), nitrogen 
oxides (NOx), volatile organic compounds 
(VOCs) and particulate matter (dust). In 
2021, total key air emissions fell by 2,85% 
YoY.
EVRAZ total air emissions (including key 
emissions), 2019-21, kt
CLEAN AIR PROJECT
As part of the implementation of the Clean Air 
federal project, which forms part of the Ecology 
national project in Russia, EVRAZ undertakes 
significant measures to improve its gas treatment 
systems. 
As of the end of 2021, EVRAZ ZSMK had decreased 
its total emissions by 16.9 thousand tonnes. To reduce 
emissions of sulphur dioxide (SO2) and specific coke 
production , EVRAZ ZSMK plans to implement the 
following measures in 2021-24:
	• Constructing a modern facility for flue gas 
desulphurisation at the sintering plant, which 
will contribute to a 62% reduction in emissions 
of key pollutants for Novokuznetsk by 2024.
	• Decommissioning the cooling tower for the final 
cooling of coke gas at the coking plant, which 
will reduce emissions in hazard classes 1 and 2 
from coke production by 76%.
EVRAZ NTMK is also involved in the Clean Air 
project. The initiatives that it has implemented have 
made it possible to reduce emissions by 7.4 thousand 
tonnes. To reduce emissions of harmful pollutants 
and address public concerns, the following measures 
are planned for 2021-24:
	• Decommissioning the cooling tower for the final 
cooling of the coke gas at the coking plant.
	• Constructing a new biochemical facility at the 
coking plant.
	• Introducing new technology for pitch 
production (replacing old equipment).
CASE STUDY
 
370.69
370.69 kt
2020
2019
2021
381.57
396.22
EVRAZ freshwater intake for production 
needs, 2019-21, million m3
The total volume of water discharged 
in 2021 was 121.49 million m3, which is 
3.77 million m3 less than in 2020.
Total water discharged, million m3
Balancing water supply
The mining and steel industries require 
significant amounts of water. As a part 
of our climate risk assessment, we have 
recognised that circular water use within 
our facilities allows us to manage physical 
risks like water scarcity, droughts and the 
increasing frequency of extreme weather 
events. 
In 2021, total water consumption at the 
Group’s facilities was 219.99 million m3, of 
which freshwater accounted for more than 
90%. Total freshwater consumption for 
production purposes was 199.42 million m3, 
which is 6.77 million m3 less than in 2020.
ZERO DISCHARGE
EVRAZ implements measures to mitigate water-related 
risks across its assets. In 2021, EVRAZ ZSMK completed 
the first stage of the circulating water supply system 
modernisation project. 
The implementation of the second stage is planned for 
2022 and will consist of the installation of filters. The 
project is expected to be completed in 2023. As a result, 
it will be possible to end the discharge of wastewater 
into Lake Uzkoe and to use treated water in production.
CASE STUDY
 
199.42
199.42
206.20
205.32
2020
2019
2021
Mining
Steel
2021
63.48
2020
2019
68.58
68.9
58.01
56.68
57.01
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Waste stewardship
In its business activities, EVRAZ produces 
large volumes of general and metal 
production waste (not related to mineral 
extraction), as well as mining waste, such as 
overburden, tailings and barren rock. The 
Group uses the best available practices of 
waste management methods in this area to 
make rational use of natural resources and 
reduce waste generation.
The total amount of waste and by-products 
generated at our enterprises in 2021 
equalled 195.7 million tonnes, including 8.6 
million of non-mining waste. 
EVRAZ strives to increase the amount of 
recycled and reused waste in accordance 
with its environmental strategy. In 2021, 66.8 
million tonnes of waste (including mining 
waste) were recycled. Non-hazardous 
mining waste is used for land restoration 
and the construction of dams and roads. In 
the 2021, 57.8 million tonnes of waste of this 
kind were reused, accounting for 86.6% of 
the total amount of waste reused.
PROTECTING BIODIVERSITY
In 2021, the Group contributed to landscaping and 
biodiversity support through several measures.
	• EVRAZ KGOK planted 750,000 conifers in the forests 
of Sverdlovsk region.
	• EVRAZ released more than 375,000 fish fry into the 
rivers of the Ob-Irtysh basin in Siberia.
CASE STUDY
Protecting biodiversity
We assess impacts on biological diversity 
at all stages of our production projects and 
acknowledge our responsibility to conserve 
biodiversity in general and local species and 
their habitats in particular. Our assets are not 
located in specially protected natural areas 
or areas of high biodiversity value. 
The Group aims to ensure a rational and 
prudent approach to conserving biodiversity. 
We are also actively engaging with local 
communities on biodiversity issues. 
In 2022, we plan to implement several 
measures, in accordance with the 
Biodiversity Roadmap:
	• Introduce biodiversity screening and 
risk assessment procedures, as well as 
develop and monitor biodiversity-related 
indicators.
	• Identify the main directions of 
biodiversity conservation and measures 
to reduce risks to biodiversity.
	• Develop and adopt a policy/standards on 
biodiversity conservation.
Through implementing the roadmap, we 
expect to obtain an assessment of the 
current impact on biodiversity, determine 
the goals on biodiversity conservation, and 
find ways and actions to achieve them.
Rehabilitating disturbed land 
and landscaping
The Group takes its obligations to restore 
disturbed land during mining operations 
seriously. To achieve this, we undertake 
environmental activities and rehabilitation 
projects. In 2022, the plan is to assess 
disturbed land, update the financial model 
and evaluate the economic feasibility of 
reclaiming land.
Restoring aquatic biodiversity
EVRAZ regularly releases various species 
of fish into water bodies to compensate 
for its potential impact on bioresources. 
Our approach to conserving biodiversity 
involves a commitment to the maintaining 
the quality of aquatic ecosystems and 
existing biodiversity. In 2021, the Group 
took part in a programme to research 
taimen fish in the Khabarovsk region.
Mining and non-mining waste recycling 
and reuse rate, 2019-21, %
Mining
Non-mining
2021
105.0
2020
2019
102.7
105.2
30.9
28.5
38.0
EVRAZ considers the safety of tailings 
storage facilities (TSFs) a priority, as their 
use poses significant environmental risks. 
The Group owns three metallurgical TSFs 
located at EVRAZ ZSMK and EVRAZ KGOK. 
The dam safety management system 
ensures compliance with the relevant 
legislation and covers all stages of TSF 
service life: design, construction, operation 
and closure. Safety is continually monitored, 
and our TSFs are regularly reviewed by 
both internal and external specialists and 
regulators.
OUR PEOPLE
Our approach
At EVRAZ, people are our key asset. As 
such, we consider it vital to provide a 
positive and healthy working environment 
where our employees have the opportunity 
to realise their professional potential. Our 
programmes and initiatives are based on 
internal principles focusing on investing in 
people and maintaining health and safety. 
All of our human resources (HR) activities 
are governed by our Supplier Code of 
Conduct, Diversity and Inclusion Policy, 
Human Rights Policy and other internal 
documents.
In 2021, the Group’s HR policy focused on 
the following areas:
	• Improving employee recruitment 
processes.
	• Implementing corporate training 
programmes.
	• Making remuneration more transparent 
by implementing a targeted pay system.
	• Implementing initiatives for attracting 
and retaining employees.
	• Automating processes and integrating IT 
systems.
	• Regularly collecting feedback through 
various communication channels, 
including engagement survey.
Recruitment policy and 
remuneration system
Recruitment policy 
and attracting people
Our goal is to ensure that our hiring 
process is consistent with the principles 
of equal opportunity and is entirely non-
discriminatory. EVRAZ adheres to the 
laws of the countries in which it operates, 
including regulations governing labour 
protection, minimum wage levels, annual 
paid and parental leave, and collective 
bargaining agreements.
2021 HIGHLIGHTS
71,591  
Employees at the end of the year
12.4%  
Employee turnover rate  
Number of employees, 31 December 
2021, thousand people
Breakdown of employees by age, 
31 December 2021, %
 
71,591
71,591
2020
2019
2021
69,619
71,215
13.4 
<20
20–29
30–39
40–49
50–59
>60
29.9 
30.3 
20.3 
5.7 0.4
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To retain its reputation as one of the 
best employers in the regions where it 
operates, the Group participates in various 
employer contests and hackathons each 
year to demonstrate social responsibility 
and responsiveness. In addition, we have 
numerous student programmes. In the 
reporting period, over 2495  students 
completed an internship at EVRAZ, and 
some are now working at the Group.
EVRAZ is constantly improving its employee 
recruitment processes, and in 2021 we 
developed and introduced the Staff 
Attraction and Recruitment Standard, 
aimed at simplifying and stripping away the 
bureaucracy from the hiring processes. 
Overall and voluntary employee 
turnover by segment, 2021, %
Staff Remuneration and Motivation – the 
document describing remuneration systems 
concerning the annual review.
Human rights and diversity
EVRAZ complies with international human 
rights laws, policies and standards. Its Human 
Rights Policy aligns with the United Nations 
Guiding Principles on Business and Human 
Rights and strictly prohibits any form of 
slavery (known as modern slavery), such as 
child labour and forced labour, across all 
EVRAZ subsidiaries and their suppliers. In 
addition, we take the process of contracting 
with partners seriously. The Group policies 
require sections covering the prevention 
of corruption and human trafficking to be 
included in all contracts concluded with 
partners.
We perform due diligence throughout the 
lifecycle of our operations and regularly 
identify actual and potential risks regarding 
human rights violations, including those 
related to recruitment and working 
conditions. We are also monitored by 
trade unions and representatives from 
Russia's Presidential Council for Civil 
Society and Human Rights and other public 
organisations with the purpose of reducing 
the risks of legal violations. In addition, we 
remedy potential risks by using grievance 
mechanisms for affected stakeholders such as 
a 24/7 hotline and two separate confidential 
whistleblowing lines in Russia, Kazakhstan 
and North America.
Diversity of employees and senior managers by gender, 2021,1 % 
73
Men
Women
27
71,210
people
81
Men
Women
19
376
people
Employees
Senior management
In 2021, staff turnover increased by 2.7% 
compared with 2020. Despite this, EVRAZ 
managed to achieve its recruitment targets 
in the reporting period.
In addition, we resumed training courses 
for newcomers after a break related to 
COVID-19. Welcome training helps new 
employees to familiarise themselves 
with the Group and cultivates a sense of 
belonging. 
Sustainable development 
training for employees 
At present, sustainable development training 
is implemented under the New Leaders of 
EVRAZ (NLE) programme. In 2021, delivery 
was mostly online, and the practice was 
introduced of inviting representatives of 
companies that provide environmental 
technologies. The sessions considered issues 
including legislative changes, environmental 
strategy, environmental and climate risks, 
and environmental technologies (gas 
cleaning, water).
Employee interaction
Listening to feedback and maintaining 
transparent communication is vital for 
preserving a positive working climate 
and developing the business successfully. 
To identify and address issues, we aim 
to interact with our employees regularly 
through various communication channels, 
such as the corporate intranet and website, 
corporate publications, social networks, web 
conferences and hotlines. For example, we 
organised a Vaccination Awareness Day and 
an employee engagement survey in 2021. 
The share of employees who took part in 
the engagement survey was 70%. 
In addition, EVRAZ developed a site called 
Idea Factory 2.0, where employees can 
report any work issues online and share 
ideas about improving production processes. 
After pilot testing was conducted, the site 
was rolled out to all entities.
To monitor and address any alleged 
violations or concerns at entities, the Group 
operates an anonymous 24/7 hotline. 
Employees and other stakeholders can use 
it to receive answers to questions, make 
suggestions and report alleged violations 
regarding corruption, bribery, human rights, 
alcohol or drug intoxication and so on. 
In 2021, we received 1197 requests through 
the hotline. The most frequent issues are 
related to labour relations, including the 
quality of labour relations (879) and health 
and safety (165).
COVID-19: protecting our 
people
COVID-19 remained the overriding concern 
in 2021, and we undertook extensive 
measures to combat it. The main priority 
for us was the health and wellbeing of our 
employees and contractors, and we strictly 
followed the recommendations of the World 
Health Organization throughout the year.
The Group took all of the necessary 
precautionary measures, such as regularly 
sanitising premises, workplaces and 
vehicles, and monitoring the health status 
of employees and contractors. In addition, 
in January 2021, we opened a department 
for treating employees with COVID-19 at the 
Vladislav Tetyukhin Ural Clinical Treatment 
and Rehabilitation Centre.
EVRAZ makes every effort to prevent the 
spread of the disease among employees and 
contractors.
Interaction with trade unions 
The Group signs collective bargaining 
agreements with trade unions with a view 
to building long-term mutually beneficial 
arrangements. In 2021, such agreements 
covered 87% of the workforce and Tariff 
Agreements. A large proportion of workers 
received benefits as members of trade unions. 
The process of implementing a target pay 
system includes negotiations with trade 
unions regarding all changes to collective 
bargaining agreements. In the year, all such 
changes were in compliance with the law and 
principles of social partnership. As a result, 
there were no conflicts or collective labour 
disputes at Group facilities in Russia. 
Remuneration system
EVRAZ endeavours to reward its employees 
above and beyond the minimum wage 
requirements. We are also continuously 
improving our target pay system to ensure 
clarity and transparency. In 2021, it covered 
most of our enterprises except for coal 
assets (EVRAZ NTMK and EVRAZ ZSMK). 
We strive to implement a set of rules and 
principles for the process of remuneration 
and establish fixed and variable pay 
depending on the level of performance 
across all Group entities. In 2021, we 
introduced an annual review of the 
remuneration system for each employee 
specifically in terms of the target pay 
system and updated the Regulation on 
Our managerial and operational functions 
are responsible for the implementing 
the Human Rights Policy and report 
to the Board of Directors. The policy’s 
effectiveness and efficiency is monitored 
and reviewed regularly.
EVRAZ is committed to diversity, equality 
and inclusion. Our Diversity and Inclusion 
Policy expresses zero tolerance for any 
kind of discrimination. When selecting 
a candidate, we consider only their 
professional skills and qualities. We believe 
that building a diverse environment is 
vital for driving inclusion and improving 
productivity across the business.
Learning and development
The Group has a multi-level system of 
HR management aimed at enhancing 
the professional and personal skills of 
its people and fostering collaboration 
with universities and other educational 
institutions.
In 2021, EVRAZ continued its Top 300 
and Top 1,000 corporate management 
programmes, which focus on developing 
managerial and leadership skills and 
competencies. In the year, the Top 3,000 
programme was launched at our Siberia 
and Urals divisions as an extension of 
existing ones. Employees in more junior 
positions were coached by graduates of the 
Top 300 and Top 1,000 programmes.
1.	 For 5 employees gender is stated as “not declared”.
Voluntary
Overall
Steel 
segment
Coal 
segment
Steel, North 
America 
segment
7.3
9.9
14.7
Other
12.6
11.1
13.5
18.5
16.6
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COMMUNITY RELATIONS
Approach
EVRAZ aims to continuously contribute 
to the prosperity of its local communities. 
We stimulate economic growth in our 
regions of operation by employing people 
responsibly, contributing significant tax 
revenue and investing in social projects. 
The Group maintains numerous productive 
and stable relationships, both with local 
and federal authorities and with other 
stakeholders, including non-governmental 
organisations, the media, and business 
and cultural communities. We believe 
that the success of our local communities 
has an enormous impact on our business 
sustainability prospects. To this end, we 
make every effort to contribute to the 
growth and wellbeing of the cities and 
towns where we operate, guided by the 
fundamental principles of corporate social 
responsibility. In 2021, EVRAZ earmarked 
US$35 million for social and social 
infrastructure maintenance expenses.
The Group’s Sponsorship and Charity 
Policy governs all aspects of its sponsorship 
and charity efforts. Guided by this, we 
strive to support low-income or physically 
challenged individuals. All applications 
are meticulously reviewed in terms of 
legitimacy and transparency of purpose, 
amount requested and reputation of the 
potential counterparty.  
In addition, during the project selection 
process, the Group’s charity funds in the 
Urals and Siberia take into account the 
EVRAZ Social Investments Guidelines. 
Our major priorities include supporting 
families in need, orphanages and veterans; 
financing educational, sport and cultural 
projects; and subsidising healthcare 
activities and environmental protection 
programmes.
Key Projects of 2021
Charity and sponsorship 
projects
The Group has several major programmes 
that invest in local communities, including 
EVRAZ for Kids, EVRAZ for Cities and 
EVRAZ for Sports. In addition, we promote 
various other initiatives, such as the 
EVRAZ “City of Friends – City of Ideas” 
grant contest, as well as regular volunteer 
activities within the EVRAZ volunteers 
project. 
In addition, EVRAZ supports various 
federal youth programmes by 
collaborating with academic institutions, 
purchasing essential school supplies and 
sports equipment, awarding scholarships, 
providing vocational guidance for 
students, offering training under the 
WorldSkills methodology, and organising 
study sessions for students and internships 
for graduates. Current projects include 
providing support to children with special 
needs and those in orphanages to 
improve their lives: for example, through 
rehabilitation programmes for children 
with cerebral palsy.
In 2021, key activities supported by the 
EVRAZ for Kids programme included:
	• supporting the Live baby outreach 
rehabilitation project in the Sverdlovsk 
region, which organises rehabilitation 
classes at home;
	• buying modern equipment for adaptive 
physical education, including the 
Stabilomer complex for children with 
disabilities in Nizhny Tagil;
	• sponsoring the 18th All-Russian Open 
Field Olympiad for Young Geologists, 
which was held online for teams 
from Russia, Kazakhstan, Kyrgyzstan, 
Tajikistan, Uzbekistan and Belarus.
The Group’s investments have significantly 
improved urban infrastructure in the cities 
and towns where it operates. We have 
supported the development of medical, 
educational and cultural infrastructures 
in our local communities, leading to a 
noticeable improvement in the quality of 
life there. 
In 2021 activities as part of the EVRAZ for 
Cities programme included:
	• Planting 300 trees in Novokuznetsk's 
Zavodskoi and Central districts as 
part of the region's 300th-anniversary 
celebrations.
	• Allocating US$3.1 million for the 
construction of the Bessonenko City 
Infectious Diseases Clinic No. 8 in 
Novokuznetsk.
2021 HIGHLIGHTS
US$35 m  
earmarked for social and social 
infrastructure maintenance expenses
US$217 th 
awarded to winning projects of the annual “EVRAZ: 
City of Friends – City of Ideas” grant contest
	• providing medical equipment (five 
ventilators, 20 patient monitors, 
19 functional beds, 160 thousand units of 
PPE) and X-ray diagnostic and portable 
complexes for hospitals in Nizhny Tagil.
EVRAZ encourages employees, their 
families and individuals of nearby 
communities to engage in sport as part of a 
healthy lifestyle. We invest in improvements 
to sport infrastructure, support amateur and 
professional teams and sponsor federal and 
regional sport activities.
In 2021, activities under the EVRAZ for 
Sports programme included:
	• supporting the seventh High-Five! 
corporate race across the Urals and 
Siberia, which attracted around 2,000 
adults and 700 children.
One major element of the Group’s 
contribution to local communities is the 
annual “EVRAZ: City of Friends – City of 
Ideas” grant contest. It aims to provide 
activists with the resources and skills to 
implement various meaningful social and 
environmental projects, such as:  
	• the “Health at Home” programme, under 
which elderly and disabled residents of 
Novokuznetsk's Central district receive 
physiotherapy and rehabilitation at their 
homes.
	• the "Ecology of Industrial Heritage With 
Good Hands and Modern Technology" 
grant project, which volunteers will 
implement at the Old Demidov 
Plant eco-industrial techno-park at 
Gornozavodskoy Ural in Nizhny Tagil.
The contest has been running since 
2017 and takes place in Novokuznetsk, 
Mezhdurechensk, Nizhny Tagil and 
Kachkanar, as well as Tashtagol. In 2021, 197 
applications were submitted in Siberia and 
165 in the Urals. A total of56 projects were 
chosen, and EVRAZ awarded certificates to 
the winners amounting to US$217 thousand. 
Notably, 104,000 people voted for the 
projects and 140,000 people visited the 
“City of Friends – City of Ideas” website.
Community engagement
The Group regularly engages in regional 
and federal conferences and initiatives, 
as well as partners with and organises 
numerous cultural and social activities, 
including environmental protection and 
sport projects.
In 2021, EVRAZ took part in various 
regional events. These included the 
sixth cross-divisional risk management 
symposium for risk managers from 
the Urals, Siberia and Coal divisions; 
the Minute of Techno Flame contest 
of innovative ideas for students and 
undergraduates from top universities 
in the Urals; and the 59th EVRAZ “Your 
Challenge” Scientific and Technical 
Conference, to name but a few. 
We also participated in the following 
events at the federal level:
	• The Innoprom 2021 international expo, 
which took place in Yekaterinburg in 
July 2021.
	• The WorldSkills Hi-Tech Championship 
2021.
	• The RAISE RANEPA All-Russian 
accelerator for social initiatives.
	• The CompTech 2021 winter school.
	• The St Petersburg International 
Economic Forum.
	• The Community Forum organised by 
the Russian Civic Chamber.
Volunteering
The EVRAZ volunteers project has 
established a positive tradition of assisting 
vulnerable individuals and social entities, 
as well as organising sport and cultural 
activities in local communities. It operates 
and develops without any special policies 
and on an entirely voluntary basis.
For almost 70 years, the Group’s employees 
have supported two orphanages: No. 95 
and Island of Hope. In 2021, they continued 
to help orphans and taught them crucial 
skills such as how to run a household, cook 
and sew.
Other new projects
Focusing on environment in 
communications
In 2021, EVRAZ together with Forbes, 
launched the "Industry of the Future" 
initiative, showcasing our cutting-
edge technologies and commitment to 
protecting the ecosystems in Siberia and 
the Urals.
Becoming a more valued 
employer
EVRAZ has risen in the rankings of 
top employers. In 2021, in a rating by 
HeadHunter, we were among Russia's top 
50 employers, while in an evaluation of 
Russia's best employers by Forbes and 
KPMG, we placed in the Gold category. 
Notably, that rating took into account our 
ESG policies.
Creating a single corporate 
media ecosystem
The Group’s unified online and offline 
media platform continued to grow in 2021. 
The main events included:
	• Publishing “EVRAZ News” electronically, 
which allows employees to personalise 
their information stream.
	• Updating the EVRAZ corporate app for 
employees by creating a new platform 
and adding functionality.
	• Launching a Group Telegram channel, 
which helped to promote 2,000 official 
publications, increasing coverage to 
around 28 million subscribers, up four-
fold from 2020.
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ANTI-CORRUPTION AND ANTI-BRIBERY
Policies and regulations
In 2021, EVRAZ reviewed two key documents 
to complete its full set of policies, which 
define the norms of ethical and responsible 
behaviour for employees in particular 
circumstances. Updated in the previous two 
years, the policies were now joined by those 
on the Anti-corruption Control System 
and on Business Gifts and Entertainment. 
These further strengthened the position 
of compliance and defined roles of various 
levels of management in mitigating risks 
of corruption, bribery and fraud. All relevant 
policies are available on the corporate 
intranet and employees bear personal 
responsibility for full compliance with them.
All anti-corruption policies and procedures 
are integral throughout the Group. Together 
with online training courses, they encourage 
all employees to seek guidance from 
compliance managers if there are questions 
about the expected course of action 
in difficult situations. EVRAZ urges everyone 
to voice concerns about any known or 
suspected violations.
Today, managers responsible for monitoring 
compliance with applicable anti-
corruption laws work at every asset. They 
ensure that all possible non-compliance 
with policies receive proper attention 
immediately; monitor charity payments 
and hospitality spending; and act 
on whistleblower allegations of possible 
violations. They then present their findings 
and recommendations to local top 
managers, the Group’s compliance manager 
and specialists reporting to the vice 
president for compliance and asset 
protection. The latter reviews investigation 
results and liaises with senior management 
as necessary.
The Group’s compliance manager 
coordinates anti-corruption compliance 
work on sites, develops EVRAZ’ own training 
system, maintains the corresponding risk 
register, and consistently communicates 
progress of all ongoing efforts to the Audit 
Committee, always striving for continuous 
improvement.
Employees have access to a summary 
of relevant anti-corruption policies, 
as well as links to the full texts of top-
level documents on the corporate intranet. 
Compliance managers discuss the essence 
of the adopted rules and procedures 
with management, employees and third 
parties. Newcomers are obliged to familiarise 
themselves with the Code of Conduct 
and the Anti-corruption Policy on their 
first day of work. They are also briefed 
about other relevant internal documents 
and procedures that pertain to the Group’s 
anti-corruption efforts.
Risk analysis
At the end of each calendar year, 
compliance managers analyse potential 
anti-corruption risks across all assets. 
For this purpose, they consider every 
business process and redefine key risk areas 
as necessary. Each area is then evaluated 
to ensure that the existing controls 
and procedures mitigate the associated 
risks effectively.
The Group investigates carefully all signals 
suggesting potential violations of applicable 
law and internal anti-corruption policies.
OUR APPROACH
EVRAZ has always considered corruption and bribery as a major obstacle 
to economic and social development around the world. Principle 10 
of the UN Global Compact states that “Businesses should work against 
corruption in all its forms, including extortion and bribery”. In following it, 
EVRAZ strictly complies with the Law of the Russian Federation No. 273 
“On Preventing Corruption”, the UK Bribery Act, the US Foreign Corrupt 
Practices Act and other relevant local legal equivalents. EVRAZ considers 
consistent anti-corruption efforts an important integral part of its strategy, 
sees it as a priority and pays full attention to the development of anti-
corruption compliance. 
The Group has a developed system of well documented procedures 
that define the day-to-day routines of managers appointed to monitor 
compliance with applicable anti-corruption laws. Compliance specialists 
scrutinise all tender procedures, check potential and existing business 
partners, vet prospective new candidates and ensure that the principles 
set forth in the Anti-corruption Policy, Code of Conduct and other relevant 
internal regulations are followed conscientiously and fully. EVRAZ has been 
making consistent effort to develop its own platform for learning, dialogue 
and action to combat bribery and all unethical practices. The Group 
demonstrates to its employees, customers and suppliers that it has zero 
tolerance of bribery and corruption, including actions that impede business 
growth, escalate costs, undermine fair competition, pose serious legal 
and reputational risks, and distort development priorities.
KEY GROUP POLICIES TO REGULATE ANTI-CORRUPTION  
AND ANTI-MONEY LAUNDERING EFFORTS
ANTI-CORRUPTION RISK MANAGEMENT CYCLE
CODE OF CONDUCT
Anti-corruption policy, 
Anti-corruption Compliance System
Rules on securities dealings
HOTLINE POLICY 
AND WHISTLE-BLOWING 
PROCEDURES
Anti-
corruption 
training 
policy
Sponsorship 
and charity 
policy
Gifts 
and business 
entertainment 
policy
Candidates’ 
background 
and criminal 
record check
Conflict 
of interest 
policy
Contractors/
suppliers due 
diligence 
check
Determine or update list of risks for 
all business processes
Oct
Inform senior vice president for business 
support and interregional relations
Mar-Oct
Check events for signs of risk
Nov-Dec
Discuss results with risk owners 
and top managers
Prepare comprehensive list of risks
Oct-Nov
Monitor how risks are being mitigated
Mar-Oct
Analyse and draft risk reports
Dec-Jan
Compliance officer presents 
reports to the Audit Committee
Input from legal, internal audit 
and security departments
Input from internal audit
Top managers
Risk owners
Compliance team
As the Group’s business processes are 
stable and consistent from year to year, 
compliance managers typically examine the 
same following processes for signs of risk:
	• Purchases of goods and services.
	• Payments.
	• Sales of goods, works and services.
	• Business gifts, hospitality, entertainment 
and travel expenses.
	• Charity and sponsorship.
	• Conflicts of interests.
	• Interaction with government authorities.
	• Vetting contractors or customers.
	• Contract approval.
EVRAZ knows the risks and prepares for 
them, striving to recognise opportunities to 
improve business processes.
In January 2022, the compliance managers 
involved in the abovementioned processes 
assessed the risks based on their own 
statistics from checking tenders, approving 
contracts, monitoring purchases, conducting 
inventory checks and so on. The compliance 
managers routinely meet with the managers 
responsible for each asset to inform them of 
known or newly revealed risks and threats, 
as well as to recommend further actions. 
The compliance managers then monitor 
any corrective measures undertaken to 
mitigate the risks discussed. If the necessary 
follow-up is lacking or inadequate, the 
matter is raised to the vice president for 
compliance and asset protection for action.
In February 2022, the Group compliance 
manager presented the analysis along with 
the updated anti-corruption compliance risk 
register to the Audit Committee. It revealed 
no significant violations of anti-corruption 
statutes or cases of non-compliance with 
EVRAZ policies. Nor did the risk register 
change significantly from the previous year. 
At the same time, one particular situation, 
where compliance was actively involved, 
showed that however much attention is 
paid to areas prone to risk, there is always a 
possibility of violations. 
In March 2021, the company conducted an 
annual Conflict of Interest Survey in which 
managerial and other key employees must 
disclose any circumstances that may pose 
a possible conflict of interest. After every 
such survey the compliance and asset 
protection team investigates any positive 
responses to analyse and ensure no conflict 
exists.
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Key developments in 2021
In 2021, the Group’s compliance function 
initiated one investigation into signs 
of corrupt practices involving a state 
official. It was launched after it became 
known that an employee of Raspadskaya 
Coal Company LLC (“RCC”) had been 
allegedly offering illegal monetisable 
services to a state official who was serving 
with the Russian Federal Environmental 
and Industrial Service. The said official 
responsible for overseeing coalmines 
operations is suspected of soliciting and 
accepting bribes from representatives of 
various coal companies in the Kemerovo 
region. The internal investigation 
revealed that one RCC director-level 
employee decided to establish a personal 
relationship with the suspect. For this, the 
employee, who had the necessary level 
of responsibility, provided to the public 
official the use of a company vehicle and 
a fuel card, both of which were paid for 
by RCC. This lasted for over two years and 
amounted to a benefit of approximately 
RUB1 million (equivalent to approximately 
£10,150). RCC (and employees other than 
the said director) had been unaware of the 
illegal arrangement until the Russian police 
started an investigation into extortion and 
other corrupt practices by the state official. 
The RCC employee admitted his guilt and 
was demoted for violating internal key 
policies, but remains at RCC. He is fully 
cooperating with the police and has been 
questioned, but as a witness. An internal 
compliance check conducted immediately 
after the situation showed that there are 
no such or similar arrangements anywhere 
else in EVRAZ. Managers of RCC were all 
required to take an online course on the 
Anti-corruption Policy. Vice presidents 
once again held extensive discussions with 
managers in different Group companies 
about ethical principles and zero tolerance 
to corruption and bribery. Together with 
compliance managers, they explained the 
risks and the personal responsibility one 
would face should a violation of EVRAZ’ 
strict requirements occur.
In addition, compliance managers’ own 
leads regarding potential fraudulent 
schemes among unscrupulous managers 
and suppliers/providers also led to 
For additional information, see the EVRAZ 
Sustainability Report for 2021, which is to be 
published in May 2022
OUTLOOK FOR 2022
In 2022, more relevant policies (for example, on anti-corruption training 
and on compliance investigations) will be updated to reflect existing and 
best practice, as well as the changes implemented within the compliance 
system since its launch. The policies related to the functioning of 
the Group hotline and on the rules and principles of dealing with 
government officials are also set to be renewed. 
The lesson learned at RCC will now result in regular checks of how 
Group property is used. Such a practice will become a routine task of 
compliance managers across EVRAZ.
The Group compliance function plans to develop new training modules 
and tests to make anti-corruption courses more specific and relevant to 
life at EVRAZ. In addition, compliance is set to extend its educational 
reach and is working on a series of publications for the internal 
electronic newspaper. These articles will refer to various aspects of anti-
corruption activity, provide more guidance on correct behaviour in 
challenging situations and help to develop a Group-wide platform for 
learning and dialogue. 
several investigations. In 2021, there were 
five cases of evidently fraudulent intent: 
lobbying for money and/or kickbacks. 
The employees involved were dismissed. 
Vendors were either banned or they 
agreed to compensate company losses. 
The compliance function considers 
ongoing preventive efforts, various existing 
controls, the constant tone from the top 
and employees’ adherence to the anti-
corruption requirements as fully adequate 
for the existing risks.
In 2021, the Group continued the transition 
to its own anti-corruption courses run 
from its internal Learning Management 
System. All employees are being gradually 
signed up for EVRAZ training modules to 
refresh knowledge of the Anti-corruption 
Policy and the Code of Conduct. The 
new approach is leading to the further 
development of a full-scale internal training 
programme on anti-corruption. In 2021, 
over 2,200 managers throughout the 
Group completed online anti-corruption 
and/or ethics training. In addition, 
vendors continued to learn the anti-
corruption principles of EVRAZ while taking 
a specific standalone course launched 
in December 2020. 
Today, almost 3,000 managers from 
contractor and would-be partner 
companies passed this special course, 
which also became an important condition 
for participating in EVRAZ tenders. This 
work will continue in 2022.
The key learning objectives of all internal 
courses remain to:
	• Confirm the Group’s position and ensure 
full compliance with applicable anti-
corruption laws.
	• Explain existing controls to manage the 
risk of bribery and corruption.
	• Raise awareness about the damaging 
effects of bribery and corruption.
	• Draw attention to red flags and warnings 
about possible illegal payments or other 
corrupt activities.
SUSTAINABLE 
	 R&D
In 2021, EVRAZ R&D centres stepped up 
work to support the Group’s activities by 
utilising their global network of experts to 
create innovative steel products that better 
benefit customers.
Today, simply producing better products 
is not enough. To meet customer needs, 
the entire product life cycle needs to be 
taken into account. For example, using the 
electric arc furnace process with ferrous 
steel scrap as a raw material, EVRAZ 
produces rails with a substantially lower 
CO2 footprint compared with traditional 
steelmaking at integrated mills, as this 
requires less steel to extend product life 
under harsh conditions and enhance 
material performance.
Product development using virtual design 
has become increasingly important. Using 
data-driven AI models and digital twins, 
EVRAZ can improve production parameters 
more quickly, thereby accelerating product 
development.
Processes with a lower carbon footprint 
and accelerated deployment of product 
innovations contribute to greater 
sustainability.
EVRAZ 
North America
East Metals 
AG, Switzerland
EVRAZ 
Tula
Moscow 
Office
EVRAZ 
NTMK
EVRAZ 
ZSMK
EVRAZ R&D centres
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VANALYTICA© FOR ACCELERATED PRODUCT 
DEVELOPMENT
In the last 18 months, the EVRAZ 
VanadiumR&D group developed a 
software-driven consulting approach called 
Vanalytica© to support its customers and 
their needs. EVRAZ is partnering with a 
Cambridge-based start-up that is active in 
AI alongside a leading technology provider, 
which designs digital twins of existing 
production lines. State-of-the-art process 
models are being used to demonstrate the 
best ways to produce advanced steel grades 
that are cost effective and highly competitive. 
The team is focusing on accelerating product 
development through virtual process design, 
utilising the customer’s domain data in a 
secure and effective manner, while ensuring 
data privacy.
The digital twin approach creates an initial 
digital model of a mill. A huge library of 
empirical and proven metallurgical models 
is used to simulate the entire process of 
reheating, rolling and cooling and to predict 
material properties like grain size, strength 
and elongation.
AI offers a faster and more generic approach 
in this regard. This fast and disruptive 
method uses physical process data acquired 
in the rolling mill and properties from lab 
investigations. Combining AI with domain 
knowledge leads to surprisingly high R2 
values that describe the confidence level of 
reality against the prediction of the model 
used.
EVRAZ North America
Heavy gauge line pipe: line pipe designs in 
North America aim to produce high-strength 
steel for large-diameter and thick-walled 
pipes due to their economic advantages. 
Safety and integrity are of utmost importance, 
particularly in cold operating environments, 
so toughness is also a critical property. With 
this in mind, previous investments in EVRAZ 
EVRAZ NORTH AMERICA’S 
INITIATIVES ON 
ALTERNATIVE ENERGY 
PRODUCT DEVELOPMENT 
As global efforts aim to achieve net zero emissions by 2050, the hydrogen- 
and other alternative energy-based economy is expected to grow rapidly. 
As one of the largest line pipe manufacturers in North America, EVRAZ NA 
is developing the expertise and products that will be needed in the near 
future, positioning itself as an industry leader.
EVRAZ NA is exploring new market opportunities, including hydrogen and 
CO2 pipelines as well as geothermal connections. The main objective is to 
develop technical capabilities to produce and qualify these products while 
also leading the industry through various collaborations and contributions 
to standards, codes and industry guidelines. As part of these efforts, R&D is 
working with industry partners, establishing collaboration local government 
research labs and academic research groups in both Canada and the US.
Regina’s steelmaking, rolling and pipe-
making facilities offer a unique opportunity 
to be a market leader in these steel grades. 
To unlock this potential, the EVRAZ R&D 
team and Regina facility conducted a series 
of mill trials to develop an X80 product line 
with up to 0.75”wall thickness to enhance 
its toughness capabilities. Through data-
driven decision-making, pilot-scale and mill 
trials, a combination of the alloy design 
and processing schedule provided both a 
high level of toughness and significant cost 
savings compared with initial estimates. This 
success led to EVRAZ securing an order 
from Coastal GasLink for 230,000 tonnes 
of this heavy gauge X80 product and over 
US$9 million in alloy cost savings, a landmark 
achievement for the heavy gauge programme 
and for EVRAZ.
The EVRAZ R&D team continues to diligently 
investigate new ways to improve the low 
temperature toughness of the heavy-gauge 
X70 and X80 grades. Modern data analytics, 
including the use of machine learning, is 
providing new insights into previous trials and 
production data.. Collaboration with leading 
academic partners, such as the University of 
British Columbia and McMaster University, 
has provided a greater understanding of 
these complex steel properties. Pilot-scale 
experiments through a partnership with 
CanmetMATERIALS, a Canadian government 
lab, offer a cost-effective method to study the 
alloys and process the possible changes. The 
combined efforts of all these research bodies 
and mill trials have boosted the resilience of 
EVRAZ high-strength and heavy gauge line 
pipes, ensuring that the Group is capable of 
meeting customers’ needs in the future.
EVRAZ Vanadium R&D centre 
(East Metals AG, Zug)
The EVRAZ Vanadium R&D centre teamed 
up with EVRAZ Pueblo’s R&D team 
to develop a new high-strength wire steel 
grade. The driving force for developing 
the new wire is to produce new power 
transmission lines with longer spans 
between towers that ensure minimum 
sagging. The Vanalytica© approach 
was applied using AI. Within a short 
period, a new grade was developed 
based on several thousand data sets 
of pearlitic wire rod production. Research 
and qualification is ongoing and will 
support electric infrastructure investments 
by sustainably reducing the carbon 
footprint of the entire installation.
As part of long-term cooperation 
with the steel institute of RWTH Aachen 
University of Technology, EVRAZ 
is joining several publicly funded projects 
on infrastructural steel, heat treatment 
and the circular economy.
In addition, the EVRAZ Vanadium R&D 
centre has expanded its network through 
cooperation with the University of Perugia 
and the Italian Welding Institute. Leading 
Italian steel companies will support 
the project for further study.
EVRAZ ZSMK
EVRAZ has decided to establish a state-
of-the-art R&D centre at EVRAZ ZSMK 
to research, improve and develop 
new rail products. The centre will 
be equipped with new testing facilities 
to conduct research using electron 
microscopy, dilatometry, tribometry, 
physical and mathematical modelling 
of rolling processes and rail heat 
treatment. EVRAZ seeks to achieve 
global leadership in the development 
NEW GENERATION: SUPER-
TOUGH DT400IK RAIL 
NEARS COMPLETION 
EVRAZ, together with Russian Railways, has completed operational testing 
of the new DT400IK rail. These rails which are made of hypereutectoid steel, 
have greater durability and are designed for operation on tracks with freight 
capacity per year of 80 mgt or more on sharp curves.
The tests were carried out on curves with a radius of 320 m or less and 
freight capacity per year of around 160 mgt. This combination represents 
some of the most severe operating conditions of Russian Railways, and the 
DT400IK rails showed a 15.8% reduction in wear compared with the basic 
DT350 rails. Although these results are not unexpected for rail wear,being 
confirmed by data from North American railways, EVRAZ will continue to 
develop new rails with improved wear resistance and a contact-fatigue life 
of 25–30% in 2022-23.
of new rails and to expand its product 
range. In addition, EVRAZ ZSMK rails 
are produced through the electric arc 
furnace method using ferrous steel scrap 
as raw material, which results in the rails 
having a lower carbon footprint.
EVRAZ fully threaded bar
In 2021, EVRAZ developed a new product: 
the fully threaded bar. Its main advantage 
is the ability to connect bars at any point, 
reducing connection time and providing 
benefits for the construction industry. During 
its development, the Group had to work 
under strict Russian code requirements 
concerning connections of fully threaded 
bars. EVRAZ worked with the R&D 
centre in North America to incorporate 
experiences from OCGT pipe connections 
and to transfer this behaviour to re-bars. 
Based on FEM modelling, thread parameters 
were modified to comply with Russian codes. 
The connection costs were also optimised. 
The R&D centre is continuously studying 
the behaviour of the re-bar connections 
through internal tests..
EVRAZ NTMK
A new R&D centre is being built at EVRAZ 
NTMK. The main goal is to support 
product-related research and new product 
development, since EVRAZ NTMK has 
the most broad product portfolio within 
the EVRAZ Group. High-quality beams, 
rails, wheels, grinding balls, merchant bars 
and other long products are being produced 
for the Russian market and export.
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Generating new ideas for the 
use of beams
One R&D project aims to study the 
composite behaviour of a precast concrete 
floor together with a hot rolled steel 
section structure under bending loads. The 
test results could help to create a composite 
structure of precast reinforced concrete 
slabs joined with hot-rolled steel profiles 
and be followed by the development of 
composite structure construction codes.
In 2021, the Group launched another R&D 
project with its partner Central Scientific 
Research Institute for Building Structures 
(CNIISK) to investigate how the initial 
residual stress distribution in EVRAZ hot-
rolled beams affect the buckling reduction 
factor curve for elements subjected to 
compression. Residual stress in beams was 
also the subject of research conducted 
jointly with Austria’s Materials Center 
Leoben (MCL) in 2021. The simulation 
process and model will help the production 
line find a way to control stress distribution 
and tolerance following levelling process.
EVRAZ Tula
EVRAZ Vanady Tula’s R&D centre is 
primarily focused on decreasing vanadium 
losses in by-products. A brand new 
pilot plant has been built to support the 
transition from pure lab experiments to 
a full-scale production unit. The work 
performed in 2021 produced promising 
results. In 2022, the Group plans to finalise 
pilot plant tests and begin implementing 
the vanadium recycling facility project.
Another key goal is to support the VRB 
market with proper quality vanadium feed. 
In 2021, the Tula R&D centre completed 
work on high-purity oxide production 
technology. The centre proved that it is 
able to efficiently produce battery grade 
vanadium oxides. In 2022, the Tula R&D 
centre will focus on electrolyte production.
EVRAZ ECO WHEEL LOWERS 
OPERATING COSTS
The new European wheel for ŠKODA passenger cars was developed 
to achieve a low stress level and increased strength. The EV006 wheel 
features increased operational reliability compared with the current Ba429 
prototype. The disc’s special design ensures the wheel has greater wear 
resistance, which reduces customers’ operating costs and provides a positive 
contribution to sustainability.
Further R&D was carried out to modify the wheel material in combination 
with improved heat treatment modes for North American Class C+ freight 
cars. The increased wear resistance level improves the wheel life cycle amid 
its special alloy design and geometry due to hardness > 341HB, again in an 
effort to reduce customers’ operating costs.
DIGITAL  
	 TRANSFORMATION
EVRAZ DIGITAL TRANSFORMATION PATH
2017-18
•	 Pilot projects and proof 
of concept.
•	 Outcome analysis.
2019
•	 Broad discussion of digital 
transformation approach, 
objectives and outcomes.
•	 Decision to systematically 
employ digital tools 
on a large scale 
throughout enterprises 
and business units.
2020
•	 Decision to make digital 
transformation a strategic 
priority of EVRAZ.
•	 Launch of major digital 
transformation projects.
•	 68 projects.
•	 Implemented 
with an annual effect 
of US$17 million.
2021 Results
176 projects  
implemented with an 
economic effect on 2021 
EBITDA of  
US$65 m 
and an annual run-rate 
effect of  
US$150 m
2022-23 plans
Implementation of new 
digital transformation 
projects with an annual run-
rate effect of  
>US$100 m
DIGITAL TRANSFORMATION IN 2021:  
KEY FACTS
•	An ambitious programme of digital projects was successfully completed and the economic 
effect target was achieved.
•	More than 80% of the effect in production came from improving technical drivers.
•	Digital technologies are making a substantial contribution to improving production safety.
•	A ‘conveyor belt’ of digital products was put into operation.
•	A data-based management approach was consistently introduced at all levels of the Group.
•	A portfolio of digital initiatives for 2022 was created.
PLANS FOR 2022
•	Maintain the implementation speed for digital projects and the economic effect achieved.
•	Focus more on working with a ‘funnel’ of digital transformation ideas.
•	Become one of the world’s digital transformation leaders (a ‘beacon company’, based on 
World Economic Forum terminology).
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RISKS  
	 AND RISK 
MANAGEMENT
Our approach
As a major international mining 
and steelmaking group, EVRAZ faces inherent 
business risks that have the potential to impact 
its operations. Identifying and mitigating 
risks is one of the most important aspects 
of the Group’s strategy and daily activities. 
The basic risk management processes that 
EVRAZ follows are outlined below.
RISK MANAGEMENT
For more information, read risk management and internal control section of the corporate governance report 
 on pages 122-123 
Internal audit
Supports the Audit 
Committee in reviewing 
the effectiveness of risk 
management and internal 
control systems.
CEO
Has ultimate responsibility for risk 
management, ensuring that it is in place 
and effectively functioning.
Site levels
	• Identification, assessment 
and mitigation of risks.
	• Promoting risk awareness and safety 
culture.
Regional business unit management teams
	• Adopt regional risk appetite.
	• Support the Risk Management Group in reviewing 
and monitoring effectiveness of risk management.
	• Identify, assess and manage risks at the regional level.
	• Monitor the risk management process and effectiveness 
of internal control.
Risk Management Group
Identifies, assesses and monitors 
Group-wide risks and mitigation actions.
Board of Directors
	• Has an oversight role.
	• Ensures that risk management processes are in place, 
adequate and effective.
	• Approves the risk appetite in accordance with the risk 
management methodology adopted by EVRAZ.
Audit Committee
	• Supports the board 
in monitoring risk exposure 
against risk appetite.
	• Reviews the effectiveness 
of risk management 
and internal control systems.
Effective risk management
The risk management process aims to identify, evaluate and manage 
potential and actual threats to the Group’s ability to achieve its objectives
TOP-DOWN 
APPROACH
Oversight, 
identification, 
assessment 
and management 
of risks 
at the corporate 
level.
BOTTOM-UP 
APPROACH
Identification, 
assessment 
and management 
of risks at regional 
and site levels 
and across 
functions.
Risks assessment in 2021
Identifying and assessing risks, 
as well as developing measures to mitigate 
them and monitoring their implementation, 
are ongoing challenges for both 
management and the internal audit function.
In 2021, management continued to actively 
manage the risks that the Group faces. 
In late 2021, EVRAZ conducted a detailed 
analysis and reassessment of both existing 
and potential new risks as well as their 
impact and probability. As it pays increased 
attention to the risks of sustainable 
development and climate change, 
the Group has integrated risk assessment 
into the process of drafting a long-term 
development strategy and has added 
a new risk – Decarbonisation – to the list 
of principal risks (see page 92 for details). 
Given the importance of managing such 
risks, the Board’s HSE Committee has been 
renamed the Sustainability Committee 
given the expanded range of issues 
and responsibilities under its purview.
For more details, visit 
the Group’s website 
at the following link:  
https://www.evraz.com/
en/company/governance/
policies/#tabs-reference
In addition, starting from 2021, 
EVRAZ has created a permanent 
Sustainability Management Committee 
at the level of the Group’s management. 
The committee is headed by the CEO 
and its tasks include considering 
and assessing all risks associated 
with climate change and sustainable 
development that could impact 
the Group’s activities (see more details 
on governance at page 59).
The market recovery that began in late 
2020 continued into 2021. This led 
to higher demand for EVRAZ’s products, 
but also increased such risks as the cost 
of materials, equipment and services that 
the Group purchases. The government’s 
introduction of additional duties for steel 
companies also showed that the risks 
of regulatory actions are growing. While 
remaining acutely aware of the high 
volatility and uncertainty on markets due 
to the ongoing COVID-19 pandemic, 
management is paying increased attention 
to risk management in these areas.
Management is closely monitoring risks 
that could negatively impact the Group’s 
operations and financial position 
as the COVID-19 pandemic continues. EVRAZ 
has developed a system of measures that 
aim to both reduce the incidence of illness, 
as well as promptly identify and isolate sick 
employees. To reduce the risk of illness, 
many office staff now work remotely. 
In addition, EVRAZ has altered many of its 
internal processes to improve its efficiency 
in this new environment. Over the past 
two years, the Group has shown that it 
is in control of the situation and is dealing 
with it quickly and efficiently.
A detailed analysis of their impact 
and probability of negative consequences 
for the Group led to a recalibration 
in the assessment of certain risks. The Audit 
Committee carefully reviewed this 
assessment on behalf of the Board.
The assessment also included other risks 
that were not recognised as principal, 
for example, HR and employee risks 
(including the risks of a lack of skills, 
the failure of succession planning 
and diminished productivity due to labour 
unrest or poor job satisfaction), taxation 
and compliance risks (including anti-
corruption and antibribery matters), social 
and community risks, risks related to respect 
for human rights and other risks. While 
the impact and probability analysis suggests 
that such risks could affect operations 
to some extent, management believes they 
are being adequately managed and does 
not deem them to be capable of seriously 
affecting the Group’s performance, future 
prospects or reputation.
Despite growing risks in logistics, 
the Group’s supply system works efficiently 
and delivers all the necessary materials 
and equipment on time. To reduce 
risks associated with product delivery 
to customers, including coal to ports, 
EVRAZ actively uses railcars that can handle 
increased loads and long-haul trains.
To enhance its focus and control 
over Environmental, Social 
and Governance risks, EVRAZ published 
its new Environmental Strategy in 2021 
with emissions reduction targets set 
for 2030, including GHG emissions. 
In addition, EVRAZ updated its qualitative 
assessment of specific climate change risks. 
This will provide more transparency on how 
the Group addresses related risks.
For more details, 
 see pages 92-96 
Key developments in 2021 
and outlook for 2022
In 2021, EVRAZ continued to roll out 
the health and safety risk management tools 
that it has developed. A significant level 
of employee engagement in the process 
and heightened focus on safety were among 
the key aspects that contributed 
to a reduction in injury rates. While focusing 
on employee safety, the Group continues 
to work on improving its processes 
in this area and developing a risk culture 
throughout all stages of production.
EVRAZ also assessed the risks of changes 
in international and national legislations 
associated with the introduction of 
carbon emission taxes and is taking 
the necessary steps to reduce emissions1. 
To this end, possible taxes on CO2 
emissions are taken into account when 
evaluating new and ongoing investment 
projects. The use of energy-efficient 
equipment and an environmental impact 
assessment have also become part 
of the evaluation process when considering 
investment projects.
In addition, an ongoing programme 
to improve project management 
practices involves revisions to the risk 
management approach, regular updates 
to the investment project risk register 
and appropriate employee training. These 
1.	 EVRAZ is set to incorporate TCFD principles into the Group’s risk management processes.
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measures are intended to ensure more 
predictable results when implementing 
investment projects.
After a computer virus impacted its assets 
in North America in spring 2020, the Group 
strengthened its IT security and accelerated 
work in the area. The EVRAZ Information 
Security Operations Centre also proved 
its ability to quickly process information 
about potential information security threats 
and act promptly to eliminate them.
Environmental risk has always been a focal 
point for management and is recognised 
as a principal risk for EVRAZ. 
The Group mitigates environmental risk 
by implementing air emission reduction 
programmes at all plants, participating 
in developing greenhouse gas emission 
regulations in Russia, implementing energy 
efficiency projects and, as a result, reducing 
greenhouse gas emissions.
The COVID-19 pandemic did not have 
a material impact on the risk management 
processes in place at EVRAZ in 2021. 
Overall, the Group’s financial and operating 
results indicate that it implemented effective 
measures to overcome the uncertainty seen 
during the period.
Whilst there have not been direct impacts 
on the Group to date, the Board continues 
to monitor the situation in Ukraine and the 
response of international governments. 
The Directors have considered additional 
scenarios for the purposes of its going 
concern assessment (  see page 189) and 
the viability statement (  see page 97).
Emerging risks
In addition to principal risks, management 
pays particular attention to threats that 
could become significant over a certain time, 
known as emerging risks. The Group defines 
these as events that could meaningfully 
impact EVRAZ’ activities and results, but 
have a lower likelihood of materialising 
in the next three to five years. They include:
	• Climate-related issues.
	• Liabilities incurred due to environmental 
impairments.
	• Geopolitical instability.
	• Changes in technology.
	• Societal issues.
	• Demographic imbalance.
Emerging risks may be transferred 
to the class of current risks depending 
on their circumstances and materialisation. 
Management works continuously 
to monitor and manage emerging risks 
and devise mitigation measures.
The major part of the Group is based in 
the Russian Federation and is consequently 
exposed to the economic and political 
effects of the policies adopted by the 
Russian government. Worsening situation 
related to Ukraine has further increased the 
economic uncertainty and the risk of the 
imposition of sanctions. These conditions 
and future policy changes could affect the 
operations of the Group and the realisation 
and settlement of its assets and liabilities.
PRINCIPAL RISKS AND UNCERTAINTIES HEAT MAP IN 2021
1.	 Global economic factors, 
industry conditions 
and cyclicality
2.	 Product competition
3.	 Cost effectiveness
4.	 Potential regulatory actions 
by Governments, incl. trade, 
antimonopoly, anti-dumping 
regulation, sanctions 
regimes, and other laws 
and regulations
5.	 Functional currency 
devaluation
6.	 HSE: environmental
7.	 HSE: health, safety
8.	 Business interruption
9.	 Digital effectiveness, 
effective, efficient 
and continued IT service
10.	Capital projects 
and expenditure
11.	Decarbonisation (New risk)
Risk appetite level
5
2
9
8
6
7
3
11
10
1
4
SEVERITY
PROBABILITY
1
1
2
2
3
3
4
4
5
5
	
High	
Medium	
Low
Volatility
Speed of impact
Risk migration, 
YoY
Principal risks and uncertainties
RISK
DESCRIPTION AND IMPACT
RISK 
OWNER(S)
MITIGATING/RISK MANAGEMENT  
ACTIONS IN 2021
THE TREND 
OF RISK 
EXPOSURE
1. 
Global economic 
factors, industry 
conditions, 
industry 
cyclicality
EVRAZ' operations are dependent 
on the global macroeconomic 
environment, as well as economic 
and industry conditions, for example, 
global supply and demand balance 
for steel, iron ore and coking coal, 
which affect both product prices 
and volumes across all markets.
The Group’s operations involve 
substantial fixed costs, and global 
economic and industry conditions can 
impact its operational performance.
New capacity and lower demand 
amid the economic recession put 
significant pressure on prices.
CEO, VP 
of strategy 
and performance 
management
This is an external risk that is largely beyond 
the Group's control; however, it is partly 
mitigated by exploring new market opportunities, 
focusing on expanding the share of value-
added products, further downscaling inefficient 
assets, suspending production in low-growth 
regions, reducing and managing the cost base 
with the goal of being among the sector’s lowest-
cost producers, and improving the balance sheet/
gearing.
2. 
Product 
competition
EVRAZ faces excessive supply 
on the global market and greater 
competition, mostly in the steel 
products market, primarily 
due to competitors’ activity 
and the commissioning of new 
facilities.
Other risks include low demand 
for construction products 
and increasing competition in this 
segment.
Competition is rising in the rail 
product segment. The Group also has 
to deal with excessive supply of slabs 
on the global market and intensified 
competition.
VP of sales, VPs  
of business units
EVRAZ mitigates this risk by expanding 
its product portfolio and penetrating new 
geographic and product markets.
It is continuously developing and improving 
its loyalty and customer focus programmes 
and initiatives.
The Group is also implementing quality 
improvement initiatives and strives to increase 
the share of value-added products.
Strategic priorities
Debt management and stable dividends
Prudent CAPEX
Retention of low-cost position
Development of product portfolio 
and customer base
Direction of risk change
No changes
Decreased
Increased
Our basis
Sustainable 
development
EVRAZ Business 
System
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RISK 
OWNER(S)
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ACTIONS IN 2021
THE TREND 
OF RISK 
EXPOSURE
3. 
Cost 
effectiveness: 
cost position 
vs competitors
Most product groups in the steel 
industry are highly cost competitive 
and this is particularly relevant 
to the Group's key markets in Russia 
and North America. The majority 
of the Group’s steel production 
remains cost and price sensitive. 
EVRAZ is increasingly moving 
its products to semi-finished 
commodities, which requires less 
customer service and is more 
cost driven. Steelmaking is a high 
capital cost industry and the impact 
of lower plant utilisation increases 
the underlying cost per tonne 
of crude and rolled steel, reducing 
any profit margin.
Digital transformation is having 
a significant impact in the sector 
as companies seek to use new 
technologies to support efforts 
to improve productivity and margin 
across the value chain. The failure 
to employ and use digital 
transformation to solve the most 
urgent business problems could 
lead to the diminished flexibility 
of operations and cost advantage.
Mining production is a high capital 
cost industry. Inefficiency in mining 
costs contributes to higher production 
costs both for mining and steel 
products.
VPs of business 
units
For both the mining and steelmaking operations, 
EVRAZ is implementing cost reduction projects 
to increase asset competitiveness.
The Group’s focused investment policy aims 
to reduce and manage the cost base.
EVRAZ also seeks to mitigate this risk through 
the control of its Russian steel distribution 
network, the development of high value-added 
products and the implementation of EVRAZ 
Business System transformation projects that 
focus on increasing efficiency and effectiveness.
In addition, the Group’s digital projects 
help to reduce risks associated with primary 
equipment and improve effectiveness.
4. 
Potential 
regulatory 
actions 
by governments, 
including trade, 
antimonopoly, 
anti-dumping 
regulation, 
sanctions 
and other laws 
and regulations
Governments could adopt new 
laws and regulations or otherwise 
impact the Group's operations. This 
could limit EVRAZ' ability to obtain 
financing on international markets 
or sell its products (for example, 
restriction of trade, export or import 
quotas, pricing control or capital 
flow restrictions). EVRAZ may also 
be adversely affected by government 
sanctions that are imposed 
on Russian businesses or otherwise 
reduce its ability to conduct business 
with counterparties.
Introduction of duties and tariffs 
on steel products in North America.
CEO, CFO, VP 
of legal, VP 
of sales, VPs 
of business units
EVRAZ and its executive teams are members 
of various national industry bodies. As a result, 
they contribute to the development of such 
bodies and, when appropriate, participate 
in relevant discussions with political 
and regulatory authorities.
The Group seeks to monitor potential legislative 
changes before their introduction at the point 
when new laws are being drafted:
	• identification of key stakeholders among 
government authorities;
	• monitoring of the legislative agenda planned 
by key stakeholders;
	• proactive approach to building regulatory rules 
(acting as metals and mining experts).
Further development of control 
over antimonopoly and anti-dumping regulation:
	• issuing and monitoring of the Group's trade 
policies;
	• preventing anti-dumping policies among 
competitors/customers – Introduction of an IT 
tool with a dashboard for antimonopoly risk 
management.
Ongoing liaison with both US and Canadian 
governments and the American and Canadian 
steel associations and ongoing engagement 
with the Canadian government to monitor 
and implement anti-dumping measures.
RISK
DESCRIPTION AND IMPACT
RISK 
OWNER(S)
MITIGATING/RISK MANAGEMENT  
ACTIONS IN 2021
THE TREND 
OF RISK 
EXPOSURE
Development and enhancement of internal 
controls in order to introduce preventive 
measures to monitor risks associated with duties 
and other negative measures against the Group.
Pricing on products subject to anti-dumping 
duties is tightly monitored and controlled in order 
to ensure duties are reduced or eliminated.
Taxation control function monitors planned 
changes to tax laws, analyses their impact on 
EVRAZ’s operations and reports them to the 
Company’s management on a quarterly basis. 
EVRAZ and its executive teams are members 
of various national industry bodies and, as a 
result, contribute to and participate in relevant 
discussions with political and tax authorities.
5. 
Functional 
currency 
devaluation
The devaluation of functional 
currencies leads to foreign exchange 
losses (included in the consolidated 
statement of operations) on US dollar 
borrowings, as well as exchange 
losses on intercompany loans 
between entities with different 
functional currencies.
In times of severe devaluation, 
while the Group's EBITDA and cash 
generating capacity may increase 
(at least in the medium term) because 
a large proportion of sales are priced 
in dollars, its profit and retained 
earnings may decrease significantly.
CFO
This is an external risk which is largely beyond 
the Group's control, however management 
is reducing the risk through proper disclosure 
and monitoring.
6.
HSE: 
Environmental
Steel production involves an inherent 
risk of environmental impacts 
and incidents due to such diverse 
issues as water usage, the quality 
of water discharged, air emissions, 
metallurgical waste recycling, 
and community discontent. 
Consequently, EVRAZ faces risks, 
including regulatory fines, penalties 
and adverse impacts on its reputation 
or, in extreme cases, the revocation 
of plant environmental licenses, 
thereby curtailing operations 
for an indefinite period. Globally, 
there has been an increase 
in regulatory scrutiny and pressure 
as well as the expectations 
of investors and customers. This 
will require more investment 
in the medium to long-term.
Mining production involves 
an inherent risk of environmental 
impacts and incidents, mostly due 
to tailings management, water 
quality and the less significant 
risk of air emissions. Operations 
are subject to a wide range of HSE 
laws, regulations and standards, 
which, if breached, may result 
in fines, penalties, the suspension 
of production or other sanctions.
Sustainability 
Committee 
under the Board 
of Directors 
and management 
level
EVRAZ monitors its environmental risk 
matrix on a regular basis, and it develops 
and implements mitigation measures in response 
to these risks. Risk assessment is regularly 
reviewed within the Sustainability Committee's 
agenda. Senior management also devotes 
greater attention to the monthly monitoring 
of environmental risk trends and factors.
EVRAZ has developed an environmental strategy 
until 2030 and updated its list of projects 
in accordance with the strategy to achieve its 
strategic goals regarding emissions and waste. 
The strategy is being implemented through 
dedicated programmes in each division.
Most of the Group’s operations are certified 
in accordance with ISO 14001, and work 
is ongoing to bring the remaining plants 
into compliance with this international standard. 
EVRAZ is currently compliant with REACH 
requirements.
It is obtaining integrated environmental permits 
for compliance with the new regulation.
For its North American operations, EVRAZ 
is formulating a strategic 3-5 year plan 
to be competitive in reducing greenhouse 
gasses and its carbon footprint through utility 
and energy utilisation, including through 
such projects as Big Horn renewable energy 
at the Pueblo facility.
EVRAZ is also involved in drafting GHG 
emissions regulation in Russia.
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RISK 
OWNER(S)
MITIGATING/RISK MANAGEMENT  
ACTIONS IN 2021
THE TREND 
OF RISK 
EXPOSURE
7.
HSE: Health, 
safety
Safety risks are inherent 
to steelmaking and mining 
operations. Employees face a range 
of risks, including the potential 
dangers of fire, explosions 
and electrocution.
Additional risks specific to individual 
mines include methane levels, rock 
falls caused by geological conditions 
and accidents involving equipment 
and/or vehicles.
Operations are subject to a wide 
range of HSE laws, regulations 
and standards, which, if 
breached, may result in fines, 
penalties and adverse impacts 
on the Group's reputation or, 
in extreme cases, the revocation 
of mining operational licenses, 
thereby curtailing operations 
for an indefinite period.
In addition, there is a risk 
of employees being infected 
with COVID-19, which could lead 
to the mass quarantine of workers.
Sustainability 
Committee 
under the Board 
of Directors 
and management 
level
To mitigate these risks, EVRAZ is taking 
the following actions:
	• Review of the Lockout Tagout (LOTO) 
procedure as the main cause of fatalities 
in 2021 - and further development 
and implementation of the occupational 
safety risk management programme.
	• Transformation of the Health & Safety 
operational model with the implementation 
of roles and responsibilities, reviewing training 
processes as well as monitoring and continuing 
improvements.
	• Further development/update of health 
and safety tools (behaviour safety observations, 
contractual safety, etc.) based on a regular 
analysis of major causes of incidents.
	• Introduction and development of safety audits.
	• Consideration of the implementation 
of proactive KPIs and indicators.
In addition, EVRAZ is utilising the EBS roll-
out in order to further prompt employees 
to identify improvements and/or safety concerns 
and to increase visibility and enable the Group 
to prioritise, execute and communicate safety 
improvements and abatement measures. It 
is also driving the utilisation of a risk matrix 
in the incident management system through 
safety initiatives, taking it down to the front line 
in order for supervisors to implement higher 
levels of safety controls and risk reduction 
measures and working to change the safety 
culture through the Leadership Development 
Programme.
In the coal segment, EVRAZ is implementing 
the following programmes with a focus 
on the safety of its operations:
	• Further execution of the five-year degassing 
programme.
	• Mine collapse prevention programme.
	• Prevention of spontaneous coal combustion 
in working spaces (performance control).
	• Dust and explosion safety of mines.
RISK
DESCRIPTION AND IMPACT
RISK 
OWNER(S)
MITIGATING/RISK MANAGEMENT  
ACTIONS IN 2021
THE TREND 
OF RISK 
EXPOSURE
8.
Business 
interruption
Prolonged outages or production 
delays, especially in coal mining, 
could have a material adverse 
effect on the Group’s operating 
performance, production, financial 
condition and future prospects.
In addition, any long-term business 
interruption may result in a loss 
of customers and competitive 
advantage, as well as damage 
to the Group’s reputation.
VPs of business 
units
The Group has defined and established disaster 
recovery procedures that are subject to regular 
review. Business interruptions in mining mainly 
relate to production safety. Measures to mitigate 
these risks include methane monitoring 
and degassing systems, timely mining equipment 
maintenance, as well as employee safety training.
Implementation of quick actions that reduce risks 
on the main equipment at mines (digital projects).
Creation of the equipment maintenance 
and repair (TORO) system, including certain 
digital projects and its circulation at mines.  
EVRAZ performs detailed incident cause analyses 
to develop and implement preventive actions.
Records of minor interruptions are reviewed 
to identify any other significant underlying issues. 
The repairs and maintenance process 
continues to undergo transformation in Siberia 
and the Urals.
9.
Digital 
effectiveness 
and effective, 
efficient 
and uninterrupted 
IT service
The failure to proactively use IT 
capabilities to increase the efficiency 
of business operations may result 
in the loss of competitive advantage 
and margins. Increased digital 
transformation and the convergence 
of IT and operational technology 
also makes companies more 
vulnerable to continued rogue activity 
in the sector. IT and information 
security risks have the potential 
to cause prolonged production delays 
or shutdowns.
VPs of business 
units, VP 
of IT and IT 
Architecture 
Committee
Digital transformation is a part of the Group’s 
IT strategy. EVRAZ continuously assesses 
and monitors information security risks, and it 
takes mitigation measures based on external 
assessments by an independent advisor.
The Group conducts regular continuity testing 
for the most critically important IT systems.
Other mitigating actions includes: 
	• Further improvement of IT processes 
with a focus on fast and efficient project 
implementation.
	• Building and improving IT competences 
in high-demand areas: data science, 
back- and front-end programming, design 
and information security.
	• Realisation of the IT security improvement 
programme.
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RISK 
OWNER(S)
MITIGATING/RISK MANAGEMENT  
ACTIONS IN 2021
THE TREND 
OF RISK 
EXPOSURE
10. 
Capital projects 
and expenditures
The Group’s development plans 
largely rely on capital projects 
and depend on their economic 
viability, efficiency and effective 
execution, as well as the availability 
and cost of capital to finance capital 
expenditures.
Economic issues outside of those 
factored into the Group’s business 
plans, including regulatory 
approvals, may also impact 
anticipated free cash flow 
and cause certain components 
of the planned capital expenditures 
to be re-phased, deferred or 
abandoned with a consequential 
impact on the Group’s planned future 
performance.
In addition, the profitability of new 
projects may be impacted by higher 
than expected operating and life 
of mine costs due to variables such 
as lower than expected coal and iron 
ore quality, coal seam economics, 
as well as technical processing 
and engineering factors.
An ambitious corporate investment 
programme may cause a shortage 
of qualified project staff.
CFO, Strategy 
Committee, 
Investment 
Committee, VPs 
of business units
EVRAZ reviews all proposed capital projects 
on a risk return basis. The current list of projects 
has been reviewed and updated.
Each project is presented for approval against 
the Group’s risk matrix to assess its potential 
downside and any possible mitigating actions.
EVRAZ has created a list of typical project risks 
and a database of lessons learned.
Project delivery is closely monitored against 
project plans, which allows for high-level action 
to manage project investment for both timely 
delivery and planned project expenditures.
New mine development and the definition 
of feasibility plans are reviewed and signed off 
by independent mining engineers.
The Group regularly revisits key assumptions 
for its main investment projects and performs 
scenario analyses, which may result 
in the suspension and/or postponement 
of certain projects.
EVRAZ also uses financial modelling 
to define the strategy of each individual asset 
and the enterprise in general for the purpose 
of long-term FCF forecasting, including 
investment projects.
The project management system’s transformation 
is ongoing.
A pilot project is being conducted at one mine 
on a long-term detailed planning of LOM (life 
of mine) using a 3D model and restrictions on air, 
gas and sinking.
11. 
Decarbonisation
 See page pages 
92-96 for more 
details.
Russia and the markets to which 
EVRAZ exports steel could impose 
different systems of carbon emissions 
control. These systems could vary, but 
will most likely include selling CO2 
emissions per tonne of production, 
which will be gradually reduced 
to zero in 2050-60.
Sustainability 
Committee 
under the Board 
of Directors 
and management 
level
Assessing, verifying, and monitoring Scope 1, 2, 
and 3 GHG emissions on a yearly basis.
Reducing GHG emissions.
Setting an internal carbon price for assessment of 
new investment projects.
Following the decarbonisation initiatives 
roadmap. 
Assessing the financial impacts of 
decarbonisation on EVRAZ in 2022
New risk
Climate change risks
The identification, determination of 
significance and probability of climate-
related risk is scored and fully aligned 
with the Group's unified process 
of managing risks. This framework 
encompasses all business processes 
and day-to-day activities. The method 
used to categorise risks as either 
principal or non-principal is also applied 
to managing climate-related risks. All risks 
are reassessed annually to ensure that they 
are appropriately documented and that 
timely risk management procedures 
have been developed throughout 
the Group and at operational levels based 
on the Group’s risk management approach.
For more details, 
 see pages 84-86, 122-123 
EVRAZ has been assessing climate-
related risks and opportunities based 
on the recommendations and terms 
of the Task Force on Climate-related 
Financial Disclosures (TCFD) since 2020. 
In late 2021, the Group conducted 
a qualitative risk reassessment, which 
resulted in climate-related risks being 
integrated into its principal risks 
in the form of decarbonisation risk, 
as well as its overall score being elevated 
(for more details, see page 85). We 
consider climate-related risks up to 2050 
due to the unpredictability of social and 
economic aspects related to climate 
change and the uncertainty of changes in 
the business strategy past 2050. However, 
transitional climate-related risks, such 
as carbon price, the Carbon Border 
Adjustment Mechanism (CBAM), and other 
regulatory risks, are already moving 
into the short-term risk category amid 
increased scrutiny from stakeholders.
Changes in regulation, including in climate 
regulation, being kept under review and 
monitored closely. In addition, in 2022, we 
are planning to incorporate climate-related 
risks into financial sustainability models and 
conduct a quantitative analysis to assess how 
climate risks will affect our financial stability 
and performance.1
Climate-related risk identification 
and assessment process:
	• EVRAZ determines climate risk materiality 
according to the Group approach, which 
includes a five-point scale of the impact 
and a five-point scale of the likelihood 
of the risks. The risk impact/likelihood 
scale goes from 1 (Insignificant/Rare) 
to 5 (Major/Almost certain). The final risk 
score varies from one to 25 and reflects 
the overall risk rating.
	• The assessment process includes 
identifying risks in relation to all major 
divisions of the Company (Urals, Siberia, 
North America, Coal and Vanadium).
	• Our risk identification process is in line 
with three climate scenarios: low-
carbon development, Paris-compliant 
and business-as-usual. These align 
with SSP1-2.6, SSP2-4.5 and SSP5-8.5, 
and focus on time horizons that 
are llong (2050), medium (2030) and 
short (2025).
	• The Group uses SSP2-4.5 (2.0˚C) as the 
primary scenario for strategic planning, 
assessing risk materiality, and evaluating 
impacts and opportunities. We consider 
SSP2-4.5 the most likely scenario for the 
industry and have aligned the Company’s 
decarbonisation pathway accordingly. 
	• Each risk is analysed based on 
information from various sources, such 
as the Intergovernmental Panel on 
Climate Change (IPCC) and International 
Energy Agency (IEA) scenarios, World 
Steel Association, International Council 
on Mining and Metals (ICMM), national 
reports and peer-reviewed scientific 
articles.
All risks, including climate-related risks, are 
closely monitored and taken into account 
when planning the Group’s strategy. To 
mitigate the consequences, EVRAZ has 
developed a list of initiatives that will assist 
in lowering the risk scores and consequently 
reducing its impact on the climate. For more 
details about our increased resilience plans 
and decarbonisation pathway,  see page 63. 
In case our assessment detects a risk of any 
sort, we consider mitigating it no matter 
the strength of impact or its financial 
consequences. EVRAZ compares the financial 
potential losses against the risk mitigation 
cost. If a significant change affects the risk 
assessment results, EVRAZ is set to adjust its 
strategy accordingly.
Transition risks
Transitional risks are currently being 
managed by assessing new regulations 
related to our operations in various 
countries, publicly disclosing climate-
related risks and opportunities following 
the TCFD recommendations, and tracking 
the development of new steel production 
technologies.
RISK
DESCRIPTION
CONSEQUENCES
RISK MANAGEMENT INITIATIVES
THE TREND 
OF RISK 
EXPOSURE
Carbon 
price
1.5˚C
2.0˚C
4.5˚C
Includes the introduction of carbon 
pricing and emission charges, 
and the introduction of taxes 
on greenhouse gas emissions.
When additional fees 
are introduced related 
to direct GHG emissions, 
the Group’s annual variable 
costs may rise.
Accordingly, the price for end 
consumers might increase, 
which could cause a decrease 
in the Group’s sales.
Regularly assessing, verifying, and 
monitoring Scope 1, 2, and 3 GHG 
emissions.
Setting an internal carbon price.
Developing decarbonisation initiatives 
and reducing GHG emissions.
Materiality
Direction of risk change
No changes
Decreased 
Increased
Very high
High
Medium
Low
EVRAZ considers SSP2-4.5 (2.0˚C) as the primary 
scenario for assessing risk materiality.
1.	 A quantitative risk assessment will allow us to understand better the financial impact of climate-related issues on the Company. We plan to include the effects of climate 
scenarios in the analysis and describe the processes used to determine which risks and opportunities have arisen. Results will be published in the 2023 disclosure.
All risks have been evaluated against short (2025), medium (2030), 
and long-term (2050) time horizons.
Time horizons
Short
Medium
Long-term
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CONSEQUENCES
RISK MANAGEMENT INITIATIVES
THE TREND 
OF RISK 
EXPOSURE
CBAM
1.5˚C
2.0˚C
4.5˚C
The introduction of cross-border 
carbon regulation law (CBAM). 
EU importers will be required 
to compensate for CO2 emissions 
arising from production processes 
by purchasing CBAM certificates. 
Other countries might also 
implement such initiatives 
in the future.
The price for consumers 
in the EU, US and China might 
increase (both due to the direct 
cost of purchasing CBAM 
certificates and preparing 
and verifying quarterly 
carbon reports). Accordingly, 
the Group’s sales in the EU 
and other countries that 
introduce the CBAM may 
decrease.
Regularly assessing, verifying, and 
monitoring Scope 1, 2, and 3 GHG 
emissions..
Regularly monitoring international 
regulatory changes.
Setting an internal carbon price.
Developing decarbonisation initiatives 
and reducing GHG emissions.
Other 
regulatory 
risks
1.5˚C
2.0˚C
4.5˚C
The risk of increased government 
demands includes changes 
in national regulations, regulations 
to meet the Paris Agreement 
objectives and climate change-
related disclosures.
This risk is also associated 
with the Group’s non-
compliance with the new 
listing rules and insufficient 
disclosure of climate-related 
information according to TCFD 
recommendations.
An inadvertent violation 
of new carbon regulation 
in the context of emerging 
legislation decreases 
the speed of decision-
making on adopting changes 
and coordinating the Group’s 
activities.
Regularly monitoring regulatory 
changes in regions of presence.
Reducing GHG emissions.
Disclosing climate-related 
information according to TCFD 
recommendations.
Reputational 
risks
1.5˚C
2.0˚C
4.5˚C
Reputational risk includes 
the risk of a change in investor 
attitudes, which is associated 
with a loss of interest in the event 
of insufficient public information 
about the following:
	• The impact of climate change 
on the Group’s activities 
and the measures that 
the Group is taking in response.
	• Levels of GHG emissions, 
carbon intensity of production 
and other climate-related 
metrics and goals.
If investors’ expectations 
regarding the Group’s ESG 
initiatives continue to rise, 
EVRAZ will have to make 
additional efforts to comply 
with the new requirements. 
Otherwise, investors might ask 
for higher yields.
Interacting with investors on climate 
change and other themes related to 
sustainable development.
Disclosing climate-related 
information on the development 
and progress of the Group’s 
decarbonisation initiatives.
Disclosing the Group’s climate-
related and other non-financial data 
in accordance with international 
rating agencies. 
Technology 
risks
1.5˚C
2.0˚C
4.5˚C
Technology risk is associated 
with a tendency for a demand 
for metallurgical products to shift 
towards less carbon-intensive 
products.
Clients are likely to favour 
products with a lower 
carbon footprint. The Group 
may either have to incur 
additional costs to maintain 
a competitive level of carbon 
intensity (for example, for 
carbon capture) or survive a 
drop in demand.
Monitoring and analysing 
potential technological trends 
and opportunities for EVRAZ;
Increasing investments in R&D 
projects.
Developing decarbonisation 
initiatives and reducing GHG 
emissions.
Market risks
1.5˚C
2.0˚C
4.5˚C
This risk is associated with the 
trend of a technical modernisation 
towards less carbon-intensive 
products, as well as a decrease 
in demand for raw materials for 
production processes. Market 
risk also includes an increase in 
the cost of electricity and heat in 
Russia.
	• A decrease in profits 
is possible due to the 
reduction in demand for 
products with a high carbon 
footprint when compared 
with competitors.
	• With an increase in the 
cost of electricity used, the 
cost of production might 
increase.
Seeking opportunities in new 
markets related to the transition 
to a low-carbon economy, as well 
as climate change adaptation and 
mitigation.
Striving to implement new 
technologies to introduce 
decarbonisation and resource- and 
energy-efficiency projects.
Physical risks
The categories of physical risks listed 
below have been designated as ones 
that require regular monitoring. Extreme 
weather, which is expected to become 
more frequent in the future, will receive 
the most attention. Our supply chain is the 
second primary focus, with consideration 
given to anticipated disruptions and delays 
in transportation supplies due to extreme 
weather events such as storms, hurricanes, 
road erosion, power outages, and smoke 
from forest fires.
RISK
DESCRIPTION
CONSEQUENCES
RISK MANAGEMENT 
INITIATIVES
THE TREND 
OF RISK 
EXPOSURE
Changes in air 
temperature 
1.5˚C
2.0˚C
4.5˚C
With an increase in the number 
of extreme weather events 
in regions of operation due 
to temperature fluctuations, 
an increase in days with extreme 
heat (temperatures above 
+ 30°C) and heat waves 
(prolonged periods with high 
temperatures) is expected.
Overheating and breakdown 
of equipment, which can also lead 
to emergencies and the suspension 
of operational activities; 
the deterioration of health 
and increased injury of employees; 
premature wear of buildings 
and equipment.
Monitoring the condition of 
our equipment, as well as 
conducting timely repairs.
Change 
in average 
annual 
precipitation
1.5˚C
2.0˚C
4.5˚C
There is a trend towards 
an increasing number 
of dangerous rain showers. 
The risk of increased intensity 
of spring floods is due 
to the melting of snow 
accumulated during the winter 
season, which leads to more 
pronounced peaks during spring 
floods.
Premature wear and tear of 
buildings and structures; erosion 
of the road surface; destruction to 
infrastructure; the breakthrough 
of hydraulic structures and the 
flooding of buildings, structures, 
and mines.
Monitoring the condition 
of our facilities, as well as 
conducting timely repairs.
Droughts 
and fire 
hazards
1.5˚C
2.0˚C
4.5˚C
An increase in average annual 
temperatures and a change 
in precipitation norms could 
increase the danger of fires 
in natural ecosystems (fire 
hazard).
Damage to the Group’s property 
(increased repair and maintenance 
costs), smoke pollution of 
production facilities, injury to 
employees, potential disruption of 
operational activities (such as an 
interruption of the mining process).
Considering climate risks 
when making investment 
decisions.
Continuing projects for water 
recycling and closed-loop 
water treatment technologies.
Dangerous 
meteorological 
phenomena – 
strong 
winds, floods 
and storms
1.5˚C
2.0˚C
4.5˚C
The impact of hazardous events 
is determined by the materiality 
of damage and destruction 
to the Group’s various assets 
and the impact of such events 
on local communities.
Damage to the Group’s property 
(increased repair and maintenance 
costs), power outages, injuries to 
employees, penalties due to delays 
in exports shipped by sea, loss or 
damage to products transported by 
sea and the flooding of warehouses.
Considering climate risks 
when making investment 
decisions.
Monitoring the Group’s own 
supply chain operations.
Materiality
Direction of risk change
No changes
Decreased 
Increased
EVRAZ considers SSP2-4.5 (2.0˚C) as the primary scenario 
for assessing risk materiality.
Very high
High
Medium
Low
All risks have been evaluated against short (2025), medium (2030), 
and long-term (2050) time horizons.
Time horizons
Short
Medium
Long-term
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OPPORTUNITIES:
Climate change represents a challenge for EVRAZ. However, rapid and proactive actions will enable 
the Group to leverage the opportunities that arise from this global transition. Below are some of the 
actions that we are taking and opportunities identified.
Resource efficiency
	• Enhanced use of scrap metal.
	• Improved efficiency of water resources 
management (closed-loop water systems).
	• Increased use of internally produced coke oven 
gas and reduced consumption of natural gas.
Resilience
	• Using scenario analyses in planning our 
medium- and long-term strategy.
	• Introducing climate-related risk assessments into 
corporate management processes.
	• Collaborating and participating in partnership 
programmes for the development of low-carbon 
solutions and and exchanging best practices 
through the World Steel Association and Russian 
Steel.
Energy sources
	• Improving the energy efficiency of existing 
processes.
	• On-site generation of renewable energy.
	• Gradually transitioning to less carbon intensive 
and more efficient energy resources.
	• Gradually increasing of renewable energy 
in the Group’s energy mix.
	• Using hydrogen.
Markets and products
	• Identifying opportunities in new markets 
and new products related to the low-carbon 
economy transition and climate change 
adaptation and mitigation.
	• Producing carbon-free steel.
As a global steel and mining group, EVRAZ 
is exposed to a range of risks and inherent 
uncertainties that are explained more 
fully in this section. The Group’s principal 
risks and its approach to managing them, 
together with the latest financial forecasts 
and five-year strategic plan, have formed 
the basis of this long-term viability 
assessment. EVRAZ believes that a five-
year period is optimal for the viability 
analysis, as it corresponds to the period 
used in the Group’s strategic planning 
and therefore reflects the information 
available to management regarding 
the future performance of the business. 
Visibility of performance and risks beyond 
the strategic planning cycle is limited, 
and scenarios beyond this five year period 
have not been analysed for the purposes 
of the viability statement. The Group 
modelled the impact of expected carbon 
taxes upon the business but other emerging 
climate change risks are not anticipated 
to pose a material threat to the business 
over the period of the viability assessment 
and were not modelled at this time.
In accordance with provision 31 of the UK 
Corporate Governance Code 2018, 
the Board has assessed the Group’s 
prospects over the period of the current 
strategic plan to December 2026 
and considers it possible to form 
a reasonable expectation of the Group’s 
viability over this five-year period. 
The assessment included consideration 
of the stress-testing detailed below, 
with particular attention paid to the forecast 
cash position and compliance with financial 
maintenance covenants in each scenario, 
as well as the mitigation plan developed 
by the management.
The assessment was underpinned 
by scenarios that encompass a wide 
spectrum of potential events. These scenarios 
are designed to explore the Group’s resilience 
to the significant risks set out on pages 84-92 
and combinations of correlated risks. 
Some risks are outside the Group’s control 
and the potential implications are difficult 
to predict in the current environment 
and considered remote.
The key scenarios tested can 
be summarised as:
	• Base scenario:
	- The key assumptions as disclosed 
in Note 6 to the financial statements 
under Impairment of assets 
on pages 211-214.
	- The scenario reflects the effect 
of the highly probable demerger 
of the coal business (Note 13) 
and the effect of the new excise 
tax on liquid steel and higher taxes 
on mineral extraction imposed 
by the government of the Russian 
Federation from 1 January 2022 
(Note 30).
	- Future pricing of steel and raw 
materials is within the range 
of the external analyst forecasts set out 
in Note 6.
	- Annual steel volumes are assumed 
to vary from -1.6% to 11.9%, compared 
with the 2021 level over the five-year 
period to December 2026.
	• Global economic decline:
	- Steel and raw material prices 
and exchange rates during 2022 
and future periods are at the lower end 
of the external analyst forecast set out 
in Note 6.
	- Sales volumes are assumed to decrease 
by 3.0% in comparison with the base 
scenario.
	• Increased conversion costs in the CIS.
	• Increased CAPEX.
	• Potential changes in HSE requirements 
and standards.
	• Appreciation of local operating currencies.
	• Cybersecurity failure resulting 
in production delays or shutdowns 
at a major operation.
	• Introduction of new tariffs and duties
	• Business interruption, leading to lost 
production.
	• Introduction of carbon taxes.
	• Combinations of correlated risks/ 
scenarios.
In order to further test the resilience 
of the viability assessment to potential 
uncertainties, particularly with respect 
to worsening situation relating to Ukraine 
and heightened risk of the economic 
sanctions, management also performed 
a further scenario to reflect a severe 
downside sensitivity, reflecting a material 
and sustained interruption to the Group’s 
business. This scenario assumes a material 
reduction in EBITDA throughout the viability 
assessment period, reducing Russian export 
sales outside the CIS to nil combined 
with a significant further reduction in EBITDA 
as a result of other possible factors, 
including further international sanctions. 
This scenario reflects a reduction in capital 
expenditure to US$500 million per annum. 
This also assumes the Group raises additional 
financing in 2023 followed by more significant 
financing in 2024. The Directors have also 
considered additional mitigating actions that 
would be available were such a scenario 
to occur including further reductions 
in costs, capital expenditure and the deferral 
of dividends.
The scenarios are designed to be severe 
but plausible. They take full account 
of the potential actions available to mitigate 
the occurrence and impact of the risk, 
and the likely effectiveness of such action. 
The process makes certain assumptions 
about the normal level of capital recycling 
likely to occur and considers whether 
additional financing facilities will be required 
and available in each scenario. EVRAZ 
considers this assessment of its prospects 
based on stress-testing to be reasonable, 
given the risks and inherent uncertainties 
facing the business. 
The directors confirm that their assessment 
of the principal risks facing the Group 
is robust. Based on this robust assessment 
and the stress-testing of the Group’s 
prospects across several risk-related 
scenarios the directors have a reasonable 
expectation that EVRAZ will be able 
to continue in operation and meet its 
liabilities as they fall due over the five-year 
period to December 2026.
In making this statement, the directors 
have made a key assumption that funding 
or refinancing, by way of capital markets, 
bank debt and asset financing, continues 
to be available.
VIABILITY  
	 STATEMENT
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STATEMENT  
	 IN ACCORDANCE  
WITH S172  
	 OF THE COMPANIES ACT
The EVRAZ Board has considered in detail 
the Company’s business model outlined 
on pages 14-15 of this report, which 
identifies, and explains why it identifies, the 
Company’s stakeholders as:
	• Shareholders and investors.
	• Employees.
	• Customers.
	• Suppliers and contractors.
	• Local communities.
	• Government and regulatory authorities.
	• Media.
	• Industry organisations.
The Board recognises the benefit of clear 
and precise engagement with the Group’s 
stakeholders. Value is generated through 
the Group’s core activities as outlined 
in the discussion of its business model 
on pages 14-15.
Throughout 2021, the Board continued 
to consider the impact of the COVID-19 
pandemic on all stakeholders. 
The Group’s dividend policy anticipates 
dividend payments to shareholders of 
US$300 million per annum, provided 
that the Group’s net debt/EBITDA ratio 
remains below 3x. In addition, the Board 
may consider further distributions of free 
cash flow available after implementing 
its investment programme to support 
the business. The Board reviewed and 
considered that, despite the impact of 
COVID-19 on the operational results of the 
Group and the economy, the underlying 
strength of the business was sufficient to 
continue paying dividends relating to the 
2021 financial year.
The Group has an active IR programme to 
enable shareholders to engage with the 
Company and the Board, both on business 
issues and on any governance concerns 
that they might have.
For the investment community, a capital 
markets day is held each year, and it 
covers both the current performance and 
future plans of the Company, as well as 
governance issues. Due to the pandemic, 
an in-person event was not possible 
in 2021, but a virtual meeting was well 
attended, and an in-person meeting is 
planned for 2022.
All shareholders are normally welcome in 
person at the AGM, where all directors 
are available to discuss any issues that 
they might wish to raise. In 2021, while not 
all Board members could attend because 
of COVID-19 restrictions, the meeting 
proceeded for UK shareholders. 
During the year, supported by the CFO, 
the CEO held conference calls and briefed 
analysts and institutional investors fully 
after the publication of the Group’s half-
year and full-year results, and after the 
announcement of the coal demerger. 
Additionally, supported by the director for 
investor relations, the CFO held a series of 
online meetings with institutional investors.
Engagement with employees remains key, 
and the Board closely monitors the results 
of the annual engagement survey, which 
indicate satisfactory levels of improvement. 
Two independent non-executive directors 
have taken responsibility for engaging 
with employees in the businesses in North 
America and Russia, respectively, and 
they do so by attending key staff briefing 
events and town hall meetings. Throughout 
the year, senior management attend the 
Group’s Board meetings to present the 
annual budget for their respective business 
units and key investment projects that 
require the Board to approve significant 
capital expenditure.
All presentations made to the Board 
consider both the benefit to shareholders 
of proposals and the impact on other 
key stakeholders. The Remuneration 
Committee receives detailed presentations 
from the Vice President of HR, which 
outlines remuneration and incentive plans 
at each level across the whole business. A 
whistleblowing arrangement is in place that 
allows staff to raise issues in confidence, 
and responses to them are routinely 
monitored by the Audit Committee, which 
escalates key issues with the Board.
Since 2011, the Board has had in place a 
Health, Safety and Environment Committee 
to help it to monitor the Group’s 
performance in the area and management 
initiatives to improve this. In addition, it 
considers the planned actions necessary 
to reduce the Group’s impact on the 
environment, including the reduction of 
greenhouse gas emissions. During 2021, 
the HSE Committee considered its terms 
of reference and workload, and made 
suggestions to the Board about how it 
could best monitor the Company’s ESG 
performance. These were adopted, and 
the plan of work will be introduced across 
2022 and reported on in that year’s report. 
To reflect the committee’s wider role, the 
decision was taken to rename it as the 
Sustainability Committee.
The Board considers the interests of all 
stakeholders by taking a long-term view 
of how the business needs to develop in 
its markets (see principal decisions taken 
by the Board on pages 115-118). The Board 
evaluates technological developments to 
ensure that its assets remain competitive 
and makes the necessary financing 
requirements to implement strategic 
projects available over the medium to long 
term. When development plans for projects 
are in their early stages, management 
engages key customers to ensure that the 
products manufactured meet their specific 
requirements.
All suppliers are treated in line with 
agreed contract terms, and when new 
opportunities become available, the Group 
has transparent tendering procedures to 
ensure that new contracts are awarded 
on a fair basis. The full range of EVRAZ 
stakeholder engagement is detailed on 
pages 124-125.
These actions assist the directors in 
performing their duties under S172 of the 
Companies Act 2006, and the analysis will 
confirm to the Board that management 
consider the impact of business plans on all 
stakeholders when developing initiatives for 
Board approval.
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REQUIREMENT
GROUP APPROACH 
AND POLICIES
DOCUMENTS
RELATED KPIS
RELATED
PRINCIPAL RISKS
Environment
Further information:
Environment,  
 see pages 67-70
Steel and mining 
production carry a high risk 
of environmental impact 
and incidents related to its 
production processes. 
EVRAZ pays the utmost 
attention to environmental 
matters to prevent or 
minimise any adverse 
impact.
Environmental strategy
EVRAZ HSE Policy
Code of Business 
Conduct
EVRAZ has adopted 2030 
environmental targets: 
 see pages 67-70 
HSE: Environment, 
 see page 89
Decarbonisation,  
 see page 92
Employees
Further information:
Our People, see 
pages 71-73;
Health and Safety, 
 see page 61
EVRAZ strictly complies 
with national labour 
laws and best practices 
of business ethics 
concerning employee 
management.
Discrimination related 
to a person’s race, 
ethnic origin, gender, 
religion, political views, 
nationality, age, sexual 
orientation, etc, is totally 
unacceptable throughout 
the Group, as well as at its 
subcontractors 
and suppliers.
Due to industry-specific 
issues, EVRAZ employees 
and contractors face safety 
and health risks. Providing 
a safe work environment 
is one of the Group’s main 
core values.
EVRAZ HSE Policy
Code of Business 
Conduct
Diversity and inclusion 
policy
Human rights policy
EVRAZ Supplier Code 
of Conduct
LTIFR (per 1 million hours)
Labour productivity, steel 
(tonnes per person)
HSE: Health and Safety, 
 see page 90
Social policy
Further information:
Community Relations, 
 see pages 74-75 
EVRAZ strives to make 
a meaningful contribution 
to local economies 
and to support communities 
wherever it operates.
The Group supports 
infrastructure, sport, 
educational and cultural 
programmes with the aim 
of improving the quality 
of life in local communities.
Charitable Donation 
and Sponsorship Policy
Fulfilment of the Group’s 
social obligations 
towards its employees, 
which were fixed 
in the collective 
agreements.
Interaction with local 
communities 
in the regions 
of the Group’s 
presence during 
the implementation 
of various CSR related 
projects.
Global economic 
factors, industry 
conditions 
and cyclicality, 
and business 
interruption;  
 see pages 87, 91 
NON-FINANCIAL  
	 REPORTING
EVRAZ aims to comply with the non-financial reporting requirements 
contained in sections 414CA and 414CB of the Companies Act 2006. 
The table below outlines to stakeholders the Group’s position, principal 
policies, main risks and KPIs on key non-financial areas.
REQUIREMENT
GROUP APPROACH 
AND POLICIES
DOCUMENTS
RELATED KPIS
RELATED
PRINCIPAL RISKS
Respect for human 
rights
Further information:
Our people,  
 see page 72 
EVRAZ’ commitments 
are based on internationally 
recognised standards 
and respect for all human 
rights. Child labour, bonded 
labour, human trafficking 
and other forms of slavery 
are strictly prohibited 
at all Group subsidiaries 
and their suppliers. EVRAZ 
rules also prohibit abusive, 
harassing, discriminatory, 
degrading or aggressive 
speech or conduct.
Code of Business 
Conduct
Modern Slavery 
Transparency Statement
Human rights policy
Diversity and Inclusion 
Policy
EVRAZ Supplier Code 
of Conduct
Zero tolerance to violation
None of EVRAZ’ current 
principal risks relates 
to aspects of human 
rights
Anti-corruption 
and anti-bribery
Further information:
Anti-corruption 
and Anti-bribery,  
 see pages 76-78 
For a short summary 
of relevant anti-
corruption policies, 
 see pages 294–295
In accordance 
with the Group’s policies 
and procedures, compliance 
managers scrutinise tender 
procedures, check potential 
and existing business 
partners, vet prospective 
new candidates, and ensure 
that the principles set 
forth in the EVRAZ Anti-
corruption Policy and Code 
of Business Conduct 
are adhered to throughout 
its operations.
Code of Business 
Conduct
EVRAZ Anti-Corruption 
Policy:
	• Anti-corruption 
training policy.
	• Sponsorship 
and charity policy.
	• Gifts and business 
entertainment policy.
	• Candidate background 
and criminal record 
checks.
	• Conflict of interest 
policy.
	• Contractor/supplier 
due diligence checks.
EVRAZ Rules 
on Securities Dealings
Zero tolerance to violation
None of EVRAZ’ 
current principal 
risks relate to aspects 
of anti-corruption
For EVRAZ’ business model, relationships and products, 
 see pages 6-99 
For the Group’s related risks and how they are managed, see the Principal Risks 
section 
 on pages 84-96
EVRAZ’ Strategic Report, as set out   on pages 6-101 inclusive, 
has been reviewed and was approved by the Board of Directors 
on 24 February 2022.
By the order of the Board
Aleksey Ivanov
Chief Executive Officer
EVRAZ plc
24 February 2022
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FOR A BETTER 
FUTURE
Corporate governance
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BOARD OF DIRECTORS
DIRECTORS
Appointment
Alexander Abramov has been a Board member 
since April 2005. He was CEO and chairman 
of Evraz Group S.A. until 1 January 2006, 
and continued to serve as Chairman until 1 May 
2006. Mr Abramov was a non-executive director 
from May 2006 until his re-appointment 
as chairman of the Board on 1 December 2008. 
He was appointed as Chairman of EVRAZ plc 
on 14 October 2011.
Committee Membership
Mr Abramov is a member of the Nominations 
Committee.
Skills And Experience
Mr Abramov graduated from the Moscow 
Institute of Physics and Technology 
with a first-class honours degree in 1982, and he 
holds a PhD in Physics and Mathematics. He 
founded EvrazMetall in 1992.
Other Appointments
Mr Abramov is a Bureau member of the Russian 
Union of Industrialists and Entrepreneurs 
(an independent nongovernmental organisation), 
and a member of the board of Skolkovo Institute 
for Science and Technology.
Alexander Abramov
Non-Executive Chairman
Appointment
Alexander Frolov has been a Board member 
since April 2005. He was chairman of the Board 
of Evraz Group S.A. from May 2006 
until December 2008, and he was appointed 
as CEO in January 2007. Mr Frolov was CEO 
of EVRAZ plc from 14 October 2011 until 
31 August 2021. 
Committee Membership
Mr Frolov is a member of the Sustainability 
Committee and the Nominations Committee.
Skills And Experience
Mr Frolov graduated from the Moscow Institute 
of Physics and Technology with a first-class 
honours degree in 1987 and received a PhD 
in Physics and Mathematics in 1991. Prior 
to working at EVRAZ, he was a research fellow 
at the I.V. Kurchatov Institute of Atomic Energy. 
He joined EvrazMetall in 1994 and served as its 
chief financial officer from 2002 to 2004, then 
as senior executive vice president of Evraz 
Group S.A. from 2004 to April 2006.
Other Appointments
Mr Frolov is currently chairman of 
PJSC Raspadskaya.
Alexander Frolov
Non-Executive Director
Appointment 
Mr Ivanov was appointed to the Board of 
EVRAZ plc on 1 February 2022. 
Committee membership 
Mr Ivanov is a member of the Sustainability 
Committee.
Skills and experience 
Mr Ivanov was appointed as CEO in September 
2021. Prior to that, he served as senior vice 
president of business development and 
commerce since November 2015. He also held 
the positions of vice president, head of the 
Steel Division (2011-15) and head of the Siberia 
Division (2009-11). He previously served as the 
senior deputy CFO responsible for financial 
control and treasury functions (2008-09) and 
director of financial control (2002-09). From 
1998 to 2002, Mr Ivanov held various positions 
at Liggett-Ducat, where his responsibilities 
included production, controlling and logistics. 
He also served as head of the Credit 
Department at Inkombank (1997-98). 
Mr Ivanov graduated from INSEAD in 2002. He 
holds a degree in Finance from the Financial 
Academy of the Government of the Russian 
Federation and has been a member of the 
Chartered Institute of Management Accountants 
since 2004. In 2008, Mr Ivanov received 
a diploma in Human Resources from the 
Australian Professional Association. 
Other Appointments
none.
Aleksey Ivanov 
Executive Director, Chief 
Executive Officer
Appointment
Eugene Shvidler has been a Board member 
of Evraz Group S.A. since August 2006. He 
was appointed to the Board of EVRAZ plc 
on 14 October 2011.
Committee Membership
Mr Shvidler is a member of the Nominations 
Committee.
Skills And Experience
Mr Shvidler served as president of Sibneft from 
1998 to 2005, having previously been senior 
vice president from 1995. He holds an MSc 
and an MBA.
Other Appointments
Mr Shvidler currently serves a chairman 
of Millhouse.
Eugene Shvidler
Non-Executive Director
Appointment
Eugene Tenenbaum has been a Board member 
of Evraz Group S.A. since August 2006. He 
was appointed to the Board of EVRAZ plc 
on 14 October 2011.
Committee Membership
None
Skills And Experience
Mr Tenenbaum served as head of corporate 
finance for Sibneft in Moscow from 1998 
through 2001. He worked as director 
for corporate finance at Salomon Brothers from 
1994 until 1998. Prior to that, he spent five years 
in corporate finance with KPMG in Toronto, 
Moscow and London, including three years 
(1990-93) as national director at KPMG 
International in Moscow. Mr Tenenbaum was an 
auditor an in the business advisory group 
at Price Waterhouse in Toronto from 1987 until 
1989. He is a chartered accountant.
Other Appointments
Mr Tenenbaum serves on the board of Chelsea 
FC Plc.
Eugene Tenenbaum
Non-Executive Director
Key to committee membership
Nominations Committee
N
Audit Committee
A
Sustainability Committee 
S
Remuneration Committee
R
N
S
N
N
S
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Additional information

INDEPENDENT DIRECTORS
Appointment
Sir Michael Peat was appointed to the Board 
of EVRAZ plc on 14 October 2011. It is expected 
that Sir Michael will be retiring from the Board 
on 31 March 2022 following the completion of 
the demerger of the coal business.
Committee Membership
None
Skills And Experience
Skills and experience: Sir Michael is a qualified 
chartered accountant with over 40 years’ 
experience. He served as principal private 
secretary to HRH the Prince of Wales from 2002 
until 2011. Prior to this, he spent nine years 
as the Royal Household’s director of finance 
and property services and then treasurer 
to the Queen and keeper of the privy purse. Sir 
Michael was at KPMG from 1972 and became 
a partner in 1985. He left KPMG in 1993 
to devote himself to his public roles. He holds 
an MA and MBA and is a fellow of the Institute 
of Chartered Accountants in England and Wales. 
He was the 2018 recipient of the Institute 
of Chartered Accountants Outstanding 
Achievement Award.
Other Appointments
Sir Michael is non-executive chairman of CQS 
Management Limited and non-executive 
chairman of GEMS MENASA Holdings Limited.
Sir Michael Peat
Senior Independent Non-Executive 
Director
Appointment
Karl Gruber has been a Board member of Evraz 
Group S.A. since May 2010. He was appointed 
to the Board of EVRAZ plc on 14 October 2011. 
It is expected that Mr Gruber will be retiring 
from the Board on 31 March 2022 following 
the completion of the demerger of the coal 
business.
Committee Membership
None. 
Skills And Experience
Mr Gruber has extensive experience 
in the international metallurgical mill 
business and holds a diploma in Mechanical 
Engineering. He has held various management 
positions, including eight years as a member 
of the management board of VOEST-Alpine 
Industrieanlagenbau (VAI), first an executive 
vice president of VAI and then as vice chairman 
of the management board of Siemens VAI. He 
also chaired the boards of Metals Technologies 
(MT) Germany and MT Italy. Furthermore, he 
has executed various consultancy projects 
for the steel industry and served as CEO 
and chairman of the management board 
of LISEC Group.
Other Appointments
None
Karl Gruber
Independent Non-Executive 
Director
Appointment
Ms Gordon has been appointed as an 
Independent non-executive director since 
1 February 2022.  
Committee Membership
Ms Gordon is a member of the Audit 
Committee and Sustainability Committee.
Skills And Experience
Ms Gordon has over two-decade-long 
experience in equity and debt capital markets. 
She was Executive Vice President and EME 
Strategy at PIMCO from 2010 to 2014. Prior 
to that, from 1998 to 2010 she had been a 
Managing Director, Head of Emerging Markets 
Strategy at Goldman Sachs Asset Management. 
Ms Gordon holds a Bachelor’s degree in 
Political Science from the University of 
Wisconsin and a Master’s degree in law and 
diplomacy from The Fletcher School of Law and 
Diplomacy at Tufts University. 
Other Appointments
Ms Gordon’s current board appointments 
include NED positions at PJSC Detsky Mir, 
PJSC Polyus, TCS Group Holding PLC, 
PJSC Moscow Exchange MICEX-RTS and 
PJSC Alrosa. 
Maria Gordon 
Independent Non-Executive 
Director 
New appointment
Appointment
Deborah Gudgeon has been a Board member 
of EVRAZ plc since May 2015.
Committee Membership
Ms Gudgeon serves as chair of the Audit 
Committee and is a member of the Remuneration 
Committee, Nominations Committee, 
and Sustainability Committee. It is expected that 
Ms Gudgeon will become Senior Independent 
Director following the retirement of Sir Michael 
Peat.
Skills And Experience
Ms Gudgeon is a qualified chartered accountant 
with 30 years’ experience. She started her career 
with Coopers and Lybrand, and in 1987 became 
a senior accountant for Salomon Brothers 
International. From 1987 to 1995, Ms Gudgeon 
served as a finance executive at Lonrho PLC 
and was appointed as a member of the Finance 
Committee in March 1993. From 1995 to 1998, 
she served as a director for Halstead Services 
Limited, and, from 1998 to 2003, she served 
as a director of Deloitte, specialising in corporate 
finance. From 2003 to 2009, Ms Gudgeon served 
as a founding director of the Special Situations 
Advisory team for BDO LLP, providing integrated 
advice on corporate finance, restructuring, debt 
and performance improvement. From 2011 to 2017, 
Ms Gudgeon served as managing director 
of Gazelle Corporate Finance Limited.
Other Appointments
Ms Gudgeon is currently a senior adviser 
at Penfida Limited and a non-executive director 
of Petra Diamonds Limited.
Deborah Gudgeon
Independent Non-Executive 
Director
Appointment
Alexander Izosimov was appointed to the Board 
of EVRAZ plc on 28 February 2012.
Committee Membership
Mr Izosimov is chairman of the Remuneration 
Committee and the Nominations Committee. He 
is also a member of the Audit Committee.
Skills And Experience
Mr Izosimov has extensive managerial and board 
experience. He was CEO of M.Video-Eldorado 
Group, from 2020 to 2022. From 2003 to 2011, he 
was president and CEO of VimpelCom, a leading 
emerging market telecommunications operator. 
From 1996 to 2003, he worked at Mars Inc, where 
he held various managerial positions, including 
regional president for CIS, Central Europe 
and Nordics, and was a member of the executive 
board. Prior to Mars Inc, Mr Izosimov 
was a consultant with McKinsey and Co 
(Stockholm, London, 1991-96) and was involved 
in numerous projects in the transportation, mining, 
manufacturing and oil businesses. Until recently, 
Until recently, Mr Izosimov served on the boards 
of MTG AB, Dynasty Foundation, LM Ericsson AB 
and Transcom SA and Hövding. He also previously 
served as director of Baltika Breweries, the Sladko 
confectionery company and the Teleopti AB 
IT company. He also served as a director and 
chairman of the GSMA (global association of 
mobile operators) and was a director of the ICC 
(International Chamber of Commerce) Board. He 
holds an MBA from INSEAD.
Other Appointments
Mr Izosimov is an independent non-executive 
director of the PJSC Moscow Exchange.
Alexander Izosimov
Independent Non-Executive 
Director
Appointment
Stephen Odell was appointed to the Board 
of EVRAZ plc on 15 June 2021.
Committee Membership
Mr Odell is a member of the Audit Committee, 
Remuneration Committee and the Nominations 
Committee.
Skills And Experience
Mr Odell has extensive international automotive 
and large industrial company experience 
gathered over a 38-year history. He retired from 
Ford Motor company as a Global Executive 
Vice President in 2018. As an Executive Vice 
President, he was responsible for Global 
Sales, Marketing and Service operations for 
Ford and prior to that, President of Ford of 
Europe, Middle East and Africa. Other prior 
experience includes CEO of Volvo Cars, based 
in Gothenburg Sweden, and Senior Managing 
Director for Mazda Car Corporation, based in 
Hiroshima Japan. Mr Odell has lived in multiple 
countries around the world and established the 
FordSollers joint venture in Russia, where he 
served as joint Chairman for three years.
Mr Odell graduated from the University of 
Brighton as a Bachelor of Arts in Business 
Studies.
Other Appointments
Mr Odell is currently a chairman of the Board at 
Accsys Technologies plc, a UK listed sustainable 
timber company and a member of council for 
the University of Nottingham.
Stephen Odell
Independent Non-Executive 
Director
New appointment
S
Chairwoman
N
A
S 
R
Chairman
N
A
Chairman
R
N
A
R
Key to committee membership
Nominations Committee
N
Audit Committee
A
Sustainability Committee 
S
Remuneration Committee
R
A
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INDEPENDENT DIRECTORS
Appointment
James Rutherford was appointed to the Board 
of EVRAZ plc on 15 June 2021.
Committee Membership
Mr Rutherford is a member of the Nominations 
Committee and the Audit Committee.
Skills And Experience
Mr Rutherford has held senior roles 
in investment management and investment 
banking, specialising in the global mining 
and metals sector.
He was previously a non-executive director 
at Anglo American plc (from 2013 to 2020) 
and chairman of Dalradian Resources Inc 
(from 2015 until its takeover in 2018). From 1997 
to 2013, he was a senior vice president at Capital 
Group, where he was responsible for global 
investments in the metals and mining industry. 
From 1993 to 1997, he was vice president of equity 
research at the investment bank HSBC James 
Capel in New York, where he covered the South 
American metals and mining industry.
Mr Rutherford graduated from Queen’s 
University Belfast with a Bachelor of Science 
in Economics and Computer Science and from 
University of Sussex with a Master of Arts 
in Development Economics. He is also 
an alumnus of the London Business School.
Other Appointments
Mr Rutherford’s current appointments include: 
non-executive chairman at Centamin plc 
and senior independent director at Anglo 
Pacific Group plc.; and lead independent 
director of GT Gold Corp (from 2019 until its 
takeover in 2021).
James Rutherford
Independent Non-Executive 
Director
New appointment
Key to committee membership
Appointment
Sandra Stash was appointed to the Board 
of EVRAZ plc on 15 June 2021.
Committee Membership
Ms Stash serves as chair of the Sustainability 
Committee and a member of the Remuneration 
Committee.
Skills And Experience
Ms Stash has served as a senior executive 
for leading global energy companies, including 
as executive vice president of Safety, Operations 
and Engineering and External Affairs at Tullow Oil 
from 2013 to 2020. Prior to that, she was senior vice 
president for HSECR, Operations and Engineering 
Assurance at Talisman Energy from 2008 to 2013 
and a vice president at BP plc from 2000 to 2008, 
where she was responsible for Operations — 
Other Business and Corporate in North America, 
Health, Safety and Environment at TNK-BP 
and then Regulatory Affairs, Compliance and Ethics 
at BP America. During her career with ARCO Ltd 
from 1981 to 2003, she held various roles from 
senior engineer to vice president.
Ms Stash graduated with a Bachelor of Science 
in Petroleum Engineering from the Colorado 
School of Mines.
Other Appointments
Ms Stash’s current appointments include: 
independent non-executive director and chair 
of the ESG Committee at Lucid Energy 
Group LLC; non-executive director and chair 
of the Sustainability and Safety Committee 
at Diversified Energy plc; non-executive director 
and chair of the Sustainability Committee at 
Trans Mountain Corporation; non-executive 
director at First Montana Bank and independent 
non-executive director and chair of the 
Sustainability Committee at Chaarat Gold 
Holdings Limited.
Sandra Stash
Independent Non-Executive 
Director
New appointment
Aleksey Ivanov
Chief Executive Officer
MANAGEMENT
Mr Ivanov was appointed as CEO in September 
2021. Prior to that, he served as senior 
vice president of business development 
and commerce since November 2015. He 
also held the positions of vice president, 
head of the Steel Division (2011-15) and head 
of the Siberia Division (2009-11). He previously 
served as the senior deputy CFO responsible 
for financial control and treasury functions 
(2008-09) and director of financial control 
(2002-09).
From 1998 to 2002, Mr Ivanov held various 
positions at Liggett-Ducat, where his 
responsibilities included production, controlling 
and logistics. He also served as head 
of the Credit Department at Inkombank 
(1997-98).
Mr Ivanov graduated from INSEAD in 2002. He 
holds a degree in Finance from the Financial 
Academy of the Government of the Russian 
Federation and has been a member 
of the Chartered Institute of Management 
Accountants since 2004. In 2008, Mr Ivanov 
received a diploma in Human Resources from 
the Australian Professional Association.
Nikolay Ivanov
Chief Financial Officer
Mr Ivanov joined EVRAZ in November 2016 
as CFO. Prior to that, he served as executive 
vice president and CFO at VimpelCom 
from 2013. Over the previous 10 years, he 
held various positions at TNK-BP, including 
first deputy of the executive vice president 
for exploration and production.
As EVRAZ CFO, Mr Ivanov leads the financial 
unit and supervises key supporting functions, 
including: legal; investor relations and public 
relations; IT; procurement and technological 
development.
Mr Ivanov graduated from the Financial 
Academy of the Government of the Russian 
Federation with a degree in Finance and Credit, 
as well as from Northeastern University, 
Missouri, USA, and Truman University, USA, 
with a degree in Accounting.
Andrey Davydov
Vice President, Head of the Coal 
Division
Mr Davydov joined EVRAZ in 2010. He headed 
EVRAZ’ Sukha Balka iron ore mine in Ukraine 
and has been in charge of Management 
Company EVRAZ Mezhdurechensk since 
2016. Prior to joining EVRAZ, Mr Davydov had 
worked at various Russian coal companies, 
including Belon.
Mr Davydov graduated from the Physics 
Department of Kemerovo State University 
with a degree in Microelectronics 
as well as the Mining Department of Moscow 
State Open University (specialising 
in Subterranean Development of Subsoil 
Resources). He is a graduate of the Presidential 
Programme at the Academy of National 
Economy under the Government of the Russian 
Federation.
Alexander Erenburg
Vice president, Head of the 
Vanadium Division 
Mr Erenburg has been with EVRAZ since 2003. 
He started in the Project Financing Department 
and subsequently held various positions 
in strategic investment planning. In 2011, he 
was placed in charge of business development 
at EVRAZ NTMK. In 2015, he was appointed 
as director of Vanadium Assets. In December 
2018, Mr Erenburg became a EVRAZ vice 
president and head of the Vanadium Division.
Mr Erenburg graduated from Novosibirsk 
State University with a degree in Mathematical 
Methods and Operations’ Research 
in Economics. Не received an MA in Economics 
from Central European University.
Chairwoman
S
R
N
A
In addition, Laurie Argo served as a non-executive director during the year. Ms Argo stepped down from the Board on 
15 June 2021.
Nominations Committee
N
Audit Committee
A
Sustainability Committee 
S
Remuneration Committee
R
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Mr Herald joined EVRAZ North America 
in August 2019 as president and chief executive 
officer.
Prior to EVRAZ, Mr Herald was CEO of Axip 
Energy Services, a Houston-based provider 
of compression services at every major U.S. 
shale basin.
Mr Herald has more than 35 years’ experience 
in the oil and gas and energy industries, in both 
the service and manufacturing sectors. He 
spent a significant part of his career, from 1985 
to 2007, with the global oil services company 
Halliburton, working in multiple business units 
and managing operations globally.
In 2007, Mr Herald became the North America 
managing director at Vallourec, a France-
based multinational manufacturer of steel 
tubular products. In 2014, he was named CEO 
of the Americas at line pipe manufacturer 
Welspun Corp.
Mr Herald is a graduate of West Virginia 
University, where he received a Bachelor 
of Science in Electrical Engineering.
Mr Kuznetsov joined EVRAZ in 2002 
and was appointed as vice president 
for strategic development and operational 
planning in July 2009. Prior to that, he 
served as vice president for corporate 
strategy and performance management. His 
responsibilities include strategic development, 
operational planning, M&A transactions 
and financial valuation of business 
and investment projects.
Мr Kuznetsov previously held various positions 
within the Company and served as director 
for strategic planning and investment analysis 
from 2008 to 2009. He was formerly head 
of the Financial Analysis and Valuation 
Department, where his responsibilities included 
financial analysis, valuation of investment 
projects and M&A transactions (2006-08). From 
2002 to 2006, Mr Kuznetsov was manager 
of the Capital Markets and International 
Investments Department and was involved in all 
of the Company’s M&A transactions.
Mr Kuznetsov graduated with honours from 
the Moscow Institute of Physics and Technology 
in 2001 with a degree in Applied Mathematics 
and Physics. He also received a Master’s degree 
in Economics from the New Economic School 
in 2002.
James “Skip” Herald
President and Сhief Executive 
Officer, EVRAZ North America
Mr Natrusov joined the Company in May 2011 
as vice president of information technologies.
Prior to EVRAZ, Mr Natrusov held management 
positions in information technologies 
at Eldorado from 2008 to 2011, ROSNO from 
2006 to 2008 and Nestle Russia from 1998 
to 2006.
Mr Natrusov has more than 16 years’ experience 
in information technologies, including 
operational management and management 
of complex projects dealing with SAP 
and Oracle applications.
Mr Natrusov graduated with honours 
from the Moscow Institute of Electronic 
Technology in 1994 and received an MBA from 
the University of Southern California in 1998.
Alexander Kuznetsov
Vice President, Corporate Strategy 
and Performance Management
MANAGEMENT
Artem Natrusov
Vice President, Information 
Technologies
Denis Novozhenov
Vice President, Head of the Urals 
Division
Konstantin Rubin
Vice President, Health, Safety 
and Environment
Mr Novozhenov has been with EVRAZ 
since 1996. In April 2018, he was appointed 
as head of the Urals Division. In 2011, he 
was appointed as general director of a steel 
mill in the Smolensk region. He subsequently 
served as head of the Ukraine Division. He 
started as an economist at EVRAZ NTMK 
and went on to hold numerous managerial 
positions at EVRAZ VGOK, Evrazruda 
and Yuzhkuzbassugol.
Mr Novozhenov graduated from Urals 
State Technical University with a degree 
in Engineering and Economics. He holds 
an MBA from the Synergy Institute 
of Economics and Finance.
Mr Rubin joined the EVRAZ team in June 
2017 as director of health and safety. 
In January 2018, he was appointed 
as the Company’s vice president 
for health, safety and environment.
Mr Rubin worked at Shell Neft, one 
of the occupational safety leaders in its 
industry, for more than eight years, first 
as the head of production and then 
as branch director.
Mr Rubin graduated from the Chemical 
Faculty of Platov South-Russian State 
Polytechnic University and the Economics 
Faculty of Rostov State University. He has 
a Master of Arts in Management from 
the UK’s Open University.
Ms Samsonova joined EVRAZ 
in December 2021. Prior to that, she 
had worked for 15 years as HR director 
at Uralkali, Global Ports, EuroChem 
and TransContainer. She was responsible 
for the development and implementation 
of the HR strategy, setting up a close-
knit executive leadership team, talent 
search, establishing and developing 
the foundations of corporate culture, 
and the development and implementation 
of compensation systems.
In 1998, Ms Samsonova graduated 
with honours from Perm State University 
with a degree in English Language 
and Literature. In 2000, she received 
a Master’s degree in HR Management 
from University of Durham Business 
School, UK. In 2012, she received an MBA 
from Saint Petersburg International 
Institute of Management. Ms Samsonova 
has been recognised by the TOP-1000 
Russian Managers ranking 
and was awarded the HR Manager 
of the Year award for her achievements 
in human capital management.
Elena Samsonova
Vice President, Human 
Resources
New appointment
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Mr Sementsov joined EVRAZ as vice 
president for corporate communications 
in June 2013.
Prior to EVRAZ, Mr Sementsov 
served as the director of public 
relations at Sistema for more than 
five years. In 2001-08, he was PR 
manager of Intel Corporation in Russia 
and the CIS. In 1999-2011, he worked 
as the creative editor of Beeline World 
Monthly Magazine. In 1992-99, he 
served as a senior reporter at several 
publications, such as Interfax-AiF, 
Business World and Moscow News 
weeklies.
He graduated from the Moscow 
Engineering Physics Institute 
with а degree in Technical Physics.
Sergey Sergienko was appointed as Vice-
President, Technologies Development 
in September 2021. He joined EVRAZ 
in 2009. He has held the positions 
of director for development of the steel 
and iron ore business (2015-17), director 
for technologies development (2017-18) 
and director for EVRAZ business system 
development.
Mr Sergienko graduated from Krasnoyarsk 
State Technical University with a degree 
in Casting Machines and Casting 
Technology. In 2011, he completed 
the EVRAZ New Leaders programme. 
In 2017, Mr Sergienko received 
the Company’s highest corporate award, 
EVRAZ Stela, in the EBS nomination 
for a project he led to benchmark 
processing stages and create the Science 
and Engineering Board.
Vsevolod Sementsov
Vice President, Corporate 
Communications
In November 2014, Mr Shirokobrod 
was appointed as vice president of sales 
and logistics.
Mr Shirokobrod joined EVRAZ in 2010 
as the managing director of the Trading 
Company EvrazHolding and served as vice 
president of sales in 2011-12. In April 
2012, Mr Shirokobrod was appointed 
as vice president and head of the Railway 
Products Division.
Prior to joining EVRAZ, from 2005 to 2010, 
Mr Shirokobrod held various management 
positions at Centravis Limited (the largest 
producer in the CIS and the fifth largest 
global producer of seamless stainless 
pipes), where he was responsible 
for worldwide sales, strategy and business 
development. In 1999-2005, he served 
as commercial director (Russia and Central 
Asia) and chief executive of Alcoa CSI. 
Mr Shirokobrod has also held various 
commercial positions at Melitta Russland 
and Tetra Pak.
Mr Shirokobrod graduated with honours 
from St. Petersburg State Technical 
University in 1995 with a degree 
in Engineering Physics, and he 
holds a Master of Sciences degree 
in Engineering. He received an executive 
MBA from Stockholm School of Economics 
in 2005.
Sergey Sergienko
Vice President, Technologies 
Development
New appointment
MANAGEMENT
Ilya Shirokobrod
Vice President, Sales 
and Logistics
Alexey Soldatenkov
Vice President, Head 
of the Siberia Division
Yanina Staniulenaite
Vice President, Legal
Sergey Vasiliev
Vice President, Compliance 
with Business Procedures 
and Asset Protection
Mr Soldatenkov was appointed as vice 
president and head of the Siberia Division 
in December 2015.
Prior to joining EVRAZ, Mr Soldatenkov 
worked at Severstal, where he 
was business development director 
of Severstal Russian Steel and chief 
technical officer of Severstal. Prior 
to this, he held managerial positions 
at Magna Technoplast and was involved 
in the commissioning of Ford, General 
Motors, Renault and Volkswagen facilities 
in Russia.
Mr Soldatenkov graduated from Bauman 
Moscow State Technical University 
with a degree in Mechanical Engineering. 
He also completed the Top Manager 
training programme at the Russian 
Presidential Academy of National 
Economy and Public Administration.
Ms Staniulenaite joined EVRAZ in January 
2017 as the property and corporate 
governance director. She served 
as vice president of legal in late 2017 
and was officially appointed to this position 
in June 2018.
Ms Staniulenaite has a solid track record 
of legal support at major industrial 
companies. She was the head of RusHydro’s 
Corporate Governance and Property 
Department for six years. Prior to that, 
she worked as Inter RAO UES’s corporate 
governance director for over seven years. 
Ms Staniulenaite provided legal support 
for major projects, in particular RusHydro 
Group’s acquisition of the heat holding 
RAO ES of the East. Under her leadership, 
Inter RAO UES entered the Russian public 
market and issued depositary receipts.
Ms Staniulenaite graduated from the Law 
Faculty of Lomonosov Moscow State 
University and the Institute of Business 
Studies at the Russian Government 
Academy of National Economy and Public 
Administration.
Mr Vasiliev was appointed as vice 
president for compliance with business 
procedures and asset protection in July 
2015.
A lieutenant-general in the police, 
Mr Vasiliev held numerous senior 
positions at Russian internal affairs 
agencies from 1988 to 2015.
He is a graduate of the Ural Law Institute 
and the Russian Academy of Public 
Service under the President of the Russian 
Federation.
In addition, Natalia Ionova served as Vice President, Human Resources 
during the year, before stepping down on 1 September 2021.
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CORPORATE  
	 GOVERNANCE 
REPORT
INTRODUCTION
EVRAZ is a public company limited by shares incorporated in the United Kingdom. 
It is a premium-listed company on the Main Market of the London Stock Exchange 
and is a member of the FTSE 100 Index. EVRAZ is committed to high standards 
of corporate governance and control.
COMPLIANCE WITH CORPORATE 
GOVERNANCE STANDARDS
The Group’s approach to corporate 
governance is based on the UK Corporate 
Governance Code published by the Financial 
Reporting Council (FRC) in July 2018 
and the Listing Rules of the UK Financial 
Conduct Authority. For a short period of 
time, the Board did not have an executive 
director on it following the retirement of Mr 
Frolov as chief executive officer. Mr Ivanov, 
the present chief executive officer has now 
been appointed an executive director with 
effect from 1 February 2022. Apart from 
this, during the year to 31 December 2021, 
EVRAZ complied with all the principles 
and provisions of the 2018 UK Corporate 
Governance Code (the Governance Code 
is available at www.frc.org.uk), with the 
following code provision exceptions:
	• Provision 9: The chairman was non-
independent on appointment, 
as he was and remains a significant 
shareholder, and had previously served 
as a CEO and chairman of the Group 
prior to listing in 2011. The Board 
considers that he brings independence 
of judgement to the Group’s activities, 
as well as extensive experience 
and expertise on the Group’s key 
markets. The Board also considers 
that the current Board structure 
provides a suitable level of protection 
for minority shareholders, as it operates 
in accordance with the Relationship 
Agreements currently in place 
(  see page 158-159).
	• Provision 19: The Chairman has been 
in this position since the IPO in October 
2011 and has therefore served in excess 
of nine years. The Board has considered 
this situation and, as explained 
in the previous comment on Provision 
9, the Board considers that he has 
extensive experience and expertise 
on the Group’s key markets.
	• The Board also considers that 
the Chairman should remain in this 
position during the transition period 
of new Board members to retain 
the necessary stability for the Group.
	• Provision 37: The Company does 
not operate clawback arrangements. 
An explanation for this non-compliance 
is set out in the Remuneration Report 
 on page 142. 
An explanation of how the Company 
has complied with the UK Corporate 
Governance Code, including how it 
has applied the principles contained 
therein, is set out within this Corporate 
Governance Report, the Strategic Report 
and the Directors’ Report. In particular, 
the following pages will be most relevant 
in enabling shareholders to evaluate how 
these principles have been applied:
	• Board Leadership and Company 
Purpose –  see pages 114-121 
of the Corporate Governance Report.
	• Division of Responsibilities – 
 see pages 114-121 of the Corporate 
Governance statement.
	• Composition, Succession 
and Evaluation –  see pages 134-136 
of the Nominations Committee Report.
	• Audit, Risk and Internal Control – 
 see pages 126-133 of the Audit 
Committee Report,  pages 122-123 
of Risk Management and Internal 
Control and   pages 84-96 of Principal 
Risks and Uncertainties.
	• Remuneration –  see pages 140-153 
of the Remuneration Committee Report.
BOARD RESPONSIBILITIES AND ACTIVITIES
The Board and management of EVRAZ aim 
to pursue objectives in the best interests 
of the Group, its shareholders and other 
stakeholders, and particularly to create 
long-term value for shareholders.
In 2021, despite the significant operational 
impact caused by the COVID-19 pandemic, 
disruption to the Board’s activities 
were minimal as meetings were moved 
to video format with little loss of efficiency.
The EVRAZ Board is responsible 
for the following key aspects of governance 
and performance:
	• Financial and operational performance.
	• Strategic direction.
	• Major acquisitions and disposals.
	• Overall risk management.
	• Capital expenditure and operational 
budgeting.
	• Business planning.
	• Approval of internal regulations 
and policies.
Generation and preservation 
of value
EVRAZ’ business model and strategy 
are presented  on pages 6-101 
of the Strategic Report, which describe 
the basis upon which the Company 
generates and preserves value 
over the long term. The Board periodically 
reviews this model.
In early 2021, the Board announced that 
it was considering the strategic merits 
of and possible structures for the demerger 
of its metallurgical coal business in order 
to generate value for shareholders. 
The Board subsequently conducted a 
comprehensive review of the rationale and 
feasibility of the demerger and believes 
that the demerger will benefit stakeholders 
of the separate businesses in the following 
areas: increased transparency of 
sustainability performance and goals, 
tailored capital allocation, an independent 
growth strategy for Raspadskaya 
and differentiated value proposition. 
For more details, see the Shareholder 
Circular at the following link: https://www.
evraz.com/files/en/demerger/circular.pdf 
and in this report  on pages 6-9, 11-13.
The Board and culture
The Board continues to ensure that 
the business’s culture is aligned 
with the Group’s purpose and values 
as detailed in the Strategic Report 
 on pages 6-101. The key feedback tool 
it uses to monitor progress in this area 
is the annual employee survey that EVRAZ 
carries out throughout the business, 
the details of which are described 
in the Strategic Report 
 on pages 8, 57, 73. 
The Board reviews a summary of the annual 
survey and monitors the implementation 
of any necessary actions that 
the management undertakes.
The Board views corporate social 
responsibility as an integral part 
of the Group’s business and strives 
to address and monitor all relevant 
matters in this area. The EVRAZ Code 
of Conduct and EVRAZ Supplier Code 
of Conduct establishes cultural expectations 
for the activities of all directors, executives, 
employees, contractors, suppliers 
and community members in relation 
to the Group’s business. It also encourages 
an environment of ethics and responsibility 
for the benefit of the Company’s 
stakeholders. The Group publishes 
a comprehensive Sustainability Report.
The Board also discussed the following 
topics during 2021: 
Strategy 
and planning
	• Reviewing the critical success factors for the strategic development of the Group’s competitive advantages.
	• Demerging the metallurgical coal assets consolidated under Raspadskaya, which will result in the creation of two distinct 
publicly listed businesses.
	• Disposing of non-core businesses.
	• Linking succession planning to corporate strategy execution, and the need to look deeper into the Group for future leaders.
Operational 
matters
	• Reviewing the performance of key businesses, including commercial initiatives to improve operational performances 
and revenues.
	• Reviewing investment projects.
	• Implementing the EVRAZ Business System throughout the Group over the next five years to promote an operational culture 
of values and behaviours that support the drive for continuous improvement and business change.
	• Reviewing HSE updates, including key initiatives and responses to significant incidents.
	• Monitoring the implementation of a risk analysis approach to Health and Safety, including reviewing the associated training 
programmes.
	• Reviewing the Group’s risk appetite and considering the principal risks
	• Approving the revised terms of reference for the Sustainability Committee to consider the Company’s response to increasing 
ESG requirements and opportunities.
The Board’s key discussions and decisions
Continued
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In addition, the Board agreed to pay: 
an interim dividend of US$0.30 per ordinary 
share, totalling US$437 million, on 7 April 
2021; an interim dividend of US$0.20 per 
share, totalling US$292 million, on 25 June 
2021; an interim dividend of US$0.55 
per share, totalling US$802 million, 
on 10 September 2021, and an interim 
dividend of US$0.20 per share, totalling 
US$292 million, on 14 January 2022. 
The level of distributable reserves within 
the balance sheet was considered 
at each distribution and was found 
to be sufficient to enable the dividend 
to be paid. The dividends paid were in line 
with the dividend policy previously agreed 
by the Board, which also considered 
the impact of COVID-19 on the Group’s 
going concern and cash flow position.
In keeping with the requirements 
of the relationship agreements, put in 
place as required by the FCA Listing 
rules, between the Company and its 
major shareholders, the Company’s 
independent non-executive directors 
have conducted an annual review 
to consider the continued good standing 
of the relationship agreements between 
major shareholders and are satisfied that 
the terms of the relationship agreements 
are being fully observed by all parties. 
In accordance with LR9.8.4R (14), it has 
been confirmed that the Company has 
complied with the independence provisions 
of the relationship agreements.
As far as the Company is aware the 
major shareholders, Roman Abramovich1, 
Abiglaze Ltd and Crosland Global Limited 
(or any of their associates) have complied 
with the independence provisions of the 
relationship agreements. In addition, 
as far as the Company is aware, Roman 
Abramovich, Abiglaze Ltd and Crosland 
Global Limited have complied with 
the procurement obligations in the 
relationship agreements.
Financial
	• Reviewing and approving the Group’s consolidated budget and budgets of individual business units.
	• Approving the interim and full-year results, as well as the 2020 annual report.
Governance
	• Ensuring compliance with the UK Market Abuse Regulation in relation to managing inside information and share dealing 
by insiders.
	• Reviewing the findings of the internal Board evaluation exercises and action plans resulting therefrom.
	• Approving the 2020 Modern Slavery Statement.
	• Approving the Payments to Governments Report.
	• Approving the UK Tax Strategy for the year 2021.
The Board’s Section 172 Statement is given 
 on pages 98-99.
Principal decisions
DECISION
2022 BUSINESS PLAN AND BUDGET
Context
The Business Plan and Budget sets the annual targets for the Group, and the costs of the necessary resources 
to achieve these targets. It is developed considering the Group’s overall strategy, as well as any specific 
challenges faced by each division and its underlying business units, including any stakeholder-related 
considerations. The Chief Executive Officer, supported by key members of the management team, presents 
the Business Plan and Budget for the Board’s challenge and approval.
Stakeholder 
considerations
In reviewing the Business Plan and Budget, the Board considered the potential impact that each operation 
and project might have on its stakeholders (employees, local communities, government and regulators, 
contractors and suppliers, shareholders and customers) and the environment.
Strategic actions 
supported by the Board
The strategic actions of the Business Plan and Budget supported by the Board to generate value 
for stakeholders are:
	• Demerger of the Group’s coal business.
	• Further HSE initiatives, which will be monitored by the Sustainability Committee, to improve performance 
as detailed in the Sustainability Committee Report 
 on pages 137-139.
	• Approval of investment plans to further reduce greenhouse gas emissions and support government 
regulations.
	• Continued pursuit of high standards of corporate governance and adherence to regulations.
	• Approval of maintenance CAPEX to enhance business efficiency, increase value and improve working 
conditions for staff.
	• Approval of investment plans and the generation of new projects that provide additional employment 
opportunities.
Impact of these actions 
on the long-term 
success of the Company
The Business Plan and Budget creates a balance between current operating performance and considerations 
that matter to all stakeholders in the short and long term, such as health and safety, environmental 
performance and community relations.
Outcome
In December 2021, the Board discussed and approved the 2022 Business Plan and Budget.
DECISION
DEMERGER OF THE GROUP’S COAL BUSINESS
Context
The Board and management of EVRAZ conducted a comprehensive review of the rationale and feasibility of the potential 
demerger of its metallurgical coal assets consolidated under Raspadskaya and concluded that the separation of the two 
businesses serves the long-term interests of EVRAZ’ shareholders, employees, clients and other stakeholders. 
The demerger will result in the creation of two distinct publicly listed businesses with leading positions in their respective 
fields, and will allow each to pursue tailored strategic, capital allocation and sustainability objectives.
Stakeholder 
considerations
The Board believes the demerger would benefit the stakeholders of the separate businesses in the following areas:
	• Increased transparency over sustainability performance and goals: Allowing each business to concentrate on its 
respective sustainability priorities, enhancing accountability for sustainability performance, and the definition 
and delivery of future strategy.
	• Tailored capital allocation: Enabling each business to adopt a capital allocation framework balancing its individual cash 
flow profile, growth investment strategy and capital return priorities.
	• Independent growth strategy for RASP: Allowing RASP to independently implement its strategy and pursue growth 
opportunities with dedicated financial and human resources.
	• Differentiated value proposition: Establishing a clear and focused equity story for each of EVRAZ, as a leading global 
producer of steel, iron ore and vanadium, and RASP, as a leading producer of high-quality metallurgical coal.
Impact of this  
action on the 
Company’s 
long-term success 
The Board of EVRAZ considers that this action will lead to a business with the following key strengths post demerger:
Commitment to the highest sustainability standards.
EVRAZ is committed to integrating the principles and values of sustainable development into all of its business processes 
and day-to-day operations. EVRAZ has established four main areas of focus to ensure that sustainable development 
issues are considered across all of the EVRAZ Group's business processes and operational stages: (i) employee well-
being; (ii) environmental protection; (iii) economic stability; and (iv) local community development. 
EVRAZ remains committed to its long-term goal of achieving zero injuries and fatalities in the workplace and mandates 
that no operation should be undertaken unless it can be performed safely. In the first half of 2021, its LTIFR was 0.7 per 
million hours worked and four fatalities occurred in the Steel Segment, including one contractor. The EVRAZ Group is 
deeply saddened by all fatalities and conducts in-depth internal investigations into each accident. It has organised and 
implemented a number of health and safety initiatives as part of its commitment to accident prevention. 
Global leading steel producer with focus on high value-add infrastructure steel products.    
EVRAZ is a top-30 global steel producer by 2020 production volume, the largest rail manufacturer in the US and Russia, 
the number one beams and construction steel producer in Russia, and a leader in the North American large diameter 
pipe segment. 
Diversified asset base spread across multiple geographies.   
EVRAZ has a broadly diversified asset base. In Russia, the company owns iron ore mining facilities, steel and vanadium 
production plants, and trading companies. EVRAZ also has a substantial presence in North America which comprised 
approximately 12% of its total steel production in 2020. EVRAZ also has several operations in Europe. 
Low-cost production with secured access to key raw materials.
EVRAZ seeks to create value through leveraging its advantageous low-cost position, which enables the Company to serve 
domestic and export markets profitably. Maintaining efficient operations is one of EVRAZ's key business objectives. 
Higher earnings stability following mitigation of coal exposure. 
In 2020, EVRAZ's metallurgical coal business contributed 17% of its total EBITDA.
The Demerger should provide EVRAZ with greater earnings stability, as the EBITDA margin of the Coal Segment has 
been more volatile than that of the Steel Segment. Over the period between 2013 and 2020, the Coal Segment's EBITDA 
margin fluctuated between 9% and 55%, while the range for EVRAZ would have been only 13% - 24% for the same 
period excluding the metallurgical coal business.
Ability to focus strategy and capital allocation on the Steel, Vanadium and North American segments.
In the context of the development of higher value added products, EVRAZ as a steel enterprise (rather than a steel and 
coal enterprise) should be able to develop its strategy and capital deployment programme more effectively.
EVRAZ's new investment opportunities are mainly focused on the development and diversification of the steel product 
portfolio in Russia and North America. 
The Steel Segment is undertaking a product mix improvement programme that includes investment projects to update 
the rail and beam mill at a cost estimated to be US$210 million. Further, in 2021, EVRAZ together with the Rail Service 
industrial group launched construction of a new railway wheel mill in the Sverdlovsk region's Titanium Valley special 
economic zone. 
For more details, see the Shareholder Circular at the following link: https://www.evraz.com/files/en/demerger/circular.pdf.
Strategic actions 
supported 
by the Board
The Board agreed to recommend to shareholders the demerger of the coal business from the EVRAZ Group 
by issuing a circular to shareholders seeking their approval in early January 2022, which was obtained, and the 
transaction is expected to be completed in 2022.
Outcome
Shareholders gave approval to the transaction proceeding on 11 January 2022, and it is expected to complete in 
March 2022. A full update of the outcome of the demerger will be given in the 2022 annual report.
1.	 On 16 February 2022 Roman Abramovich became a direct major shareholder of the Company due to the transfer of the Company's shares from Greenlease 
International Holdings Ltd to his personal account.
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DECISION
APPROVAL OF VARIOUS OTHER INVESTMENT PROJECTS
Context
The business plan for each financial year contains numerous investment projects that involve sizeable capital 
expenditures, which can be used for a variety of different types of projects, including the replacement 
of outdated equipment at existing facilities, the construction of new plants to take advantage of new market 
opportunities or the extension of iron ore deposit to support the Company’s vertical integration strategy.
Stakeholder 
considerations
Shareholders
	• Enhance production efficiency and access markets for new products, thereby improving shareholder value.
	• Develop new and existing resources to support the vertical integration business model, thereby increasing 
shareholder value.
Employees
	• Provide safer working conditions with a better working environment.
 Environment
	• Reduce greenhouse gas emissions.
	• Improve wastewater control.
	• Increase energy efficiency.
Impact of these actions 
on the Company’s long-
term success
The decision to invest demonstrates confidence in the long-term outlook for iron and steel products 
in the markets served by these production facilities, as well as the Group’s commitment to sustainable growth 
for the benefit of all stakeholders.
Strategic actions 
supported by the Board
The Board supported the investment projects to generate value for stakeholders by:
	• Reducing greenhouse gas emissions in line with government regulations.
	• Improving operational efficiency and increasing shareholder value.
	• Improving working conditions for employees.
	• Reassuring customers that the products they purchase have been made in line with environmental 
regulations.
Outcome
The Board approved a number of investment projects during the year.  see pages 11-13, 26-27
During the year, the following changes 
in Board membership occurred: Stephen 
Odell, James Rutherford and Sandra 
Stash were appointed as directors 
on 15 June 2021. Ms Laurie Argo stepped 
down as a director on 15 June 2021. 
On 1 September 2021, Mr Alexander 
Frolov ceased to be the Group’s CEO, 
but remained as a non-executive 
director. As noted above Mr Aleksey 
Ivanov and Ms Maria Gordon joined 
the Board on 1 February 2022. In addition, 
the Company has announced that both 
Mr Karl Gruber and Sir Michael Peat 
are expected to step down as directors 
on 31 March 2022.
The Board considers that the eight 
non-executive directors (Karl Gruber, 
Maria Gordon, Deborah Gudgeon, 
Alexander Izosimov, Stephen Odell, 
Sir Michael Peat, James Rutherford 
and Sandra Stash) are independent 
in character and judgement, and free 
from any business or other relationship 
that could materially interfere 
with the exercise of their independent 
judgement, in compliance with the UK 
Corporate Governance Code. Although 
both Sir Michael Peat and Karl Gruber 
have served as directors in excess 
of the nine years recommended 
by the Code as a guide to independence, 
the Board asked them to continue 
in their positions during the demerger 
of Raspadskaya from the EVRAZ Group 
of companies to provide continuity during 
the transition. The Board considered that 
under the circumstances it did not believe 
that their tenure had an impact on their 
independence and continued to consider 
them as independent non-executive 
directors. The Company has now 
announced their expected retirement 
date.
Independent non-executive directors 
comprise the majority on all committees 
(excluding the Sustainability Committee) 
and chair all Board committees.
Chairman and chief executive
The Board determines the division 
of responsibilities between the chairman 
and the chief executive officer (CEO). 
This division of duties is documented 
in a separate document approved 
by the Board.
The chairman’s principal responsibility 
is the effective management of the Board, 
ensuring that the Board as a whole plays 
a full and constructive part in developing 
and determining the Group’s strategy 
and overall commercial objectives. 
The Board is chaired by Alexander 
Abramov.
The CEO is responsible for leading 
the Group’s operating performance, 
as well as for the day-to-day management 
of the Company and its subsidiaries. During 
the year, Alexander Frolov stepped down 
as CEO and the Board appointed Aleksey 
Ivanov as his successor.
The CEO is supported by the executive 
team.
In addition, the Board appoints one 
independent non-executive director 
to serve as the senior independent director, 
whose duties are detailed in the documents 
that describe the roles of the chairman 
and CEO.
Board meetings 
and composition
EVRAZ plc held ten scheduled Board 
meetings during 2021. In 2022, up 
to the date of this report’s publication, 
two Board meetings were held. Two 
unscheduled meetings were held in 2021 to: 
approve the publication of a shareholder 
circular in relation to the demerger 
of Raspadskaya from the EVRAZ Group 
of companies; and to consider the renewal 
of certain supply contracts for iron 
concentrate and pellets.
Due to travel restrictions put in place amid 
the COVID-19 pandemic, no meetings 
were held in person. All were held by video 
conference call.
The chief financial officer, the senior vice 
president for commerce and business 
development (prior to his appointment 
as chief executive officer) and the vice 
president for corporate strategy 
and performance management attended 
all Board meetings. Other members 
of senior management attended meetings 
by invitation to deliver presentations 
on the status of projects and performance 
of business units.
The table on the next page indicates 
the attendance of each current director 
of the EVRAZ plc Board and Board 
committee meetings in 2021.
As of 31 December 2021, the Board 
comprised the chairman and ten non-
executive directors, including a senior 
independent director. With effect from 
1 February 2022, Aleksey Ivanov, the CEO, 
joined the board as an executive 
director, and Maria Gordon joined 
as an independent non-executive 
director. The appointment of the CEO 
as an executive director means that 
the Company continues to operate 
in accordance with principle G of the Code.
Ms Olga Pokrovskaya, a former non-
executive director, is invited to attend 
Board meetings in an advisory capacity 
and to attend the Audit Committee 
meetings as an observer. She is also 
a member of the Sustainability Committee.
Board composition
23%
61%
8%
8%
Independent Non-Executive Director
Non-Executive Director
Chairman, Non-Executive
Executive Director
Board and AGM attendance by each director
SCHEDULED 
BOARD 
MEETINGS
UNSCHEDULED 
BOARD 
MEETING
REMCO
SUSTAINABILITY
AUDIT
NOMCO
AGM
Total number of meetings
10
2
6
3
10
51
1
Alexander Abramov
10/10
2/2
4/52
0/1
Alexander Frolov
10/10
2/2
3/3
-
0/1
Karl Gruber
10/10
2/2
-
1/1
3/3
0/1
Deborah Gudgeon
10/10
2/2
6/6
10/10
2/2
1/1
Alexander Izosimov
10/10
2/2
6/6
9/10
5/5
0/1
Stephen Odell
5/63
1/1
3/3
5/104
2/24
0/1
Sir Michael Peat
10/10
2/2
3/3
3/3
1/1
James Rutherford
6/6
1/1
-
6/104
2/2
1/1
Eugene Shvidler
10/10
2/2
5/5
0/1
Sandra Stash
6/6
1/1
3/3
2/35
-
0/1
Eugene Tenenbaum
10/10
2/2
-
0/1
1.	 The Nominations and Remuneration Committee held a joint meeting.
2.	 Mr Abramov was unable to attend one Nominations Committee, which was held on short notice, due to a prior commitment, but had shared his views on the matter 
under discussion with the Nominations Committee chair.
3.	 Mr Odell was unable to attend one Board meeting due to a prior board commitment immediately following his appointment as a director.
4.	Mr Odell and Mr Rutherford were able to participate in the Audit Committee meetings only since their appointment as a directors at the AGM in June 2021.
5.	 Ms Stash was able to participate in the Sustainability Committee meetings only since her appointment as a director at the AGM in June 2021.
Due to COVID 19 travel restrictions, only UK-based directors attended the AGM.
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Boardroom diversity
EVRAZ recognises the importance of diversity 
both at the Board level and organisation-wide.
During the year under review, the Board 
adopted a new diversity policy, which 
notes that the Group remains committed 
to increasing diversity throughout its global 
operations and takes diversity into account 
during each recruitment and appointment 
process, working to attract outstanding 
candidates with diverse backgrounds, skills, 
ideas and cultures. EVRAZ sees diversity 
as a crucial business driver.
The Board considers that this extends 
to the composition of the Board 
and the processes associated with Board 
appointments.
The Board is aware of the guidance 
issued by the Hampton Alexander review 
(predecessor of the FTSE Women Leaders 
Review) for FTSE 350 Companies with regard 
to female representation on boards exceeding 
33%, and the Parker Review Guidance 
on ensuring that each board contains 
at least one person from an ethnic minority 
background. It will take this into account 
during every recruitment process.
The Board will ensure that female 
representation on the Board never drops 
below two members.
The Board is committed to meeting best 
practice standards in gender and ethnic 
diversity. While the nature of the steel 
and mining industries makes this more 
challenging, it does not diminish the Board’s 
commitment.
It will, of course, balance this with appointing 
directors who can best serve the Company’s 
and shareholders’ interests by providing 
excellent governance and the appropriate 
challenges. Consequently, all appointments 
will be made on the basis of merit.
As stated in the Sustainability section, EVRAZ 
sees diversity as a crucial business driver 
and strives to ensure that all employees’ rights 
receive equal protection, regardless of race, 
nationality, religious belief, gender or sexual 
orientation. People with disabilities are given 
full consideration both during the recruitment 
process and once employed to ensure that 
their unique aptitudes and abilities are taken 
into account.
For more details, see the Nominations Committee 
Report 
 on pages 134-136 and the Sustainability 
section 
 on pages 54-78.
The Company believes that the Board’s 
composition provides an appropriate 
balance of skills, knowledge and experience. 
The Board members comprise a number 
of different nationalities with a wide range 
of skills, capabilities and experience from 
a variety of business backgrounds. Biographies 
of the Board members are provided 
in the Board of Directors section.
Board expertise
The Board has determined that, as a whole, 
it has the appropriate skills and experience 
necessary to discharge its functions.
All non-executive directors have the experience 
required to contribute meaningfully 
to the Board’s deliberations and resolutions. 
Non-executive directors assist the Board 
by constructively challenging and helping 
to develop strategy proposals.
The recruitment of new independent 
non-executive directors in 2021 and 2022 
has strengthened the Board’s expertise 
and widened its skills base. The Nominations 
Committee has commenced a process 
to identify suitable candidates for the role 
of independent non-executive director 
to replace the director who will be required 
to stand down at the 2022 AGM, having 
completed his term of nine years.
Introduction and professional 
development
The chairman, supported by the Nominations 
Committee, is responsible for ensuring that 
there is a properly constructed and timely 
induction for new directors upon joining 
the Board. Following the appointment 
of three new independent non-executive 
directors during the year and a further one in 
early 2022, a revised programme was drawn 
up. The programme focused on ensuring that 
all newly appointed directors:
	• Worked with an existing Board director, who 
acted as a mentor.
	• Obtained a full understanding from 
management of the Group’s strategy, its 
key operations, business development 
plan as well as investment projects that 
are underway or have been proposed.
	• Reviewed the HSE processes in place 
and considered developments planned 
in that area.
	• Were briefed on EVRAZ’s HR structure 
and the Group’s employees, its digitalisation 
programme and IT development, 
and the EVRAZ business system.
	• Were advised of existing Board processes, 
along with holding meetings with key Board 
advisers to ensure appropriate knowledge 
of the regulatory environment in place.
The programme was fully implemented for all 
four new appointees, although the level of site 
visits and interaction with staff was severely 
curtailed due to COVID 19 restrictions.
Directors have full access to a regular 
supply of financial, operational, strategic 
and regulatory information to help them 
discharge their responsibilities.
For more details, see the Nominations Committee Report 
 on pages 134-136.
Performance evaluation
An external annual Board evaluation 
was conducted by Lintstock in 2020. 
In 2021, an internal review was carried 
out by the EVRAZ company secretary. 
The review was carried out at the initiative 
and with the participation of the Company’s 
Nominations Committee. Questionnaires 
were distributed to all Board directors for their 
response and comment.
The results were discussed at three levels: 
(i) among the members of the Nominations 
Committee; (ii) between Alexander Izosimov 
(as chairman of the Nominations Committee) 
and Alexander Abramov (as chairman 
of the Board); and (iii) among the members 
of the Board as a whole.
The Board’s performance was deemed 
to be satisfactory. The outcome of the 2021 
Board evaluation called for: 
	• A review of board processes with regard to 
major projects.
	• Further investor analysis to understand 
shareholder views, along with increased 
engagement with shareholders on 
governance concerns. 
	• Deep dives into customer end-use of 
products, and the underlying culture of the 
business.
	• Further consideration of risk appetite 
focussing on operational risk issues.
	• Enhanced review of the ESG and climate 
risk agenda by the Sustainability Committee 
and consideration of appropriate ESG 
metrics by the Remuneration Committee for 
incentives. 
	• Review by HR and the Remuneration 
Committee of remuneration structures to 
align them with value creation.
The Company undertakes regular 
performance evaluations of the Board in line 
with the requirements of the UK Corporate 
Governance Code.
Board committees
The following principal committees 
support the Board in its work: the Audit 
Committee, the Remuneration 
Committee, the Nominations Committee 
and the Sustainability Committee. Each 
committee has written terms of reference 
that have been approved by the Board 
and summarise its role and responsibilities. 
The committees review their respective 
terms of reference each year and submit 
any recommended changes to the Board 
for approval. All terms of reference 
for the committees are available 
on the Group’s website: www.evraz.com.
The Audit Committee consists of five 
non-executive directors, all of whom 
are independent, which complies 
with the Code. The Board considers that, 
as a whole, the committee has competence 
relevant to the industry sector in which 
the Group operates. Specifically, Deborah 
Gudgeon and James Rutherford have relevant 
recent financial experience.
Board composition as of 31 December 20211
NAME
POSITION
COMMITTEE MEMBERSHIP
YEAR OF TENURE
Non-executive directors
Alexander Abramov
Chairman
NC – member
10
Alexander Frolov
Director
SC – member, NC – member
10
Eugene Shvidler
Director
NC – member
10
Eugene Tenenbaum
Director
None
10
Executive directors
Aleksey Ivanov1
Director
SC – member
<1
Independent non-executive directors
Maria Gordon1
Director
AC – member, SC – member
<1
Karl Gruber
Director
None
10
Deborah Gudgeon
Director
AC – chair, RC – member,  
NC – member, SC – member
6
Alexander Izosimov
Director
RC – chair, NC – chair,  
AC – member
9
Stephen Odell
Director
AC – member, NC – member, RC – member
1
Sir Michael Peat
Senior independent director
None
10
James Rutherford
Director
AC – member, NC – member, 
1
Sandra Stash
Director
RC – member, SC – chair
1
Role and composition of each committee
COMMITTEE NAME
FUNCTION
COMPOSITION
LINK TO COMMITTEE 
REPORT
Audit Committee
Audit, financial reporting, risk 
management and controls
All five members are independent 
non-executive directors
 See pages 126-133
Nominations Committee
Selection and nomination 
of Board members
All seven members are non-executive 
directors, of which four are independent
 See pages 134-136
Remuneration Committee
Remuneration of Board members 
and senior management
All four members are independent non-
executive directors
 See pages 140-153
Sustainability Committee 
(renamed from Health, Safety 
and Environment Committee 
since 14 December 2021)
Sustainability issues, including 
health, safety and environmental 
matters
Three of the six members are non-
executive, including the chair2
 See pages 137-139
1.	 Aleksey Ivanov and Maria Gordon were appointed as directors on 1 February 2022.
2.	 The members of the Sustainability Committee as of 31 December 2021 were Sandra Stash (chairwoman), Alexander Frolov, Deborah Gudgeon and Olga Pokrovskaya, 
who has continued as a non-executive member of the Sustainability Committee following her cessation as a Board member on 14 March 2016. With more than 
50% of EVRAZ operations based in the Russian Federation, the committee continues to value the contribution she brings in terms of her technical and regional 
experience. Mr Aleksey Ivanov and Ms Maria Gordon became members of the Committee on 1 February 2022 following appointment.
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Additional information

RISK MANAGEMENT AND INTERNAL CONTROL
The aim of the risk management process 
is to identify, evaluate and manage 
potential and actual threats to the Group’s 
ability to achieve its objectives.
The EVRAZ Enterprise Risk Management 
(ERM) process is designed to identify, 
quantify and respond to these threats, 
as well as to monitor the Group’s 
prevention and mitigation system.
Management maintains a risk register that 
encompasses both internal and external 
threats. The level of risk appetite 
approved by the Board is used to identify 
particular risks and uncertainties that 
require specific Board oversight. In 2021, 
the process in relation to principal 
risks and uncertainties was consistent 
with the UK Corporate Governance Code, 
the FRC Guidance on the Strategic Report 
issued in July 2018 and the abovementioned 
FRC guidance issued in September 2014.
Executive management is responsible for both 
internal controls in place and mitigating 
actions related to risk management 
throughout the Group’s business 
and operations. This serves to encourage 
a risk-conscious business culture.
EVRAZ applies the following core principles 
to identifying, monitoring and managing 
risk throughout the organisation:
	• Risks are identified, documented, 
assessed and monitored, and their 
profile is regularly communicated 
to the relevant levels of the management 
team. The business management 
team is primarily responsible for ERM 
and accountable for all risks assumed 
in the operations.
	• The Board is responsible for assessing 
an optimal balance of risk (risk 
appetite) through the alignment 
of business strategy and risk tolerance 
on an enterprise-wide basis. In addition, 
the Board oversees and approves risks 
outside the Group’s defined risk appetite 
and reviews any significant internal 
control weaknesses.
	• EVRAZ has established a reporting 
process involving business unit 
management teams and other relevant 
bodies at major enterprises. Its aim 
is to identify, evaluate and establish 
management actions for risk mitigation 
at a regional level, as well as at the Group’s 
major steel and mining operations. 
The Risk Management Group maintains 
a corporate risk register that represents 
a summary of this information. Business 
unit management teams and other relevant 
bodies are accountable to the Risk 
Management Group, which consists 
of business unit and function vice 
presidents.
The Board has delegated primary oversight 
of the internal control process at EVRAZ 
to the Audit Committee, which discusses 
any major internal control findings that 
exceed the Board’s risk appetite.
The EVRAZ Business Security department 
is led by a vice president and has specific 
responsibility for preventing and detecting 
business fraud and malpractice, including 
fraudulent behaviour by employees, 
customers and suppliers. Robust 
internal controls help to minimise 
risk, and the EVRAZ Business Security 
department ensures that appropriate 
processes are in place to protect 
the Group’s interests.
EVRAZ also maintains a comprehensive 
financial reporting procedures (FRP) manual 
detailing the Group’s internal control 
and risk management systems and activities. 
The manual was last updated in November 
2021 to reflect changes in internal processes. 
The document was prepared in accordance 
with the Financial Reporting Council (FRC) 
Guidance on Risk Management, Internal 
Control and Related Financial and Business 
Reporting issued in September 2014.
Risk appetite
Risk appetite is an important part of the risk 
management process, and it serves 
as a measure of the risks that management 
is willing to accept in pursuit of value.
The Board has approved a risk appetite 
in accordance with the risk management 
methodology adopted by EVRAZ.
Risk appetite is considered in evaluating 
strategies and setting objectives within 
the Group’s strategic and budgeting cycle, 
in decision making and in developing 
risk management actions and methods, 
as well as in identifying particular risks 
and uncertainties that require specific 
Board oversight. The strategic objectives 
set by EVRAZ are aligned with, and risk 
mitigation actions are reflective of, 
the risk appetite approved by the Board. 
The Group takes a robust approach 
in relation to risk management. Risk 
appetite for some specific business 
processes (for example, health and safety, 
fraud, security, bribery and corruption) 
is assessed, defined and evaluated 
separately from the rest of the processes.
Management reassesses the risk 
appetite at least once a year through 
the Risk Management Group, which 
reports on the analysis to the Audit 
Committee. The committee then makes 
recommendations to the Board regarding 
the level of risk appetite.
The Risk Management Group 
and the Audit Committee last reviewed 
the Group’s risk profile in November 2021.
Based on the results of the most recent 
review, management concluded that 
the risk-acceptance approach employed 
by EVRAZ had not changed and that 
the risk appetite remained the same 
as in the prior year. An appropriate 
recommendation regarding the level of risk 
appetite was made to the Audit Committee 
and to the Board on 18 November 2021.
Internal audit
Internal audit is an independent appraisal 
function established by the Board to evaluate 
the adequacy and effectiveness of controls, 
systems and procedures at EVRAZ, 
which helps to reduce business risks 
to an acceptable level in a cost-effective 
manner. The Board approved the internal 
audit charter on 26 February 2020. The 
Audit Committee reviewed the charter on 20 
January 2022 and agreed with no changes.
The internal audit function’s role in the Group 
is to provide an independent, objective, 
innovative, responsive and effective value-
added internal audit service. This is achieved 
through a systematic and disciplined 
approach based on assisting management 
in controlling risks and monitoring 
compliance, as well as improving 
the efficiency and effectiveness of internal 
control systems and governance processes. 
Once a year, the function provides 
an opinion of the overall effectiveness 
of the internal controls in place at EVRAZ.
During 2021, the Group’s head of internal 
audit and the secretary of the Audit 
Committee attended all the committee’s 
meetings and addressed any reported 
deficiencies in internal control as required 
by the committee.
The internal audit planning process 
starts with the Group’s strategy 
includes the formal risk assessment 
process, consideration of the results 
of management’s internal control self-
assessment and the identification 
of management concerns based 
on the results of previous audits. It ends 
with an internal audit plan, which the Audit 
Committee approves.
Audit resources are predominantly allocated 
to areas of higher risk and, to the extent 
considered necessary, to financial 
and business controls and processes, 
with appropriate resource reservation for ad 
hoc and follow-up assignments.
In 2021, internal audit projects covered 
the following risks at the Group:
	• Cost effectiveness.
	- Product competition.
	• HSE: health and safety.
	- HSE, environmental.
	• Capital projects and expenditure.
	• Human resources.
	• Transportation, sourcing, raw materials 
and energy supply.
	• Digital effectiveness, as well as effective, 
efficient and continuous IT service.
The internal audit function at EVRAZ 
is structured on a regional basis, reflecting 
its geographic spread of operations. 
The internal audit function aligns common 
internal audit practices throughout 
the Group through quality assurance 
and improvement programmes.
With the current speed of technological 
changes and the emergence of new risks, 
internal audit goes beyond the traditional 
approach and develops new competencies, 
such as the use of analytical tools for big 
data analysis, to better identify potential 
risks that threaten the company ability to 
achieve its goals.
Components of the internal control system
COMPONENT
BASIS FOR ASSURANCE
ACTION IN 2021
Assurance framework — principal 
entity-level controls to prevent 
and detect error or material 
fraud, as well as to ensure 
the effectiveness of operations 
and compliance with principal 
external and internal regulations
	• Annual self-assessment by management at all 
major operations of the internal control system 
using the EVRAZ Assurance Framework.
	• Review of the self-assessment by the internal 
audit function.
	• Assessment of the overall effectiveness 
of the governance, risk and control framework.
In 2021, the internal audit function reviewed 
the results of management’s internal control self-
assessment and evaluated the overall effectiveness 
of the governance, risk management and internal 
control system.
All major production sites were certified as having 
effective overall governance, risk management 
and internal control.
Investment project management
	• Effectiveness of project management 
and management of project risks is monitored 
by an established management committee 
and subcommittees.
	• Reviewed by the internal audit function.
Project delivery is closely monitored against project 
plans resulting in high-level action to manage 
project investment for both timely delivery and 
planned project expenditure. (incl. Management 
committee, BU's Investment Committee, Corporate 
Investment committee).
Operating policies and procedures
	• Implemented, updated and monitored 
by the management.
	• Reviewed by the internal audit function.
Operating policies and procedures are updated 
as per internal initiatives by the operational 
management and in response to recommendations 
from the internal audit function. 
Operating budgets
	• Approved by the Board.
	• Monitored by the controlling unit.
	• Reviewed by the internal audit function.
Operating budgets are prepared by the executive 
management and approved by the Board.
Objectives for 2022
Further development of the risk management 
system and risk management practices 
is planned for 2022. In 2021, the Group 
focused on enhancing its health and safety 
risk management methodology, including 
the risk of mass quarantine of workers due 
to COVID-19. This work will continue in 2022.
In 2022, in addition to continuing 
to implement ongoing initiatives that aim 
to improve risk management (in HSE, 
equipment maintenance and repairs, IT 
projects and other processes), the Group 
plans to focus more on addressing 
environmental risks, which have always 
been a focal point for management 
and are recognised as principal risks. 
EVRAZ also continues to closely work 
with other risks related to climate change 
and sustainability development, including 
decarbonisation, biodiversity and social 
risks, among others.
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Additional information

STAKEHOLDER ENGAGEMENT
EVRAZ uses various communication channels to ensure that its stakeholder 
engagement approach covers all stakeholder groups and facilitates two-way 
communication and feedback.
Engagement by Board members
Engagement by management
SITE VISITS
ROADSHOWS FOLLOWING FINANCIAL 
REPORTING ANNOUNCEMENTS
DAY-TO-DAY ENGAGEMENT
RUSSIAN AND INTERNATIONAL 
INVESTMENT CONFERENCES
Shareholders and investors
REGULAR CAPITAL  
MARKETS DAYS
Engagement with the following stakeholder groups is primarily undertaken by management through the engagement mechanisms 
set out below. Key issues are reported to the Board through management’s monthly Board Report.
B
М
М
М
М
М
Customers
Regularly monitoring customer 
satisfaction levels
Meetings and feedback sessions with 
clients and EVRAZ management
Electronic platform for clients
Site visits to production assets
Suppliers  
and contractors
Discussions with potential suppliers
Electronic platform for suppliers
Educational programmes for 
contractors to ensure high level of 
workplace safety
Local  
communities
Implementing various social, 
infrastructural and environmental 
projects based on local communities’ 
needs
Organising social events for 
populations of regions where EVRAZ 
operates
Holding direct dialogues with local 
communities
The executive team is responsible 
for the day-to-day stewardship of all 
stakeholder relationships and its members 
report to the Board on key metrics 
and initiatives. The Board, either directly 
or through its committees, engages or 
oversees engagement with the Company’s 
stakeholders through a number 
of governance activities (which are described 
in more detail, along with further information 
about the Company’s engagement with key 
stakeholders,  on page 149.)
OUR GOAL
To build honest and supportive relationships 
with all stakeholders on the Group’s path 
towards sustainable development.
DIRECT ENGAGEMENT 
OF DEDICATED BOARD 
MEMBERS
REGULAR INTERACTION 
WITH TRADE UNIONS
DEVELOPMENT OF A 
SAFETY CULTURE
INTERNAL PORTAL FOR 
EMPLOYEES
REGULAR EDUCATIONAL 
PROGRAMMES TO 
DEVELOP EMPLOYEES’ 
PROFESSIONAL SKILLS
REGULAR EMPLOYEE 
ENGAGEMENT SURVEY
CORPORATE NEWSPAPERS
HOTLINE
Employees
B
М
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Government and 
regulatory authorities
Regular meetings with 
representatives of government and 
regulatory authorities at federal, 
regional and local levels
Disclosure of information concerning 
the Group’s social, economic and 
environmental performance
Agreements on regional socio-
economic development
Media
Hosting regular press conferences
Supporting and initiating mutual 
communication projects
Supporting regional TV channels and 
newspapers.
Organising site visits.
Day-to-day and ad-hoc engagement
Industry  
organisations
Organising and participating in 
conferences, as well as other industry 
events 
Initiating and supporting various 
social, economic, educational and 
environmental projects
М
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Additional information

AUDIT  
	 COMMITTEE 
REPORT
I am pleased to present the Audit 
Committee Report for the year ended 31 
December 2021.
There were a number of changes 
to the composition of the committee 
during the year. Laurie Argo stepped 
down upon her retirement from the board 
in June 2021, replaced by James Rutherford 
and Stephen Odell. I would like to thank 
Laurie for her diligent contribution 
to the work of the committee and welcome 
Jim and Stephen. Maria Gordon joined 
the Audit Committee from 1 February 2022 
following her appointment to the Board.
COVID-19 continued to effect 
the committee’s work and all meetings 
during 2021 were held virtually. The impact 
of the pandemic on all aspects 
of the committee’s responsibilities and work 
was regularly evaluated throughout 
the year. However, I am pleased to report 
that the committee met in person 
in Moscow in January 2022 and also 
visited the operations of EVRAZ NTMK 
and EVRAZ KGOK.
As always, I would like to extend the thanks 
of the committee to the executive 
and financial management of the Group, 
the internal audit department and our 
external auditor, EY, for their continuing 
diligence and valued contribution 
to the work of the committee during 2021.
ROLES AND RESPONSIBILITIES OF THE AUDIT 
COMMITTEE
The work of the committee is determined 
by its terms of reference. These 
were updated during 2021 to reflect 
latest best practice and, in particular, 
effective and appropriate co-ordination 
with the Sustainability Committee. 
The updated terms of reference 
were approved by the board 
in 14 December 2021 and can be accessed 
at: www.evraz.com.
The Audit Committee minutes are tabled 
at board meetings and the Chairman 
provides an oral update on the committee 
proceedings. Key matters 
and recommendations are communicated 
to the board on an ad hoc basis if 
appropriate.
The Audit Committee reviews 
the Group’s governance, risk and control 
environment annually, together 
with the risk register and risk appetite 
proposed by management, before they 
are considered by the board.
I confirm, on behalf the Group, its 
compliance during the year commencing 
1 January 2021 with the provisions 
of the Competition and Markets Authority 
Order 2014 on mandatory tendering 
and audit committee responsibilities.
COMMITTEE MEMBERS AND ATTENDANCE
The Audit Committee members are all 
independent non-executive directors 
and have a wide range of skills 
and experience. Deborah Gudgeon 
is a chartered accountant with recent 
and relevant financial experience. 
Alexander Izosimov and Stephen 
Odell provide key strategic, industrial 
and commercial expertise. Jim Rutherford 
brings further recent and relevant financial 
experience. As disclosed in the Corporate 
Governance Report   on pages 118-119, 
Olga Pokrovskaya attends the Audit 
Committee meetings by invitation, 
providing additional technical expertise 
and valuable regional knowledge.
The CFO and senior members 
of the Group’s finance function, the head 
of Internal Audit and the external auditors 
attend all committee meetings. During 
the year, key members of the executive 
management team and Risk Management 
Group are invited to present to the Audit 
Committee on specific matters relevant 
to the committee’s work.
The committee met ten times during 2021 
and three times in early 2022 prior to the 
publication of this Annual Report. Two of 
the meetings in 2021 related to specific 
single topics, namely the independence 
of the external auditor and the accounting 
treatment for the demerger of PSJC 
Raspadskaya (“Raspadskaya”) in the 2021 
financial statements. 
Deborah Gudgeon
Independent Non-Executive Director
ACTIVITIES AND WORK OF THE COMMITTEE IN 2021
The Audit Committee has continued 
to focus on the integrity of the Group’s 
financial reporting, the related internal 
control framework and risk management 
including finance, operations, regulatory 
compliance, corruption and fraud. These 
areas were comprehensively reviewed 
and the committee requested and received 
regular updates from the Group’s financial 
and operational management, internal 
audit, compliance officer and vice 
president of legal affairs and security, 
as well as the external auditor.
The FRC undertook a limited scope review 
of the EVRAZ viability and going concern 
disclosures in the 31 December 2020 Annual 
Report and Financial Statements during 
2021 as part of their Thematic Review. 
The review was based upon the relevant 
legal and accounting framework rather 
than a detailed knowledge of the EVRAZ 
business or underlying transactions but 
raised no questions or queries regarding 
the disclosures in the Annual Report 
and Financial Statements.
During 2021, the Audit Committee focused 
on the significance of climate related matters 
for the Group and the work of the committee, 
in particular the risk and control profile 
of the business, financial reporting and TCFD. 
Consideration of climate-related and ESG 
factors have been embedded in all aspects 
of the committee’s work, particularly in areas 
were longer term judgements are required 
such as viability or impairment modelling 
and related disclosures. In June 2021, 
the committee received an update report from 
Deloitte on climate-related regulation, TCFD 
and the Group’s approach and readiness. 
In close collaboration with the Sustainability 
Committee, the committee considered 
the controls over the collation of non-financial 
data that underpin key climate and ESG 
metrics and will keep this evolving area under 
review in 2022.
The IT security of the Group was reviewed 
again during 2021 and early 2022. 
The committee reviewed the results 
and recommendations of the 2021 
information security audit in the Russian 
Federation together with the digital 
transformation project. In North America, 
the IT security mitigation plan was updated 
and extended to reflect the strong 
progress already made against key targets 
and emerging risks. There is now a common 
IT governance structure across the business 
headed by the CEO as recommended 
by the Audit Committee but, given 
the significance of IT security to the Group’s 
risk profile and resilience, and the level 
of digital transformation throughout 
the business, the committee will continue 
to review this area in 2022 and beyond.
In October 2021, an employee of Raspadskaya 
admitted offering monetisable services 
to a state official for two years as set out 
 on page 78. The employee had attended 
anti-corruption online training and was 
fully aware of the Group’s Anti-Corruption 
Policy, the Regulations for Interaction with 
Government Bodies and the Employee Code 
of Conduct. The Audit Committee considered 
the implications of this case, in particular that 
it was uncovered as a result of a Russian police 
investigation rather than the Group’s internal 
processes. Management were challenged 
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SIGNIFICANT FINANCIAL REPORTING ISSUES 
CONSIDERED IN 2021
and finished steel products. The Audit 
Committee reviewed management’s 
going concern analysis which tested 
two scenarios: a base case and a flexed 
downside scenario based upon pricing 
close to the bottom of the range of current 
investment analyst forecasts. Both 
scenarios reflect the effect of the highly 
probable demerger of the coal business 
(Note 13), the scheduled repayment 
of debt including US$750 million of US 
denominated notes due in 2023 (Note 
22) and the effect of the new excise tax 
on liquid steel and higher taxes on mineral 
extraction introduced by the Russian 
Federation from 1 January 2022 (Note 30). 
The risks associated with climate change, 
in particular the introduction of carbon 
pricing were considered but are not 
anticipated to have a significant impact 
in the going concern assessment period.
Given the heightened geopolitical risk 
and uncertainties relating to Ukraine, the 
Audit Committee asked management to 
test the resilience of the business over the 
period of the going concern assessment 
through a severe downside scenario. 
This assumed a reduction in capital 
expenditure to US$500 million and tested 
the extent to which EBITDA could fall over 
the period while maintaining an operating 
level of liquidity. This fall in EBITDA 
reflects a highly material interruption to 
the Group’s current business, reflecting 
a reduction of Russian export sales 
outside the CIS to nil and other possible 
factors, including further international 
sanctions. The committee considered 
incremental mitigating actions available to 
management such as further reductions in 
capital expenditure and other cash costs 
and the deferral of dividends.
The committee carefully considered all 
three scenarios including the projected 
use and source of funds for the period 
to June 2023, including scheduled loan 
repayments, committed funding, free cash 
flow after committed capital expenditure 
and the Group’s dividend policy. None of 
the scenarios include any new financing 
beyond that currently committed although 
management continue to monitor 
opportunities for the future raising of funds. 
Based upon this review, the committee 
concluded that liquidity is unlikely to be 
eliminated or covenants breached in any of 
the three scenarios.
Following these detailed considerations, 
the Audit Committee resolved 
to recommend the going concern basis 
of preparation for the Financial Statements 
as at 31 December 2021 to the Board.
Significant accounting 
judgements and management 
estimates
Accounting Treatment of the 
PSJC Raspadskaya Demerger 
(Notes 2 and 13)
The Audit Committee considered 
the accounting treatment for the potential 
demerger of the Group’s coal business 
on a number of occasions during 2021. 
At 30 June 2021, the demerger was still 
under consideration by the Group 
and had not been approved by the Board 
or various regulatory authorities 
in the UK and Russian Federation. 
Given the uncertainties, the committee 
concluded that the classification, 
measurement and presentation 
requirements of IFRS 5 should 
not be applied and Raspadskaya 
was not accounted for as Assets Held 
for Distribution to owners in the interim 
financial statements at 30 June 2021.
On 14 December 2021, the Board approved 
the proposed demerger of Raspadskaya 
and a circular detailing the transaction was 
published. The Audit Committee met on 31 
December 2021 to consider the accounting 
treatment of the demerger. The positive 
response of the investment community to 
the circular was considered together with 
the recommendations from 3 proxy agencies 
to support the demerger. The committee 
also considered a report by an independent 
expert on the potential outcome of the 
shareholder vote on the transaction. The 
committee concluded that it was now highly 
probable that the transaction would complete 
in the next twelve months and approved 
the accounting treatment of Raspadskaya 
as Assets Held for Distribution and, as the 
coal business is a major business segment of 
EVRAZ, as a Discontinued Operation. 
Impairment of goodwill 
and non-current assets 
(Note 6)
The committee considered management’s 
impairment assessment for the financial 
year in the context of the current 
and future trading environment 
of the Group, including assumptions 
on future prices, the new excise tax 
on liquid steel and higher taxes on mineral 
extraction in the Russian Federation, 
the continuation of tariffs and duties 
in North America and their impact 
on the recoverable amount of the affected 
assets. Impairment testing was undertaken 
as at 30 September 2021 and reassessed 
at 31 December 2021 when no further 
impairment indicators were identified.
A charge of US$30 million is recorded 
in the financial statements in 2021 
(US$310 million 2020) relating to 
impairments at EVRAZ ZMSK 
(US$13 million) and EINA (US$9 million), 
primarily result of the impairment of 
equipment which was replaced following 
the EAF fire at the Pueblo steel mill. 
The balance relates to the discontinued 
operation of Raspadskaya.
The committee considered management’s 
assumptions and preliminary assessment 
of the implications of future carbon taxes 
in the Russian Federation and noted 
the sensitivity analysis which showed 
a potential future impairment of EVRAZ 
ZMSK of US$768 million.
to demonstrate that this was an isolated 
incident, how the breach was not identified, 
and their response in terms of upgrading 
processes, systems and controls to strengthen 
the compliance framework. An internal 
compliance investigation revealed no similar 
arrangements and the enhanced controls over 
the use of property will be regularly checked 
by compliance managers across EVRAZ going 
forward. This will be an area of heightened 
focus for the committee during 2022. 
During the course of the year, the committee 
received regular updates of the legal risks 
register to allow consideration of the most 
appropriate accounting treatment 
and the effectiveness of the sanctions 
compliance controls was monitored.
The committee undertook a self-
assessment to consider its’ own performance 
and developed a plan to reflect the extended 
terms of reference and return to in-person 
meetings.
At the request of the Board, the Audit 
Committee reviewed the draft Viability 
Statement and supporting analysis 
produced by management. The committee 
considered the scenarios in the context 
of the updated risk register, current 
operating environment and Group strategy. 
In particular, the committee considered 
the implications of climate change, the highly 
probable coal demerger and emerging risks 
over the viability period. The assumptions 
and mitigating actions underpinning each 
scenario and the working capital required 
for the effective operation of the business 
post demerger were reviewed and tested. 
Decarbonisation is now recognised 
as a principal risk of the business 
and the impact was tested for the first 
time in 2021 using assumptions agreed 
with the committee. The committee challenged 
management’s assumptions underpinning 
the business interruption scenario post 
demerger and this was updated to reflect 
an extended downtime.
In the light of escalating geopolitical tensions 
relating to Ukraine, the committee asked 
management to model a severe downside 
scenario to test the resilience of the business 
to a material and sustained interruption over 
the viability period. This was considered 
in the context of the Group’s previous 
ability to withstand market turbulence and 
reconfigure its’ cost base. The scenario 
assumed a reduction in Russian export sales 
outside the CIS to nil over the period and the 
other factors, including further international 
sanctions. The resulting material reduction in 
EBITDA was partially mitigated by reduced 
capital expenditure of $500 million per annum. 
The scenario assumes that the Group can 
raise additional capital in 2023 and 2024 but 
not the additional mitigating actions available 
to management including further reductions 
in capital expenditure and other cash costs 
and the deferral of dividends. The committee 
considered this severe downside scenario and 
concluded that it did not threaten the viability 
of the business.
The Audit Committee’s primary objective 
is to support the Board in ensuring 
the integrity of the Group’s financial 
statements and Annual Report, including 
review of:
	• Compliance with financial reporting 
standards and governance requirements;
	• The material financial areas in which 
significant accounting judgements have 
been made;
	• The critical accounting policies 
and substance, consistency and fairness 
of management estimates;
	• The clarity of disclosures; and
	• Whether the Annual Report, 
taken as a whole, is fair, balanced 
and understandable, and provides 
the information necessary 
for shareholders to assess the Group’s 
performance, business model, strategy, 
principal risks and uncertainties.
The Audit Committee considered 
several financial reporting issues 
in relation to both the interim results 
for H1 2021 and the financial results 
for the year ended 31 December 2021. 
These included the appropriateness 
of the accounting policies adopted, 
disclosures and management’s estimates 
and judgements. Papers produced 
by management on the key financial 
reporting judgements and reports from 
the external auditor on the audit process 
for the full year and interim results 
were reviewed by the committee.
In accordance with IFRS 5 “Non-current 
Assets Held for Sale and Discontinued 
Operations”, the coal assets are classified 
as an asset held for distribution 
to owners and a discontinued operation 
as at 31 December 2021. The effect of this 
accounting treatment is set out in Notes 
2 and 13. The financial statements remain 
impacted by fluctuations in the key 
functional currencies of the business 
(primarily the Russian rouble) against 
the presentation currency of the financial 
statements as set out in Note 2 but 
the effect of these fluctuations was not 
material in the current year.
Going concern (Note 2)
EVRAZ is exposed to a wide range 
of risks and inherent uncertainties as set 
out 
 on pages 84-96, many of which 
are outside the control of the Group. 
During 2021, high iron ore and coking coal 
prices combined with rebounding demand 
supported stronger prices for semi-finished 
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FAIR, BALANCED AND UNDERSTANDABLE
In considering whether the Annual Report 
is fair, balanced and understandable, 
the committee considered the information 
it had received throughout 2021 together 
with discussions held with management 
in the year, and the preparation process 
adopted. The committee also liaised 
closely with the Sustainability Committee 
in relation to information and metrics 
included in the Annual Report relating 
to TCFD, sustainability management 
and climate change risks.
After considering the presentation of 
discontinued operations on the face of the 
financial statements, the Audit Committee 
agreed with management that supplementary 
information not required by IFRS be included 
in the consolidated financial statements 
(Note 35) to assist users in understanding 
the performance of the coal business in the 
year, supplemented by additional disclosures 
and the strategic report. This financial 
information illustrates what the Group’s 
consolidated statements of operations would 
have looked like if Raspadskaya had not been 
consolidated. In contrast with the statements 
of operations presented on the face of the 
consolidated financial statements, intra-
group transactions with Raspadskaya are 
not eliminated but treated as transactions 
with a related party, and unrealised profits 
or losses of Raspadskaya are excluded from 
the consolidated financial statements of 
EVRAZ plc.
Preparation of the Annual Report 
is an iterative process: management agree 
the key overall messages at an early 
stage to ensure a consistent message 
in both the narrative and financial 
reporting; regular meetings are held 
to review the draft Annual Report 
and for management and committee 
members to provide comments; detailed 
reviews of appropriate draft sections 
are undertaken by the relevant directors 
and board committees and external 
advisers.
The committee considered whether the 
description of the business, principal risks 
and uncertainties, strategy and objectives 
were consistent with the understanding 
of the Board, and whether the controls 
over the consistency and accuracy of the 
information presented in the Annual Report 
are robust. Given the escalating geopolitical 
tension relating to Ukraine, the committee 
considered whether the potential risks 
to the business were appropriately and 
adequately disclosed.
Taking into account the disclosure implications 
of the issues discussed in this report, 
the committee recommended to the Board 
that, taken as a whole, it considers 
the Annual Report to be fair, balanced 
and understandable. The Audit Committee 
recommended approval of the Group’s 
2021 Consolidated Financial Statements 
by the Board. Both recommendations 
were accepted by the Board.
OTHER MATTERS
UKBA
During 2021, two key anti-corruption policies 
were updated to reflect latest best practice 
and adopted: On Vetting New Vendors and 
On Gifts and Business Hospitality. Using 
the updated framework for monitoring 
compliance with EVRAZ’ anti-corruption 
policies, compliance during 2021 was 
tested and the compliance risk register 
was recalibrated to reflect the results and 
updated for newly identified risks. The 
results and updated compliance risk register 
were reviewed by the Audit Committee in 
February 2022. Notwithstanding the incident 
at Raspadskaya, the committee noted further 
progress in reducing risk.
Anti-corruption training is all online 
and, as a result, was not impacted 
by the pandemic. The objectives 
of the training are set out   on page 78. 
In 2021, the transition to a bespoke internal 
anti-corruption training programme 
continued via the Group’s Learning 
Management System. This will create 
a total internal programme covering 
anti-corruption, significantly extending 
the capacity to provide initial and refresher 
training across the Group. Contractors 
and vendors can now undertake a new 
standalone course on EVRAZ’ anti-
corruption principles which was launched 
in December 2020. This is now a condition 
for participating in EVRAZ’ tenders.
Sanctions compliance controls
The committee continued to monitor 
developments in the UK, US and EU 
sanctions regime in 2021, consider the 
implications for the Group’s control 
processes, procedures and reporting 
framework and assess the Group’s 
compliance. The legal department 
has formal responsibility for sanctions 
compliance including verification and 
due diligence on counterparties, contract 
procedures, internal training of EVRAZ 
employees and liaising with external legal 
advisers. During 2022, the legal department 
plans to digitalise the sanctions control 
processes.
RISK MANAGEMENT AND INTERNAL CONTROL
This should be read in conjunction with 
the Risk Management and Internal Control 
section   on pages 122-123 .
EVRAZ has an integrated approach to risk 
management to ensure that the review of 
and consideration of current and emerging 
risks inform the management of the 
business at all levels, the design of internal 
controls and the internal audit process. The 
Group’s financial reporting procedures, 
internal controls, risk management systems 
and activities are documented in a Financial 
Reporting Procedures (FRP) manual. The 
updated manual was reviewed by the Audit 
Committee in January 2022.
The risk profile was reviewed and updated 
by the Risk Management Group and 
the Audit Committee in November 2021, 
and the assessment was finalised in 
January 2022. The assessment included 
the updated risk register, management’s 
recommendation on the level of risk 
appetite of the Group and how that 
appetite is applied to strategic, financial 
and operational decisions of the business 
in practice. Following the review, a new 
principal risk was added to the register, 
decarbonisation, and the principal risks 
relating to potential regulatory actions 
by government and capital projects 
were recalibrated to reflect a heightened 
probability. The committee also reviewed 
the Statement of Principal Risks and 
Uncertainties to be included in the Annual 
Report prior to the Board’s consideration.
The risk profile of the business will be 
reassessed in Q2 of 2022 by the Risk 
Management Group and Audit Committee 
following the highly probable demerger of 
the Group’s coal assets. Any changes to the 
risk register or recalibration of the Group’s 
risk appetite will be recommended to the 
Board.
Internal audit findings on control issues 
that exceed the Group’s risk appetite 
are reported to the Board by the Audit 
Committee and followed up the Group’s 
Management Committee. Progress on the 
timely and effective resolution of issues is 
monitored regularly by the committee.
The Audit Committee reviews 
whistleblowing activity quarterly, including 
details of each report and its’ resolution. 
Significant whistleblowing reports are 
shared with the committee on an ad hoc 
basis as they arise. The committee also 
considers the bi-annual report of the 
security department including the progress 
on follow-up investigations and resulting 
actions in relation to fraud and theft.
Assessment of the Group’s 
Risk Profile and Control 
Environment
Internal Audit evaluates the overall 
effectiveness of the Group’s governance, 
risk and control environment annually and 
this is considered by the Risk Management 
Group and the Audit Committee. The 
chairman of the Audit Committee tables 
the assessment of the governance, risk and 
control environment with the Board.
The Audit Committee monitors the internal 
control environment throughout the year 
and engages with management to ensure 
the effective resolution of any deficiencies 
identified by internal audit. The effective 
mitigation of key risks continues to be 
a key focus of the committee. In 2021, 
the committee reviewed progress on the 
information security mitigation plans 
developed following the cyberattack at 
EVRAZ North America in March 2020 
and the regular annual assessments 
across the business, as well as the digital 
transformation strategy. Other areas 
considered included progress on the 
repairs and maintenance transformation 
project across the Russian assets and 
health and safety. The Audit Committee 
considered whether any of these matters 
had implications for the risk and control 
environment of the Group.
INTERNAL AUDIT
The Audit Committee receives quarterly 
internal audit reports detailing significant 
internal audit findings, progress on the 
timely and effective resolution of 
outstanding findings across the business, 
the status of any ad hoc projects and 
revisions to the current year audit plan. 
An annual internal audit report 
summarising all major results and 
conclusions is also reviewed by the 
committee. The internal audit plan for 
2022 was reviewed by the Audit 
Committee and judged to be aligned to 
the updated risk profile. Overall, the 
committee considers the current internal 
audit resource to be adequate for the 
internal control and risk management 
assurance requirements.
The Audit Committee reviewed the 
Internal Audit Charter in January 2022 and 
concluded that no revisions were required. 
An annual assessment of the effectiveness, 
independence and quality of the internal 
audit function was undertaken by way of 
questionnaire to committee members, 
management and the external auditors and 
found to be very satisfactory.
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EXTERNAL AUDIT
The Audit Committee is responsible for 
monitoring the ongoing effectiveness and 
independence of the external auditor, 
as well as making recommendations to 
the Board on the re-appointment of the 
external auditor.
During 2021, EY provided reporting 
accountant services to the Group in 
respect of the prospective demerger of the 
Raspadskaya coal assets. These services are 
required by the listing rules for a Class 1 
transaction and are not prohibited. Certain 
of these services can only practically be 
performed by the incumbent auditor. 
Services were provided by both the UK 
and the Russian Federation practices of 
EY. In late August 2021, the committee 
was informed that there had been an 
inadvertent breach of the Revised Ethical 
Standard 2019 by EY in respect of the non-
audit fee threshold at the UK practice level. 
The FRC guidelines require that non-audit 
fees cannot exceed 70% of the average 
audit fee for the proceeding three years 
either at a consolidated level or at the UK 
country practice level. There is provision 
for pre-clearance with the FRC in certain 
circumstances where this cap may be 
breached in a given year. Globally, EY were 
comfortably within this threshold 38% but 
a breach at the UK component audit level 
was not identified or pre-cleared with the 
FRC until the Group approached EY to 
undertake additional work. 
Following disclosure of the breach, the 
Committee Chairman engaged with EY and 
the FRC to consider the implications of the 
breach for the external auditor and the 
Group. The Audit Committee held a special 
meeting in September 2021 to consider 
the independence of the external auditor. 
The conclusion of the committee was that 
it still considered EY to be independent 
despite the technical breach. In reaching 
this conclusion, the committee considered a 
number of factors including:
	• The low level of the UK component 
audit fee relative to the size of the 
group audit fee, reflecting the Group 
structure and Moscow headquarters, 
and integrated audit approach;
	• The generally accepted practice that 
a UK firm lead in relation to capital 
markets work;
	• The reporting accountant work does not 
form part of the information relevant to 
the 2021 audit opinion and significant 
elements of the work was performed by 
a separate EY team and partner;
	• The reporting accountant fee is not 
material to EY at a department, country 
or global level; and
	• The engagement team, firm and 
network have complied with relevant 
ethical independence requirements 
other than this breach.
EY updated the Committee on how their 
internal processes had been updated to 
ensure that any potential future breach 
would be pre-identified and pre-cleared 
with the FRC if necessary. At the request of 
the Audit Committee, EY and management 
agreed to implement a look forward 
independence monitoring system to 
identify any future breaches.
The committee considered the impact of 
the continuing COVID-19 pandemic on 
EY’s audit approach in 2021. Although 
physical site visits were still constrained, 
the committee noted EY’s digital approach, 
the high level of interaction between 
primary and component audit teams, 
particularly around key audit matters, and 
coordinated efforts from both EY and 
EVRAZ management.
Effectiveness and 
Independence
There is an established framework through 
which the Audit Committee monitors the 
effectiveness, independence, objectivity 
and compliance of the external auditor 
with ethical, professional and regulatory 
requirements. These include:
	• Review and approval of the external 
audit plan for interim review and year-
end audit, including consideration of 
the audit scope, key audit risks, audit 
materiality and compliance with best 
practice;
	• Review and approval of the external 
auditor’s engagement letter;
	• Review of the FRC’s annual Quality 
Inspection Report, the most recent 
being for 2020/21 dated 23 July 2021 
and the EY response in the context of 
the EVRAZ audit;
	• Consideration of EY’s reports on the 
interim review, annual report and 
representation letters; and
	• Review of the EY management letter 
on the 2020 audit, consideration of 
management’s response and proposed 
actions.
The committee was updated regularly during 
the final quarter of 2021 and early 2022 on 
the key risk areas in the audit process by 
both the external auditor and management, 
providing transparency and allowing the 
committee to assess the assumptions 
underpinning each position, as well as the 
robustness and level of challenge provided 
by EY to management in arriving in an 
agreed position.
During 2021, the committee continued 
to monitor the various enquiries into the 
independence and effectiveness of audit 
firms, together with the EY response. There 
continues to be a constructive engagement 
with the external auditor to determine the 
implications of potential recommendations 
on the EVRAZ audit process both in current 
and future years.
Members of the Audit Committee and 
management completed a questionnaire to 
assess the effectiveness and independence 
of the 2020 external audit process during 
2021. This was found to be satisfactory but 
contained some criticism in relation to the 
breach of the ethical standard during 2021.
As all audit committee meetings in 
2021 were virtual, there was not the 
opportunity to meet with the external 
auditor in person during the year. 
However, the external auditor attended 
all of the meetings during the year and 
there was a regular virtual dialogue 
without management to consider 
the appropriateness of the Group’s 
accounting policies and audit process. 
The committee chairman also had regular 
virtual meetings with the Senior Statutory 
Auditor outside of committee meetings.
Engagement of the external auditor 
for non-audit services is managed in 
accordance with the Group’s policy which 
can be found on the website: www.evraz.
com.  The policy identifies a range of non-
audit services which are prohibited on 
the basis that they could compromise the 
independence of the external auditor. It 
establishes threshold limits for the level 
of permitted non-audit fees relative to 
audit fees and the authorisation process 
for the approval of fees. The policy was 
updated in November 2021 to limit the 
proportion of non-audit services to audit 
fees by legal entity of the external auditor. 
Irrespective of the prior approval of the 
CFO and Audit Committee Chairman, all 
fees are reported to the Audit Committee 
for noting and comment.
During 2021, non-audit fees totalled 
US$1,396,000 including US$456,000 in 
respect of the interim review and US$785,000 
in respect of the Coal business demerger 
(in 2020, the total was US$521,000 including 
US$465,000 for the interim review). Other 
non-audit fees in 2021 consisted mainly of 
limited assurance over cybersecurity controls 
(US$62,000), limited assurance on the 
the 2021 sustainability report (US$39,000) 
and agreed upon procedures required by 
the Strategic Innovation Fund of Canada 
(US$28,000). Non-audit fees were 51.5% of 
the audit fee in 2021 compared to 19% in 2020 
primarily due to the coal business demerger. 
At the UK EY entity level, non-audit fees were 
97% of the audit fee again due to the coal 
business demerger.
Re-appointment of the 
external auditor
EY was appointed as an external auditor 
of EVRAZ in 2011. Steve Dobson stepped 
down as audit engagement partner 
following completion of the audit for the 
year ended 31 December 2020 and was 
replaced by Danny Trotman.
Following the tender process in 2016, 
the committee recommended the 
re-appointment of Ernst & Young LLP (EY) 
as external auditor for the years ended 31 
December 2017 and 2018. In 2017, following 
consideration of the UK Corporate 
Governance Code, EU legislation on audit 
regulation and the performance of EY, the 
committee recommended that, subject 
to the agreement of satisfactory terms, a 
further audit tender be deferred until the 
summer of 2020 to allow for an orderly 
and effective rotation for the year ended 31 
December 2021. This is in line with Group 
policy which is to conduct an external 
audit tender every five years. As a result of 
the exigencies of the COVID-19 pandemic 
and travel restrictions, the committee 
determined that a fair and effective tender 
process could not be undertaken in either 
2020 or 2021 and should be deferred until 
these criteria could be met. The latest 
regulatory guidance, performance of EY 
and terms agreed with them in respect 
of year ended 31 December 2022 were all 
considered in reaching this decision. It is 
the intention of the committee to run an 
external audit tender for the 2023 financial 
year during 2022.
The Audit Committee continues to consider 
EY to be effective and independent in its 
role as auditor and has provided the Board 
with its recommendation to shareholders 
that EY be re-appointed as external auditor 
for the year ended 31 December 2022.
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NOMINATIONS COMMITTEE REPORT
“During the year, the Nominations 
Committee focused on several key issues 
to support the Board, including: identifying 
a new chief executive officer; recruiting 
three new independent non-executive 
directors to replace the directors who had 
joined the Board during the Company’s 
initial public offering; and considering 
the Board’s diversity policy.
Using the services of a search agency, 
the committee conducted a thorough 
review of potential external candidates 
before agreeing to recommend that 
the Board appoint Aleksey Ivanov, 
the Group’s senior vice president, as CEO 
to take over from Alexander Frolov, who 
remains as a non-executive director.
Following a search, the committee was 
also pleased to recommend to the Board 
the appointment of three individuals as new 
independent non-executive directors who 
provide a wealth of experience across 
several areas of specialisation, including: 
manufacturing; investment and finance; 
and sustainability. Although Sir Michael 
Peat and Karl Gruber had both completed 
nine years’ service as independent non-
executive directors, the committee 
was pleased that they agreed to remain 
in their positions to support both 
the Board and the newly appointed 
directors, while the Company finalised 
the complicated proposed demerger 
of the metallurgical coal assets consolidated 
under Raspadskaya. The Board deemed 
that both directors remained independent 
in accordance with the UK Corporate 
Governance Code.
The committee focused on the Board’s 
diversity throughout the year, especially 
given that it does not yet meet 
the Hampton-Alexander (predecessor 
of the FTSE Women Leaders Review) 
guidelines on gender diversity. This 
situation is expected to improve after 
the two longest serving directors step 
down following the completion of 
the Raspadskaya demerger and new 
appointments are announced to replace 
independent directors who will need 
to step down at the 2022 AGM. 
The committee conducted a detailed review 
of the proposed Board diversity policy, 
which the Board adopted during the year.”
Alexander Izosimov
Independent Non-executive Director 
and Chairman of the Nominations 
Committee
Role
The Nominations Committee is responsible 
for making recommendations to the Board 
on the structure, size and composition 
of the Board and its committees. It also 
oversees succession planning for directors 
and senior management.
Committee Members 
and Attendance
The Nominations Committee members 
as of 31 December 2021 were Alexander 
Izosimov, Alexander Abramov, 
Eugene Shvidler, Deborah Gudgeon, 
Stephen Odell and James Rutherford. 
Si Michael Peat served as the chairman 
of the Nominations Committee until 
15 June 2021, when Alexander Isozimov 
took over. Mr Karl Gruber stepped down 
as a committee member on 15 June 2021. 
Mr Alexander Frolov became a member 
on 1 February 2022.
Throughout 2021 four of the six 
committee members were independent 
non-executive directors.
The сommittee met on four occasions 
during 2021 and held one joint meeting 
with the Remuneration Committee. 
As reported   on page 119, all members 
attended each meeting, except for one 
meeting that Mr Abramov was unable 
to attend.
The Company Secretary served 
as the сommittee’s secretary.
Activity During 2021
During 2021, the Nominations Committee 
considered the following matters.
The Board delegates the Nominations Committee’s role 
and responsibilities, which are set out in the written terms 
of reference:  
https://www.evraz.com/en/company/governance/
policies/#tabs-reference
Board and committee 
composition
The Board agreed that its size 
and its committees were appropriate 
for the Group’s ongoing needs. 
The committee considered the mix 
of skills and experience of its members 
before commencing a search for new 
non-executive directors as detailed 
in the section below.
Succession planning
The Nominations Committee considered 
succession planning for its independent 
non-executive directors in the context 
of length of service. A number 
of independent non-executive directors 
were due to retire at either the 2021 or 
2022 AGMs although the Board asked 
two of retiring directors to remain on 
the board until the conclusion of the 
demerger of the Coal business. The search 
for their replacements commenced 
in 2020 and was concluded in the first 
half of 2021. The сommittee engaged 
The Inzito Partnership as an external search 
consultancy to assist with the recruitment 
of independent non-executive directors 
to join the Board. In addition, the existing 
board members recommended several 
suitable candidates, whom the committee 
reviewed along with the ones identified 
by the search consultancy. As a result 
of this process, Stephen Odell, James 
Rutherford and Sandra Stash joined 
the Board on 15 June 2021. The 
Inzito Partnership continues to assist 
the committee in identifying further 
suitable candidates to join the Board 
in 2022. The Inzito Partnership has no other 
contractual relationships with the Group.
The committee also worked with Korn 
Ferry, an external search consultancy, 
to identify suitable candidates to take 
over as the Group’s CEO following 
Mr Frolov’s desire to step down from 
executive duties after over 14 years 
in this role. Korn Ferry helped to prepare 
the profile of an ideal candidate, and then 
identified a long list of over 40 individuals 
worldwide who met the profile. Following 
an internal review, a short list of 11 
candidates were assessed in detail based 
on the approved criteria. Korn Ferry then 
interviewed the only internal candidate, 
and concluded as part of discussions 
with the chairman and senior independent 
director that none of the candidates 
on the short list justified not appointing 
the internal candidate. Consequently, based 
on the committee’s recommendation, 
the Board appointed Aleksey Ivanov as CEO 
effective from 1 September 2021. Korn Ferry 
also provide remuneration consultancy 
advice to the Remuneration Committee.
The Committee also paid close 
attention to senior management 
succession for positions below the CEO 
and endorsed several recommendations 
made by him following his appointment 
on 1 September 2021.
Board performance evaluation
In 2021, as required by the UK Corporate 
Governance Code, the Company 
undertook a Board performance evaluation 
that was conducted by the Company 
Secretary following the review that 
was carried out in 2020 using an external 
facilitator, Lintstock LLP. Upon conclusion 
of the review, the Committee considered 
the outcome of the report and prepared 
an action plan for the Board to review 
and approve. The plan reflected continuing 
improvements to the Board’s processes, 
information flow and risk management.
The outcome of the review and the action 
plan are described in the Corporate 
Governance section 
 on page 120.
Independence 
of non-executive directors
The Nominations Committee reviewed 
the independent status of the non-
executive directors based on the provisions 
of the UK Corporate Governance 
Code. It confirmed the appropriateness 
of the independent status of each 
of the independent non-executive directors. 
The Board confirmed the independence 
of Karl Gruber and Sir Michael Peat, who 
remained as independent non-executive 
directors even though they had completed 
over nine years of service. They remained 
on the Board to assist with the transition 
to the new independent non-executive 
directors, and to provide support during 
the demerger process.
Sustainability governance
During 2021, the committee considered 
the best way to monitor the governance 
of sustainability initiatives across the Group 
at Board level. It concluded that since 
the Group expects sustainability issues 
to be managed and implemented 
at the level of business units, with support 
from the vice president for corporate 
strategy, the Audit Committee should 
be in charge of monitoring performance 
and control in this regard, while the HSE 
Committee should consider initiatives 
and developments. As a result, the Audit 
Committee made the appropriate changes 
to its terms of reference, and the HSE 
Committee widened its terms of reference 
and changed its name to the Sustainability 
Committee. The terms of reference for all 
committees are available on the EVRAZ 
website.
Performance of Chairman 
and Individual Directors
The senior independent non-executive 
director sought views from all directors 
about the chairman’s performance 
and contribution. The independent 
non-executive directors considered 
the conclusions of this review at a meeting 
on 24 February 2022.
As in the past, the review concluded 
that the chairman continues to make 
an important contribution to the Group, 
including through his industry knowledge, 
experience and contacts. It also noted 
that the chairman was not independent 
in terms of his appointment as required 
by Provision 9 of the UK Corporate 
Governance Code. However, it found that 
in view of his experience and knowledge, 
his independence of judgement was not 
considered to be impaired.
In addition, the review noted that 
the chairman has retained his position since 
the Group’s IPO in October 2011. He has 
therefore served in excess of nine years, 
longer than the limit suggested by Provision 
19 of the Code. The Nominations Committee 
has considered this situation and, 
as described above, values his extensive 
experience and expertise on the Group’s key 
markets and the steel sector. The committee 
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believe his continuing as chairman 
is in the Company’s best interest. 
In addition, during the transition of Board 
members, having the same chairman helps 
with the Board’s continuity and stability. 
The committee therefore, with the chairman 
recusing himself, recommended 
to the Board that he be nominated 
for re-appointment at the 2022 AGM.
The chairman of the Group 
and the chairman of the Nominations 
Committee discussed the performance 
of the individual directors, including 
the time they have to devote 
to the Group’s business. They noted no 
concerns and determined that none 
of the independent non-executive 
directors have an overly significant number 
of roles.
Diversity policy
In 2021, the Nominations Committee 
recommended to the Board that it adopts 
a Board diversity policy that restates 
EVRAZ’ commitment to increasing 
diversity throughout its global operations 
by taking diversity into account during 
each recruitment and appointment 
process and working to attract outstanding 
candidates with diverse backgrounds, 
skills, ideas and culture. EVRAZ sees 
diversity as a crucial business driver.
The Board considers that this extends 
to the composition of the Board 
and the processes associated with Board 
appointments.
The Board is aware of the guidance 
issued by the Hampton Alexander 
review (predecessor of the FTSE Women 
Leaders Review) for FTSE 350 Companies 
with regard to female representation 
on boards exceeding 33% and the Parker 
Review Guidance on ensuring that each 
board contains at least one person from 
an ethnic minority background. It will take 
this into account during every recruitment 
process.
The Board will ensure that female 
representation on the Board never drops 
below two members.
The Board is committed to meeting best 
practice standards in gender and ethnic 
diversity. While the nature of the steel 
and mining industries makes this 
more challenging, it does not diminish 
the Board’s commitment.
It will, of course, balance this 
with appointing directors who can best 
serve the Company’s and shareholders’ 
interests by providing excellent governance 
and the appropriate challenges. 
Consequently, all appointments will 
be made on the basis of merit.
The Board currently meets these criteria.
The committee continues to review 
and monitor the Group’s performance 
against its diversity policy, including aspects 
such as age, gender and educational 
and professional backgrounds. More 
information about diversity is disclosed 
in the Our People section of the Sustainability 
section 
 on pages 72.
2022 Priorities
The Nominations Committee will continue 
to fulfil its general responsibilities 
with particular emphasis on compliance 
with the UK Corporate Governance Code, 
board diversity and succession planning.
The committee will conclude a search 
to replace the independent non-
executive director who will step down 
at the 2022 AGM after serving for nine 
years.
In addition, the committee will continue 
to consider development and succession 
planning for senior management.
SUSTAINABILITY COMMITTEE REPORT  
(Health, Safety and Environment Committee before 14 December 2021)
“In 2021, EVRAZ reorganised the HSE 
Committee of the Board and renamed 
it the Sustainability Committee. This 
change reflects the expectations of both 
stakeholders and the Group leadership 
and will enable the Board to increase its 
focus on climate change and other ESG 
matters.
In the year, EVRAZ continued 
to concentrate on developing a more 
mature, risk-based and systematic 
approach to safety culture. This 
helped it to improve its LTIFR to 1.21, 
compared with 1.35 in 2020. Despite 
this achievement, tragically, there 
were eight fatalities, compared with five 
in the previous year. Four related 
to the use of improper ‘lock out, tag out’ 
procedures, an area that will be of intense 
focus for us in 2022.
As we look to 2022, the Group will 
work on further integrating its safety 
management system into its operating 
model, including by engaging staff 
more to achieve improvements in both 
processes and human factors. We will 
also increase our efforts to define 
and operationalise our approach 
to managing climate change risks 
and opportunities to meet our stated 
GHG reduction aspirations and our short, 
medium and long-term targets.”
Sandra Stash
Independent Non-Executive Director
Chairwoman of the Sustainability 
Committee
Sustainability Committee reports 
to the Board of Directors on matters 
concerning employee wellbeing, 
occupational safety and environmental 
protection, as well as local communities. 
It receives monthly HSE updates 
and provides a quarterly report to the Board, 
and its tasks include:
	• Assessing the effects of the Group’s HSE 
initiatives on key stakeholder groups, 
such as employees and local residents, 
as well as their reputational impact.
	• Liaising between the management 
and the Board when there have 
been fatalities or serious incidents 
in the workplace, including to ensure 
that remedial action is implemented 
effectively.
 See the link 
https://www.evraz.com/
en/company/governance/
policies/#tabs-reference
ROLE AND RESPONSIBILITIES
	• Reviewing HSE strategy, monitoring 
pertinent parts of any independent 
operational audits and making 
recommendations for action or 
improvement as deemed necessary.
In 2021, the agenda of issues submitted 
to the committee expanded significantly 
to include global warming, biodiversity 
and socio-economic trends that directly 
influence EVRAZ’ activities.
In December 2021, the Board decided 
to expand the body’s role and responsibilities 
and rename it the Sustainability Committee. 
Its membership was increased to ensure 
more diverse experience and contribution, 
while the number of regular meetings 
was increased to four a year. The new terms 
of reference can be found on the Group’s 
website.
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COMMITTEE MEMBERS AND ATTENDANCE
In 2021, Karl Gruber resigned as Chairman 
of the Sustainability Committee, Sandra 
Stash was appointed as the new chair. Ms 
Stash has served as a senior executive 
for leading global companies for many 
years and has significant experience 
in sustainability.
During 2021, the members of the 
Sustainability Committee included Karl 
Gruber (stepped down as the chairman 
of the committee on 15 June 2021), 
Sandra Stash as the new chair, Alexander 
Frolov, Olga Pokrovskaya and Deborah 
Gudgeon.
In 2021, the committee held three meetings: 
two scheduled ones on 9 February and 
28 July and an additional one on 22 October 
to discuss the approach to embedding 
sustainability issues into the committee’s 
duties. All of them had the necessary quorum 
and were convened as required. They 
included reviews of current issues and HSE 
initiatives at the divisional level. 
ACTIVITIES DURING 2021
Below is a summary of the Sustainability Committee’s performance of its duties in 2021.
HSE performance review 
Throughout the year, the committee applied 
the following criteria to review the Group’s 
HSE performance: 
	• Fatal incidents.
	• Lost-time injuries (LTIs).
	• Lost-time injury frequency rate (LTIFR), 
calculated as the number of injuries 
resulting in lost time per 1 million hours 
worked.
	• Enforcement of cardinal safety rules.
	• Progress on health and safety initiatives.
	• Industrial safety risk assessment.
After every fatality, severe injury and incident 
involving significant damage to property 
at EVRAZ, the Sustainability Committee 
conducts an investigation to determine the 
root cause and courses of remedial action. 
This involves recording a detailed description 
of the scene, the sequence of events, root-
cause analysis and corrective measures 
implemented.
In 2021, contractor LTIs were included in the 
Group’s LTIFR calculation.
The committee applies the following 
criteria to evaluate EVRAZ’ environmental 
performance:
	• Key air emissions, including nitrogen 
oxides (NOx), sulphur oxides (SOx), dust 
and volatile organic compounds.
	• Non-mining waste and by-product 
generation, recycling and re-use.
	• Fresh water intake and water 
management aspects.
	• Non-compliance-related environmental 
levies (taxes) and penalties.
	• Environmental commitments 
and liabilities.
	• Major environmental litigation 
and claims.
	• Asset coverage with environmental 
permits/licences.
	• Public complaints.
	• Material environmental incidents and 
preventative measures.
	• Environmental risk assessments.
In addition, the committee reviewed 
the Group’s reputation index, COVID-19 
statistics and employee vaccination status. 
HSE Policy review
In 2021, the Committee reviewed EVRAZ’ 
HSE Policy (which was approved in 2016), 
taking into consideration the new global 
challenges and stakeholder expectations. 
It defines the Group’s main priority: 
favourable living conditions for future 
generations. The key thesis determining 
the direction of sustainable development 
is to develop without prejudice to the 
future. The new HSE Policy includes 
commitments on global warming, issues 
related to biodiversity and the involvement 
of contractors in safety processes. 
The CEO approved it on 29 September 2021.
HSE strategy review 
In 2021, the Sustainability Committee conducted three reviews of the implementation of the Risk Management Project and Environmental 
Strategy. The following new corporate HSE initiatives were considered. 
Reduce HSE bureaucracy in safety 
processes, thereby creating more 
management time for employee 
engagement, and reorganise the HSE 
team to enhance it and its abilities 
HSE transformation
In addition, the committee supported the 
divisional management’s efforts in the 
following HSE initiatives, finding that they 
are generally on track. 
HSE regulatory changes
In 2021, the Sustainability Committee 
evaluated the risks and opportunities related 
to the introduction of new regulation. During 
the year, EVRAZ took part in discussions 
regarding drafts of HSE-related regulations 
as part of professional associations (such 
as the World Steel Association, Russian 
Steel Association and Russian Union of 
Industrialists and Entrepreneurs). These 
help the steel industry to form positions in 
various areas, including: 
	• EU carbon border tax regulation;
	• the update of the Best Available 
Techniques (BAT) standards for 
metallurgy in Russia;
	• the update of the Russian state 
methodology for setting individual site 
limits for water discharge;
	• the Russian federal experiment 
regarding air emission levels in 12 pilot 
cities;
	• new Russian average annual levels for 
the maximum permissible concentration 
(MPC) of pollutants in air emissions. 
	• new atmospheric air damage calculation 
methodology;
	• the Climate Action Plan to Reduce 
Pollution (Colorado (US), House Bill 1261). 
EVRAZ participates in work groups created 
as part of the Russian Steel Association 
and Russian Union of Industrialists and 
Entrepreneurs.
HSE audit review
During the reporting period, the Group’s 
operations underwent compliance 
inspections by state supervisory agencies 
and internal HSE auditors, and the 
committee reviewed:
	• the HQ Industrial Safety Department’s 
audits of processes and structural units 
at EVRAZ facilities;
	• the environmental risks identified 
through the HQ Environmental 
Management Directorate’s internal audit 
and risk assessment process;
	• the Internal Audit Department’s audits of 
the HSE function; 
	• external environmental inspections 
carried out by environmental regulators, 
as well as the implementation of 
remedial action.
COMMUNITY RELATIONS PERFORMANCE
In 2021, the Sustainability Committee 
reviewed the Group’s corporate social 
responsibility (CSR) events, including 
numerous social programmes:
	• EVRAZ for Cities. 
	• EVRAZ for Kids. 
	• EVRAZ for Sport.
	• EVRAZ for Employees.
	• EVRAZ Against COVID 19 activities.
	• EVRAZ ESG agenda media coverage.
During the year, the committee reviewed 
COVID-19 statistics and measures to ensure 
safe working conditions for employees, as 
well as to support medical and pre-school 
institutions in local communities where the 
Group operates.
In addition, the committee reviewed the 
results of the annual reputation audit, 
engaging businesses, clients, media 
outlets, government representatives and 
local communities. The efforts that EVRAZ 
has undertaken to build sustainable 
partnerships with key stakeholders 
were rated as satisfactory. The Group’s 
reputation index shows a consistently high 
performance over the last three years.
For more details on HSE issues, see the Sustainability 
section 
 on pages 74-75.
•	Online monitoring of air emissions
•	RCC methane utilisation programme
•	RCC dust suppression programme
•	Reduction of water discharge from 
EVRAZ NTMK and EVRAZ ZSMK 
into the third-party (Vodokanal) 
programme 
New environmental 
initiatives as part of the 
Environmental Strategy
•	Identify key areas for improvement 
through audits 
•	Focus more on the safety versus 
production dilemma 
•	Encourage safer behaviour
Safety culture 
development
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Alexander Izosimov
Independent Non-executive Director 
and Chairman of the Nominations 
Committee
REMUNERATION  
	 REPORT
I am pleased to present EVRAZ’ annual 
report on directors’ and CEO remuneration 
and to confirm that the committee 
has taken its decisions fully in line 
with the shareholder-approved policy. 
Whilst our new CEO was not a Director 
of the Company during 2021, we have 
applied our Remuneration Policy as if 
he were a Director until his appointment 
to the Board in February 2022 and disclose 
his remuneration accordingly. We 
are therefore bringing the Remuneration 
Policy to be voted upon by shareholders 
again this year to ensure the policy 
appropriately applies to our new CEO 
and as there is a share based incentive 
in place. This policy is designed to help 
deliver the Group’s sustainable business 
objectives and maximise long-term returns 
to shareholders.
INTRODUCTION
This report has been prepared 
in accordance with the relevant 
UK company laws and regulations 
(the “Regulations”). It also meets 
the relevant requirements of the Financial 
Conduct Authority’s Listing Rules 
and describes how the Board has applied 
the principles of good governance as set 
out in the 2018 UK Corporate Governance 
Code (July 2018).
This report contains both auditable 
and non-auditable information. 
The information subject to audit 
by the Group’s auditors, Ernst & Young 
LLP, is set out in the Annual Remuneration 
Report and has been identified accordingly.
Directors’ and CEO 
remuneration policy
The current Executive Directors' Remuneration 
Policy was approved by shareholders 
at the Annual General Meeting (AGM) 
in June 2020. We are putting a new policy 
to vote at the next AGM in June 2022 
to incorporate changes for our new CEO. 
This policy is then intended to apply 
for the next three years until the AGM 
in 2025. Whilst Aleksey Ivanov was not 
a Director of the Company in 2021 and until 
early 2022, we have treated him as such 
under our existing remuneration policy. This 
approach is required under the Remuneration 
Reporting Regulations for an individual 
who occupies the role of CEO even if that 
individual is not also a member of the Board.
The proposed policy is broadly unchanged, 
save for the introduction of an LTIP. This 
follows a review by the Committee, who felt 
that it was appropriate to continue to make 
awards to Aleksey Ivanov following his 
promotion.
Accordingly, the Committee has made 
some changes to ensure key elements 
of the policy can be applied to him. These 
changes include the following:
	• introducing bonus deferral; and
	• introducing an LTIP to ensure our new 
CEO is better aligned with shareholders 
through the use of regular share 
based incentive payments, subject 
to performance.
Annual remuneration report
The second part of the report, 
the Annual Remuneration Report, sets 
out details of remuneration paid in 2021 
and how the Group intends to apply its 
Remuneration Policy in 2022. This section 
will be put to an advisory shareholder vote 
at the forthcoming AGM.
Key decisions taken during 
the year
The Committee operated under its terms 
of reference (as described on pages 152-153) 
without conflicts of interest and having 
sought advice to determine the future policy.
Alexander Frolov stepped down from his 
role of CEO, effective from 31 August 2021. 
He received no payments in connection 
with ceasing to be an executive director; 
his annual bonus has been earned based 
on a pro-rata amount for the time worked 
in the year and he received his base salary 
until he stepped down. Alexander Frolov 
is now a non-executive director. His fee 
for this role is included on page 149 which 
was pro-rated for the period of the year 
worked.
Aleksey Ivanov was promoted to CEO 
on 1 September 2021 and has since 
been appointed to the Board effective 
1 February 2022. He receives a base salary 
of US$2,000,000 per annum, lower than that 
of Alexander Frolov, a bonus of maximum 
200% of base salary and it is intended 
he will receive a share based incentive 
equivalent to 200% of salary. Aleksey Ivanov 
is expected to retain shares up to 300% 
of his base salary.
Through an ongoing dialogue 
with management, the Committee 
maintained a thorough understanding 
of remuneration arrangements across 
the Group and, under its amended terms 
of reference, approved the remuneration 
of the senior executives operating 
immediately under the CEO.
In line with its commitment to good 
corporate governance, the Committee 
will continue to monitor investors’ views, 
developments in best practices and market 
trends on executive remuneration. These will 
be considered when deciding on executive 
remuneration at EVRAZ, in order to ensure 
that its Remuneration Policy remains 
appropriate in the context of business 
performance and strategy.
Link with business strategy
EVRAZ’ strategic priorities define 
the selection of KPIs for the CEO.
These strategic priorities are reflected 
in the Group’s approach to executive 
remuneration. A large proportion 
of the CEO’s remuneration is linked to longer 
term performance through the annual bonus 
and share based incentive.
The determination of the annual bonus 
is based on the Group’s key quantitative 
financial, operational and strategic measures 
to ensure focus is spread across the key 
aspects of Group’s performance and strategy. 
The exact measures and associated weighting 
are determined on an annual basis according 
to the Company’s strategic priorities 
for the year.
For 2021, the following five indicators, 
each with an equal weighting of 20%, 
were considered when determining both 
the former and current CEO’s annual bonus: 
LTIFR, EBITDA, Free Cash Flow, Cash Cost 
Index and the Committee’s assessment 
of overall performance against strategic 
objectives.
The KPIs are specific and focus 
on deliverables to support the Group’s 
strategy.
The design of the LTIP is based on key 
measures of performance designed to align 
the CEO and other senior executives 
with the shareholder experience. In this way 
four key steps of the Program exist in parallel 
within every year.
1.	 Awarding (Grant) to the program 
members;  
The Remuneration Committee 
approves the grant for the CEO 
and the grants proposed by the CEO 
for employees. Employees can 
be included in the long term incentive 
program based on an individual 
decision on the value of the employee 
for Company business, the market 
practice, the position level (grade), 
compliance with Companys corporate 
values. Participants are awarded shares 
in the Company. The number of shares 
is determined based on the grant 
amount in USD and the average share 
price for the month preceding the date 
of the Remuneration Committee meeting 
approving the grants.
2.	 Definition of the performance metrics used 
for vesting.  
The Committee is reviewing what these 
should be and will include the 2022 
performance metrics in the summary 
of the LTIP that shareholders will be asked 
to approve at the June 2022 AGM
3.	 Communication of the performance 
regularly.
4.	 Determination of the performance 
calculations and confirmation 
to participants of how awards vest. 
For the CEO there will be an additional 
two year period during which he will retain 
any shares that vest (net of sales to meet 
taxes).
141
140
ANNUAL REPORT & ACCOUNTS 2021

POLICY REPORT
This policy shall be put to vote at the 2022 
AGM. A full version of the policy has been 
included below. The following key changes 
are included within the proposed policy:
	• A new long term incentive plan which has 
been operating for a number of years 
for senior executives below the executive 
director level and with the appointment 
of A. Ivanov as CEO the committee 
wishes to ensure continues to incentivise 
and reward him in his new role.
	• Deferral of cash bonus into Company 
shares where the shareholding guideline 
of 300% of salary is not met.
	• Other changes to reflect the 
appointment of an executive director 
who does not hold a significant 
shareholding in the Company.
The Remuneration Policy’s primary objectives 
are to attract, retain and reward talented staff 
and management by offering compensation 
that is competitive within the industry, 
motivates management to achieve the 
Group’s business objectives, encourages high 
level of performance and aligns the interests 
of management with those of shareholders.
The CEO’s incentive arrangements are 
subject to “malus”, under which the 
сommittee may adjust bonus payments 
downwards to reflect the Group’s overall 
performance, including the safety of 
underlying practices and resulting 
performance. The сommittee does not 
operate clawback arrangements on 
directors’ remuneration on the basis 
that such arrangements would not be 
enforceable under the Russian Labour 
Code. The committee will keep this under 
review and should the Russian Labour 
Code change, it will revisit the inclusion 
of such provisions in the Group’s variable 
remuneration plans in order to comply with 
the 2018 UK Corporate Governance Code.
The Committee reserves the right to make 
any remuneration payments and payments 
for loss of office that are not in line with 
the policy set out below where the terms 
of the payment were agreed before the 
policy came into effect or at a time when 
the relevant individual was not a director 
of the Company and, in the opinion of 
the Committee, the payment was not in 
consideration of the individual becoming a 
director of the Company.
The Committee may make minor 
amendments to the Remuneration Policy set 
out below (for regulatory, exchange control, 
tax or administrative purposes, or to take 
account of a change in legislation) without 
obtaining shareholder approval for that 
amendment.
In order to avoid any conflict of interest, 
remuneration is managed through well-
defined processes ensuring no individual 
is involved in the decision-making process 
related to their own remuneration. In 
particular, the remuneration of the CEO is 
set and approved by the Committee and he 
is not involved in the determination of his 
own remuneration arrangements.
Remuneration Policy
ELEMENT
PURPOSE 
AND LINK TO 
STRATEGY
OPERATION
MAXIMUM POTENTIAL 
VALUE 
PERFORMANCE METRICS
Executive directors
Base salary
Provides a 
level of base 
pay to reflect 
individual 
experience 
and role to 
attract and 
retain high 
calibre talent.
Normally reviewed annually, 
considering individual and market 
conditions, including: size and nature 
of the role; relevant market pay 
levels; individual experience and pay 
increases for employees across the 
Group.
For the current CEO, base salary may 
incorporate a director’s fee (paid for 
participation in the work of the Board 
committees and Board meetings – see 
the section on Non-executive Director 
Remuneration Policy below). Where a 
salary is paid in a currency other than 
US dollars, the committee may make 
additional payments to ensure that the 
total annual salary equals the level of 
annual salary in US dollars.
Generally, the maximum 
increase per year will be 
in line with the overall 
level of increases within 
the Group.
However, there is 
no overall maximum 
opportunity as increases 
may be made above this 
level at the committee’s 
discretion, to take 
account of individual 
circumstances such as 
increases in scope and 
responsibility and to 
reflect the individual’s 
development and 
performance in the role.
None
Benefits
To provide a 
market level 
of benefits, as 
appropriate 
for individual 
circumstances, 
to recruit 
and retain 
executive and 
CEO talent.
Benefits currently include private 
healthcare. Other benefits (including 
pension benefits) may be provided 
if the committee considers it 
appropriate. The current CEO does 
not participate in any pension 
scheme at this time. 
In the event that an executive 
director is required by the Group 
to relocate, or do so following 
recruitment, benefits may include, 
but are not limited to, a relocation, 
housing, travel and education 
allowance.
The cost of benefits 
will generally be in 
line with that for the 
senior management 
team. However, the cost 
of insurance benefits 
may vary from year to 
year depending on the 
individual’s circumstances.
The overall benefit value 
will be set at a level the 
committee considers 
proportionate and 
appropriate to reflect 
individual circumstances, 
in line with market 
practices. There is no total 
maximum opportunity.
None
Annual 
bonus
To align 
executive 
remuneration 
to Group 
strategy by 
rewarding the 
achievement 
of annual 
financial and 
strategic 
business 
targets.
The Group operates an annual bonus 
arrangement under which awards are 
generally delivered in cash.
Deferral into shares for at least two 
years will apply for the CEO for half 
of the bonus, if at the year end he is 
not meeting the 300% of salary share 
ownership requirement.
Targets are reviewed annually and 
linked to corporate performance 
based on predetermined targets.
Up to 200% of base 
salary in respect of any 
financial year of the 
Group.
The bonus is based on achievement 
of the Group’s key quantitative 
financial, operational and strategic 
measures in the year to ensure focus 
is spread across the key aspects of the 
Group’s performance and strategy.
The exact measures and associated 
weighting will be determined on an 
annual basis, according to the Group’s 
strategic priorities, however at least 
60% will be based on the Group’s 
financial measures.
For achievement of threshold 
performance, 0% of maximum will 
be paid, rising in a straight line to 
no more than 50% of the maximum 
for target performance and 100% 
of the maximum for outstanding 
performance.
The committee retains discretion to 
adjust bonus payments to reflect the 
Group’s overall performance.
How business strategic priorities align to overall reward at EVRAZ
CEO KPIS
WEIGHTING
SUSTAINABLE 
DEVELOPMENT
DEBT 
MANAGEMENT 
AND STABLE 
DIVIDENDS
PRUDENT 
CAPEX
RETENTION OF LOW- 
COST POSITION
DEVELOPMENT 
OF PRODUCT 
PORTFOLIO AND 
CUSTOMER BASE
LTIFR
20%
X
EBITDA
20%
X
X
X
X
Adjusted FCF
20%
X
X
X
X
Cash Cost Index
20%
X
X
Strategic 
Objectives
20%
X
X
X
X
143
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ANNUAL REPORT & ACCOUNTS 2021
Strategic report
Meet EVRAZ
EVRAZ in figures
CORPORATE GOVERNANCE
Financial statements
Additional information

ELEMENT
PURPOSE 
AND LINK TO 
STRATEGY
OPERATION
MAXIMUM POTENTIAL 
VALUE 
PERFORMANCE METRICS
Long-Term 
incentive
To align 
executive 
remuneration 
to the Group 
strategy by 
encouraging 
long term 
value creation.
The Group operates a an LTIP with 
awards granted annually subject to 
a three year performance period, 
followed by a two year holding 
period.
Up to 200% of base 
salary in respect of any 
financial year of the 
Group.
Awards are subject to continued 
employment and performance 
targets determined annually by the 
committee.
Non-executive directors
Chairman 
and non-
executive 
director 
remuneration
To provide 
remuneration 
that is 
sufficient to 
attract and 
retain high 
calibre non-
executive 
talent.
Director fees are normally paid in the form of cash, but with the flexibility to forgo all or part of such fees 
(after deduction of applicable income tax and social taxes) to acquire shares in the Company should the non-
executive director so wish. Non-executive director fees are reviewed from time to time.
Non-executive directors receive an annual fee for Board membership.
Additional fees are payable by reference to other Board responsibilities taken on by the non-executive directors 
(for example, membership and chairmanship of the Board committees).
The chairman of the Board receives an all-inclusive annual fee.
Costs incurred in the performance of non-executive directors’ duties for the Company may be reimbursed 
or paid for directly by the Company, including any tax due on the costs. This may include travel expenses, 
professional fees incurred in the furtherance of duties as a director, and the provision of training and 
development. In addition, the Company contributes an annual amount towards secretarial and administrative 
expenses of non-executive directors.
Non-executive directors may not participate in the Company’s share incentive schemes or pension 
arrangements.
Total fees paid to non-executive directors will remain within the limit stated in the Articles of Association.
Application of the remuneration policy, 
US$ thousand 
of more than 200% of base salary, for the 
annual bonus and 200% of base salary for 
the LTIP.
The committee’s intention would be for any 
share-based incentive awards to be subject 
to performance conditions.
When setting salaries for new hires, the 
committee will consider all relevant factors, 
including the skills and experience of the 
individual, the market from which they are 
recruited, and the market rate for the role. 
For interim positions, a cash supplement 
may be paid rather than salary (for 
example, a non-executive director taking 
on an executive function on a short-term 
basis).
To facilitate recruitment, the committee may 
need to compensate an executive director 
for the loss of remuneration arrangements 
forfeited on joining the Company. In 
granting any buyout award, the committee 
will consider relevant factors, including any 
performance conditions attached to the 
awards forfeited, the form in which they 
were granted (eg cash or shares) and the 
timeframe of the awards. The committee 
will generally seek to structure the buyout 
on a comparable basis to awards forfeited. 
The overriding principle is that any buyout 
award would be at or below the commercial 
value of remuneration forfeited.
The committee retains the flexibility to alter 
the performance measures of the annual 
bonus for the first year of appointment, if 
it determines that the circumstances of the 
recruitment merit such alteration.
Where an executive director is appointed 
from within the organisation, the normal 
policy is that any legacy arrangements 
would be honoured in line with the original 
terms and conditions. Similarly, if an 
executive director is appointed following 
an acquisition of, or merger with another 
company, legacy terms and conditions will 
be honoured.
Performance measures and 
targets
Annual bonus measures and targets are 
selected to ensure an appropriate balance 
between providing the director with 
incentives to meet financial objectives for 
the year and achieving key operational 
objectives. LTIP measures and targets are 
similarly set annually by the committee and 
cover a three year period. The Remuneration 
Committee reviews them annually to ensure 
that the measures and weightings are in line 
with the strategic priorities and needs of the 
business.
Remuneration arrangements 
throughout the Group
This remuneration approach and 
philosophy is applied consistently at all 
levels, up to and including the CEO and 
any executive directors.
This ensures that there is alignment with the 
business strategy throughout the Group. 
Remuneration arrangements below the 
Board level reflect the seniority of the role 
and local market practices, and therefore 
the components and remuneration levels 
for different employees may differ in parts 
from the policy set out above.
For instance, in addition to a base salary, a 
performance-related bonus (calculated by 
reference to KPIs aligned with the Group’s 
strategy) and benefits, senior managers 
are also entitled to participate in a long-
term incentive programme. This is designed 
to align the interests of these individuals 
to the delivery of long-term growth in 
shareholder value.
Illustration of the application 
of the Remuneration Policy
The following chart provides an indication 
of what could be received by the CEO 
under the Remuneration Policy.
Base pay (incl. benefits)
Annual bonus
LTIP
50% share price increase
Minimum
2,028
In line with 
expectations 
Maximum
Maximum + 
50% share 
price growth
5,028
10,028
12,028
Policy on recruitment 
of executive directors
This part of the Remuneration Policy has been 
developed to enable the Group to recruit 
the best possible candidate and one able to 
contribute to the Group’s performance and 
able to help it reach its goals.
When hiring a new executive director, 
remuneration is determined in line with the 
following Remuneration Policy.
So far as is practicable and appropriate, 
the Remuneration Committee will seek to 
structure the pay and benefits of any new 
executive directors in line with the current 
Remuneration Policy.
Regarding any pension benefits, these will 
not exceed the percentage of salary earned 
by the majority of the workforce (either 
of the Group or the country in which the 
executive director works).
The maximum level of variable 
remuneration which may be granted in 
respect of recruitment (excluding any 
buyouts) will not exceed the ongoing policy 
On the appointment of a new chairman 
or non-executive director, their 
remuneration will typically be in line with 
the Remuneration Policy as set out above. 
Any specific cash or share arrangements 
delivered to the chairman or non-executive 
directors will not include share options or 
any other performance-related elements.
Policy on shareholdings of 
executive directors
The Company’s policy is that executive 
directors should hold shares in the 
Company and any new executive director 
will be required to build and retain a 
level of shareholding in the Company. 
The application of this policy will be 
contained from time to time in the Annual 
Remuneration Report and is currently set at 
a level of at least 300% of salary.
This level of shareholding (or the actual 
level on departure if it is lower) will 
normally have to be retained for two years 
following the departure of an executive 
director from their position. The current 
CEO is currently encouraged to build his 
shareholding since appointment until he 
reaches 300% of salary.  
Executive director’s service 
contract and loss of office 
policy
The CEO, as an Executive Director and 
any new executive directors’ contracts 
will normally provide for a notice period 
of no more than 12 months and for any 
compensation provisions for termination 
without notice to be capped at 12 months’ 
base salary and contractual benefits. 
There is no automatic entitlement to annual 
bonus and executive directors would	
not normally receive a bonus in respect 
of the financial year of their cessation. 
However, where an executive director leaves 
by reason of death, disability, ill-health, 
or other reasons that the committee may 
determine, a bonus may be awarded. Any 
such bonus would normally be subject to 
performance and time pro-rating, unless 
the committee determines otherwise. In 
addition, they would not ordinarily be 
granted an award under an LTIP following 
cessation.
Non-executive directors’ 
letters of appointment
Each non-executive director has a letter 
of appointment setting out the terms and 
conditions covering their appointment.
They are required to stand for election at 
the first AGM following their appointment 
and, subject to the outcome of the AGM, 
the appointment is for a further one-year 
term. Over and above this arrangement, 
the appointment may be terminated by the 
director giving three months’ notice or in 
accordance with the Articles of Association. 
Letters of appointment do not provide for 
any payments in the event of loss of office.
All directors are subject to annual 
re-appointment and will stand for 
re-election at the upcoming AGM in 
June 2022.
CEO
Aleksey Ivanov
DATE OF CONTRACT
1 September 2021
NOTICE PERIOD (MONTHS)
1
145
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ANNUAL REPORT & ACCOUNTS 2021
Strategic report
Meet EVRAZ
EVRAZ in figures
CORPORATE GOVERNANCE
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Additional information

1.	 Laurie Argo stepped down as a director on 15 June 2021
2.	 The appointment took effect on 15 June 2021
3.	 This represents the period following appointment as CEO on 1 September 2021.
4.	The salary is paid in roubles and the amounts paid in the year are reconciled at the year-end so as to equal US$2,625,000.
5.	 Alexander Frolov’s remuneration for the year represents the period as CEO and an Executive Director, until he stepped down on 31 August 2021
Key terms of non-executive directors’ appointment letters
NON-EXECUTIVE DIRECTORS
DATE OF CONTRACT
NOTICE PERIOD
Alexander Abramov
14 October 2011
Three months
Karl Gruber
14 October 2011
Three months
Alexander Izosimov
28 February 2012
Three months
Sir Michael Peat
14 October 2011
Three months
Maria Gordon
1 February 2022
 Three Months
Deborah Gudgeon
31 March 2015
Three months
Eugene Shvidler
14 October 2011
Three months
Eugene Tenenbaum
14 October 2011
Three months
Stephen Odell2
20 May 2021
Three months
James Rutherford2
20 May 2021
Three months
Sandra Stash2
20 May 2021
Three months
Copies of the directors’ letters of appointment 
or, in the case of the CEO, the service 
contract, are available for inspection by 
shareholders at the Group’s registered office.
Consideration of conditions 
elsewhere in the Group
Management prepares the details of all- 
employee pay and conditions, and the 
committee considers them on an annual basis.
The committee takes this into account when 
setting the CEO’s remuneration.
However, it does not consider any direct 
comparison measures between the 
executive director and wider employee 
pay. The Group does not formally consult 
with employees on executive director 
remuneration.
Consideration of shareholder 
views
When determining the Remuneration Policy, 
the committee considers investor body 
guidelines and shareholder views.
ANNUAL REMUNERATION REPORT
Executive director’s and CEO’s 
remuneration
In 2021, Aleksey Ivanov was not a Director 
of the Company, however in order 
to comply with disclosure requirements 
and to provide full transparency we have 
included details of his remuneration in 2021 
as his role as CEO
Base salary
The committee approved the new 
CEO’s current salary on appointment as 
CEO at the level of US$2,000,000. This 
salary level will remain unchanged for 
2022 and includes, for the avoidance of 
doubt, the director’s fee, fees paid for 
committee membership and any salary 
from subsidiaries of EVRAZ plc. The 
former CEO’s salary remained constant at 
US$2,625,000 during the year.
Key elements of the CEO’s remuneration package received in relation to 2021 (compared with the prior year).  
All amounts are in US Dollars.
Pension and benefits (audited)
The current CEO and former CEO did not 
receive any pension benefit or allowance. 
Benefits consist principally of private 
healthcare. The pension and benefits will 
continue on the same basis for the current 
CEO, pro-rated for the period of the year 
worked as an executive director.
Annual bonus
The current and former CEOs are eligible 
for a performance-related bonus that is 
paid in cash following the year-end, subject 
to the committee’s agreement and the 
Board of Directors’ approval.
The bonus is linked to achieving 
performance conditions based on 
predetermined targets set by the Board of 
Directors. The target bonus is 100% of base 
salary with a maximum potential of 200% 
of base salary.
Annual bonus for 2021 
(audited)
The bonus is linked to the Group’s main 
quantitative financial, operational and 
strategic measures during the year to 
ensure alignment with the key aspects of 
Group performance and strategy.
For 2021, the annual bonus plan was based 
on the same metrics for the former and 
current CEO. The following five indicators, 
each with an equal weighting of 20%, were 
considered when determining the CEO’s 
annual bonus: LTIFR, EBITDA, Free Cash 
Flow, Cash Cost Index and the committee’s 
assessment of overall performance against 
strategic objectives.
The committee reviews the resulting 
bonus payout to ensure that it is 
appropriate considering the Group’s overall 
performance, as well as safety record and 
procedures.
In 2021, EVRAZ outperformed the threshold 
target for all of its operational and financial 
KPIs, resulting in an annual bonus payout 
of 72% of the maximum.
The bonus payout was adjusted based on 
the part of the year worked as CEO for 
both A. Frolov and A. Ivanov.
Single total figure of remuneration (audited)
This section summarises remuneration paid out to directors for the 2021 financial year and details of how 
the Remuneration Policy will be implemented in the 2022 financial year.
ALEKSEY IVANOV3
ALEXANDER FROLOV45
2021
2020
2021
2020
Salary and director fees
666,667
-
1,750,000
2,625,000
Benefits
9,333
-
22,017
26,909
Pension
0
-
0
0
Annual bonus
903,503
-
2,196,696
3,136,930
LTIP
0
-
0
0
Total Fixed remuneration
676,000
-
1,772,017
2,651,909
Total variable remuneration
903,503
-
2,196,696
3,136,930
Total Remuneration
1,579,503
-
3,968,713
5,788,839
147
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ANNUAL REPORT & ACCOUNTS 2021
Strategic report
Meet EVRAZ
EVRAZ in figures
CORPORATE GOVERNANCE
Financial statements
Additional information

1.	 Total fees include annual fees and fees for committee membership or chairmanship (pro rata working days).
2.	 The Group contributes an annual amount of US$30,000 towards secretarial and administrative expenses of non-executive directors. In addition to the amounts 
disclosed above, the Group reimburses directors’ travel and accommodation expenses incurred in the discharge of their duties.
Details of the targets set for each KPI, the actual achievement in the year,  
and total payout level for the 2021 bonus
Remuneration committee 
assessment of overall 
performance
EVRAZ’ Remuneration Policy stipulates that 
the discretionary portion of the bonus should 
reflect the CEO’s performance in relation 
to the Group’s key strategic priorities, 
as well as his efforts to ensure its long-
term success. During the year, the business 
continued to deliver in relation to key strategic 
priorities and creating long-term returns 
for shareholders.
The committee assessed the strategic 
achievements in the business in 2021 
and there are:
	• Sustainable focus on health and safety 
initiatives helped to bring the LTIFR 
down to 1.21, the best historical number 
for EVRAZ.
	• Strong free cash flow 
of US$2,548 million, which made 
it possible to pay dividends 
of US$1,549 million.
	• Net debt of US$2,667 million, remaining 
below the medium term target 
of US$4,000 million from, bringing 
the Net debt / EBITDA ratio to 0.53.
	• The efficiency improvement 
programme delivered an EBITDA effect 
of US$301 million from cost-cutting 
initiatives and US$289 million from 
customer focus initiatives.
	• The value of cash cost index is lower 
than the target value due to high 
inflation in 2021
The committee exercised its judgement to 
award 25% and 50% of the maximum for 
Mr Frolov and Mr Ivanov respectively for 
the discretionary 20% of bonus opportunity. 
The lower amount for Mr Frolov reflected 
the safety record during the part of the 
year he was CEO. .
Annual bonus for 2022
For 2022, the bonus framework will 
be in line with 2021. The Board considers 
forward-looking targets to be commercially 
sensitive; however, they will generally 
be disclosed in the subsequent year. 
In line with previous years, a malus 
arrangement will apply under which bonus 
payouts may be adjusted downwards 
to reflect the Group’s overall performance 
including underlying safety practices 
and resulting performance.
Non-executive directors’ 
remuneration
Non-executive directors’ fixed remuneration 
payable in respect of 2021 and 2020 is set 
out in the table below.
A non-executive director’s remuneration 
consists of an annual fee of US$150,000 
and a fee for committee membership 
(US$24,000) or chairmanship (US$100,000 
for chairmanship of the Audit Committee 
and US$50,000 for other committees). 
The fee for employee engagement 
responsibilities is set at US$24,000.
Single total figure of remuneration (audited)
NON-EXECUTIVE DIRECTOR
2021 (US$ THOUSAND)
2020 (US$ THOUSAND)
TOTAL FEES1
ADMIN2
TOTAL
TOTAL FEES1
ADMIN2
TOTAL
Alexander Abramov
750
30
780
750
30
780
Alexander Izosimov
288
30
316
272
30
302
Eugene Shvidler
174
30
204
174
30
204
Eugene Tenenbaum
150
30
180
150
30
180
Karl Gruber
184
30
214
224
30
254
Sir Michael Peat
184
30
214
224
30
254
Deborah Gudgeon
292
30
322
274
30
304
Laurie Argo
102
14
115
222
30
252
Alexander Frolov
58
10
68
Stephen Odell
121
16
138
James Rutherford
108
16
125
Sandra Stash
135
16
152
For reference, the fees payable 
for the chairmanship of a committee 
include the membership fee, 
and any director elected as chairman 
of more than one committee is generally 
entitled to receive fees in respect of one 
chairmanship only. The fee for the chairman 
of the Board amounts to US$750,000 
from 1 March 2012 (this fee includes, 
for the avoidance of doubt, director’s fees 
and fees paid for committee membership).
Fees will remain unchanged for 2022.
Aggregate directors’ 
remuneration
The aggregate amount of directors’ 
and CEO remuneration payable in respect 
of qualifying services for the year ended 
31 December 2021 was US$ 8,376 thousand 
(2020: US$8,319 thousand).
Share ownership by the Board 
of Directors (audited)
There were no formal minimum 
shareholding requirements in place 
for the former CEO, reflecting the former 
CEO’s shareholding in EVRAZ.
The current CEO is expected to build 
and hold 300% of base salary in shares. 
As at 31 December 2021 with a share price 
of 602p his holding amounted to 303% 
of his salary.
The directors’ interests in EVRAZ shares 
as of 31 December 2021 were as follows.
There have been no changes 
in the directors’ interests from 31 December 
2021 through 24 February 2022.The shares 
held by Alexander Abramov, Alexander Frolov 
and Eugene Shivdler were acquired at the time 
of IPO.
The shares held by Alexander Izosimov 
were acquired in 2012 when he was appointed 
as an independent non-executive director.
All shares detailed above held by directors, 
including the CEO, are held outright with no 
performance or other conditions attached 
to them, other than those applicable to all 
shares of the same class.
Other directors do not currently hold EVRAZ 
shares.
Policy on external appointments
The committee believes that the Group can 
benefit from executive directors holding 
approved non-executive directorships in other 
companies, offering executive directors 
the opportunity to broaden their experience 
and knowledge. EVRAZ’ policy is to allow 
executive directors to retain fees paid from 
any such appointment.
The former CEO and the current CEO do not 
currently hold a non-executive directorship 
of another publicly listed company.
Engagement with the workforce
EVRAZ is committed to regularly engaging 
with its workforce and realises the value 
of listening to and acting on employee 
views across the organisation. These insights 
are vital to attracting and retaining employees, 
which is key to delivering and executing 
the Group’s vision and strategy. It also 
allows for informative decisions to be made 
throughout the business. Considering 
the views of the wider workforce has been 
in place at the Group for many years. 
Employees participate in an employee 
engagement survey aimed at gathering wider 
workforce views on various topics.
KPIs
RESULT MEASUREMENT
THRESHOLD
PLANNED LEVEL 
(% OF TARGET)
OUTSTANDING
ACTUAL 2021
BONUS PAYOUT 
(% OF MAX)
LTIFR
1.63
1.36
1.09
1.21
78%
EBITDA
US$1.646m
US$2.057m
US$2.469m
US$5.015m
100%
Adjusted FCF
US$273
US$341
US$409
US$2,548
100%
Cash cost index
110%
100%
90%
108%
11%
Discretion for A. Frolov
Remuneration Committee assessment of overall performance against 
strategic objectives
25%
Discretion for A. Ivanov
Remuneration Committee assessment of overall performance against 
strategic objectives
50%
TOTAL (A. FROLOV)
62.8%
TOTAL (A. IVANOV)
67.8%
TOTAL PAYOUT TO A. FROLOV
US$ 2,196,696
TOTAL PAYOUT TO A. IVANOV
US$903,503
149
148
ANNUAL REPORT & ACCOUNTS 2021
Strategic report
Meet EVRAZ
EVRAZ in figures
CORPORATE GOVERNANCE
Financial statements
Additional information

For more information on the definition of EBITDA, please read page 290 
Performance graph
The following graph shows the Group’s 
performance as measured by total 
shareholder return compared 
with the performance of the FTSE 350 Basic 
Resources Index for the last ten years.
The FTSE 350 Basic Resources Index has 
been selected as an appropriate benchmark, 
as it is a broad-based index of which 
the Group is a constituent member.
The following table shows as a single figure 
the CEO’s total remuneration over the past 
eight years, along with a comparison 
of variable payments as a percentage 
of the maximum bonus available.
Total Shareholder Return Performance, %
YEAR ENDS
FTSE 350 BASIC RESOURCES INDEX
EVRAZ
31.12.2011
100
100
31.12.2012
103.00
74.09
31.12.2013
89.80
32.02
31.12.2014
81.19
45.86
31.12.2015
45.84
21.74
31.12.2016
92.33
65.84
31.12.2017
120.90
110.01
31.12.2018
116.42
184.59
31.12.2019
136.58
172.81
31.12.2020
162.27
233.78 
31.12.2021
198.18
345.42
Total Shareholder Return Performance, % 
CEO’s total remuneration paid in 2013—2021
 
0
50
100
150
200
250
300
350
FTSE 350 Basic Resources Index
EVRAZ
31.12.2012
31.12.2021
Directors’ interest in EVRAZ shares as of 31 December 2021
DIRECTORS
NUMBER OF SHARES 
CONDITIONALLY OWNED
NUMBER OF SHARES 
UNCONDITIONALLY OWNED
TOTAL HOLDING, ORDINARY 
SHARES, %
Alexander Abramov
–
281,870,003
19.32
Alexander Frolov
–
140,723,705
9.65
Eugene Shvidler
–
40,488,242
2.78
Aleksey Ivanov
1,120,3812
1,007,557
0.07
Alexander Izosimov
–
80,000
0.01
2.	 These are grants made under the LTIP in the years before appointment as CEO, which require continued employment until dates up to 15 May 2025. 298,980 shares 
remain subject to performance in 2021 which will be assessed in 2022. The remainder have met previously set performance targets.
Percentage change 
in remuneration
The following table sets out the percentage 
change in the elements of remuneration 
for the directors of EVRAZ, compared 
with average figures for Russia-based 
administrative personnel.
This group of employees has been selected 
as an appropriate comparator, as they 
are based in the same geographic market 
as the CEO, and so are subject to a similar 
external environment and pressures.
The population of employees 
the calculation has been performed 
for includes administrative personnel 
in the Head Office and the Ural and Siberia 
management companies. This provides 
a representative calculation across 
the Russian businesses.
US$ MILLION
2021
2020
EBITDA
5,015
2,212
Share buybacks
0
0
Dividends
1,823
872
Total employee pay
1,332
1,331
The survey has historically been 
successful in driving numerous employee-
focused initiatives and helps to set key 
priorities for the forthcoming year, aimed 
at improving the engagement of all 
employees.
The Board reviews the engagement data 
and is therefore aware of any trends, 
comments or concerns in relation to executive 
pay. The Board also receives a quarterly 
summary report of complaints made 
on the EVRAZ employee telephone hotline.
In 2021, EVRAZ continued with the additional 
tools introduced the previous year aimed 
at engaging with employees during 
the pandemic. Virtual meetings with senior 
management were regularly held, allowing 
employees to participate and ask questions. 
The 24/7 corporate hotlines were opened 
for employees if they have questions or 
encounter problems.
The Board has appointed two independent 
non-executive directors to undertake 
the employee engagement role on its 
behalf. Alexander Izosimov undertakes 
the role for the Russian based business 
units and Sandra Stash acts in the same 
capacity for the north American business. 
Contact with business units has in 2021 
been impeded by the COVID 19 restrictions, 
but where possible virtual events have 
been held, alongside some site visits 
involving small groups of staff. Findings 
are fed back to the Remuneration 
Committee and considered alongside other 
management reports on employee relations.
The committee also considers executive 
remuneration in the context of the wider 
employee population and is kept regularly 
updated on pay and conditions across 
the Group. The proportion of variable 
pay increases with progression through 
management levels with the highest 
proportion of variable pay 
at executive director level, as defined 
by the Remuneration Policy. Variable pay 
cascades down through the next tiers 
of management with appropriate reductions 
in opportunity levels based on seniority.
In addition, the Group operates pension 
arrangements in some of its businesses 
around the world, where this is relevant 
to the local conditions. The key element 
of remuneration for those below senior 
management grades is base salary 
and the Group’s policy is to ensure that 
base salaries are fair and competitive 
in the local markets. General pay increases 
take into account local salary norms, 
inflation and business conditions.
Finally, 2018 changes to the UK Corporate 
Governance Code (UKCGC) placed new 
expectations on FTSE Boards of Directors 
for quoted companies. Specifically, 
companies are expected to ensure that 
views and concerns of the workforce 
are considered by directors and that 
workforce policies and practices are consistent 
with the companys values and support its 
long-term sustainable success. Independent 
Non-Executive Director, Sandra Stash, visited 
EVRAZ plants in Canada and the USA in late 
2021 and took the opportunity to speak 
with small groups of employees to understand 
the opportunities and challenges of their 
roles. Findings have been discussed 
with executive leadership and will be fed back 
to the Remuneration Committee in 2022.
Gender pay gap and CEO pay 
ratio
EVRAZ had less than 10 UK employees 
during the year and does not therefore 
have any gender pay or CEO pay ratio 
information to report under the Regulations.
Relative importance of spend 
on pay
The following table shows a comparison 
of the total cost of remuneration paid 
to all employees between the current 
and previous years and financial metrics 
in US$ millions.
EBITDA was chosen for the comparison 
as it is the KPI that best shows the Group’s 
financial performance.
(US$)
CEO SINGLE FIGURE 
OF TOTAL REMUNERATION
ANNUAL BONUS PAYOUT 
(AS A % OF MAXIMUM 
OPPORTUNITY)
2021 (A.Ivanov)
1,579,503
67.8%
2021 (A.Frolov)
3,968,713
62.8%
2020
5,788,839
59.75%
2019
2,657,970
0%
2018
5,393,884
57.21%
2017
5,516,553
59.82%
2016
4,560,054
40.78%
2015
3,186,585
13.33%
2014
5,808,752
77.00%
2013
4,894,286
50.00%
151
150
ANNUAL REPORT & ACCOUNTS 2021
Strategic report
Meet EVRAZ
EVRAZ in figures
CORPORATE GOVERNANCE
Financial statements
Additional information

2.	 Percentage of votes cast.
Committee composition
This section details the Remuneration 
Committee’s composition and activities 
undertaken over the past year.
Committee members
The committee’s composition changed 
in the year with Sir Michael Peat retiring 
from the committee and the retirement 
of Laurie Argo from the Board.
Its current members are:
	• Alexander Izosimov.
	• Deborah Gudgeon.
	• Stephen Odell.
	• Sandra Stash.
All members of the Committee 
are independent non-Executive 
Directors. This is fundamental to ensuring 
Executive Directors and senior 
executives’ remuneration is set by people 
who are independent and have no 
personal financial interest, other than 
as shareholders, in the matters discussed. 
There are no potential conflicts of interest 
arising from cross-directorships and there 
is no day-to-day involvement in running 
the business. No-one is allowed 
to participate in any matter directly 
concerning the details of their own 
remuneration or conditions of service.
The committee may invite other individuals 
to attend all or part of any committee 
meeting, as and when appropriate 
and necessary, in particular the CEO, 
the head of human resources and external 
advisers.
Role
The Remuneration Committee is a formal 
committee of the Board and can operate 
with a quorum of two committee 
members. It is operated according to its 
Terms of Reference, which were reviewed 
and updated in the year to reflect changes 
required to reflect the appointment 
of the CEO. A copy can be found 
on the Group’s website.
The committee’s main responsibilities are to:
	• Set and implement the Remuneration 
Policy covering the chairman 
of the Board, the CEO, the company 
secretary and other senior executives.
	• Take into account all factors that it deems 
necessary to interpret and determine, 
the provisions and recommendations 
of the 2018 UK Corporate Governance 
Code and associated guidance (such 
as framework or policies), including all 
relevant legal and regulatory requirements.
	• Review and consider remuneration trends 
across the Group and the alignment 
of incentives and rewards with culture 
when setting the Remuneration Policy.
	• Review regularly the Remuneration 
Policy’s appropriateness and relevance.
	• Determine the total individual 
remuneration package of the chairman 
of the Board, the company secretary 
and other senior executives, including 
pension rights, bonuses, benefits in kind, 
incentive payments and share options, 
or other share-based remuneration 
within the terms of the agreed policy.
	• Approve awards for participants where 
existing share incentive plans are in place.
	• Review and approve any compensation 
payable to executive directors and other 
senior executives in connection 
with any dismissal, loss of office or 
termination (whether for misconduct 
or otherwise) to ensure that such 
compensation is determined 
in accordance with the relevant 
Actual voting results from the AGM, which was held, in respect of the 
previous remuneration report and Remuneration Policy
contractual terms and the Remuneration 
Policy, and that such compensation 
is otherwise fair and not excessive 
for the Group.
	• Oversee any major changes 
in the structure of employee benefits 
throughout the Group and report 
on what engagement has taken place 
with the workforce on executive pay.
During 2021, the committee met 
six times. The main purpose 
of the meetings was to consider 
and make recommendations to the Board 
in relation to the remuneration packages 
of the executive director and key senior 
managers; to approve the annual bonus 
for the 2020 results; to approve the 2021 
long-term incentive plan (LTIP) awards 
for key senior management, to agree 
the remuneration for the appointment 
of the current CEO and terms 
for the departure of the former CEO 
and to be updated on pay across 
the workforce.
Advisers
The committee had previously appointed 
Korn Ferry (UK) Limited (Korn Ferry) 
to provide independent remuneration 
consultancy services to the Group. Korn 
Ferry is a member of the Remuneration 
Consultants’ Group and, as such, 
voluntarily operates under the code 
of conduct in relation to executive 
remuneration consulting in the UK. 
The code of conduct can be found at www.
remunerationconsultantsgroup.com.
During the year, Korn Ferry principally 
advised the committee on developments 
in the regulatory environment and market 
practice, and on the development 
of the Group’s pay arrangements. The total 
fee for advice provided to the committee 
during the year was £59,158.
The committee is satisfied that the advice 
it has received has been objective 
and independent.
Shareholder considerations
EVRAZ remains committed to ongoing 
shareholder dialogue and takes an active 
interest in feedback received from its 
shareholders and from voting outcomes.
Where there are substantial votes against 
resolutions in relation to directors’ 
remuneration, the Group shall seek 
to understand the reasons for any such 
vote and will detail any actions in response 
to these.
Signed on behalf of the Board 
of Directors,
Alexander Izosimov
Chairman of the Remuneration 
Committee
24.02.2022
Percentage change in the elements of remuneration for the directors compared 
with average figures for Russia-based administrative personnel
1.	 Total fixed remuneration for NEDs.
2020-2021
2019-2020
ROLE
SALARY1
BENEFITS
ANNUAL 
BONUS
SALARY1
BENEFITS
ANNUAL 
BONUS
Russia-based administrative personnel
6%
2%
7%
3%
40%
2%
Aleksey Ivanov (CEO)
n/a
n/a
n/a
Alexander Frolov (NED/Former CEO)
n/a/0%
n/a/25%
n/a/5%
0%
(9)%
100%
Alexander Abramov (NED)
0%
n/a
n/a
0%
n/a
n/a
Alexander Izosimov (NED)
5%
n/a
n/a
9%
n/a
n/a
Eugene Shvidler (NED)
0%
n/a
n/a
0%
n/a
n/a
Eugene Tenenbaum (NED)
0%
n/a
n/a
0%
n/a
n/a
Karl Gruber (NED)
-16%
n/a
n/a
0%
n/a
n/a
Sir Michael Peat (NED)
-16%
n/a
n/a
0%
n/a
n/a
Deborah Gudgeon (NED)
6%
n/a
n/a
0%
n/a
n/a
Laurie Argo (NED)
-54%
n/a
n/a
24%
n/a
n/a
Stephen Odell (NED)
n/a
n/a
n/a
James Rutherford (NED)
n/a
n/a
n/a
Sandra Stash (NED)
n/a
n/a
n/a
NUMBER OF VOTES
FOR
AGAINST
WITHHELD
TOTAL VOTES AS % 
OF ISSUED SHARE 
CAPITAL
To approve the Directors Remuneration Policy as set 
out on pages 131–135 of the 2019 Annual Report 
and Accounts
1,189,736,031
(95.85%)2
51,449,970
(4.15%)
3,329,067
85.20%
To approve the Annual Remuneration Report set 
out on pages 128–139 of the 2020 Annual Report 
and Accounts
1,070,842,969
(94.41%)
163,394,671
(5.59%)
5,339,125
77.76%
153
152
ANNUAL REPORT & ACCOUNTS 2021
Strategic report
Meet EVRAZ
EVRAZ in figures
CORPORATE GOVERNANCE
Financial statements
Additional information

DIRECTOR'S  
	 REPORT
In accordance with section 415 
of the Companies Act 2006, the directors 
of EVRAZ plc present their report 
to shareholders for the financial year ended 
31 December 2021, which they are required 
to produce by the applicable UK company law. 
The Directors’ Report comprises the Directors’ 
Report section of this report, together 
with the sections of the annual report 
incorporated by reference. As permitted 
by legislation, some of the matters normally 
included in the Directors’ Report have instead 
been included in other sections of the annual 
report, as indicated below.
The Company was incorporated under 
the name EVRAZ plc as a public company 
limited by shares on 23 September 
2011 under registered number 7784342. 
EVRAZ plc listed on the London 
Stock Exchange in November 2011 
and is a member of the FTSE 100 Index.
INTRODUCTION
Dividends
The underlying cash flow generation and continuing success with deleveraging have allowed the Company to continue 
to pay dividends in line with its dividend policy. For more details, 
 see page 26.
The Company paid an interim dividend of US$0.30 per ordinary share, totalling US$437 million, on 7 April 2021 
to shareholders on the register as of 12 March 2021.
The Company paid an interim dividend of US$0.20 per ordinary share, totalling US$292 million, on 25 June 2021 
to shareholders on the register as of 28 May 2021.
The Company paid an interim dividend of US$0.55 per ordinary share, totalling US$802 million, on 10 September 2021 
to shareholders on the register as of 13 August 2021.
The Company paid an interim dividend of US$0.20 per ordinary share, totalling US$292 million, on 14 January 2022 
to shareholders on the register as of 24 December 2021.
The Board of Directors has declared an interim dividend of US$0.50 per share, totalling US$729 million, to be paid 
on 6 April 2022 to shareholders on the register as of 18 March 2022.
Share capital
Details of the Company’s share capital are set out in Note 20 to the Consolidated Financial Statements, including details 
on the movements in the Company’s issued share capital during the year.
As of 31 December 2021, the Company’s issued share capital consisted of 1,506,527,294 ordinary shares, of which 
47,837,582 shares are held in treasury. Therefore, the total number of voting rights in the Company is 1,458,689,712.
The Company’s issued ordinary share capital ranks pari-passu in all respects and carries the right to receive all dividends 
and distributions declared, made or paid on or in respect of the ordinary shares. There are currently no redeemable 
non-voting preference shares or subscriber shares of the Company in issue.
Authority 
to purchase 
own shares 
and transfer 
of treasury shares 
to Company’s 
Employee Share 
Trust
The authority given at the 2021 AGM for the Company to make market purchases of 145,687,260 of its shares, 
representing 10% of the issued share capital (excluding shares held in treasury), expires on the earlier of the 2022 AGM 
or 30 June 2022. EVRAZ will ask shareholders to give a similar authority at the 2022 AGM. During 2021, no shares 
were purchased under this authority.
Details of the Company’s authority to purchase its own shares, which will be sought at the Company’s forthcoming 
Annual General Meeting (AGM), will be set out in the notice of meeting for that AGM.
On 13 May 2021, the Company transferred 1,817,109 ordinary shares out of treasury to the Company’s Employee Share 
Trust.
Directors
Biographies of the directors who served on the Board during the year are provided in the Board of Directors section 
 on page 104 to 108.
Directors’ 
appointment 
and re-election
The Board has the power at any time to elect any person to be a director, but the number of directors must not exceed 
the maximum number fixed by the Company’s Articles of Association.
Any person so appointed by the directors will retire at the next AGM and then be eligible for election. In accordance 
with the UK Corporate Governance Code, the directors are subject to annual re-election by shareholders.
For additional information about directors’ appointment and resignation, 
 see page 140-153 of the Remuneration 
Report.
Sir Michael Peat, Karl Gruber and Alexander Isozimov will not be seeking re-election as directors at the AGM, having 
completed their terms of nine years. All of the other directors intend to stand for re-election at the 2022 AGM to be held 
later this year.
Directors’ interests
Information on share ownership by directors can be found in this Report and in the Remuneration Report. 
 See page 150 of the Annual Remuneration Report.
Directors’ 
indemnities 
and director 
and officer liability 
insurance
As of the date of this report, the Company has granted qualifying third-party indemnities to each of its directors against 
any liability they may face in defending proceedings brought against them, to the extent permitted by the Companies 
Act. In addition, directors and officers of the Company and its subsidiaries have been and continue to be covered 
by director and officer liability insurance.
Powers 
of directors
Subject to the Company’s Articles of Association, UK legislation and to any directions given by a special resolution, 
the Company’s business is managed by the Board, which may exercise all the powers of the Company. The Articles 
of Association contain specific provisions concerning the Company’s power to borrow money and provide the power 
to make purchases of any of its own shares.
The directors have the authority to allot shares or grant rights to subscribe for or to convert any security into shares 
in the Company. Further details of the proposed authorities are set out in the notice of the AGM.
Major interests 
in shares
Notifiable major share interests of which the Company has been made aware are set out in this Directors’ Report.
Research 
and development
EVRAZ is constantly engaged in process and product innovation. The research and development centres located 
at the Company’s production sites improve and develop high-quality steel products to better meet customers’ needs 
and to ensure that EVRAZ remains competitive in the global and local markets.
For examples of the Company’s efforts in research and development in different operations, see the Sustainable R&D 
 on pages 79-82
Sustainable 
development
The Corporate Social Responsibility section of this report focuses on the health and safety, environmental 
and employment performance of the Company’s operations, and outlines the Company’s core values and commitment 
to the principles of sustainable development and the development of community relations programmes.
For more details on the Company’s policies and performance, see the Sustainability section 
 on pages 54-78.
Payments 
to governments
EVRAZ published its 2020 report on payments to governments in June 2021. The report provides citizens, authorities 
and independent users with information on payments made to governments where the Company conducts its extractive 
activities. The report is prepared in accordance with the requirements of the Disclosure Guidance and Transparency 
Rules. Instrument 2014 “Report on payments to governments”, issued by the UK Financial Conduct Authority.
The report is available on the Company’s website at www.evraz.com.
Political donations
No political contributions were made in 2021.
Greenhouse gas 
emissions
In 2021, in accordance with the requirements of the Companies Act 2006 (Strategic and Directors’ Report), Regulations 
2013, and Companies (Directors’ Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 
2018, EVRAZ undertook to assess full emissions of greenhouse gases (GHGs) from facilities under its control. For more 
details, see the Sustainability section 
 on pages 62-66.
Employees
Information regarding the Company’s employees can be found in the Our People section 
 on pages 71-73.
Overseas branches
EVRAZ does not have any branches. A full list of the Group’s controlled subsidiaries is disclosed in Note 34 
of the Consolidated Financial Statements.
Financial risk 
management 
and financial 
instruments
Information regarding the financial risk management and internal control processes and policies, as well as details 
about hedging policy and exposure to the risks associated with financial instruments can be found in Note 28 
to the Consolidated Financial Statements, the Corporate Governance Report and Risk Management and Internal Control 
section 
 on pages 114-121, 122-123 and the Financial Review section 
 on pages 36-47.
Going concern
The financial position and performance of the Group and its cash flows are set out in the Financial Review section 
of the report 
 on pages 36-47.
Based on the currently available facts and circumstances, the directors and management have a reasonable expectation 
that the Group has adequate resources to continue in operational existence for the foreseeable future.
For more details, see Note 2 to the Consolidated Financial Statements 
 on page 189.
Auditor
The Audit Committee conducted a tender for the Group’s external audit in July 2016. Since then Ernst & Young LLP have 
continued as auditor, following a review of performance each year by the Audit Committee on behalf of the Board.
The Board intend to run a full tender process during the summer of 2022 to consider whether to replace the auditor for 
the audit of the 2023 financial year end.
Ernst & Young LLP has indicated its willingness to continue conducting audits and a resolution seeking to re-appoint it 
will be proposed at the forthcoming AGM.
Future 
developments
Information on the Group and its subsidiaries’ future developments is provided in the Strategic Report 
 on pages 6-101.
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Events since 
the reporting date
The major events after 31 December 2021 are disclosed in Note 33 to the Consolidated Financial Statements 
 on page 261.
Annual general 
meeting (AGM)
The 2022 AGM will be held later this year in London. At the AGM, shareholders will have the opportunity to put 
questions to the Board, including the chairmen of the Board committees.
Full details about the AGM, including explanatory notes, are contained in the notice of the AGM, which will 
be distributed at least 20 working days before the meeting. The notice sets out the resolutions to be proposed 
at the AGM and an explanation of each resolution.
All documents relating to the AGM will be available on the Company’s website at www.evraz.com.
Electronic
communications
A copy of the 2021 annual report, the notice of the AGM and other corporate publications, reports and announcements 
will be available on the Company’s website at the following link: https://www.evraz.com/en/investors/.
Shareholders may elect to receive notification by email of the availability of the annual report on the Company’s website 
instead of receiving paper copies.
Corporate 
governance 
statement
The Disclosure Guidance and Transparency Rules (DTR7.2) require that certain information be included in a corporate 
governance statement set out in a company’s Directors’ Report.
As many companies do, EVRAZ has an existing practice of issuing a Corporate Governance Report within its 
annual report that is separate from its Directors’ Report. The information that fulfils the requirement of DTR7.2 
is located in the EVRAZ Corporate Governance Report (and is incorporated into this Directors’ Report by reference), 
with the exception of the information cited in DTR7.2.6, which is located in this Directors’ Report.
Section 172 
Statement
The Company’s Section 172 Statement can be found in the Strategic Report 
 on page 98-99.
Employee 
engagement
Details of how the Company engages with its workforce can be found in the Strategic Report 
 on page 8, 57, 73.
Stakeholder 
engagement 
on key decisions
Details of the Board’s key decisions and discussions during the year and the main stakeholder inputs into those decisions 
are set out in the Corporate Governance Report 
 on page 115-118.
1.	 The Company understands that Roman Abramovich has an indirect economic interest in the 417,767,314 shares held by Greenleas International Holdings Ltd.
2.	 The Company understands that Alexander Abramov has an indirect economic interest in the 281,870,003 shares held by Abiglaze Ltd.
3.	 The Company understands that Alexander Frolov has an indirect economic interest in the 140,723,705 shares held by Crosland Global Limited.
4.	Includes shares held by Gennady Kozovoy directly. The number of shares is as per TR-1 Form: Notification of major interest in shares dated 6 February 2013.
MAJOR SHAREHOLDINGS
The Company’s issued share capital as of 31 December 2021 was 1,506,527,294 ordinary shares, of which 47,837,582 shares are held 
in treasury. Therefore, the total number of voting rights in the Company is 1,458,689,712.
As of 31 December 2021, the following significant holdings of voting rights in the Company’s share capital were disclosed to the Company 
under Disclosure and Transparency Rule 5. On 16 February 2022, the Company has received a notification under Disclosure and 
Transparency Rule 5 that Greenleas International Holdings Ltd has reduced its shareholding to 0% and Mr. Roman Abramovich 
subsequently increased its shareholding to 28.64%.
NUMBER OF ORDINARY SHARES
% OF VOTING RIGHTS
Greenleas International Holdings Ltd1
417,767,314
28.64
Abiglaze Ltd22
281,870,003
19.32
Crosland Global Limited3
140,723,705
9.65
Kadre Enterprises Ltd4
83,751,827
5.74
Amereus Group Pte. Ltd
43,872,001
3.01
The Company is aware of the following individuals who each have a beneficial interest in three percent or more of EVRAZ plc’s issued 
share capital (held indirectly in each case, except for Gennady Kozovoy) as of 31 December 2021:
Number of ordinary shares
% of voting rights
Roman Abramovich
417,767,314
28.64
Alexander Abramov
281,870,003
19.32
Alexander Frolov
140,723,705
9.65
Gennady Kozovoy
83,751,827
5.74
Maxim Vorobyev
43,872,001
3.01
On 1 February 2022, the Company issued 848,188,421 deferred shares of US$9.66766321843 each which were subsequently cancelled on 
8 February 2022 further to a Court-approved reduction of capital. There have been no other changes in the Company’s issued share 
capital from 31 December 2021 through 24 February 2022. On 16 February 2022, the Company has received a notification under Disclosure 
and Transparency Rule 5 that Greenleas International Holdings Ltd has reduced its shareholding to 0% and Mr. Roman Abramovich 
subsequently increased its shareholding to 28.64%.
LISTING RULE DISCLOSURES
For the purposes of LR 9.8.4CR, the information required to be disclosed by LR 9.8.4R can be found in the following locations:
Interest capitalised
Note 9 to the Consolidated Financial Statements
Publication of unaudited financial information
Not applicable
Details of long-term incentive schemes
Note 21 to the Consolidated Financial Statements, Remuneration Report
Waiver of emoluments by a director
None
Waiver of future emoluments by a director
None
Non pre-emptive issues of equity for cash
None
Non pre-emptive issues of equity for cash in relation 
to major subsidiary undertakings
None
Parent participation in a placing by a listed subsidiary
None
Contract of significance in which a director is interested
None
Contracts of significance with a controlling shareholder
Relationship Agreements section below
Provision of services by a controlling shareholder
None
Shareholder waiver of dividends
None
Shareholder waiver of future dividends
None
Agreements with controlling shareholder
Relationship Agreements section below
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SIGNIFICANT CONTRACTUAL ARRANGEMENTS
Relationship agreements
Due to the changes in the Company's 
shareholder structure that took place on 
16 February 2022, particularly, the transfer 
of the Company's shares from Greenlease 
International Holdings Ltd to the personal 
account of Roman Abramovich, the 
Company has terminated the previous 
relationship agreements entered with 
each of Greenlease International Holdings 
Ltd., Abiglaze Ltd and Crosland Limited 
as controlling shareholders and entered 
into new  relationship agreements (the 
"Relationship Agreements") with each of 
Roman Abramovich, Abiglaze Ltd and 
Crosland Global Limited (the "Controlling 
Shareholders") that regulate the ongoing 
relationship between the Controlling 
Shareholders and the Company. This ensures 
that the Company is in compliance with the 
provisions of the Listing Rules and capable 
of conducting its business independently of 
the Controlling Shareholders, and ensures 
that any transactions and relationships 
between the Company and the Controlling 
Shareholders are at arm’s length and on 
normal commercial terms.
The Relationship Agreements terminate 
if the Controlling Shareholders cease 
to own or control (directly or indirectly) 
in aggregate at least 30% of the issued 
ordinary shares in the Company (or 
at least 30% of the aggregate voting rights 
in the Company).
Under the Relationship Agreements, 
the Controlling Shareholders 
and the Company agree that:
	• The Controlling Shareholders have 
the right to appoint the maximum 
number of non-executive directors 
that may be appointed while ensuring 
that the composition of the Board 
remains compliant with the UK 
Corporate Governance Code for so 
long as the Controlling Shareholders 
hold an interest of 30% or more 
of the Company in aggregate (or hold 
30% or more of the aggregate voting 
rights in the Company) with each 
appointee being a “Shareholder Director”.
	• The Controlling Shareholders and their 
associates shall not take any action that 
would have the effect of preventing 
the Company from complying with its 
obligations under the Companies Act, 
the Listing Rules and the Disclosure 
Guidance and Transparency Rules.
	• Neither the Controlling Shareholders nor 
any of their associates shall propose or 
procure the proposal of any shareholder 
resolution that is intended or appears 
to be intended to circumvent the proper 
application of the Listing Rules.
	• Transactions, relationships 
and agreements between the Company 
and/or its subsidiaries (on the one 
hand) and the Controlling Shareholders 
shall be entered into and conducted 
on arm’s length terms and on a normal 
commercial basis, unless otherwise 
agreed by a committee comprising 
the Company’s non-executive 
directors whom the Board considers 
to be independent in accordance 
with the UK Corporate Governance 
Code (the “Independent Committee”).
	• The Controlling Shareholders shall, 
insofar as they are legally able to do so, 
exercise their powers, and shall procure 
that each member of the respective 
Controlling Shareholder group does 
the same, so that the Company 
is managed in accordance 
with the principles of good governance 
set out in the UK Corporate Governance 
Code, save as agreed in writing 
by a majority of the Independent 
Committee.
	• The Controlling Shareholders shall, 
and shall procure (as far as is reasonably 
possible) that each member 
of the respective Controlling 
Shareholder group shall, treat 
as confidential all information (subject 
to certain exceptions) acquired relating 
to the Company and its subsidiaries.
	• The provision of, access 
to and use of information pursuant 
to the Relationship Agreements shall 
be governed by applicable laws relating 
to insider information, including, without 
limitation, the Disclosure Guidance 
and Transparency Rules.
	• The Controlling Shareholders shall 
not, and shall procure, insofar as they 
are legally able to do so, that each 
member of the respective Controlling 
Shareholder group shall not, take 
any action that precludes or inhibits 
the Company and/or any of its 
subsidiaries from conducting its business 
independently of the Controlling 
Shareholders or any member 
of the respective Controlling 
Shareholder group.
	• The quorum for any Board meeting 
of the Company shall be three, of which 
at least one must be a Shareholder 
Director appointed by Roman 
Abramovich, at least one must 
be a Shareholder Director appointed 
by Abiglaze Ltd and/or Crosland 
Global Limited and at least one must 
be a non-executive director whom 
the Board considers to be independent 
in accordance with the UK Corporate 
Governance Code.
	• The Controlling Shareholders shall 
not, and shall procure, insofar as they 
are legally able to do so, that each 
member of the respective Controlling 
Shareholder group shall not, exercise 
any of their voting or other rights 
and powers to procure any amendment 
to the Memorandum and Articles that 
would be inconsistent with, undermine 
or breach any of the provisions 
of the Relationship Agreements, 
and shall abstain from voting on, 
and shall procure that the Controlling 
Shareholder Directors abstain from 
voting on, any resolution to approve 
a transaction with a related party 
(as defined in the Listing Rules) 
involving the Controlling Shareholders 
or any member of the respective 
Controlling Shareholder group.
	• In any matter that, in the opinion 
of an independent director, gives 
rise to a potential conflict of interest 
between the Company and/or 
any of its subsidiaries (on the one 
hand) and the Shareholder Directors, 
the Controlling Shareholders or 
any member of the respective 
Controlling Shareholder group 
(on the other), such matter must 
be approved at a duly convened 
meeting of the Independent 
Committee or in writing by a majority 
of the Independent Committee.
	• For so long as Roman Abramovich 
(and his affiliates) holds an interest 
of 25% or more in the Company 
in aggregate, Roman Abramovich 
undertakes that his will not become, 
and will use his reasonable endeavours 
to procure that no other member 
of his group becomes, involved 
in any competing business (subject 
to certain exceptions) in Russia, Ukraine 
or the CIS without giving the Company 
the opportunity to participate 
in the relevant competing business.
	• For so long as Abiglaze Ltd 
and Crosland Global Limited (and their 
respective affiliates) hold an interest 
of 25% or more in the Company 
in aggregate, Abiglaze Ltd and Crosland 
Global Ltd undertake that they will not 
become, and will use their reasonable 
endeavours to procure that no other 
member of the respective Controlling 
Shareholder group becomes, involved 
in any competing business (subject 
to certain exceptions) in Russia, Ukraine 
or the CIS without giving the Company 
the opportunity to participate 
in the relevant competing business.
The Board is satisfied that the Company 
is capable of conducting its business 
independently of the Controlling 
Shareholders and that the Board makes its 
decisions in a manner consistent with its 
duties to the Company and stakeholders 
of EVRAZ plc.
Significant contractual 
arrangements between 
EVRAZ and Raspadskaya
Demerger Agreement
On 15 December 2021, EVRAZ and 
Raspadskaya entered into a Demerger 
Agreement to effect the Demerger of 
EVRAZ' coal business govern the post-
Demerger obligations of the two parties 
in respect of, among other matters, their 
respective indemnity obligations. Under the 
Demerger Agreement, Raspadskaya and 
EVRAZ warrant to each other that all assets 
and losses pertaining to the coal and steel 
businesses are held by Raspadskaya Group 
and EVRAZ (respectively). 
EVRAZ and Raspadskaya have agreed 
to ensure that, following the Demerger, 
historical liabilities (as well as any future 
liabilities from events that occurred before 
the completion of the Demerger) relating 
to the steel and coal businesses are to be 
borne by the post-Demerger EVRAZ and 
Raspadskaya (respectively). Such mutual 
indemnity undertakings are capped at 
US$100 million for each party.
Strategic Cooperation Deed
On 15 December 2021, EVRAZ and 
Raspadskaya entered into a Strategic 
Cooperation Deed to acknowledge that 
they will continue providing certain services 
and supplying certain goods to each other, 
pursuant to the agreements entered into 
between them before the Demerger.
Under the Strategic Cooperation 
Deed, EVRAZ and Raspadskaya will, 
and acknowledge that their respective 
subsidiaries will, up to and including 31 
December 2022, supply services and 
perform certain other agreements between 
them in accordance with their terms. Unless 
the parties agree otherwise, both shall 
endeavour to terminate all such service 
and other arrangements by 1 January 2023 
(unless Raspadskaya requires the earlier 
termination of any arrangements, in which 
case the parties shall endeavour to terminate 
the respective agreements as may be so 
requested).
Under the Strategic Cooperation Deed, any 
potential liability of each party is capped at 
US$20 million. This cap is independent of 
the parties’ liabilities under the respective 
underlying agreements.
Coal Offtake Agreements
On 1 November 2021, EVRAZ NTMK and 
EVRAZ ZSMK entered into separate Coal 
Offtake Agreements with Raspadskaya, 
to take effect immediately on completion 
of the Demerger and until 31 December 
2026. Pursuant to the Coal Offtake 
Agreements, EVRAZ NTMK and EVRAZ 
ZSMK will purchase certain grades of 
coal from Raspadskaya, accounting for 
up to approximately 60% of the EVRAZ' 
post-Demerger coal requirements for the 
purposes of steelmaking. The price to be 
paid by EVRAZ NTMK and EVRAZ ZSMK 
will be determined in accordance with an 
agreed formula linked to global coal index 
prices, over which EVRAZ has no control, 
and taking into account foreign-exchange 
movements and quality. 
On 8 November 2021, Raspadskaya, as the 
Seller, and EMAG, the trading subsidiary 
of EVRAZ, as the Buyer, entered into an 
agreement for the sale of bituminous 
coal. Pursuant to the agreement, the coal 
is shipped to South Korea, China, Japan, 
Taiwan, Vietnam, Slovakia, Turkey, Romania, 
Serbia, Poland, Lithuania, the Czech 
Republic, Ukraine and India. It is anticipated 
that arrangements agreement will continue 
until 31 December 2022, with a possible 
extension to 31 March 2023.
More information about the Demerger 
Agreement, Strategic Cooperation Deed 
and Coal Offtake Agreements that have 
been entered into between EVRAZ and 
Raspadskaya can be found in the Circular to 
Shareholders at https://www.evraz.com/files/
en/demerger/circular.pd
Other agreements
The change of control provisions contained 
in several loan agreements with a total 
principal amount of US$1,766 million 
outstanding as of 31 December 2021 specify 
that if a change of control occurs, each 
lender under these agreements has a right 
to cancel their commitments and request 
repayment of their portion of the respective 
loans ahead of schedule.
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ARTICLES OF ASSOCIATION
The Company’s Articles of Association 
were adopted at a General Meeting held 
on 11 January 2022 and contain, among 
other things, provisions on the rights 
and obligations attached to the Company’s 
shares, including redeemable non-voting 
preference shares and subscriber shares. 
Changes made to the previous Articles of 
Association of the Company (adopted in 
June 2012) include amendments allowing 
the Company to make a dividend payment 
in specie and, if appropriate, hold a hybrid 
annual general meeting.
The Articles of Association may only 
be amended by a special resolution 
at a general meeting of the shareholders.
SHARE RIGHTS
Without prejudice to any rights 
attached to any existing shares, 
the Company may issue shares with rights 
or restrictions as determined by either 
the Company by an ordinary resolution 
or, if the Company passes a resolution, 
the directors. The Company may also 
issue shares that are, or are liable to be, 
redeemed at the option of the Company 
or the holder, and the directors may 
determine the terms, conditions 
and manner of redemption for any such 
shares.
VOTING RIGHTS
There are no other restrictions on voting 
rights or transfers of shares in the Articles 
other than those described in these 
paragraphs.
Details of deadlines for exercising voting 
rights and proxy appointment will be set 
out in the notice of the 2022 AGM.
At a general meeting, subject to any special 
rights or restrictions attached to any class 
of shares on a poll, each member present 
in person or by proxy has one vote 
for every share that he/she holds.
A proxy is not entitled to vote in cases 
where the member who appointed 
the proxy would not have been entitled 
to vote on the resolution had he or 
she been present in person. Unless 
the directors decide otherwise, no member 
shall be entitled to vote either in person 
or by proxy or to exercise any other right 
in relation to general meetings if any sum 
that he/she owes the Company in respect 
of that share remains unpaid.
The trustee of the Company’s Employee 
Share Trust is entitled, under the terms 
of the trust deed, to vote as it sees fit 
with respect to the shares held in trust.
TRANSFER OF SHARES
The Company’s Articles stipulate that 
transfers of certificated shares must 
be effected in writing and duly signed 
by or on behalf of the transferor and, 
except in the case of fully paid shares, by or 
on behalf of the transferee. The transferor 
shall remain the holder of the shares 
concerned until the name of the transferee 
is entered in the Register of Members 
with respect to said shares. Transfers 
of uncertificated shares may be effected 
by means of CREST unless the CREST 
Regulations provide otherwise.
The directors may refuse to register 
an allotment or transfer of shares in favour 
of more than four persons jointly.
AUDIT INFORMATION
Each of the directors who were members 
of the Board as of the date of the approval 
of this report confirms that:
As far as he/she is aware, there is no 
relevant audit information of which 
the Company’s auditors are unaware.
He/she has taken all the reasonable 
steps that he/she ought to have taken 
as a director to make himself/herself 
aware of any relevant audit information 
and to establish that the Company’s 
auditors are aware of the information.
This confirmation is given and should 
be interpreted in accordance 
with the provisions of section 418 
of the Companies Act 2006.
The EVRAZ Directors’ Report has been 
prepared in accordance with applicable 
UK company law and was approved 
by the Board on 24 February 2022.
By the order of the Board
Aleksey Ivanov
Chief Executive Officer
EVRAZ plc
24 February 2022
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DIRECTOR'S  
	 RESPONSIBILITY 
STATEMENT
Responsibility Statement 
under the Disclosure Guidance 
and Transparency Rules
Each of the directors whose names 
and functions are listed on pages 104-108 
confirm that to the best of his/her 
knowledge:
	• The consolidated financial statements 
of EVRAZ plc, prepared in accordance 
with UK-adopted international 
accounting standards give a true 
and fair view of the Company’s assets, 
liabilities, financial position and profit 
and the undertakings included 
in the consolidation taken as a whole 
(the “Group”); and
	• The Annual Report and Accounts, 
including the Strategic Report, include 
a fair review of the development 
and performance of the business 
and the position of the Company 
and the Group, together 
with a description of the principal risks 
and uncertainties that they face.
Statement Under the UK 
Corporate Governance Code
The Board considers that the report 
and accounts taken as a whole, which 
incorporates the Strategic Report 
and Directors’ Report, is fair, balanced 
and understandable, and that it provides 
the information necessary for shareholders 
to assess the Company’s performance, 
business model and strategy.
Statement of Directors’ 
Responsibilities in Relation 
to the Annual Report 
and Financial Statements
The directors are responsible for preparing 
the Annual Report and the financial 
statements of the Group and parent 
company in accordance with applicable 
United Kingdom law and regulations. 
Company law requires the directors 
to prepare the financial statements 
of the Group and parent company for each 
financial year. Under that law, the directors 
have elected to prepare the financial 
statements of the Group and parent 
company in accordance with UK-adopted 
international accounting standards.
Under the Companies Act 2006, 
the directors must not approve the financial 
statements of the Group and parent 
company unless they are satisfied that 
they give a true and fair view of the state 
of affairs of the Group and parent company 
and of the profit or loss of the Group 
and parent company for said period.
Under the Financial Conduct Authority’s 
Disclosure Guidance and Transparency 
Rules, the Group’s financial statements 
must be prepared in accordance 
with UK-adopted international accounting 
standards (UK-adopted IFRS).
In preparing each of the financial 
statements of the Group and parent 
company, the directors are required to:
	• Fairly present the financial position, 
financial performance and cash flows 
of the Group and parent company;
	• Select suitable accounting policies 
in accordance with IAS8 (Accounting 
Policies, Changes in Accounting 
Estimates and Errors) and then apply 
them consistently;
	• Present information, including 
accounting policies, in a manner that 
provides relevant, reliable, comparable 
and understandable information;
	• Make judgements and estimates that 
are reasonable;
	• Provide additional disclosures 
when compliance with the specific 
requirements in IFRS is insufficient 
to enable users to understand the impact 
of particular transactions, other events 
and conditions on the financial position 
and financial performance of the Group 
and the parent company;
	• With respect to the Group’s financial 
statements, state whether UK-adopted 
international accounting standards have 
been followed, subject to any material 
departures disclosed and explained 
in the financial statements;
	• With respect to the parent company’s 
financial statements, state whether 
international accounting standards 
have been followed in conformity 
with the requirements of the Companies 
Act 2006, subject to any material 
departures disclosed and explained 
in the financial statements; and
	• Prepare the financial statements 
on a going concern basis unless 
it is appropriate to presume that 
the company and/or the Group will not 
continue in business.
The directors are responsible for keeping 
adequate accounting records that 
are sufficient to show and explain 
the transactions of the Group and parent 
company and disclose with reasonable 
accuracy at any time the financial 
position of the Group and parent 
company and enable them to ensure 
that the financial statements comply 
with the Companies Act 2006.
They are also responsible for safeguarding 
the assets of the Group and parent 
company and hence for taking reasonable 
steps to prevent and detect fraud and other 
irregularities.
The directors are also responsible 
for preparing the Strategic Report, 
the Directors’ Report, the Directors’ 
Remuneration Report and the Corporate 
Governance Report in accordance 
with the Companies Act 2006 
and applicable regulations, including 
the requirements of the Listing 
Rules and the Disclosure Guidance 
and Transparency Rules of the United 
Kingdom Listing Authority. Legislation 
in the United Kingdom governing 
the preparation and dissemination 
of financial statements may differ from 
legislation in other jurisdictions.
By the order of the Board
Aleksey Ivanov
Chief Executive Officer
EVRAZ plc
24 February 2022
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CORPORATE GOVERNANCE
Financial statements
Additional information

SOLID 
			RESULTS
FOR A BETTER 
FUTURE
Financial statements
CONTENTS
  Independent auditor’s report  
to the members of EVRAZ PLC
166
  Consolidated Financial Statements 
180
Consolidated Statement of Operations
180
Consolidated Statement of Comprehensive Income
181
Consolidated Statement of Financial Position
182
Consolidated Statement of Cash Flows
183
Consolidated Statement of Changes in Equity
185
Notes to the Consolidated Financial Statements
188
Corporate Information
188
Significant Accounting Policies
188
Segment Information
202
Changes in the Composition of the Group
209
Goodwill
210
Impairment of Non-Financial Assets
211
Income and Expenses
214
Income Taxes
216
Property, Plant and Equipment
220
Intangible Assets Other Than Goodwill
223
Investments in Joint Ventures and Associates
224
Disposal Groups Held for Sale
225
Discontinued Operations
227
Other Non-Current Assets
231
Inventories
231
Trade and Other Receivables
231
Related Party Disclosures
232
Other Taxes Recoverable
233
Cash and Cash Equivalents
233
Equity
234
Share-Based Payments
235
Loans and Borrowings
236
Employee Benefits
239
Provisions
246
Lease and Other Long-Term Liabilities
247
Trade and Other Payables
249
Other Taxes and Duties Payable
249
Financial Risk Management  
Objectives and Policies
250
Non-Cash Transactions 
256
Commitments and Contingencies 
256
Auditor’s Remuneration 
258
Material Partly-Owned Subsidiaries 
258
Subsequent Events 
261
List of Subsidiaries and Other Significant  
Holdings 
262
Supplementary Financial Information on Demerger
268
  Separate Financial Statements
 270
Separate Statement of Comprehensive Income 
270
Separate Statement of Financial Position
 271
Separate Statement of Cash Flows 
272
Separate Statement of Changes in Equity 
273
EVRAZ plc Notes to the separate  
financial statements 
274
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ANNUAL REPORT & ACCOUNTS 2021

INDEPENDENT AUDITOR’S 	
	 REPORT TO THE 
MEMBERS OF EVRAZ PLC
OPINION
In our opinion: 
	• EVRAZ plc’s group financial statements 
and parent company financial 
statements (the “financial statements”) 
give a true and fair view of the state of 
the group’s and of the parent company’s 
affairs as at 31 December 2021 and of 
the Group’s and the Parent company’s 
profit  for the year then ended;
	• the financial statements have been 
properly prepared in accordance with 
UK adopted international accounting 
standards; and
	• the financial statements have been 
prepared in accordance with the 
requirements of the Companies Act 
2006.
BASIS FOR OPINION
We conducted our audit in accordance 
with International Standards on Auditing 
(UK) (ISAs (UK)) and applicable law. Our 
responsibilities under those standards 
are further described in the Auditor’s 
responsibilities for the audit of the financial 
statements section of our report. We 
believe that the audit evidence we have 
obtained is sufficient and appropriate to 
provide a basis for our opinion.
INDEPENDENCE
We are independent of the group and 
parent in accordance with the ethical 
requirements that are relevant to our audit 
of the financial statements in the UK, 
including the FRC’s Ethical Standard as 
applied to listed public interest entities, 
and we have fulfilled our other ethical 
responsibilities in accordance with these 
requirements.
The non-audit services prohibited by the 
FRC’s Ethical Standard were not provided to 
the group or the parent company and we 
remain independent of the group and the 
parent company in conducting the audit.
CONCLUSIONS RELATING TO GOING CONCERN 
GROUP
PARENT COMPANY
Consolidated statement of operations 
Separate statement of comprehensive income
Consolidated statement of comprehensive 
income 
Separate statement of financial position
Consolidated statement of financial position
Separate statement of cash flows
Consolidated statement of cash flows 
Separate statement of changes in equity 
Consolidated statement of changes in equity Related notes 1 to 11 to the financial statements including a summary of significant 
accounting policies
Related notes 1 to 34 to the financial 
statements, including a summary of 
significant accounting policies
The financial reporting framework that has been applied in their preparation is applicable 
law and UK adopted international accounting standards.
We have audited the financial statements of EVRAZ plc (the ‘parent company’) and its 
subsidiaries (the ‘group’) for the year ended 31 December 2021 which comprise:
Going concern 
modelling
	• We gained an understanding of the approach taken by management to assess going concern, to model cash flows 
and to measure covenants over the forecast period.
	• We agreed the starting cash position to our audit work and tested the mathematical integrity of this modelling.
Commodity prices
	• With assistance from our valuation specialists we compared management’s forecast prices for steel, iron ore and 
coal to recent externally sourced information, including analyst expectations. 
Sales volumes
	• We confirmed the consistency of sales volumes to the forecasts that we have audited as part of our work on 
impairment (see below). 
Financing 
arrangements and 
covenants
	• We agreed the terms of financing arrangements modelled to contractual terms and our audit work on related 
facilities, including related covenants.
	• We confirmed that no new financing that is currently un-committed is assumed in the forecasts.
Base case and 
pessimistic case
	• We evaluated the pessimistic scenario testing performed by management, noting that the assessment is more 
sensitive to a reduction in liquidity than remaining in compliance with covenants.
	• We noted that this pessimistic scenario reduced liquidity to minimal operating levels towards the end of the 
assessment period to 30 June 2023, principally as a result of the repayment of $750m of bonds maturing in March 
2023. This scenario does not assume any mitigating actions and does not take account of actual results in January 
and February 2022 which are expected to be significantly stronger than the pessimistic scenario. This pessimistic 
scenario was effectively a reverse stress test.
	• We evaluated potential mitigating actions identified by management and whether these were realistic and within 
management’s control were a significant and sustained reduction in prices to occur.
	• To further challenge the resilience of liquidity to a reduction in prices below the lower end of market expectations, 
we modelled a further scenario which assumed certain mitigations under management’s control are actioned. We 
then assessed how much further prices could fall over the going concern period under this revised scenario.
	• We considered how climate change related risks could impact management’s assessment of going concern. 
Severe business 
interruption scenario
	• In the context of the worsening situation with respect to Ukraine, we challenged management and the directors 
as to how potential actions by international governments could impact EVRAZ’s business, including on operations, 
exports and its ability to service debt.
	• We assessed the extent of downside reflected in the resulting scenario against the effects of Russian exports 
outside the CIS being reduced to nil in conjunction with absorbing further downside as a result of other factors. 
	• We evaluated the additional mitigations identified and determined by management to be in their control for 
reasonableness.. 
Other considerations
	• We considered the appropriateness of the period of management’s going concern assessment, being to 30 June 
2023.
	• We assessed whether management had appropriately considered the potential impacts of COVID-19 on the 
forecasts and related disclosures. 
	• We evaluated whether there were any events expected to occur beyond the assessment period that should impact 
conclusions relating to going concern.
Disclosures
	• We assessed the appropriateness of disclosures in the financial statements and elsewhere in the Annual Report, 
including whether management had disclosed its considerations of the potential effect of climate change risks on 
going concern. 
In auditing the financial statements, we have 
concluded that the directors’ use of the 
going concern basis of accounting in the 
preparation of the financial statements is 
appropriate. Our evaluation of the directors’ 
assessment of the group and parent 
company’s ability to continue to adopt the 
going concern basis of accounting included 
the procedures below: 
In forming our conclusion, we considered 
the uncertainties as a result of potential 
responses by international governments to the 
worsening situation with respect to Ukraine. 
We noted that the Group has considered the 
effects of a severe and sustained business 
interruption and has also identified a range 
of mitigating actions that could be deployed 
were such a scenario to arise. In addition, this 
scenario does not reflect any new financing 
being raised over the going concern period. 
These mitigations would also be relevant in 
a scenario where prices were to fall over a 
sustained period. 
Based on the work we have performed, we 
have not identified material uncertainties 
relating to events or conditions that, 
individually or collectively, may cast 
significant doubt on the group and parent 
company’s ability to continue as a going 
concern for a period of 16 months from the 
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Additional information

13%
60%
27%
Full scope components
Specific scope components
Other procedures
OVERVIEW OF OUR AUDIT APPROACH
Audit scope
	• We performed an audit of the complete financial information of seven components, audit procedures on 
specific balances for a further two components, specified procedures on seven components and review 
procedures on one component.
	• The nine reporting components where we performed full or specific audit procedures accounted for 73% of 
the Group’s EBITDA, 85% of the Group’s revenue and 92% of Total assets (with 60%, 85% and 87% respectively 
represented by the seven full scope components and 13%, 1% and 5% respectively by the two specific scope 
components).
	• The eight reporting components where we performed specified procedures accounted for 27% of the Group’s 
EBITDA, 11% of the Group’s revenue and 8% of Total assets.
Key audit matters
	• Recoverability of goodwill and other non-current assets
	• Demerger of Raspadskaya coal business
	• Investment impairment considerations and related potential impact on distributable reserves (Parent company 
only)
Materiality
	• Group materiality of $150 million (2020: $66 million), which represents approximately 3% (2020: 3%) of 
EBITDA.
Tailoring the scope
Our assessment of audit risk, our evaluation 
of materiality and our allocation of 
performance materiality determine our 
audit scope for each company within the 
Group.  Taken together, this enables us 
to form an opinion on the consolidated 
financial statements. We take into 
account the size and risk profile of each 
component, the organisation of the group 
and effectiveness of group-wide controls, 
changes in the business environment and 
any other relevant factors when assessing 
the level of work to be performed at each 
component of the group.
In assessing the risk of material 
misstatement to the Group financial 
statements, and to ensure we had adequate 
quantitative coverage of significant 
accounts in the financial statements, of the 
48 reporting components of the Group, we 
selected 17 components covering entities 
in Russia, USA, Canada, UK, Switzerland, 
Czech Republic and Luxembourg which 
represent the principal business units within 
the Group.
The EVRAZ Group has centralised 
processes and controls over the key areas 
of our audit focus with responsibility lying 
with Group management for the majority 
of estimation processes and significant risk 
areas. We have tailored our audit response 
accordingly and thus for the majority of 
our focus areas, audit procedures were 
undertaken directly by the Group audit 
team with testing undertaken by the 
component audit teams on the verification 
of operational data and other routine 
processes.
Of the 17 components selected, we 
performed an audit of the complete 
financial information of 7 components (“full 
scope components”) which were selected 
based on their size or risk characteristics. 
For a further 2 components (“specific 
scope components”), we performed audit 
procedures on specific accounts within 
that component that we considered had 
the potential for the greatest impact on 
the significant accounts in the financial 
statements either because of the size of 
these accounts or their risk profile.  The 
nine reporting components where we 
performed full or specific scope procedures 
accounted for 73% (2020: 76%) of the 
group’s EBITDA, 85% (2020: 87%) of the 
group’s revenue and 92% (2020: 86%) of the 
group’s total assets. 
For the current year, the full scope 
components contributed 60% (2020: 68%) 
of the group’s EBITDA, 85% (2020: 86%) of 
the group’s revenue and 87% (2020: 80%) 
of the group’s total assets.
For 8 further components the primary team 
performed procedures directly focussing on 
specific areas of identified risk (“specified 
procedures components”). The specified 
procedure components contributed 26% 
(2020: 1%) of the Group EBITDA, 11% (2020: 
9%) of the Group’s revenue and 8% (2020: 
1%) of the Group’s total assets.
In 2020 an additional 18% of EBITDA, 1% of 
revenue and 3% of total assets was covered 
by review scope locations (in the current 
year these components are specified 
procedures).
The audit scope of these components may 
not have included testing of all significant 
accounts of the component but will have 
contributed to the coverage of significant 
accounts tested for the Group.  A further 
breakdown of the size of these components 
compared to key metrics of the Group is 
provided below.
Of the remaining 31 components none 
represented more than 1% of the group’s 
EBITDA either individually or in aggregate. 
For these components, we performed other 
procedures, including analytical review, 
review of the findings of Internal Audit 
during the year and testing of consolidation 
journals, eliminations and foreign currency 
translation effects to respond to any 
potential risks of material misstatement to 
the Group financial statements.
The charts below illustrate the coverage 
obtained from the work performed by our 
audit teams.
EBITDA
Revenue
Total assets
Changes from the prior year
There have not been significant changes to 
the scoping of the group’s components in 
the current year. 
Involvement with component 
teams
The senior statutory auditor is based in 
the UK, but, since group management 
and many operations reside in Russia, the 
group audit team includes members from 
both the UK and Russia who work together 
as an integrated primary and group team 
throughout the audit process (collectively 
the Primary Team). 
The approach to involvement in component 
teams is established by the senior statutory 
auditor. In establishing our overall approach 
to the Group audit, we determined the 
type of work that needed to be undertaken 
at each of the components by us, as 
the primary audit engagement team, or 
by component auditors from other EY 
global network firms operating under our 
instruction. 
Of the seven full scope components, 
audit procedures were performed on one 
component directly by the primary audit 
team with procedures on others performed 
by component audit teams. Of the two 
specific scope components the primary 
team performed audit procedures on one 
of these components. Where the work 
was performed by component auditors, 
we determined the appropriate level of 
involvement to enable us to determine 
that sufficient audit evidence had been 
obtained as a basis for our opinion on the 
group as a whole.
AN OVERVIEW OF THE SCOPE OF THE PARENT 
COMPANY AND GROUP AUDITS 
14%
85%
1%
Full scope components
Specific scope components
Other procedures
8%
87%
5%
Full scope components
Specific scope components
Other procedures
date the financial statements are authorised 
for issue, being management’s going 
concern assessment period. Going concern 
has been determined to be a key audit 
matter in the current year. 
In relation to the group and parent 
company’s reporting on how they have 
applied the UK Corporate Governance 
Code, we have nothing material to add or 
draw attention to in relation to the directors’ 
statement in the financial statements 
about whether the directors considered it 
appropriate to adopt the going concern 
basis of accounting.
Our responsibilities and the responsibilities 
of the directors with respect to going 
concern are described in the relevant 
sections of this report.  However, because 
not all future events or conditions can be 
predicted, this statement is not a guarantee 
as to the group’s ability to continue as a 
going concern.
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The audit, including involvement with 
component teams, was planned in order 
to respond to uncertainties and restrictions 
around physical travel as a result of 
the COVID-19 pandemic. We agreed a 
timetable with management to provide 
sufficient time for our procedures to be 
completed remotely. In instances where 
physical access to sites was expected to 
be restricted, we planned and conducted 
inventory counts remotely using mobile 
video technology. 
In lieu of the number of physical visits 
and meetings that we would normally 
expect to do in performing oversight, 
the Primary Team, including the Senior 
Statutory Auditor, increased the frequency 
of interaction with component teams 
throughout the audit cycle. These 
interactions were principally via video 
meetings and took place throughout the 
audit process. These interactions involved 
discussing the audit approach with 
component teams and any issues arising 
from the audit and conclusions reached on 
all significant matters. In addition, using 
EY’s audit software, the Primary Team 
directly accessed the audit working papers 
of component teams, remotely reviewing all 
areas significant to the audit and retaining 
copies of more important workpapers. 
Observations and questions arising from 
this review were then discussed and 
resolved with the component team auditor. 
The Senior Statutory Auditor was able 
to make a site visit in January 2022 to 
Russia, spending time both in Moscow and 
visiting the EVRAZ NTMK plant with senior 
members of management and a number 
of the Independent non-executives. He 
also met with component teams and other 
members of the integrated Primary Team 
to discuss findings arising from their work 
including discussing the approach for, and 
results arising from, impairment testing 
on CGUs in Russia. Due to restrictions in 
travelling to North America, the Senior 
Statutory Auditor joined meetings with the 
component teams and local management 
via video calls to discuss the audit 
procedures performed and results of the 
audit. 
In addition, the Primary Team had direct 
responsibility for the majority of work on 
the Key Audit Matters discussed below, 
including impairment considerations 
for CGUs in North America which 
were considered at heightened risk of 
impairment, considerations relating to the 
demerger of the coal business, and the 
recoverability of the parent company’s 
investments in subsidiaries. 
These procedures, together with the 
additional procedures performed at a 
group level, gave us appropriate evidence 
for our opinion on the group financial 
statements.
Climate change 
There has been increasing interest from 
stakeholders as to how climate change will 
impact EVRAZ. The group has determined 
that the most significant future impacts 
from climate change on its operations 
will be around decarbonisation including 
potential carbon taxes in Russia and 
investment to reduce emissions and 
improve energy efficiency. These are 
explained on pages 284-287 in the 
required Task Force for Climate related 
Financial Disclosures and on pages 
86 to 95 in the principal risks and 
uncertainties, which form part of the “Other 
information,” rather than the audited 
financial statements. Our procedures on 
these disclosures therefore consisted solely 
of considering whether they are materially 
inconsistent with the financial statements 
or our knowledge obtained in the course 
of the audit or otherwise appear to be 
materially misstated.  
As explained in the discussion of significant 
accounting judgments and estimates 
at note 2 of the consolidated financial 
statements governmental and societal 
responses to climate change risks are still 
developing, and are interdependent upon 
each other, and consequently financial 
statements cannot capture all possible 
future outcomes as these are not yet 
known. The degree of certainty of these 
changes may also mean that they cannot 
be taken into account when determining 
asset and liability valuations and the timing 
of future cash flows under the requirements 
of UK adopted international accounting 
standards. Significant judgements and 
estimates relating to climate change have 
been described in note 2 and related 
sensitivity disclosures included in note 6, 
Impairment of non-current assets in the 
consolidated financial statements of the 
impact of reasonably possible changes in 
key assumptions.
Our audit effort in considering climate 
change was focused on ensuring that the 
effects of material climate risks disclosed 
on pages 86 to 95 have been appropriately 
considered in estimating the recoverable 
value of non-current assets and/or 
associated disclosures where values are 
determined through modelling future 
cash flows. Details of our procedures 
and findings with respect to impairment 
are included in our key audit matters 
below. We also challenged the Directors’ 
considerations of climate change in their 
assessment of going concern and viability 
and associated disclosures. 
Whilst the group has stated its commitment 
to the aspirations of the Paris Pledges 
by 2050, the group is currently unable to 
determine the full future economic impact 
on their business model, operational plans 
and customers to achieve this and therefore 
as set out above the potential impacts are 
not fully incorporated in these financial 
statements.
KEY AUDIT MATTERS
RECOVERABILITY OF GOODWILL AND OTHER NON-CURRENT ASSETS
	• At 31 December 2021 the carrying value of goodwill was $457 million (2020: $457 million) and the carrying value of property, plant 
and equipment (PP&E) was $3,169 million (2020: $4,315 million). In the current year the Group did not recognise any impairment of 
goodwill (2020: $148 million) but recognised impairment of $22 million in respect of individual items of PP&E (2020: $162 million). 
	• We consider that estimating the recoverable value of the Group’s non-current assets requires significant estimation around a number 
of assumptions, including future volumes, prices, and the discount rate applied. We particularly focus our audit effort on cash 
generating units (CGUs) which have limited headroom, particularly a number of those in North America. 
	• Consideration is also required under IAS 36 Impairment of Assets whether a reasonably possible change in assumptions could lead 
to an impairment. Where this is the case the disclosure of sensitivities is appropriate. Such assumptions include the effects of climate 
change on the recoverable value of the Group’s non-current assets.
	• Despite the strengthening of prices in 2021, given the limited historic headroom in a number of the Group’s CGUs, we consider that 
the risk of impairment remains broadly consistent with the prior year, particularly for CGUs in North America. 
Refer to the Audit Committee report on page 126, the estimates and judgements disclosed in note 2 and note 6, Impairment of non-
current assets in the Consolidated Financial Statements.
Our audit response to the risk
Our audit procedures on CGUs in North America were performed mainly by the Group audit team with assistance from EY valuation 
specialists and input from our component teams on specific assumptions. Audit procedures on CGUs outside of North America were 
performed by component teams with assistance from EY valuation specialists under instruction from the Group team. 
Indicators of impairment
	• We assessed the completeness of management’s assessment of indicators of impairment for CGUs that 
were not already being tested for impairment as a result of carrying goodwill.
Valuation methodology 
adopted 
	• We gained an understanding of the methodology applied in estimating the recoverable value of each 
CGU tested for impairment, assessing this against usual industry practice, including where terminal 
values had been applied. 
	• With assistance from EY valuation specialists we tested the integrity of the cash-flow models for 
mechanical and mathematical accuracy. 
Key assumptions 
applied- volumes
	• With assistance from EY valuation specialists we assessed management’s forecasts of future sales 
volumes.
	• Where available we developed expectations of the total market in which respective CGUs operate 
using external analyst and industry data and by using statistical analysis where market size was 
identified as being correlated to external indicators (most significantly the tubular businesses to oil and 
gas prices).
	• We assessed management’s expected market share against historic data and indicators of changes in 
respective markets. 
	• We evaluated the consistency of mine production forecasts with the independent assessments of 
proved and probable mineral reserves performed by IMC Montan Group LLC. We assessed the 
competence, capabilities and objectivity of IMC Montan as a specialist engaged by management.
	• We challenged management if its assumptions were not within the range identified by EY, most 
significantly the forecast size of the market for the OCTG CGU.
Key assumptions applied- 
prices or EBITDA/tonne
	• With assistance from EY valuation specialists we have evaluated management’s assumptions for future 
prices of steel, iron ore, coal and ferrovanadium. We developed an expected range of future prices 
using external analyst and industry data.
	• Where appropiate we performed analysis on the future forecast EBITDA/tonne applied by 
management, including the use of statistical methods to set expectations based on factors including 
forecast sales volumes in relevant markets. 
	• We challenged management if its assumptions were not within the range identified by EY.
Key audit matters are those matters that, 
in our professional judgment, were of most 
significance in our audit of the financial 
statements of the current period and 
include the most significant assessed risks 
of material misstatement (whether or not 
due to fraud) that we identified. These 
matters included those which had the 
greatest effect on the overall audit strategy, 
the allocation of resources in the audit and 
directing the efforts of the engagement 
team. These matters were addressed in 
the context of our audit of the financial 
statements as a whole, and in our opinion 
thereon, and we do not provide a separate 
opinion on these matters.
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RECOVERABILITY OF GOODWILL AND OTHER NON-CURRENT ASSETS
Key assumptions 
applied- other
	• With assistance from EY valuation specialists we performed an independent calculation of the discount 
rate expected to be applicable to each CGU tested for impairment. 
	• We assessed management’s assumptions with respect to the modelling of the future impacts of 
legislation in North America around anti-dumping duties and Section 232 tariffs with assistance from 
our component team.
Climate change 
considerations
	• We made enquiries of management as to its assessment of whether climate change risks impact 
the modelled recoverable value of the Group’s CGUs. This was done with reference to the Group’s 
assessment of the risks of climate change, commitments made around climate change initiatives and 
the analysis performed by the Group to date of the potential impact of such initiatives, including on 
potential future investment. 
	• We challenged the extent of discussion of climate change with respect to key estimates around 
impairment testing in the financial statements.
	• Where the financial impacts of climate related risks and related initiatives are either yet to be 
determined and/or not reflected in management’s estimates of recoverable value we challenged what 
sensitivities may be appropriate in the financial statements to demonstrate the reasonably possible 
impact of these. 
Additional considerations 
relating to impairment 
testing
	• We considered the historical accuracy of management’s budgets and forecasts against subsequent 
actual results.
Disclosures
	• We tested the appropriateness of the related disclosures provided in the Consolidated Financial 
Statements. In particular we ensured the adequacy of the disclosures regarding those CGUs with 
material goodwill balances and where a reasonably possible change in certain assumptions, including 
as a result of climate change risks, could lead to impairment charges.
Key observations communicated to the Audit Committee
	• We conclude that the final estimates of recoverable value for each CGU tested for impairment are reasonable. These estimates 
appropriately reflected amendments to assumptions following EY challenge as appropriate. We therefore agree with management’s 
conclusion that no impairment at the CGU level has arisen in the year.
	• We consider that the disclosure of estimation uncertainty and reasonably possible changes to assumptions as sensitivities are 
adequate. These include additional detail around accounting estimates and sensitivities relating to the potential future impacts of 
climate change risks following our challenge. 
DEMERGER OF RASPADSKAYA COAL BUSINESS
	• In January 2021, the Board of directors agreed to progress a possible demerger of the Raspadskaya coal business via a dividend in 
specie. Preparation for this transaction has progressed during 2021. 
	• This is a material transaction for the Group and the accounting and disclosure for the coal business as at 31 December 2021 requires 
judgment based on the facts and circumstances at that date. Specifically, the timing of the classification of this business as an asset 
held for distribution (AHFD) under IFRS 5 Non-current Assets Held for Sale and Discontinued Operations is dependent on the 
success of the transaction being concluded as highly probable ahead of the year end. 
	• Once such a conclusion is reached, this designation materially impacts the presentation of the consolidated statement of financial 
position, as well as being reported as a discontinued operation in the other primary statements. In addition, this also impacts the 
presentation of the parent company’s investment in the coal business in the separate statement of financial position. 
	• This is a new key audit matter in the current year.
Refer to the Audit Committee report on page 126, the judgement disclosed in note 2 and note 13, Discontinued operations in the 
Consolidated Financial Statements.
Our audit response to the risk
Our audit procedures on this judgment were performed by the Group audit team. 
Evidence of the distribution 
being highly probable as at 
31 December 2021
	• We monitored the progress of the proposed transaction throughout 2021, including attending regular 
meetings of the Group’s external advisors for this transaction.
	• We evaluated management’s conclusion that the principal event in early 2022 that would be expected 
to determine the success of the transaction was the shareholder vote at an EGM scheduled for early 
January 2022. Also that the subsequent UK court approval of the reduction in share capital required 
ahead of the transaction did not create significant additional uncertainty.  
	• We confirmed the level of shareholder vote at the EGM that was procedurally required to approve the 
transaction.
	• We critically assessed whether management’s judgment only considered information available as at 
31 December 2021 and not the actual outcome of the EGM in January 2022. In doing so, we joined 
a meeting of the Audit Committee and management on 31 December 2021 to assess the evidence 
available as at that date.
	• We obtained analysis provided by Georgeson to management in December 2021 around its 
expectation of shareholder voting at the January EGM (as below). 
	• We assessed whether there was evidence that may be contrary to the Georgeson conclusions, 
including consideration of past EVRAZ shareholder voting patterns and making enquiries around the 
nature of shareholder reactions to the Project Gemini circular issued in mid-December 2021. 
	• We evidenced that proxy agencies had issued a positive recommendation for the transaction ahead of 
31 December 2021.
	• We considered the result of the actual vote in January 2022 to assess whether this provided any 
contrary evidence not previously identified.
	• We considered whether there may be bias in management’s conclusion that the transaction was highly 
probable as at 31 December 2021.
Georgeson analysis
	• We met with Georgeson to gain an understanding of their analysis performed and the basis for their 
conclusions as reported to management.
	• We gained an understanding of how Georgeson had considered the voting propensity of different 
groups of EVRAZ shareholders in estimating its scenarios of potential voting behaviours. 
	• We assessed the competence, capabilities and objectivity of Georgeson as a specialist engaged by 
management.
	• We performed our own analysis to explore how significant a negative vote by shareholders other than 
the main three shareholders of the Group would need to be to prevent shareholder approval, using 
different levels of assumed attendance at the EGM.
Recoverable value of the 
coal business 
	• As an AHFD, we evaluated whether there was any indication that the market value of the coal business 
was below carrying value as at 31 December 2021, including with reference to the market capitalisation 
of Raspadskaya at that date. 
Disclosures
	• We confirmed the appropriate classification of the coal business in the balance sheet as at 31 
December 2021, as well as being reflected as a discontinued operation, testing related reclassifications. 
	• We reviewed related disclosures in the financial statements, including around the judgment made by 
management as at 31 December 2021 and discussion of progress in 2022 in the subsequent events note.
Key observations communicated to the Audit Committee
	• We agreed with management’s conclusion that there was a reasonable basis to conclude that the transaction was highly probable as 
at 31 December 2021.
	• We agree that the coal business is carried at the lower of carrying value and market value as at 31 December 2021.
	• We consider that the related presentation of the coal business, and related disclosures in the financial statements, are appropriate.  
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INVESTMENT IMPAIRMENT CONSIDERATIONS AND RELATED POTENTIAL IMPACT ON DISTRIBUTABLE RESERVES (PARENT 
COMPANY ONLY)
	• Investments in subsidiaries ($13,994 million, 2020 $15,057 million) are more sensitive to changes in recoverable value than the Group’s 
underlying CGUs assets because certain investments were re-measured in 2019 as part of a group restructuring. 
	• In 2021 the Company’s investment in Raspadskaya ($1,468 million) has been transferred to an AHFD in line with the related key audit 
matter above.
	• The principal driver of the recoverable amount of investments in subsidiaries is the estimated value of underlying CGUs held by the 
Group’s subsidiaries. Refer to related considerations in the related key audit matter above.
	• Changes to assumptions could lead to material changes in estimated recoverable amounts, resulting in either impairment or reversals 
of impairment taken in prior years (2021 aggregate impairment reversal of $393 million, 2020 aggregate impairment of $76 million). 
	• We consider that the risk associated with this key audit matter has remained consistent with the prior year. 
Refer to note 3 of the Parent Company financial statements
Our audit response to the risk
Our audit procedures on this area were performed by the Group audit team with assistance of EY valuation specialists and using the 
output from the impairment related key audit matter above.
Valuation methodology 
applied 
	• We have assessed the methodology used by management to estimate the recoverable value of 
each investment for which an impairment test was performed to ensure that this is consistent with 
accounting standards. 
	• We have validated that relevant assets and liabilities of each investment have been appropriately 
included in the assessment of recoverable value, including the effects of intercompany balances.
Key assumptions applied
	• Refer to the key audit matter above with respect to procedures performed relating to the recoverable 
value of individual CGUs tested for impairment. 
	• Where a current year impairment test has not been performed on CGUs underlying investment we 
have evaluated how the result of the most recent previous impairment test would be expected to 
change in the period to December 2021. We particularly focussed on changes that could negatively 
impact recoverable value. 
	• We considered the potential impact of climate related risks on the recoverability of the Company’s 
investments, in line with the considerations in the key audit matter above.
	• Where reference was made to the market capitalisation of Raspadskaya we confirmed this to share 
price as at 31 December 2021.
Key observations communicated to the Audit Committee
	• We confirmed that our observations with respect to the recoverable amount of underlying CGUs are also relevant for the recoverable 
amount of investments in subsidiaries. 
	• We agreed that there is no impairment of subsidiaries in the year and that the reversal of historic impairment in EVRAZ Group S.A 
was appropriate.
OUR APPLICATION OF MATERIALITY 
We apply the concept of materiality in planning and performing the audit, in evaluating the effect of identified misstatements on the 
audit and in forming our audit opinion. 
Materiality
We determined materiality for the Group 
to be $150 million (2020: $66 million), which 
is set at approximately 3.0% (2020: 3%) of 
EBITDA. 
We have used an earnings-based measure 
as our basis of materiality. As in prior 
years we considered that EBITDA is a more 
appropriate measure than Group profit 
before tax due to the historic volatility 
of this latter metric. EBITDA is a key 
performance indicator for the Group and 
is also a key metric used by the Group 
in the assessment of the performance 
of management. We also noted that 
market and analyst commentary on the 
performance of the Group uses EBITDA 
as a key metric. We therefore, considered 
EBITDA to be the most appropriate 
performance metric on which to base our 
materiality calculation as we considered 
that to be the most relevant performance 
measure to the stakeholders of the entity.
We determined materiality for the Parent 
Company to be $14.3 million (2020: $19.1 
million), which we calculated as 1.5% (2020: 
1.5%) of Equity adjusted to exclude non-
distributable reserves which arose due to 
the group restructuring in 2019. 
On the basis of our risk assessment, 
together with our assessment of the 
Group’s overall control environment, our 
judgment was that given the number 
and monetary amounts of individual 
misstatements (corrected and uncorrected) 
identified in prior periods as well as 
the nature of the misstatements, overall 
performance materiality for the Group 
should be 50% (2020: 50%) of materiality, 
namely $75 million (2020: $33 million). 
Audit work at component locations for the 
purpose of obtaining audit coverage over 
significant financial statement accounts is 
undertaken based on a percentage of total 
performance materiality. The performance 
materiality set for each component is 
based on the relative scale and risk of the 
component to the Group as a whole and 
our assessment of the risk of misstatement 
at that component. In the current year the 
range of performance materiality allocated 
to components was $13.0 million to $42.3 
million. 
In the prior year, our auditor’s report 
included key audit matters in relation to 
the Recoverability of deferred tax assets 
related to EVRAZ North America and the 
Completeness of related party transactions. 
Whilst the former remains an area of audit 
focus, we do not consider this to be a key 
audit matter as a result of a reduction in 
these deferred tax assets and these starting 
to be utilised in the year and an increase to 
our level of materiality. The latter remains 
an area of audit focus and our audit 
procedures remain consistent with the prior 
year but it is not concluded to be a key 
audit matter given the lower extent of audit 
effort on this area compared to those items 
above. 
As in prior years we continue to identify 
revenue recognition as a fraud risk for the 
audit. However, we do not consider this to 
be a key audit matter as the majority of 
the Group’s sales transactions are routine 
and the above areas have a greater impact 
on the allocation of senior resources in 
the audit and directing the efforts of the 
engagement team.
MATERIALITY  
$150 MILLION
PERFORMANCE MATERIALITY 
$75 MILLION
REPORTING THRESHOLD 
$7.5 MILLION
Performance materiality
The application of materiality at the 
individual account or balance level. It is set 
at an amount to reduce to an appropriately 
low level the probability that the 
aggregate of uncorrected and undetected 
misstatements exceeds materiality.
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Reporting threshold
An amount below which identified 
misstatements are considered as 
being clearly trivial.
We agreed with the Audit Committee that 
we would report to the Committee all audit 
differences in excess of $7.5 million (2020: 
$3.3 million), which is set at 5% of planning 
materiality, as well as differences below 
that threshold that, in our view, warranted 
reporting on qualitative grounds.
We evaluate any uncorrected misstatements 
against both the quantitative measures of 
materiality discussed above and in light of 
other relevant qualitative considerations in 
forming our opinion.
OTHER INFORMATION 
The other information comprises the 
information included in the annual report 
is set out on pages 1 to 163 including the 
Strategic report, Corporate Governance 
sections (including Corporate governance 
report, Remuneration report, Directors’ 
Report and Directors’ Responsibility 
statement) and additional information 
sections, other than the financial 
statements and our auditor’s report 
thereon. The directors are responsible for 
the other information contained within the 
annual report. 
Our opinion on the financial statements 
does not cover the other information and, 
except to the extent otherwise explicitly 
stated in this report, we do not express any 
form of assurance conclusion thereon. 
Our responsibility is to read the other 
information and, in doing so, consider 
whether the other information is materially 
inconsistent with the financial statements 
or our knowledge obtained in the course 
of the audit or otherwise appears to be 
materially misstated. If we identify such 
material inconsistencies or apparent 
material misstatements, we are required 
to determine whether this gives rise to 
a material misstatement in the financial 
statements themselves If, based on the 
work we have performed, we conclude 
that there is a material misstatement of 
the other information, we are required to 
report that fact.
We have nothing to report in this regard.
OPINIONS ON OTHER MATTERS PRESCRIBED BY THE 
COMPANIES ACT 2006
In our opinion, the part of the directors’ 
remuneration report to be audited has 
been properly prepared in accordance with 
the Companies Act 2006.
In our opinion, based on the work 
undertaken in the course of the audit:
	• the information given in the strategic 
report and the directors’ report for the 
financial year for which the financial 
statements are prepared is consistent 
with the financial statements; and 
	• the strategic report and the directors’ 
report have been prepared in 
accordance with applicable legal 
requirements. Matters on which we are 
required to report by exception
In the light of the knowledge and 
understanding of the Group and the Parent 
Company and its environment obtained 
in the course of the audit, we have not 
identified material misstatements in the 
strategic report or the directors’ report. 
We have nothing to report in respect of the 
following matters in relation to which the 
Companies Act 2006 requires us to report 
to you if, in our opinion:
	• adequate accounting records have not 
been kept by the Parent Company, or 
returns adequate for our audit have not 
been received from branches not visited 
by us; or
	• the Parent Company financial 
statements and the part of the Directors’ 
Remuneration Report to be audited are 
not in agreement with the accounting 
records and returns; or
	• certain disclosures of directors’ 
remuneration specified by law are not 
made; or
	• we have not received all the information 
and explanations we require for our 
audit.
CORPORATE GOVERNANCE STATEMENT
We have reviewed the directors’ statement 
in relation to going concern, longer-term 
viability and that part of the Corporate 
Governance Statement relating to the 
group and company’s compliance with 
the provisions of the UK Corporate 
Governance Code specified for our review 
by the Listing Rules.
Based on the work undertaken as part of 
our audit, we have concluded that each of 
the following elements of the Corporate 
Governance Statement is materially 
consistent with the financial statements or 
our knowledge obtained during the audit:
	• Directors’ statement with regards to the 
appropriateness of adopting the going 
concern basis of accounting and any 
material uncertainties identified set out 
on page 163;
	• Directors’ explanation as to its 
assessment of the company’s prospects, 
the period this assessment covers and 
why the period is appropriate set out on 
page 97;
	• Director’s statement on whether it has a 
reasonable expectation that the group 
will be able to continue in operation and 
meets its liabilities set out on page 97;
	• Directors’ statement on fair, balanced 
and understandable set out on 
page 162;
	• Board’s confirmation that it has 
carried out a robust assessment of the 
emerging and principal risks set out on 
page 85;
	• The section of the annual report that 
describes the review of effectiveness of 
risk management and internal control 
systems set out on page 122; and;
	• The section describing the work of the 
audit committee set out on page 127.
RESPONSIBILITIES OF DIRECTORS
As explained more fully in the directors’ 
responsibilities statement set out on page 
162, the directors are responsible for the 
preparation of the financial statements and 
for being satisfied that they give a true 
and fair view, and for such internal control 
as the directors determine is necessary 
to enable the preparation of financial 
statements that are free from material 
misstatement, whether due to fraud or 
error.
In preparing the financial statements, the 
directors are responsible for assessing 
the group and parent company’s ability to 
continue as a going concern, disclosing, 
as applicable, matters related to going 
concern and using the going concern basis 
of accounting unless management either 
intends to liquidate the group or the parent 
company or to cease operations, or have 
no realistic alternative but to do so.
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Additional information

AUDITOR’S RESPONSIBILITIES FOR THE AUDIT OF THE 
FINANCIAL STATEMENTS 
Our objectives are to obtain reasonable 
assurance about whether the financial 
statements as a whole are free from 
material misstatement, whether due to 
fraud or error, and to issue an auditor’s 
report that includes our opinion. 
Reasonable assurance is a high level of 
assurance, but is not a guarantee that 
an audit conducted in accordance with 
ISAs (UK) will always detect a material 
misstatement when it exists. Misstatements 
can arise from fraud or error and are 
considered material if, individually or in 
the aggregate, they could reasonably 
be expected to influence the economic 
decisions of users taken on the basis of 
these financial statements.  
Explanation as to what extent the audit was considered 
capable of detecting irregularities, including fraud 
Irregularities, including fraud, are 
instances of non-compliance with laws 
and regulations. We design procedures 
in line with our responsibilities, outlined 
above, to detect irregularities, including 
fraud. The risk of not detecting a material 
misstatement due to fraud is higher than 
the risk of not detecting one resulting 
from error, as fraud may involve deliberate 
concealment by, for example, forgery 
or intentional misrepresentations, or 
through collusion. The extent to which 
our procedures are capable of detecting 
irregularities, including fraud is detailed 
below.
However, the primary responsibility for the 
prevention and detection of fraud rests with 
both those charged with governance of the 
company and management. 
	• We obtained an understanding of the 
legal and regulatory frameworks that are 
applicable to the Group and determined 
that the most significant are which are 
directly relevant to specific assertions 
in the financial statements are those 
related to the reporting framework 
(UK adopted international accounting 
standards, the Companies act 2006 
and the UK Corporate Governance 
Code), relevant tax, legal, environmental 
and health and safety regulations in 
the jurisdictions in which the Group 
operates, most significantly Russia, the 
USA, Canada and the UK.
	• We have considered the impact of 
the existing sanctions against Russia 
on the Group’s operations, customer 
base and credit risk. Nothing has come 
to our attention to suggest that the 
operations or the liquidity of the group 
have, to date, been adversely affected 
directly by sanctions other than the 
negative impact on capital markets 
and the financing options available 
to management. We have reviewed 
management’s ongoing assessment of 
the impact of current sanctions on the 
Group and external advice received by 
the Group.
	• We understood how EVRAZ plc is 
complying with those frameworks by 
making enquiries of management, 
internal audit, those responsible for 
legal and compliance procedures, 
the company secretary and the 
Audit Committee.  We corroborated 
our enquiries through our review of 
Board and Board Committee minutes 
as well as papers presented to the 
Audit Committee during the audit. 
We assessed legal and regulatory 
frameworks by involvement of the 
integrated Group and component team 
members based in Russia and the USA. 
We also considered the response by 
management to instances of suspected 
non-compliance that have been 
reported to the Audit Committee during 
the year.
	• We assessed the susceptibility of the 
Group’s financial statements to material 
misstatement, including how fraud might 
occur by meeting with management 
from various parts of the business to 
understand where it is considered there 
was a susceptibility of fraud. We also 
considered performance targets and 
their propensity to influence on efforts 
made by management to manage 
earnings. We considered the programs 
and controls that the Group has 
established to address risks identified, or 
that otherwise prevent, deter and detect 
fraud; and how senior management 
monitors those programs and controls. 
Where the risk was considered to be 
higher, we performed incremental audit 
procedures to address each identified 
fraud risk, including with respect to 
revenue recognition, the recoverability 
of goodwill and other non-current 
assets and investment impairment 
considerations for the Parent Company. 
Our procedures also included journal 
entry testing with a focus on manual 
journals.
	• Based on this understanding we 
designed our audit procedures to 
identify non-compliance with such 
laws and regulations. Our procedures 
involved journal entry testing; 
enquiries of legal counsel, internal 
audit, group management, component 
management at all full and specific 
scope components; and focused testing, 
including the procedures referred to in 
the key audit matters section above. 
	• Specific enquiries were made with the 
component teams to confirm any non-
compliance with laws and regulations 
and this was reported through their 
audit deliverables based on the 
procedures detailed in the previous 
paragraph. We have considered the 
effect on our audit procedures of 
suspected non-compliance that have 
been reported to us by component 
teams or to the Audit Committee 
by management during the year, 
determining if and what incremental 
audit procedures may be required.
A further description of our responsibilities 
for the audit of the financial statements 
is located on the Financial Reporting 
Council’s website at https://www.frc.org.uk/
auditorsresponsibilities.  This description 
forms part of our auditor’s report.
OTHER MATTERS WE ARE REQUIRED TO ADDRESS 
	• Following the recommendation from the 
Audit Committee, we were appointed 
by the company in 2011 to audit the 
financial statements for the year ended 
31 December 2011 and subsequent 
financial periods. The period of total 
uninterrupted engagement including 
previous renewals and reappointments is 
eleven years, covering periods from our 
initial appointment in 2011 through to 
the year ended 31 December 2021.
	• The audit opinion is consistent with the 
additional report to the audit committee.
USE OF OUR REPORT
This report is made solely to the company’s 
members, as a body, in accordance with 
Chapter 3 of Part 16 of the Companies Act 
2006.  Our audit work has been undertaken 
so that we might state to the company’s 
members those matters we are required 
to state to them in an auditor’s report and 
for no other purpose.  To the fullest extent 
permitted by law, we do not accept or 
assume responsibility to anyone other than 
the company and the company’s members 
as a body, for our audit work, for this 
report, or for the opinions we have formed. 
Daniel Trotman
(Senior statutory auditor)
for and on behalf of Ernst & 
Young LLP, Statutory Auditor
London
24 February 2022
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FINANCIAL STATEMENTS
Additional information

CONSOLIDATED FINANCIAL STATEMENTS
Year Ended 31 December 2021
 
Сonsolidated statement of operations 
(in millions of US dollars, except for per share information) 
 
 
 
Year ended 31 December 
 
Notes 
2021 
2020* 
2019* 
Continuing operations 
 
 
 
 
Revenue 
 
 
 
 
Sale of goods 
3 
$ 13,224  
$ 9,222 
$ 11,117 
Rendering of services 
3 
262 
230 
327 
 
 
13,486 
9,452 
11,444 
Cost of revenue 
7 
(7,454) 
(5,992) 
(7,554) 
Gross profit 
 
6,032 
3,460 
3,890 
 
 
 
 
 
Selling and distribution costs 
7 
(827) 
(788) 
(867) 
General and administrative expenses 
7 
(545) 
(493) 
(536) 
Social and social infrastructure maintenance expenses 
 
(30) 
(29) 
(23) 
Gain/(loss) on disposal of property, plant and equipment, net 
 
(7) 
(3) 
6 
Impairment of non-financial assets 
6 
(22) 
(313) 
(335) 
Foreign exchange gains/(losses), net 
 
11 
296 
(311) 
Other operating income 
 
16 
19 
19 
Other operating expenses 
7 
(45) 
(43) 
(42) 
Profit from operations 
 
4,583 
2,106 
1,801 
 
 
 
 
 
Interest income 
7 
4 
5 
7 
Interest expense 
7 
(212) 
(315) 
(320) 
Share of profits/(losses) of joint ventures and associates 
11 
14 
2 
9 
Impairment of non-current financial assets 
14 
– 
– 
(56) 
Gain/(loss) on financial assets and liabilities, net 
7 
(20) 
(71) 
17 
Gain/(loss) on disposal groups classified as held for sale, net 
12 
2 
1 
29 
Other non-operating gains/(losses), net 
 
– 
14 
13 
Profit before tax from continuing operations 
 
4,371 
1,742 
1,500 
 
 
 
 
 
Income tax expense 
8 
(847) 
(373) 
(418) 
Net profit from continuing operations 
 
3,524 
1,369 
 1,082 
 
 
 
 
 
Discontinued operations 
 
 
 
 
Net loss from discontinued operations 
13 
(417) 
(511) 
(717) 
 
 
 
 
 
Net profit 
 
3,107 
$ 858 
$ 365 
Attributable to: 
 
 
 
 
Equity holders of the parent entity 
 
$ 3,034 
$ 848 
$ 326 
Non-controlling interests 
 
73 
10 
39 
 
 
$ 3,107 
$ 858 
$ 365 
 
 
 
 
 
Earnings per share for profit attributable to equity holders of the parent entity, 
US dollars: 
 
 
 
 
Basic  
20 
$ 2.08 
$ 0.58  
$ 0.23  
Diluted 
20 
$ 2.07 
$ 0.58  
$ 0.22  
 
 
 
 
 
Earnings per share for profit from continuing operations attributable to equity 
holders of the parent entity, US dollars: 
 
 
 
 
Basic  
20 
$ 2.38 
$ 0.94 
$ 0.74 
Diluted 
20 
$ 2.37 
$ 0.94 
$ 0.73 
 
*The amounts shown here do not correspond to the 2020 and 2019 financial statements and reflect adjustments made in connection with 
the presentation of discontinued operations (Note 13). 
The accompanying notes form an integral part of these consolidated financial statements. 
 
 
Сonsolidated statement of comprehensive income 
(in millions of US dollars) 
 
 
 
Year ended 31 December 
 
Notes 
2021 
2020 
2019 
Net profit 
 
$ 3,107 
$ 858 
$ 365 
 
 
 
 
 
Other comprehensive income/(loss) 
 
 
 
 
 
 
 
 
 
Other comprehensive income to be reclassified to profit or loss in 
subsequent periods, net of tax 
 
 
 
 
 
 
 
 
 
Exchange differences on translation of foreign operations into presentation 
currency 
 
(36) 
(894) 
757 
Accumulated translation (gains)/losses recycled to profit or loss on disposal of 
foreign operations  
4, 12 
(3) 
– 
31 
Net gains/(losses) on cash flow hedges 
25 
– 
– 
27 
Net (gains)/losses on cash flow hedges recycled to profit or loss 
7, 25 
– 
– 
(33) 
 
 
(39) 
(894) 
782 
 
 
 
 
 
Effect of translation to presentation currency of the Group’s joint ventures and 
associates 
11 
– 
(13) 
8 
 
 
– 
(13) 
8 
 
 
 
 
 
Items not to be reclassified to profit or loss in subsequent periods, net of tax 
 
 
 
 
 
 
 
 
 
Gains/(losses) on re-measurement of net defined benefit liability 
23 
85 
(3) 
(15) 
Income tax effect 
8 
(20) 
2 
(1) 
 
 
65 
(1) 
(16) 
 
 
 
 
 
Total other comprehensive income/(loss), net of tax 
 
26 
(908) 
774 
Total comprehensive income/(loss), net of tax 
 
$ 3,133 
$ (50) 
$ 1,139 
 
 
 
 
 
Attributable to: 
 
 
 
 
Equity holders of the parent entity 
 
$ 3,058 
$ (41) 
$ 1,078 
Non-controlling interests 
 
75 
(9) 
61 
 
 
$ 3,133 
$ (50) 
$ 1,139 
 
The accompanying notes form an integral part of these consolidated financial statements. 
 
 
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Additional information

Сonsolidated statement of financial position 
(in millions of US dollars) 
 
The financial statements of EVRAZ plc (registered number 7784342) on pages 180-269 were approved by the Board of Directors on 24 February 2022 and signed on its 
behalf by Deborah Gudgeon, director. 
 
 
31 December 
 
Notes 
2021 
2020 
2019 
ASSETS 
 
Non-current assets 
 
Property, plant and equipment 
9 
$ 3,169 
$ 4,314 
$ 4,925 
Intangible assets other than goodwill 
10 
126 
138 
185 
Goodwill 
5 
457 
457 
594 
Investments in joint ventures and associates 
11 
100 
79 
92 
Deferred income tax assets 
8 
183 
245 
152 
Receivables from related parties 
17 
10 
– 
– 
Other non-current financial assets 
14 
18 
26 
40 
Other non-current assets 
14 
62 
45 
55 
 
 
4,125 
5,304 
6,043 
Current assets 
 
 
 
 
Inventories  
15 
1,565 
1,085 
1,480 
Trade and other receivables 
16 
626 
378 
534 
Prepayments 
 
96 
80 
93 
Loans receivable  
 
– 
– 
32 
Receivables from related parties 
17 
34 
10 
10 
Income tax receivable 
 
29 
46 
53 
Other taxes recoverable 
18 
171 
178 
175 
Other current financial assets 
19 
12 
2 
4 
Cash and cash equivalents 
19 
1,027 
1,627 
1,423 
 
 
3,560 
3,406 
3,804 
Assets of disposal groups classified as held for distribution to owners 
13 
2,169 
– 
– 
 
 
5,729 
3,406 
3,804 
Total assets 
 
$ 9,854 
$ 8,710 
$ 9,847 
EQUITY AND LIABILITIES 
 
 
 
 
Equity 
 
 
 
 
Equity attributable to equity holders of the parent entity 
 
 
 
 
Issued capital 
20 
$ 75 
$ 75 
$ 75 
Treasury shares 
20 
(148) 
(154) 
(169) 
Additional paid-in capital 
 
2,522 
2,510 
2,492 
Revaluation surplus 
 
– 
109 
109 
Accumulated profits 
 
3,472 
2,187 
2,217 
Translation difference 
 
(1,928) 
(3,936) 
(3,048) 
Reserves of disposal group held for distribution to owners 
 
(1,939) 
– 
– 
 
 
2,054 
791 
1,676 
Non-controlling interests 
32 
180 
129 
252 
 
 
2,234 
920 
1,928 
Non-current liabilities 
 
 
 
 
Long-term loans 
22 
3,440 
3,759 
4,599 
Deferred income tax liabilities 
8 
194 
253 
352 
Employee benefits 
23 
143 
240 
271 
Provisions 
24 
182 
272 
321 
Lease liabilities 
25 
49 
57 
83 
Other long-term liabilities 
25 
77 
102 
40 
 
 
4,085 
4,683 
5,666 
Current liabilities 
 
 
 
 
Trade and other payables 
26 
1,539 
1,264 
1,378 
Contract liabilities 
 
250 
314 
348 
Short-term loans and current portion of long-term loans 
22 
101 
1,078 
140 
Lease liabilities 
25 
22 
30 
34 
Payables to related parties 
17 
50 
38 
19 
Dividends payable to shareholders 
20 
292 
– 
– 
Income tax payable 
 
67 
108 
79 
Other taxes and duties payable 
27 
145 
169 
153 
Provisions 
24 
37 
41 
33 
Amounts payable under put options for shares in subsidiaries 
4 
– 
65 
69 
 
 
2,503 
3,107 
2,253 
Liabilities directly associated with disposal groups classified as held for distribution 
to owners 
13 
1,032 
– 
– 
 
 
3,535 
3,107 
2,253 
Total liabilities 
 
7,620 
7,790 
7,919 
Total equity and liabilities 
 
$ 9,854 
$ 8,710 
$ 9,847 
 
 
The accompanying notes form an integral part of these consolidated financial statements. 
 
 
Сonsolidated statement of cash flows 
(in millions of US dollars) 
 
 
 
Year ended 31 December 
 
Notes 
2021 
2020 
2019 
Cash flows from operating activities 
 
 
 
Net profit 
$ 3,107 
$ 858 
$ 365 
Adjustments to reconcile net profit to net cash flows from operating activities: 
 
 
 
 
Deferred income tax (benefit)/expense 
8 
70 
(142) 
5 
Depreciation, depletion and amortisation 
7 
563 
605 
578 
(Gain)/loss on disposal of property, plant and equipment, net  
 
8 
3 
(3) 
Impairment of non-financial assets  
6 
30 
310 
442 
Foreign exchange (gains)/losses, net 
 
(34) 
(408) 
341 
Interest income  
7 
(5) 
(6) 
(8) 
Interest expense  
7 
232 
328 
336 
Share of (profits)/losses of associates and joint ventures 
11 
(14) 
(2) 
(9) 
Impairment of non-current financial assets 
14 
– 
– 
56 
(Gain)/loss on financial assets and liabilities, net  
7 
21 
71 
(17) 
(Gain)/loss on disposal groups classified as held for sale, net 
12 
(2) 
(1) 
(29) 
Other non-operating (gains)/losses, net 
 
(3) 
(14) 
(14) 
Allowance for expected credit losses 
28 
(1) 
(2) 
3 
Changes in provisions, employee benefits and other long-term assets and 
liabilities 
 
17 
(17) 
– 
Expense arising from equity-settled awards 
21 
12 
11 
13 
Other 
 
(1) 
(1) 
(2) 
 
 
4,000 
1,593 
2,057 
Changes in working capital: 
 
 
 
 
Inventories 
 
(567) 
250 
61 
Trade and other receivables  
 
(332) 
81 
304 
Prepayments 
 
(29) 
3 
26 
Receivables from/payables to related parties  
 
(19) 
5 
(114) 
Taxes recoverable 
 
(93) 
(30) 
29 
Other assets 
 
(11) 
– 
(1) 
Trade and other payables 
 
429 
(35) 
219 
Contract liabilities 
 
(68) 
(13) 
13 
Taxes payable 
 
121 
84 
(155) 
Other liabilities 
 
(7) 
(10) 
(9) 
Net cash flows from operating activities 
 
3,424 
1,928 
2,430 
Relating to: 
 
 
 
 
Continuing operations 
 
3,663 
2,262 
2,932 
Discontinued operations 
13 
(239) 
(334) 
(502) 
 
 
 
 
 
Cash flows from investing activities 
 
 
 
 
Issuance of loans receivable to related parties 
 
(1) 
(1) 
– 
Issuance of loans receivable 
 
(1) 
(1) 
(9) 
Proceeds from repayment of loans receivable, including interest 
 
– 
1 
2 
Purchases of subsidiaries, net of cash acquired 
 
– 
– 
(3) 
Purchases of disposal groups held for sale 
12 
– 
– 
(22) 
Investments in associates and joint ventures 
11 
(10) 
– 
(3) 
Sale of associates 
17 
– 
– 
5 
Proceeds from sale of other investments 
17 
– 
– 
32 
Short-term deposits at banks, including interest 
 
4 
4 
7 
Purchases of property, plant and equipment and intangible assets 
 
(963) 
(667) 
(767) 
Proceeds from government grants related to property, plant and equipment 
9 
53 
20 
5 
Proceeds from disposal of property, plant and equipment 
 
6 
6 
16 
Proceeds from sale of disposal groups classified as held for sale, net of transaction 
costs 
12 
2 
11 
44 
Dividends received 
11,17 
3 
1 
9 
Other investing activities, net 
 
2 
2 
19 
Net cash flows used in investing activities 
 
(905) 
(624) 
(665) 
Relating to: 
 
 
 
 
Continuing operations 
 
(689) 
(482) 
(435) 
Discontinued operations 
13 
(216) 
(142) 
(230) 
 
Consolidated cash flows include amounts of discontinued operations (Note 13). 
Continued on the next page 
The accompanying notes form an integral part of these consolidated financial statements. 
 
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Сonsolidated statement of cash flows (continued) 
(in millions of US dollars) 
 
 
 
 
Year ended 31 December 
 
Notes 
2021 
2020 
2019 
Cash flows from financing activities 
 
 
 
 
Purchases of non-controlling interests 
4 
$ (38) 
$ (66) 
$ (71) 
Payments for property, plant and equipment on deferred terms 
 
(10) 
(10) 
– 
Payments for investments on deferred terms 
11 
– 
– 
(8) 
Dividends paid by the parent entity to its shareholders 
20 
(1,531) 
(872) 
(1,086) 
Dividends paid by the Group’s subsidiaries to non-controlling shareholders 
 
(18) 
(5) 
(5) 
Proceeds from bank loans and notes 
22 
2,325 
1,218 
2,805 
Repayment of bank loans and notes, including interest 
22 
(3,403) 
(1,304) 
(3,035) 
Net proceeds from/(repayment of) bank overdrafts and credit lines, including interest 
22 
(1) 
(25) 
22 
Payments under covenants reset 
22 
(10) 
– 
– 
Restricted deposits at banks in respect of financing activities 
 
– 
1 
– 
Realised gains/(losses) on derivatives not designated as hedging instruments 
25 
12 
(11) 
22 
Realised gains/(losses) on hedging instruments  
25 
– 
– 
(23) 
Payments under leases, including interest 
25 
(33) 
(33) 
(37) 
Other financing activities, net 
 
– 
– 
1 
Net cash flows used in financing activities 
 
(2,707) 
(1,107) 
(1,415) 
Relating to: 
 
 
 
 
Continuing operations 
 
(3,031) 
(1,053) 
(1,366) 
Discontinued operations 
13 
324 
(54) 
(49) 
 
 
 
 
 
Effect of foreign exchange rate changes on cash and cash equivalents 
 
(12) 
7 
6 
 
 
 
 
 
Net increase/(decrease) in cash and cash equivalents 
 
(200) 
204 
356 
Cash and cash equivalents at the beginning of the year 
19 
1,627 
1,423 
1,067 
Decrease/(increase) in cash of disposal groups classified as held for distribution to 
owners 
13 
(400) 
– 
– 
Cash and cash equivalents at the end of the year 
19 
$ 1,027 
$ 1,627 
$ 1,423 
Supplementary cash flow information: 
 
 
 
 
 
Cash flows during the year: 
 
 
 
 
Interest paid 
 
$ (243) 
$ (284) 
$ (283) 
Interest received 
 
4 
5 
7 
Income taxes paid (included in operating activities) 
 
(999) 
(536) 
(581) 
 
Consolidated cash flows include amounts of discontinued operations (Note 13). 
 
The accompanying notes form an integral part of these consolidated financial statements.
 
Сonsolidated statement of changes in equity 
 (in millions of US dollars) 
 
 
 
Attributable to equity holders of the parent entity 
 
 
 
Issued  
capital 
Treasury 
shares 
Additional 
paid-in 
capital 
Revaluation 
surplus 
Accumulated 
profits  
Translation 
difference  
Reserves of 
disposal 
group held 
for 
distribution 
to owners 
Total 
Non-
controlling 
interests 
Total 
equity 
At 31 December 2020 
$ 75 
$ (154) 
$ 2,510 
$ 109 
$ 2,187 
$ (3,936) 
$ – 
$ 791 
$ 129 
$ 920 
Net profit 
– 
– 
– 
– 
3,034 
– 
– 
3,034 
73 
3,107 
Other comprehensive income/(loss) 
– 
– 
– 
– 
63 
(39) 
– 
24 
2 
26 
Reclassification of revaluation surplus to 
accumulated profits in respect of 
the disposed items of property, plant and 
equipment 
– 
– 
– 
(1) 
1 
– 
– 
– 
– 
– 
Total comprehensive income/(loss) for 
the period 
– 
– 
– 
(1) 
3,098 
(39) 
– 
3,058 
75 
3,133 
Reclassification of cumulative income or 
expense recognised in other comprehensive 
income relating to discontinued operations 
– 
– 
– 
(108) 
– 
2,047 
(1,939) 
– 
– 
– 
Acquisition of non-controlling interests in 
subsidiaries (Note 4) 
– 
– 
– 
– 
(19) 
– 
– 
(19) 
(19) 
(38) 
Reversal of derecognition of non-controlling 
interest in subsidiaries (Note 4) 
– 
– 
– 
– 
35 
– 
– 
35 
30 
65 
Transfer of treasury shares to participants of 
the Incentive Plans (Notes 20 and 21) 
– 
6 
– 
– 
(6) 
– 
– 
– 
– 
– 
Share-based payments (Note 21) 
– 
– 
12 
– 
– 
– 
– 
12 
– 
12 
Dividends declared by the parent entity to its 
shareholders (Note 20) 
– 
– 
– 
– 
(1,823) 
– 
– 
(1,823) 
– 
(1,823)  
Dividends declared by the Group’s subsidiaries 
to non-controlling shareholders (Note 32) 
– 
– 
– 
– 
– 
– 
– 
– 
(35) 
(35) 
At 31 December 2021 
$ 75 
$ (148) 
$ 2,522 
$ – 
$ 3,472 
$ (1,928) 
$ (1,939) 
$ 2,054 
$ 180 
$ 2,234 
The accompanying notes form an integral part of these consolidated financial statements. 
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Additional information

 
 
Сonsolidated statement of changes in equity (continued) 
 (in millions of US dollars) 
 
 
Attributable to equity holders of the parent entity 
 
 
 
Issued  
capital 
Treasury 
shares 
Additional 
paid-in 
capital 
Revaluation 
surplus 
Unrealised 
gains and 
losses 
Accumulated 
profits 
Translation 
difference 
Total 
Non-
controlling 
interests 
Total 
equity 
At 31 December 2018 
$ 75 
$ (196) 
$ 2,480 
$ 110 
$ 6 
$ 3,026 
$ (3,820) 
$ 1,681 
$ 257 
$ 1,938 
Net profit 
– 
– 
– 
– 
– 
326 
– 
326 
39 
365 
Other comprehensive income/(loss) 
– 
– 
– 
– 
(6) 
(14) 
772 
752 
22 
774 
Reclassification of revaluation surplus to 
accumulated profits in respect of 
the disposed items of property, plant and 
equipment 
– 
– 
– 
(1) 
– 
1 
– 
– 
– 
– 
 Reclassification of additional paid-in capital in 
respect of the disposed subsidiaries 
– 
– 
(1) 
– 
– 
1 
– 
– 
– 
– 
Total comprehensive income/(loss) for 
the period 
– 
– 
(1) 
(1) 
(6) 
314 
772 
1,078 
61 
1,139 
Acquisition of non-controlling interests in 
subsidiaries (Note 4) 
– 
– 
– 
– 
– 
(10) 
– 
(10) 
(61) 
(71) 
Transfer of treasury shares to participants of 
the Incentive Plans (Notes 20 and 21) 
– 
27 
– 
– 
– 
(27) 
– 
– 
– 
– 
Share-based payments (Note 21) 
– 
– 
13 
– 
– 
– 
– 
13 
– 
13 
Dividends declared by the parent entity to its 
shareholders (Note 20) 
– 
– 
– 
– 
– 
(1,086) 
– 
(1,086) 
– 
(1,086) 
Dividends declared by the Group’s subsidiaries 
to non-controlling shareholders (Note 32) 
– 
– 
– 
– 
– 
– 
– 
– 
(5) 
(5) 
At 31 December 2019 
$ 75 
$ (169) 
$ 2,492 
$ 109 
$ – 
$ 2,217 
$ (3,048) 
$ 1,676 
$ 252 
$ 1,928 
The accompanying notes form an integral part of these consolidated financial statements.
16 
 
 
Сonsolidated statement of changes in equity (continued) 
 (in millions of US dollars) 
 
 
Attributable to equity holders of the parent entity 
 
 
 
Issued  
capital 
Treasury 
shares 
Additional 
paid-in 
capital 
Revaluation 
surplus 
Unrealised 
gains and 
losses 
Accumulated 
profits 
Translation 
difference 
Total 
Non-
controlling 
interests 
Total 
equity 
At 31 December 2019 
$ 75 
$ (169) 
$ 2,492 
$ 109 
$ – 
$ 2,217 
$ (3,048) 
$ 1,676 
$ 252 
$ 1,928 
Net profit 
– 
– 
– 
– 
– 
848 
– 
848 
10 
858 
Other comprehensive income/(loss) 
– 
– 
– 
– 
– 
(1) 
(888) 
(889) 
(19) 
(908) 
Total comprehensive income/(loss) for 
the period 
– 
– 
– 
– 
– 
847 
(888) 
(41) 
(9) 
(50) 
Acquisition of non-controlling interests in 
subsidiaries (Note 4) 
– 
– 
7 
– 
– 
– 
– 
7 
(34) 
(27) 
Change in non-controlling interests due to 
reorganisation (Note 4) 
– 
– 
– 
– 
– 
45 
– 
45 
(45) 
– 
Decrease in non-controlling interests due to put 
options (Note 4) 
– 
– 
– 
– 
– 
(35) 
– 
(35) 
(30) 
(65) 
Transfer of treasury shares to participants of 
the Incentive Plans (Notes 20 and 21) 
– 
15 
– 
– 
– 
(15) 
– 
– 
– 
– 
Share-based payments (Note 21) 
– 
– 
11 
– 
– 
– 
– 
11 
– 
11 
Dividends declared by the parent entity to its 
shareholders (Note 20) 
– 
– 
– 
– 
– 
(872) 
– 
(872) 
– 
(872) 
Dividends declared by the Group’s subsidiaries 
to non-controlling shareholders (Note 32) 
– 
– 
– 
– 
– 
– 
– 
– 
(5) 
(5) 
At 31 December 2020 
$ 75 
$ (154) 
$ 2,510 
$ 109 
$ – 
$ 2,187 
$ (3,936) 
$ 791 
$ 129 
$ 920 
The accompanying notes form an integral part of these consolidated financial statements. 
 
 
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Notes to the consolidated financial statements 
Year ended 31 December 2021 
1. CORPORATE INFORMATION  
These consolidated financial statements were authorised for issue by the Board of Directors of EVRAZ plc on 24 February 2022.  
EVRAZ plc (“EVRAZ plc” or “the Company”) was incorporated on 23 September 2011 as a public company limited by shares under the laws of the 
United Kingdom. The Company was incorporated under the Companies Act 2006 with the registered number in England 7784342. The Company’s 
address is 2 Portman street, London, W1H 6DU, United Kingdom. 
The Company is a holding company which owns steel, mining and trading companies. The Company, together with its subsidiaries (the “Group”), is 
involved in the production and distribution of steel and related products, vanadium products and coal and iron ore mining. The Group is one of 
the largest steel producers globally.  
At 31 December 2021, 2020 and 2019, EVRAZ plc was jointly controlled by a group of 3 shareholders: Greenleas International Holdings Limited (BVI), 
Abiglaze Limited (Cyprus) and Crosland Global Limited (Cyprus). 
The major subsidiaries included in the consolidated financial statements of the Group were as follows at 31 December: 
Subsidiary 
Effective  
ownership interest, % 
Business 
activity 
Location 
2021 
2020 
2019 
EVRAZ Nizhny Tagil Metallurgical Plant  (“EVRAZ NTMK”) 
100.00 
100.00 
100.00 
Steel production 
Russia 
EVRAZ Consolidated West-Siberian Metallurgical Plant (“EVRAZ ZSMK”) 
100.00 
100.00 
100.00 
Steel production 
Russia 
EVRAZ Inc. NA 
100.00 
100.00 
100.00 
Steel production  
USA 
EVRAZ Inc. NA Canada 
100.00 
100.00 
100.00 
 Steel production 
Canada 
Raspadskaya 
93.24 
95.15* 
88.17 
Coal mining 
Russia 
Yuzhkuzbassugol 
93.24 
95.15* 
100.00 
Coal mining 
Russia 
EVRAZ Kachkanarsky Mining-and-Processing Integrated Works 
100.00 
100.00 
100.00 
Ore mining & 
processing 
Russia 
 
* In 2020, the ownership interest in Raspadskaya and Yuzhkuzbassugol reflected the potential purchase of 4.25% in Raspadskaya under the share 
buyback offer (Note 4 Put Option for the Shares of Raspadskaya). 
In 2021, in connection with the highly probable demerger of Raspadskaya together with its subsidiary Yuzkuzbassugol they were classified as disposal 
groups held for distribution to owners (Note 13). 
The full list of the Group’s subsidiaries and other significant holdings as of 31 December 2021 is presented in Note 34. 
 
2. SIGNIFICANT ACCOUNTING POLICIES 
Basis of Preparation  
These consolidated financial statements of the Group have been prepared in accordance with UK-adopted international accounting standards. These 
standards are International Financial Reporting Standards (“IFRSs”) issued by the International Accounting Standard Board (“IASB”), as endorsed by 
the UK Endorsement Board.  
The consolidated financial statements have been prepared under the historical cost convention, except as disclosed in the accounting policies below. 
Exceptions include, but are not limited to, property, plant and equipment at the date of transition to IFRS accounted for at deemed cost, equity 
instruments measured at fair value, assets classified as held for sale measured at the lower of their carrying amount or fair value less costs to sell and 
post-employment benefits measured at present value. 
 
 
2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Basis of Preparation (continued) 
Going Concern 
These consolidated financial statements have been prepared on a going concern basis. 
 
The Group’s financial position at 31 December 2021 including its cash flows, liquidity position and borrowing facilities are set out in these financial 
statements and the Financial Review section. The Group’s net debt as at 31 December 2021 was $2,667 million (31 December 2020 and 2019: 
$3,356 million and $3,445 million, respectively) and its cash plus committed undrawn facilities were $2,050 million (31 December 2020 and 2019: 
$2,564 million and $1,870 million, respectively).  
As disclosed in Note 30, macroeconomic uncertainty and instability have arisen due to the COVID-19 pandemic. However, the majority of the Group’s 
businesses were relatively unaffected with no significant issues for production, supply or shipments. Moreover, during 2021 there was a very 
significant increase in demand for, and prices of, almost all of the Group’s products leading to the Group’s strong financial performance. 
The management of EVRAZ plc has considered the Group’s cash flow forecasts for the period to 30 June 2023, the going concern assessment period, 
forecasting both liquidity and covenant compliance. It initially evaluated two financial performance scenarios, being a base case and a pessimistic case 
reflecting a reduction in forecast prices to the lower end of market analysts' current forecasts. Both scenarios reflect the effect of the highly probable 
demerger of the coal business (Note 13), the scheduled repayment of debt, most significantly $750 million of US-denominated notes due in 2023 
(Note 22), and the effect of the new excise tax on liquid steel and higher taxes on mineral extraction imposed by the government of the Russian 
Federation from 1 January 2022 (Note 30). Management has considered whether the effects of risks associated with climate change, including 
decarbonisation (Note 6), will impact the going concern period, concluding that they will not have any significant impact. Under both scenarios, 
the Group is forecast to maintain sufficient liquidity for the period to 30 June 2023 and to operate within its debt covenants. In the pessimistic case 
the amount of cash is assumed to be close to the minimum operating level in the first half of 2023. These scenarios do not however include actions at 
management’s disposal to strengthen projected liquidity, including the deferral of uncommitted capital expenditure.  
 
In order to further test the resilience of the going concern assessment to potential uncertainties, particularly with respect to the worsening situation 
relating to Ukraine and heightened risk of the economic sanctions, management performed a severe downside sensitivity. This assumed that capital 
expenditure was reduced to $500 million per annum and then determined the extent to which EBITDA could fall throughout the period, whilst 
maintaining an operating level of liquidity. Such a fall would reflect a highly material interruption to the Group’s current business including reducing 
Russian export sales outside the CIS to nil throughout the going concern period combined with a further reduction in EBITDA as a result of other 
possible factors, including further international sanctions. The directors have also considered additional mitigating actions that would be available in 
such circumstances including further reductions in costs, capital expenditure and the deferral of dividends. 
 
None of the scenarios modelled reflect any new financing beyond that currently committed. In managing the financing of the Group, management 
continues to monitor opportunities for future raising of finance, including as current notes mature.  
 
The directors, having considered the scenarios above, conclude that the likelihood of a scenario that would eliminate liquidity or breach covenants is 
remote. Based on this analysis and other currently available facts and circumstances the directors and management have a reasonable expectation 
that the Company and the Group have adequate resources to continue as a going concern. 
 
Discontinued Operations 
On 31 December 2021, the criteria for the classification of Raspadskaya and its subsidiaries (“Raspadskaya Group”) as a disposal group held for 
distribution to owners were met. Starting from this date the Group applied the classification, measurement and presentation requirements of IFRS 5 
“Non-current Assets Held for Sale and Discontinued Operations” to Raspadskaya Group and re-presented the statements of operations and 
the relevant disclosures for prior periods. More details are provided in Significant Accounting Judgements section below and in Note 13. 
 
Changes in Accounting Policies 
New/Revised Standards and Interpretations Adopted in 2021: 
• 
Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4, IFRS 16: Interest Rate Benchmark Reform, phase 2 
The amendments provide temporary reliefs which address the financial reporting effects when an interbank offered rate (IBOR) is replaced with an 
alternative nearly risk-free interest rate (RFR). The amendments include the following practical expedients: 
 
▪ A practical expedient to require contractual changes, or changes to cash flows that are directly required by the reform, to be treated as changes 
to a floating interest rate, equivalent to a movement in a market rate of interest. 
▪ Permit changes required by IBOR (reform to be made to hedge designations and hedge documentation without the hedging relationship being 
discontinued. 
▪ Provide temporary relief to entities from having to meet the separately identifiable requirement when an RFR instrument is designated as a 
hedge of a risk component. 
 
These amendments had no impact on the consolidated financial statements of the Group. The Group intends to use the practical expedients in future 
periods if they become applicable. 
 
The Group has a number of short-term and long-term borrowings with variable interest rates. It is expected that IBORs will be replaced by a rate based 
on Secured Overnight Financing Rate (“SOFR”) in 2022-2023. All new loan agreements contain some fallback language. 
 
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2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Changes in Accounting Policies (continued) 
 
The Group has not early adopted any standard, interpretation or amendment that has been issued but is not yet effective. 
 
Standards Issued But Not Yet Effective 
Standards not yet effective for the financial statements for the year ended 31 December 2021 
Effective for annual periods  
beginning on or after 
• 
Amendment to IFRS 16: Covid-19-Related Rent Concessions beyond 30 June 2021 
1 April 2021 
• 
Amendments to IFRS 3: Reference to the Conceptual Framework 
1 January 2022* 
• 
Amendments to IAS 16: Proceeds before intended use 
1 January 2022* 
• 
Amendments to IAS 37: Onerous Contracts — Cost of Fulfilling a Contract 
1 January 2022* 
• 
Amendments to Annual improvements 2018-2020 
1 January 2022* 
• 
IFRS 17 “Insurance Contracts”, including amendments 
1 January 2023* 
• 
Amendments to IAS 1 and IFRS Practice Statement 2: Disclosure of Accounting Policies  
1 January 2023* 
• 
Amendments to IAS 8: Definition of Accounting Estimates 
1 January 2023* 
• 
Amendments to IAS 12: Deferred Tax Related to Assets and Liabilities Arising from a Single Transaction 
1 January 2023* 
• 
Amendments to IAS 1: Classification of Liabilities as Current or Non-current 
1 January 2024* 
 
*Subject to UK endorsement 
The Group expects that the adoption of the amendments and the standard listed above will not have a significant impact on the Group’s results of 
operations and financial position in the period of initial application.  
 
Significant Accounting Judgements and Estimates 
Accounting Judgements  
In the process of applying the Group’s accounting policies, management has made the following judgements, apart from those involving estimates, 
which have the most significant effect on the amounts recognised in the consolidated financial statements: 
• 
In June 2020 and January 2021, the Board of directors discussed the possible demerger of a group of coal companies consolidated under 
Raspadskaya, which constitutes a major part of the coal segment. However, at 31 December 2020 and 30 June 2021 it remained uncertain 
whether this transaction would be finally approved by the directors and executed as there were a number of additional significant uncertainties 
and potential conditions pending, most significantly, the approval of the transaction by shareholders and bondholders, but also by the regulatory 
authorities of the UK and the Russian Federation. Accordingly, the classification, measurement and presentation requirements of IFRS 5 “Non-
current Assets Held for Sale and Discontinued Operations” were not applied to Raspadskaya Group in the consolidated financial statements for 
the year ended 31 December 2020 and for the six-month period ended 30 June 2021. On 14 December 2021, the Board of directors approved 
the proposed demerger, and a circular containing the details of the transaction was published. The Company assessed the potential outcome of 
the shareholders’ voting on the demerger using an independent experts’ opinion received in late 2021. As a result, it was determined that 
the required votes to approve the demerger are expected to be collected. At 31 December 2021, management concluded that the demerger has 
become highly probable within 1 year and Raspadskaya Group meets all criteria to be classified as a disposal group held for distribution to owners 
and, consequently, it shall be accounted for as discontinued operations (Note 13).  
 
• 
In 2019, the Group concluded a contract with Xcel Energy Inc. for the construction of a solar power plant in Pueblo (Colorado, USA) to be owned 
and operated by a third party and for the supply of electricity to the Group’s steel and rail mills in Pueblo for a long-term period on a take-or-pay 
basis. The Group determined based on the criteria in IFRS 16 “Leases” that the supply contract with Xcel Energy Inc. does not contain a lease. 
Management believes that this arrangement does not convey a right to the Group to use the assets as the Group does not have an ability to 
operate the assets or to direct other parties to operate the assets; it does not control physical access to the assets; and it is expected that more 
than an insignificant amount of the assets’ output will be sold to the parties unrelated to the Group. The commitments under the contract are 
disclosed in Note 30. 
 
• 
The Group determined based on the criteria in IFRS 16 “Leases” that the supply contracts with PraxAir Rus LLC (“PraxAir Rus”) and Air Liquide 
Kuzbass LLC (“Air Liquide Kuzbass “) do not contain a lease. These contracts include the construction of air separation plants by PraxAir Rus and 
Air Liquide Kuzbass to be owned and operated by them and the supply of oxygen and other industrial gases produced by the entities to 
the Group’s steel plants in Russia (EVRAZ NTMK and EVRAZ ZSMK) for a long-term period on a take or pay basis. Management believes that these 
arrangements do not convey a right to the Group to use the assets as the Group does not have an ability to operate the assets or to direct other 
parties to operate the assets; it does not control physical access to the assets; and it is expected that more than an insignificant amount of 
the assets’ output will be sold to the parties unrelated to the Group. The commitments under the contracts are disclosed in Note 30. 
 
2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Significant Accounting Judgements and Estimates (continued) 
Accounting Judgements (continued) 
 
• 
In 2019, an independent trader entered into contracts with two of the Group’s subsidiaries: for the purchase of semi-finished steel products with 
one subsidiary of the Steel segment and for the sale of semi-finished steel products with another subsidiary of the Steel North America segment. 
The Group analysed the nature of the contracts and determined that they require a separate recognition of the sales and purchase transactions 
as there is neither a tripartite agreement, nor a call or put option, which would require these contracts to be treated as a single arrangement. 
Specifically, the trader bears full inventory and market risks, and it has a full discretion in establishing prices for each contract separately based 
on prevailing market conditions. In 2021, the Group sold to the independent trader 144 thousand metric tonnes of slabs for $101 million (2020: 
357 thousand metric tonnes of slabs for $157 million; 2019: 330 thousand metric tonnes of slabs for $161 million) and purchased from it 
130 thousand metric tonnes for $98 million (2020: 308 thousand metric tonnes for $157 million; 2019: 192 thousand metric tonnes for 
$108 million).  
 
• 
In 2021 and 2020, certain of the Group’s suppliers sold their accounts receivable from the Group under factoring contracts to banks with no 
recourse. The Group analysed these factoring arrangements and determined that they do not significantly change the terms and conditions of 
payments, i.e. they do not contain a financing component and, consequently, should continue to be presented as trade payables in 
the consolidated statement of financial position and in cash flows from operating activities in the consolidated statement of cash flows. 
At 31 December 2021 and 2020, $265 million and $188 million were unpaid under these factoring liabilities. 
Estimation Uncertainty 
The key assumptions concerning the future and other key sources of estimation uncertainty at the end of the reporting period, that have a significant 
risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are set out below. 
 
Assessment of Recoverable Amount of Property, Plant and Equipment 
At each reporting date the Group assesses whether there is any indication that an asset may be impaired or if a past impairment should be reversed. 
A large number of factors are considered, such as changes in current competitive conditions, expectations of growth in the industry, increased cost of 
capital, changes in the future availability of financing, technological obsolescence, discontinuance of service, current replacement costs and other 
changes in circumstances. If any such indication exists, the Group makes an estimate of the asset’s recoverable amount. An asset’s recoverable 
amount is the higher of an asset’s or cash-generating unit’s fair value less costs to sell and its value in use and is determined for an individual asset, 
unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets. Where the carrying 
amount of an asset exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount. A previously 
recognised impairment loss is reversed only if there has been a change in the assumptions used to determine the asset’s recoverable amount since 
the last impairment loss was recognised.  
The determination of the recoverable amount of a cash-generating unit involves the use of estimates by management. Methods used to determine 
the value in use include discounted cash flow-based methods, which require the Group to make an estimate of the expected future cash flows from 
the cash-generating unit and also to choose a suitable pre-tax discount rate in order to calculate the present value of these cash flows. The pre-tax 
discount rate reflects current market assessment of the time value of money and the risks specific to the assets. The expected future cash flows 
depend on the estimated volumes of production and sales, future prices, costs, growth rates, capital and maintenance expenditure, inflation, foreign 
exchange rates, the future impact risks associated with climate change and other factors. These estimates, including the methodologies used, may 
have a material impact on the value in use and, ultimately, the amount of any impairment. The principal assumptions used in determining the 
recoverable amounts of cash-generating units and sensitivity to changes in assumptions are disclosed in Note 6. 
In 2021, 2020 and 2019, the Group recognised a net impairment reversal/(loss) of $(30) million, $(162) million and $(142) million, respectively 
(Notes 6 and 9). 
 
Management has considered how the Group’s identified climate risks and climate related goals (as discussed in Climate Change and GHG Emissions in 
this Annual Report) may impact the estimation of the recoverable value of cash-generating units tested for impairment.  
The anticipated extent and nature of the future impact of climate on the Group’s operations and future investment, and therefore estimation of 
recoverable value, is not uniform across all cash-generating units. In particular, this is impacted by the activity of the cash-generating unit, current 
technologies and production processes employed and the current level of emissions, energy efficiency and use of renewable energy. The most 
significant effects are expected to arise in relation to the Group’s steel production in Russia. The sensitivity of the Group’s impairment assessment to 
these factors is also impacted by the extent that estimated recoverable value exceeds the carrying value of an individual cash-generating unit -- where 
this is lower there is an increased risk of a future impact. Such headroom for the Group’s cash-generating units in Russia is generally materially higher 
than that of those in North America. 
The Group is in the process of identifying a range of actions and initiatives to progress towards the Group’s goals, including reduction of greenhouse 
gas emissions, wastewater discharges and increase of waste utilisation. In certain cases the costs of such actions have been quantified and are 
included in the Group’s forecasts which are used to estimate recoverable value for the Group’s cash-generating units, most significantly sulfur dioxide 
(SO2) capture at a sinter plant of EVRAZ ZSMK and closed loop water systems at EVRAZ ZSMK and EVRAZ NTMK. Other actions and initiatives continue 
to be explored by the Group but are not sufficiently certain to be reflected in the Group’s forecasts of estimated recoverable value. The most significant 
of these, along with related investments, are expected to relate to the Russian steel segment -- however, related assets currently benefit from 
significant estimated headroom. 
 
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2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Significant Accounting Judgements and Estimates (continued) 
Estimation Uncertainty (continued) 
Assessment of Recoverable Amount of Property, Plant and Equipment (continued) 
There is a range of inherent uncertainties in the extent that responses to climate change may impact the recoverable value of the Group’s cash-
generating units, with many of these being outside the Group’s control. These include the impact of future changes in government policies, legislation 
and regulation, societal responses to climate change, the future availability of new technologies and changes in supply and demand dynamics. Most 
significant to the Group is expected to be the nature and timing of any future carbon taxes that may be introduced in Russia. This has been considered 
by way of a sensitivity in Note 6.  
The Group may also be impacted by changes in demand for its products. In particular, demand for products from the Large diameter pipes and Oil 
Country Tubular Goods cash-generating units is driven by ongoing investment in the oil and gas industry. As a result of limited headroom of recoverable 
value over carrying value for these cash-generating units, a sensitivity has been performed of the impact of a future decline in demand (Note 6).  
At present there are few reasonable alternatives to the use of steel in areas such as construction and automotive industries. Management has not 
sought to estimate any beneficial impact of future opportunities or the potential for price inflation as a result of higher costs of production.  
 
Impairment Testing of Goodwill 
The Group determines whether goodwill is impaired at least on an annual basis. This requires an estimation of the value in use of the cash-generating 
units to which the goodwill is allocated. Estimating the value in use requires the Group to make an estimate of the expected future cash flows from 
the cash-generating unit and also to choose a suitable discount rate in order to calculate the present value of those cash flows.  
The carrying amount of goodwill at 31 December 2021, 2020 and 2019 was $457 million, $457 million and $594 million, respectively. In 2021, 2020 
and 2019, the Group recognised an impairment loss in respect of goodwill in the amount of $Nil, $132 million and $300 million, respectively. More 
details of the assumptions used in estimating the value in use of the cash-generating units to which goodwill is allocated are provided in Note 6. 
 
 
Deferred Income Tax Assets 
At 31 December 2021, 2020 and 2019, the Group recognised net deferred tax assets of $183 million, $245 million and $152 million, respectively 
(Note 8). These assets mostly related to the US and Canadian subsidiaries and mainly consisted of the unused tax losses and tax credits. Such assets 
are recognised only to the extent that there are sufficient taxable temporary differences or there is convincing evidence that sufficient taxable profits 
will be available against which the deductible temporary differences can be utilised.  
The assumptions about generation and likelihood of future taxable profits depend on management’s estimates of future cash flows and are contained 
in yearly budgets and long-term forecasts. Judgements and assumptions are also required about the application of income tax legislation, expiration of 
tax losses carried forward and tax planning strategies. The principal assumptions used in these forecasts include operating results, profitability, 
an appropriate outlook period and tax rates.  Assumptions underlying the forecasts of future taxable profits that support the recoverability of deferred 
tax assets should be consistent with assumptions underlying cash flows forecasts used in the impairment test models. 
All these judgements and assumptions are subject to risks and uncertainties, hence there is a possibility that changes in circumstances will alter 
expectations, which may impact the amount of deferred tax assets recognised in the consolidated statement of financial position and the amount of 
other tax losses and temporary differences not yet recognised. In such circumstances some or all of the carrying amounts of the recognised deferred 
tax assets may require a material adjustment within the next year, resulting in a corresponding credit or charge to the consolidated statement of 
operations. 
 
Post-Employment Benefits 
The Group uses an actuarial valuation method for the measurement of the present value of post-employment benefit obligations and related current 
service cost. This involves the use of demographic assumptions about the future characteristics of the current and former employees who are eligible 
for benefits (mortality, both during and after employment, rates of employee turnover, disability and early retirement, etc.) as well as financial 
assumptions (discount rate, future salary and benefit levels, expected rate of return on plan assets, etc.). More details are provided in Note 23. 
 
Foreign Currency Transactions 
The presentation currency of the Group is the US dollar because presentation in US dollars is most relevant for the major current and potential users of 
the consolidated financial statements. 
The functional currencies of the Group’s subsidiaries are the Russian rouble, US dollar, euro, Czech koruna and Canadian dollar. At the reporting date, 
the assets and liabilities of the subsidiaries with functional currencies other than the US dollar are translated into the presentation currency at the rate 
of exchange ruling at the end of the reporting period, and their statements of operations are translated at the exchange rates that approximate the 
exchange rates at the dates of the transactions. The exchange differences arising on the translation are taken directly to a separate component of 
equity. On disposal of a subsidiary with functional currency other than the US dollar, the deferred cumulative amount recognised in equity relating to 
that particular subsidiary is recognised in the statement of operations. 
 
 
2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
The following exchange rates were used in the consolidated financial statements: 
 
2021 
2020 
2019 
 
31 December 
Average 
31 December 
average 
31 December 
average 
USD/RUB 
74.2926 
73.6541 
73.8757 
72.1464 
61.9057 
64.7362 
EUR/USD 
1.1326 
1.1827 
1.2271 
1.1422 
1.1234 
1.1195 
USD/CAD 
1.2632 
1.2537 
1.2740 
1.3413 
1.2968 
1.3269 
 
Transactions in foreign currencies in each subsidiary of the Group are initially recorded in the functional currency at the rate ruling at the date of the 
transaction. Non-monetary items measured at fair value in a foreign currency are translated using the exchange rates at the date when the fair value 
was determined. Monetary assets and liabilities denominated in foreign currencies are translated at the functional currency rate of exchange ruling at 
the end of the reporting period. All resulting differences are taken to the statement of operations. Any goodwill arising on the acquisition of a foreign 
operation and any fair value adjustments to the carrying amounts of assets and liabilities arising on the acquisition are treated as assets and liabilities 
of the foreign operation and translated at the closing rate.  
 
Basis of Consolidation 
 
Subsidiaries 
Subsidiaries, which are those entities in which the Group has an interest of more than 50% of the voting rights and over which the Group has control, or 
otherwise has power to exercise control over their operations, are consolidated. Subsidiaries are consolidated from the date on which control is 
transferred to the Group and are no longer consolidated from the date that control ceases.  
All intercompany transactions, balances and unrealised gains on transactions between group companies are eliminated; unrealised losses are also 
eliminated unless the transaction provides evidence of an impairment of the asset transferred. Where necessary, accounting policies for subsidiaries 
have been changed to ensure consistency with the policies adopted by the Group.  
Non-controlling interest is the equity in a subsidiary not attributable, directly or indirectly, to a parent. Non-controlling interests are presented in 
the consolidated statement of financial position within equity, separately from the parent’s shareholders’ equity.  
Total comprehensive income is attributed to the owners of the parent and to the non-controlling interests even if this results in the non-controlling 
interests having a deficit balance. 
 
 
Acquisition of Subsidiaries  
Business combinations are accounted for using the acquisition method. The cost of an acquisition is measured as the aggregate of the consideration 
transferred, measured at acquisition date fair value and the amount of any non-controlling interest in the acquiree. For each business combination, the 
Group measures the non-controlling interest in the acquiree either at fair value or at the proportionate share of the acquiree’s identifiable net assets.  
Acquisition costs incurred are expensed and included in administrative expenses. 
If the business combination is achieved in stages, the acquisition date fair value of the acquirer’s previously held equity interest in the acquiree is 
remeasured to fair value at the acquisition date through profit or loss. 
Any contingent consideration to be transferred by the acquirer is recognised at fair value at the acquisition date. Subsequent changes to the fair value 
of the contingent consideration which is deemed to be an asset or liability will be recognised in accordance with IFRS 9 either in profit or loss or as 
a change to other comprehensive income. If the contingent consideration is classified as equity, it should not be remeasured until it is finally settled 
within equity. 
The initial accounting for a business combination involves identifying and determining the fair values to be assigned to the acquiree’s identifiable 
assets, liabilities and contingent liabilities and the cost of the combination. If the initial accounting for a business combination can be determined only 
provisionally by the end of the period in which the combination is effected because either the fair values to be assigned to the acquiree’s identifiable 
assets, liabilities or contingent liabilities or the cost of the combination can be determined only provisionally, the Group accounts for the combination 
using those provisional values. The Group recognises any adjustments to those provisional values as a result of completing the initial accounting within 
twelve months of the acquisition date.  
Comparative information presented for the periods before the completion of initial accounting for the acquisition is presented as if the initial 
accounting had been completed from the acquisition date. 
 
Increases in Ownership Interests in Subsidiaries 
The differences between the carrying values of net assets attributable to interests in subsidiaries acquired and the consideration given for such 
increases is either added to additional paid-in capital, if positive, or charged to accumulated profits, if negative, in the consolidated financial 
statements. 
 
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2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Purchases of Controlling Interests in Subsidiaries from Entities under Common Control 
 
Purchases of controlling interests in subsidiaries from entities under common control are accounted for using the pooling of interests method.  
The assets and liabilities of the subsidiary transferred under common control are recorded in these financial statements at the historical cost of the 
controlling entity (the “Predecessor”). Related goodwill inherent in the Predecessor's original acquisition is also recorded in the financial statements. 
Any difference between the total book value of net assets, including the Predecessor's goodwill, and the consideration paid is accounted for in 
the consolidated financial statements as an adjustment to the shareholders' equity. 
The financial statements, including corresponding figures, are presented as if a subsidiary had been acquired by the Group on the date it was originally 
acquired by the Predecessor. 
 
Put Options over Non-controlling Interests 
The Group derecognises non-controlling interests if non-controlling shareholders have a put option over their holdings. The difference between 
the amount of the liability recognised in the statement of financial position and the carrying value of the derecognised non-controlling interests is 
charged to accumulated profits.  
 
Investments in Associates 
Associates are entities in which the Group generally has between 20% and 50% of the voting rights, or is otherwise able to exercise significant 
influence, but which it does not control or jointly control.  
Investments in associates are accounted for under the equity method of accounting and are initially recognised at cost including goodwill. Subsequent 
changes in the carrying value reflect the post-acquisition changes in the Group’s share of net assets of the associate and goodwill impairment charges, 
if any.  
The Group’s share of its associates’ profits or losses is recognised in the statement of operations and its share of movements in reserves is recognised 
in equity. However, when the Group’s share of losses in an associate equals or exceeds its interest in the associate, the Group does not recognise 
further losses, unless the Group has legal or constructive obligations to make payments to, or on behalf of, the associate. If the associate subsequently 
reports profits, the Group resumes recognising its share of those profits only after its share of the profits equals the share of losses not recognised. 
Unrealised gains on transactions between the Group and its associates are eliminated to the extent of the Group's interest in the associates; 
unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. 
 
Interests in Joint Ventures 
The Group’s interest in its joint ventures is accounted for under the equity method of accounting whereby an interest in jointly ventures is initially 
recorded at cost and adjusted thereafter for post-acquisition changes in the Group's share of net assets of joint ventures. The statement of operations 
reflects the Group's share of the results of operations of joint ventures. 
 
Property, Plant and Equipment 
The Group’s property, plant and equipment is stated at purchase or construction cost, excluding the costs of day-to-day servicing, less accumulated 
depreciation and any impairment in value. Such cost includes the cost of replacing part of plant and equipment when that cost is incurred and 
recognition criteria are met. 
The Group’s property, plant and equipment include mining assets, which consist of mineral reserves, mine development and construction costs and 
capitalised site restoration costs. Mineral reserves represent tangible assets acquired in business combinations. Mine development and construction 
costs represent expenditures on developing access to mineral reserves (after technical feasibility and commercial viability of extracting a mineral 
resource are demonstrable) and preparations for commercial production, including sinking shafts and underground drifts, roads, infrastructure, 
buildings, machinery and equipment. 
At each end of the reporting period management makes an assessment to determine whether there is any indication of impairment or, where relevant, 
impairment reversal of property, plant and equipment. If any such indication exists, management estimates the recoverable amount, which is 
the higher of an asset’s fair value less cost to sell and its value in use. The carrying amount is reduced to the recoverable amount, and the difference is 
recognised as impairment loss in the statement of operations or other comprehensive income. An impairment loss recognised for an asset in previous 
years is reversed if there has been a change in the estimates used to determine the asset’s recoverable amount. The reversal is limited so that the 
carrying amount of the asset does not exceed its recoverable amount, nor exceed the carrying amount that would have been determined, net of 
depreciation, had no impairment loss been recognised for the asset in prior years.  
Land is not depreciated. Depreciation of property, plant and equipment, except for mining assets, is calculated on a straight-line basis over 
the estimated useful lives of the assets. The useful lives of items of property, plant and equipment and methods of their depreciation are reviewed, and 
adjusted as appropriate, at each fiscal year end. 
 
 
 
2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Property, Plant and Equipment (continued) 
 
The table below presents the useful lives of items of property, plant and equipment. 
 
Useful lives  
(years) 
Weighted average 
 remaining useful life (years) 
Buildings and constructions 
15–60 
18 
Machinery and equipment 
4–45 
9 
Transport and motor vehicles 
7–20 
9 
Other assets 
3–15 
2 
 
The Group determines the depreciation charge separately for each significant part of an item of property, plant and equipment. 
Depletion of mining assets including capitalised site restoration costs is calculated using the units-of-production method based upon proved and 
probable mineral reserves. The depletion calculation takes into account future development costs for reserves which are in the production phase.  
Maintenance costs relating to items of property, plant and equipment are expensed as incurred. Major renewals and improvements are capitalised, 
and the replaced assets are derecognised.  
The Group has the title to certain non-production and social assets, primarily buildings and facilities of social infrastructure, which are carried at their 
recoverable amount of zero. The costs to maintain such assets are expensed as incurred.  
 
 
Mineral Reserves  
The Group estimates its mineral reserves in accordance with the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore 
Reserves (“JORC Code”). Estimation of reserves in accordance with the JORC Code involves some degree of uncertainty. The uncertainty depends 
mainly on the amount of reliable geological and engineering data available at the time of the estimate and the interpretation of this data, which also 
requires use of subjective judgement and development of assumptions.  
The changes in the pricing environment and geology-related risk factors may lead to a revision of mining plans, decisions to abandon or to mothball 
certain parts of a mine, to a reassessment of the capital expenditures required for the extraction of the proved and probable reserves, as well as to 
the changes in the resources classified as proved and probable reserves. These changes may have an impact on the depletion charge and impairment, 
which may arise as a result of a decline in the recoverable amounts of the affected mines.  
 
Exploration and Evaluation Expenditures 
Exploration and evaluation expenditures represent costs incurred by the Group in connection with the exploration for and evaluation of mineral 
resources before the technical feasibility and commercial viability of extracting a mineral resource are demonstrable. The expenditures include 
acquisition of rights to explore, topographical, geological, geochemical and geophysical studies, exploratory drilling, trenching, sampling, activities in 
relation to evaluating the technical feasibility and commercial viability of extracting mineral resources. These costs are expensed as incurred. 
When the technical feasibility and commercial viability of extracting a mineral resource are demonstrable, the Group commences recognition of 
expenditures related to the development of mineral resources as assets. These assets are assessed for impairment when facts and circumstances 
suggest that the carrying amount of an asset may exceed its recoverable amount. 
 
Leases 
Group as a Lessee 
The determination of whether an arrangement is, or contains, a lease is done at contract inception and includes the assessment of whether 
the arrangement conveys the right to control the use of an identified asset for a period of time in exchange for consideration.  
The Group recognises right-of-use assets at the commencement date of the lease (i.e., the date the underlying asset is available for use). Right-of-use 
assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any remeasurement of lease liabilities. 
The cost of right-of-use assets includes the amount of lease liabilities recognised, initial direct costs incurred, and lease payments made at or before 
the commencement date less any lease incentives received. Unless the Group is reasonably certain to obtain ownership of the leased asset at the end 
of the lease term or exercise a purchase option, the recognised right-of-use assets are depreciated on a straight-line basis over the shorter of its 
estimated useful life and the lease term. Otherwise, the lessee depreciates the right-of-use asset from the commencement date to the end of 
the useful life of the underlying asset. Right-of-use assets are subject to impairment. The right-of-use assets are included in the Property, plant and 
equipment caption of the statement of financial position (Note 9). 
 
 
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2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Leases (continued) 
Group as a Lessee (continued) 
At the commencement date of the lease, the Group recognises lease liabilities measured at the present value of lease payments to be made over 
the lease term. The lease payments include fixed payments (including in substance fixed payments) less any lease incentives receivable, variable lease 
payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees. The lease payments also include 
the exercise price of a purchase option reasonably certain to be exercised by the Group and payments of penalties for terminating a lease, if the lease 
term reflects the Group exercising the option to terminate. The variable lease payments that do not depend on an index or a rate are recognised as 
expense (unless they are incurred to produce inventories) in the period in which the event or condition that triggers the payment occurs.  
In calculating the present value of lease payments, the Group uses the incremental borrowing rate at the lease commencement date if the interest rate 
implicit in the lease is not readily determinable. The incremental borrowing rate is determined based on the Group’s borrowing rates for similar terms 
and currencies in an economic environment, in which the lessee operates. After the commencement date, the amount of lease liabilities is increased to 
reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease liabilities is remeasured if there is 
a modification, a change in the lease term, a change in the in-substance fixed lease payments or a change in the assessment of plans to purchase the 
underlying asset. 
The lease term is a non-cancellable period for which a lessee has the right to use an underlying asset, together with any periods covered by an option 
to extend the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease if it is reasonably certain not to 
be exercised. 
The lease term of cancellable or renewable leases is dependent of the enforceability of the contract beyond the date on which it can be terminated. 
The contract is enforceable if only one party of the lease contract has the right to terminate the lease without permission from the other party with no 
more than an insignificant penalty. In this case the Group, as a lessee, assesses whether it is reasonably certain to exercise an extension option, or not 
to exercise a termination option.  
Lease payments for contracts with a duration of 12 months or less or leases for which the underlying assets are of low value are not recognised as 
lease liabilities. They are expensed to the statement of operations on a straight-line basis over the lease term and included in cost of revenues, selling, 
general and administrative expenses. 
Information about lease arrangements is disclosed in Note 25. 
 
 
Group as a Lessor 
Finance leases, in which the Group acts as a lessor, when substantially all the risks and benefits incidental to ownership of the leased item are 
transferred to the lessee, are recognised as net investments in finance lease from the commencement of the lease term at the present value of 
the minimum lease payments. Lease payments are apportioned between the finance income and reduction of the lease receivable so as to achieve 
a constant rate of interest on the remaining balance of receivables. Finance income is included in the interest income caption. 
Leases where the lessor retains substantially all the risks and benefits of ownership of the asset are classified as operating leases (Note 9). Operating 
lease income is recognised within the rendering of services caption on a straight-line basis over the lease term. 
 
Goodwill 
Goodwill represents the excess of the aggregate of the consideration transferred for an acquisition of a subsidiary or an associate and the amount 
recognised for non-controlling interest over the net identifiable assets acquired and liabilities assumed. If this consideration is lower than the fair value 
of the net assets of the acquiree, the difference is recognised in the consolidated statement of operations.  
Goodwill on acquisition of a subsidiary is included in intangible assets. Goodwill on acquisition of an associate is included in the carrying amount of the 
investments in associates.  
After initial recognition, goodwill is measured at cost less any accumulated impairment losses. Goodwill is reviewed for impairment annually or more 
frequently, if events or changes in circumstances indicate that the carrying amount may be impaired. For the purpose of impairment testing, goodwill 
acquired in a business combination is allocated to each of the Group’s cash-generating units that are expected to benefit from the combination, 
irrespective of whether other assets or liabilities of the acquiree are assigned to those units.  
Impairment is determined by assessing the recoverable amount of the cash-generating unit, or the group of cash-generating units, to which the goodwill 
relates. Where the recoverable amount of the cash-generating unit is less than the carrying amount, an impairment loss is recognised. An impairment 
loss recognised for goodwill is not reversed in a subsequent period. 
Where goodwill forms part of a cash-generating unit and part of the operation within that unit is disposed of, the goodwill associated with the operation 
disposed of is included in the carrying amount of the operation when determining the gain or loss on disposal of the operation. Goodwill disposed of in 
this circumstance is measured based on the relative fair values of the operation disposed of and the portion of the cash-generating unit retained. 
 
 
 
 
2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Intangible Assets Other Than Goodwill 
Intangible assets acquired separately are measured on initial recognition at cost. The cost of intangible assets acquired in a business combination is 
fair value as at the date of acquisition. Following initial recognition, intangible assets are carried at cost less any accumulated amortisation and any 
accumulated impairment losses. Expenditures on internally generated intangible assets, excluding capitalised development costs, are expensed as 
incurred. 
The useful lives of intangible assets are assessed to be either finite or indefinite. Intangible assets with finite lives are amortised over the useful 
economic life and assessed for impairment whenever there is an indication that the intangible asset may be impaired. The amortisation period and 
the amortisation method for an intangible asset with a finite life are reviewed at least at each year end. Changes in the expected useful life or 
the expected pattern of consumption of future economic benefits embodied in the asset are treated as changes in accounting estimates. Intangible 
assets with indefinite useful lives are not amortised, they are tested for impairment annually either individually or at the cash-generating unit level. 
The table below presents the useful lives of intangible assets. 
 
Useful lives  
(years) 
Weighted average  
remaining useful life (years) 
Customer relationships 
1–15  
2 
Contract terms 
10 
2 
Other 
5–19 
4 
 
Certain water rights and environmental permits are considered to have indefinite lives as management believes that these rights will continue 
indefinitely. The most part of the Group’s intangible assets represents customer relationships arising on business combinations (Note 10). 
 
Financial Assets 
Financial assets are classified, at initial recognition, as subsequently measured at amortised cost, fair value through other comprehensive income, and 
fair value through profit or loss. The classification of financial assets at initial recognition depends on the financial asset’s contractual cash flow 
characteristics and the Group’s business model for managing them, i.e. how the Group manages its financial assets in order to generate cash flows. 
The business model determines whether cash flows will result from collecting contractual cash flows, selling the financial assets, or both. 
With the exception of trade and other receivables that do not contain a significant financing component or for which the Group has applied the practical 
expedient, the Group initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, 
transaction costs. 
The Group measures financial assets at amortised cost if both of the following conditions are met: 
• 
The financial asset is held within a business model with the objective to hold financial assets in order to collect contractual cash flows and 
• 
The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on 
the principal amount outstanding. 
Financial assets at amortised cost are subsequently measured using the effective interest method and are subject to impairment. Gains and losses are 
recognised in profit or loss when the asset is derecognised, modified or impaired. 
 
Trade and Other Accounts Receivable 
Trade and other receivables are recognised at their transaction price as defined in IFRS 15 “Revenue” if they do not contain a significant financing 
component or if the Group expects, at contract inception, that the period between when the Group transfers a promised good or service to a customer 
and when the customer pays for that good or service will be one year or less. 
For trade and other receivables, the Group applies a simplified approach for calculating the expected credit losses. Therefore, the Group does not track 
changes in credit risk, but, instead, it recognises a loss allowance based on the lifetime expected credit losses at each reporting date. The Group 
separately determines the expected credit losses for individually significant balances or collectively for trade and other receivables that are not 
individually significant. 
The expected credit losses for individually significant balances are estimated using debtors’ historical credit loss experience adjusted for forward-
looking factors specific to the debtors and economic environment. 
 
Inventories 
Inventories are recorded at the lower of cost and net realisable value. Cost of inventory is determined on the weighted average basis and includes 
expenditure incurred in acquiring or producing inventories and bringing them to their existing location and condition. The cost of finished goods and 
work in progress includes an appropriate share of production overheads based on normal operating capacity, but excluding borrowing costs. 
Net realisable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and estimated costs necessary 
to make the sale. 
 
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2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Value Added Tax  
The tax authorities permit the settlement of sales and purchases value added tax (“VAT”) on a net basis. 
The Group’s subsidiaries apply the accrual method for VAT recognition, under which VAT becomes payable upon invoicing and delivery of goods or 
rendering services as well upon receipt of prepayments from customers. VAT on purchases, even if not settled at the end of the reporting period, is 
deducted from the amount of VAT payable. 
Where provision has been made for impairment of receivables, an impairment loss is recorded for the gross amount of the debtor, including VAT.  
 
Cash and Cash Equivalents 
Cash and cash equivalents comprise cash at bank and in hand and deposits with an original maturity of three months or less.  
 
Non-current Assets Held for Sale or for Distribution to Owners 
The Group classifies non-current assets and disposal groups as held for sale or for distribution to owners if their carrying amounts will be recovered 
principally through a sale transaction or distribution rather than through continuing use. Non-current assets and disposal groups classified as held for 
sale/distribution to owners are measured at the lower of their carrying amount and fair value less costs to sell/distribute. Costs to sell/distribute are 
the incremental costs directly attributable to the disposal of an asset (disposal group), excluding finance costs and income tax expense. 
The criteria for held for sale/distribution classification is regarded as met only when the sale/distribution is highly probable, and the asset or disposal 
group is available for immediate sale/distribution in its present condition. Actions required to complete the sale/distribution should indicate that it is 
unlikely that significant changes to the sale/distribution plan will be made or that the decision to sell or to distribute to owners will be withdrawn. 
Management must be committed to the plan to sell/to distribute the asset and the sale/distribution is expected to be completed within one year from 
the date of the classification. 
Property, plant and equipment and intangible assets are not depreciated or amortised once classified as held for sale or distribution. Assets and 
liabilities classified as held for sale or distribution are presented separately as current items in the statement of financial position. 
Further details are provided in Notes 2 (Accounting Judgements), 12 and 13. 
 
Discontinued Operations 
A discontinued operation is a component of an entity that has been disposed of, or is classified as held for sale or distribution to owners and represents 
a separate major line of business or geographical area of operations.  
According to IFRS 5 “Non-current Assets Held for Sale and Discontinued Operations” discontinued operations are excluded from the results of 
continuing operations and are presented as a single amount as profit or loss after tax from discontinued operations in the statement of profit or loss. 
Statements of operations for prior periods are re-presented so that all operations that have been classified as discontinued by the end of the current 
reporting period are presented according to IFRS 5 requirements. No adjustments to comparative data are made for the assets and liabilities in 
the statement of financial position and statement of cash flows. 
Intragroup transactions between continuing and discontinued operations are eliminated on consolidation. Only transactions with external parties are 
presented as discontinued operations. Consequently, the prescibed approach does not present real results of both operations, continuing and 
discontinued. The statement of operations for the current period and the re-presented comparatives do not reflect the amounts, which could be 
recognised and presented had the disposal of the discontinued operation already occurred. 
In case of a subsidiary with functional currency other than the US dollar, upon its disposal the deferred cumulative amount of exchange difference 
recognised in equity relating to that particular subsidiary is written down to the statement of operations and recognised within the “Profit/(loss) after 
tax from discontinued operations” caption. 
Discontinued operations are disclosed in Note 13. 
 
Non-cash Distributions to Owners 
Dividends in specie refer to a distribution to owners settled by assets other than cash. For accounting of such transactions the Group applies IFRIC 17 
“Distributions of Non-cash Assets to Owners”, IFRS 13 “Fair Value Measurement” and IFRS 5 “Non-current Assets Held for Sale and Discontinued 
Operations”. 
The liability to pay a dividend is recognised when the dividend is appropriately authorised and is no longer at the discretion of the entity. An entity 
measures a liability to distribute non-cash assets as a dividend to its owners at the fair value of the assets to be distributed.  
If an entity gives its owners a choice of receiving either a non-cash asset or a cash alternative, the entity estimates the dividend payable by calculating 
the fair value of each alternative and the associated probability of owners selecting each alternative.  
At the end of each reporting period and at the date of settlement, the entity reviews and adjusts the carrying amount of the dividend payable, with any 
changes in the carrying amount of the dividend payable recognised in equity as adjustments to the amount of the distribution. 
 
2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Non-cash Distributions to Owners (continued) 
When an entity settles the dividend liability, it recognises the difference, if any, between the carrying amount of the assets distributed and the carrying 
amount of the dividend payable in profit or loss.  
Information about non-cash distributions to owners is disclosed in Note 13. 
 
Equity 
 
Share Capital 
Ordinary shares are classified as equity. External costs directly attributable to the issue of new shares are shown as a deduction in equity from the 
proceeds. Any excess of the fair value of consideration received over the par value of shares issued is recognised as additional paid-in capital. 
 
Treasury Shares 
Own equity instruments which are acquired by the Group (treasury shares) are deducted from equity. No gain or loss is recognised in statement of 
operations on the purchase, sale, issue or cancellation of the treasury shares. Any difference between the carrying amount and the consideration, if 
reissued, is recognised in additional paid-in capital. 
 
Dividends  
Dividends are recognised as a liability and deducted from equity only if they are declared before the end of the reporting period. Dividends are 
disclosed when they are proposed before the end of the reporting period or proposed or declared after the end of the reporting period but before 
the financial statements are authorised for issue.  
 
Borrowings 
Borrowings are initially recognised at fair value, net of directly attributable transaction costs. After initial recognition, borrowings are measured at 
amortised cost using the effective interest rate method; any difference between the amount initially recognised and the redemption amount is 
recognised as interest expense over the period of the borrowings.  
Borrowing costs relating to qualifying assets are capitalised (Note 9).  
 
Provisions 
Provisions are recognised when the Group has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of 
resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. 
Where the Group expects a provision to be reimbursed, for example under an insurance contract, the reimbursement is recognised as a separate asset 
but only when the reimbursement is virtually certain. 
If the effect of the time value of money is material, provisions are determined by discounting the expected future cash flows at a pre-tax rate that 
reflects current market assessments of the time value of money and, where appropriate, the risks specific to the liability. Where discounting is used, 
the increase in the provision due to the passage of time is recognised as an interest expense. 
 
Site Restoration Provisions 
The Group reviews site restoration provisions at each reporting date and adjusts them to reflect the current best estimate in accordance with IFRIC 1 
“Changes in Existing Decommissioning, Restoration and Similar Liabilities”.  
Provisions for site restoration costs are capitalised within property, plant and equipment.  
 
Employee Benefits 
Social and Pension Contributions 
Defined contributions are made by the Group to the Russian state pension, social insurance and medical insurance funds at the statutory rates in force 
based on gross salary payments. The Group has no legal or constructive obligation to pay further contributions in respect of those benefits. Its only 
obligation is to pay contributions as they fall due. These contributions are expensed as incurred. 
 
 
 
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2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Employee Benefits (continued) 
Defined Benefit Plans 
The Group companies provide pensions and other benefits to their employees (Note 23). The entitlement to these benefits is usually conditional on 
the completion of a minimum service period. Certain benefit plans require the employee to remain in service up to retirement age. Other employee 
benefits consist of various compensations and non-monetary benefits. The amounts of benefits are stipulated in the collective bargaining agreements 
and/or in the plan documents.  
The Group involves independent qualified actuaries in the measurement of employee benefit obligations.  
The cost of providing benefits under the defined benefit plan is determined using the projected unit credit method. Re-measurements, comprising of 
actuarial gains and losses on post-employment benefit obligations, the effect of the asset ceiling, and the return on plan assets (excluding amounts 
included in interest income), are recognised immediately in the statement of financial position with a corresponding debit or credit to retained earnings 
through other comprehensive income in the period in which they occur. Re-measurements are not reclassified to profit or loss in subsequent periods. 
Past service costs are recognised in profit or loss on the earlier of the date of the plan amendment or curtailment, and the date that the Group 
recognises restructuring-related costs. 
Net interest is calculated by applying the discount rate to the net defined benefit liability or asset. It is recorded within interest expense in 
the consolidated statement of operations. 
The Group recognises current service costs, past-service costs, gains and losses on curtailments and non-routine settlements in the consolidated 
statement of operations within “cost of sales”, “general and administrative expenses” and “selling and distribution expenses”. 
 
Other Costs 
The Group incurs employee costs related to the provision of benefits such as health services, kindergartens and other services. These amounts 
principally represent an implicit cost of employment and, accordingly, have been charged to cost of sales.  
 
Share-based Payments  
The Group has Incentive Plans (Note 21), under which certain senior executives and employees of the Group receive remuneration in the form of share-
based payment transactions, whereby they render services as consideration for equity instruments (“equity-settled transactions”).  
The cost of equity-settled transactions with grantees is measured by reference to the fair value of the Company’s shares at the date on which they are 
granted. The fair value is determined using the Black-Scholes-Merton model. In valuing equity-settled transactions, no account is taken of any 
conditions, other than market conditions. 
The cost of equity-settled transactions is recognised, together with a corresponding increase in equity (additional paid-in capital), over the period in 
which service conditions are fulfilled, ending on the date on which the relevant persons become fully entitled to the award (“the vesting date”). 
The cumulative expense recognised for equity-settled transactions at each reporting date until the vesting date reflects the extent to which the vesting 
period has expired and the Group's best estimate of the number of equity instruments that will ultimately vest. The charge or credit in the statement of 
operations for a period represents the movement in cumulative expense recognised as at the beginning and end of that period. 
No expense is recognised for awards if EBITDA-related conditions are not satisfied or participants lose the entitlement for the shares due to 
the termination of their employment. Accumulated share-based expense is adjusted to reflect the number of share options that eventually vest. 
For market-related performance conditions, such as total shareholder return (“TSR”), if the conditions are not met and the share options do not vest, 
then no reversal is made for the share-based expense previously recognised.  
The TSR-related vesting condition of Incentive Plans adopted in 2017-2021 was considered by the Group as a market condition. As such, it was 
included in the estimation of the fair value of the granted shares and will not be subsequently revised. Vesting condition related to EBITDA was not 
taken into account when estimating the fair value of the share options at the grant date. Instead, this will be taken into account by adjusting the share-
based expense based on the number of share options that eventually vest. 
Where the terms of an equity-settled award are modified, as a minimum an expense is recognised as if the terms had not been modified. In addition, 
an expense is recognised for any modification which increases the total fair value of the share-based payment arrangement, or is otherwise beneficial 
to the employee as measured at the date of modification. 
Where an equity-settled award is cancelled, it is treated as if it had vested on the date of cancellation, and any expense not yet recognised for 
the award is recognised immediately.  
The dilutive effect of outstanding share-based awards is reflected as additional share dilution in the computation of earnings per share (Note 20). 
 
 
 
 
2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Revenue 
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. 
The following specific recognition criteria must also be met before revenue is recognised: 
 
Sale of Goods 
The Group recognises revenues from sales of goods at the point in time when control of the asset is transferred to the customer and it is probable that 
the amount of consideration is collectible. The moment of transfer of control is determined by the contract terms and usually occurs at the date of 
shipment.  
Some contracts with customers provide a right of return, trade discounts or volume rebates. The Group recognises revenue from the sale of goods 
measured at the fair value of the consideration received or receivable, net of the estimated returns and price concessions, trade discounts and volume 
rebates. The variable consideration is recognised to the extent that it is highly probable that a significant reversal in the amount of cumulative revenue 
recognised will not occur when the uncertainty associated with the variable consideration is subsequently resolved.  
The Group enters into contracts with its customers, under which the Group provides transportation and handling services using third party providers 
(i.e. the Group selects suitable firms and manages the shipment and delivery). These services are provided to the customers before, or after, they 
obtain control over the goods. The cost of services is included in the contract price. Under IFRS 15, transportation and handling services rendered by 
the Group before control over the goods is transferred to the customers do not represent a separate performance obligation. Therefore, the Group 
recognises these services at the moment when control over the goods is passed to the customers. With respect to the contracts when the Group 
provides transportation and handling services after obtaining control over the goods by the customers, the Group concluded that these services 
represent a separate performance obligation and the Group acts as a principal rather than an agent. Consequently, the control over its services is 
transferred over time. Transportation and handling services rendered by the Group in contracts, in which it acts as a principal, are presented within 
the caption ”Sales of goods” in the consolidated statement of operations. 
 
Rendering of Services 
The Group’s revenues from rendering of services include electricity, transportation and other services. The pattern of revenue recognition reflects the 
transfer of services to customers and may occur at a point in time or over time. 
 
Advances from Customers 
The Group receives only short-term advances from its customers. The Group uses the practical expedient provided in IFRS 15, which allows not to 
adjust the promised amount of consideration for the effects of a significant financing component in the contracts where the Group expects, at contract 
inception, that the period between the Group’s transfer of a promised good or service to a customer and when the customer pays for that good or 
service will be one year or less. Therefore, for short-term advances, the Group does not account for a financing component even if it is significant. 
 
Interest 
Interest is recognised using the effective interest method. 
 
Dividends 
Dividend income is recognised when the shareholders’ right to receive the payment is established. 
 
Rental Income 
Rental income is accounted for on a straight-line basis over the lease term on ongoing leases. 
 
Government Grants 
Government grants are recognised at their fair value, when there is reasonable assurance that the grant will be received and all attaching conditions 
will be complied with. 
Grants related to non-monetary assets are presented in the statement of financial position by deducting the grant in arriving at the carrying amount of 
the asset and are recognised as a deduction from depreciation expense over the life of the asset. Government grants related to costs are deducted 
from the relevant expenses to be compensated in the same period. 
 
Current Income Tax  
Current income tax assets and liabilities for the current and prior periods are measured at the amount expected to be recovered from or paid to the tax 
authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted by the end of the reporting 
period.  
Current income tax relating to items recognised outside profit or loss is recognised in other comprehensive income or equity and not in the statement 
of operations. 
 
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2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Deferred Income Tax 
Deferred tax assets and liabilities are calculated in respect of temporary differences using the liability method. Deferred income taxes are provided for 
all temporary differences arising between the tax basis of assets and liabilities and their carrying values for financial reporting purposes, except where 
the deferred income tax arises from the initial recognition of goodwill or of an asset or liability in a transaction that is not a business combination and, 
at the time of the transaction, affects neither the accounting profit nor taxable profit or loss. 
A deferred tax asset is recorded only to the extent that it is probable that taxable profit will be available against which the deductible temporary 
differences can be utilised. Deferred tax assets are reviewed at each reporting date and reduced to the extent that it is no longer probable that 
sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilised. Various factors are considered to assess 
the probability of the future utilisation of deferred tax assets, including past operating results, operational plans, expiration of tax losses carried 
forward, tax legislation and tax planning strategies. 
Deferred tax assets and liabilities are measured at tax rates that are expected to apply to the period when the asset is realised or the liability is settled, 
based on tax rates that have been enacted or substantively enacted at the end of the reporting period. 
Deferred income tax is provided on temporary differences arising on investments in subsidiaries, associates and joint ventures, except where the 
timing of the reversal of the temporary difference can be controlled and it is probable that the temporary difference will not reverse in the foreseeable 
future. 
 
3. SEGMENT INFORMATION 
For management purposes the Group has four reportable operating segments: 
• 
Steel segment includes production of steel and related products at all mills except for those located in North America. Extraction of vanadium ore 
and production of vanadium products, iron ore mining and enrichment and certain energy-generating companies are also included in this segment 
as they are closely related to the main process of steel production.  
 
• 
Steel, North America is a segment, which includes production of steel and related products in the USA and Canada. 
 
• 
Coal segment includes coal mining and enrichment.  
 
• 
Other operations include energy-generating companies, shipping and railway transportation companies. 
Management and investment companies are not allocated to any of the segments. Operating segments have been aggregated into reportable 
segments if they show a similar long-term economic performance, have comparable production processes, customer industries and distribution 
channels, operate in the same regulatory environment, and are generally managed and monitored together.  
Transfer prices between operating segments are on an arm’s length basis in a manner similar to transactions with third parties. 
The Group’s chief operating decision maker (the Board of directors of EVRAZ plc) monitors the results of the operating segments separately for 
the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on EBITDA. 
This performance indicator is calculated based on management accounts and differs from the IFRS consolidated financial statements for the following 
reasons: 
1) for the last month of the reporting period management accounts are prepared using a forecast for that month; 
2) before 2021 certain unallocated costs were treated as segment expenses in management accounts. 
Before 2020 there were additional differences between the IFRS indicators and the figures of management accounts, such as non-consolidation of 
certain subsidiaries in management accounts, use of the adjusted local GAAP figures and simplified methods of translation into presentation currency.  
 
Segment revenue is revenue reported in the Group's statement of operations that is directly attributable to a segment and the relevant portion of 
the Group’s revenue that can be allocated to it on a reasonable basis, whether from sales to external customers or from transactions with other 
segments. 
Segment expense is expense resulting from the operating activities of a segment that is directly attributable to the segment and the relevant portion of 
an expense that can be allocated to it on a reasonable basis, including expenses relating to external counterparties and expenses relating to 
transactions with other segments. Segment expense does not include social and social infrastructure maintenance expenses.  
Segment result is segment revenue less segment expense that is equal to earnings before interest, tax, depreciation and amortisation (“EBITDA”) for 
that segment. 
Segment EBITDA is determined as a segment’s profit/(loss) from operations adjusted for social and social infrastructure maintenance expenses, 
impairment of assets, profit/(loss) on disposal of property, plant and equipment and intangible assets, foreign exchange gains/(losses) and 
depreciation, depletion and amortisation expense. Management believes that this measure is useful and relevant for the users and gives a better 
comparison with the Russian steel peers. 
Segment information is presented together with the discontinued operations as this is a way how this information was reviewed by management. 
 
3. SEGMENT INFORMATION (CONTINUED) 
The following tables present measures of segment profit or loss based on management accounts. 
 
Year ended 31 December 2021 
US$ million 
Steel 
Steel, 
North America 
Coal 
Other  
operations 
Eliminations 
Total 
Revenue 
 
 
 
Sales to external customers 
$ 10,127 
$ 2,324 
$ 1,555 
$ 153 
$ – 
$ 14,159 
Inter-segment sales 
61 
– 
766 
382 
(1,209) 
– 
Total revenue 
10,188 
2,324 
2,321 
535 
(1,209) 
14,159 
Relating to: 
 
 
 
 
 
 
Continuing operations 
10,188 
2,324 
882 
535 
(443) 
13,486 
Discontinued operations (Note 13) 
– 
– 
1,439 
– 
(766) 
673 
 
 
 
 
 
 
Segment result – EBITDA 
$ 3,593 
$ 322 
$ 1,288 
$ 16 
$ (80) 
$ 5,139 
 
 
Year ended 31 December 2020 
US$ million 
Steel 
Steel, 
North America 
Coal 
Other  
operations 
Eliminations 
Total 
Revenue 
 
 
 
Sales to external customers 
$6,902  
$ 1,779 
$952 
$ 121 
$ – 
$ 9,754 
Inter-segment sales 
67 
– 
538 
289 
(894) 
– 
Total revenue 
6,969 
1,779 
1,490 
410 
(894) 
9,754 
Relating to: 
 
 
 
 
 
 
Continuing operations 
6,969 
1,779 
650 
410 
(356) 
9,452 
Discontinued operations (Note 13) 
– 
– 
840 
– 
(538) 
302 
 
 
 
 
 
 
Segment result – EBITDA 
$ 1,888 
$ (22) 
$ 396 
$ 17 
$ 20  
$ 2,299 
 
 
 
Year ended 31 December 2019 
US$ million 
Steel 
Steel, 
North America 
Coal 
Other  
operations 
Eliminations 
Total 
Revenue 
 
 
 
 
Sales to external customers 
$ 7,903 
$ 2,517 
$ 1,273  
$ 186 
$ – 
$ 11,879 
Inter-segment sales 
175 
– 
735 
303 
(1,213) 
– 
Total revenue 
8,078 
2,517 
2,008 
489 
(1,213) 
11,879 
Relating to: 
 
 
 
 
 
 
Continuing operations 
8,078 
2,517 
814 
489 
(478) 
11,420 
Discontinued operations (Note 13) 
– 
– 
1,194 
– 
(735) 
459 
 
 
 
 
 
 
Segment result – EBITDA 
$ 1,668 
$ 38 
$ 883  
$ 19 
$ 32 
$ 2,640 
 
Starting 2020 the Group’s chief operating decision maker reviews the revenue based on IFRS accounts. The comparative information for prior periods 
for revenue based on management accounts has not been restated since it contains necessary reconciliation to IFRS accounts. 
 
 
 
 
 
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3. SEGMENT INFORMATION (CONTINUED) 
The following table shows a reconciliation of revenue and EBITDA used by the Group’s chief operating decision maker for decision making and revenue 
and profit or loss before tax per the consolidated financial statements prepared under IFRS. 
 
Year ended 31 December 2021 
 
 
 
 
 
 
US$ million  
Steel  
Steel,  
North America 
Coal  
Other  
operations 
Eliminations 
Total 
Revenue per IFRS financial statements 
$ 10,188 
$ 2,324  
$ 2,321 
$ 535 
$(1,209) 
$ 14,159 
 
 
 
 
 
 
EBITDA 
$ 3,593 
$ 322 
$ 1,288  
$ 16 
$ (80) 
$ 5,139 
Reclassifications and other adjustments  
16 
(1) 
4 
3 
– 
22 
EBITDA based on IFRS financial statements 
$ 3,609 
$ 321 
$ 1,292 
$ 19 
$ (80) 
$ 5,161 
Unallocated subsidiaries 
 
 
 
 
 
(146) 
 
 
 
 
 
$ 5,015 
 
 
 
 
 
 
Social and social infrastructure maintenance 
expenses 
(27) 
– 
(5) 
– 
– 
(32) 
Depreciation, depletion and amortisation expense 
(275) 
(121) 
(159) 
(4) 
– 
(559) 
Impairment of assets 
(13) 
(9) 
(8) 
– 
– 
(30) 
Gain on disposal of property, plant and equipment 
and intangible assets 
– 
(7) 
(1) 
– 
– 
(8) 
Foreign exchange gains/(losses), net 
(36) 
6 
25 
– 
– 
(5) 
$ 3,258 
$ 190 
$ 1,144 
$ 15 
$ (80) 
$ 4,381 
Unallocated income/(expenses), net 
 
 
 
 
 
32 
Profit from operations 
 
 
 
 
 
$ 4,413 
 
 
 
 
 
 
Interest income/(expense), net 
 
 
 
 
 
(227) 
Share of profits/(losses) of joint ventures and 
associates 
 
 
 
 
 
14 
Gain/(loss) on financial assets and liabilities 
 
 
 
 
 
(21) 
Gain/(loss) on disposal groups classified as held for 
sale 
 
 
 
 
 
2 
Other non-operating gains/(losses), net 
 
 
 
 
 
3 
Profit before tax 
 
 
 
 
 
$ 4,184 
 
3. SEGMENT INFORMATION (CONTINUED) 
 
Year ended 31 December 2020 
 
 
 
US$ million  
Steel  
Steel,  
North America 
Coal  
Other  
operations 
Eliminations 
Total 
Revenue per IFRS financial statements 
$ 6,969 
$ 1,779 
$ 1,490 
$ 410 
$(894) 
$ 9,754 
 
 
 
 
 
 
EBITDA 
$ 1,888 
$ (22) 
$ 396 
$ 17 
$ 20 
$ 2,299 
Unrealised profits adjustment 
(48) 
(4) 
– 
– 
1 
(51) 
Reclassifications and other adjustments  
90 
(2) 
4 
(2) 
– 
90 
42 
(6) 
4 
(2) 
1 
39 
EBITDA based on IFRS financial statements 
$ 1,930 
$ (28) 
$ 400 
$ 15 
$ 21 
$ 2,338 
Unallocated subsidiaries 
 
 
 
 
 
(126) 
 
 
 
 
 
$ 2,212 
 
 
 
 
 
 
Social and social infrastructure maintenance 
expenses 
(24) 
– 
(2) 
– 
– 
(26) 
Depreciation, depletion and amortisation expense 
(261) 
(147) 
(189) 
(3) 
– 
(600) 
Impairment of assets 
(5) 
(308) 
3 
– 
– 
(310) 
Gain on disposal of property, plant and equipment 
and intangible assets 
– 
(3) 
– 
– 
– 
(3) 
Foreign exchange gains/(losses), net 
(55) 
2 
122 
– 
– 
69 
$ 1,585 
$ (484) 
$ 334 
$ 12 
$ 21 
$ 1,342 
Unallocated income/(expenses), net 
 
 
 
 
 
329 
Profit from operations 
 
 
 
 
 
$ 1,671 
 
 
 
 
 
 
Interest income/(expense), net 
 
 
 
 
 
(322) 
Share of profits/(losses) of joint ventures and 
associates 
 
 
 
 
 
2 
Gain/(loss) on financial assets and liabilities 
 
 
 
 
 
(71) 
Gain/(loss) on disposal groups classified as held for 
sale 
 
 
 
 
 
1 
Other non-operating gains/(losses), net 
 
 
 
 
 
14 
Profit before tax 
 
 
 
 
 
$ 1,295 
205
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3. SEGMENT INFORMATION (CONTINUED) 
 
Year ended 31 December 2019 
 
The Group’s EBITDA was allocated to continuing and discontinued operations as follows: 
US$ million 
2021 
2020 
2019 
 
 
 
 
Continuing operations 
 
$ 3,692 
 
$ 1,830 
 
$ 1,731 
Discontinued operations (Note 13) 
1,323 
382 
870 
 
 
$ 5,015 
 
$ 2,212 
 
$ 2,601 
 
 
US$ million  
Steel  
Steel,  
North America 
Coal  
Other  
operations 
Eliminations 
Total 
Revenue 
$ 8,078 
$ 2,517 
$ 2,008 
$ 489 
$(1,213) 
$ 11,879 
Reclassifications and other adjustments 
65 
(17) 
13 
(6) 
(29) 
26 
Revenue per IFRS financial statements 
$ 8,143 
$ 2,500 
$ 2,021 
$483  
$(1,242) 
$ 11,905 
 
 
 
 
 
 
EBITDA 
$ 1,668 
$ 38 
$ 883 
$ 19 
$ 32 
$ 2,640 
Unrealised profits adjustment 
81 
– 
41 
– 
17 
139 
Reclassifications and other adjustments  
46 
– 
(81) 
(1) 
(1) 
(37) 
127 
– 
(40) 
(1) 
16 
102 
EBITDA based on IFRS financial statements 
$ 1,795  
$ 38  
$ 843 
$ 18 
$ 48 
$ 2,742 
Unallocated subsidiaries 
 
 
 
 
 
(141) 
 
 
 
 
 
$ 2,601 
 
 
 
 
 
 
Social and social infrastructure maintenance 
expenses 
(17) 
– 
(3) 
– 
– 
(20) 
Depreciation, depletion and amortisation expense 
(254) 
(147) 
(168) 
(4) 
– 
(573) 
Impairment of assets 
(26) 
(309) 
(107) 
– 
– 
(442) 
Gain on disposal of property, plant and equipment 
and intangible assets 
1 
4 
(3) 
– 
– 
2 
Foreign exchange gains/(losses), net 
(10) 
46 
(30) 
10 
– 
16 
$ 1,489 
$ (368) 
$ 532 
$ 24 
$ 48 
$ 1,584 
Unallocated income/(expenses), net 
 
 
 
 
 
(367) 
Profit from operations 
 
 
 
 
 
$ 1,217 
 
 
 
 
 
 
Interest income/(expense), net 
 
 
 
 
 
(328) 
Share of profits/(losses) of joint ventures and 
associates 
 
 
 
 
 
9 
Impairment of non-current financial assets 
 
 
 
 
 
(56) 
Gain/(loss) on financial assets and liabilities 
 
 
 
 
 
17 
Gain/(loss) on disposal groups classified as held for 
sale 
 
 
 
 
 
29 
Other non-operating gains/(losses), net 
 
 
 
 
 
14 
Profit before tax 
 
 
 
 
 
$ 902 
 
3. SEGMENT INFORMATION (CONTINUED) 
 
The revenues from contracts with external customers for each group of similar products and services and rental income are presented in the following 
table: 
US$ million 
2021 
2020 
2019 
Steel 
  
 
Construction products 
 
$ 3,177 
 
$ 2,013 
 
$ 2,166 
Flat-rolled products 
237 
146 
386 
Railway products 
1,083 
1,099 
1,181 
Semi-finished products 
3,779 
2,479 
2,528 
Other steel products 
566 
342 
377 
Other products 
449 
257 
365 
Iron ore 
234 
146 
190 
Vanadium in slag 
103 
64 
109 
Vanadium in alloys and chemicals 
412 
285 
539 
Rendering of services 
87 
71 
103 
 
10,127 
6,902 
7,944 
Steel, North America 
 
 
 
Construction products 
268 
183 
200 
Flat-rolled products 
900 
323 
518 
Railway products 
392 
326 
405 
Tubular products 
637 
743 
1,128 
Other products 
105 
170 
211 
Rendering of services 
22 
34 
38 
 
2,324 
1,779 
2,500 
Coal  
 
 
 
Coal 
882 
646 
814 
Rendering of services 
– 
4 
12 
 
882 
650 
826 
Other operations 
 
 
 
Rendering of services 
153 
121 
174 
 
153 
121 
174 
Continuing operations 
13,486 
9,452 
11,444 
 
 
 
 
Coal 
 
 
 
Coal 
649 
283 
437 
Other products 
20 
9 
15 
Rendering of services 
4 
10 
9 
Discontinued operations 
673 
302 
461 
 
 
 
$ 14,159 
 
$ 9,754 
 
$ 11,905 
 
Revenue from rendering of services included rental income, which was mainly attributable to the subsidiaries of the steel segment. 
US$ million 
2021 
2020 
2019 
 
 
 
 
Revenues from contracts with customers 
 
$ 13,460 
 
$ 9,427 
 
$ 11,412 
Rental income 
26 
25 
32 
Continuing operations 
 
$ 13,486 
 
$ 9,452 
 
$ 11,444 
 
 
 
 
207
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3. SEGMENT INFORMATION (CONTINUED) 
Distribution of the Group’s revenues by geographical area based on the location of customers for the years ended 31 December was as follows: 
US$ million 
2021 
2020 
2019 
 
 
 
 
 
 
 
 
Continuing and 
discontinued 
operations 
Continuing 
operations 
Continuing and 
discontinued 
operations 
Continuing 
operations 
Continuing and 
discontinued 
operations 
Continuing 
operations 
CIS 
 
 
 
Russia  
$ 5,521 
$ 5,089 
$ 3,722 
$ 3,514 
$ 4,373 
$ 4,056 
Kazakhstan 
489 
485 
279 
253 
297 
270 
Ukraine 
250 
71 
80 
40 
291 
179 
Kyrgyzstan 
63 
63 
46 
46 
49 
49 
Belarus 
47 
47 
58 
58 
71 
71 
Uzbekistan 
43 
43 
63 
63 
81 
81 
Others 
42 
42 
58 
58 
76 
76 
 
6,455 
5,840 
4,306 
4,032 
5,238 
4,782 
America 
 
 
 
 
 
 
USA 
1,441 
1,441 
1,060 
1,060 
1,701 
1,701 
Canada 
953 
953 
735 
735 
847 
847 
Mexico 
550 
550 
61 
60 
119 
119 
Others 
72 
72 
59 
55 
42 
42 
 
3,016 
3,016 
1,915 
1,910 
2,709 
2,709 
Asia 
 
 
 
 
 
 
Taiwan 
1,084 
1,084 
525 
525 
680 
680 
China 
712 
711 
1,052 
1,051 
478 
476 
Republic of Korea 
435 
379 
255 
255 
282 
282 
Indonesia 
365 
365 
271 
271 
244 
244 
Philippines 
358 
358 
338 
338 
387 
387 
Japan 
239 
239 
106 
106 
243 
243 
Vietnam 
170 
170 
64 
64 
57 
57 
Thailand 
129 
129 
69 
69 
247 
247 
Mongolia 
81 
81 
77 
77 
61 
61 
United Arab Emirates 
34 
34 
95 
95 
124 
124 
Others 
77 
77 
97 
97 
90 
90 
 
3,684 
3,627 
2,949 
2,948 
2,893 
2,891 
Europe 
 
 
 
 
 
 
European Union 
582 
581 
314 
304 
767 
764 
Turkey 
337 
337 
135 
135 
166 
166 
Others 
27 
27 
12 
12 
23 
23 
 
946 
945 
461 
451 
956 
953 
Africa 
 
 
 
 
 
 
Kenya 
46 
46 
87 
87 
63 
63 
Egypt 
12 
12 
5 
5 
27 
27 
Others 
– 
– 
30 
18 
17 
17 
 
58 
58 
122 
110 
107 
107 
Other countries 
– 
– 
1 
1 
2 
2 
 
$ 14,159 
$ 13,486 
$ 9,754 
$ 9,452 
$ 11,905  
$ 11,444 
 
None of the Group’s customers amounts to 10% or more of the consolidated revenues. 
 
 
 
3. SEGMENT INFORMATION (CONTINUED) 
Non-current assets other than financial instruments, deferred tax assets and post-employment benefit assets were located in the following countries at 
31 December: 
US$ million 
2021 
2020 
2019 
 
 
 
 
Russia 
 
$ 2,241 
 
$ 3,500 
 
$ 3,967 
Canada 
638 
643 
981 
USA  
966 
818 
827 
Kazakhstan 
30 
32 
38 
Czech Republic 
36 
37 
35 
Other countries 
3 
3 
3 
 
 
$ 3,914 
 
$ 5,033 
 
$ 5,851 
 
In 2021, non-current assets other than financial instruments, deferred tax assets and post-employment benefit assets do not include the assets of 
the discontinued operations ($1,442 million). 
 
4. CHANGES IN THE COMPOSITION OF THE GROUP  
Purchase of Non-controlling Interests 
 
Raspadskaya 
In 2021, the Group acquired an additional 2.51% ownership interest in Raspadskaya for cash consideration of $38 million. The excess of consideration 
over the carrying values of non-controlling interests acquired amounting to $19 million was charged to the consolidated accumulated profits. More 
details are provided in Note 4 (Put Option for the Shares of Raspadskaya). 
In 2020, the Group acquired an additional 2.73% ownership interest in Raspadskaya, a subsidiary of the Group, for cash consideration of $27 million. 
The excess of the carrying values of non-controlling interests acquired over consideration amounting to $7 million was credited to additional paid-in 
capital.  
In 2019, the Group acquired an additional 1.8% ownership interest in Raspadskaya for cash consideration of $25 million. The excess of consideration 
over the carrying values of non-controlling interests acquired amounting to $3 million was charged to accumulated profits.  
In addition, in June 2019 Raspadskaya purchased its own shares in course of the tender offer for cash consideration of $46 million. The Group 
derecognised 2.53% of non-controlling interests and charged to accumulated profits $7 million representing the excess of consideration over 
the carrying values of non-controlling interests acquired.  
In the course of the closed subscription in September 2019 Raspadskaya issued 80,285 new shares, and Evraz Group S.A. acquired 80,284 shares, 
thus increasing the Group’s stake in the subsidiary by 0.0014%. 
 
Mezhegeyugol 
On 14 March 2017, the Group signed an option agreement with a non-controlling shareholder in respect of shares of Mezhegeyugol, a coal mining 
subsidiary of the Group. Under the agreement, the non-controlling shareholder had the right to sell to the Group (the put option) all its shares in 
Mezhegeyugol (39.9841%) for $39 million and to settle the loan payable to the Group for $25 million. As a result, the Group would hold 100% 
ownership interest in the subsidiary. The option could be exercised from 1 December 2019 to 1 December 2020.  
In 2017, the Group determined that the terms of the option agreement give the Group the rights to the beneficial interests in Mezhegeyugol and 
derecognised the non-controlling interests in full and recognised a liability under the put option in the amount of $60 million. From March 2017 and 
until the put option exercise the Group accrued $9 million interest on this liability ($1 million and $3 million in 2020 and 2019, respectively). 
In June 2020, the non-controlling shareholder sold its interest to the Group. The consideration for the purchased non-controlling interest comprised of 
a non-cash settlement of a  loan owed to the Group with a carrying value of $30 million, which approximated the fair value, and $39 million of cash 
consideration, which was fully paid in 2020. 
 
Change in Non-controlling Interests due to Reorganisation 
In 2020, EVRAZ plc decided to reorganise its business structure combining all coal operations in one group consolidated under Raspadskaya. 
On 30 December 2020, Nizhny Tagil Metallurgical Plant, a wholly-owned subsidiary of the Group, sold its 100% ownership interest in Yuzhkuzbassugol 
(which is in turn the parent entity of Mezhegeyugol) to Raspadskaya for cash consideration of RUB 67,741 million ($920 million at the date of 
the transaction). As a result, the Group’s interest in Yuzhkuzbassugol was diluted from 100% to 90.90%. The carrying value of non-controlling interests 
decreased by $45 million, being the share of non-controlling shareholders in the excess of cost of acquisition of Yuzhkuzbassugol over its consolidated 
net assets, with a corresponding increase in the Group’s accumulated profits through the consolidated statement of changes in equity. 
 
 
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4. CHANGES IN THE COMPOSITION OF THE GROUP (CONTINUED) 
Put Option for the Shares of Raspadskaya 
In the course of the Group’s business and ownership structure reorganisation, as described above in Change in Non-controlling Interests due to 
Reorganisation, Raspadskaya followed the Russian legislation, which, in particular, required the approval of the potential acquisition of 
Yuzhkuzbassugol by the majority of the voted non-controlling shareholders of Raspadskaya. The non-controlling shareholders who voted against or did 
not vote have the right to sell their stakes to Raspadskaya at a price being the fair value determined by an independent appraiser (RUB 164 per share). 
At the same time the liability for the share repurchase is limited to 10% of net assets of JSC Raspadskaya, thus, the number of shares to be 
repurchased is proportionately reduced if all potential shareholders cannot be satisfied. 
Consequently, the Group derecognised the non-controlling interests relating to the shareholders, which have a put option over their holding (4.25% of 
the total shares of Raspadskaya), with the carrying value of $30 million, and recognised a $65 million liability to these shareholders at fair value. 
The difference between the amount of the recognised liability and the carrying value of the derecognised non-controlling interests was charged to 
accumulated profits.  
On 1 February 2021, Raspadskaya completed the collection of the share repurchase requests from eligible non-controlling shareholders. The actual 
number of shares to be repurchased amounted to 2.51% of Raspadskaya’s share capital, which is equal to a $38 million liability. On expiry of the put 
option in February 2021 the related amounts recognised in 2020 were reversed and the purchase of non-controlling interests ($19 million) was 
recorded. The excess of consideration over the carrying values of non-controlling interests acquired amounting to $19 million was charged to 
the consolidated accumulated profits. 
 
Sale of Subsidiaries 
In 2019, the Group sold EVRAZ Stratcor Inc, EVRAZ Palini e Bertoli, and Evraztrans-Ukraine. Further details of these transactions are disclosed in 
Note 12. 
 
5. GOODWILL 
Goodwill relates to the assembled workforce and synergy from integration of the acquired subsidiaries into the Group. The table below presents 
movements in the carrying amount of goodwill. 
US$ million 
Gross 
amount 
Impairment 
losses 
Carrying  
amount 
At 31 December 2018 
$ 2,221 
$ (1,357) 
$ 864 
Sale of subsidiaries (Note 12) 
(63) 
63 
– 
Impairment of Large diameter pipes 
– 
(300) 
(300) 
Translation difference 
34 
(4) 
30 
At 31 December 2019 
$ 2,192 
$ (1,598) 
$ 594 
Impairment 
 
 
 
   Large diameter pipes 
– 
(65) 
(65) 
   Oil Country Tubular Goods 
– 
(67) 
(67) 
Translation difference 
7 
(12) 
(5) 
At 31 December 2020 
$ 2,199 
$ (1,742) 
$ 457 
Translation difference 
5 
(5) 
– 
At 31 December 2021 
$ 2,204 
$ (1,747) 
$ 457 
 
The carrying amount of goodwill was allocated among cash-generating units as follows at 31 December: 
 
US$ million 
2021 
2020 
2019 
EVRAZ Inc. NA/EVRAZ Inc. NA Canada 
$ 393 
$ 392 
$ 525 
  
Large diameter pipes 
– 
– 
68 
 
Oil Country Tubular Goods 
77 
76 
141 
 
Long products 
316 
316 
316 
EVRAZ Vanady-Tula 
27 
27 
32 
EVRAZ Nikom, a.s. 
34 
35 
33 
Others 
3 
3 
4 
 
$ 457 
$ 457 
$ 594 
 
6. IMPAIRMENT OF NON-FINANCIAL ASSETS 
 
A summary of impairment losses recognition and reversals relating to non-financial assets is presented below. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Impairment losses were recognised both for individual assets and for cash-generating units. 
 
Obsolescence or adverse changes in 
the extent or manner in which an asset is being used 
Impairment of cash-generating units 
US$ million 
2021 
2020 
2019 
2021 
2020 
2019 
Continuing operations 
$ (9)  
$ (7) 
$ (21) 
$ (13) 
$ (306) 
$ (314) 
Discontinued operations 
(8) 
3 
(107) 
– 
– 
– 
 
$ (17) 
$ (4) 
$ (128) 
$ (13) 
$ (306)  
$ (314) 
 
In 2019-2021, the Group made a write-off of certain functionally obsolete items of property, plant and equipment. In 2019, the Group decided to 
postpone reopening of a coal mine MUK-96, a subsidiary of Raspadskaya. In connection with this decision the recoverable amount of mining assets 
relating to this mine ($84 million) was reassessed and fully impaired. 
 
 
Year ended 31 December 2021 
 
 
 
US$ million 
Goodwill and 
intangible assets 
Property, plant and 
equipment 
Total 
EVRAZ Consolidated West-Siberian Metallurgical Plant  
$ – 
$ (13) 
$ (13) 
EVRAZ Inc. NA  
– 
(9) 
(9) 
 
 – 
(22) 
(22) 
Recognised in profit or loss from continuing operations 
– 
(22) 
(22) 
Discontinued operations (Note 13) 
– 
(8) 
(8) 
 
$ – 
$ (30) 
$ (30) 
Year ended 31 December 2020 
 
 
 
US$ million 
Goodwill and 
intangible assets 
Property, plant and 
equipment 
Total 
EVRAZ Inc. NA Canada 
$ (148) 
$ (153) 
$ (301) 
EVRAZ Inc. NA  
– 
(7) 
(7) 
Others, net 
– 
(5) 
(5) 
 
 (148) 
(165) 
(313) 
Recognised in profit or loss from continuing operations 
(148) 
(165) 
(313) 
Discontinued operations (Note 13) 
– 
3 
3 
 
$ (148) 
$ (162) 
$ (310) 
Year ended 31 December 2019 
 
 
 
US$ million 
Goodwill and 
intangible assets 
Property, plant and 
equipment 
Total 
EVRAZ Inc. NA Canada 
$ (300) 
$ (1) 
$ (301) 
EVRAZ Consolidated West-Siberian Metallurgical Plant  
– 
(18) 
(18) 
EVRAZ Nizhny Tagil Metallurgical Plant  
– 
(11) 
(11) 
Others, net 
– 
(5) 
(5) 
 
(300) 
(35) 
(335) 
Recognised in profit or loss from continuing operations 
(300) 
(35) 
(335) 
Discontinued operations (Note 13) 
– 
(107) 
(107) 
 
$ (300) 
$ (142) 
$ (442) 
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6. IMPAIRMENT OF NON-FINANCIAL ASSETS (CONTINUED) 
In addition, the Group recognised impairment losses as a result of impairment testing at the level of cash-generating units.  
In 2020, the Group recognised a $234 million impairment loss with respect to the Large diameter pipes cash-generating unit, which was allocated to 
goodwill ($65 million), intangible assets ($16 million) and property, plant and equipment ($153 million) and a $67 million impairment loss with respect 
to the Oil Country Tubular Goods cash-generating unit, which was allocated to goodwill. The impairment was caused by the reassessment of demand on 
the steel, oil and commodities markets in the USA and Canada.  
In 2019, the Group recognised a $300 million impairment loss with respect to goodwill allocated to the Large diameter pipes cash-generating unit. 
The impairment was caused by the use of a more conservative valuation model due to the increased current market volatility. 
 
Measurement of Recoverable Amount 
For the purpose of the impairment testing the Group assessed the recoverable amount of each cash-generating unit to which goodwill was allocated or 
where indicators of impairment were identified. In 2021, and in the previous years, the impairment testing was performed as of 30 September, 
the conclusions were reassessed at 31 December and no further impairment indicators were identified. 
In 2021, the recoverable amounts for all cash-generating units have been determined based on the calculation of value-in-use. This valuation 
technique uses cash flow projections based on the actual operating results and business plans approved by management and appropriate discount 
rates reflecting the time value of money and risks associated with respective cash-generating units. For the periods not covered by management 
business plans, terminal value is used. The terminal value is calculated based on the cash flow projections by extrapolating the results of the 
respective business plans using a zero real growth rate. Key assumptions are discussed further below. 
In connection with the classification of Raspadskaya Group as a disposal group held for distribution to owners management performed an analysis of 
the related cash-generating units as of 31 December 2021 and concluded that based on market capitalisation of Raspadskaya Group the respective 
recoverable value is above the respective carrying value. 
The impairment test model of EVRAZ ZSMK took into account the impact of the new excise tax on liquid steel and higher taxes on mineral extraction 
imposed by the government of the Russian Federation from 1 January 2022, which was considered as an impairment indicator for EVRAZ ZSMK.  
The impairment test models of Steel North America took into account the impact of Section 232 tariffs imposed on imports to the US and anti-dumping 
duties imposed by the US against Canada on large-diameter pipes (Note 30). The effect of the anti-dumping duties is expected to last until 2024 when 
they will be subject to a five-year (sunset) review by the US Department of Commerce. The Section 232 tariffs are not expected to be cancelled and this 
was considered as an indicator of impairment for Large diameter pipes and Flat-rolled products. The models were based on the assumption that these 
tariffs will be in place in perpetuity. 
The key assumptions used by management in the impairment tests with respect to the cash-generating units to which goodwill is allocated or units 
containing intangible assets with indefinite useful lives are presented in the table below. 
 
 
* Carrying amounts represent the sum of net book values of property, plant and equipment, intangible assets and goodwill recorded in the balance 
sheets at 30 September excluding an impairment recognised in the first half of the reporting year. 
 
 
 
Commodity 
Period of 
forecast prior to 
applying 
terminal value, 
years 
Pre-tax discount 
rate, % 
Average  
price of commodity 
 per tonne in the next 
reporting year 
Recoverable 
amount of CGU at 
30 September, 
US$ million 
Carrying amount 
of CGU before 
impairment at 
30  September*, 
US$ million 
 
 
2021 
2020 
2021 
2020 
2021 
2020 
2021 
2020 
2021 
2020 
Steel North America 
 
 
 
 
 
 
 
 
 
 
 
          Oil Country Tubular Goods 
steel products 
5 
5 
10.36 
10.17 
$1,493 
$1,121 
293 
279 
278 
346 
          Long products 
steel products 
5 
5 
9.41 
10.05 
$924 
$799 
1,114 
865 
689 
553 
EVRAZ Vanady-Tula 
vanadium 
products 
5 
5 
11.44 
12.22 
$18,504 
$17,548 
698 
575 
54 
48 
EVRAZ Nikom, a.s. 
ferrovanadium 
products 
5 
5 
13.20 
13.71 
$26,031 
$18,569 
40 
39 
36 
34 
 
6. IMPAIRMENT OF NON-FINANCIAL ASSETS (CONTINUED) 
In addition, the Group determined that there were indicators of impairment in other cash generating units, which do not contain goodwill or intangible 
assets with indefinite useful lives, and tested them for impairment using the following assumptions. 
 
 
 
The estimations of recoverable amounts are most sensitive to the following assumptions: 
 
Discount Rates  
Discount rates reflect the current market assessment of the risks specific to each cash-generating unit. The discount rates have been determined using 
the Capital Asset Pricing Model and analysis of industry peers. Reasonably possible changes in discount rates could lead to an additional impairment at 
Oil Country Tubular Goods, Flat-rolled products and Nikom. If discount rates were 10% higher, this would lead to an additional impairment of 
$20 million. 
 
Sales and Purchases Prices  
The price assumptions for the products sold and purchased by the Group were estimated based on industry research using analysts’ views published 
by Alfa Bank, Citi, Credit Suisse, CRU, Goldman Sachs, J.P. Morgan, Morgan Stanley and UBS during the period from July to November 2021, as well as 
on an internal analysis. The Group expects that the nominal prices will fluctuate with a compound annual growth rate of (4.2)-2.0% in 2022 – 2025 
and 2% in 2026 and thereafter. Reasonably possible changes in sales and purchases prices could lead to an additional impairment at Nikom, Large 
diameter pipes, Oil Country Tubular Goods, and Flat-rolled products. If the prices assumed for 2022 and 2023 in the impairment test were 10% lower, 
this would lead to an additional impairment of $174 million. 
 
Sales Volumes 
Based on signed contracts and market analysis management expects that the sales volumes of steel products in 2022 will change by (39)%-37% for Oil 
Country Tubular Goods and Large diameter pipes, and by (9)%-10% for other cash-generating units as compared to 2021. Future dynamics will be 
driven by a gradual market recovery and removal of anti-dumping duties allowing the Group to utilise assets’ capacities to a greater extent. Reasonably 
possible changes in sales volumes could lead to an additional impairment at Flat-rolled products. If the sales volumes were 10% lower than those 
assumed for 2022 and 2023 in the impairment test (which could be, for example, a consequence of lower oil prices), this would lead to an additional 
impairment of $6 million. 
 
Costs  
The recoverable amounts of cash-generating units are based on the business plans approved by management. A reasonably possible deviation in 
operating costs from these plans could lead to an additional impairment at Large diameter pipes, Oil Country Tubular Goods, Flat-rolled products, 
EVRAZ ZSMK and Nikom. If the actual costs were 10% higher than those assumed for 2022 and 2023 in the impairment test, this would lead to an 
additional impairment of $443 million. 
 
Decarbonisation 
Decarbonisation, a reduction of carbon dioxide (CO2) emissions resulting from human activity, has become a global commitment and a priority for 
governments, companies and society in recent years. Transitioning to a lower-carbon economy may trigger adverse effects in the technological, market, 
economic or legal environment in which the Group operates. Climate-related risks and opportunities may affect revenues, costs and capital 
expenditure. 
The Group analysed the climate change matters and performed a stress test to assess the impact of a carbon tax. At present the countries have not yet 
developed a clear legislation on a carbon tax. Consequently, the Group did not include this tax in a base scenario of the impairment models. If a carbon 
tax is introduced in Russia and the rates for CO2 emissions approximate those in Europe, this may lead to an additional impairment of $768 million at 
EVRAZ ZSMK.  
 
 
 
Period of forecast  
prior to applying 
terminal value, years 
Pre-tax  
discount rate, % 
Commodity 
Average price  
of commodity per tonne  
in the next reporting year  
EVRAZ ZSMK  
5 
9.64  
steel products 
$ 505 
Steel North America 
 
 
 
 
Large diameter pipes 
5 
10.20 
steel products 
$ 1,553 
Flat-rolled products 
5 
14.38 
steel products 
$ 1,398 
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6. IMPAIRMENT OF NON-FINANCIAL ASSETS (CONTINUED) 
 
The impact of reasonably possible changes in assumptions is summarised in the table below. 
 
Sensitivity Analysis 
For the cash-generating units, which were not impaired in the reporting period and for which the reasonably possible changes could lead to impairment, 
the recoverable amounts would become equal to their carrying amounts if any of the assumptions used to measure the recoverable amounts changed 
by the following percentages: 
 
7. INCOME AND EXPENSES  
Cost of revenues, selling and distribution costs, general and administrative expenses include the following for the years ended 31 December:  
US$ million 
2021 
2020 
2019 
Continuing operations 
 
 
 
Cost of inventories recognised as expense  
$ (4,625) 
$ (3,344) 
$ (4,471) 
Staff costs, including social security taxes 
(1,058) 
(1,073) 
(1,213) 
Depreciation, depletion and amortisation  
(404) 
(416) 
(410) 
Taxes other than on income and duties 
(349) 
(54) 
(58) 
 
 
 
 
Discontinued operations 
 
 
 
Cost of inventories recognised as expense  
(96) 
(151) 
(124) 
Staff costs, including social security taxes 
(274) 
(258) 
(251) 
Depreciation, depletion and amortisation  
(159) 
(189) 
(168) 
Taxes other than on income and duties 
(22) 
(19) 
(35) 
 
 
 
 
Total expenses 
 
 
 
Cost of inventories recognised as expense  
$ (4,721) 
$ (3,495) 
$ (4,595) 
Staff costs, including social security taxes 
(1,332) 
(1,331) 
(1,464) 
Depreciation, depletion and amortisation  
(563) 
(605) 
(578) 
Taxes other than on income and duties 
(371) 
(73) 
(93) 
 
Taxes other than on income and duties mainly include tax on property, tax on land, tax on extraction of minerals and export duties. In 2021, 
an increase in the expense was connected with new duties on steel products exported outside the Eurasian Economic Union in the amount of 
$275 million, which were in effect from 1 August to 31 December 2021 (Note 30). These duties were mainly recorded within the “Cost of revenue” 
caption of the consolidated statement of operations ($271 million). 
In 2021, 2020 and 2019, the Group recognised expense on allowance for net realisable value of $(2) million, $(2) million and $(4) million, 
respectively. 
 
 
US$ million 
Discount rates 
Sales prices 
Sales volumes 
Costs 
Carbon Tax 
Nikom 
$ (3) 
$ – 
$ – 
$ (17) 
$ – 
EVRAZ ZSMK 
– 
– 
– 
(283) 
(768) 
Steel North America 
 
 
 
 
 
Large diameter pipes 
–  
(35) 
– 
(18) 
– 
Oil Country Tubular Goods 
(11) 
(41) 
– 
(38) 
– 
Flat-rolled products 
(6) 
(198) 
(6) 
(87) 
– 
 
$ (20) 
$ (274) 
$ (6) 
$ (443) 
$ (768) 
 
Discount rates 
Sales prices 
Sales volumes 
Costs 
Nikom 
5.8% 
(10.0)% 
– 
2.0% 
EVRAZ ZSMK 
– 
– 
– 
5.8% 
Steel North America 
 
 
 
 
Flat-rolled products 
2.7% 
(0.3)% 
(2.9)% 
0.3% 
Oil Country Tubular Goods 
5.6% 
(2.6)% 
– 
2.7% 
Large diameter pipes 
– 
(5.4)% 
– 
6.5% 
 
7. INCOME AND EXPENSES (CONTINUED) 
The Group’s costs relating to the COVID-19 pandemic included contributions to funds and hospitals, payments to employees during sick leave, 
laboratory testing, purchase of medical supplies and equipment. In 2021 and 2020, these costs in the total amount of $14 million and $25 million, 
respectively, were recorded mainly in Cost of revenue, General and administrative expenses and Social expenses. Also in 2021 and 2020 the Canadian 
subsidiaries received $8 million and $19 million, respectively, of the Canada Emergency Wage Subsidy. This income-related government grant reduced 
the amounts of staff costs and the related expense captions of the consolidated statement of operations.  
Staff costs include the following: 
US$ million 
2021 
2020 
2019 
Wages and salaries 
$ (937) 
$  (989) 
$ (1,047)  
Social insurance contributions (Note 23) 
(287) 
(257) 
(274) 
Net benefit expense (Note 23) 
(36) 
(37) 
(41) 
Share-based awards (Note 21) 
(12) 
(11) 
(13) 
Other compensations 
(68) 
(56) 
(89) 
Income-related government grants (Note 7) 
8 
19 
– 
 
$ (1,332) 
$ (1,331) 
$ (1,464) 
Continuing operations 
(1,058) 
( 1,073) 
( 1,213) 
Discontinued operations 
(274) 
(258) 
(251) 
 
The average number of staff employed under contracts of service was as follows: 
 
2021 
2020 
2019 
Steel 
45,648 
45,332 
44,512 
Steel, North America 
2,777 
3,199 
4,295 
Coal 
15,767 
15,440 
14,655 
Other operations 
848 
837 
927 
Unallocated 
2,688 
2,531 
2,345 
 
67,728 
67,339 
66,734 
Continuing operations 
51,961 
51,977 
52,168 
Discontinued operations 
15,767 
15,362 
14,566 
 
 
The major components of other operating expenses were as follows: 
US$ million 
2021 
2020 
2019 
Stoppage of production, including termination benefits 
$ (21) 
$ (23) 
$ (17) 
Restoration works and casualty compensations in connection with accidents 
(2) 
– 
– 
Other 
(22) 
(20) 
(25) 
Continuing operations 
(45) 
 (43) 
 (42) 
Discontinued operations 
(19) 
(22) 
(12) 
 
$ (64) 
$ (65) 
$ (54) 
 
Operating costs incurred during production stoppages for an extended period of time, such as preparatory works for stoppage of workshops, 
maintenance expenses relating to the idle assets, termination benefits for the dismissed employees or compensations to those who were on temporary 
leave, have been classified as “stoppage of production” costs within other operating expenses. 
 
 
 
 
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7. INCOME AND EXPENSES (CONTINUED) 
Interest expense consisted of the following for the years ended 31 December: 
US$ million 
2021 
2020 
2019 
Interest on bank and other loans 
$ (51) 
$ (63) 
$ (60) 
Interest on bonds and notes 
(137) 
(228) 
(231) 
Interest on lease liabilities (Note 25) 
(4) 
(6) 
(8) 
Net interest expense on employee benefits obligations (Note 23) 
(7) 
(8) 
(9) 
Discount adjustment on provisions 
(9) 
(8) 
(9) 
Other 
(4) 
(2) 
(3) 
Continuing operations 
 (212) 
 (315) 
 (320) 
Discontinued operations 
(20) 
(13) 
(16) 
 
$ (232) 
$ (328) 
$ (336) 
 
Interest income consisted of the following for the years ended 31 December: 
US$ million 
2021 
2020 
2019 
Interest on bank accounts and deposits 
$ 3 
$ 4 
$ 6 
Interest on loans and accounts receivable 
– 
– 
1 
Other 
1 
1 
– 
Continuing operations 
4  
 5 
 7 
Discontinued operations 
1 
1 
1 
 
$ 5 
$ 6 
$ 8 
 
Gain/(loss) on financial assets and liabilities included the following for the years ended 31 December: 
US$ million 
2021 
2020 
2019 
Gain/(loss) on extinguishment of debts (Notes 22, 25) 
$ (10) 
$ 2 
$ (27) 
Gain/(loss) on derivatives not designated as hedging instruments (Note 25) 
(4) 
(69) 
38 
Realised gain/(loss) on hedging instruments (Note 25) 
– 
– 
(23) 
Net gains/(losses) on cash flow hedges recycled to profit or loss (Notes 22, 25) 
– 
– 
33 
Factoring fees 
(6) 
(4) 
(4) 
Continuing operations 
(20)  
 (71) 
 17 
Discontinued operations 
(1) 
– 
– 
 
$ (21) 
$ (71) 
$ 17 
 
8. INCOME TAXES 
The Group’s income was subject to tax at the following tax rates: 
 
2021 
2020 
2019 
Russia 
20.00% 
and 16.50%  
20.00% 
and 16.50%  
20.00% 
and 16.50%  
Canada 
24.63% 
25.09% 
26.08% 
Cyprus 
12.50% 
12.50% 
12.50% 
Czech Republic 
19.00% 
19.00% 
19.00% 
Italy 
– 
– 
27.90% 
Switzerland 
9.08% 
9.10% 
9.62% 
Ukraine 
– 
– 
18.00%  
United Kingdom 
19.00% 
19.00% 
19.00% 
USA 
24.81% 
24.57% 
24.87% 
 
In 2018, EVRAZ Nizhny Tagil Metallurgical Plant completed capital construction works, which make it eligible for an investment tax credit from 
the regional government. The income tax rate was reduced from 20% to 16.5% for a period from 2018 to 2022. The Group determined that 
the investment tax credit is in the scope of IAS 12 “Income taxes”. As a result, in 2021, 2020 and 2019, EVRAZ Nizhny Tagil Metallurgical Plant and 
other subsidiaries included in the group of consolidated taxpayers received a current income tax benefit amounting to $61 million, $28 million and 
$33 million, respectively.  
 
 
8. INCOME TAXES (CONTINUED) 
Major components of income tax expense attributable to continuing operations for the years ended 31 December were as follows: 
US$ million 
2021 
2020 
2019 
Current income tax expense 
$ (778) 
$ (500) 
$ (435) 
Adjustment in respect of income tax of previous years 
7 
(3) 
8 
Deferred income tax benefit/(expense) relating to origination and reversal of 
temporary differences 
(96) 
132 
8 
Deferred income tax recognised directly in other comprehensive income 
20 
(2) 
1 
Income tax (expense)/benefit reported in the consolidated statement of 
operations 
$ (847) 
$ (373) 
$ (418) 
 
 
 
 
 
Income tax benefit/(expense) consisted of the following: 
US$ million 
2021 
2020 
2019 
Current income tax expense 
$ (1,007) 
$ (579) 
$ (532) 
Continuing operations 
(771) 
(503) 
(427) 
Discontinued operations 
(236) 
(76) 
(105) 
 
 
 
 
Deferred income tax benefit/(expense) recognised in profit or loss 
(70) 
142 
(5) 
Continuing operations 
(76) 
130 
9 
Discontinued operations 
6 
12 
(14) 
 
 
 
 
Income tax expense 
$ (1,077) 
$ (437) 
$ (537) 
Attributable to: 
 
 
 
Continuing operations 
(847) 
(373) 
(418) 
Discontinued operations 
(230) 
(64) 
(119) 
 
The major part of income taxes is paid in the Russian Federation. A reconciliation of income tax expense applicable to profit before income tax using 
the Russian statutory tax rate to income tax expense as reported in the Group’s consolidated financial statements for the years ended 31 December is 
as follows: 
US$ million 
2021 
2020 
2019 
Profit/(loss) before income tax from continuing operations 
$ 4,371 
$ 1,742 
$ 1,500 
Profit/(loss) before income tax from discontinued operations 
(187) 
(447) 
(598) 
Profit/(loss) before income tax 
$ 4,184 
$ 1,295 
$ 902 
At the Russian statutory income tax rate of 20%  
(837) 
(259) 
(180) 
Adjustment in respect of income tax of previous years 
7 
(4) 
8 
Current income tax benefit from investment tax credit 
61 
28 
33 
Other tax credits recognised/(utilised) 
(3) 
16 
– 
Current tax on dividends distributed by the Group’s subsidiaries  
(202) 
(213) 
(178) 
Change in deferred tax on undistributed earnings of the Group’s subsidiaries 
(53) 
8 
(19) 
Effect of non-deductible expenses and other non-temporary differences 
(57) 
(95) 
(96) 
Unrecognised temporary differences recognition/reversal 
4 
70 
(130) 
Effect of the difference in tax rates in countries other than the Russian 
Federation  
– 
12 
23 
Share of profits in joint ventures and associates 
3 
– 
2 
Income tax (expense)/benefit reported in the consolidated statement of 
operations 
$ (1,077) 
$ (437) 
$ (537) 
 
As of 31 December 2021, the Group accrued deferred income taxes of $99 million (2020: $46 million, 2019: $54 million) in respect of undistributed 
earnings of the Group’s subsidiaries. The current tax rate on intra-group dividend income varies from 0% to 15%. For those temporary differences 
associated with investments in subsidiaries, for which the Group is able to control the timing of the reversal of temporary differences and does not 
intend to reverse them in the foreseeable future, deferred tax liabilities were not recognised. At 31 December 2021, the aggregate amount of such 
temporary differences, for which deferred tax liabilities have not been recognised, amounted to $46 million (2020: $63 million, 2019: $59 million).  
In the context of the Group’s current structure, tax losses and current tax assets of the different companies may not be set off against current tax 
liabilities and taxable profits of other companies in the same jurisdiction, except for the companies registered in Cyprus, Russia, the USA and 
the United Kingdom where group relief and tax consolidation can be applied.  
 
 
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8. INCOME TAXES (CONTINUED) 
As of 31 December 2021, unused tax losses carried forward approximated $9,738 million (2020: $10,503 million, 2019: $8,620 million). The Group 
recognised deferred tax assets of $197 million (2020: $275 million, 2019: $234 million) in respect of unused tax losses. This includes deferred tax 
assets in respect of unused tax losses in Canada which expire after 20 years if not utilised.  
US$ million 
2021 
2020 
2019 
 
 
 
 
Canada 
$ 125 
$ 172 
$ 156 
USA  
53 
55 
28 
Switzerland 
11 
15 
9 
Kazakhstan 
4 
4 
5 
Russia 
4 
29 
36 
 
 
$ 197 
 
$ 275 
 
$ 234 
 
Deferred tax assets of $2,160 million (2020: $2,244 million, 2019: $1,878 million) have not been recorded as it is not probable that sufficient taxable 
profits will be available in the foreseeable future to offset these losses. Tax losses of $8,722 million (2020: $9,071 million, 2019: $7,592 million) for 
which deferred tax assets were not recognised arose in companies registered in Canada, Kazakhstan, Luxembourg, Russia, the United Kingdom and 
the USA. Losses of $8,677 million (2020: $8,975 million, 2019: $7,499 million) are available indefinitely for offset against future taxable profits of the 
companies in which the losses arose and $55 million will expire within 10 years (2020: $96 million, 2019: $93 million). 
 
Deferred income tax assets and liabilities and their movements for the years ended 31 December were as follows: 
Year ended 31 December 2021 
US$ million 
2020 
Change 
recognised in 
statement of 
operations 
Change 
recognised in 
other 
comprehensive 
income 
Transfer to 
disposal 
groups held 
for distribution 
to owners 
Translation 
difference 
 
 
 
Other 
movements 
2021 
 
 
 
 
 
 
 
Deferred income tax liabilities: 
 
 
 
 
 
 
 
Valuation and depreciation of property, 
plant and equipment  
$ 402 
(31) 
– 
(129) 
(1) 
– 
$ 241 
Valuation and amortisation of intangible 
assets 
30 
(5) 
– 
– 
– 
– 
25 
Other 
96 
85 
– 
(20) 
– 
– 
161 
 
528 
49 
– 
(149) 
(1) 
– 
427 
Deferred income tax assets: 
 
 
 
 
 
 
 
Tax losses available for offset 
275 
(67) 
– 
(16) 
5 
– 
197 
Accrued liabilities 
115 
14 
(20) 
(28) 
– 
– 
81 
Impairment of accounts receivable 
4 
2 
– 
(1) 
– 
– 
5 
Other 
126 
30 
– 
(19) 
(4) 
– 
133 
 
520 
(21) 
(20) 
(64) 
1 
– 
416 
Net deferred income tax asset 
245 
(35) 
(20) 
(8) 
1 
– 
183 
Net deferred income tax liability 
$ 253 
35 
– 
(93) 
(1) 
– 
$ 194 
 
 
 
 
8. INCOME TAXES (CONTINUED) 
 
Year ended 31 December 2020 
US$ million 
2019 
Change 
recognised in 
statement of 
operations 
Change 
recognised in 
other 
comprehensive 
income 
Change due to 
disposal of 
subsidiaries 
Translation 
difference 
 
 
 
Other 
movements 
2020 
 
 
 
 
 
 
 
Deferred income tax liabilities: 
 
 
 
 
 
 
 
Valuation and depreciation of property, 
plant and equipment  
$ 519 
(57) 
– 
– 
(60) 
– 
$ 402 
Valuation and amortisation of intangible 
assets 
43 
(12) 
– 
– 
(1) 
– 
30 
Other 
146 
(41) 
– 
– 
(9) 
– 
96 
 
708 
(110) 
– 
– 
(70) 
– 
528 
Deferred income tax assets: 
 
 
 
 
 
 
 
Tax losses available for offset 
234 
45 
– 
– 
(4) 
– 
275 
Accrued liabilities 
129 
(3) 
2 
– 
(13) 
– 
115 
Impairment of accounts receivable 
15 
(8) 
– 
– 
(3) 
– 
4 
Other 
130 
(2) 
– 
– 
(2) 
– 
126 
 
508 
32 
2 
– 
(22) 
– 
520 
Net deferred income tax asset 
152 
91 
2 
– 
– 
– 
245 
Net deferred income tax liability 
$ 352 
(51) 
– 
– 
(48) 
– 
$ 253 
 
 
Year ended 31 December 2019 
US$ million 
2018 
Change 
recognised in 
statement of 
operations 
Change 
recognised in 
other 
comprehensive 
income 
Change due to 
disposal of 
subsidiaries 
Translation 
difference 
 
 
 
Other 
movements 
2019 
 
 
 
 
 
 
 
Deferred income tax liabilities: 
 
 
 
 
 
 
 
Valuation and depreciation of property, 
plant and equipment  
$ 469 
(3) 
– 
(6) 
46 
13 
$ 519 
Valuation and amortisation of intangible 
assets 
50 
(9) 
– 
– 
2 
– 
43 
Other 
96 
43 
– 
– 
7 
– 
146 
 
615 
31 
– 
(6) 
55 
13 
708 
Deferred income tax assets: 
 
 
 
 
 
– 
 
Tax losses available for offset 
199 
29 
– 
(7) 
13 
– 
234 
Accrued liabilities 
95 
14 
(1) 
(1) 
9 
13 
129 
Impairment of accounts receivable 
3 
11 
– 
– 
1 
– 
15 
Other 
152 
(28) 
– 
1 
5 
– 
130 
 
449 
26 
(1) 
(7) 
28 
13 
508 
Net deferred income tax asset 
92 
55 
(1) 
(1) 
7 
– 
152 
Net deferred income tax liability 
$ 258 
60 
– 
– 
34 
– 
$ 352 
  
In 2019, other movements in deferred tax assets and liabilities represent adjustments in connection with the adoption of IFRS 16 “Leases” (Note 2). 
 
 
 
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9. PROPERTY, PLANT AND EQUIPMENT  
Property, plant and equipment, including right-of-use assets, consisted of the following as of 31 December: 
US$ million 
2021 
2020 
2019 
Cost 
 
 
 
    Land 
$ 90 
$ 97 
$ 102 
    Buildings and constructions 
1,759 
1,786 
1,899 
    Machinery and equipment 
3,842 
4,595 
4,758 
    Transport and motor vehicles 
288 
333 
369 
    Mining assets 
318 
2,126 
2,468 
    Other assets 
35 
36 
34 
    Assets under construction 
834 
707 
681 
 
7,166 
9,680 
10,311 
Accumulated depreciation, depletion and impairment losses 
 
 
 
    Buildings and constructions 
(934) 
(903) 
(943) 
    Machinery and equipment 
(2,582) 
(3,051) 
(2,904) 
    Transport and motor vehicles 
(195) 
(207) 
(200) 
    Mining assets 
(178) 
(1,152) 
(1,308) 
    Other assets 
(28) 
(26) 
(25) 
 
(3,917) 
(5,339) 
(5,380) 
Government grants 
(80) 
(27) 
(6) 
 
$ 3,169 
$ 4,314 
$ 4,925 
 
 
The movement in property, plant and equipment, including right-of-use assets, was as follows: 
Year ended 31 December 2021 
 
US$ million 
Land 
Buildings 
and constructions 
Machinery and 
equipment 
Transport and 
motor vehicles 
Mining  
assets 
Other  
assets 
Assets under 
construction 
Total 
At 31 December 2019, cost, net of 
accumulated depreciation  
$ 97  
$ 883 
$ 1,544 
$ 126  
$ 974 
$ 10 
$ 680 
$ 4,314 
Additions 
– 
8 
9 
29 
– 
– 
906 
952 
Assets put into operation 
– 
110 
448 
37 
51 
1 
(647) 
– 
Disposals 
(2) 
(1) 
(9) 
– 
(1) 
– 
(1) 
(14) 
Depreciation and depletion charge 
– 
(83) 
(362) 
(43) 
(64) 
(4) 
– 
(556) 
Impairment losses recognised in statement 
of operations 
– 
– 
(14) 
– 
(23) 
– 
(2) 
(39) 
Impairment losses reversed through 
statement of operations 
– 
– 
1 
– 
8 
– 
– 
9 
Change in site restoration and 
decommissioning provision 
– 
(1) 
– 
– 
9 
– 
– 
8 
Government grants 
– 
– 
– 
– 
– 
– 
(53) 
(53) 
Transfer to assets held for distribution to 
owners (Note 13) 
(5) 
(89) 
(352) 
(54) 
(810) 
– 
(126) 
(1,436) 
Translation difference 
– 
(2) 
(5) 
(2) 
(4) 
– 
(3) 
(16) 
At 31 December 2021, cost, net of 
accumulated depreciation  
$ 90 
$ 825 
$ 1,260 
$ 93 
$ 140 
$ 7 
$ 754 
$ 3,169 
 
 
 
 
9. PROPERTY, PLANT AND EQUIPMENT (CONTINUED) 
 
Year ended 31 December 2020 
 
US$ million 
Land 
Buildings 
and constructions 
Machinery and 
equipment 
Transport and 
motor vehicles 
Mining  
assets 
Other  
assets 
Assets under 
construction 
Total 
At 31 December 2019, cost, net of 
accumulated depreciation  
$ 102 
$ 956 
$ 1,854 
$ 169 
$ 1,160 
$ 9 
$ 675 
$ 4,925 
Additions 
– 
– 
7 
2 
– 
– 
725 
734 
Assets put into operation 
– 
128 
401 
24 
68 
3 
(624) 
– 
Disposals 
– 
(1) 
(7) 
– 
– 
– 
– 
(8) 
Depreciation and depletion charge 
– 
(78) 
(356) 
(44) 
(64) 
(2) 
– 
(544) 
Impairment losses recognised in statement 
of operations 
– 
– 
(163) 
– 
(3) 
– 
(3) 
(169) 
Impairment losses reversed through 
statement of operations 
– 
– 
1 
– 
5 
– 
1 
7 
Change in site restoration and 
decommissioning provision 
– 
– 
– 
– 
(3) 
– 
– 
(3) 
Government grants 
– 
– 
– 
– 
– 
– 
(20) 
(20) 
Translation difference 
(5) 
(122) 
(193) 
(25) 
(189) 
– 
(74) 
(608) 
At 31 December 2020, cost, net of 
accumulated depreciation  
$ 97  
$ 883 
$ 1,544 
$ 126  
$ 974 
$ 10 
$ 680 
$ 4,314 
 
 
Year ended 31 December 2019 
 
US$ million 
Land 
Buildings 
and constructions 
Machinery and 
equipment 
Transport and 
motor vehicles 
Mining  
assets 
Other  
assets 
Assets under 
construction 
Total 
At 31 December 2018, cost, net of 
accumulated depreciation  
$ 100 
$ 895 
$ 1,655 
$ 81 
$ 1,086 
$ 7 
$ 378 
$ 4,202 
IFRS 16 adoption: recognition of right-of-
use assets (Note 2) 
– 
12 
40 
68 
– 
– 
– 
120 
At 1 January 2019, cost, net of 
accumulated depreciation 
$ 100 
$ 907 
$ 1,695 
$ 149 
$ 1,086 
$ 7 
$ 378 
$ 4,322 
Additions 
1 
– 
11 
4 
– 
– 
828 
844 
Assets put into operation 
– 
50 
387 
46 
66 
6 
(555) 
– 
Assets acquired in business combinations 
4 
– 
– 
– 
– 
– 
– 
4 
Disposals 
(3) 
(1) 
(6) 
– 
– 
– 
(4) 
(14) 
Depreciation and depletion charge 
– 
(82) 
(331) 
(46) 
(87) 
(4) 
– 
(550) 
Impairment losses recognised in statement 
of operations 
– 
(13) 
(25) 
– 
(101) 
– 
(10) 
(149) 
Impairment losses reversed through 
statement of operations 
– 
1 
2 
– 
1 
– 
3 
7 
Transfer to assets held for sale 
(4) 
(8) 
(25) 
(2) 
– 
– 
– 
(39) 
Change in site restoration and 
decommissioning provision 
– 
12 
3 
– 
64 
– 
– 
79 
Government grants 
– 
– 
– 
– 
– 
– 
(6) 
(6) 
Translation difference 
4 
90 
143 
18 
131 
– 
41 
427 
At 31 December 2019, cost, net of 
accumulated depreciation  
$ 102 
$ 956 
$ 1,854 
$ 169 
$ 1,160 
$ 9 
$ 675 
$ 4,925 
 
Assets under construction include prepayments to constructors and suppliers of property, plant and equipment of $55 million, $22 million and 
$77 million as of 31 December 2021, 2020 and 2019, respectively. 
Impairment losses were identified in respect of certain items of property, plant and equipment that were recognised as functionally obsolete or as 
a result of the testing at the level of cash-generating units (Note 6). 
No borrowing costs were capitalised during the period from 2019 to 2021.  
 
Government Grants Related to Assets 
The Group receives government grants in the USA and Canada. In 2021, the Group received $50 million from the Pueblo Urban Renewal Authority. 
In return, the Group is required to comply with certain conditions relating to the operating activities of the entity, including timely completion of the rail 
mill construction in the City of Pueblo. The total amount of the financing to be received from the Pueblo Urban Renewal Authority is $100 million.  
In 2021, the Strategic Innovation Fund of Canada provided $7 million (2020: $10 million) to the Group as partial financing of undergoing major capital 
projects at various Group’s facilities in Canada. The Group has committed to complying with certain conditions including timely completion of the 
financed capital projects and maintaining determined employment levels. 50% of the financing received is repayable starting from April 2025. 
The Group accounts for the non-repayable financing and the difference between the fair value of the repayable financing and the proceeds received as 
government grants. 
 
 
 
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9. PROPERTY, PLANT AND EQUIPMENT (CONTINUED) 
Right-of-Use Assets 
In 2019–2021, the movement in right-of-use assets was as follows: 
 
US$ million 
Land 
Buildings 
and 
constructions 
Machinery and 
equipment 
Transport and 
motor vehicles 
Total 
At 1 January 2019, assets under finance leases, 
cost, net of accumulated depreciation 
$ 3 
$ 1 
$ 3 
$ – 
$ 7 
Newly recognised right-of-use assets 
– 
12 
40 
68 
120 
Total right-of-use assets at 1 January 2019 
$ 3 
$ 13 
$ 43 
$ 68 
$ 127 
Additions 
– 
– 
11 
4 
15 
Purchase of right-of-use assets 
(3) 
(1) 
– 
– 
(4) 
Depreciation charge 
– 
(1) 
(7) 
(22) 
(30) 
Transfer to assets held for sale 
– 
– 
– 
(2) 
(2) 
Translation difference 
– 
– 
1 
8 
9 
At 31 December 2019,  
cost, net of accumulated depreciation  
$ – 
$ 11 
$ 48 
$ 56 
$ 115 
Additions 
– 
– 
7 
2 
9 
Disposals 
– 
– 
(2) 
– 
(2) 
Depreciation charge 
– 
(2) 
(8) 
(19) 
(29) 
Impairment 
– 
– 
(2) 
– 
(2) 
Translation difference 
– 
– 
(1) 
(8) 
(9) 
At 31 December 2020,  
cost, net of accumulated depreciation 
$ – 
$ 9 
$ 42 
$ 31 
$ 82 
Additions 
– 
8 
– 
29 
37 
Depreciation charge 
– 
(2) 
(6) 
(20) 
(28) 
Transfer to assets held for distribution to owners 
– 
– 
– 
(25) 
(25) 
At 31 December 2021,  
cost, net of accumulated depreciation 
$ – 
$ 15 
$ 36 
$ 15 
$ 66 
 
The liabilities related to the right-of-use assets are disclosed in Note 25. 
 
Assets under Operating Leases 
The Group acts as a lessor in some operating lease contracts. The carrying value of assets under operating leases at 31 December 2021, 2020 and 
2019 was $18 million, $31 million and $66 million, respectively, the main part of which relates to railroad cars representing the right-of-use assets in 
sublease.  
US$ million 
Land 
Buildings 
and 
constructions 
Machinery and 
equipment 
Transport and 
motor vehicles 
Total 
At 31 December 2021,  
cost, net of accumulated depreciation 
$ – 
$ 5 
$ 3 
$ 10 
$ 18 
At 31 December 2020,  
cost, net of accumulated depreciation 
$ – 
$ 3 
$ 1 
$ 27 
$ 31 
At 31 December 2019,  
cost, net of accumulated depreciation 
$ 1 
$ 5 
$ 8 
$ 52 
$ 66 
 
In 2021, 2020 and 2019, rental income amounted to $26 million, $25 million and $32 million, respectively, including $19 million, $19 million and 
$25 million, respectively, of income from subleasing of right-of-use assets. 
 
At 31 December 2021, the undiscounted lease payments to be received under operating leases were as follows: 
 
US$ million 
2022 
2023 
2024 
2025 
2026 
In more than  
5 years 
Total 
Lease payments under operating leases 
$ 13 
$ 2 
$ 2  
$ 2 
$ 2 
$ 14 
$ 35 
 
 
At 31 December 2020, the undiscounted lease payments to be received under operating leases were as follows: 
 
US$ million 
2021 
2022 
2023 
2024 
2025 
In more than  
5 years 
Total 
Lease payments under operating leases 
$ 22 
$12 
$ 2 
$ 2 
$ 2 
$ 11 
$ 51 
 
At 31 December 2019, the undiscounted lease payments to be received under operating leases were as follows: 
US$ million 
2020 
2021 
2022 
2023 
2024 
In more than 
5 years 
Total 
Lease payments under operating leases 
$ 25 
$ 26  
$ 15  
$ 3 
$ 3 
$ 20 
$ 92 
 
10. INTANGIBLE ASSETS OTHER THAN GOODWILL 
Intangible assets consisted of the following as of 31 December: 
US$ million 
2021 
2020 
2019 
Cost: 
 
 
 
Customer relationships 
$ 608 
$ 686 
$ 678 
Water rights and environmental permits 
57 
57 
57 
Contract terms 
20 
20 
24 
Other 
68 
64 
67 
 
753 
827 
826 
Accumulated amortisation and impairment: 
 
 
 
Customer relationships 
(562) 
(617) 
(567) 
Water rights and environmental permits 
(13) 
(13) 
(13) 
Contract terms 
(16) 
(14) 
(15) 
Other 
(36) 
(45) 
(46) 
 
(627) 
(689) 
(641) 
 
$ 126 
$ 138 
$ 185 
 
As of 31 December 2021, 2020 and 2019, water rights with a carrying value of $44 million relating to the Long products cash-generating unit had 
an indefinite useful life. 
The movement in intangible assets was as follows: 
Year ended 31 December 2021 
 
Year ended 31 December 2020 
 
Year ended 31 December 2019 
US$ million 
Customer 
relationships 
Water rights and 
environmental  
permits 
Contract  
terms 
 Other 
Total 
At 31 December 2020, cost, net of accumulated amortisation 
 
$ 69 
 
$ 44  
 
$ 6 
 
$ 19 
 
$ 138 
Additions 
– 
– 
– 
24 
24 
Amortisation charge 
(23) 
– 
(2) 
(7) 
(32) 
Transfer to assets held for distribution to owners 
– 
– 
– 
(4) 
(4) 
At 31 December 2021, cost, net of accumulated amortisation 
 
$ 46 
 
$ 44  
 
$ 4  
 
$ 32 
 
$ 126 
US$ million 
Customer 
relationships 
Water rights and 
environmental  
permits 
Contract  
terms 
 Other 
Total 
At 31 December 2019, cost, net of accumulated amortisation 
 
$ 111 
 
$ 44  
 
$ 9  
 
$ 21  
 
$ 185 
Additions 
– 
– 
– 
7 
7 
Amortisation charge 
(27) 
– 
(2) 
(6) 
(35) 
Impairment 
(16) 
– 
– 
– 
(16) 
Translation difference 
1 
– 
(1) 
(3) 
(3) 
At 31 December 2020, cost, net of accumulated amortisation 
 
$ 69 
 
$ 44  
 
$ 6 
 
$ 19 
 
$ 138 
US$ million 
Customer 
relationships 
Water rights and 
environmental  
permits 
Contract  
terms 
 Other 
Total 
At 31 December 2018, cost, net of accumulated amortisation 
$ 131 
$ 44 
$ 10 
$ 21 
$ 206 
Additions 
– 
– 
– 
6 
6 
Amortisation charge 
(26) 
– 
(2) 
(6) 
(34) 
Translation difference 
6 
– 
1 
– 
7 
At 31 December 2019, cost, net of accumulated amortisation 
 
$ 111 
 
$ 44  
 
$ 9  
 
$ 21  
 
$ 185 
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11. INVESTMENTS IN JOINT VENTURES AND ASSOCIATES 
The Group accounted for investments in joint ventures and associates under the equity method. 
The movement in investments in joint ventures and associates was as follows: 
 
Timir Iron Ore Project 
In April 2013, the Group acquired a 51% ownership interest in the joint venture with Alrosa for the development of 4 iron ore deposits in the southern 
part of the Yakutia region in Russia. Under the joint venture agreement major operating and financial decisions are made by unanimous consent of 
the Group and Alrosa, and no single venturer is in a position to control the activity unilaterally. Consequently, the Group accounts for its interest in Timir 
under the equity method. 
The Group’s consideration for this stake amounted to 4,950 million roubles ($159 million at the exchange rate as of the date of the transaction) 
payable in instalments to 15 July 2014. The consideration was measured as the present value of the expected cash outflows. Later the payment 
schedule was changed by extending the payment period until 2019. From the dates of the amendments the Group incurred interest charges on 
the unpaid liability.  
In 2019, the Group paid 480 million roubles ($8 million) of purchase consideration and $1 million of interest charges. Previously, the Group paid the 
principal of 4,470 million roubles ($113 million).  
Subsequently the investment in Timir was impaired due to postponement of production and additionally decreased as a result of devaluation of the 
Russian rouble. 
The table below sets out Timir’s assets and liabilities as of 31 December: 
US$ million 
2021 
2020 
2019 
Mineral reserves and property, plant and equipment 
$ 46 
$ 46 
$ 54 
Other non-current assets 
6 
6 
7 
Total assets 
52 
52 
61 
 
 
 
 
Non-current liabilities 
25 
– 
– 
Current liabilities 
– 
24 
27 
Total liabilities 
25 
24 
27 
Net assets 
27 
28 
34 
Net assets attributable to 51% ownership interest 
$ 14 
$ 14 
$ 17 
 
In 2021, 2020 and 2019, Timir’s statement of operations included only other income and expenses amounting to $Nil, $Nil and $(1) million, 
respectively. 
At 31 December 2021, 2020 and 2019 Timir owed to the Group $10 million, $9 million and $9 million, respectively, which were recorded within 
the receivables from related parties caption in non-current assets in 2021 and in current assets in 2020 and 2019. The amounts represent a loan 
bearing interest equal to the Bank of Russia key rate, which ranged from 4.25% to 8.5% per annum in 2021. In 2019-2020, the loan bore interest at 
a fixed rate of 6.45% per annum.  
 
 
US$ million 
Timir 
Streamcore 
Other associates 
Total 
Investment at 31 December 2018 
$ 17 
$ 47 
$ 10 
$ 74 
Additional investments 
– 
3 
– 
3 
Share of profit/(loss) 
(1) 
7 
3 
9 
Dividends paid 
– 
– 
(2) 
(2) 
Translation difference  
1 
6 
1 
8 
Investment at 31 December 2019 
$ 17 
$ 63 
$ 12 
$ 92 
Disposal of investments 
– 
– 
(1) 
(1) 
Share of profit/(loss) 
– 
1 
1 
2 
Dividends paid 
– 
– 
(1) 
(1) 
Translation difference  
(3) 
(10) 
– 
(13) 
Investment at 31 December 2020 
$ 14 
$ 54 
$ 11 
$ 79 
Additional investments 
– 
– 
10 
10 
Share of profit/(loss) 
– 
9 
5 
14 
Dividends paid 
– 
– 
(3) 
(3) 
Investment at 31 December 2021 
$ 14 
$ 63 
$ 23 
$ 100 
 
11. INVESTMENTS IN JOINT VENTURES AND ASSOCIATES (CONTINUED) 
Streamcore 
The Group owns a 50% interest in Streamcore Limited (Cyprus), a joint venture established for the purpose of exercising joint control over facilities for 
scrap procurement and processing in Siberia, Russia.  
The table below sets out Streamcore’s assets and liabilities as of 31 December: 
US$ million 
2021 
2020 
2019 
Property, plant and equipment 
$ 30 
$ 23 
$ 25 
Other non-current assets 
– 
3 
– 
Inventories 
135 
95 
10 
Accounts receivable 
169 
96 
94 
Total assets 
334 
217 
129 
 
 
 
 
Deferred income tax liabilities 
1 
1 
1 
Current liabilities 
207 
108 
3 
Total liabilities 
208 
109 
4 
Net assets 
126 
108 
125 
Net assets attributable to 50% ownership interest 
$ 63 
$ 54 
$ 63 
 
The table below sets out Streamcore’s income and expenses: 
US$ million 
2021 
2020 
2019 
Revenue 
$ 657 
$ 385 
$ 502 
Cost of revenue 
(619) 
(367) 
(478) 
Other expenses, including income taxes 
(20) 
(16) 
(10) 
Net profit 
18 
2 
14 
Group’s share of profit of the joint venture 
9 
1 
7 
 
12. DISPOSAL GROUPS HELD FOR SALE 
The table below demonstrates the carrying values of assets and liabilities, at the dates of disposal, of the subsidiaries and other business units 
disposed of during 2019–2021. 
US$ million 
2021 
2020 
2019 
Property, plant and equipment 
$ – 
$ – 
$ 39 
Goodwill 
– 
– 
– 
Other non-current assets 
– 
– 
26 
Inventories 
– 
– 
34 
Accounts receivable 
– 
– 
22 
Cash and cash equivalents 
– 
– 
47 
Total assets 
– 
– 
168 
 
 
 
 
Employee benefits 
– 
– 
7 
Other non-current liabilities 
– 
– 
13 
Current liabilities 
– 
– 
110 
Total liabilities 
– 
– 
130 
Non-controlling interests 
– 
– 
– 
Net assets 
 $ – 
 $ – 
 $38 
 
 
 
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12. DISPOSAL GROUPS HELD FOR SALE (CONTINUED) 
The net assets of disposal groups sold in 2019–2021 related to the following reportable segments: 
US$ million 
2021 
2020 
2019 
Assets classified as held for sale 
$ – 
$ – 
$ 168 
Steel 
– 
– 
155 
Coal 
– 
– 
– 
Other operations 
– 
– 
13 
Liabilities directly associated with assets classified as held for sale 
– 
– 
130 
Steel 
– 
– 
124 
Coal 
 
 
 
Other operations 
– 
– 
6 
  
Cash flows on disposal of subsidiaries and other business units were as follows: 
US$ million 
2021 
2020 
2019 
Net cash disposed of with subsidiaries 
$ – 
$ – 
$ (47) 
Cash received 
2 
12 
99 
Tax and transaction costs paid 
– 
(1) 
(8) 
Net cash inflow 
2 
11 
44 
 
The disposal groups sold during 2019–2021 and cash receipts relating to the disposed assets are described below. 
 
Stratcor Inc. 
On 11 October 2019, the Group sold its wholly-owned subsidiary EVRAZ Stratcor Inc. to a third party for cash consideration of 1 US dollar. 
EVRAZ Stratcor Inc. is a vanadium producer located in the USA, it was included in the steel segment of the Group’s operations. The Group recognised 
a $19 million gain on sale of the subsidiary within the Gain/(loss) on disposal groups classified as held for sale caption of the consolidated statement 
of operations. Cash disposed with the subsidiary amounted to $Nil.  
 
Evraztrans Ukraine 
On 15 November 2019, the Group sold its wholly-owned subsidiary Evraztrans Ukraine to a third party for cash consideration of $8 million. 
Evraztrans Ukraine is a railway forwarder located in Ukraine, it was included in 2 segments of the Group’s operations – other operations and steel. 
The Group recognised a $(36) million loss on sale of the subsidiary, including $(37) million of cumulative exchange losses reclassified from other 
comprehensive income to the consolidated statement of operations. The result was included in the Gain/(loss) on disposal groups classified as held for 
sale caption of the consolidated statement of operations. Cash disposed with the subsidiary amounted to $Nil. At 31 December 2019, the sale 
consideration was unsettled. In 2020, it was fully received in cash. 
 
Yartsevo Rolling Mill 
 
Historically, the Group was one of major creditors of a steel-rolling mill in Yartsevo located in the Smolensk region of Russia. The mill went into 
bankruptcy proceedings and in the 1st half of 2019 the Group impaired the non-current financial asset relating to the mill, recognising a $56 million 
loss, which was recorded in the Impairment of non-current financial assets caption of the consolidated statement of operations. At 30 June 2019, 
the resulting carrying value of the non-current financial asset was $21 million. In November 2019, the Group acquired property, plant and equipment 
and inventory of this rolling mill from the auction undertaken in the course of the bankruptcy proceedings for $22 million with the purpose of 
subsequent sale to a third party. The proceeds from the sale were used by the bankruptcy administrator to partially repay the debts of the mill, 
the majority of which were the debts to the Group. Upon acquisition the acquired non-current asset was classified as a disposal group held for 
sale. Shortly after the acquisition the Group sold the mill for cash consideration of $66 million to a third-party acquirer. The gain on sale before tax 
amounting to $44 million was included in the Gain/(loss) on disposal groups classified as held for sale caption of the consolidated statement of 
operations. Income tax paid on a resale margin amounted to $8 million. At the moment of the acquisition the Group did not have any arrangement for 
the sale of the mill to a new purchaser, therefore, the purchase and sale transactions were not treated as linked.  
 
Palini e Bertoli 
On 2 December 2019, the Group sold its wholly-owned subsidiary EVRAZ Palini e Bertoli to a third party for cash consideration of $36 million. 
EVRAZ Palini e Bertoli, an Italian rolling mill, was included in the steel segment of the Group’s operations. 
The Group recognised a $2 million gain on sale of the subsidiary, including $(5) million of cumulative exchange losses reclassified from other 
comprehensive income to the consolidated statement of operations and $(1) of transaction costs. The result was included in the Gain/(loss) on 
disposal groups classified as held for sale caption of the consolidated statement of operations. Cash disposed with the subsidiary amounted to 
$47 million. At 31 December 2019, $3 million of the sale consideration was unsettled. In 2020, it was fully received in cash. 
 
 
12. DISPOSAL GROUPS HELD FOR SALE (CONTINUED) 
Strategic Minerals Corporation 
In 2017, the Group sold Strategic Minerals Corporation, which owns a vanadium business in the Republic of South Africa. According to an agreement 
the purchaser is obliged to pay earn-out payments to the Group until 31 December 2025, if benchmark prices for ferro-vanadium are met. In 2021 and 
2020, the Group received $2 million and $1 million, respectively, of earn-out payments. 
 
13. DISCONTINUED OPERATIONS 
In 2020, the Board of directors discussed the potential demerger of a group of coal companies consolidated under Raspadskaya (“Raspadskaya 
Group”), which constitutes a major part of the coal segment. Raspadskaya Group includes coal mines, coal processing plants and supporting services 
of Raspadskaya, Yuzhkuzbassugol and Mezhegeyugol. The Raspadskaya Group’s business meets the criteria of a major business line, consequently, 
the potential demerger should be treated as discontinued operations, if all criteria for the disposal group classified as held for distribution to owners 
are met.  
In January 2021, the Board of directors agreed that the management should proceed with investigating the options for the potential demerger of the 
Raspadskaya Group. During 2021 the Board of directors and management conducted a comprehensive review of the rationale and feasibility of the 
demerger to ensure that it serves the long-term interests of the Group’shareholders, employees, clients and other stakeholders.  
In December 2021 the plan of the potential demerger was finalised and on 14 December 2021, the Board of directors approved the proposed 
demerger. The plan included, among other things, a voting for the relevant resolutions at the General Meeting scheduled for 11 January 2022 and 
a creation of sufficient distributable reserves, which requires the issue of bonus shares and subsequent capital reduction through the cancellation of 
bonus shares. Such capital reduction requires the UK Court’s approval. 
On 15 December 2021 a circular containing the details of the transaction was published for the review of shareholders, together with a notice of 
General Meeting. The overall reaction in late 2021 of the investment community to the proposal was positive. Three major independent agencies, 
which are highly rated by non-controlling shareholders, supported the demerger and gave the recommendation to vote for it, ahead of 31 December 
2021. The Company hired an independent consultant to evaluate the potential outcome of the shareholders’ voting on the demerger. In late December 
2021 the consultant prepared and presented to management and the Audit Committee 3 potential voting scenarios using the available data and 
historical voting patterns. In all these scenarios the threshold required for the approval of the demerger was expected to be overcome.  
Based on these facts and circumstances management concluded that Raspadskaya Group met the criteria for classification as disposal groups held for 
distribution to owners at 31 December 2021. Consequently, the classification, measurement and presentation requirements of IFRS 5 “Non-current 
Assets Held for Sale and Discontinued Operations” were applied in the consolidated financial statements as at, and for the year ended, 31 December 
2021. 
On 11 January 2022, approximately 79.41% of EVRAZ plc’s shareholders took part in the voting at the General Meeting. Almost 100% of the voters 
approved the demerger of Raspadskaya Group. The demerger is planned to be executed in the first half of 2022 through an interim in specie 
distribution of Raspadskaya’s shares quoted on the Moscow Stock Exchange to EVRAZ plc’s shareholders. Other subsequent developments are 
disclosed in Note 33. 
 
 
Profit/(loss) from discontinued operations shown as a single amount in the consolidated statements of operations comprised of the following 
components: 
 
US$ million 
2021 
2020 
2019 
Post-tax profit/(loss) of discontinued operations 
$ (409) 
$ (511) 
$ (717) 
Transaction costs directly attributable to the distribution of Raspadskaya Group 
(8) 
– 
– 
 
(417) 
(511) 
(717) 
 
 
 
 
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13. DISCONTINUED OPERATIONS (CONTINUED) 
Raspadskaya Group Disclosures 
The statements of operations of the discontinued operations are presented below. The consolidated results of Raspadskaya Group are divided into 
transactions with external parties, which are classified as discontinued operations, and intra-group transactions between continuing and discontinued 
operations, which were eliminated in EVRAZ plc’s consolidated financial statements. 
US$ million 
2021 
2020 
2019 
 
Total 
Discontinued 
operations 
Intra-group 
operations 
Total 
Discontinued 
operations 
Intra-group 
operations 
Total 
Discontinued 
operations 
Intra-group 
operations 
 
 
 
 
 
 
 
 
 
 
Revenue 
 
 
 
 
 
 
 
 
 
Sale of goods 
$ 2,092  
669 
$ 1,423 
$ 1,093  
$ 292 
$ 801  
$ 1,663  
$ 452 
$ 1,211  
Rendering of services 
6 
4 
2 
12 
10 
2 
10 
9 
1 
 
2,098 
673 
1,425 
1,105 
302 
803 
1,673 
461 
1,212 
Cost of revenue 
(752) 
(685) 
(67) 
(775) 
(720) 
(55) 
(781) 
(719) 
(62) 
Gross profit 
1,346 
(12) 
1,358 
330 
(418) 
748 
892 
(258) 
1,150 
 
 
 
 
 
 
 
 
 
 
Selling and distribution costs 
(82) 
(80) 
(2) 
(52) 
(52) 
– 
(99) 
(99) 
– 
General and administrative expenses 
(74) 
(64) 
(10) 
(66) 
(59) 
(7) 
(82) 
(75) 
(7) 
Social and social infrastructure maintenance 
expenses 
(5) 
(5) 
– 
(2) 
(2) 
– 
(3) 
(3) 
– 
Gain/(loss) on disposal of property, plant and 
equipment, net 
(1) 
(1) 
– 
– 
– 
– 
(3) 
(3) 
– 
Impairment of non-financial assets 
(8) 
(8) 
– 
3 
3 
– 
(107) 
(107) 
– 
Foreign exchange gains/(losses), net 
23 
23 
– 
112 
112 
– 
(30) 
(30) 
– 
Other operating income 
4 
4 
– 
3 
3 
– 
3 
3 
– 
Other operating expenses 
(22) 
(19) 
(3) 
(22) 
(22) 
– 
(12) 
(12) 
– 
Profit from operations 
1,181 
(162) 
1,343 
306 
(435) 
741 
559 
(584) 
1,143 
 
 
 
 
 
 
 
 
 
 
Interest income 
2 
1 
1 
10 
1 
9 
9 
1 
8 
Interest expense 
(31) 
(20) 
(11) 
(19) 
(13) 
(6) 
(17) 
(16) 
(1) 
Gain/(loss) on financial assets and liabilities, 
net 
(1) 
(1) 
– 
– 
– 
– 
– 
– 
– 
Other non-operating gains/(losses), net 
3 
3 
– 
– 
– 
– 
1 
1 
– 
Profit/(loss) before tax 
1,154 
(179) 
1,333 
297 
(447) 
744 
552 
(598) 
1,150 
 
 
 
 
 
 
 
 
 
 
Income tax expense 
(230) 
(230) 
– 
(64) 
(64) 
– 
(119) 
(119) 
– 
Net profit/(loss) 
924 
(409) 
1,333 
233 
(511) 
744 
433 
 (717) 
1,150 
 
 
 
 
 
 
 
 
 
 
Net profit/(loss) attributable to: 
 
 
 
 
 
 
 
 
 
Equity holders of the parent entity 
910 
(423) 
1,333 
216 
(528) 
744 
398 
(752) 
1,150 
Non-controlling interests 
14 
14 
– 
17 
17 
– 
35 
35 
– 
 
924 
(409) 
1,333 
$ 233 
$ (511) 
$ 744 
$ 433 
$ (717) 
$ 1,150 
 
Intra-group revenues of Raspadskaya Group consisted of the following: 
US$ million 
2021 
2020 
2019 
Revenues from sales to segments other than the Coal segment – inter-segment 
sales (Note 3) 
$ 766 
$ 538 
$ 721 
Revenues from sales to the Coal segment – intra-segment sales 
659 
265 
491 
 
$ 1,425 
$ 803 
$ 1,212 
 
 
 
 
13. DISCONTINUED OPERATIONS (CONTINUED) 
Raspadskaya Group Disclosures (continued) 
The cash flows of Raspadskaya Group were as follows: 
US$ million 
2021 
2020 
2019 
 
Total 
Discontinued 
operations 
Intra-group 
operations 
Total  
Discontinued 
operations 
Intra-group 
operations 
Total  
Discontinued 
operations 
Intra-group 
operations 
 
 
 
 
 
 
 
 
 
 
Net cash provided by/(used in) operating 
activities 
$ 869  
$ (239) 
$ 1,108  
$ 103  
$ (334) 
$ 437 
$ 947  
$ (502)  
$ 1,449 
Net cash provided by/(used in) investing 
activities 
(1,121) 
(216) 
(905) 
113 
(142) 
255 
(272) 
(230) 
(42) 
Net cash provided by/(used in) financing 
activities 
75 
324 
(249) 
(228) 
(54) 
(174) 
(176) 
(49) 
(127) 
 
 
The major classes of assets and liabilities of a disposal group held for distribution to owners, which were measured at the lower of carrying amount and 
fair value less costs of distribution, are presented in the table below. These assets and liabilities do not include balances of Raspadskaya Group 
receivable from or payable to EVRAZ plc and its other subsidiaries as they were eliminated on consolidation. 
US$ million 
31 December 2021 
Non-current assets 
 
Property, plant and equipment 
$ 1,436 
Intangible assets other than goodwill 
4 
Deferred income tax assets 
8 
Other non-current assets 
3 
 
1,451 
Current assets 
 
Inventories 
104 
Accounts receivable and other current assets 
97 
Taxes receivable 
117 
Cash and cash equivalents 
400 
 
718 
 
 
Assets of disposal groups classified as held for distribution to owners 
2,169 
 
 
Non-current liabilities 
 
Long-term loans 
400 
Deferred income tax liabilities 
93 
Employee benefits 
44 
Provisions 
105 
Lease liabilities 
15 
Other non-current liabilities 
11 
 
668 
Current liabilities 
 
Trade and other payables 
123 
Income tax and other taxes payable 
197 
Provisions 
20 
Lease liabilities 
6 
Other current liabilities 
18 
 
364 
 
 
Liabilities directly associated with disposal groups classified as held for 
distribution to owners 
1,032 
 
Supplementary disclosures illustrating the assets, liabilities and financial results of the Group excluding Raspadskaya Group are provided in Note 35. 
 
 
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13. DISCONTINUED OPERATIONS (CONTINUED) 
Re-presentation of Consolidated Statement of Operations of EVRAZ plc 
The Group’s consolidated statement of operations was prepared so that the discontinued operations would be excluded from the consolidated 
amounts and presented as a single amount. The comparatives in the statement of operations were re-presented in the same way. No adjustments to 
comparative data were made for the assets and liabilities in the statement of financial position. The consolidated amounts below represent the income 
statements as if Raspadskaya Group had not met the criteria of a discontinued operation at 31 December 2021. 
US$ million 
2021 
2020 
2019 
 
Consolidated 
Less: 
discontinued 
operations 
As reported 
Consolidated  
(as previously 
reported) 
 Less: 
discontinued 
operations 
As reported 
Consolidated  
(as previously 
reported) 
 Less: 
discontinued 
operations 
As reported 
Continuing operations 
 
 
 
 
 
 
 
 
 
Revenue 
 
 
 
 
 
 
 
 
 
Sale of goods 
$ 13,893  
(669) 
$ 13,224  
$ 9,514 
$ (292) 
$ 9,222 
$ 11,569 
$ (452) 
$ 11,117 
Rendering of services 
266 
(4) 
262 
240 
(10) 
230 
336 
(9) 
327 
 
14,159 
(673) 
13,486 
9,754 
(302) 
9,452 
11,905 
(461) 
11,444 
Cost of revenue 
(8,139) 
685 
(7,454) 
(6,712) 
720 
(5,992) 
(8,273) 
719 
(7,554) 
Gross profit 
6,020 
12 
6,032 
3,042 
418 
3,460 
3,632 
258 
3,890 
 
 
 
 
 
 
 
 
 
 
Selling and distribution costs 
(907) 
80 
(827) 
(840) 
52 
(788) 
(966) 
99 
(867) 
General and administrative expenses 
(617) 
72* 
(545) 
(552) 
59 
(493) 
(611) 
75 
(536) 
Social and social infrastructure maintenance 
expenses 
(35) 
5 
(30) 
(31) 
2 
(29) 
(26) 
3 
(23) 
Gain/(loss) on disposal of property, plant and 
equipment, net 
(8) 
1 
(7) 
(3) 
– 
(3) 
3 
3 
6 
Impairment of non-financial assets 
(30) 
8 
(22) 
(310) 
(3) 
(313) 
(442) 
107 
(335) 
Foreign exchange gains/(losses), net 
34 
(23) 
11 
408 
(112) 
296 
(341) 
30 
(311) 
Other operating income 
20 
(4) 
16 
22 
(3) 
19 
22 
(3) 
19 
Other operating expenses 
(64) 
19 
(45) 
(65) 
22 
(43) 
(54) 
12 
(42) 
Profit from operations 
4,413 
170 
4,583 
1,671 
435 
2,106 
1,217 
584 
1,801 
 
 
 
 
 
 
 
 
 
 
Interest income 
5 
(1) 
4 
6 
(1) 
5 
8 
(1) 
7 
Interest expense 
(232) 
20 
(212) 
(328) 
13 
(315) 
(336) 
16 
(320) 
Share of profits/(losses) of joint ventures and 
associates 
14 
– 
14 
2 
– 
2 
9 
– 
9 
Impairment of non-current financial assets 
– 
– 
– 
– 
– 
– 
(56) 
– 
(56) 
Gain/(loss) on financial assets and liabilities, 
net 
(21) 
1 
(20) 
(71) 
– 
(71) 
17 
– 
17 
Gain/(loss) on disposal groups classified as 
held for sale, net 
2 
– 
2 
1 
– 
1 
29 
– 
29 
Other non-operating gains/(losses), net 
3 
(3) 
– 
14 
– 
14 
14 
(1) 
13 
Profit before tax 
4,184 
187 
4,371 
1,295 
447 
1,742 
902 
598 
1,500 
Income tax expense 
(1,077) 
230 
(847) 
(437) 
64 
(373) 
(537) 
119 
(418) 
Net profit from continuing operations 
3,107  
417 
3,524 
858 
511 
1,369 
 365 
 717 
 1,082 
Net loss from discontinued operations 
– 
(417) 
(417) 
– 
(511) 
(511) 
– 
 (717) 
 (717) 
Net profit 
3,107 
– 
3,107 
 858 
 – 
 858 
365 
 – 
 365 
 
 
 
 
 
 
 
 
 
Net profit from continuing operations 
attributable to: 
 
 
 
 
 
 
 
 
Equity holders of the parent entity 
 3,034  
431 
3,465  
 848 
 528 
 1,376 
 326 
752 
1,078 
Non-controlling interests 
73 
(14) 
59 
10 
(17) 
(7) 
39 
(35) 
4 
 
3,107 
417 
3,524 
858 
511 
 1,369 
365 
717 
1,082 
Net loss from discontinued operations 
attributable to: 
 
 
 
 
 
 
 
 
 
Equity holders of the parent entity 
– 
(431) 
(431) 
– 
(528) 
(528) 
– 
(752) 
(752) 
Non-controlling interests 
– 
14 
14 
– 
17 
17 
– 
35 
35 
 
– 
(417) 
(417) 
– 
(511) 
(511) 
– 
(717) 
(717) 
Net profit attributable to: 
 
 
 
 
 
 
 
 
 
Equity holders of the parent entity 
3,034 
– 
3,034 
 848 
– 
848 
326 
– 
326 
Non-controlling interests 
73 
– 
73 
10 
– 
10 
39 
– 
39 
 
$ 3,107  
$ – 
$ 3,107 
$ 858 
$ – 
$ 858 
$ 365 
$ – 
$ 365 
 
*including $8 million of transaction costs directly attributable to the distribution of Raspadskaya Group 
Supplementary disclosures illustrating the assets, liabilities and financial results of the Group excluding Raspadskaya Group are provided in Note 35. 
 
14. OTHER NON-CURRENT ASSETS 
Other non-current assets consisted of the following as of 31 December: 
 
Non-current Financial Assets  
US$ million 
2021 
2020 
2019 
Derivatives not designated as hedging instruments (Note 25) 
$ 2 
$ 2 
$ 17 
Trade and other receivables 
12 
18 
16 
Loans receivable  
– 
– 
1 
Restricted deposits 
4 
6 
6 
 
$ 18 
$ 26 
$ 40 
 
Other Non-current Assets  
US$ million 
2021 
2020 
2019 
Safety stock inventories 
$ 22 
$ 28 
$ 29 
Defined benefit asset (Note 23) 
25 
– 
12 
Income tax receivable 
8 
8 
6 
Other 
7 
9 
8 
 
$ 62 
$ 45 
$ 55 
 
15. INVENTORIES 
Inventories consisted of the following as of 31 December: 
US$ million 
2021 
2020 
2019 
Raw materials and spare parts  
$ 686 
$ 542 
$ 811 
Work-in-progress 
237 
136 
185 
Finished goods 
642 
407 
484 
 
$ 1,565 
$ 1,085 
$ 1,480 
 
All respective inventory lines presented above are shown at lower of cost and net realisable value. As of 31 December 2021, 2020 and 2019, the net 
realisable value allowance was $24 million, $29 million and $39 million, respectively.  
As of 31 December 2021, 2020 and 2019, certain items of inventory with an approximate carrying amount of $556 million, $414 million and 
$512 million, respectively, were pledged to banks as collateral against loans provided to the Group (Note 22). 
 
16. TRADE AND OTHER RECEIVABLES 
Trade and other receivables consisted of the following as of 31 December: 
US$ million 
2021 
2020 
2019 
Trade accounts receivable 
$ 612 
$ 345 
$ 481 
Other receivables 
45 
70 
99 
 
657 
415 
580 
Allowance for expected credit losses 
(31) 
(37) 
(46) 
 
$ 626 
$ 378 
$ 534 
 
Ageing analysis and movement in allowance for expected credit losses are provided in Note 28. 
 
 
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17. RELATED PARTY DISCLOSURES  
Related parties of the Group include associates and joint venture partners, key management personnel and other entities that are under the control or 
significant influence of the key management personnel and the Group’s ultimate controlling parties. In considering each possible related party 
relationship, attention is directed to the substance of the relationship, not merely the legal form. 
 
Amounts owed by/to related parties, included in current and non-current assets and liabilities, at 31 December were as follows: 
 
Amounts due from  
related parties 
Amounts due to 
related parties 
US$ million 
2021 
2020 
2019 
2021 
2020 
2019 
Loans 
 
 
 
 
 
 
Timir (Note 11) 
$ 10 
$ 9 
$ 9 
$ – 
$ – 
$ – 
Sale of investments 
 
 
 
 
 
 
Streamcore 
– 
– 
– 
– 
– 
5 
Trade balances 
 
 
 
 
 
 
Nakhodka Trade Sea Port 
– 
– 
– 
4 
10 
7 
Vtorresource-Pererabotka 
30 
– 
1 
44 
28 
5 
Other entities 
4 
1 
– 
2 
– 
2 
 
44 
10 
10 
50 
38 
19 
Less: allowance for expected credit losses 
– 
– 
– 
– 
– 
– 
 
$ 44 
$ 10 
$ 10 
$ 50  
$ 38 
$ 19 
 
In 2019–2021, the Group did not recognise any expense or income in relation to the expected credit losses of related parties.  
 
 
Transactions with related parties were as follows for the years ended 31 December: 
 
 
Sales to 
related parties 
Purchases from 
related parties 
US$ million 
2021 
2020 
2019 
2021 
2020 
2019 
Allegro 
$ 5 
$ – 
$ 4 
$ – 
$ – 
$ – 
Genalta Recycling Inc. 
– 
– 
– 
11 
8 
10 
Nakhodka Trade Sea Port 
– 
– 
– 
67 
77 
72 
Vtorresource-Pererabotka 
4 
3 
6 
653 
376 
498 
Yuzhny GOK 
13 
7 
28 
– 
– 
77 
Other entities  
1 
1 
1 
2 
2 
1 
 
$ 23 
$ 11 
$ 39 
$ 733 
$ 463 
$ 658 
 
In addition to the disclosures presented in this note, some of the balances and transactions with related parties are disclosed in Note 11.  
Allegro is a Group’s joint venture, which will produce railway wheels once the current construction of plant is completed. In 2021, the Group sold 
constructon steel products to Allegro. In 2021, the Group invested $10 million in cash in the share capital of Allegro. In addition, the Group issued 
a guarantee in respect of the bank loan received by Allegro (Note 30). 
Genalta Recycling Inc. is a joint venture of a Canadian subsidiary of the Group. It sells scrap metal to the Group.  
Lanebrook Limited (Cyprus) is an entity under common control with EVRAZ plc. The Group had other receivables from Lanebrook Limited, amounting to 
$32 million, in connection with the acquisition of a 1% ownership interest in Yuzhny GOK in 2008. In 2019, these receivables were settled by cash. 
Nakhodka Trade Sea Port (“NTSP”) is an entity under common control with EVRAZ plc. NTSP is located at the Far East of Russia, in a bay of the Sea 
of Japan, and it renders handling services to the Group. 
Streamcore Limited (“Streamcore”) is a joint venture of the Group (Note 11). In 2019, the Group received from Streamcore an advance payment for the 
sale of another associate of the Group, RVK Limited, to Streamcore for $5 million. At the end of 2019 this transaction was not completed. In 2020, the 
share in RVK Limited was transferred to Streamcore and the Group recognised a $5 million gain on sale, which was recorded within the Other non-
operating expense caption of the consolidated statement of operations.  
Vtorresource-Pererabotka is a subsidiary of Streamcore, the Group’s joint venture (Note 11). It sells scrap metal to the Group and provides scrap 
processing and other services. In 2021, 2020 and 2019, the purchases of scrap metal from Vtorresource-Pererabotka amounted to $621 million 
(1,618,871 tonnes), $344 million (1,378,211 tonnes) and $424 million (1,640,750 tonnes), respectively. Vtorresource-Pererabotka also provides to 
the Group services, such as scrap cutting, slag processing, cleaning of slag ladles. At 31 December 2021, 2020 and 2019, $187 million, $131 million 
and $156 million payable by the Group to Vtorresource-Pererabotka were classified as trade payables to third parties as Vtorresource-Pererabotka sold 
its receivables under factoring contracts to several banks with no recourse (Note 26). In addition, at 31 December 2020, $10 million receivable by 
the Group from Vtorresource-Pererabotka was classified as trade receivables from third parties due to factoring arrangements. 
 
17. RELATED PARTY DISCLOSURES (CONTINUED) 
Yuzhny GOK, an ore mining and processing plant, is an associate of an entity, which is under common control with EVRAZ plc. The Group sold steel 
products to Yuzhny GOK and purchased sinter from the entity. In 2019 and 2018, the Group recognised dividend income from Yuzhny GOK amounting 
to $3 million and $4 million, respectively, within the other non-operating gains/(losses) caption in the consolidated statement of operations. All these 
dividends were received by the Group in 2019. 
 
The transactions with related parties were based on prevailing market terms. 
 
Compensation to Key Management Personnel 
Key management personnel include the following positions within the Group: 
• 
directors of the Company, 
• 
vice presidents, 
• 
senior management of major subsidiaries. 
 
In 2021, 2020 and 2019, key management personnel totalled 28, 28 and 30 people, respectively. Total compensation to key management personnel 
were included in general and administrative expenses in the consolidated statement of operations and consisted of the following: 
US$ million 
2021 
2020 
2019 
Salary 
$ 12 
$ 13 
$ 14 
Performance bonuses 
12 
7 
12 
Social insurance contributions 
3 
3 
4 
Share-based payments (Note 21) 
6 
7 
7 
Termination benefits 
1 
1 
1 
 
$ 34 
$ 31 
$ 38 
 
Other disclosures on directors' remuneration required by Schedule 8 to the Large and Medium-sized Companies and Groups (Accounts & Reports) 
regulations 2008 are included in the Directors' Remuneration Report. 
 
18. OTHER TAXES RECOVERABLE 
Taxes recoverable consisted of the following as of 31 December: 
US$ million 
2021 
2020 
2019 
Input VAT 
$ 39 
$ 45 
$ 73 
Other taxes 
132 
133 
102 
 
$ 171 
$ 178 
$ 175 
 
Input VAT, representing amounts payable or paid to suppliers, is recoverable from the tax authorities via offset against VAT payable to the tax 
authorities on the Group’s revenue or direct cash receipts from the tax authorities. Management periodically reviews the recoverability of the balance of 
input value added tax and believes it is fully recoverable within one year. 
 
19. CASH AND CASH EQUIVALENTS  
Cash and cash equivalents, mainly consisting of cash at banks, were denominated in the following currencies as of 31 December:  
US$ million 
2021 
2020 
2019 
US dollar 
$ 884 
$ 1,461 
$ 774 
Euro 
36 
34 
484 
Russian rouble 
74 
124 
134 
Other 
33 
8 
31 
 
$ 1,027 
$ 1,627 
$ 1,423 
 
At 31 December 2021, the assets of disposal groups classified as held for distribution to owners included cash amounting to $400 million. 
 
 
 
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19. CASH AND CASH EQUIVALENTS (CONTINUED) 
In addition, the Group had bank deposits with restrictions on their use, which are presented within the Other current financial assets caption of 
the consolidated statement of financial position. They include either cash advances received from customers, which cannot be used by the Group until 
fulfilment of contracts, or cash blocked under guarantees for tenders and guaranteed quality of products. 
US$ million 
2021 
2020 
2019 
Restricted deposits 
$ 12 
$ 2 
$ 4 
 
20. EQUITY  
Share Capital 
 
31 December 
Number of shares 
2021 
2020 
2019 
Ordinary shares, issued and fully paid 
1,506,527,294 
1,506,527,294 
1,506,527,294 
 
 
Treasury Shares 
 
31 December 
Number of shares 
2021 
2020 
2019 
Treasury shares 
47,837,582 
49,654,691 
54,620,233 
 
In 2015, EVRAZ plc repurchased 108,458,508 of its own shares ($336 million). Since that time treasury shares were used only in the Company’s 
Incentive Plans for employees (Note 21). 
In 2021, 2020 and 2019, 1,817,109 shares, 4,965,542 shares and 8,556,954 shares, respectively, were transferred to the participants of Incentive 
Plans. The cost of treasury shares transferred to the participants of Incentive Plans, amounted to $6 million, $15 million and $27 million in 2021, 
2020 and 2019, respectively.  
 
Earnings per Share 
Earnings per share are calculated by dividing the net income attributable to ordinary shareholders by the weighted average number of ordinary shares 
in issue during the period. Diluted earnings per share amounts are calculated by dividing the net profit attributable to ordinary equity holders by 
the weighted average number of ordinary shares outstanding during the period plus the weighted average number of ordinary shares that would be 
issued on the conversion of all the potential dilutive ordinary shares into ordinary shares. 
The following reflects the income and share data used in the basic and diluted earnings per share computations: 
 
2021 
2020 
2019 
Weighted average number of ordinary shares outstanding during the period 
1,458,027,587 
1,455,054,617 
1,448,789,048 
Effect of dilution: share options 
6,858,318 
7,949,696 
11,996,310 
Weighted average number of ordinary shares adjusted for the effect of dilution 
1,464,885,905 
1,463,004,313 
1,460,785,358 
 
 
 
 
Net profit for the year attributable to equity holders of the parent, US$ million 
$ 3,034 
$ 848 
$ 326 
of which net profit from continuing operations (Note 13) 
3,465 
1,376 
1,078 
of which net loss from discontinued operations (Note 13) 
(431) 
(528) 
(752) 
 
 
 
 
Earnings/(losses) per share: 
 
 
 
from continuing operations 
 
 
 
- basic 
$ 2.38 
$ 0.94 
$ 0.74 
- diluted 
$ 2.37 
$ 0.94 
$ 0.73 
 
 
 
 
from discontinued operations 
 
 
 
- basic 
$ (0.30) 
$ (0.36) 
$ (0.51) 
- diluted 
$ (0.30) 
$ (0.36) 
$ (0.51) 
 
 
 
 
from continuing and discontinued operations 
 
 
 
- basic 
$ 2.08 
$ 0.58 
$ 0.23 
- diluted 
$ 2.07 
$ 0.58 
$ 0.22 
 
 
 
 
20. EQUITY (CONTINUED) 
Dividends 
Dividends declared by EVRAZ plc during 2019–2021 were as follows: 
 
Date of declaration 
To holders  
registered at 
Dividends declared, 
US$ million 
US$ per share 
27/02/2019 
08/03/2019 
577.3 
0.40 
07/08/2019 
16/08/2019 
508.2 
0.35 
26/02/2020 
06/03/2020 
580.8 
0.40 
05/08/2020 
21/08/2020 
291.3 
0.20 
24/02/2021 
12/03/2021 
437.1 
0.30 
15/04/2021 
28/05/2021 
291.7 
0.20 
04/08/2021 
13/08/2021 
802.3 
0.55 
14/12/2021 
24/12/2021 
291.7 
0.20 
 
21. SHARE-BASED PAYMENTS  
In 2019-2021, the Group had a number of Incentive Plans under which certain senior executives and employees (“participants”) could be awarded 
shares of the parent company upon vesting. These plans were adopted on 26 October 2015, 15 September 2016, 25 September 2017, 26 September 
2018, 25 September 2019, 28 September 2020 and 20 September 2021. 
The vesting under Incentive Plans adopted before 2017 does not depend on the achievement of any performance conditions. The new Plans adopted 
in 2017 and later provide that the number of shares transferred to participants upon vesting is dependent on the Group’s performance versus 
a selected group of peers. EBITDA and total shareholder return (“TSR”) are used as the key performance indicators. If the Group’s EBITDA achieves 
a specific ranking in the peer group (not lower than the 7th place in terms of EBITDA dynamics), then 50% of the shares of a particular tranche become 
vested, otherwise they are forfeited. If the Group’s TSR is not lower than the 7th place in the peer group, then the other 50% of the shares of a particular 
tranche become vested, otherwise they are forfeited. Subject to the resolution of the Remuneration Committee, EBITDA can become the only metric in 
the performance evaluation (in case if the net debt to EBITDA ratio is equal to 3 or higher). The TSR-related vesting condition was considered by the 
Group as a market condition. As such, it was included in the estimation of the fair value of the granted shares and will not be subsequently revised. 
The vesting condition related to EBITDA was not taken into account when estimating the fair value of the share options at the grant date. Instead, this 
is taken into account by adjusting the share-based expense based on the number of share options that eventually vest. 
The vesting date for each tranche occurs within the 90-day period after announcement of the annual results. The expected vesting dates of the awards 
outstanding at 31 December 2021 are presented below: 
 
Number of Shares of EVRAZ plc 
Total 
Incentive Plan 2021 
Incentive Plan 2020 
Incentive Plan 2019 
Incentive Plan 2018 
March 2022 
2,650,867 
493,793 
909,289 
621,163 
626,622 
March 2023 
2,478,996 
493,793 
1,363,942 
621,261 
– 
March 2024 
2,104,643 
740,677 
1,363,966 
– 
– 
March 2025 
740,676 
740,676 
– 
– 
– 
 
7,975,182 
2,468,939 
3,637,197 
1,242,424 
626,622 
 
The plans are administered by the Board of Directors of EVRAZ plc. The Board of Directors has the right to accelerate vesting of the grant. In the event 
of a participant’s employment termination, unless otherwise determined by the Board or by a decision of the authorised person, a participant loses 
the entitlement for the shares that were not awarded up to the date of termination.  
There have been no modifications or cancellations to the plans during 2019–2021.  
The Group accounted for share-based compensation at fair value pursuant to the requirements of IFRS 2 “Share-based Payment”. The weighted 
average fair value of share-based awards granted in 2021, 2020 and 2019 was $5.76, $3.23 and $4.25 per share, respectively. The fair value of 
these awards was estimated at the date of grant and measured at the market price of the shares of the parent company reduced by the present value 
of dividends expected to be paid during the vesting period. The following inputs, including assumptions, were used in the valuation of Incentive Plans, 
which were effective during 2018-2020: 
 
 
Incentive Plan 
2021 
Incentive Plan 
2020 
Incentive Plan 
2019 
Incentive Plan 
2018 
Incentive Plan 
2017 
Incentive Plan 
2016 
Incentive Plan 
2015 
Dividend yield (%) 
1.7 – 2.25 
3.2 – 4.1 
2.3 – 3.0 
1.8 – 2.3 
2.1 – 2.9 
n/a 
7.3 – 9.1 
Expected life (years)  
0.5 – 3.5 
0.5 – 3.5 
0.5 – 3.5 
0.5 – 3.5 
0.5 – 3.5 
0.5 – 3.5 
0.6 – 3.6 
Market prices of the shares of 
EVRAZ plc at the grant dates 
$7.73 
$4.31 
$5.75 
$7.36 
$3.86 
$1.73 
$1.36 
 
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21. SHARE-BASED PAYMENTS (CONTINUED) 
The following table illustrates the number of, and movements in, share-based awards during the years. 
Number of shares 
2021 
2020 
2019 
Outstanding at 1 January 
9,922,485 
10,771,774 
17,755,977 
Granted during the year 
2,468,939 
5,100,822 
2,578,803 
Forfeited during the year 
(2,599,133) 
(984,569) 
(1,006,052) 
Vested and exercised during the year 
(1,817,109) 
(4,965,542) 
(8,556,954) 
Outstanding at 31 December 
7,975,182 
9,922,485 
10,771,774 
 
The weighted average share price at the dates of exercise was $9.46, $2.97 and $7.21 in 2021, 2020 and 2019, respectively. The weighted average 
remaining contractual life of the share-based awards outstanding as of 31 December 2021, 2020 and 2019 was 1.4, 1.4 and 1.1 years, respectively. 
In the years ended 31 December 2021, 2020 and 2019, the expense arising from the equity-settled share-based compensations was as follows: 
US$ million 
2021 
2020 
2019 
Expense arising from equity-settled share-based payment transactions 
$ 12 
$ 11 
$ 13 
 
22. LOANS AND BORROWINGS 
The Group had the following loans and borrowings as of 31 December: 
 
2021 
2020 
2019 
US$ million 
Total 
Non-
current 
Current 
Total  
Non-
current 
Current 
Total  
Non-
current 
Current 
Bank loans 
$ 1,756  
$ 1,697  
$ 59 
$ 1,550 
$ 1,506 
$ 44 
$ 1,342 
$ 1,300 
$ 42 
Other loans 
51 
41 
10 
58 
48 
10 
62 
52 
10 
US dollar-denominated  
 
 
 
 
 
 
 
 
 
8.25% notes due 2021 
– 
– 
– 
735 
– 
735 
750 
750 
– 
6.75% notes due 2022 
– 
– 
– 
500 
500 
– 
500 
500 
– 
5.375% notes due 2023 
750 
750 
– 
750 
750 
– 
750 
750 
– 
5.25% notes due 2024 
700 
700 
– 
700 
700 
– 
700 
700 
– 
Rouble-denominated 
 
 
 
 
 
 
 
 
 
12.95% rouble bonds due 2019 
– 
– 
– 
– 
– 
– 
– 
– 
– 
12.60% rouble bonds due 2021 
– 
– 
– 
203 
– 
203 
242 
242 
– 
7.95% rouble bonds due 2024 
269 
269 
– 
271 
271 
– 
323 
323 
– 
Unamortised debt issue costs  
(17) 
(17) 
– 
(16) 
(16) 
– 
(18) 
(18) 
– 
Interest payable 
32 
– 
32 
86 
– 
86 
88 
– 
88 
 
$ 3,541 
$ 3,440 
$ 101 
$ 4,837 
$ 3,759 
$ 1,078 
$ 4,739 
$ 4,599 
$ 140 
 
At 31 December 2021, the borowings relating to Raspadskaya Group amounted to $400 million of long-term loans. In the statement of financial 
position at 31 December 2021 they were included in liabilities directly associated with disposal groups classified as held for distribution to owners 
(Note 13). 
The average effective annual interest rates were as follows at 31 December: 
 
Long-term borrowings 
Short-term borrowings 
 
2021 
2020 
2019 
2021 
2020 
2019 
US dollar 
3.73% 
4.76% 
5.74% 
– 
8.00% 
3.31% 
Russian rouble 
7.80% 
7.22% 
9.94% 
– 
12.59% 
7.83% 
Euro 
– 
2.23% 
2.39% 
0.54% 
1.03% 
0.70% 
Canadian dollar 
0% 
2.56% 
4.08% 
– 
– 
– 
 
The liabilities are denominated in the following currencies at 31 December: 
US$ million 
2021 
2020 
2019 
US dollar 
$ 3,186 
$ 3,993 
$ 4,027 
Russian rouble 
346 
761 
586 
Canadian dollar 
13 
75 
120 
Euro 
13 
24 
24 
Unamortised debt issue costs 
(17) 
(16) 
(18) 
 
$ 3,541 
$ 4,837 
$ 4,739 
 
22. LOANS AND BORROWINGS (CONTINUED) 
The movement in loans and borrowings was as follows: 
US$ million 
2021 
2020 
2019 
1 January 
$ 4,837 
$ 4,739 
$ 4,563 
Cash changes: 
 
 
 
Cash proceeds from bank loans and notes, net of debt issues costs 
2,325 
1,218 
2,805 
Repayment of bank loans and notes, including interest 
(3,403) 
(1,304) 
(3,035) 
Net proceeds from/(repayment of) bank overdrafts and credit lines, including 
interest 
(1) 
(25) 
22 
Covenants reset charges 
(10) 
– 
– 
Non-cash changes: 
 
 
 
Interest and other charges expensed relating to continuing operations (Note 7) 
188 
291 
291 
Interest and other charges expensed relating to discontinued operations (Note 7) 
8 
– 
– 
Accrual of premiums and other charges on early repayment of borrowings 
(Note 7) 
9 
– 
27 
Transfer to disposal groups held for distribution (Note 13) 
(400) 
– 
– 
Effect of exchange rate changes 
(12) 
(82) 
66 
31 December 
$ 3,541 
$ 4,837 
$ 4,739 
 
Pledged Assets 
The Group’s pledged assets at carrying value included the following at 31 December: 
US$ million 
2021 
2020 
2019 
Property, plant and equipment 
$ 55 
$ 47 
$ 72 
Inventory 
556 
414 
512 
 
Issuer Substitution 
On 13 March 2019, EVRAZ plc assumed the liabilities of Evraz Group S.A. as the issuer of all outstanding US dollar-denominated notes with the total 
nominal value of $2,700 million. 
 
Issue of Notes and Bonds 
In April 2019, EVRAZ plc issued 5.25% US dollar-denominated notes due 2024 in the amount of $700 million. The proceeds from the issue of 
the notes were used to finance the purchase of 6.50% notes due 2020 at the tender offer in April 2019 and make whole call in May 2019. 
In August 2019, EvrazHolding Finance, the Group’s subsidiary, issued 7.95% rouble-denominated bonds due 2024 in the amount of 20,000 million 
roubles ($317 million at the exchange rate at the date of the transaction).  
 
Repurchase of Notes and Bonds 
In January and March 2021, the Group fully settled its 8.25% notes and 12.6% rouble-denominated bonds, respectively, which were due in 2021. 
There was no gain or loss on these transactions.  
In addition, in June and August 2021 the Group partially repurchased the 6.75% notes, which were due in 2022, and in October 2021 fully settled the 
remaining liabilities under these notes, which resulted in a $9 million loss included in the Gain/(loss) on financial assets and liabilities caption of 
the consolidated statement of operations. 
In November 2020, the Group partially repurchased its 8.25% notes due 2021 ($15 million). There was no gain or loss on the transaction.  
In April and May 2019, the Group fully settled its 6.50% notes due 2020 ($700 million). The premium over the carrying value on the repurchase and 
other costs relating to the transaction in the total amount of $26 million were charged to the Gain/(loss) on financial assets and liabilities caption of 
the consolidated statement of operations.  
In June 2019, the Group fully settled its 12.95% rouble bonds due 2019, there was no gain or loss on this transaction. Upon repayment of these 
bonds, the related swap contracts matured and the Group recycled $33 million of the accumulated unrecognised gains on cash flow hedges from other 
comprehensive income to the statement of operations. 
 
Compliance with Financial Covenants 
Some of the loan agreements and terms and conditions of notes provide for certain covenants in respect of EVRAZ plc and its subsidiaries. 
The covenants impose restrictions in respect of certain transactions and financial ratios, including restrictions in respect of indebtedness. EBITDA used 
for covenants compliance calculations is determined based on the definitions of the respective loan agreements and may differ from that used by 
management for evaluation of performance. 
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22. LOANS AND BORROWINGS (CONTINUED) 
Several bank credit facilities totalling $1,697 million contain certain financial maintenance covenants. These covenants require EVRAZ plc to maintain 
two key ratios, consolidated net indebtedness to 12-month consolidated EBITDA and 12-month consolidated EBITDA to adjusted 12-month 
consolidated interest expense, within certain limits. A breach of one or both of these ratios would constitute an event of default under the facilities, 
which in turn may trigger cross default events under other debt instruments of the Group. The terms of certain facilities also set certain limitations on 
acquisitions and disposals by EVRAZ plc. 
At 31 December 2021 notes due in 2023 and 2024, totalling $1,450 million have covenants restricting the incurrence of indebtedness by the issuer 
and its consolidated subsidiaries conditional on a gross leverage ratio. While the ratio level itself does not constitute a breach of covenants, exceeding 
the threshold of 3.5 times triggers a restriction on incurrence of consolidated indebtedness, which is removed once the ratio goes back below the 
threshold. The effect of the restriction is such that EVRAZ plc and its subsidiaries would not be allowed to increase the consolidated indebtedness, but 
are allowed to refinance existing indebtedness subject to certain conditions. As of 31 December 2021, the Group’s gross leverage ratio was below 3.5. 
Two bank credit facilities of Raspadskaya totalling $400 million contain financial maintenance covenants based on the consolidated financial 
statements of Raspadskaya. These covenants require Raspadskaya to maintain 2 key ratios within certain limits (consolidated net indebtedness to 
12-month consolidated EBITDA and 12-month consolidated EBITDA to adjusted 12-month consolidated interest expense). A breach of one or both of 
these ratios would constitute an event of default under the facilities, which in turn may trigger cross default events under other debt instruments of the 
Group. If Raspadskaya Group ceases to be a subsidiary of EVRAZ plc as a result of the potential demerger (Notes 2 and 13), a breach of covenants 
under these facilities will not trigger a cross default event under the debt instruments of EVRAZ plc and its other subsidiaries. 
Several bank credit facilities totalling $83 million provide for certain covenants restricting the incurrence of indebtedness by EVRAZ North America plc 
and its subsidiaries conditional on a fixed charge ratio. Once the threshold for the ratio is exceeded, it triggers restrictions on incurrence of additional 
indebtedness by EVRAZ North America plc and its subsidiaries. 
The incurrence covenants are in line with the Group’s financial strategy and, therefore, do not constitute any excessive restriction on its operations. 
During 2021 the Group was in compliance with all financial and non-financial covenants. In 2021, in connection with the noteholders’ and lenders’ 
consent to the potential demerger of Raspadskaya Group (Note 13) and the related amendments of the notes and bank loans' terms the Group paid 
$10 million. These charges will be amortised during the term of the respective notes and bank loans. 
 
Unamortised Debt Issue Costs 
Unamortised debt issue costs represent bank fees and transaction costs paid by the Group in relation to the arrangement and reset of loans and notes.  
 
Unutilised Borrowing Facilities 
The Group had the following unutilised borrowing facilities as of 31 December: 
US$ million 
2021 
2020 
2019 
Committed 
623 
937 
447 
Uncommitted 
848 
424 
1,165 
Total unutilised borrowing facilities 
$ 1,471 
$ 1,361 
$ 1,612 
 
 
 
 
23. EMPLOYEE BENEFITS  
Russian Plans 
Certain Russian subsidiaries of the Group provide regular lifetime pension payments and lump-sum amounts payable at retirement date. These 
benefits generally depend on years of service, level of remuneration and amount of pension payment under the collective bargaining agreements. 
Other post-employment benefits consist of various compensations and certain non-cash benefits. The Group funds the benefits when the amounts of 
benefits fall due for payment.  
In addition, some subsidiaries have defined benefit plans under which contributions are made to a separately administered non-state pension fund. 
The Group matches 100% of the employees’ contributions to the fund up to 4% of their monthly salary. The Group’s contributions become payable at 
the participants’ retirement dates. At the end of the reporting year the benefit obligation was valued based on the terms of the pension plan assuming 
that all defined benefit plan participants will continue to participate in the plan. 
Defined contribution plans represent payments made by the Group to the Russian state pension, social insurance and medical insurance funds at 
the statutory rates in force, based on gross salary payments. The Group has no legal or constructive obligation to pay further contributions in respect of 
those benefits. 
 
US and Canadian Plans 
The Group’s subsidiaries in the USA and Canada have defined benefit pension plans that cover specified eligible employees. Benefits are based on 
pensionable years of service, pensionable compensation, or a combination of both depending on the individual plan. The subsidiaries also have U.S. 
and Canadian supplemental retirement plans (“SERP’s”), which are non-qualified plans designed to maintain benefits for eligible employees at the plan 
formula level. The subsidiaries provide other unfunded post-retirement medical and life insurance plans (“OPEB’s”) for certain of their eligible 
employees upon retirement after completion of a specified number of years of service. For the pension plans, SERP’s and OPEB’s, the subsidiaries use 
a measurement date for plan assets and obligations of 31 December. 
Certain employees that were hired after specified dates are no longer eligible to participate in the defined benefit pension plans. Those employees are 
instead enrolled in defined contribution plans and receive a contribution funded by the Group’s subsidiaries equal to 3–7% of annual wages, including 
applicable bonuses. The defined contribution plans are funded throughout the year and, depending on their work location, participants’ benefits 
vesting dates range from immediate to after three years of service. In two Canadian locations, employees hired after a specific date participate in 
hybrid defined benefit/defined contribution pension plans.  The benefits in the hybrid pension plans are at a reduced benefit for the defined benefit, 
and the defined contribution portion is funded at 1.5-1.6% of annual wages.  In addition, the subsidiaries have defined contribution plans available for 
eligible U.S. and Canadian-based employees in which the subsidiaries generally match a percentage of the participants’ contributions. 
Some Canadian employees participate in a retirement savings plan. For these employees, the participation may be voluntary, employee contributions 
are matched by the employer at 1-1.5% of annual wages, including applicable bonuses, and depending on the group of employees, are funded either 
annually or throughout the year.  
 
Other Plans 
Defined benefit pension plans and defined contribution plans are maintained by the subsidiaries located in Europe. 
 
 
Defined Contribution Plans 
 
The Group’s expenses under defined contribution plans were as follows: 
 
US$ million 
2021 
2020 
2019 
Expense under defined contribution plans 
$ 287 
$ 257 
$ 274 
Continuing operations 
212 
191 
204 
Discontinued operations 
75 
66 
70 
 
Defined Benefit Plans 
 
The Russian and other defined benefit plans were mostly unfunded and the US and Canadian plans were partially funded. 
Except as disclosed above in 2021 there were no significant plan amendments, curtailments or settlements.  
The Group’s defined benefit plans are exposed to the risks of unexpected growth in benefit payments as a result of increases in life expectancy, 
inflation, and salaries. As the plan assets include significant investments in quoted and unquoted equity shares, corporate and government bonds and 
notes, the Group is also exposed to equity market risk. 
The components of net benefit expense recognised in the consolidated statement of operations for the years ended 31 December 2021, 2020 and 
2019 and amounts recognised in the consolidated statement of financial position as of 31 December 2021, 2020 and 2019 for the defined benefit 
plans were as follows: 
 
 
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23. EMPLOYEE BENEFITS (CONTINUED) 
Net benefit expense (recognised in the statement of operations within cost of sales and selling, general and administrative expenses and interest 
expense) 
 
Year ended 31 December 2021 
US$ million 
Russian 
 plans 
US 
& Canadian  
plans 
Other 
 plans 
Total 
Current service cost 
$ (2) 
$ (19) 
$ – 
$ (21) 
Net interest expense 
(4) 
(3) 
– 
(7) 
Other 
– 
(3) 
– 
(3) 
Continuing operations 
$ (6) 
$ (25) 
$ – 
$ (31) 
Discontinued operations 
(5) 
$ – 
– 
(5) 
Net benefit expense 
$ (11) 
$ (25) 
$ – 
$ (36) 
 
In 2021, net benefit expense relating to the discontinued operations includes $(1) million of current service cost, $(2) million of net interest expense 
and $(2) million of net actuarial losses on other long-term employee benefits obligation. 
 
Year ended 31 December 2020 
US$ million 
Russian 
 plans 
US 
& Canadian  
plans 
Other 
 plans 
Total 
Current service cost 
$ (2) 
$ (18) 
$ – 
$ (20) 
Net interest expense 
(4) 
(4) 
– 
(8) 
Past service cost 
(2) 
– 
– 
(2) 
Other 
– 
(3) 
– 
(3) 
Continuing operations 
$ (8) 
$ (25) 
$ – 
$ (33) 
Discontinued operations 
(4) 
– 
– 
(4) 
Net benefit expense 
$ (12) 
$ (25) 
$ – 
$ (37) 
 
In 2020, net benefit expense relating to the discontinued operations includes $(1) million of current service cost and $(3) million of net interest 
expense. 
 
Year ended 31 December 2019 
US$ million 
Russian 
 plans 
US 
& Canadian  
plans 
Other 
 plans 
Total 
Current service cost 
$ (1) 
$ (17) 
$(1)  
$ (19) 
Net interest expense 
(4) 
(5) 
– 
(9) 
Past service cost 
(1) 
– 
– 
(1) 
Other 
– 
(3) 
– 
(3) 
Continuing operations 
$ (6) 
$ (25) 
$ (1) 
$ (32) 
Discontinued operations 
(9) 
– 
– 
(9) 
Net benefit expense 
$ (15) 
$ (25) 
$ (1) 
$ (41) 
 
In 2019, net benefit expense relating to the discontinued operations includes $(1) million of current service cost, $(4) million of net interest expense 
and $(4) million of net actuarial losses on other long-term employee benefits obligation. 
 
 
 
23. EMPLOYEE BENEFITS (CONTINUED) 
Gains/(losses) recognised in other comprehensive income 
 
Year ended 31 December 2021 
US$ million 
Russian 
 plans 
US 
& Canadian  
plans 
Other 
 plans 
Total 
Return on plan assets, excluding amounts included in net 
interest expense 
$ – 
$ 31 
$ – 
$ 31 
Net actuarial gains/(losses) on post-employment benefit 
obligation 
1 
54 
– 
55 
Effect of asset ceiling 
– 
(1) 
– 
(1) 
 
$ 1 
$ 84 
$ – 
$ 85 
 
 
Year ended 31 December 2020 
US$ million 
Russian 
 plans 
US 
& Canadian  
plans 
Other 
 plans 
Total 
Return on plan assets, excluding amounts included in net 
interest expense 
$ – 
$63 
$ – 
$63 
Net actuarial gains/(losses) on post-employment benefit 
obligation 
6 
(74) 
– 
(68) 
Effect of asset ceiling 
– 
2 
– 
2 
 
$ 6  
$ (9) 
$ – 
$ (3)  
 
 
Year ended 31 December 2019 
US$ million 
Russian 
 plans 
US 
& Canadian  
plans 
Other 
 plans 
Total 
Return on plan assets, excluding amounts included in net 
interest expense 
$ – 
$ 84 
$ – 
$ 84 
Net actuarial gains/(losses) on post-employment benefit 
obligation 
(15) 
(81) 
(3) 
(99) 
 
$ (15)  
$ 3  
$ (3) 
$ (15)  
 
Actual return on plan assets was as follows: 
US$ million 
2021 
2020 
2019 
Actual return on plan assets 
$ 46 
$ 82 
$ 105 
including: 
 
 
 
 US & Canadian plans 
46 
82 
105 
 Russian plans 
– 
– 
– 
 
Net defined benefit liability 
 
Year ended 31 December 2021 
US$ million 
Russian 
 plans 
US 
& Canadian  
plans 
Other 
 plans 
Total 
Benefit obligation 
$ 59 
$ 802 
$ 10 
$ 871  
Plan assets 
– 
(746) 
(7) 
(753) 
Net defined benefit asset (Note 14) 
– 
25 
– 
25 
Net defined benefit liability 
$ 59 
$ 81  
$ 3 
$ 143 
 
 
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23. EMPLOYEE BENEFITS (CONTINUED) 
 
Net defined benefit liability (continued) 
 
Year ended 31 December 2020 
US$ million 
Russian 
 plans 
US 
& Canadian  
plans 
Other 
 plans 
Total 
Benefit obligation 
$ 102 
$858 
$ 10 
$ 970  
Plan assets 
– 
(724) 
(6) 
(730) 
Net defined benefit asset (Note 14) 
– 
– 
– 
– 
Net defined benefit liability 
$ 102 
$ 134 
$ 4 
$ 240 
 
Year ended 31 December 2019 
US$ million 
Russian 
 plans 
US 
& Canadian  
plans 
Other 
 plans 
Total 
Benefit obligation 
$ 123  
$ 785  
$ 11  
$ 919  
Plan assets 
– 
(653) 
(7) 
(660) 
Net defined benefit asset (Note 14) 
– 
12 
– 
12 
Net defined benefit liability 
$ 123  
$ 144  
$ 4  
$ 271  
 
 
Movements in net defined benefit liability/(asset) 
 
US$ million 
Russian 
 plans 
US 
& Canadian  
plans 
Other 
 plans 
Total 
At 31 December 2018 
$ 91 
$ 132 
$ – 
$ 223 
 
 
 
 
 
Net benefit expense recognised in the statement of 
operations 
15 
25 
1 
41 
Contributions by employer 
(10) 
(15) 
– 
(25) 
(Gains)/losses recognised in other comprehensive income 
15 
(3) 
3 
15 
Reclassification to liabilities directly associated with disposal 
groups classified as held for sale 
– 
(7) 
– 
(7) 
Translation difference 
12 
– 
– 
12 
At 31 December 2019 
$ 123  
$ 132  
$ 4 
$ 259  
 
 
 
 
 
Net benefit expense recognised in the statement of 
operations 
12 
25 
– 
37 
Contributions by employer 
(7) 
(33) 
(1) 
(41) 
(Gains)/losses recognised in other comprehensive income 
(6) 
9 
– 
3 
Translation difference 
(20) 
1 
1 
(18) 
At 31 December 2020 
$ 102 
$ 134 
$ 4 
$ 240 
 
 
 
 
 
Net benefit expense recognised in the statement of 
operations 
11 
25 
– 
36 
Contributions by employer 
(8) 
(20) 
– 
(28) 
(Gains)/losses recognised in other comprehensive income 
(1) 
(84) 
– 
(85) 
Reclassification to liabilities directly associated with disposal 
groups classified as held for distribution to owners 
(44) 
– 
– 
(44) 
Translation difference 
(1) 
1 
(1)  
(1) 
At 31 December 2021 
$ 59 
$ 56 
$ 3 
$ 118  
 
 
 
 
 
 
 
23. EMPLOYEE BENEFITS (CONTINUED) 
Movements in benefit obligation 
US$ million 
Russian 
 plans 
US 
& Canadian  
plans 
Other 
 plans 
Total 
At 31 December 2018 
$ 91 
$ 687 
$ – 
$ 778 
 
 
 
 
 
Interest cost on benefit obligation 
8 
26 
– 
34 
Current service cost 
2 
17 
1 
20 
Past service cost 
1 
– 
– 
1 
Benefits paid 
(10) 
(36) 
(1) 
(47) 
Actuarial (gains)/losses on benefit obligation related to 
changes in demographic assumptions 
3 
(2) 
– 
1 
Actuarial (gains)/losses on benefit obligation related to 
changes in financial assumptions 
15 
83 
3 
101 
Actuarial (gains)/losses on benefit obligation related to 
experience adjustments 
1 
– 
– 
1 
Reclassification to liabilities directly associated with disposal 
groups classified as held for sale 
– 
(8) 
– 
(8) 
Other 
– 
– 
8 
8 
Translation difference 
12 
18 
– 
30 
At 31 December 2019 
$ 123  
$ 785  
$ 11  
$ 919 
 
 
 
 
 
Interest cost on benefit obligation 
7 
23 
– 
30 
Current service cost 
3 
18 
– 
21 
Past service cost 
2 
– 
– 
2 
Benefits paid 
(7) 
(51) 
(4) 
(62) 
Actuarial (gains)/losses on benefit obligation related to 
changes in demographic assumptions 
1 
(6) 
– 
(5) 
Actuarial (gains)/losses on benefit obligation related to 
changes in financial assumptions 
(1) 
84 
– 
83 
Actuarial (gains)/losses on benefit obligation related to 
experience adjustments 
(6) 
(4) 
– 
(10) 
Effect of asset ceiling 
– 
(2) 
– 
(2) 
Other 
– 
1 
2 
3 
Translation difference 
(20) 
10 
1 
(9) 
At 31 December 2020 
$ 102 
$ 858 
$ 10 
$ 970 
 
 
 
 
 
Interest cost on benefit obligation 
6 
18 
– 
24 
Current service cost 
3 
19 
– 
22 
Benefits paid 
(8) 
(44) 
– 
(52) 
Actuarial (gains)/losses on benefit obligation related to 
changes in demographic assumptions 
– 
(7) 
– 
(7) 
Actuarial (gains)/losses on benefit obligation related to 
changes in financial assumptions 
1 
(48) 
– 
(47) 
Actuarial (gains)/losses on benefit obligation related to 
experience adjustments 
– 
1 
– 
1 
Effect of asset ceiling 
– 
1 
– 
1 
Reclassification to liabilities directly associated with disposal 
groups classified as held for distribution to owners 
(44) 
– 
– 
(44) 
Translation difference 
(1) 
4 
– 
3 
At 31 December 2021 
$ 59 
$ 802 
$ 10 
$ 871 
 
 
The weighted average duration of the defined benefit obligation was as follows: 
 
Years 
2021 
2020 
2019 
Russian plans 
10.7 
11.0 
10.9 
US & Canadian plans 
14.4 
15.0 
14.3 
Other plans 
18.3 
20.4 
20.3 
 
 
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23. EMPLOYEE BENEFITS (CONTINUED) 
 
Changes in the fair value of plan assets 
 
US$ million 
Russian 
 plans 
US 
& Canadian  
plans 
Other 
 plans 
Total 
At 31 December 2018 
$ – 
$ 555 
$ – 
$ 555 
 
 
 
 
 
Interest income on plan assets 
– 
21 
– 
21 
Return on plan assets (excluding amounts included in net 
interest expense) 
– 
84 
– 
84 
Contributions of employer 
10 
15 
– 
25 
Benefits paid 
(10) 
(36) 
(1) 
(47) 
Reclassification to liabilities directly associated with disposal 
groups classified as held for sale 
– 
(1) 
– 
(1) 
Other 
– 
(3) 
8 
5 
Translation difference 
– 
18 
– 
18 
At 31 December 2019 
$ –  
$ 653  
$ 7 
$ 660  
 
 
 
 
 
Interest income on plan assets 
– 
19 
– 
19 
Return on plan assets (excluding amounts included in net 
interest expense) 
– 
63 
– 
63 
Contributions of employer 
7 
33 
1 
41 
Benefits paid 
(7) 
(51) 
(4) 
(62) 
Other 
– 
(2) 
2 
– 
Translation difference 
– 
9 
– 
9 
At 31 December 2020 
$ – 
$ 724 
$ 6 
$ 730 
 
 
 
 
 
Interest income on plan assets 
– 
15 
– 
15 
Return on plan assets (excluding amounts included in net 
interest expense) 
– 
31 
– 
31 
Contributions of employer 
8 
20 
– 
28 
Benefits paid 
(8) 
(44) 
– 
(52) 
Other 
– 
(3) 
– 
(3) 
Translation difference 
– 
3 
1 
4 
At 31 December 2021 
$ – 
$ 746 
$ 7 
$753  
 
 
The amount of contributions expected to be paid to the defined benefit plans during 2022 approximates $37 million. 
 
The major categories of plan assets as a percentage of total plan assets were as follows at 31 December: 
 
2021 
2020 
2019 
 
Quoted 
Unquoted 
Quoted 
Unquoted 
Quoted 
Unquoted 
US & Canadian plans: 
 
 
 
 
 
 
 
Equity funds and investment trusts 
43% 
– 
45% 
– 
48% 
34% 
 
Governmental bonds 
22% 
– 
17% 
– 
– 
– 
 
Corporate bonds and notes 
21% 
– 
24% 
– 
14% 
– 
 
Cash 
3% 
– 
3% 
– 
3% 
– 
 
Other 
3% 
8% 
3% 
8% 
– 
1% 
92% 
8% 
92% 
8% 
65% 
35% 
 
 
 
 
23. EMPLOYEE BENEFITS (CONTINUED) 
The principal assumptions used in determining pension obligations for the Group’s plans are shown below: 
2021 
2020 
2019 
Russian 
plans 
US & 
Canadian 
plans 
Other 
plans 
Russian 
plans 
US & 
Canadian 
plans 
Other 
plans 
Russian 
plans 
US & 
Canadian 
plans 
Other 
plans 
Discount rate 
6.7% 
2.4-3% 
0.25% 
6.2% 
2-2.6% 
0.2% 
7% 
3.3-3.4% 
0.2% 
Future benefits increases 
4-7.5% 
– 
1% 
4-7% 
– 
1% 
5% 
– 
– 
Future salary increase 
4-7.5% 
3% 
1% 
4-7% 
3% 
1% 
5% 
3% 
1% 
Average life expectation, male, years 
71 
87 
89 
71 
86.5 
88 
70 
86 
88 
Average life expectation, female, years 
80 
88.5 
91 
80 
88.5 
91 
80 
88.5 
90 
Healthcare costs increase rate 
– 
6.3% 
– 
– 
6.5% 
– 
– 
5-6.8% 
– 
 
The following table demonstrates the sensitivity analysis of reasonable changes in the significant assumptions used for the measurement of 
the defined benefit obligations, with all other variables held constant. 
 
Impact on the defined benefit obligation 
at 31 December 2021,  
US$ million 
Impact on the defined benefit obligation 
at 31 December 2020,  
US$ million 
Impact on the defined benefit 
obligation at 31 December 2019,  
US$ million 
Reasonable 
change in 
assumption 
Russian 
plans 
US & 
Canadian 
plans 
Other 
plans 
Russian 
plans 
US & 
Canadian 
plans 
Other 
plans 
Russian 
plans 
 US & 
Canadian 
plans 
Other 
plans 
Discount rate 
10% 
$ (7) 
$ (33) 
$ –  
$ (8) 
$ (32) 
$ (1) 
$ (8) 
$ (34) 
$ (1) 
(10%) 
7 
35 
– 
9 
33 
1 
9 
36 
1 
Future benefits increases 
10% 
4 
– 
– 
7 
– 
– 
6 
– 
– 
(10%) 
(4) 
– 
– 
(6) 
– 
– 
(9) 
– 
– 
Future salary increase 
10% 
1 
1 
– 
1 
1 
– 
1 
1 
– 
(10%) 
(1) 
(1) 
– 
(1) 
(1) 
– 
(1) 
(1) 
– 
Average life expectation, 
male, years 
1 
1 
14 
– 
1 
14 
– 
1 
12 
– 
(1) 
(1) 
(13) 
– 
(1) 
(14) 
– 
(1) 
(12) 
– 
Average life expectation, 
female, years 
1 
1 
8 
– 
1 
9 
– 
1 
7 
– 
(1) 
(1) 
(8) 
– 
(1) 
(9) 
– 
(1) 
(7) 
– 
Healthcare costs 
increase rate 
10% 
– 
1 
– 
– 
1 
– 
– 
– 
– 
(10%) 
– 
(1) 
– 
– 
(1) 
– 
– 
– 
– 
 
 
 
 
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24. PROVISIONS  
At 31 December the provisions were as follows: 
US$ million 
2021 
2020 
2019 
 
Non-current 
Current 
Non-current 
Current 
Non-current 
Current 
Site restoration and 
decommissioning costs 
$ 182 
$ 18 
$ 272 
$ 24 
$ 321 
$ 21 
Other provisions 
– 
19 
– 
17 
– 
12 
 
$ 182 
$ 37 
$ 272 
$ 41 
$ 321 
$ 33 
 
 
In the years ended 31 December 2021, 2020 and 2019, the movement in provisions was as follows: 
US$ million 
Site restoration and 
decommissioning costs 
Other provisions 
Total 
At 31 December 2018 
$ 244 
$ 13 
$ 257 
Additional provisions 
31 
21 
52 
Increase from passage of time 
18 
– 
18 
Effect of change in the discount rate 
73 
– 
73 
Effect of changes in estimated costs and timing 
(20) 
– 
(20) 
Utilised in the year 
(21) 
(10) 
(31) 
Unused amounts reversed 
– 
(4) 
(4) 
Reclassification to liabilities directly associated with disposal groups classified 
as held for sale 
(9) 
(8) 
(17) 
Translation difference 
26 
– 
26 
At 31 December 2019 
$ 342 
$ 12 
$ 354 
Additional provisions 
5 
18 
23 
Increase from passage of time 
17 
– 
17 
Effect of changes in estimated costs and timing 
1 
– 
1 
Utilised in the year 
(10) 
(4) 
(14) 
Unused amounts reversed 
(10) 
(8) 
(18) 
Translation difference 
(49) 
(1) 
(50) 
At 31 December 2020 
$ 296 
$ 17 
$ 313 
Additional provisions 
14 
24 
38 
Increase from passage of time 
17 
– 
17 
Effect of changes in estimated costs and timing 
5 
– 
5 
Utilised in the year 
(11) 
(14) 
(25) 
Unused amounts reversed 
– 
(3) 
(3) 
Reclassification to disposal groups held for distribution to owners 
(Notes 2 and 13) 
(119) 
(6) 
(125) 
Translation difference 
(2) 
1 
(1) 
At 31 December 2021 
$ 200 
$ 19 
$ 219 
  
Site Restoration Costs 
 
The major part of the provision for site restoration and decommissioning costs relates to the Russian subsidiaries. The Land Code, the Forest Code of 
the Russian Federation, Federal Law on environmental protection, Resolution of the Government of the Russian Federation on restoration and 
conservation of land define the legal basis and state policy in the field of environmental protection. Under this legislation, mining companies and steel 
mills have obligations to restore mining sites and contaminated land. The majority of costs are expected to be paid after 2038. 
 
At 31 December the respective liabilities were measured based on estimates of restoration costs, which are expected to be incurred in the future 
discounted at the following annual rates: 
 
 
2021 
2020 
2019 
Russia 
7% 
7% 
7% 
USA 
2% 
2% 
2% 
 
25. LEASE AND OTHER LONG-TERM LIABILITIES 
Lease Liabilities 
The Group has a number of lease contracts, under which it leases railroad cars, coating equipment, warehouses, offices and other machinery and 
equipment (Note 9). The movement in lease liabilities is disclosed in the table below: 
 
 
2021 
2020 
2019 
US$ million 
Total 
Non-
current 
lease 
liabilities 
Current 
portion of 
lease 
liabilities 
Total 
Non-
current 
lease 
liabilities 
Current 
portion of 
lease 
liabilities 
Total 
Non-
current 
lease 
liabilities 
Current 
portion of 
lease 
liabilities 
1 January 
$ 87 
$ 57 
$ 30  
$ 117 
$ 83 
$ 34 
$ 124 
$ 90 
$ 34 
Recognition of liabilities under new contracts 
33 
26 
7 
9 
8 
1 
15 
14 
1 
Sale of subsidiaries 
– 
– 
– 
– 
– 
– 
(2) 
– 
(2) 
Interest accrued 
5 
2 
3 
6 
4 
2 
8 
6 
2 
Payment of principal 
(30) 
– 
(30) 
(31) 
– 
(31) 
(35) 
– 
(35) 
Payment of interest 
(3) 
– 
(3) 
(2) 
– 
(2) 
(2) 
– 
(2) 
Termination of lease arrangements 
– 
– 
– 
(2) 
(1) 
(1) 
– 
– 
– 
Reclassification into short-term portion 
– 
(21) 
21 
– 
(31) 
31 
– 
(33) 
33 
Reclassification to disposal groups held for 
distribution to owners 
(21) 
(15) 
(6) 
– 
– 
– 
– 
– 
– 
Translation difference 
– 
– 
– 
(10) 
(6) 
(4) 
9 
6 
3 
31 December 
$ 71 
$ 49 
$ 22  
$ 87 
$ 57 
$ 30  
$ 117 
$ 83 
$ 34 
 
Total expenses under lease contracts are summarised in the table below. 
 
US$ million 
2021 
2020 
2019 
Interest accrued under lease liabilities 
$ 4 
$ 6 
$ 8 
Expense relating to variable lease payments not included in the 
measurement of opening lease liabilities 
5 
7 
7 
Expense relating to leases, which were not recognised as lease 
liabilities (leases of low-value assets and short-term leases) 
12 
11 
12 
Continuing operations 
$ 21 
$ 24 
$ 27 
Discontinued operations 
1 
– 
– 
 
$ 22 
$ 24 
$ 27 
 
 
The maturity of contractual undiscounted and discounted cash flows under lease payments at 31 December was as follows: 
 
 
2021 
2020 
2019 
US$ million 
 
Lease 
payments 
Present value  
of lease 
payments 
 
Lease 
payments 
Present value  
of lease 
payments 
 
Lease 
payments 
Present value  
of lease 
payments 
Not later than 1 year from the reporting date 
$ 22 
$ 22 
$ 31 
$ 30 
$ 35 
$ 34 
Later than 1 year and not later than 2 years 
24 
19 
34 
29 
38 
34 
Later than 2 years and not later than 5 years 
18 
15 
18 
15 
40 
34 
Later than 5 years and not later than 10 years 
13 
9 
12 
9 
14 
10 
Later than 10 years 
11 
6 
6 
4 
8 
5 
Total lease payments 
88 
71 
101 
87 
135 
117 
Less: amounts representing finance charges 
(17) 
– 
(14) 
– 
(18) 
– 
31 December 
$ 71 
$ 71 
$ 87 
$ 87 
$ 117 
$ 117 
 
 
 
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25. LEASE AND OTHER LONG-TERM LIABILITIES (CONTINUED) 
 
Other Long-Term Liabilities 
 
Other liabilities consisted of the following as of 31 December: 
 
US$ million 
2021 
2020 
2019 
Financial liabilities 
 
 
 
Derivatives not designated as hedging instruments  
$ 66 
$ 49 
$ 6 
Long-term trade and other payables 
11 
34 
44 
 
77 
83 
50 
Less: current portion (Note 26) 
(4) 
(10) 
(24) 
 
73 
73 
26 
Non-financial liabilities 
 
 
 
Tax liabilities 
– 
16 
4 
Other non-financial liabilities 
5 
16 
13 
 
5 
32 
17 
Less: current portion (Note 26) 
(1) 
(3) 
(3) 
 
4 
29 
14 
 
$ 77 
$ 102 
$ 40 
 
 
Derivatives Not Designated as Hedging Instruments 
 
In 2019-2021 derivatives not designated as hedging instruments comprised of those swap contracts, which either were not designated as cash flow or 
fair value hedges or ceased to be effective, and forward contracts. 
The aggregate amounts under swap contracts translated at the year end exchange rates are summarised in the table below. 
US$ million 
2021 
2020 
2019 
Bonds and loans, principal 
$ 337 
$ 338 
$ 323 
Hedged amount 
337 
338 
323 
Swap amount 
381 
381 
317 
 
To manage the currency exposure on the rouble-denominated bonds, the Group partially economically hedged these transactions. In 2020, the Group 
concluded a currency and interest rate swap contract under which it agreed to deliver US dollar-denominated interest payments at a fixed rate of 
3.335% rate per annum plus the US dollar notional amount, in exchange for variable rouble-denominated CBR key rate-based interest payments plus 
the rouble notional amount during a period of 3 years until 27 March, 2023. The exchange is exercised on approximately the same dates as 
the payments under the bank loan.  
 
In 2019, the Group concluded a currency and interest rate swap contract under which it agreed to deliver US dollar-denominated interest payments at 
a fixed rate of 3.75% per annum plus the US dollar notional amount, in exchange for fixed rouble-denominated interest payments plus the rouble 
notional amount during a period of 5 years until 25 July, 2024. The exchange is exercised on approximately the same dates as the payments under 
the bonds. 
 
The swap contracts, which were effective at 31 December 2021, 2020 and 2019, are summarised in the table below. 
 
 
Year  
of issue 
Borrowings principal,  
millions of roubles 
Hedged amount,  
millions of roubles 
Swap amount,  
US$ million 
Interest rates  
on the swap amount 
7.95 per cent bonds due 2024 
2019 
20,000 
20,000 
317 
3.75% 
EVRAZ ZSMK bank loan agreement due 2023 
2020 
5,000 
5,000 
64 
3.335% 
 
 
The discount rates used in the valuation were the non-deliverable forward rate curve and the interest rate swap curve for US dollar at the reporting 
dates. 
In 2021, 2020 and 2019, a change in fair value of these derivatives of $(16) million, ($64) million and $20 million, respectively, together with 
a realised gain/(loss) on the swap transactions, amounting to $12 million, $13 million and $8 million, respectively, was recognised within gain/(loss) 
on financial assets and liabilities in the consolidated statement of operations (Note 7). 
In 2019-2020, the Group had EUR/USD forward contracts, which were accounted for at fair value. In 2020 and 2019, the change in fair value of 
the derivatives of $6 million and $(4) million, respectively, together with a realised gain/(loss) on the currency forward transactions, amounting to 
$(24) million and $14 million, respectively, was recognised within gain/(loss) on financial assets and liabilities in the consolidated statement of 
operations (Note 7). 
 
 
 
25. LEASE AND OTHER LONG-TERM LIABILITIES (CONTINUED) 
 
Hedging Instruments 
In July 2015, the Group issued bonds in the total amount of 15,000 million Russian roubles ($269 million at the issue date), which bore interest of 
12.95% per annum and had a put date in June 2019. The Group used an intercompany loan to transfer the proceeds from the bonds within the Group. 
To manage the currency exposure, the Group entered into a series of cross currency swap contracts with several banks under which it agreed to deliver 
US-dollar denominated interest payments at rates ranging from 5.90% to 6.55% per annum plus the notional amount, totaling approximately 
$265 million, in exchange for rouble-denominated interest payments at the rate of 12.95% per annum plus notional, totaling 14,948 million roubles 
($268 million at the date of the bonds issue).  
 
Year  
of issue 
Bonds principal,  
millions  
of roubles 
Hedged amount, 
millions  
of roubles 
Swap amount,  
US$ million 
Interest rates  
on the swap amount 
12.95 per cent bonds due 2019 
2015 
15,000 
13,310 
239 
5.90% - 6.55% 
 
The Group accounted for these swap contracts as cash flow hedges. In 2017, one of these swap contracts with the notional amount of $26 million did 
not meet the criteria for efficiency and ceased to be classified as hedging instruments. In 2019, the change in fair value of these derivatives amounted 
to $46 million. The realised gain/(loss) on the swap transactions amounting to $(23) million was related to the interest portion of the change in fair 
value of the swap.  
Under IFRS the lesser of the cumulative gain or loss on the hedging instrument from inception of the hedge and the cumulative change in present value 
of the expected future cash flows on the hedged item from inception of the hedge is recognised in other comprehensive income and the remaining loss 
on the hedging instrument is recorded through the statement of operations. In 2019, the Group recognised a gain/(loss) in other comprehensive 
income amounting to $27 million. Most of the swaps were assessed as effective. Those swaps, which ceased to be effective, were reclassified into 
Derivatives Not Designated as Hedging Instruments. In 2019, $19 million were recorded in the Foreign exchange gains/(losses) caption in the 
consolidated statement of operations. In June 2019, upon repayment of the 12.95% rouble bonds, the related swap contracts matured and the Group 
recycled $33 million of the accumulated unrecognised gains on cash flow hedges from other comprehensive income to the statement of operations. 
 
26. TRADE AND OTHER PAYABLES 
Trade and other payables consisted of the following as of 31 December: 
US$ million 
2021 
2020 
2019 
Trade accounts payable 
$ 1,228 
$ 844 
$ 982 
Liabilities for purchases of property, plant and equipment, including VAT 
135 
200 
132 
Accrued payroll 
145 
157 
162 
Other payables 
26 
50 
75 
Other long-term obligations with current maturities (Note 25) 
5 
13 
27 
 
$ 1,539 
$ 1,264 
$ 1,378 
 
The maturity profile of the accounts payable is shown in Note 28. 
At 31 December 2021, 2020 and 2019, trade accounts payable included $187 million, $131 million and $156 million, respectively, owed by 
the Group for purchases of scrap from Vtorresource-Pererabotka, a related party (Note 17). These amounts were classified as trade payables to third 
parties as Vtorresource-Pererabotka sold its receivables from the Group under factoring contracts to several banks with no recourse. 
 
27. OTHER TAXES AND DUTIES PAYABLE 
Other taxes and duties payable were mainly denominated in roubles and consisted of the following as of 31 December: 
US$ million 
2021 
2020 
2019 
VAT 
$ 72 
$ 89 
$ 67 
Social insurance contributions (Note 23) 
37 
47 
48 
Property tax 
7 
8 
7 
Land tax 
5 
6 
6 
Personal income tax 
5 
7 
8 
Export and import duties 
13 
– 
7 
Other taxes, fines and penalties 
6 
12 
10 
 
$ 145 
$ 169 
$ 153 
 
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28. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES 
Credit Risk 
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Group. Financial instruments 
that potentially expose the Group to concentrations of credit risk consist primarily of cash and trade accounts receivable.  
To manage credit risk related to cash, the Group maintains its available cash, mainly in US dollars and euros, in reputable international banks and 
major Russian banks. Management periodically reviews the creditworthiness of the banks in which it deposits cash. 
The Group’s trade receivables consist of a large number of customers, spread across diverse industries and geographical areas. There are no 
significant concentrations of credit risk within the Group. The Group defines counterparties as having similar characteristics if they are related entities. 
In 2021, the major customers were Russian Railways (3.8% of total sales), Ternium Procurement SA (3.8%) and Shang Chen Steel Co (3.3%). 
Part of the Group’s sales is made on terms of letter of credit. In addition, the Group requires prepayments from certain customers. The Group does not 
require collateral in respect of trade and other receivables, except when a customer applies for credit terms which are longer than normal. In this case, 
the Group requires bank guarantees or other collateral. The Group has developed standard credit terms and constantly monitors the status of accounts 
receivable collection and the creditworthiness of the customers.  
Certain of the Group’s long-standing Russian customers for auxiliary products, such as heat and electricity, represent municipal enterprises and 
governmental organisations that experience financial difficulties. The significant part of allowance for expected credit losses consists of receivables 
from such customers. The Group has no practical ability to terminate the supply to these customers and negotiates with regional and municipal 
authorities the terms of recovery of these receivables. 
At 31 December the maximum exposure to credit risk is equal to the carrying amount of financial assets, which is disclosed below. 
US$ million 
2021 
2020 
2019 
Restricted deposits at banks (Notes 14 and 19) 
$ 16 
$ 8 
$ 10 
Financial instruments included in other non-current and current assets 
(Note 14) 
2 
2 
17 
Trade and other receivables (Notes 14 and 16) 
638 
396 
550 
Loans receivable 
– 
– 
33 
Receivables from related parties (Notes 14 and 17) 
44 
10 
10 
Cash and cash equivalents (Note 19) 
1,027 
1,627 
1,423 
 
$ 1,727 
$ 2,043 
$ 2,043 
 
The ageing analysis of trade and other receivables, loans receivable and receivables from related parties at 31 December is presented in the table 
below. 
US$ million 
2021 
2020 
2019 
 
Gross amount 
Impairment 
Gross amount 
Impairment 
Gross amount 
Impairment 
Not past due  
$ 612 
$ (2) 
$ 343 
$ (1) 
$ 446 
$ (1) 
Past due  
104 
(32) 
100 
(36) 
193 
(45) 
  less than 6 months 
69 
– 
46 
–  
107 
(1) 
 between 6 months and 1 year 
3 
(1) 
5 
(2) 
31 
– 
 over 1 year 
32 
(31) 
49 
(34) 
55 
(44) 
 
$ 716 
$ (34) 
$ 443 
$ (37) 
$ 639 
$ (46) 
 
In the years ended 31 December 2021, 2020 and 2019, the movement in allowance for expected credit losses was as follows: 
US$ million 
2021 
2020 
2019 
At 1 January 
$ (37) 
$ (46) 
$ (42) 
Charge for the year 
1 
2 
(3) 
Utilised 
1 
2 
2 
Transfer to disposal groups held for distribution to owners 
1 
– 
– 
Translation difference 
– 
5 
(3) 
At 31 December 
$ (34) 
$ (37) 
$ (46) 
 
Liquidity Risk 
Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. The Group’s approach to managing liquidity is to 
ensure that it will always have sufficient liquidity to meet its liabilities when due, under both normal and stressed conditions, without incurring 
unacceptable losses or risking damage to the Group’s reputation. 
The Group manages liquidity risk by maintaining adequate cash reserves and borrowing facilities, by continuously monitoring forecast and actual cash 
flows and matching the maturity profiles of financial assets and liabilities. 
 
 
28. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (CONTINUED) 
Liquidity Risk (continued) 
The Group prepares a rolling 12-month financial plan which ensures that the Group has sufficient cash on demand to meet expected operational 
expenses, financial obligations and investing activities as they arise. The Group exercises a daily monitoring of cash proceeds and payments. The Group 
maintains credit lines and overdraft facilities that can be drawn down to meet short-term financing needs. If necessary, the Group refinances its short-
term debt by long-term borrowings. The Group also uses forecasts to monitor potential and actual financial covenants compliance status (Note 22). 
Where compliance is at risk, the Group considers options including debt repayment, refinancing or covenant reset. The Group has developed standard 
payment periods in respect of trade accounts payable and monitors the timeliness of payments to its suppliers and contractors. 
The following tables summarise the maturity profile of the Group’s financial liabilities based on contractual undiscounted payments, including interest 
payments. 
31 December 2021 
US$ million 
On demand 
Less than  
3 months 
3 to 12 
months 
1 to 2 years 
2 to 5 years 
After  
5 years 
Total 
Fixed-rate debt 
 
 
 
 
 
 
 
Loans and borrowings  
 
 
 
 
 
 
 
 
Principal 
$ – 
$ 5 
$ 5 
$ 760 
$ 986 
$ –  
$ 1,756  
 
Interest 
– 
31 
68 
78 
40 
– 
217 
Lease liabilities 
– 
8 
14 
24 
18 
24 
88 
Other long-term financial liabilities 
– 
2 
2 
4 
74 
– 
82 
Total fixed-rate debt 
– 
46 
89 
866 
1,118 
24 
2,143 
 
 
 
 
 
 
 
 
Variable-rate debt 
 
 
 
 
 
 
 
Loans and borrowings  
 
 
 
 
 
 
 
 
Principal 
– 
– 
59 
67 
1,630 
– 
1,756 
 
Interest 
– 
11 
33 
34 
43 
– 
121 
Total variable-rate debt 
– 
11 
92 
101 
1,673 
– 
1,877 
 
 
 
 
 
 
 
 
Non-interest bearing debt 
 
 
 
 
 
 
 
Loans and borrowings 
 
 
 
 
 
 
 
 
Principal 
– 
– 
– 
– 
4 
10 
14 
Trade and other payables 
181 
1,075 
133 
– 
– 
– 
1,389 
Payables to related parties 
2 
47 
– 
– 
– 
– 
49 
Dividends payable 
– 
292 
– 
– 
– 
– 
292 
Total non-interest bearing debt 
183 
1,414 
133 
– 
4 
10 
1,744 
 
$ 183  
$ 1,471 
$ 314 
$ 967  
$ 2,795 
$ 34  
$ 5,764  
 
31 December 2020 
US$ million 
On demand 
Less than  
3 months 
3 to 12 
months 
1 to 2 years 
2 to 5 years 
After  
5 years 
Total 
Fixed-rate debt 
 
 
 
 
 
 
 
Loans and borrowings  
 
 
 
 
 
 
 
 
Principal 
$ – 
$ 943  
$ 5  
$ 510  
$ 1,748  
$ –  
$ 3,206 
 
Interest 
– 
92 
85 
116 
120 
– 
413 
Lease liabilities 
– 
7 
24 
34 
18 
18 
101 
Other long-term financial liabilities 
– 
3 
7 
11 
67 
– 
88 
Total fixed-rate debt 
– 
1,045 
121 
671 
1,953 
18 
3,808 
 
 
 
 
 
 
 
 
Variable-rate debt 
 
 
 
 
 
 
 
Loans and borrowings  
 
 
 
 
 
 
 
 
Principal 
– 
3 
41 
350 
1,157 
– 
1,551 
 
Interest 
– 
12 
47 
53 
54 
– 
166 
Total variable-rate debt 
– 
15 
88 
403 
1,211 
– 
1,717 
 
 
 
 
 
 
 
 
Non-interest bearing debt 
 
 
 
 
 
 
 
Loans and borrowings 
– 
– 
– 
– 
1 
9 
10 
Trade and other payables 
195 
890 
9 
– 
– 
– 
1,094 
Payables to related parties 
1 
33 
– 
– 
– 
– 
34 
Amounts payable under put options for shares in 
subsidiaries 
– 
65 
– 
– 
– 
– 
65 
Total non-interest bearing debt 
196 
988 
9 
– 
1 
9 
1,203 
 
$ 196 
$ 2,048 
$ 218  
$ 1,074 
$ 3,165  
$ 27  
$ 6,728 
 
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28. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (CONTINUED) 
Liquidity Risk (continued) 
31 December 2019 
US$ million 
On demand 
Less than  
3 months 
3 to 12 
months 
1 to 2 years 
2 to 5 years 
After  
5 years 
Total 
Fixed-rate debt 
 
 
 
 
 
 
 
Loans and borrowings  
 
 
 
 
 
 
 
 
Principal 
$ – 
$ 5 
$ 5  
$ 1,002  
$ 2,304 
$ 10  
$ 3,326 
 
Interest 
– 
97 
134 
184 
249 
– 
664 
Lease liabilities 
– 
9 
26 
38 
40 
22 
135 
Other long-term financial liabilities 
– 
16 
8 
11 
16 
– 
51 
Amounts payable under put options for shares in 
subsidiaries 
– 
– 
69 
– 
– 
– 
69 
Total fixed-rate debt 
– 
127 
242 
1,235 
2,609 
32 
4,245 
 
 
 
 
 
 
 
 
Variable-rate debt 
 
 
 
 
 
 
 
Loans and borrowings  
 
 
 
 
 
 
 
 
Principal 
– 
26 
16 
30 
386 
885 
1,343 
 
Interest 
– 
14 
45 
59 
125 
16 
259 
Total variable-rate debt 
– 
40 
61 
89 
511 
901 
1,602 
 
 
 
 
 
 
 
 
Non-interest bearing debt 
 
 
 
 
 
 
 
Trade and other payables 
228 
883 
78 
– 
– 
– 
1,189 
Payables to related parties 
1 
13 
– 
– 
– 
– 
14 
Total non-interest bearing debt 
229 
896 
78 
– 
– 
– 
1,203 
 
$ 229  
$ 1,063 
$ 381  
$ 1,324  
$ 3,120  
$ 933 
$ 7,050 
 
Payables to related parties in the tables above do not include contract liabilities in the amount of $1 million, $4 million and $5 million as of 
31 December 2021, 2020 and 2019, respectively.  
 
Market Risk 
 
Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity prices, will affect the Group’s income or 
the value of its holdings of financial instruments. The objective of market risk management is to manage and control market risk exposures, while 
optimising the return on risk.  
 
Interest Rate Risk 
The Group borrows on both a fixed and variable rate basis and has other interest-bearing liabilities, such as finance lease liabilities and other 
obligations.  
The Group incurs interest rate risk on liabilities with variable interest rates. The Group’s treasury function performs analysis of current interest rates. 
In case of changes in market fixed or variable interest rates management may consider the refinancing of a particular debt on more favourable terms.  
The Group does not have any financial assets with variable interest rates. 
 
Fair Value Sensitivity Analysis for Fixed Rate Instruments 
The Group does not account for any fixed rate financial assets or liabilities at fair value through profit or loss. Therefore, a change in interest rates at 
the reporting date would not affect the Group’s profits. 
The Group does not account for any fixed rate financial assets as assets available for sale. Therefore, a change in interest rates at the reporting date 
would not affect the Group’s equity. 
 
 
 
 
28. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (CONTINUED) 
Market Risk (continued) 
Interest Rate Risk (continued) 
Cash Flow Sensitivity Analysis for Variable Rate Instruments 
Based on the analysis of exposure during the years presented, reasonably possible changes in floating interest rates at the reporting date would affect 
profit before tax (“PBT”) by the amounts shown below. There is no impact on the Group’s equity other than the equivalent change in accumulated 
profits. This analysis assumes that all other variables, in particular foreign currency rates, remain constant. 
In estimating reasonably possible changes the Group assessed the volatility of interest rates during the reporting periods.  
US$ million 
2021 
2020 
2019 
 
Basis points 
Effect on PBT 
Basis points 
Effect on PBT 
Basis points 
Effect on PBT 
 
 
US$ millions 
 
US$ millions 
 
US$ millions 
Liabilities denominated in US dollars 
 
 
 
 
 
 
Decrease in LIBOR 
(10) 
2 
(18) 
2 
(17) 
2 
Increase in LIBOR 
10 
(2) 
18 
(2) 
17 
(2) 
 
 
 
 
 
 
 
Liabilities denominated in euro 
 
 
 
 
 
 
Decrease in EURIBOR 
(6) 
– 
(32) 
– 
(6) 
– 
Increase in EURIBOR 
6 
– 
32 
– 
6 
– 
 
 
 
 
 
 
 
Liabilities denominated in roubles 
 
 
 
 
 
 
Decrease in Bank of Russia key rate 
(164) 
1 
(75) 
– 
(75) 
– 
Increase in Bank of Russia key rate 
75 
(1) 
75 
– 
50 
– 
 
Currency Risk 
The Group is exposed to currency risk on sales, purchases and borrowings that are denominated in currencies other than the functional currencies of 
the respective Group’s subsidiaries. The currencies in which these transactions are denominated are primarily US dollars, Canadian dollars and euro. 
The Group does not have formal arrangements to mitigate currency risks of the Group’s operations. However, management believes that the Group is 
partly secured from currency risks as foreign currency denominated sales are used to cover repayment of foreign currency denominated borrowings. 
The Group’s exposure to currency risk determined as the net monetary position in the respective currencies was as follows at 31 December: 
US$ million 
2021 
2020 
2019 
USD/RUB 
$ 2,729 
$ 2,230 
$ 2,750  
EUR/RUB 
8 
(71) 
467 
EUR/USD 
(14) 
16 
(77) 
USD/CAD 
(467) 
(614) 
(907) 
EUR/CZK 
(13) 
(14) 
(11) 
USD/CZK 
20 
24 
17 
USD/KZT 
1 
1 
(164) 
RUB/KZT 
(141) 
(168) 
– 
 
 
 
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28. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (CONTINUED) 
Market Risk (continued) 
Currency Risk (continued) 
Sensitivity Analysis 
The following table demonstrates the sensitivity to reasonably possible changes in the respective currencies, with all other variables held constant, of 
the Group’s profit before tax. In estimating reasonably possible changes the Group assessed the volatility of foreign exchange rates during the reporting 
periods. There is no impact on the Group’s equity other than the equivalent change in accumulated profits. 
 
2021 
2020 
2019 
 
Change in 
exchange rate 
Effect on  
PBT 
Change in  
exchange rate 
 Effect on  
PBT 
Change in 
exchange rate 
 Effect on  
PBT 
 
% 
US$ millions 
% 
US$ millions 
% 
US$ millions 
USD/RUB 
(9.51) 
(286) 
(16.88) 
(478) 
(7.78) 
(230) 
9.51 
238 
16.88 
304 
7.78 
200 
EUR/RUB 
(8.83) 
(1) 
(17.10) 
12 
(7.50) 
(35) 
8.83 
1 
17.10 
(12) 
7.50 
35 
CAD/RUB 
(11.61) 
– 
(18.91) 
– 
(8.84) 
– 
11.61 
– 
18.91 
– 
8.84 
– 
EUR/USD 
(5.29) 
1 
(7.79) 
(1) 
(5.02) 
4 
5.29 
(1) 
7.79 
1 
5.02 
(4) 
USD/CAD 
(7.39) 
35 
(8.13) 
50 
(4.58) 
42 
7.39 
(35) 
8.13 
(50) 
4.58 
(42) 
EUR/CZK 
(3.93) 
1 
(7.56) 
1 
(2.23) 
– 
3.93 
(1) 
7.56 
(1) 
2.23 
– 
USD/CZK 
(7.34) 
(1) 
(11.48) 
(3) 
(5.98) 
(1) 
7.34 
1 
11.48 
3 
5.98 
1 
USD/KZT 
(3.84) 
– 
(10.02) 
– 
(4.20) 
7 
3.84 
– 
10.02 
– 
4.20 
(7) 
RUB/KZT 
(9.56) 
13 
(14.86) 
25 
– 
– 
9.56 
(13) 
14.86 
(25) 
– 
– 
 
In addition to the effects of changes in the exchange rates disclosed above, the Group is exposed to currency risk on derivatives (Note 25). The impact 
of currency risk on the fair value of these derivatives is disclosed below.  
 
 
2021 
2020 
2019 
 
Change in 
exchange rate 
Effect on  
PBT 
Change in  
exchange rate 
 Effect on  
PBT 
Change in 
exchange rate 
 Effect on  
PBT 
 
% 
US$ millions 
% 
US$ millions 
% 
US$ millions 
USD/RUB 
(9.51) 
35 
(16.88) 
74 
(7.78) 
30 
9.51 
(29) 
16.88 
(52) 
7.78 
(25) 
 
 
Fair Value of Financial Instruments 
The Group uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation technique: 
• 
Level 1: quoted prices (unadjusted) in active markets for identical assets and liabilities; 
 
• 
Level 2: other techniques for which all inputs which have a significant effect on the recorded fair value are observable, either directly or indirectly; 
and  
• 
Level 3: techniques which use inputs which have a significant effect on the recorded fair value that are not based on observable market data 
(unobservable inputs). 
 
The carrying amounts of financial instruments, such as cash, short-term and long-term investments, short-term accounts receivable and payable, short-
term loans receivable and payable and promissory notes, approximate their fair value.  
 
 
 
 
28. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (CONTINUED) 
Fair Value of Financial Instruments (continued) 
At 31 December the Group held the following financial instruments measured at fair value: 
 
2021 
2020 
2019 
US$ million 
Level 1 
Level 2 
Level 3 
Level 1 
Level 2 
Level 3 
Level 1 
Level 2 
Level 3 
Assets measured at fair value 
 
 
 
 
 
 
 
 
 
Derivatives not designated as hedging 
instruments (Notes 14 and 25) 
– 
2 
– 
– 
2 
– 
– 
17 
– 
 
 
 
 
 
 
 
 
 
 
Liabilities measured at fair value 
 
 
 
 
 
 
 
 
 
Derivatives not designated as hedging 
instruments (Note 25) 
– 
66 
– 
– 
49 
– 
– 
6 
– 
 
During the reporting period, there were no transfers between Level 1 and Level 2 fair value measurements, and no transfers into and out of Level 3 fair 
value measurements. 
The following table shows financial instruments for which carrying amounts differ from fair values at 31 December.  
US$ million 
2021 
2020 
2019 
 
Carrying amount 
Fair value 
Carrying amount 
Fair value 
Carrying amount 
Fair value 
Long-term fixed-rate bank loans 
$ 29  
$ 36 
$ 38 
$ 47 
$ 56 
$ 57 
Long-term variable-rate bank loans 
1,747 
1,707 
1,542 
1,531 
1,309 
1,330 
Long-term zero-rate loans 
14 
12 
9 
7 
– 
– 
USD-denominated 
 
 
 
 
 
 
8.25% notes due 2021 
– 
– 
762 
767 
776 
825 
6.75% notes due 2022 
– 
– 
514 
543 
513 
555 
5.375% notes due 2023 
758 
790 
761 
818 
759 
819 
5.25% notes due 2024 
703 
746 
707 
778 
705 
770 
Rouble-denominated 
 
 
 
 
 
 
12.60% rouble bonds due 2021 
– 
– 
210 
213 
250 
268 
7.95% rouble bonds due 2024 
278 
272 
279 
297 
333 
346 
 
$ 3,529  
$ 3,563  
$ 4,822 
$ 5,001 
$ 4,701 
$ 4,970 
 
 
The fair value of the non-convertible bonds and notes was determined based on market quotations (Level 1). The fair value of long-term bank loans 
was calculated based on the present value of future principal and interest cash flows, discounted at the Group’s market rates of interest at 
the reporting dates (Level 3). The discount rates used for valuation of financial instruments were as follows: 
Currency in which financial instruments are denominated 
2021 
2020 
2019 
USD 
2 – 2.6% 
 
1.6 – 2.6% 
 
2.5 – 3.8% 
EUR 
 
– 
 
2.2% 
 
– 
RUB 
7.2% 
4.9 – 7.2% 
– 
 
Capital Management 
Capital includes equity attributable to the equity holders of the parent entity. Revaluation surplus which is included in capital is not subject to capital 
management because of its nature.  
The primary objective of the Group’s capital management is to ensure that it maintains a strong credit rating and healthy capital ratios in order to 
support its business and maximise the return to shareholders. The Board of Directors reviews the Group’s performance and establishes key 
performance indicators. There were no changes in the objectives, policies and processes during 2021. 
The Group manages its capital structure and makes adjustments to it by the issue of new shares, dividend payments to shareholders, and the 
purchase of treasury shares. In addition, the Group monitors distributable profits on a regular basis and determines the amounts and timing of 
dividend payments taking into account cashflow and other constraints.  
 
 
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29. NON-CASH TRANSACTIONS 
Transactions that did not require the use of cash or cash equivalents, not disclosed in the notes above, were as follows in the years ended 
31 December: 
US$ million 
2021 
2020 
2019 
Liabilities for purchases of property, plant and equipment, excluding VAT 
$ 127 
$ 194 
$ 142 
 
30. COMMITMENTS AND CONTINGENCIES 
Operating Environment of the Group 
 
The Group is one of the largest vertically integrated steel producers globally and the largest steel producer in Russia. The Group’s major subsidiaries 
are located in Russia, the USA and Canada. Russia is considered to be a developing market with higher economic and political risks.  
The unrest in the Southeastern region of Ukraine and the economic sanctions imposed by the USA and the European Union on Russia in 2014 and 
later on caused economic slowdown in Russia and reduced access to international capital markets. Further sanctions imposed on Russia could have 
an adverse impact on the Group’s business.  
Steel consumption is affected by the cyclical nature of demand for steel products and the sensitivity of that demand to worldwide general economic 
conditions.  
The coronavirus (COVID-19) pandemic outbreak has significantly affected the world economy, including steel production, oil and gas, and construction 
industry. However, the majority of the Group’s businesses were relatively unaffected with no significant issues for production, supply or shipments. 
The recovery of the global steel market observed since the second half of 2020 accelerated in 2021 as the ongoing influx of monetary and fiscal 
stimulus helped the global economy to continue its recovery from the impact of COVID-19. In 2021, steel prices have continued to increase to multi-
year highs together with related raw materials prices. 
From 1 August 2021, after a sharp rise in prices for steel products, iron ore and coal, the Russian government imposed duties on ferrous metals 
consisting of a 15% base rate and also a metal-specific rate per tonne of steelmaking raw materials, semi-finished and rolled steel products, which are 
exported outside the Eurasian Economic Union. The duties were in effect until the end of 2021.  Starting from 1 January 2022 the excise tax on liquid 
steel was introduced. The new excise tax is payable on every tonne of steel produced, including unsold volumes. Unless slab price falls below $300/mt, 
the tax rate is 2.7%. In addition, from 1 January 2022 mineral extraction tax rates for iron ore and coal became variable (instead of previous fixed 
rates) and now are based on formulas linking to commodity prices and the rouble exchange rates. As a result, in 2022, if prices remain near the 2021 
levels, the tax expense will significantly increase.  
The increased market volatility may have an impact on the Group’s financial position, earnings and cash flows in 2022 and beyond. Management 
closely monitors the development of the economic situation and undertakes all necessary measures to maintain the sustainability of the Group’s 
business in the current circumstances. 
The global economic climate continues to be unstable and this may negatively affect the Group’s results and financial position in a manner not 
currently determinable. 
 
Taxation 
Russian tax, currency and customs legislation is subject to varying interpretations, and changes, which can occur frequently. Further, the interpretation 
of tax legislation by tax authorities as applied to the transactions and activity of the Group’s entities may not coincide with that of management. 
As a result, tax authorities may challenge transactions and the Group’s entities may be assessed for additional taxes, penalties and interest. In Russia 
the periods remain open to review by the tax and customs authorities with respect to tax liabilities for three calendar years preceding the year of 
review. Under certain circumstances reviews may cover longer periods. 
Management believes that it has paid or accrued all taxes that are applicable. Where uncertainty exists, the Group has accrued tax liabilities based on 
its best estimate of the probable outflow of resources embodying economic benefits, which will be required to settle these liabilities. Possible liabilities 
which were identified by management at the end of the reporting period as those that can be subject to different interpretations of the tax laws and 
other regulations and are not accrued in these financial statements could be up to approximately $31 million. 
 
 
 
 
30. COMMITMENTS AND CONTINGENCIES (CONTINUED) 
Contractual Commitments 
At 31 December 2021, 2020 and 2019, the Group had the following contractual commitments for the purchase of production equipment and 
construction works (including VAT): 
US$ million 
2021 
2020 
2019 
Continuing operations 
$ 770 
$ 432 
$ 274  
Discontinued operations 
136 
30 
105 
 
$ 906 
$ 462 
$ 379  
 
These commitments include $326 million (31 December 2020: $202 million) relating to the Palmer project – a construction of a new rail mill in Pueblo 
(Colorado, USA) with an expected completion date in the 2nd quarter of 2023. 
In 2010, the Group concluded a contract with PraxAir Rus (Note 2, Accounting Judgements) for the construction of an air separation plant and for the 
supply of oxygen and other gases produced by PraxAir Rus at this plant to EVRAZ NTMK for a period of 20 years (extended to 25 years in 2015, when 
the construction was completed). This supply contract does not fall within the scope of IFRS 16 “Leases”. At 31 December 2021, the Group has 
committed expenditure of $490 million over the life of the contract. 
In 2018, the Group concluded a contract with Air Liquide Kuzbass (Note 2, Accounting Judgements) for the construction of an air separation plant and 
for the supply of oxygen and other gases produced by Air Liquide Kuzbass at this plant to EVRAZ ZSMK for a period of 20 years. The contractual price 
comprises a fixed component and a variable component. The total amount of the fixed component approximates $473 million, which is payable within 
20 years starting upon commencement of production in 2021 in proportion to the amounts of the variable component. The variable component is 
determined based on the actual purchase of gases and is estimated at $347 million during the life of the contract. Based on management’s 
assessment this supply contract does not fall within the scope of IFRS 16 “Leases” as the Group has no access to the equipment and has no rights 
either to operate the assets, or to design them in order to predetermine the way of their usage. Also it is expected that more than an insignificant 
amount of the assets’ output will be sold to the parties unrelated to the Group. In 2021, the construction was completed and the supply of oxygen and 
other gases started from September 2021. In addition, Air Liquide Kuzbass constructed the system of trunk and auxiliary pipelines, distribution 
stations and other equipment for products delivery, which are leased by the Group from 1 July 2021 for a period of 20 years and accounted for under 
IFRS 16. The discounted lease payments are estimated at $8 million. 
In 2019, the Group concluded a contract with Xcel Energy Inc. for the supply of electricity to a Group’s steel mill (CF&I Steel LP) and a rail mill (Palmer 
North America LLC), both located in Pueblo (Colorado, USA), for a period of 22 years. The Group is committed to purchase from 1 January 2022 at least 
500,000 MWh annually on a take-or-pay basis at rates ranging from 3.90 to 4.90 cents/kWh. The rates can be adjusted for gas prices. 
At 31 December 2021, the total amount of this commitment at the unadjusted rates approximates $440 million. 
 
Social Commitments 
The Group is involved in a number of social programmes aimed to support education, healthcare and social infrastructure development in towns where 
the Group’s assets are located. The Group budgeted to spend approximately $35 million under these programmes in 2022. 
 
Environmental Protection 
In the course of its operations, the Group may be subject to environmental claims and legal proceedings. The quantification of environmental 
exposures requires an assessment of many factors, including changing laws and regulations, improvements in environmental technologies, the quality 
of information available related to specific sites, the assessment stage of each site investigation, preliminary findings and the length of time involved in 
remediation or settlement.  
The Group has a number of environmental claims and proceedings which are at a stage of investigation. Environmental provisions in relation to these 
proceedings that were recognised at 31 December 2021 amounted to $23 million.  
Preliminary estimates available of the incremental costs indicate that such costs could be up to $190 million. The Group has insurance agreements, 
which will provide reimbursement of the costs to be actually incurred up to $228 million, of which $23 million relate to the accrued environmental 
provisions and have been recognised in receivables at 31 December 2021. Management believes that an economic outflow of the additional costs is 
not probable and any pending environmental claims or proceedings will not have a material adverse effect on its financial position and results of 
operations. 
In addition, the Group has committed to various environmental protection programmes covering periods from 2022 to 2026, under which the Group 
will perform works aimed at reductions in environmental pollution and contamination. As of 31 December 2021, the costs of implementing these 
programmes are estimated at $198 million, including $17 million relating to the discontinued operations. 
 
 
 
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30. COMMITMENTS AND CONTINGENCIES (CONTINUED) 
Legal Proceedings 
The Group has been and continues to be the subject of legal proceedings, none of which has had, individually or in aggregate, a significant effect on its 
operations or financial position. 
The Group exercises judgement in measuring and recognising provisions and the exposure to contingent liabilities related to pending litigations or other 
outstanding claims subject to negotiated settlement, mediation, arbitration or government regulation, as well as other contingent liabilities. Judgement 
is necessary in assessing the likelihood that a pending claim will succeed, or a liability will arise, and to quantify the possible range of the final 
settlement. Because of the inherent uncertainties in this evaluation process, actual losses may be different from the originally estimated provision. 
These estimates are subject to change as new information becomes available, primarily with the support of internal specialists or with the support of 
outside consultants. As of 31 December 2021, possible legal risks approximate $16 million. Probable risks were recorded within the relevant captions 
of the consolidated statement of financial position, mostly in provisions (Note 24). 
  
Issued Guarantees 
In 2021, the Group guaranteed 50% of liabilities of its joint venture Allegro (Note 17) under a bank loan facility of RUB 9 billion (approximately 
$121 million). The guarantee expires in February 2033. In addition, the Group’s share in the joint venture (50%) was pledged as collateral for this loan. 
In June 2018, EVRAZ plc and EVRAZ West-Siberian Metallurgical Plant issued a joint guarantee in the amount of up to 30 billion roubles ($478 million 
at the exchange rate at the transaction date) to 9 companies owned by Sibuglemet to compensate any direct losses caused by the failure to perform 
the agreed management services provided by one the Group’s subsidiaries to these entities. Sibuglemet is a producer of coking coal and operator of 
coal refineries in the Kemerovo region of Russia. The management company committed to perform all management functions including, inter alia, all 
the decisions required to carry out the day-to-day operations of these coal companies, their investment and procurement activities. The maturity of the 
guarantee was set for 31 December 2030. On 15 November 2020, the Group terminated the management services contract. The guarantee will 
continue to be effective 3 years after the date of termination. 
 
31. AUDITOR’S REMUNERATION 
 
The remuneration of the Group’s auditor in respect of the services provided to the Group was as follows. 
US$ million 
2021 
2020 
2019 
Audit of the parent company of the Group 
$ 1 
$ 1 
$ 1 
Audit of the subsidiaries 
2 
2 
2 
Total audit fees 
3 
3 
3 
 
 
 
 
Other services 
1 
– 
1 
 
$ 4 
$ 3 
$ 4 
 
 
32. MATERIAL PARTLY-OWNED SUBSIDIARIES 
Financial information of subsidiaries that have material non-controlling interests is provided below. 
 
 
Non-controlling interests at 31 December 
Subsidiary 
Country of 
incorporation 
2021 
2020 
2019 
Raspadskaya 
Russia 
6.76% 
4.85% 
11.83% 
New CF&I (subsidiary of EVRAZ Inc NA) 
USA 
10.00% 
10.00% 
10.00% 
 
 
 
 
32. MATERIAL PARTLY-OWNED SUBSIDIARIES (CONTINUED) 
 
US$ million 
2021 
2020 
2019 
Accumulated balances of material non-controlling interests 
 
 
 
Raspadskaya 
$ 83 
$ 44 
$ 162 
New CF&I (subsidiary of EVRAZ Inc NA) 
107 
105 
105 
Others 
(10) 
(20) 
(15) 
 
180 
129 
252 
 
 
 
 
Profit allocated to material non-controlling interests 
 
 
 
Raspadskaya 
65 
17 
35 
New CF&I (subsidiary of EVRAZ Inc NA) 
2 
– 
2 
Others 
6 
(7) 
2 
 
$ 73 
$ 10 
$ 39 
 
The summarised financial information regarding these subsidiaries is provided below. This information is based on amounts before inter-company 
eliminations. As described in Note 4, at the end of 2020 Raspadskaya acquired Yuzhkuzbassugol. Consequently, the consolidated statement of 
financial position of Raspadskaya at 31 December 2020 and 2021 and the statement of operations and cash flow information for 2021 include, 
among others, Yuzhkuzbassugol and its subsidiaries, and the consolidated statement of financial position of Raspadskaya at 31 December 2019, the 
statement of operations and cash flow information for 2020 and 2019 do not include the acquired entities. At 31 December 2020, the share of non-
controlling shareholders took into account the potential buyback of 4.25% of Raspadskaya’s shares (Note 4). 
Summarised statements of operations 
Raspadskaya 
US$ million 
2021 
2020 
2019 
Revenue 
$ 2,098 
$ 627 
$ 996 
Cost of revenue 
(752) 
(441) 
(509) 
Gross profit 
1,346 
186 
487 
Operating costs 
(180) 
(77) 
(96) 
Impairment of non-financial assets 
(8) 
– 
(92) 
Foreign exchange gains/(losses), net 
23 
94 
(24) 
Profit from operations 
1,181 
203 
275 
Non-operating gains/(losses) 
(27) 
4 
23 
Profit before tax 
1,154 
207 
298 
Income tax benefit/(expense) 
(230) 
(43) 
(64) 
Net profit 
$ 924 
$ 164 
$ 234 
Other comprehensive income/(loss) 
(14) 
(242) 
150 
Total comprehensive income/(loss) 
910 
(78) 
384 
attributable to non-controlling interests 
63 
(8) 
56 
dividends declared to non-controlling interests 
(35) 
(5) 
(3) 
 
New CF&I 
US$ million 
2021 
2020 
2019 
Revenue 
$ 739  
$ 561 
$ 757 
Cost of revenue 
(653) 
(496) 
(654) 
Gross profit 
86 
65 
103 
Operating costs 
(94) 
(82) 
(93) 
Impairment of assets 
(9) 
– 
– 
Profit/(loss) from operations 
(17) 
(17) 
10 
Non-operating gains/(losses) 
18 
22 
20 
Profit before tax 
1 
5 
30 
Income tax benefit/(expense) 
– 
(1) 
(7) 
Net profit 
$1  
$ 4 
$ 23 
Other comprehensive income/(loss) 
20 
(1) 
(6) 
Total comprehensive income/(loss) 
21 
3 
17 
attributable to non-controlling interests 
2 
– 
2 
dividends declared to non-controlling interests 
– 
– 
– 
 
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32. MATERIAL PARTLY-OWNED SUBSIDIARIES (CONTINUED) 
Summarised statements of financial position as at 31 December 
Raspadskaya 
US$ million 
2021 
2020 
2019 
Property, plant and equipment 
$ 1,436 
$ 1,452 
$ 870 
Investments in associates 
15 
– 
– 
Other non-current assets (Note 13) 
15 
24 
9 
Accounts receivable from the Group’s subsidiaries 
354 
174 
307 
Other current assets (Note 13) 
718 
732 
775 
Total assets 
2,538 
2,382 
1,961 
 
 
 
 
Long-term loans 
400 
– 
– 
Deferred income tax liabilities 
93 
96 
82 
Non-current liabilities (Note 13) 
175 
184 
76 
Accounts payable to the Group’s subsidiaries 
295 
1,026 
212 
Other current liabilities (Note 13) 
364 
216 
115 
Total liabilities 
1,327 
1,522 
485 
 
 
 
 
Total equity 
1,211 
860 
1,476 
attributable to: 
 
 
 
 equity holders of parent 
1,128 
816 
1,314 
 non-controlling interests 
83 
44 
162 
 
New CF&I 
US$ million 
2021 
2020 
2019 
Property, plant and equipment 
$ 400  
$ 228 
$ 205 
Other non-current assets 
807 
1,022 
1,038 
Current assets  
258 
149 
152 
Total assets 
1,465 
1,399 
1,395 
 
 
 
 
Deferred income tax liabilities 
19 
17 
16 
Non-current liabilities 
81 
110 
128 
Current liabilities 
294 
222 
204 
Total liabilities 
394 
349 
348 
 
 
 
 
Total equity 
1,071 
1,050 
1,047 
attributable to: 
 
 
 
 equity holders of parent 
964 
945 
942 
 non-controlling interests 
107 
105 
105 
 
 
Summarised cash flow information 
Raspadskaya 
US$ million 
2021 
2020 
2019 
Operating activities 
$ 869  
$ 89 
$ 386 
Investing activities 
(1,121) 
(47) 
194 
Financing activities 
75 
(56) 
(72) 
 
New CF&I 
US$ million 
2021 
2020 
2019 
Operating activities 
$ (57) 
$ 22 
$ 76 
Investing activities 
62 
(2) 
(70) 
Financing activities 
(6) 
(19) 
(6) 
 
 
 
 
33. SUBSEQUENT EVENTS  
Repurchase of Notes 
 
In January 2022, the Group settled a principal of $46 million under the 5.375% notes due 2023. 
 
Approval of the Demerger 
 
On 11 January 2022, a General Meeting of the Company was held. Approximately 79.41% of EVRAZ plc’s shareholders took part in the voting. 
Almost 100% of the voters approved the demerger of Raspadskaya Group in the form of dividends in specie, the issue of bonus shares and the capital 
reduction. 
 
Bonus Shares 
 
On 1 February 2022, according to the shareholders’ decision taken at the Shareholders’ Meeting dated 11 January 2022 in connection with 
the demerger of Raspadskaya Group, the Company issued 848,188,421 bonus ordinary shares with a par value of $9.66766321843 each at no cost 
for the shareholders who elected to receive bonus shares. This transaction led to a reclassification between share capital and accumulated profits.  
Following the receipt of the UK Court approval on 8 February 2022, the bonus shares were cancelled on the same date. The amount of the cancelled 
share capital ($8,200 million) became distributable reserves. 
 
Greenleas International Holdings Limited 
On 16 February 2022, one of the Group’s major shareholders, Greenleas International Holdings Limited (Note 1), which is controlled by Mr Roman 
Abramovich, transferred all its shares in EVRAZ plc to the direct ownership of Mr Roman Abramovich. 
 
Dividends 
 
On 24 February 2022, the Board of directors of EVRAZ plc declared dividends in the amount of $729.3 million, which represents $0.50 per share.  
 
Political Environment 
 
In recent days the situation with respect to Ukraine has significantly worsened. The future responses of international governments are currently not 
known. The Board of directors continues to monitor this situation but future actions and policy changes could affect the operations of the Group and 
the realisation and settlement of its assets and liabilities. The Board’s consideration of the impacts of reasonably possible downside scenarios on going 
concern is detailed in Note 2. 
 
 
 
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34. LIST OF SUBSIDIARIES AND OTHER SIGNIFICANT HOLDINGS 
 
 
 
 
Country of 
incorporation 
Name 
Relationship 
Ownership 
interest in 2021 
Registered address 
Notes 
Canada 
Evraz Canada Holding Company Ltd  
indirect subsidiary 
100.00% 
suite 2500, 450 – 1st Street S.W.Calgary, 
Alberta, T2P 5H1 
 
Canada 
EVRAZ Inc. NA Canada 
indirect subsidiary 
100.00% 
100 Armour Road P.O. Box 1670 Regina, 
Saskatchewan, S4P 3C7 
 
Canada 
EVRAZ Materials Recycling Inc. 
indirect subsidiary 
100.00% 
100 Armour Road P.O. Box 1670 Regina, 
Saskatchewan, S4P 3C7 
 
Canada 
EVRAZ Recycling 
indirect subsidiary 
100.00% 
135 Bismarck Street, Springfield, Manitoba, 
R2C 2Z2 
 
Canada 
EVRAZ Wasco Pipe Protection 
Corporation 
indirect subsidiary 
51.00% 
181 Bay Street, Suite 2100, Toronto, 
Ontario, M5J 2T3 
 
Canada 
Genalta Recycling Inc. 
joint venture 
50.00% 
9301 -34th Street Sherwood Park, Alberta, 
T8H 2T1 
 
Canada 
Kar-basher Manitoba Ltd 
joint venture 
50.00% 
855 -49th Street East Brandon, Manitoba, 
R7A 7R2 
 
Canada 
King Crusher Inc. 
joint venture 
50.00% 
5857 -12th Street SE Calgary, Alberta, T2H 
2G7 
 
Cyprus 
Actionfield Limited 
indirect subsidiary 
96.30% 
3 Themistokli Dervi, Julia House, 1066, 
Nicosia 
 
Cyprus 
Appleglow Limited 
indirect subsidiary 
93.24% 
3 Themistokli Dervi, Julia House, 1066, 
Nicosia 
discontinued 
operations 
Cyprus 
East Metals Limited 
indirect subsidiary 
100.00% 
3 Themistokli Dervi, Julia House, 1066, 
Nicosia 
 
Cyprus 
Malvero Holdings Limited 
indirect subsidiary 
- 
3 Themistokli Dervi, Julia House, 1066, 
Nicosia 
100% controlled 
through put option for 
the purchase of 
shares 
Cyprus 
Mastercroft Finance Limited 
indirect subsidiary 
100.00% 
3 Themistokli Dervi, Julia House, 1066, 
Nicosia 
 
Cyprus 
Nafkratos Limited 
indirect subsidiary 
100.00% 
Themistokli Dervi, 3, Julia House, P.C. 1066, 
Nicosia, Cyprus 
in process of 
liquidation 
Cyprus 
RVK Invest Limited 
associate 
21.31% 
3 Themistokli Dervi, Julia House, 1066, 
Nicosia 
 
Cyprus 
Sinano Shipmanagement Limited 
indirect subsidiary 
100.00% 
3 Themistokli Dervi, Julia House, 1066, 
Nicosia 
in process of 
liquidation 
Cyprus 
Steeltrade Limited 
indirect subsidiary 
100.00% 
3 Themistokli Dervi, Julia House, 1066, 
Nicosia 
liquidated 
Cyprus 
Streamcore Limited 
joint venture 
50.00% 
3 Themistokli Dervi, Julia House, 1066, 
Nicosia 
 
Cyprus 
Unicroft Limited 
indirect subsidiary 
100.00% 
Leoforos Archiepiskopou Makariou lll, 135, 
EMELLE Building, flat/office 22, 3021, 
Limassol 
 
 
34. LIST OF SUBSIDIARIES AND OTHER SIGNIFICANT HOLDINGS (CONTINUED) 
 
 
Country of 
incorporation 
Name 
Relationship 
Ownership 
interest in 2021 
Registered address 
Notes 
Czech 
Republic 
EVRAZ Nikom, a.s. 
indirect subsidiary 
100.00% 
Mnisek pod Brdy, c. 900, 25210 
 
Kazakhstan 
Evraz Caspian Steel 
indirect subsidiary 
65.00% 
41, ul. Promyshlennaya, Kostanai, 110000 
 
Kazakhstan 
EvrazMetall Kazakhstan 
indirect subsidiary 
100.00% 
office 411; 29, prospekt Jenis, Saryarka 
district, Nur-Sultan, 010000 
 
Luxembourg 
Evraz Group S.A. 
direct subsidiary 
100.00% 
13, avenue Monterey, L-2163, Luxembourg 
 
Mexico 
EVRAZ NA Mexico 
indirect subsidiary 
100.00% 
Frida Kahlo 195-709, Valle Оrientе, San 
Pedro Garza Garcia, Nuevo Leon, 66269  
 
Netherlands 
ECS Holdings Europe B.V. 
indirect subsidiary 
65.00% 
Hoogoorddreef 15, 1101 BA Amsterdam 
 
Republic of 
S.Africa 
EVRAZ Highveld Steel and Vanadium 
Limited 
indirect subsidiary 
85.11% 
Old Pretoria Road, Portion 93 of the Farm 
Schoongezicht 308 JS eMalahleni (Witbank)  
deconsolidated in 
2015 
Republic of 
S.Africa 
Mapochs Mine (Proprietary) Limited 
indirect subsidiary 
62.98% 
Old Pretoria Road, Portion 93 of the Farm 
Schoongezicht 308 JS eMalahleni (Witbank)  
deconsolidated in 
2015 
Republic of 
S.Africa 
Mapochs Mine Community Trust 
indirect subsidiary 
- 
Portion 93 of the farm Schoongezicht 
No.308 JS, eMalahleni 
deconsolidated in 
2015 
Russia 
Aktiv-Media 
indirect subsidiary 
100.00% 
office 6; 35, ul. Ordzhonikidze, 
Novokuznetsk, Kemerovskaya obl., 654007 
 
Russia 
Allegro 
joint venture  
50.00% 
office 2/2, bld.2, ul. Vladislava Tetyukhina, 
Verhnyaya Salda, Sverdlovskaya obl., 
624760 
 
Russia 
ATP Yuzhkuzbassugol 
indirect subsidiary 
93.24% 
20, Silikatnaya, Novokuznetsk, 
Kemerovskaya obl., 654086 
discontinued 
operations 
Russia 
AVT-Ural 
indirect subsidiary 
51.00% 
2, ul. Sverdlova, Kachkanar, Sverdlovskaya 
obl., 624351 
 
Russia 
Blagotvoritelniy fond Evraza - Sibir 
indirect subsidiary - 
non-commercial 
- 
1, ul. Ploshad Pobedy, Novokuznetsk, 
Kemerovskaya obl., 654006 
 
Russia 
Blagotvoritelniy fond Evraza - Ural 
indirect subsidiary - 
non-commercial 
- 
office 4, 39, ul. Karl Marks, Nizhny Tagil, 
Sverdlovskaya obl., 622001 
 
Russia 
Brianskmetallresursy 
indirect subsidiary 
99.96% 
14, ul. Staleliteinaya, Bryansk, 241035  
 
Russia 
Centr kultury i iskusstva NTMK 
indirect subsidiary - 
non-commercial 
- 
1, ul. Metallurgov, Nizhny Tagil, 
Sverdlovskaya obl., 622025 
 
Russia 
Centr podgotovki personala Evraz-
Ural 
indirect subsidiary - 
non-commercial 
- 
1, ul. Metallurgov, Nizhny Tagil, 
Sverdlovskaya obl., 622025 
 
Russia 
Centr Servisnykh Resheniy 
indirect subsidiary 
100.00% 
1, ul. Rudokoprovaya, Novokuznetsk, 
Kemerovskaya obl., 654063 
 
Russia 
Centralnaya Obogatitelnaya Fabrika 
Abashevskaya 
indirect subsidiary 
85.87% 
12, Tupik Strelochny, Novokuznetsk, 
Kemerovskaya obl., 654086  
discontinued 
operations 
Russia 
Centralnaya Obogatitelnaya Fabrika 
Kuznetskaya 
indirect subsidiary 
93.24% 
16, Shosse Severnoe, Novokuznetsk, 
Kemerovskaya obl., 654043 
discontinued 
operations 
Russia 
EVRAZ Consolidated West-Siberian 
metallurgical Plant 
indirect subsidiary 
100.00% 
16, ul. Shosse Kosmicheskoe, 
Novokuznetsk, Kemerovskaya obl., 654043  
 
Russia 
EVRAZ Kachkanarsky Ore Mining 
and Processing Plant 
indirect subsidiary 
100.00% 
2, ul. Sverdlova, Kachkanar, Sverdlovskaya 
obl., 624351 
 
Russia 
Evraz LLC 
indirect subsidiary 
100.00% 
4, ul. Belovezhskaya, Moscow, 121353 
former EvrazHolding 
LLC (renamed) 
Russia 
EVRAZ Market 
indirect subsidiary 
100.00% 
9, ul. Khimicheskaya, Taganrog, 
Rostovskaya obl., 347913 
former EVRAZ Metall 
Inprom (renamed) 
Russia 
EVRAZ Nizhny Tagil Metallurgical 
Plant 
direct subsidiary 
100.00% 
1, ul. Metallurgov, Nizhny Tagil, 
Sverdlovskaya obl., 622025 
 
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34. LIST OF SUBSIDIARIES AND OTHER SIGNIFICANT HOLDINGS (CONTINUED) 
 
 
Country of 
incorporation 
Name 
Relationship 
Ownership 
interest in 2021 
Registered address 
Notes 
Russia 
EVRAZ Steel Building 
indirect subsidiary 
78.34% 
office 402A, floor 4,  6, bld. 1, 1st 
Nagatinsky proezd, Moscow, 117105 
former Ferro-Building 
(renamed) 
Russia 
EVRAZ Steel Box 
indirect subsidiary 
80.00% 
office 417, floor 4, 60B, ul. Dorozhnaya, 
Moscow, 117405 
 
Russia 
EVRAZ Trade Company 
indirect subsidiary 
100.00% 
4, ul. Belovezhskaya, Moscow, 121353 
former Trade Company 
EvrazHolding 
(renamed) 
Russia 
EVRAZ Uzlovaya 
indirect subsidiary 
100.00% 
4, ul.Entuziastov, kvartal 5 Pyatiletka, 
Uzlovaya, Tulskaya obl., 301600 
 
Russia 
EVRAZ Vanady Tula 
indirect subsidiary 
100.00% 
1, ul. Przhevalskogo, Tula, 300016  
 
Russia 
EVRAZ Yuzhny Stan 
indirect subsidiary 
100.00% 
8, ul. Naberezhnaya, rabochy poselok Ust-
Donetsky, g.p. Ust-Donetskoye, Ust-
Donetsky raion, Rostovskaya obl., 346550 
 
Russia 
Evrazenergotrans 
indirect subsidiary 
50.00% 
4, ul. Rudokoprovaya, Novokuznetsk, 
Kemerovskaya obl., 654006  
controlled through put 
option for the 
purchase of shares of 
Malvero Holdings 
Limited 
Russia 
EvrazHolding Finance 
indirect subsidiary 
100.00% 
office 14; 62, ul. Internationalnaya, Kyzyl, 
Tyva Republic, 667000 
 
Russia 
EvrazService 
indirect subsidiary 
100.00% 
4, ul. Belovezhskaya, Moscow, 121353 
 
Russia 
Evraztekhnika 
indirect subsidiary 
100.00% 
4, ul. Belovezhskaya, Moscow, 121353 
 
Russia 
Evraztekhnika IS 
indirect subsidiary 
100.00% 
4, ul. Belovezhskaya, Moscow, 121353 
 
Russia 
Gurievsky rudnik 
indirect subsidiary 
100.00% 
1, ul. Zhdanova, Gurievsk, Kemerovskaya 
obl., 652780 
 
Russia 
Industrialnaya Vostochno-
Evropeiskaya company 
indirect subsidiary 
100.00% 
floor 5, office 1, 9, ul. Khimicheskaya, 
Taganrog, Rostovskaya obl., 347913 
 
Russia 
KachkanarEnergoTrans 
indirect subsidiary 
50.00% 
office 115; 2, ul. Sverdlova, Kachkanar, 
Sverdlovskaya obl., 624351 
controlled through put 
option for the 
purchase of shares of 
Malvero Holdings 
Limited 
Russia 
Kachkanarskaya 
teplosnabzhauschaya company 
indirect subsidiary 
100.00% 
17, 8 microraion, Kachkanar, Sverdlovskaya 
obl., 624350 
 
Russia 
Kulturno-sportivniy centr metallurgov 
indirect subsidiary - 
non-commercial 
- 
20, Prospect Metallurgov, Novokuznetsk, 
Kemerovskaya obl., 654006 
 
Russia 
Kuznetskpogruztrans 
indirect subsidiary 
88.11% 
18, ul. Promyshlennaya, Novokuznetsk, 
Kemerovskaya obl., 654029 
discontinued 
operations 
Russia 
Kuznetskteplosbyt 
indirect subsidiary 
100.00% 
4, ul. Rudokoprovaya, Novokuznetsk, 
Kemerovskaya obl., 654006  
 
Russia 
Magnit 
indirect subsidiary 
- 
4, ul. Sverdlova, Kachkanar, Sverdlovskaya 
obl., 624351  
 
Russia 
Managing Company EVRAZ 
Mezhdurechensk 
indirect subsidiary 
100.00% 
4, ul. Belovezhskaya, Moscow, 121353 
 
Russia 
Medsanchast Vanady 
indirect subsidiary 
100.00% 
1, Zeleny Mys district, Kachkanar, 
Sverdlovskaya obl., 624350 
 
Russia 
Metallenergofinance 
indirect subsidiary 
100.00% 
4, ul. Rudokoprovaya, Novokuznetsk, 
Kemerovskaya obl., 654006  
 
Russia 
Metservice 
indirect subsidiary 
100.00% 
90, ul. Industrialnaya, Nizhny Tagil, 
Sverdlovskaya obl., 622000 
liquidated 
Russia 
Mezhegeyugol Coal Company 
indirect subsidiary 
93.24% 
62, ul. Internationalnaya, Kyzyl, Tyva 
Republic, 667000 
discontinued 
operations 
 
34. LIST OF SUBSIDIARIES AND OTHER SIGNIFICANT HOLDINGS (CONTINUED) 
 
 
Country of 
incorporation 
Name 
Relationship 
Ownership 
interest in 2021 
Registered address 
Notes 
Russia 
Mine Abashevskaya 
indirect subsidiary 
93.24% 
5, ul. Kavkazskaya, Novokuznetsk, 
Kemerovskaya obl., 654013 
discontinued 
operations 
Russia 
Mine Alardinskaya 
indirect subsidiary 
93.24% 
56, ul. Ugolnaya, Malinovka, Kaltan, 
Kemerovskaya obl., 652831 
discontinued 
operations 
Russia 
Mine Esaulskaya 
indirect subsidiary 
93.24% 
33, Prospect Kurako, Novokuznetsk, 
Kemerovskaya obl., 654006 
discontinued 
operations 
Russia 
Mine Osinnikovskaya 
indirect subsidiary 
93.24% 
3, ul. Shakhtovaya, Osinniki, Kemerovskaya 
obl., 652804 
discontinued 
operations 
Russia 
Mine Uskovskaya 
indirect subsidiary 
93.24% 
33, Prospect Kurako, Novokuznetsk, 
Kemerovskaya obl., 654006 
discontinued 
operations 
Russia 
Mining Metallurgical Company 
“Timir” 
joint venture 
51.00% 
4, Prospect Geologov, Neryungri, Republic 
of Saha (Yakutia), 678960 
 
Russia 
Montazhnik Raspadskoy 
indirect subsidiary 
93.24% 
office 408; 106, ul. Mira, Mezhdurechensk, 
Kemerovskaya obl.,652870 
discontinued 
operations 
Russia 
Mordovmetallotorg 
indirect subsidiary 
99.90% 
39, Aleksandrovskoe Shosse, Saransk, 
Respublica Mordovia, 430006  
 
Russia 
MU-Invest 
indirect subsidiary 
93.24% 
4, ul. Belovezhskaya, Moscow, 121353 
liquidated 
Russia 
Nizhny Tagil Telecompany Telecon 
indirect subsidiary 
- 
74, ul. Industrialnaya, Nizhny Tagil, 
Sverdlovskaya obl., 622034 
 
Russia 
Novokuznetskmetallopttorg 
associate 
48.51% 
16, ul. Chaikinoi, Novokuznetsk, 
Kemerovskaya obl., 654005 
 
Russia 
Ohothichie hozyaistvo 
indirect subsidiary - 
non-commercial 
- 
1, ul. Metallurgov, Nizhny Tagil, 
Sverdlovskaya obl., 622025 
 
Russia 
Olzherasskoye 
shakhtoprokhodcheskoye upravlenie 
indirect subsidiary 
93.24% 
office 331; 106, ul. Mira, Mezhdurechensk, 
Kemerovskaya obl.,652870 
discontinued 
operations 
Russia 
Osinnikovsky remontno-
mekhanichesky zavod 
indirect subsidiary 
78.72% 
1/2, ul. Pervogornaya, Osinniki, 
Kemerovskaya obl., 652804 
discontinued 
operations 
Russia 
Promuglepoject 
indirect subsidiary 
93.24% 
4, ul. Nevskogo, Novokuznetsk, 
Kemerovskaya obl., 654006 
discontinued 
operations 
Russia 
Publishing House IKaR 
indirect subsidiary 
- 
4, ul. Sverdlova, Kachkanar, Sverdlovskaya 
obl., 624350 
 
Russia 
Raspadskaya 
direct subsidiary 
93.24% 
106, ul. Mira, Mezhdurechensk, 
Kemerovskaya obl.,652870 
discontinued 
operations 
Russia 
Raspadskaya Coal Company 
indirect subsidiary 
93.24% 
office 201; 33, Prospect Kurako, 
Novokuznetsk, Kemerovskaya obl., 
654006 
discontinued 
operations 
Russia 
Raspadskaya Preparation Plant 
indirect subsidiary 
93.24% 
office 203; 106, ul. Mira, Mezhdurechensk, 
Kemerovskaya obl.,652870 
discontinued 
operations 
Russia 
Raspadskaya-Koksovaya 
indirect subsidiary 
93.24% 
office 424; 106, ul. Mira, Mezhdurechensk, 
Kemerovskaya obl.,652870 
discontinued 
operations 
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34. LIST OF SUBSIDIARIES AND OTHER SIGNIFICANT HOLDINGS (CONTINUED) 
 
 
 
Country of 
incorporation 
Name 
Relationship 
Ownership 
interest in 2021 
Registered address 
Notes 
Russia 
Razrez Raspadskiy 
indirect subsidiary 
93.24% 
office 213; 106, ul. Mira, Mezhdurechensk, 
Kemerovskaya obl.,652870 
discontinued 
operations 
Russia 
Regional Media Company 
indirect subsidiary 
- 
4, ul. Belovezhskaya, Moscow, 121353 
 
Russia 
Regionalniy Centr podgotovki 
personala Evraz-Sibir 
indirect subsidiary - 
non-commercial 
- 
4, ul. Nevskogo, Novokuznetsk, 
Kemerovskaya obl., 654006 
 
Russia 
Rembytcomplex 
indirect subsidiary 
100.00% 
8, 8 microraion, Kachkanar, Sverdlovskaya 
obl., 624351 
 
Russia 
Sanatoriy-porfilactory Lenevka 
indirect subsidiary - 
non-commercial 
- 
Nikolopoltavskoye post-office, Lenevka, 
Prigorodny district, Sverdlovskaya obl., 
622911  
 
Russia 
Sfera 
indirect subsidiary 
100.00% 
office 315; 205, ul. 8 Marta, Ekaterinburg, 
Sverdlovskaya obl., 620085 
 
Russia 
Sibir-VK 
joint venture 
50.00% 
office 302, 37A, ul. Kutuzova, 
Novokuznetsk, Kemerovskaya obl., 654041  
 
Russia 
Sibmetinvest 
indirect subsidiary 
100.00% 
office 10; 1, 1st km of Rublevo-Uspenskoye 
shosse, der. Razdory, Odintsovo, Moscow 
region, 143082 
 
Russia 
Specializirovannoye 
Shakhtomontazhno-naladochnoye 
upravlenie 
indirect subsidiary 
46.29% 
28, proezd Zaschitny, Novokuznetsk, 
Kemerovskaya obl., 654034 
discontinued 
operations, controlled 
through put option for 
the purchase of 
shares of Malvero 
Holdings Limited 
Russia 
Sportivniy complex Uralets 
indirect subsidiary - 
non-commercial 
- 
36, Gvardeisky bulvar, Nizhny Tagil, 
Sverdlovskaya obl., 622005 
 
Russia 
Sportivno-Ozdorovitelny complex 
Metallurg-Forum 
indirect subsidiary - 
non-commercial 
- 
office 26; 61, ul. Krasnogvardeiskaya, 
Nizhny Tagil, Sverdlovskaya obl., 622013 
 
Russia 
Tagilteplosbyt 
indirect subsidiary 
100.00% 
78A, ul. Industrialnaya, Nizhny Tagil, 
Sverdlovskaya obl., 622059 
 
Russia 
Tomusinskoye pogruzochno-
transportnoye upravlenie 
indirect subsidiary 
54.63% 
office 209; 106, ul. Mira, Mezhdurechensk, 
Kemerovskaya obl.,652870 
discontinued 
operations 
Russia 
TV-Most 
indirect subsidiary 
- 
office 164, 31, Moscovsky prospect,  
Kemerovo, 650065 
 
Russia 
TVN 
indirect subsidiary 
- 
office 16; 35, ul. Ordzhonikidze, 
Novokuznetsk, Kemerovskaya obl., 654007  
 
Russia 
Uliyanovskmetall 
indirect subsidiary 
99.37% 
20, 11 proezd Inzhenerny, Ulyanovsk, 
432072 
 
Russia 
United Coal Company 
Yuzhkuzbassugol 
indirect subsidiary 
93.24% 
33, Prospect Kurako, Novokuznetsk, 
Kemerovskaya obl., 654006 
discontinued 
operations 
Russia 
Upravlenie po montazhu, 
demontazhu i remontu 
gornoshakhtnogo oborudovaniya 
indirect subsidiary 
93.24% 
3, ul. Shakhtovaya, Osinniki, Kemerovskaya 
obl., 652804 
discontinued 
operations 
Russia 
Vanady-transport 
indirect subsidiary 
100.00% 
2, ul. Sverdlova, Kachkanar, Sverdlovskaya 
obl., 624351 
 
Russia 
Vladimirmetallopttorg 
indirect subsidiary 
95.64% 
57, ul. P. Osipenko, Vladimir, 600009 
 
Russia 
Vtorresurs-Pererabotka 
joint venture 
50.00% 
1, korp. 233, pl. Pobed, Novokuznetsk, 
Kemerovskaya obl., 654006 
 
 
34. LIST OF SUBSIDIARIES AND OTHER SIGNIFICANT HOLDINGS (CONTINUED) 
 
 
 
Country of 
incorporation 
Name 
Relationship 
Ownership 
interest in 2021 
Registered address 
Notes 
Russia 
Yuzhno-Kuzbasskoye 
geologorazvedochnoye upravlenie 
indirect subsidiary 
93.24% 
33, Prospect Kurako, Novokuznetsk, 
Kemerovskaya obl., 654006 
discontinued 
operations 
Russia 
ZAO Irkutsk--Vtorchermet  
associate 
21.31% 
office 212,  bld. ZAO Vtorchermet, ul. 
Severny Promuzel, Irkutsk, 664053 
 
Russia 
ZAO Vtorchermet 
associate 
21.31% 
office 211, bld. ZAO Vtorchermet, ul. 
Severny promuzel, Irkutsk, 664053 
 
Russia 
Zapadnye Vorota 
indirect subsidiary 
100.00% 
4, ul. Belovezhskaya, Moscow, 121353 
 
Russia 
Zavod metallurgicheskih reagentov 
associate 
50.00% 
1, ul. Metallurgov, Nizhny Tagil, 
Sverdlovskaya obl., 622025 
 
Switzerland 
East Metals A.G. 
indirect subsidiary 
100.00% 
Baarerstrasse 131, 6300 Zug 
 
Switzerland 
East Metals Shipping A.G. 
indirect subsidiary 
100.00% 
Baarerstrasse 131, 6300 Zug 
 
United 
Kingdom 
EVRAZ North America plc 
indirect subsidiary 
100.00% 
Suite 1, 3rd Floor, 
11-12 St James’s Square 
London 
SW1 4LB 
 
USA 
CF&I Steel LP 
indirect subsidiary 
90.00% 
1612 E Abriendo     Pueblo, Colorado, 
81004 
 
USA 
Colorado and Wyoming Railway 
Company 
indirect subsidiary 
90.00% 
2100 S. Freeway    Pueblo,  Colorado,  
81004 
 
USA 
East Metals North America, LLC 
indirect subsidiary 
100.00% 
71 S.Wacker, Suite 1700, Chicago, Illinois, 
60606 
 
USA 
EVRAZ Claymont Steel, Inc. 
indirect subsidiary 
100.00% 
71 S.Wacker, Suite 1700, Chicago,  Illinois,  
60606 
 
USA 
EVRAZ Inc. NA 
indirect subsidiary 
100.00% 
71 S.Wacker, Suite 1700, Chicago,  Illinois, 
60606 
 
USA 
EVRAZ Trade NA LLC 
indirect subsidiary 
100.00% 
71 S.Wacker, Suite 1700, Chicago,  Illinois,  
60606 
 
USA 
Fremont County Irrigating Ditch Co. 
investment 
13.50% 
113 W. 5th Street Florence,  Colorado,  
81226 
 
USA 
General Scrap Inc. 
indirect subsidiary 
100.00% 
3101 Valley Street, Minot, North Dakota, 
58702 
 
USA 
New CF&I Inc. 
indirect subsidiary 
90.00% 
1612 E Abriendo, Pueblo,  Colorado,  81004 
 
USA 
Oregon Ferroalloy Partners 
indirect subsidiary 
60.00% 
14400 Rivergate Blvd. Portland, Oregon, 
97203  
 
USA 
Oregon Steel Mills Processing Inc. 
indirect subsidiary 
100.00% 
71 S.Wacker, Suite 1700, Chicago,  Illinois, 
60606 
 
USA 
Palmer North America LLC 
indirect subsidiary 
90.00% 
71 S.Wacker, Suite 1700, Chicago,  Illinois, 
60606 
 
USA 
The Union Ditch and Water Co. 
indirect subsidiary 
57.59% 
113 W. 5th Street Florence,  Colorado,  
81226 
 
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35. SUPPLEMENTARY FINANCIAL INFORMATION ON DEMERGER 
The purpose of this supplementary information is to provide users with information that is useful for their decision making that has not been included 
in the basic financial statements.  
The financial information in the table below illustrates what would the Group’s consolidated statements of operations look like if EVRAZ plc had not 
consolidated Raspadskaya Group. In contrast with the statements of operations presented on the face of these consolidated financial statements intra-
group transactions with Raspadskaya Group are not eliminated, instead they are treated as transactions with a related party. Unrealised profits or 
losses of Raspadskaya Group are excluded from the consolidated financial results of EVRAZ plc. 
 Year ended 31 December 2021 
 
US$ million 
2021 
2020 
2019 
 
 
 
 
Revenue 
 
 
 
Sale of goods 
$ 13,244 
$ 9,232 
$ 11,364 
Rendering of services 
324 
283 
379 
 
13,568 
9,515 
11,743 
Cost of revenue 
(8,756) 
(6,814) 
(9,020) 
Gross profit 
4,812 
2,701 
2,723 
 
 
 
 
Selling and distribution costs 
(827) 
(788) 
(867) 
General and administrative expenses 
(553) 
(493) 
(536) 
Social and social infrastructure maintenance expenses 
(30) 
(29) 
(23) 
Gain/(loss) on disposal of property, plant and equipment, net 
(7) 
(3) 
6 
Impairment of non-financial assets 
(22) 
(313) 
(335) 
Foreign exchange gains/(losses), net 
11 
296 
(311) 
Other operating income 
17 
19 
19 
Other operating expenses 
(46) 
(43) 
(42) 
Profit from operations 
3,355 
1,347 
634 
 
 
 
 
Interest income 
15 
9 
8 
Interest expense 
(213) 
(322) 
(328) 
Share of profits/(losses) of joint ventures and associates 
14 
2 
9 
Impairment of non-current financial assets 
– 
– 
(56) 
Gain/(loss) on financial assets and liabilities, net 
(20) 
(71) 
17 
Gain/(loss) on disposal groups classified as held for sale, net 
2 
1 
29 
Other non-operating gains/(losses), net 
– 
14 
13 
Profit before tax 
3,153 
980 
326 
 
 
 
 
Income tax expense 
(872) 
(369) 
(413) 
Net profit  
2,281 
611 
(87) 
attributable to: 
 
 
 
 
equity holders of parent 
2,225 
618 
(109) 
 
non-controlling interests 
56 
(7) 
22 
 
2,281 
611 
(87) 
 
 
 
 
Depreciation, depletion and amortisation expense 
(404) 
(416) 
(410) 
EBITDA 
3,807 
1,812 
1,707 
 
 
35. SUPPLEMENTARY FINANCIAL INFORMATION ON DEMERGER (CONTINUED) 
The financial information below represents consolidated statements of financial position of EVRAZ plc as if Raspadskaya Group was not consolidated. 
In contrast with the statements of financial position presented on the face of these consolidated financial statements intra-group balances with 
Raspadskaya Group are not eliminated, instead they are treated as balances with a related party. In addition, each caption of the consolidated 
statements of financial position is adjusted to exclude the amounts of Raspadskaya Group. Unrealised profits or losses of Raspadskaya Group are 
excluded from the consolidated inventory balances and accumulated profits of EVRAZ plc. 
 
 
31 December 2021 
US$ million 
2021 
2020 
2019 
 
 
 
 
Non-current assets 
 
 
 
Property, plant and equipment 
$ 3,169 
$ 2,862 
$ 3,229 
Goodwill 
457 
457 
594 
Receivables from related parties 
– 
– 
1,177 
Other non-current assets 
499 
524 
513 
 
4,125 
3,843 
5,513 
Current assets 
 
 
 
Inventories 
1,705 
1,031 
1,304 
Receivables from related parties 
95 
1,036 
281 
Accounts receivable and other current assets 
934 
601 
755 
Cash and cash equivalents 
1,027 
1,049 
850 
 
3,761 
3,717 
3,190 
 
 
 
 
Total assets 
7,886 
7,560 
8,703 
 
 
 
 
Non-current liabilities 
 
 
 
Non-current loans and borrowings 
3,440 
3,759 
4,599 
Payables to related parties 
– 
– 
261 
Deferred income tax liabilities 
219 
154 
218 
Employee benefits 
143 
198 
216 
Other non-current liabilities 
308 
289 
280 
 
4,110 
4,400 
5,574 
Current liabilities 
 
 
 
Current loans and borrowings 
101 
1,078 
140 
Payables to related parties 
404 
212 
49 
Trade payables and other current liabilities 
2,352 
1,710 
1,822 
 
2,857 
3,000 
2,011 
 
 
 
 
Total liabilities 
$ 6,967 
$ 7,400 
$ 7,585 
 
 
 
 
Total equity 
919 
160 
1,118 
attributable to: 
 
 
 
 
equity holders of parent 
807 
60 
1,030 
 
non-controlling interests 
112 
100 
88 
 
 
 
 
 
 
 
 
 
 
269
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EVRAZ plc  
Separate Financial Statements  
for the year ended 31 December 2021 
 
Separate statement of comprehensive income 
(In millions of US dollars) 
 
 
 
31 December 
Notes 
2021 
2020 
 
 
 
 
General and administrative expenses 
 
$ (19) 
$ (12) 
Operating income 
6 
8 
10 
Reversal of impairment/ (impairment) of investments 
3 
393 
(76) 
Foreign exchange gains/(losses) 
6,9 
2 
(49) 
Interest expense 
6,7,8 
(183) 
(239) 
Gain/(loss) on financial assets or liabilities 
7 
(9) 
– 
Dividend income 
6 
2,020 
2,129 
Other non-operating gains/(losses) 
6  
– 
2 
Profit before tax 
 
2,212 
1,765 
Current income tax expense 
9 
(202) 
(213) 
Net profit 
 
2,010 
1,552 
 
 
 
 
Total comprehensive income 
 
$ 2,010 
$ 1,552 
 
The accompanying notes form an integral part of these separate financial statements. 
 
 
Separate statement of financial position 
(In millions of US dollars) 
31 December 
Notes 
2021 
2020 
ASSETS 
Non–current assets 
Investments in subsidiaries 
3 
$ 13,994 
$ 15,057 
Investments in joint ventures 
3 
23 
23 
Receivables from related parties 
6 
8 
12 
14,025 
15,092 
Current assets 
Receivables from related parties 
6 
7 
12 
Dividends receivable from related parties 
6 
234 
704 
Income tax receivable 
9 
16 
16 
Cash and cash equivalents 
292 
– 
549 
732 
Assets classified as held for distribution to owners 
3 
1,468 
– 
2,017 
732 
TOTAL ASSETS 
16,042 
15,824 
EQUITY AND LIABILITIES 
Capital and reserves 
Issued capital 
4 
75 
75 
Treasury shares 
4 
(148) 
(154) 
Reorganisation reserve 
4 
(584) 
(584) 
Merger reserve 
4 
127 
127 
Share-based payments 
5 
185 
173 
Accumulated profits 
10,016 
9,835 
9,671 
9,472 
LIABILITIES 
Non-current liabilities 
Long-term loans 
7 
1,445 
1,961 
Loans payable to related parties 
6 
4,526 
3,201 
Financial guarantee liabilities 
6 
8 
12 
Trade and other payables 
8 
– 
4 
5,979 
5,178 
Current liabilities 
Trade and other payables  
3,8 
7 
4 
Payables to related parties 
6 
– 
6 
Dividends payable 
4 
292 
– 
Short-term loans and current portion of long-term loans  
7 
20 
800 
Loans payable to related parties 
6 
45 
285 
Financial guarantee liabilities 
6 
5 
9 
Income tax payable 
9 
23 
70 
392 
1,174 
TOTAL LIABILITIES 
6,371 
6,352 
TOTAL EQUITY AND LIABILITIES 
$ 16,042 
$ 15,824 
The Financial Statements on pages 270-283 were approved by the Board of Directors on 24 February 2022 and signed on its behalf by
Deborah Gudgeon, director. 
The accompanying notes form an integral part of these separate financial statements. 
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Separate statement of cash flows 
(In millions of US dollars) 
 
Notes 
2021 
2020 
Cash flows from operating activities 
 
 
 
Net profit 
 
$ 2,010 
$ 1,552 
 
 
 
 
Adjustments to reconcile net loss to net cash flows from operating activities:  
 
 
 
(Reversal of impairment)/impairment  of investments 
3 
(393) 
76 
Foreign exchange (gains)/losses  
6 
(2) 
49 
Interest expense 
6,7,8 
183 
239 
(Gain)/loss on financial assets or liabilities 
7 
9 
– 
Dividend income 
6 
(2,020) 
(2,129) 
Other non-operating (gains)/losses 
6 
–  
(2) 
 
 
(213) 
(215) 
Changes in working capital:  
 
 
 
Payables/receivables from related parties 
6 
–  
(64) 
Trade and other payables 
8 
(1) 
(7) 
Taxes payable 
 
202 
213 
Net cash flow used in operating activities 
 
(12) 
(73) 
 
 
 
 
Cash flows from investing activities 
 
 
 
Dividends received 
6 
2,243 
1,777 
Payment for acquisition of investments in subsidiaries 
3 
(6) 
(47) 
Net cash flow from investing activities 
 
2,237 
1,730 
 
 
 
 
Cash flows from financing activities 
 
 
 
Repayment of bank loans and notes, including interest and premiums 
7 
(1,392) 
(188) 
Payments under covenant reset 
7 
 (10) 
– 
Proceeds from loans provided by related parties 
6 
2,145 
1,345 
Repayment of loans provided by related parties, including interest 
6 
(1,146) 
(1,947) 
Dividends paid to shareholders 
4 
(1,531) 
(872) 
Net cash flow used in/(from) financing activities 
 
(1,934) 
(1,662) 
 
 
 
 
Effect of foreign exchange rate changes on cash and cash equivalents 
 
1 
5 
Net increase in cash and cash equivalents 
 
292 
– 
Cash and cash equivalents at the beginning of the year 
 
– 
– 
Cash and cash equivalents at the end of the year 
 
$ 292 
$ – 
 
 
 
 
Supplementary cash flow information: 
 
 
 
Interest paid to third parties 
7 
(140) 
(173) 
Interest paid to related parties 
6 
(46) 
(102) 
Income taxes withheld by tax agent 
9 
(249) 
(197) 
 
The accompanying notes form an integral part of these separate financial statements. 
Separate statement of changes in equity 
(In millions of US dollars) 
 
 
Notes 
Issued  
capital 
Treasury 
shares 
Reorganisati
on reserve 
Merger 
reserve 
Share-based 
payments 
Accumulated 
profits 
Total 
 
At 31 December 2019 
 
$ 75 
$ (169) 
$ (584) 
$ 127 
$ 162 
$ 9,170 
$ 8,781 
 
 
 
 
 
 
 
 
 
Total comprehensive loss for 
the year 
 
– 
– 
– 
– 
– 
1,552 
1,552 
Share-based payments 
5 
– 
– 
– 
– 
11 
– 
11 
Dividends declared    
4 
– 
– 
– 
– 
– 
(872) 
(872) 
Transfer of treasury shares to 
participants of the Incentive Plans  
4 
– 
15 
– 
– 
– 
(15) 
– 
At 31 December 2020 
 
$ 75 
$ (154) 
$ (584) 
$ 127 
$173  
$ 9,835 
$ 9,472 
 
Total comprehensive income for 
the year 
 
– 
– 
– 
– 
– 
2,010 
2,010 
Share-based payments 
5 
– 
– 
– 
– 
12 
– 
12 
Dividends declared  
4 
– 
– 
– 
– 
– 
(1,823) 
(1,823) 
Transfer of treasury shares to 
participants of the Incentive Plans  
4 
– 
6 
– 
– 
– 
(6) 
– 
At 31 December 2021 
 
$ 75 
$ (148) 
$ (584) 
$ 127 
$185  
$ 10,016 
$ 9,671 
 
The accompanying notes form an integral part of these separate financial statements. 
 
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EVRAZ plc  
Notes to the separate financial statements  
Year ended 31 December 2021 
1. CORPORATE INFORMATION  
These separate financial statements were authorised for issue by the Board of Directors of EVRAZ plc on 24 February 2022. 
EVRAZ plc (“EVRAZ plc” or “the Company”) was incorporated on 23 September 2011 as a public company limited by shares under the laws of 
the United Kingdom. The Company was incorporated under the Companies Act 2006 with the registered number in England 7784342. The Company’s 
registered address is 2 Portman street, London, W1H 6DU, United Kingdom. 
The Company, together with its subsidiaries (the “Group”), is involved in the production and distribution of steel and related products, vanadium 
products and coal and iron ore mining. The Group is one of the largest steel producers globally. 
At 31 December 2021 and 2020, EVRAZ plc was jointly controlled by a group of 3 shareholders: Greenleas International Holdings Limited (BVI), 
Abiglaze Limited (Cyprus) and Crosland Global Limited (Cyprus).  
 
2. SIGNIFICANT ACCOUNTING POLICIES 
Basis of Preparation  
These separate financial statements of EVRAZ plc have been prepared in accordance with UK-adopted international accounting standards. These 
standards are International Financial Reporting Standards (“IFRSs”) issued by the International Accounting Standard Board (“IASB”), as endorsed by 
the UK Endorsement Board.  
These financial statements have been prepared on a going concern basis as the directors believe that there are no material uncertainties which could 
create a significant doubt as to the Company’s ability to continue as a going concern in the foreseeable future (Note 2 of the consolidated financial 
statements). 
 
Foreign Currency Transactions 
The presentation and functional currency of the Company is the US dollar. Transactions in foreign currencies are initially recorded in US dollars at 
the rate on the date of transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the rate of exchange at the 
balance sheet date. Exchange gains and losses are recognised in profit or loss. 
 
Investments  
Investments in subsidiaries, associates or joint ventures are initially recorded at acquisition cost. Impairment in value is recorded if the carrying value 
of an investment exceeds its recoverable amount. The reversal of impairment is recognised when the recoverable amount exceeds the carrying 
amount, but is limited to the amount of accumulated impairment losses previously recognised.  
The determination of the recoverable amount of investments involves the use of estimates by management. These estimates, including 
the methodologies used, may have a material impact on the value in use of cash-generating units, which are included in the investment, and, 
ultimately, the amount of any impairment. In 2021, reasonably possible changes in the assumptions could lead to a smaller amount of an impairment 
reversal of the investment in Evraz Group S.A. for an effect of possible impairment of cash-generating units of the Steel North America segment. 
The key estimates and assumptions are disclosed in Note 6 of the consolidated financial statements. 
The initial cost of the investment in Evraz Group S.A. was measured at the carrying amount of the equity items of Evraz Group S.A. as a separate legal 
entity at the date of the reorganisation (Note 3).  
Dividend income is recognised when the Company’s right to receive the payment is established. 
All purchases and sales of investments are recognised on the settlement date, which is the date when the investment is delivered to or by the 
Company. 
 
Cash and Cash Equivalents 
Cash and cash equivalents comprise cash at bank and in hand and short-term deposits with an original maturity of three months or less.  
 
  
 
 
 
2. SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) 
Assets Held for Sale or for Distribution to Owners 
In the separate financial statements when investments accounted for at cost are classified as held for sale or for distribution to owners, they are 
accounted for in accordance with IFRS 5 “Non-current Assets Held for Sale and Discontinued Operations”, i.e. they are presented in a separate line 
item in the statement of financial position. If such assets represent discontinued operations, no adjustments are made in the separate statement of 
comprehensive income for current or previous years. 
 
Non-cash Distributions to Owners 
The Company measures a liability to distribute non-cash assets as a dividend to its owners at the fair value of the assets to be distributed. If the 
Company gives its owners a choice of receiving either a non-cash asset or a cash alternative, the Company estimates the dividend payable by 
calculating the fair value of each alternative. At the end of each reporting period and at the date of settlement, the Company reviews and adjusts 
the carrying amount of the dividend payable, with any changes in the carrying amount of the dividend payable recognised in equity as adjustments to 
the amount of the distribution. 
When the Company settles the dividend liability, it recognises the difference, if any, between the carrying amount of the assets distributed and 
the carrying amount of the dividend payable in profit or loss.  
 
Borrowings 
Borrowings are initially recognised at fair value, net of directly attributable transaction costs. After initial recognition, borrowings are measured at 
amortised cost using the effective interest rate method; any difference between the amount initially recognised and the redemption amount is 
recognised as interest expense over the period of the borrowings. 
 
Provisions 
Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, and when it is probable that 
an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of 
the obligation. Where the Company expects a provision to be reimbursed, for example under an insurance contract, the reimbursement is recognised 
as a separate asset but only when the reimbursement is virtually certain. 
 
Financial Guarantee Liabilities 
Financial guarantee liabilities issued by the Company are those contracts that require a payment to be made to reimburse the incurred losses because 
the specified debtor or counterparty to a contract fails to make payments or to perform the agreed terms of a contract. Financial guarantees issued by 
the Company are recognised initially as a liability at fair value, being equal to the estimated future cash inflows receivable from the subsidiaries under 
the guarantee agreements, with a corresponding recognition of the same amount as receivables from related parties. Subsequently, the liability is 
amortised over the lives of the guarantees through the statement of comprehensive income, unless it is considered probable that a guarantee will be 
called, in which case it is measured at the value of the guaranteed amount payable, if higher. 
 
3. INVESTMENTS IN SUBSIDIARIES AND JOINT VENTURES 
Investments in subsidiaries and joint ventures consisted of the following as of 31 December: 
 
Ownership interest 
Cost, net of impairment US$ million 
 
2021 
2020 
2021 
2020 
Subsidiaries 
 
 
 
 
Evraz Group S.A.  
100% 
100% 
$ 3,203 
$ 2,808 
EVRAZ NTMK 
100% 
100% 
10,791 
10,781 
Raspadskaya 
– 
90.90% 
– 
1,468 
 
 
 
13,994 
15,057 
 
 
 
 
 
Raspadskaya (classified as held for distribution to owners) 
93.24% 
– 
1,468 
– 
 
 
 
 
 
Joint Ventures 
 
 
 
 
Timir 
51.00001% 
51.00001% 
23 
23 
 
 
 
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3. INVESTMENTS IN SUBSIDIARIES AND JOINT VENTURES (CONTINUED) 
The movement in investments was as follows: 
$US million 
Evraz Group S.A. 
NTMK 
Raspadskaya 
Timir 
Total 
31 December 2019 
$ 2,884 
$ 10,771 
$ 1,440  
$ 22 
$ 15,117 
Additional investments 
– 
– 
28 
– 
28 
Impairment loss (recognition)/reversal 
(77) 
– 
– 
1 
(76) 
Share-based compensations 
1 
10 
– 
– 
11 
31 December 2020 
$ 2,808  
$ 10,781 
$ 1,468   
$ 23 
$ 15,080  
Impairment loss (recognition)/reversal 
393 
– 
– 
– 
393 
Share-based compensations 
2 
10 
– 
– 
12 
Reclassification to assets held for distribution to 
owners 
– 
– 
(1,468) 
– 
(1,468) 
31 December 2021 
$ 3,203  
$ 10,791 
$ –   
$ 23 
$ 14,017  
 
The Company recognises share-based payments made to employees of subsidiaries under control of Evraz Group S.A., EVRAZ NTMK and Raspadskaya 
as an addition to the cost of its investments in these subsidiaries (Note 5).   
The accumulated impairment of the investments was as follows: 
$US million 
Evraz Group S.A. 
EVRAZ NTMK 
Raspadskaya 
Timir 
Total 
31 December 2019 
$ (316) 
$ – 
$ –  
$ (127) 
$ (443) 
Impairment loss (recognition)/reversal 
(77) 
– 
– 
1 
(76) 
31 December 2020 
$ (393) 
$ –  
$ –   
$ (126) 
$(519)  
Impairment loss (recognition)/reversal 
393 
– 
– 
– 
393 
31 December 2021 
$ –  
$ –  
$ –   
$ (126) 
$(126)  
 
Evraz Group S.A. 
In 2011, the Company acquired Evraz Group S.A. by means of the share exchange offer made by the Company to the shareholders of Evraz Group S.A. 
At that date the cost of investments in Evraz Group S.A. was measured at the carrying amount of the equity items shown in the separate accounts of 
Evraz Group S.A. at the dates of the share exchange.  In 2020 and 2019, the Company impaired its investment in Evraz Group S.A. largely as 
a consequence of the decline in value of cash-generating units of EVRAZ Inc. NA Canada. In 2021, the value of these cash-generating units increased 
due to market recovery and increase in prices for steel products. Consequently, the Company fully reversed the prior years impairment of 
$393 million.  More details are provided in Note 6 of the consolidated financial statements. 
 
EVRAZ NTMK 
On 18 April 2019, the Company acquired 100% ownership interest in EVRAZ NTMK from Evraz Group S.A. for consideration of $10,761 million, which 
was partially settled by non-cash consideration (Note 6). At 31 December 2019, the Company owed $2,899 million to Evraz Group S.A. in respect of 
this acquisition. In 2020, the Company paid $25 million under these liabilities and the remaining balance was converted into a loan (Note 6). 
 
Raspadskaya 
On 18 April 2019, the Company acquired 84.33% ownership interest in Raspadskaya from Evraz Group S.A. for consideration of $1,423 million, which 
was settled wholly by non-cash consideration (Note 6). Later in 2019, the Company acquired 1.33% in Raspadskaya from Evraz Group S.A. for cash 
consideration of $17 million, which in 2020 was converted into a loan payable to Evraz Group S.A. in the amount of $15 million (Note 6).  
In 2020, the Company acquired an additional 2.74% interest in Raspadskaya from Evraz Group S.A. for cash consideration of $28 million of which 
$22 million was paid in cash in 2020 and $6 million was paid in cash in 2021 (Note 6). 
On 31 December 2021, the Company analysed all facts and circumstances in connection with the potential demerger of Raspadskaya disclosed in 
Note 13 of the consolidated financial statements and concluded that the investment in Raspadskaya met all criteria for being recognised as an asset 
held for distribution to owners. Consequently, the Company accounted for its investment in Raspadskaya according to IFRS 5 “Non-current Assets Held 
for Sale and Discontinued Operations”. 
 
OJSC Mining and Metallurgical Company Timir 
Since 2013 the Company has owned a 51% ownership interest in the joint venture with Alrosa for the development of iron ore deposits in the Yakutia 
region in Russia. The Company’s consideration for this stake of 4,950 million roubles was recognised in the amount of $149 million being the present 
value of the expected cash outflows at the exchange rate as of the date of the transaction. During 2013-2019 the Company paid deferred installments 
for this acquisition. In 2019, the Company paid the final tranche of 480 million roubles ($7 million of purchase consideration and $1 million of interest 
charges).  
 
3. INVESTMENTS IN SUBSIDIARIES AND JOINT VENTURES (CONTINUED) 
OJSC Mining and Metallurgical Company Timir (continued) 
In 2016 and before, due to the postponement of the major project activities, the Company impaired its investment in Timir. In 2020, the Company 
reversed impairment loss of $1 million. 
Additional information regarding Timir is provided in Note 11 of the consolidated financial statements. 
 
Indirect Subsidiaries and Other Significant Holdings 
The full list of indirect subsidiaries and other significant holdings of EVRAZ plc is presented in Note 34 of the consolidated financial statements. 
 
4. EQUITY 
Share Capital 
 
31 December 
Number of shares 
2021 
2020 
Ordinary shares of $0.05 each, issued and fully paid 
1,506,527,294 
1,506,527,294 
 
EVRAZ plc does not have an authorised limit on its share capital. 
  
Treasury Shares 
 
31 December 
Number of shares 
2021 
2020 
Treasury shares 
47,837,582 
49,654,691 
 
 
In 2015, EVRAZ plc purchased 108,458,508 of its own shares. These shares are used for the Company’s Incentive Plans (Note 21 of the consolidated 
financial statements). Under these plans, in 2021 and 2020, the Company transferred to the participants 1,817,109 and 4,965,542 shares, 
respectively. 
 
Reorganisation Reserve 
Reorganisation reserve represents the difference between the net assets of Evraz Group S.A. at the date of the Group’s reorganisation (7 November 
2011) and the par value of the issued shares of EVRAZ plc. This charge to equity reduced the amount of distributable reserves. 
 
Merger Reserve 
The merger reserve arose in 2013 in connection with the purchase of 50% in Corber Enterprises S.à r.l. (“Corber”) in accordance with section 612 of 
the Companies Act 2006. Impairments of the carrying value of this investment were transferred to the merger reserve. 
In 2015, the disposal of the investment in Corber to Evraz Group S.A. (Note 3) was made for non-cash consideration, which does not meet the criteria 
for qualifying consideration. The balance of the merger reserve will be presented as a separate component of equity in the Company’s statement of 
financial position until such time as Evraz Group S.A. is sold for qualifying consideration, and the merger reserve will be re-allocated to accumulated 
profits and become distributable.  
 
 
Dividends  
In 2021 and 2020, the Company declared dividends in the amount of $1,823 million and $872 million, respectively (Note 20 of the consolidated 
financial statements). During 2021 the Company paid dividends of $1,531 million. As of 31 December 2021 an amount of $292 million of dividends 
declared is payable. 
 
Distributable Reserves 
$US million 
2021 
2020 
Accumulated profits 
10,016 
9,835 
Reorganisation reserve 
(584) 
(584) 
Unrealised profits 
(8,200) 
(8,200) 
31 December 
1,232 
1,051 
 
Dividend income from Evraz Group S.A. in the amount of $8,200 million (Note 6) did not constitute a qualifying consideration and was distributed out of 
the profit resulting from sale of assets (EVRAZ NTMK and Raspadskaya) to parent and, therefore, this income is excluded from the Company’s 
distributable reserves at 31 December 2021 and 2020. 
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4. EQUITY (CONTINUED) 
Distributable Reserves (continued) 
In February 2020 the directors became aware that certain dividends paid in 2018 and 2019 totaling $1,447 million had been made otherwise than in 
accordance with the Companies Act 2006. The directors duly checked the sufficiency of distributable reserves before each distribution, but due to 
an administrative error the interim accounts were not filed at Companies House prior to payment. To rectify these breaches, in February 2020 
the Company filed the interim accounts in respect of each dividend payment. In addition, a special resolution was planned to be proposed at 
the Annual General Meeting of the Company’s shareholders in June 2020 to authorise the appropriation of distributable profits for the payment of 
the relevant dividends and remove any right for the Company to pursue shareholders or directors (the ‘Director Release’) for repayment. Due to 
the uncertainty caused by the effect of COVID-19 on the Company’s ability to conduct an in-person meeting of shareholders this resolution was 
postponed to a more convenient time. It is expected that the special resolution will be proposed at the Annual General Meeting of the Company’s 
shareholders in June 2022. The Director Release will constitute a related party transaction under the Listing Rules of the UK Listing Authority and 
under IFRS. The overall effect of the special resolution will be to return all parties to the position they would have been in had the relevant dividends 
been made in full compliance with the Companies Act 2006.  
 
5. SHARE-BASED PAYMENTS 
As disclosed in Note 21 of the consolidated financial statements, the Group has Incentive Plans under which certain employees (“participants”) can be 
gifted shares of the Company. In 2021 and 2020, the Company recognised share-based compensation expense amounting to $12 million and 
$11 million, respectively, as a cost of investments in subsidiaries with a corresponding increase in equity. 
 
6. RELATED PARTY TRANSACTIONS 
Related parties of the Company include its direct and indirect subsidiaries, associates and joint venture partners, key management personnel and 
other entities that are under the control or significant influence of the key management personnel and the Company’s ultimate controlling parties.  
Loans Received from Related Parties 
The following movements in loans payable to related parties were in 2020-2021. 
US$ million 
Currency 
Interest rate 
Maturity 
Balance at 
31 
December 
2020 
Loans 
received 
from 
related 
parties 
Interest 
expense 
Repayment 
of loans 
Non-cash 
transactions 
Forex 
(gain)/loss 
Balance at 
31 
December 
2021 
Direct subsidiary 
 
 
 
 
 
 
 
 
 
 
Evraz Group S.A. 
USD 
1.93-2.64% 2021- 2023 
$ 2,736 
$ 1,220  
$ 57 
$ (669) 
$ − 
$ − 
$ 3,344  
Indirect subsidiaries 
 
 
 
 
 
 
 
 
 
 
East Metals A.G. 
USD 
2.55% 
2023 
− 
550 
13 
(6) 
− 
− 
557 
ENA plc 
USD 
1.93% 
2023 
750 
− 
13 
(93) 
− 
− 
670 
EVRAZ KGOK 
USD 
1.92% 
2025 
− 
375 
3 
(378) 
− 
− 
− 
 
 
 
$ 3,486  
$ 2,145 
$ 86 
$ (1,146) 
$ − 
$ − 
$ 4,571  
 
 
 
US$ million 
Currency 
Interest rate 
Maturity 
Balance at 
31 
December 
2019 
Loans 
received 
from 
related 
parties 
Interest 
expense 
Repayment 
of loans 
Non-cash 
transactions 
Forex 
(gain)/loss 
Balance at 
31 
December 
2020 
Direct subsidiary 
 
 
 
 
 
 
 
 
 
 
Evraz Group S.A. 
USD 
1.93-4.95% 
2021-2023 
$ 528 
$ 815  
$ 89 
$ (596) 
$ 1,900 
$ − 
$ 2,736  
Evraz Group S.A. 
RUB 
6.4% 
2020 
− 
− 
2 
(459) 
474 
(17) 
− 
Indirect subsidiaries 
 
 
 
 
 
 
 
 
 
 
East Metals A.G. 
USD 
3.00-5.06% 
2020 
418 
466 
8 
(892) 
− 
− 
− 
EVRAZ ZSMK 
RUB 
4.56% 
2021 
− 
64 
− 
− 
(66) 
2 
− 
ENA plc 
USD 
1.93% 
2023 
− 
− 
− 
− 
750 
− 
750 
 
 
 
$ 946  
$ 1,345 
$ 99 
$ (1,947) 
$ 3,058 
$ (15)  
$ 3,486  
 
 
 
 
 
6. RELATED PARTY TRANSACTIONS (CONTINUED) 
 
In 2020, non-cash transactions included the following: 
 
▪ 
In January 2020, a US dollar-denominated loan, which was received from Evraz Group S.A. in 2019, amounting to $474 million was 
converted into a loan denominated in roubles. 
▪ 
In March 2020, EVRAZ plc and Evraz Group S.A. signed an assignment agreement and the outstanding balances payable to Evraz Group S.A. 
for the purchase of EVRAZ NTMK and Raspadskaya (Note 3) and for the transfer of loans in 2019 were converted into a loan in the amount 
of $3,124 million.  
▪ 
In April 2020, EVRAZ plc transferred to Evraz Group S.A. its obligations under loans payable to EVRAZ ZSMK amounting to $66 million for 
consideration of $64 million. An amount of $2 million was recognised as non-operating gain in the separate statement of comprehensive 
income.  
▪ 
In December 2020, Evraz Group S.A. reassigned $750 million under a loan receivable from EVRAZ plc to ENA plc. 
 
 
Dividend Income 
 
Evraz Group S.A. 
EVRAZ NTMK 
Raspadskaya 
Total 
Dividends receivable at 31 December 2019 
$ – 
$ 629 
$ – 
$ 629 
Dividend income accrued in 2020 
– 
2,083 
46 
2,129 
Dividends received by cash 
– 
(1,735) 
(42) 
(1,777) 
Tax withheld 
– 
(193) 
(4) 
(197) 
Non-cash offset 
– 
– 
– 
– 
Foreign exchange gain/(loss) 
– 
(80) 
–  
(80) 
Dividends receivable at 31 December 2020 
$ – 
$ 704 
$ – 
$ 704 
Dividend income accrued in 2021 
– 
1,540 
480 
2,020 
Dividends received by cash 
– 
(2,019) 
(224) 
(2,243) 
Tax withheld 
– 
(225) 
(24) 
(249) 
Foreign exchange gain/(loss) 
– 
–  
2  
2 
Dividends receivable at 31 December 2021 
$ – 
$ – 
$ 234 
$ 234 
 
In April, July and October 2021, EVRAZ NTMK declared and fully paid dividends in the amount of 24.8 billion roubles ($324 million), 66.1 billion roubles 
($891 million) and 22.5 billion roubles ($325 million). 
In February, June, August 2020 EVRAZ NTMK declared dividends in the amount of 31.9 billion roubles ($499 million), 38.4 billion roubles 
($556 million), 23.6 billion roubles ($324 milion), respectively, which were paid in 2020, and in December 2020  NTMK declared 52.4 billion roubles 
($704 million),  which were paid to EVRAZ plc in 2021. 
In May,  September and December 2021, EVRAZ plc accrued its share in the dividends declared by Raspadskaya in the amount of 3.5 billion roubles 
($48 million), 14.3 billion roubles ($196 million) and 17.4 billion roubles ($236 million) respectively. As of 31 December 2021, the dividends declared 
in December 2021 amounting to $234 million were outstanding. 
In May and September 2020, EVRAZ plc accrued its share in the dividends declared and fully paid by Raspadskaya in the amount of 1.7 billion roubles 
($24 million) and 1.7 billion roubles ($22 million), repectively. 
 
Offset of Liabilities with Evraz Group S.A. 
During 2020 there were a number of transactions between EVRAZ plc and its direct subsidiary Evraz Group S.A.: 
▪ 
In February 2020, EVRAZ plc repaid $25 milion to Evraz Group S.A. in respect of the liabilities for the purchase of EVRAZ NTMK (Note 3).  
In March 2020, EVRAZ plc and Evraz Group S.A. signed an assignment agreement and the remaining balances payable to Evraz Group S.A. 
for the purchase of EVRAZ NTMK and Raspadskaya (Note 3) and for the transfer of loans were converted into a loan  amounting to 
$3,124 million. An amount of $2 million was recognised as foreign exchange gain in the separate statement of comprehensive income 
(Note 6, Loans Received from Related Parties); 
▪ 
In April 2020, EVRAZ plc transferred to Evraz Group S.A. its obligations under loans payable to EVRAZ ZSMK amounting to $66 million for 
consideration of $64 (Note 6, Loans Received from Related Parties);  
▪ 
During 2020 EVRAZ plc purchased Raspadskaya shares from Evraz Group S.A. for total consideration of $28 million of which $6 million were 
not settled at 31 December 2020. 
During 2020 EVRAZ plc and Evraz Group S.A. concluded agreements, under which the above mentioned mutual payment obligations were offset 
resulting in a net liability payable to Evraz Group S.A. in the amount of $6 million, which was fully settled in 2021. 
 
 
 
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6. RELATED PARTY TRANSACTIONS (CONTINUED) 
Guarantees 
The guarantees issued by Company to related parties were as follows at 31 December: 
The above guarantees are recognised at fair value in the statement of financial position of the Company. The guarantee fees are recorded within 
the Operating income caption of the Company’s statement of comprehensive income. 
In 2018, the Company issued a guarantee to nine companies owned by Sibuglemet to compensate any direct losses caused by the failure to perform 
the agreed management services provided by Management Company Mezhdurechensk, an indirect subsidiary of the Company, to these entities 
(Note 30 of the consolidated financial statements). In 2018, the Company recognised financial guarantee liability of $18 million. In 2021 and 2020, 
the Company accrued $1 million and $3 million income, respectively, under this guarantee. In May 2020, the Group issued a notification about 
termination of the management services contract from 15 November 2020. The guarantee will continue to be effective 3 years after the date of 
termination. 
 
Other Transactions 
In 2021, OOO Evraz (former name – Evrazholding), an indirect subsidiary of the Company, rendered consulting services to the Company in the amount 
of $1 million (2020: $Nil).  
Other disclosures on directors’ remuneration required by Schedule 8 to the Large and Medium-sized Companies and Groups (Accounts & Reports) 
regulations 2008 and those specified for audit by the Directors’ Remuneration Report Regulations 2002 are included in the Directors’ Remuneration 
Report. 
 
7. LOANS AND BORROWINGS 
In 2019, Evraz Group S.A. transferred all rights and obligations under its notes to EVRAZ plc for consideration being the market value of the notes at 
that date. The Company recognised the liabilities at fair value and classified them as subsequently measured at amortised cost. 
During 2020-2021 the movement in the notes was as follows. 
$US million 
8.25% notes 
 due 2021 
6.75% notes 
 due 2022 
5.375% notes 
 due 2023 
5.25% notes 
 due 2024 
Total 
31 December 2019 
$ 806  
$ 531 
$ 768 
$ 705 
$ 2,810 
Non-cash changes: 
 
 
 
 
 
Interest and other charges expensed 
36 
26 
39 
38 
139 
Cash changes: 
 
 
 
 
 
Repayment of interest and premiums on 
early repayment 
(62) 
(34) 
(40) 
(37) 
(173) 
Repayment of principal 
(15) 
– 
– 
– 
(15) 
31 December 2020 
$  765 
$523 
$ 767 
$706  
$ 2,761 
Non-cash changes: 
 
 
 
 
 
Interest and other charges expensed 
1 
20 
38 
38 
97 
Accrual of premiums and other charges on 
early repayment of borrowings 
– 
9 
– 
– 
9 
Capitalisation of covenants reset costs 
– 
(3) 
(3) 
(4) 
(10) 
Cash changes: 
 
 
 
 
 
Repayment of interest and premiums on 
early repayment 
(31) 
(49) 
(40) 
(37) 
(157) 
Repayment of principal 
(735) 
(500) 
– 
– 
(1,235) 
31 December 2021 
$  – 
$ – 
$ 762 
$703  
$ 1,465 
 
 
 
US$ million 
 
 
2021 
2020 
Debtor 
Subject of guarantee 
Maturity at 
31 December 2021 
Guaranteed 
amount 
(principal) 
Financial 
guarantee 
laibility 
Guarantee 
fees earned 
Guaranteed 
amount 
(principal) 
Financial 
guarantee 
laibility 
Guarantee 
fees earned 
East Metals A.G. 
Bank loans 
not determined  
$ 348 
$ − 
$ 1 
$ 193 
$ − 
$ 1 
EVRAZ NTMK/ EVRAZ ZSMK 
Bank loans 
2023-2028 
1,697 
11 
3 
1,458 
10 
3 
Evrazholding Finance 
Rouble bonds 
not determined 
269 
1 
2 
280 
3 
2 
Evraz Group S.A. 
Loan to East Metals A.G. 
2022-2024 
667 
− 
1 
486 
− 
1 
Management Company 
Mezhdurechensk 
Performance of services 
2023 
202 
1 
1 
203 
8 
3 
EVRAZ Nikom a.s. 
Bank loans 
not determined 
13 
− 
− 
14 
− 
− 
 
 
$ 3,196 
$ 13 
$ 8 
$ 2,634 
$ 21 
$ 10 
 
7. LOANS AND BORROWINGS (CONTINUED) 
In January 2021, 8.25% notes due 2021 were fully settled. 
In June, August and October 2021, EVRAZ plc early repaid in full its 6.75% notes due 2022 ($500 million). The premium over the carrying value on the 
repurchase amounting to $(9) million was included in the Gain/(loss) on financial assets and liabilities caption of the separate statement of 
comprehensive income. 
In 2021, the Company paid $10 million in connection with the covenants reset relating to the potential demerger of the coal business (Note 13 of 
the consolidated financial statements). These charges will be amortised during the term of the respective notes. 
In November 2020, EVRAZ plc early repaid $15million under 8.25% notes due 2021.  
At 31 December 2021, the current portion of the borrowings included only interest payable under the notes. At 31 December 2020, the current portion 
of the borrowings included a principal payable under 8.25% notes due 2021 and interest payable under all issued  notes.  
 
 
8. TRADE AND OTHER PAYABLES 
 
Trade and other accounts payable included the following at 31 December: 
At 31 December 2021 and 2020, trade and other accounts payable included liabilities relating to the settlement of the Company’s guarantee under 
a long-term take-or-pay supply contract of a former indirect subsidiary of the Company. In 2021, the Company paid $4 million (2020: $7 million) in 
respect of this liability and recognised interest expense of $Nil (2020: $1 million). 
 
9. INCOME TAXES 
A reconciliation of income tax expense applicable to profit before income tax using the statutory tax rate to income tax expense as reported in 
the Company’s financial statements for the years ended 31 December is as follows: 
US$ million 
2021 
2020 
Profit/(loss) before income tax 
$ 2,212 
$ 1,765 
At the statutory income tax rate of 19%  
(420) 
(336) 
Group relief effect 
(2) 
– 
Non-taxable income/(non-deductible expenses) 
40 
(56) 
Effect of lower tax rate for dividend income 
182 
192 
Allowance for deferred tax asset 
(2) 
(13) 
Current income tax expense 
$ (202) 
$ (213) 
 
In 2021, the effect of non-taxable income was mostly caused by the reversal of impairment of investments (Note 3), which is not taxable. 
 
A numerical reconciliation between the average effective tax rate and the applicable tax rate is dsclosed in the table below.  
 
2021 
2020 
Applicable income tax rate 
19.0% 
19.0% 
Group relief effect 
0.1% 
– 
Non taxable income/(non-deductible expenses) 
(1.8)% 
3.2% 
Effect of lower tax rate for dividend income 
(8.3)% 
(10.9)% 
Allowance for deferred tax asset 
0.1% 
0.8% 
Average effective interest rate 
9.1% 
12.1% 
 
The applicable tax rate is a normal corporation tax in the United Kingdom. 
 
 
 
2021 
2020 
US$ million 
Non-current 
Current 
Non-current 
Current 
Liability relating to a settlement of guarantee 
$ –  
$ 4  
$ 4  
$ 4  
Other payables 
– 
3 
– 
– 
 
$ – 
$ 7 
$ 4  
$ 4 
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9. INCOME TAXES (CONTINUED) 
The movement in the net balance of current income tax receivable/(payable) was as follows: 
US$ million 
2021 
2020 
1 January 
$ (54) 
$ (46) 
Current income tax on dividend income 
(202) 
(213) 
Income tax withheld (Note 6) 
249 
197 
Foreign exchange gain/(loss) 
– 
8 
31 December 
$ (7) 
$ (54) 
 
The tax rate on dividends is equal to 10% for income from the Russian subsidiaries and zero rate for dividend income from Luxembourg. 
At 31 December 2021 the Company had an amount payable of $23 million in relation to income tax on dividends receivable from Raspadskaya (2020: 
$70 million of income tax payable on dividends receivable from EVRAZ NTMK). 
In 2019, the Company recognised current income tax benefit of $16 million relating to prior year tax losses of $87 million that can be carried back to 
recover income tax paid in 2018. 
At 31 December 2021, the unused tax losses carried forward amounted to $196 million (2020: $188 million). Deferred tax assets in respect of these 
losses have not been recorded as it is not probable that sufficient taxable profits will be available in the foreseeable future to offset the losses. They 
are available for offset against future taxable profits indefinitely.  
At 31 December 2021, the Company had $253 million of accumulated unutilised foreign tax credits (2020: $209 million). No deferred tax asset has 
been recognised on these tax credits as they are unlikely to have value in the future. These tax credits have no fixed expiry date. 
 
10. FINANCIAL INSTRUMENTS  
Liquidity Risk 
The following tables summarise the maturity profile of the Company’s financial liabilities based on contractual undiscounted payments, including 
interest payments. 
31 December 2021 
US$ million 
On demand 
Less than 3 
months 
3 to 12 
months 
1 to 2 years 
2 to 5 years 
After 5 years 
Total 
Fixed-rate debt 
 
 
 
 
 
 
 
Loans and borrowings 
 
 
 
 
 
 
 
 
Principal 
$ – 
$–  
$ – 
$ 750 
$ 700 
$ – 
$ 1,450  
 
Interest 
– 
20 
57 
57 
18 
– 
152 
Loans payable to related parties 
 
 
 
 
 
 
 
 
Principal 
– 
– 
– 
4,526 
– 
– 
4,526 
 
Interest 
– 
45 
93 
81 
– 
– 
219 
Trade and other payables 
– 
2 
2 
– 
– 
– 
4 
Financial guarantees 
– 
– 
5 
5 
3 
– 
13 
Total fixed-rate debt 
– 
67 
157 
5,419 
721 
– 
6,364 
 
 
 
 
 
 
 
 
Non-interest bearing debt 
 
 
 
 
 
 
 
Dividends payable 
– 
292 
– 
– 
– 
– 
292 
Trade and other payables 
3 
– 
– 
– 
– 
– 
3 
Total non-interest bearing debt 
3 
292 
– 
– 
– 
– 
295 
 
 
 
 
 
 
 
 
 
$ 3  
$ 359  
$ 157  
$ 5,419   
$ 721  
$ – 
$ 6,659  
 
 
 
 
 
10. FINANCIAL INSTRUMENTS (CONTINUED) 
 
Liquidity Risk (continued) 
 
31 December 2020 
US$ million 
On demand 
Less than 3 
months 
3 to 12 
months 
1 to 2 years 
2 to 5 years 
After 5 years 
Total 
Fixed-rate debt 
 
 
 
 
 
 
 
Loans and borrowings 
 
 
 
 
 
 
 
 
Principal 
$ – 
$ 735 
$ – 
$ 500 
$ 1,450 
$ – 
$ 2,685  
 
Interest 
– 
48 
78 
97 
94 
– 
317 
Loans payable to related parties 
 
 
 
 
 
 
 
 
Principal 
– 
280 
– 
– 
3,201 
– 
3,481 
 
Interest 
– 
4 
65 
63 
60 
– 
192 
Trade and other payables 
– 
2 
2 
4 
– 
– 
8 
Financial guarantees 
– 
– 
9 
7 
5 
– 
21 
–
Total fixed-rate debt 
– 
1,069 
154 
671 
4,810 
– 
6,704 
 
 
 
 
 
 
 
 
Non-interest bearing debt 
 
 
 
 
 
 
 
Payables to related parties 
6 
– 
– 
– 
– 
– 
6 
Total non-interest bearing debt 
6 
– 
– 
– 
– 
– 
6 
 
 
 
 
 
 
 
 
 
$ 6  
$ 1,069  
$ 154  
$ 671   
$ 4,810  
$ – 
$ 6,710   
 
 
Market Risk 
Currency Risk 
The Company’s exposure to currency risk determined as the net monetary position in the respective currencies was as follows at 31 December: 
US$ million 
2021 
2020 
USD/RUB 
$  – 
$  6 
 
Sensitivity Analysis 
The following table demonstrates the sensitivity to reasonably possible changes in the respective currencies, with all other variables held constant, of 
the Company’s profit before tax. In estimating reasonably possible changes the Company assessed the volatility of foreign exchange rates during 
the reporting periods.  
 
 
2021 
2020 
 
Change in  
exchange rate 
Effect on PBT 
Change in  
exchange rate 
Effect on PBT 
 
% 
US$ millions 
% 
US$ millions 
USD/RUB 
– 
– 
(16.88) 
1 
– 
– 
16.88 
(1) 
 
Fair Value of Financial Instruments 
The carrying amounts of financial instruments, such as cash, accounts receivable and payable, loans payable to related parties, approximate their fair 
value. The fair value of the notes is disclosed in Note 28 of the consolidated financial statements. 
 
11. SUBSEQUENT EVENTS 
In January 2022,  the Company fully paid to its shareholders the dividends declared in December 2021 (Dividends in Note 4). 
In February 2022, the Company received the full amount of dividends declared by Raspadskaya in December 2021 (Dividend Income in Note 6). 
Other material events after the reporting year are disclosed in Note 33 of the consolidated financial statements. 
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ADDITIONAL  
	 INFORMATION
TCFD DISCLOSURE
CROSS-REFERENCE 
FOR THE DISCLOSURE 
IN THE REPORT
SUMMARY 
OF THE CLIMATE-
RELATED FINANCIAL 
DISCLOSURES
COMMENTS 
FOR NON-COMPLIANCE
FUTURE STEPS
Governance
a.	Describe the board’s 
oversight of climate-
related risks 
and opportunities.
p. 58-60  
Issues related to climate 
risks and opportunities 
are reviewed 
and considered at BoD 
meetings 10–12 times per 
year.
b.	Describe 
management’s 
role in assessing 
and managing 
climate-related risks 
and opportunities.
p. 58-60 
Management reviews 
and considers issues 
related to climate change, 
climate-related risks, 
and decarbonisation 
opportunities. 
Management monitors 
the Company’s climate-
related performance 
and progress against 
targets.
In 2022, we are planning 
to include climate-related 
and decarbonisation KPIs 
for the Vice Presidents 
of EVRAZ.
The Group is currently 
aligning its 
remuneration process 
with decarbonisation 
goals and targets.
TCFD COMPLIANCE STATEMENT AND INDEX
Compliance statement
In accordance with LSE Listing Rule 9.8.6(8) 
R we present our 2021 TCFD compliance 
index and confirm that we have in this 
Report made climate-related financial 
disclosures for the year ended 31 December 
2021 which are::
(a) consistent with the following TCFD 
Recommendations and Recommended 
Disclosures1:
	• Governance - (a) and (b);
	• Strategy - (a) and (c);
	• Risk management – (a), (b), (c);
	• Metrics and Targets - (b) and (c).
(b) partially consistent with the following 
TCFD Recommendations 
and Recommended Disclosures:
	• Strategy - (b);
	• Metrics and Targets - (a).
In the table below, we include cross-
references to disclosures made elsewhere 
within the Report and explain the reasons 
for partially complying with the certain 
of the TCFD Recommendations 
and Recommended Disclosures. EVRAZ 
is set to cover most of the partially 
consistent disclosures in 2022.
In assessing compliance with LSE Listing 
Rules 9.8.6(8) R, we took into consideration 
the documents referred to in the guidance 
notes to the Listing Rules, 
as well as considering on a voluntary basis 
the updated guidance on Implementing 
the Recommendations of the Task Force 
on Climate-related Financial Disclosures 
published in October 2021.
TCFD DISCLOSURE
CROSS-REFERENCE 
FOR THE DISCLOSURE 
IN THE REPORT
SUMMARY 
OF THE CLIMATE-
RELATED FINANCIAL 
DISCLOSURES
COMMENTS 
FOR NON-COMPLIANCE
FUTURE STEPS
Strategy
a.	Describe the climate-
related risks 
and opportunities 
the organization 
has identified 
over the short, 
medium, and long 
term.
p. 92-96 
We have identified time 
horizons as long (2050), 
medium (2030) and short 
(2025) for each climate 
risk identified.
The results 
of the qualitative risk 
assessment is presented 
in section “Climate 
change risks”
b.	Describe the impact 
of climate-related risks 
and opportunities 
on the organization’s 
businesses, strategy, 
and financial 
planning.
p. 92-96 
EVRAZ considers 
the environmental 
impact of its operations 
as well as the potential 
consequences 
of climate-related 
risks during strategic 
planning. The Company 
continuously researches 
opportunities to improve 
its business and product 
lines sustainably. 
EVRAZ has developed 
the Environmental 
Strategy 2030 
and is developing 
the Decarbonisation 
pathway roadmap based 
on thorough research 
of industry-specific 
measures and best 
practice initiatives 
over the short, medium 
and long-term time 
horizons.
Currently, we are not 
able to describe 
the impact of climate-
related issues on our 
financial performance 
and financial position 
due to not completing 
a financial analysis 
of climate-related risks 
and opportunities.
In 2022, we plan 
to incorporate 
climate-related risks 
into financial models 
and conduct financial 
analysis to assess how 
climate risks will affect 
our financial stability. 
The quantitative analysis 
will include a description 
of the process 
and methodologies used.
c.	Describe the resilience 
of the organization’s 
strategy, taking 
into consideration 
different climate-
related scenarios, 
including a 2°C or 
lower scenario.
p. 92-96 
All risks, including 
climate-related risks, 
are closely monitored 
and considered when 
planning the Group’s 
strategy. If a significant 
change affects the risk 
assessment results, 
EVRAZ is set to adjust its 
strategy accordingly.
In 2022, we plan 
to incorporate 
climate-related risks 
into financial models 
and conduct financial 
analysis to assess how 
climate risks will affect 
our financial stability. 
The analysis will include 
the potential effects 
of climate scenarios 
(SSP1–2.6, SSP2–4.5, 
SSP5–8.5, particularly 
the 2°C or lower 
scenario. We will further 
analyse the resilience 
of our strategy against 
risks and opportunities 
in accordance 
with climate scenarios.
1.	  As defined in Appendix 1 of the Financial Conduct Authority Listing Rules.
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TCFD DISCLOSURE
CROSS-REFERENCE 
FOR THE DISCLOSURE 
IN THE REPORT
SUMMARY 
OF THE CLIMATE-
RELATED FINANCIAL 
DISCLOSURES
COMMENTS 
FOR NON-COMPLIANCE
FUTURE STEPS
RISK MANAGEMENT
a.	Describe 
the organization’s 
processes 
for identifying 
and assessing climate-
related risks.
p. 92-96 
EVRAZ determines 
climate risks by following 
the Group’s approach. 
The assessment process 
identifies risks in relation 
to all major divisions 
of the Company.
The risk identification 
process is in line 
with three climate 
scenarios (SSP1–2.6, 
SSP2–4.5, and SSP5–8.5) 
and focus on long time 
horizons (2050), medium 
(2030) and short (2025).
In addition, we 
are planning to report 
on the internal carbon 
price used for developing 
our Group strategy 
and budgeting.
b.	Describe 
the organization’s 
processes 
for managing climate-
related risks.
p. 92-96 
All risks are assessed 
annually to ensure that 
they are appropriately 
documented and that 
timely risk management 
procedures have 
been developed 
throughout the Group 
and at operational levels. 
For each climate-related 
risk we analyse mitigation 
measures (accept, avoid, 
transfer or mitigate).
c.	Describe how 
processes 
for identifying, 
assessing, 
and managing 
climate-related 
risks are integrated 
into the organization’s 
overall risk 
management.
p. 92-96 
EVRAZ identifies, 
assesses, and manages 
climate-related risks 
according to the overall 
Group’s risk management 
approach. As part 
of its risk management 
process, the Group has 
developed a unified 
framework to detect, 
assess and manage 
climate-related risks 
at the corporate 
and operational 
levels. The framework 
encompasses all business 
processes and day-to-day 
activities. The method 
used to categorise risks 
as either principal or 
non-principal is also 
applied to managing 
climate-related risks.
TCFD DISCLOSURE
CROSS-REFERENCE 
FOR THE DISCLOSURE 
IN THE REPORT
SUMMARY 
OF THE CLIMATE-
RELATED FINANCIAL 
DISCLOSURES
COMMENTS 
FOR NON-COMPLIANCE
FUTURE STEPS
Metrics and Targets
a.	Disclose 
the metrics used 
by the organization 
to assess climate-
related risks 
and opportunities 
in line with its strategy 
and risk management 
process.
p. 62-64 
EVRAZ monitors GHG 
emission, carbon intensity 
of the key product 
categories, primary 
energy consumption 
and energy intensity. 
For the risk management 
purposes, we apply 
internal carbon price 
and analysis of KPIs 
against targets.
Currently, we are unable 
to provide an internal 
carbon price. EVRAZ 
has set an internal 
carbon price, however 
the methodology 
for establishing 
the metric is being 
revised.
EVRAZ has set 
an internal carbon 
price that will continue 
to be used for budgeting 
and planning its 
operations and being 
an additional metric 
considered when 
assessing investment 
projects and mitigating 
regulatory risks. EVRAZ 
plans to disclose 
information upon 
this metric in future 
disclosures.
b.	Disclose Scope 1, 
Scope 2, and, if 
appropriate, Scope 
3 greenhouse gas 
(GHG) emissions, 
and the related risks.
p. 62-64 
EVRAZ reports 
on Scope 1 and Scope 2 
greenhouse gas (GHG) 
emissions and the related 
risks on a yearly basis.
We are planning 
to publish the Scope 3 
calculations in the public 
reports and press 
releases in 2022.
We will be updating 
the accounting 
and monitoring 
practices for energy 
consumption. As well as, 
undertaking investments 
and operational measures 
aimed at improving 
energy efficiency, 
developing internal 
power generation 
capacity, using 
renewable energy 
sources and upgrading 
equipment.
c.	Describe 
the targets used 
by the organization 
to manage climate-
related risks 
and opportunities 
and performance 
against targets.
p. 62-64 
All emissions 
are calculated, however 
targets are set on specific 
processes.
EVRAZ intends to reduce 
the intensity of Scope 1 
and 2 GHG emissions 
from steel making 
operations by 20% 
and reach 75% utilisation 
of methane (CH4) 
emitted while degassing 
coal mines by 2030, 
against a 2019 baseline.
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ADDITIONAL INFORMATION

EVRAZ PLC
FTSE 100 INDEX
01.01.2021 
31.12.2021
100
125
150
Information about shares of EVRAZ plc
STOCK PERFORMANCE INDICATORS AND 
SHAREHOLDER INFORMATION
The Company’s issued share capital as of 
31 December 2021 and 24 February 2022 
was 1,506,527,294 ordinary shares, of which 
47,837,582 shares are held in Treasury. 
Therefore, the total number of voting 
rightsin the Company is 1,458,689,712.
Relative share price dynamics, 52w
The shares of EVRAZ plc trades on the Main market of London 
Stock Exchange
Ticker (Bloomberg)
EVR LN
Trading service
SETS
Market
MAIN MARKET
Listing category
Premium Equity Commercial Companies
FTSE index
FTSE 100
FTSE sector
Industrial Metals & Mining
FTSE sub-sector
Iron & Steel
Country of share register
GB
Segment
STMM
MiFID Status
Regulated Market
SEDOL
B71N6K8
ISIN number
GB00B71N6K86
Shareholders are advised to be wary of any 
unsolicited advice, offers to buy shares at 
a discount, or offers of free reports about 
the Company. These are typically from 
overseas-based ‘brokers’ who target US or 
UK shareholders, offering to sell them what 
often turns out to be worthless or high risk 
shares.
These operations are commonly known as 
‘boiler rooms’ and the ‘brokers’ can be very 
persistent and extremely persuasive.
If you receive any unsolicited investment 
advice:
	• Make sure you get the correct name of 
the person and organisation.
	• Check that they are properly authorised 
by the FSA before getting involved by 
visiting www.fsa.gov.uk/fsaregister and 
contacting the firm using the details on 
the register.
	• Report the matter to the FSA either by 
calling 0845 606 1234 or visiting www.
fsa.gov.uk/scams.
	• If the calls persist, hang up.
Details of any share dealing facilities that 
the company endorses will be included in 
Company mailings.
UNSOLICITED TELEPHONE CALLS AND 
CORRESPONDENCE
EVRAZ uses its website www.evraz.com as 
its primary means of communication with its 
shareholders provided that the shareholder 
has agreed or is deemed to have agreed 
that communications may be sent or 
supplied in that manner in accordance 
with the Companies Act 2006. Electronic 
communications allow shareholders to 
access information instantly as well as 
helping EVRAZ reduce its costs and its 
impact on the environment. Shareholders 
can sign up for electronic communications 
via Computershare’s Investor Centre 
website at www.investorcentre.co.uk. 
Shareholders that have consented or are 
deemed to have consented to electronic 
communications can revoke their consent 
at any time by contacting the Company’s 
registrar, Computershare.
ELECTRONIC SHAREHOLDER COMMUNICATIONS
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ADDITIONAL INFORMATION

The Group uses alternative performance 
measures (APMs) to improve comparability 
of information between reporting periods 
and business units, either by adjusting 
for uncontrollable or one-off factors 
which impact upon IFRS measures or, by 
aggregating measures, to aid the user of 
this report in understanding the activity 
taking place across the Group’s portfolio.
EBITDA
EBITDA is determined as a segment’s 
profit/(loss) from operations adjusted for 
social and social infrastructure maintenance 
expenses, impairment of assets, profit/
(loss) on disposal of property, plant and 
equipment and intangible assets, foreign 
exchange gains/(losses) and depreciation, 
depletion and amortisation expense.
DEFINITIONS OF SELECTED ALTERNATIVE 
PERFORMANCE MEASURES
See note 3 of the consolidated financial statement 
for additional information and reconciliation with 
IFRS financial statements.
Cash and short-term bank deposits calculation1
US$ MILLION
31 DECEMBER 2021
31 DECEMBER 2020
CHANGE
CHANGE, %
Cash and cash equivalents
1,427
1,627
(200)
(12.3)
Cash and short-term bank deposits
1,427
1,627
(200)
(12.3)
Free Cash Flow
Free Cash Flow represents EBITDA, net of 
noncash items, less changes in working 
capital, income tax paid, interest paid 
and covenant reset charges, conversion 
premiums, premiums on early repurchase 
of bonds and realised gain/(losses) on 
interest payments under swap contracts, 
interest income and debt issue costs, less 
capital expenditure, including recorded 
in financing activities, purchases of 
subsidiaries, net of cash acquired, proceeds 
from sale of disposals classified as held for 
sale, net of transaction costs, less purchases 
of treasury shares for participants of the 
incentive plans, plus other cash flows from 
investing activities.
Free Cash Flow is not a measure under 
IFRS and should not be considered as an 
alternative to other measures of financial 
position. EVRAZ’ calculation of Free Cash 
Flow may be different from the calculation 
used by other companies and therefore 
comparability may be limited.
Cash and short-term bank 
deposits
Cash and short-term bank deposits is 
not a measure under IFRS and should 
not be considered as an alternative to 
other measures of financial position. 
EVRAZ’ calculation of cash and short-term 
bank deposits may be different from the 
calculation used by other companies and 
therefore comparability may be limited.
Total segment revenues, total 
segment EBITDA
Total segment revenues and total segment 
EBITDA include the contribution of 
discontinued operations. During 2021 the 
Coal business was an integral part of the 
Group and was managed on this basis. As 
such these measures are considered more 
reflective of the performance of the Group 
in the year. 
See more in Note 3   on page 202.
1.	 As discussed in more detail in Note 2 and Note 13 of the EVRAZ consolidated financial statements, as of 31 December 2021, the management had concluded that 
the demerger of the coal business had become highly probable within one year and that Raspadskaya Group met all criteria to be classifed as a disposal held 
for distribution to owners. Consequently, in accordance with the requirements of IFRS 5 “Non-current Assets Held for Sale and Discontinued Operations”, it was 
accounted for as discontinued operations in the consolidated financial statements. 
At the same time, in 2021, the coal business was an integral part of the Group. The analysis below is based on this view taken by the management and presented in 
Note 3 of the consolidated financial statements. 
The reconciliation of these results with the amounts presented in the consolidated statement of operations is provided in Note 13. It is limited to the presentation of 
the results of the coal business as discontinued operations.
Total debt 
Total debt represents the nominal value 
of loans and borrowings plus unpaid 
interest, finance lease liabilities, loans of 
assets classified as held for sale, and the 
nominal effect of cross-currency swaps on 
principal of rouble-denominated notes. 
Total debt is not a measure under IFRS and 
should not be considered as an alternative 
to other measures of financial position. 
EVRAZ’ calculation of total debt may be 
different from the calculation used by other 
companies and therefore comparability 
may be limited. The current calculation 
is different from that used for covenant 
compliance calculations.
US$ MILLION
31 DECEMBER 
2021
31 DECEMBER 
2020
CHANGE
CHANGE, %
Long-term loans, net of current portion
3,840
3,759
81
0.0
Short-term loans and current portion of long-term 
loans
101
1,078
(977)
(90.6)
Add back: Unamortised debt issue costs and fair 
value adjustment to liabilities assumed in business 
combination
17
16
1
0.0
Nominal effect of cross-currency swaps on principal 
of rouble-denominated notes
44
43
1
0.0
Finance lease liabilities, non-current portion
64
57
7
12.3
Finance lease liabilities, current portion
28
30
(2)
(0.1)
Total debt
4,094
4,983
(889)
(17.8)
Net debt
Net debt represents total debt less cash 
and liquid short-term financial assets, 
including those related to disposals 
classified as held for sale. Net debt is not 
a measure under IFRS and should not 
be considered as an alternative to other 
measures of financial position. EVRAZ’ 
calculation of net debt may be different 
from the calculation used by other 
companies and therefore comparability 
may be limited. The current calculation 
is different from that used for covenant 
compliance calculations.
US$ MILLION
31 DECEMBER 
2021
31 DECEMBER 
2020
CHANGE
CHANGE, %
Total debt
4,094
4,983
(889)
(17.8)
Cash and cash equivalents
(1,427)
(1,627)
200
12.3
Net debt
2,667
3,356
(689)
(20.5)
Net debt1 has been calculated as follows:
Total debt1 has been calculated as follows:
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1.	 As discussed in more detail in Note 2 and Note 13 of the EVRAZ consolidated financial statements, as of 31 December 2021, the management had concluded that 
the demerger of the coal business had become highly probable within one year and that Raspadskaya Group met all criteria to be classifed as a disposal held 
for distribution to owners. Consequently, in accordance with the requirements of IFRS 5 “Non-current Assets Held for Sale and Discontinued Operations”, it was 
accounted for as discontinued operations in the consolidated financial statements. 
At the same time, in 2021, the coal business was an integral part of the Group. The analysis below is based on this view taken by the management and presented in 
Note 3 of the consolidated financial statements. 
The reconciliation of these results with the amounts presented in the consolidated statement of operations is provided in Note 13. It is limited to the presentation of 
the results of the coal business as discontinued operations.
CAPEX
Capital expenditure (CAPEX) is cash expenditure on property, plant and equipment. For internal reporting and analysis, CAPEX includes 
non-cash transactions related to CAPEX.
CAPEX1 has been calculated as follows:
US$ MILLION
31 DECEMBER 2021
31 DECEMBER 2020
CHANGE
CHANGE, %
Purchases of property, plant and 
equipment and intangible assets
910
647
263
40.6
Purchases of property, plant and 
equipment on deferred terms
10
10
0
0.0
CAPEX
920
657
263
40.6
GHG intensity ratio
Tonnes of CO2 equivalent (Scope 1 and 
2 GHG emissions) divided by tonnes of 
crude steel. Оnly steelmaking enterprises 
are included into the calculation, which are 
located in Russia and North America.
Labor productivity, US$/t
P=S/V
S — Labor Costs (asset and A-category 
subsidiaries), exclusive of tax, local currency 
(on Division consolidation sites with 
different currencies, $)
V — production volume, tn. (for steel 
assets: V — metal products shipped)
LTIFR
The KPI is calculated on a year-to-date 
basis for the company employees only.
LTIFR = X•1000000/Y
X is the total number of occupational 
injuries resulted in lost time among the 
company employees in the reporting 
period. Fatalities are not included.
Y is the actual total number of man-hours 
worked by all company employees in the 
reporting period.
Slab cash costs, US$/t
Cash cost of slab is defined as the 
production cost less depreciation, the result 
is divided by production volumes of slab. 
Raw materials from EVRAZ coal and iron 
ore producers are accounted for on at-cost-
basis. Costs of slab of EVRAZ NTMK, EVRAZ 
ZSMK are then weighted averaged by the 
total saleable slab production volume.
Coking coal concentrate cash 
cost, US$/t
Cash cost of coking coal concentrate 
is defined as cost of revenues less 
depreciation and SG&A, the result is 
divided by sales volumes.
Iron ore products cash cost, 
US$/t
Cash cost of iron ore products is defined 
as cost of revenues less depreciation 
and SG&A, the result is divided by sales 
volumes.
Number of EBS 
transformations
Number of EBS transformations 
implemented at the key assets during the 
reporting year.
Effect from efficiency 
improvement programme 
(сustomer focus and cost 
cutting effects)
Each project effect is calculated as an 
absolute deviation of targeted metriс year 
to year multiplied by relevant price or 
volume depending on project’s focus.
DATA ON MINERAL RESERVES
Coal
Raspadskaya (Novokuznetsk site) JORC equivalent coal proved and probable reserves, kt 
MINE
AS OF 31 DECEMBER 2021
Alardinskaya
126,437
Yesaulskaya
8,099
Erunakovskaya-8
113,136
Osinnikovskaya
70,259
Uskovskaya
182,780
Razrez Tomsky-Yuzny
53,684
Total
554,395
Raspadskaya (Mezhdurechensk site) JORC equivalent coal proved and probable reserves, kt 
MINE
AS OF 31 DECEMBER 2021
Raspadskaya (incl. reserves of MUK-96)
905,281
Raspadskaya Koksovaya
144,999
Razrez Raspadskiy (open-pit)
97,384
Koksovaya GRR (open-pit)
22,642
Total
1,170,305
Raspadskaya (Mezhegeyugol site) JORC equivalent coal proved and probable reserves, kt 
MINE
AS OF 31 DECEMBER 2021
Mezhegeyugol
86,200
EVRAZ ZSMK mining operations JORC equivalent coal proved and probable reserves, kt 
MINE
AS OF 31 DECEMBER 2021
FE, %
S, %
Kaz
16,043
Tashtagol
48,358
Sheregesh
69,371
Total
133,772
31.90
1.39
Kachkanarsky GOK (EVRAZ KGOK) JORC equivalent coal proved and probable reserves, kt 
MINE
AS OF 31 DECEMBER 2021
FE, %
V2O5 %
Gusevogorskoe
2,929,768
Kachkanar Proper (Sobstvenno-Kachkanarskoye)
6,737,354
Total
9,800,894
15.9
0.13
Iron ore
293
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ADDITIONAL INFORMATION

SHORT SUMMARY OF RELEVANT ANTI-CORRUPTION 
POLICIES
Short summary of relevant anti-corruption policies
Code of Conduct
The Code of Conduct is the key document 
that all employees must adhere to and act 
in full accordance with. Every new employee 
is instructed to read it carefully on his or her 
first day of work. The document is available 
on the corporate intranet and stresses the 
ultimate importance of ethical behaviour in 
all circumstances. Anti-corruption training 
and the tone set from the top of the 
organisation emphasise the role of the Code 
of Conduct in the Group’s daily life.
Anti-corruption Policy
This policy establishes and explains the key 
principles that all assets have adopted to 
prevent corruption. It is easily accessible 
on the corporate intranet for employees, 
interested parties and partners, who 
are all expected to be compliant with 
relevant anti-corruption legislation and the 
principles upheld by the Group. Every new 
employee reads the policy on his or her 
first day of work.
Anti-corruption System Policy
This policy defines the structural elements 
of the Group’s system for dealing with risks 
of corruption and bribery, explaining the 
specific roles and responsibilities of each 
component, including those of compliance 
managers. The regulation sets forth 
principles underlying planning for anti-
corruption activities, lists related risks and 
lays grounds for conducting corresponding 
risk assessments. The policy is accessible on 
the corporate intranet.
Anti-corruption Training Policy
Consistent anti-corruption education 
efforts are an integral element of a well 
designed compliance system. Adopted 
in December 2015, this policy defines 
what positions and levels of authority are 
to undergo training in anti-corruption 
awareness. Specifically, all managers and 
specialists from compliance, legal, control, 
asset protection, investor and government 
relations, and HR are to receive training 
and pass a corresponding test. The same 
refers to all decision makers and/or client 
managers from procurement and sales. 
Compliance managers have the authority 
to analyse risk areas and decide who else 
needs to be trained.
Sponsorship and Charity 
Policy
This policy regulates all aspects of 
sponsorship and charity efforts at EVRAZ 
as necessary. According to it, the Group 
may consider supporting low-income or 
physically challenged individuals, and those 
suffering from conflicts or natural disasters. 
EVRAZ may choose to support certain 
projects in education, sport, healthcare, 
culture and environmental protection.
All petitions are carefully considered in terms 
of legitimacy and transparency of purpose, 
the amount sought and the reputation of the 
petitioner. The decisions are then taken by 
the Group CEO. When support is granted, 
sponsorship being the preferred form, 
such instances are followed up by experts 
under the vice president for corporate 
communications and by compliance 
managers. This ensures full accountability 
and the strict adherence of those supported 
to EVRAZ’ policy requirements.
Gift and Business 
Entertainment Policy
EVRAZ believes that business gifts 
and hospitality are accepted ways to 
demonstrate and further develop good 
relationships. At the same time, adequate 
and consistent control over such expenses 
is highly important and one of the key 
areas for anti-corruption compliance 
to watch. This policy defines rules and 
strict approval procedures to be followed 
when extending or receiving gifts and 
hospitality. In particular, all amounts 
above US$100 for a personal gift (received 
or given) and US$500 for hospitality 
(received or extended) must be approved 
by the responsible compliance manager. 
The corresponding amounts in the US 
and Canada are US$50 and US$250, 
respectively. To this end, an electronic 
notification system has been developed. 
The internal audit function conducts 
regular checks of the completeness and 
accuracy of records, either planned or 
requested by a compliance manager, 
and compliance specialists act on any 
recommendations promptly.
Hotline policy and 
whistleblowing procedures
EVRAZ encourages employees to raise 
concerns to their line managers if they 
believe that the Group’s policies or 
cardinal principles are somehow violated. 
If employees, clients, or contractors feel 
unable to do so through other means 
and procedures, a confidential hotline is 
available 24/7.
Candidate background and 
criminal record checks
EVRAZ consistently performs thorough 
background and criminal record checks 
on all potential employees. Among other 
requirements and norms, its policy specifies 
that all necessary effort is invested only 
after a candidate gives written permission 
to work with his/her personal data. The 
Group is committed to protecting each 
individual’s privacy and works in full 
compliance with the relevant laws on 
personal data.
Conflict of Interest Policy
A conflict of interest is a set of 
circumstances in which an employee has 
financial or other personal considerations 
that may compromise or influence his/
her professional judgment or integrity in 
carrying out his/her work responsibilities. 
This policy specifies how to identify, 
consider and duly take care of situations 
with signs of such conflicts. HR and 
compliance managers routinely check 
whether there are conflicts of interests 
in the Group, whereas employees 
and particularly their managers are 
expected to provide information about 
any potentially risky situations. Special 
commissions consider cases reported and 
devise the best possible solution to each 
individual situation.
Contractor/supplier due 
diligence checks
To guard against unscrupulous, unreliable 
or suspicious would-be agents and 
partners, EVRAZ runs comprehensive due 
diligence checks on a business or person 
before signing a contract. The Group 
strictly enforces a know-your-partner/client 
policy and, in doing so, is fully compliant 
with the applicable anti-corruption laws. 
The investigation includes but is not limited 
to checking a counterparty’s business 
reputation and solvency, as well as its top 
management’s profile and reputation.
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TERMS AND ABBREVIATIONS
B
Basic oxygen furnace
Basic oxygen furnace is a frunace used in 
a method of primary steelmaking in which 
carbon-rich molten pig iron is made into 
steel. Blowing oxygen through molten pig 
iron lowers the carbon content of the alloy 
and changes it into low-carbon steel. The 
process is known as basic because fluxes of 
burnt lime or dolomite, which are chemical 
bases, are added to promote the removal 
of impurities and protect the lining of the 
converter.
Beam
A structural element. Beams are 
characterised by their profile (the shape 
of their cross-section). One of the most 
common types of steel beam is the I-beam, 
also known as H-beam, or W-beam 
(wideflange beam), or a ‘universal beam/
column’. Beams are widely used in the 
construction industry and are available in 
various standard sizes, eg 40-k beam, 60Sh 
beam, 70Sh beam as mentioned in this 
report.
Billet
A usually square, semi-finished steel product 
obtained by continuous casting or rolling of 
blooms. Sections, rails, wire rod and other 
rolled products are made from billets.
Blast furnace
The blast furnace is the classic production 
unit to reduce iron ore to molten iron, 
known as hot metal. It operates as a 
counter-current shaft system, where iron 
ore and coke is charged at the top. While 
this charge descends towards the bottom, 
ascending carbon containing gases and 
coke reduces the iron ore to liquid iron. To 
increase efficiency and productivity, hot air 
(often enriched with oxygen) is blown into 
the bottom of the blast furnace. In order to 
save coke, coal or other carbon containing 
materials are sometimes injected with this 
hot air.
By-product
A secondary product which results from 
a manufacturing process or chemical 
reaction.
C
Cash cost of coking coal 
concentrate
Cash cost of coking coal concentrate 
is defined as the production cost less 
depreciation, incl. SG&A and Maintenance 
CAPEX, the result is divided by production 
volumes. This measure is used to monitor 
segment competitiveness improvement.
CAPEX
Capital expenditure.
CFR
Cost and freight, the seller must pay the 
costs and freight to bring the goods to 
the port of destination. However, risk is 
transferred to the buyer once the goods 
are loaded on the vessel. Insurance for the 
goods is not included.
Channel
U-shaped section for construction.
Coal washing
The process of removing mineral matter 
from coal usually through density 
separation, for coarser coal and using 
surface chemistry for finer particles.
Coke
A product made by baking coal without 
oxygen at high temperatures. Unwanted 
gases are driven out of the coal.
The unwanted gases can be used as fuels 
or processed further to recover valuable 
chemicals. The resulting material (coke) has 
a strong porous structure which makes it 
ideal for use in a blast furnace.
Coke battery
A group of coke ovens operating as a unit 
and connected by common walls.
Coking coal
Highly volatile coal used to manufacture 
coke.
Concentrate
A product resulting from iron ore / coal 
enrichment, with a high grade of extracted 
mineral.
Construction products
Include beams, channels, angles, rebars, 
wire rods, wire and other goods.
Converter
A type of furnace that uses pure oxygen 
in the process of producing steel from cast 
iron or dry mix.
Conversion costs
Conversion costs is defined as production 
costs without raw materials and 
depreciation, incl. SG&A and Maintenance 
CAPEX.
This measure is used to monitor segment 
competitiveness improvement.
Continuous casting machine
Process whereby molten metal is solidified 
into a “semi-finished” billet, bloom, or slab 
for subsequent rolling in the finishing mills.
Crude steel
Steel in its solidified state directly after 
casting. This is then further processed 
by rolling or other treatments, which can 
change its properties.
D
Debottlenecking
Increasing capacity of a supply or 
production chain through the modification 
of existing equipment or infrastructure to 
improve efficiency.
Deposit
An area of coal resources or reserves 
identified by surface mapping, drilling or 
development.
E
Electric arc furnace
A furnace used in the steelmaking process 
which heats charged material via an electric 
arc.
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G
Greenfield
The development or exploration of a new 
project not previously examined.
Grinding balls
Balls used to grind material by impact and 
pressure.
H
Head-hardened rails
High strength rails with head hardened by 
heat treatment.
Heat-treatment
A group of industrial and metalworking 
processes used to alter the physical, and 
sometimes chemical, properties of a 
material.
HiPo
High potential employee.
I
Iron ore
Chemical compounds of iron with other 
elements, mainly oxygen, silicon, Sulphur 
or carbon. Only extremely pure (rich) 
iron-oxygen compounds are used for 
steelmaking.
ISO 14001
The International Standardisation 
Organisation’s standard for environmental 
management systems.
ISO 9001:2008
The International Standardisation 
Organisation’s standard for a quality 
management system.
F
Feasibility study
A comprehensive engineering estimate of 
all costs, revenues, equipment requirements 
and production levels likely to be achieved 
if a mine is developed. The study is used to 
define the technical and economic viability 
of a project and to support the search for 
project financing.
Finished products
Products that have completed the 
manufacturing process but have not yet 
been sold or distributed to the end user.
Flat products or Flat-rolled 
steel products
Include commodity plate, specialty plate 
and other products in flat shape such as 
sheet, strip and tin plate.
J
JORC Code
The Australasian Joint Ore Reserves 
Committee, which is widely accepted as 
a standard for professional reporting of 
Mineral Resources and Ore Reserves.
K
Kt
Thousand tonnes.
L
Labour productivity
Labour productivity is defined as 
labour costs exclusive of tax divided by 
production volumes of steel products. The 
measurement of performance enables the 
Company to monitor labour efficiency.
Ladle furnace
The secondary metallurgy vessel used 
between steelmaking and casting 
operations to allow the composition of 
molten steel to be brought to the required 
customer specification.
Lean
Lean is philosophy of managing the 
business that is based on a set of principles 
that define the way of work.
Long products
Include bars, rods and structural products 
that are ‘long’ rather than ‘flat’ and are 
produced from blooms or billets.
Longwall
An underground mining process in which 
the coal face is dug out by a shearer and 
transported above ground by conveyors.
LTIFR
Lost time injury frequency rate, which 
represents the number of lost time injuries 
(1 day or more of absence) divided by the 
total number of hours worked expressed in 
millions of hours.
Lumpy ore
Iron ore between 6mm and 30mm in size. 
Lump is preferred in the blast furnace as 
its particle size allows oxygen to circulate 
around the raw materials and melt them 
efficiently.
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M
Model line
Model line is as a value stream within 
a single facility or operation, provides 
a focused and controlled playground 
for implementing lean. Serve as internal 
benchmark for the Company. The 
measurement of performance enables the 
Company to monitor lean implementation.
Mt
Million tonnes.
Mtpa
Million tonnes per annum.
O
Open pit mine
A mine working or excavation open to the 
surface where material is not replaced into 
the mined out areas.
OCTG pipe
Oilfield Casing and Tubing Goods or Oil 
Country Tubular Goods – pipes used in the 
oil industry.
P
Pellet
An enriched form of iron ore shaped into 
small balls or pellets. Pellets are used as raw 
material in the steel making process.
Pig iron
The solidified iron produced from a blast 
furnace used for steel production. In liquid 
form, pig iron is known as hot metal.
Pipe blank
A flat sheet of metal, a semi-finished 
product, sold to pipemakers to manufacture 
pipes.
Plate
A long thin square shaped construction 
element made from slabs.
Pulverised coal injection (PCI)
A cost-reducing technique in iron-making, 
where cheaper coal is prepared to replace 
normal coking coal in the blast furnace. The 
coal is pulverised into very small particles 
before injection into the furnace.
R
Railway products
Include rails, rail fasteners, wheels, tyres 
and other goods for the railway sector.
Rebar
Reinforcing bar, a commodity grade steel 
used to strengthen concrete in highway 
and building construction. Rebar A500SP 
is a type of reinforcing bar that allows for 
a reduction in the metallic component of 
reinforced concrete, thereby significantly 
lowering construction costs.
Rolled steel products
Products finished in a rolling mill; these 
include bars, rods, plate, beams etc.
Rolling mill
A machine which converts semi-finished 
steel into finished steel products by passing 
them through sets of rotating cylinders 
which form the steel into finished products.
S
SG&A
Selling, General and Administrative 
Expenses.
Saleable products
Products produced by EVRAZ mines or 
steel mills which are suitable for sale to 
third parties.
Self-coverage
The raw material requirement of EVRAZ 
steelmaking facilities compared with coal 
product sales or production of iron ore 
products from own raw materials.
Scrap
Iron containing recyclable materials (mainly 
industrial or household waste) that is 
generally remelted and processed into new 
steel.
Semi-finished products
The initial product forms in the steel 
making process including slabs, blooms, 
billets and pipe blanks that are further 
processed into more finished products such 
as beams, bars, sheets, tubing etc.
Sinter
An iron rich clinker formed by heating 
iron ore fines and coke in a sinter line. 
The materials, in pellet form, combine 
efficiently in the blast furnace and allow 
for more consistent and controllable iron 
manufacture.
Slab
A common type of semi-finished steel 
product which can be further rolled into 
sheet and plate products.
Slag
Slag is a by product generated when 
nonferrous substances in iron ore, 
limestone and coke are separated from the 
hot metal in metallurgical production. Slag 
is used in cement and fertiliser production 
as wellas for base course material in road 
construction.
Steam coal
All other types of hard coal not classified 
as coking coal. Coal of this type is also 
commonly referred to as thermal coal.
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T
Tailings
Also called mine dumps, are the materials 
left over after the process of separating 
the valuable content from the uneconomic 
remainder (gangue) of an ore. These 
materials can be reprocessed using new 
methods to recover additional minerals.
Tubular products
Include large diameter line pipes, ERW 
pipes and casings, seamless pipes and 
other tubular products.
U
Unrealised profit (URP)
Inter-segment unrealised profit or loss 
(URP) is a change in the sales margin 
included in balances of inventories 
purchased from segments other than the 
reportable segment between the end and 
the beginning of the reporting period.
V
Vanadium
A grey metal that is normally used as an 
alloying agent for iron and steel. It is also 
used to strengthen titanium based alloys.
Vanadium pentoxide
The chemical compound with the formula 
V2O5: this orange solid is the most 
important compound of vanadium. Upon 
heating, it reversibly loses oxygen.
Vanadium slag
Vanadium slag produced from pig iron 
in the converter shop and used as a raw 
material by producers of ferroalloys and 
vanadium products.
LEGAL DISCLAIMER
This report contains forward-looking 
statements concerning the financial 
condition, operational results, 
and businesses of EVRAZ plc. All 
statements other than statements 
of historical fact are, or may be deemed 
to be, forward-looking statements. 
Forward-looking statements are statements 
of future expectations that are based 
on management’s current plans, goals, 
intentions, expectations and assumptions. 
They involve known and unknown risks 
and uncertainties that could cause actual 
results, performance, or events to differ 
materially from those expressed or implied 
in these statements. Forward-looking 
statements typically contain words such 
as “will”, “may”, “should”, “believe”, “intend”, 
“expect”, “anticipate”, “target”, “estimate,” 
and words of similar import.
By their nature, forward-looking 
statements involve known and unknown 
risks and uncertainties, as they relate 
to events and depend on circumstances 
that will or could occur in the future. They 
are based on numerous assumptions 
regarding EVRAZ’s present and future 
business strategies and the environment 
in which it will operate. There are a number 
of factors that could cause actual results 
and developments to differ materially 
from those expressed or implied by these 
forward-looking statements, including 
a number of factors outside EVRAZ’s control.
These include, inter alia, changes 
in the political, social, and regulatory 
framework in which EVRAZ operates; 
changes to economic and technological 
trends or conditions; the success of certain 
business and operating initiatives; 
the actions of regulators; legislative, 
fiscal, and regulatory developments, 
including regulatory measures addressing 
climate change; the behavior of other 
market participants; competitive product 
and pricing pressures; changes in consumer 
habits and preferences; foreign exchange 
rate fluctuations and interest rate 
fluctuations; changes in the level of capital 
investment; the impact of any acquisitions, 
disposals, or similar transactions; 
the outcome of any litigation; risk inherent 
to doing business in countries subject 
to international sanctions; environmental 
and physical risks; risks associated 
with the impact of pandemics; and risks 
of unforeseeable events and force majeure 
conditions.
Other unknown or unpredictable 
factors could also cause actual results 
and developments to differ materially from 
those in forward-looking statements.
Neither EVRAZ nor any of its subsidiaries 
or directors, officers or advisers, provides 
any representation, assurance, or guarantee 
that the occurrence of the events expressed 
or implied in any forward-looking 
statements in this report will actually occur.
Except as required by applicable 
regulations or by law, neither EVRAZ 
nor any of its subsidiaries undertakes 
any obligation to publicly update or revise 
any forward-looking statement as a result 
of new information, future events, or 
otherwise. Each forward-looking statement 
pertains only to the date of this report, 
i.e. 24 February 2022. In light of these 
risks, results could differ materially from 
those stated, implied, or inferred from 
the forward-looking statements contained 
in this report. No materials contained in this 
report constitute an offer, solicitation, 
or recommendation to purchase or 
sell securities or make investments. 
Readers should not place undue reliance 
on forward-looking statements.
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CONTACT DETAILS
Registered Name and Number
EVRAZ plc (Company No. 07784342)
Registered Office
2 Portman street, London, W1H 6DU, 
England, UK.
Directors
Alexander Abramov
Alexander Frolov
Aleksey Ivanov 
Eugene Shvidler
Eugene Tenenbaum
Sir Michael Peat
Maria Gordon
Karl Gruber
Deborah Gudgeon
Alexander Izosimov
Stephen Odell
James Rutherford
Sandra Stash
Secretary
Prism Cosec
Investor Relations
Tel. (London): +44 (207) 290 10 95
Tel. (Moscow): +7 (495) 232 1370
E-mail: ir@evraz.com
Auditors
Ernst & Young LLP
Solicitors
Linklaters LLP
Registrars
For information about proxy voting, 
dividends and to report changes in 
personal details, shareholders should 
contact the Company’s registrar
Computershare Investor 
Services PLC
The Pavilions
Bridgwater Road
Bristol BS13 8AE
United Kingdom
Tel.: +44 (0) 870 873 5848
Fax: +44 (0) 870 703 6101
E-mail: webqueries@computershare.co.uk
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