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Occupational safety and health management system

Ensuring workplace safety and protecting employee’s lives and health are top priorities for Metalloinvest.

The Company’s Development Strategy lays out its approach and principles in this area. To fully comply with Occupational Health and Safety rules and requirements, the Company’s enterprises adhere to the Russian legislation and OHSAS 18001:2007, as well as to their internal by-laws and regulations.

Management Company Metalloinvest has responsibility for the Company’s Occupational Health and Safety strategy, which is also managed by the Chief Operating Officer, and the Environment, Health and Safety Division. At the enterprise level, management and coordination are the responsibilities of chief engineers and heads of OHS divisions. In addition, OHS officers and special health and safety commissions play a leading role in fostering a culture of safety within the workplace.

In order to mitigate the risk of workplace injuries, Metalloinvest regularly implements comprehensive measures to ensure occupational safety and equipment reliability.

All employees take part in compulsory OHS briefings and are provided with the necessary personal protective equipment. The Company conducts special assessment of working conditions to review dangerous production factors and the workplace safety level. The results of this assessment then serve as a basis for comprehensive plans to improve working conditions.

Metalloinvest also ensures regular maintenance and repairs on its technological equipment in order to increase its reliability and ensure the essential level of industrial safety.

Maintaining and increasing the level of the employees’ OHS competencies is an integral part of ensuring industrial safety. Each year, the Company’s enterprises hold training sessions for their workers, specialists and managers to make sure that they follow occupational, industrial and fire safety requirements, as well as emergency preparedness guidelines. Training is carried out using both Metalloinvest’s educational facilities and drawing on the services of third-party specialist organisations.

The Company devotes considerable attention to understanding the root causes of workplace injuries and developing measures to prevent their future reoccurrence.

The majority of the injuries of Metalloinvest’s employees stem from non-compliance with OHS rules and human error. To rectify this, the Company directs additional resources towards improving its occupational safety culture and instilling in each employee a sense of personal responsibility for their own and their colleagues’ lives.

Metalloinvest also focuses on protecting employee health in order to provide optimal working conditions. Metalloinvest makes a significant effort to treat both the ordinary and occupational diseases of its employees, as well as to implement preventative measures for reducing overall sickness rates.

Comprehensive health and safety measures work across the spectrum of prevention, treatment and administration. Health protection measures are carried out by dedicated units in Management Company Metalloinvest and the Company’s enterprises, as well as by a network of specialised healthcare facilities, medical stations and first-aid posts.

During the construction of HBI-3 Plant, responding to the requirements of the International Finance Corporation, Lebedinsky GOK developed and implemented the following standards: OHS and EP Contractor Management at HBI-3 Plant Construction Facilities and Procedure to Check for Alcoholic, Drug or Other Substance Intoxication of Contractors at HBI-3 Plant Construction Site.

OHS costs, RUB million

OHS costs, RUB million OHS costs, RUB millionEnlarge

Employee representation in OHS governance, people

Employee representation in OHS governance, people Employee representation in OHS governance, peopleEnlarge

Mitigating the risk of emergencies

In 2016, the Company carried out its planned review of the extent to which Lebedinsky GOK is ready and prepared to prevent and eliminate emergencies, and also looked into the sufficiency of measures to protect the local community and neighbouring areas from emergencies. The Plan of Action to Prevent and Respond to Natural and Man-Made Emergencies was duly developed, coordinated and approved, covering the worst case scenarios possible for the plant and hazardous sites nearby.

OEMK’s action plan to prevent and respond to natural and man-made emergencies was developed in accordance with the Federal Law No. 68-FZ passed on 21 December 1994 entitled On Protection of Population and Territories from Natural and Man-Made Emergencies.

Programmes were put in place to enhance the enterprise’s business continuity in emergencies. Mikhailovsky GOK offers training to employees to prevent and respond to potential emergencies. An emergency prevention and recovery commission is functioning at the plant. In accordance with the guidelines of the Head Office of the Ministry of Emergency Situations for the Kursk region, Mikhailovsky GOK has developed an action plan to prevent and respond to emergencies, which has been approved by the Ministry of Emergency Situations for the Kursk region.

1The injury rate is calculated as follows: (total number of lost time injuries / number of man-hours worked) х 1,000,000 man-hours. The injury rate reflects fatal injuries and does not include data on micro-injuries or injuries to contractors’ employees.

2 The lost day rate was calculated as follows: ((number of lost days resulting from injuries + number of lost days resulting from professional diseases) / number of worked man-hours) x 1,000,000 man-hours.

3 The lost day rate does not include Lebedinsky GOK and absentee rate – OEMK, respectively, due to changes in the data collection process at these enterprises.