1 CONFIDENTIAL Acquisition and greenfield investment opportunities in grain industry in Kazakhstan January 2016 This Presentation does not constitute an offer or invitation to the public in any jurisdiction to purchase any shares or assets of any Company, and does not constitute or form any part of any offer or invitation to purchase shares, nor shall it or any part of it form the basis of, or be relied upon, in any way in connection with any contract or investment decision relating to any shares. Information contained herein should be treated as confidential. Copying or distributing without prior written consent from Kaznex Invest is prohibited.  Vast farmland areas  Agriculture with a potential to increase efficiency  Market potential for processed food  Significant market consolidation potential  Acquisition and greenfield investment opportunities with the range of 0,5 – 400 mln. USD Confidential National export and investment agency “KAZNEX INVEST” JSC Ministry for investment and development of the Republic of Kazakhstan

2 CONFIDENTIAL Agenda 1.Executive summary and basic information 2.Grain production 3.Acquisition and greenfield investment opportunities

3 CONFIDENTIAL Executive summary Kazakhstan is a dynamically developing economy with favorable demographics and low public debt Kazakhstan is the largest economy in Central Asia. The country has got vast oil reserves, deposits of metals and robust agricultural potential with lands suitable for both livestock and grain production. Kazakh potential in agriculture  Strong potential for the development of agribusiness in Kazakhstan due to country’s considerable land resources, as Kazakhstan has the world’s 12th largest arable land area, and fifth in the world in terms of pastureland of million hectares, but it uses only about 30% of the pastures;  Kazakhstan plays an important role in ensuring food security in Central Asia. Taking into account the interaction within the Organization of the Islamic food security, the possibilities of Kazakhstan in this area will increase significantly;  Agricultural development program “Agribusinesses 2020” includes state support directed at small, medium and large farms to improve their effectiveness and develop the sector as a broad level;  The special program of Plan of the Nations “100 Steps” is being implemented to address the problem of livestock forage and crop production as well as specifically highlights importance to improve the quality of the meat and dairy goods. Kazakhstan dynamic economic growth  Growing demand in regional and domestic markets for higher value and quality food products of packaged food, branded products and retail private labels is an outcome of Kazakhstan’s growing economy and increasing disposable incomes;  Kazakhstan has a potential of a springboard for expanding into the entire Central Asian, Caucasus, China and India regions with combined GDP of more that USD 16 trillion, acting as an agricultural hub for the macro region;  Attractiveness of the end-consumer market as Kazakhstan represents a relatively large mid-income market with GDP per capita of USD 12,950 in 2014 corresponds to that of most of the benchmark countries. Summary of projects Executive summary Summary of projects Grain production Greenfield Brownfield 1 m USD 10 m USD 50 m USD 100 m USD Capex required 13 Page number

4 CONFIDENTIAL Kazakhstan’s economy and basic market data Kazakhstan’s economy Kazakhstan is a dynamically developing economy with favorable demographics and low public debt Kazakhstan is the largest economy in Central Asia. The country has got vast oil reserves, deposits of metals and robust agricultural potential with lands suitable for both livestock and grain production. Economic growth  Since 2000 Kazakhstan’s economy has been growing dynamically (among the world’s fastest developing countries)  Average GDP growth rate of 7.7% in years  GDP increase has been driven by favorable market prices for Kazakhstan’s leading exports – oil, metals and grain. Demographics  Population of 17.3 million in 2013 expected to increase to 18.7 million by 2020  Favorable age structure implies a steadily increasing demand for meat and agricultural products  Median population age is at 29 years (compared to 46 in Germany, 38 in Poland, 31 in Brazil) Public debt  Kazakhstan has been the first former Soviet republic to repay all of its debt to the IMF, 7 years ahead of schedule  The public debt of Kazakhstan since 2011 remains stable between 12-14%  In 2014 Kazakhstan sold first overseas dollar bonds in 14 years, issuing USD 2.5bn of 10- and 30-year bonds GDP growth rate (%) Male Female Age structure (ths) Public debt (% of GDP) USD/KZT KZT devaluation Public debt  Total area: 2,7 mln. km2 (9 th largest in the world);  Official language: Kazakh, Russian;  Currency: Tenge () KZT);  Capital: Astana;  Largest city: Almaty;  Administrative division: 14 regions + 2 cities of republican significance;  Membership in the organizations: UN, IMF, WB, OSCE, OIC, WTO. Basic information

5 CONFIDENTIAL Kazakhstan’s food processing industry Market data and value Agro strategy of Kazakhstan For the period gross production of the agriculture goods in Kazakhstan increased by 1,5 times and reached 8 bln. USD in Growth and investment attractiveness  Agro sector is becoming more competitive and export-oriented. Since 2010 export of agriculture commodities and processed products has increased by 1,5 time and reached 2,6 bln. USD.  Food processing total turnover for the year 2014 reached import and export indicators in the year 2015 were 2,9 and 1,1 bln. USD respectively  FDI inflow to the sector increased by 2 times and reached 894,5 mln. USD in 2014, out of which FDI into the food processing industry was about 219,4 mln. USD.  Currently there are about enterprises of small medium and large sizes operating in the sector of food processing in the country  Local market provision with domestically produced main categories of goods was around 80%.  Average production capacity for companies in 7 subsectors of food processing was around 42%, varying from lowest 16,2% in vegetables processing to highest 66,2% in production of canned meat Agro strategy of Kazakhstan Strategy “Kazakhstan ”  To increase the level of state support for agriculture by 4,5 time by 2020;  To increase the agro contribution to GDP of the country by 5 times by  As of 2014 overall food processing industry of the country increased by 2,9% and reached over 5,5 bln. USD. Strategy “Agrobusiness ”  Investment subsidies to subsectors of crop production and animal feedlots;  Investment subsidies;  Lowering interest rate on credit lines and lease;  Subsidies for purchase of raw materials for processing companies;  Exemption from income tax on income of smallholders;  Subsidies for the paid VAT 10 priority subsectors of agriculture and food  Milk processing  Meat processing  Production of fats  Deep processing of grain  Fruits and vegetables processing  Confectionery  Fish processing  Processing of hides  Sugar production  Wool processing

6 CONFIDENTIAL Acquisition and greenfield investment opportunities Allocation of investment opportunities with regard to country’s regions Almaty region is famous for its agricultural complexes, which produce wide variety of meat products, diary and wheat processing facilities. Karaganda region – deep processing of wheat projects Allocation of investment opportunities with regard to country’s regions Kostanai region – grain processing

7 CONFIDENTIAL Agenda 1.Executive summary and basic information 2.Grain production 3.Acquisition and greenfield investment opportunities

8 CONFIDENTIAL Grain market data and financials Meat production and processing market data More than 70% of land in Kazakhstan is occupied by crops and animal husbandry Grains Legume crops Corn Rice Rapeseed Soya Sunflower Cotton Sugar beat Tobacco Potatoes Forage crops Grain production  Over 30% of the agricultural land is farmland (remaining 70% is permanent pastureland)  75% of Kazakhstan’s farmland is sown with wheat, 13% is used for forage crops cultivation and 9% for oilseeds  Agriculture in Kazakhstan is characterized by high extensiveness with insignificant consumption of fertilizer (in range of 1-3 kg per hectare) Agricultural map Farmland area (%) Grain Forage crops Oilseeds Other Fertilizer consumption (kg per h) Kazakh oilseed industry faces a strong underutilization of capacity Refined and non-refined vegetable oil market  The vegetable oil market in Kazakhstan grew on the average by 8.5% annually since 2009  Main oilseed processing plants are located in the regions where oilseeds and cotton are cultivated  A large part of the domestic production capacity is outdated Vegetable oil prices (USD* per ton) Market prices  Prices of both refined and non-refined vegetable oil since 2012 began to fall due to the underutilization of domestic capacity Vegetable oil production (tons) Government support includes mainly direct payment subsidies to farmers The main goal of recent government support is to increase the efficiency of agriculture production:  Subsidies to cut the cost of mineral fertilizers up to 50% - granted directly to farmers to reduce the cost of cultivation  Subsidies for modern production technologies –granted in order to reimburse up to 30% of new production equipment cost  Fuel subsidies – granted in order to reduce the cost of mechanizing Kazakh agriculture, up to 40% of fuel cost per hectare

9 CONFIDENTIAL Main producers and contact for grain production Key producers Contact The largest producers and processors of grain and oilseed are private companies and potential acquisition targets ProducerIndustry Capacity (ths tones annually) EmploymentRegion Ivolga Holding LTD Grain processing 420-Kostanai region Shymkent Mai JSC Soybean processing South Kazakhstan Cotton seed processing 105 Maslodel LLP Rapeseed processing Almaty MS LLP Soybean processing 120-Almaty Alibi LTDGrain processing115-Kostanai region TPK Karasu LTDGrain processing100-Kostanai region Mart LLPSunflower processingca. 100-East Kazakhstan Tan LLPSunflower processingca. 100-East Kazakhstan Mai JSCSunflower processing90-East Kazakhstan Kainar Mai JSC Cotton seed processing 84207South Kazakhstan Sarybulak LLPSoybean processing75-Almaty Baumanskoe 07 LTD Grain processing 50-Akmola region Investment hypothesis  Kazakhstan is one of world’s main exporters of wheat and flour  Vast farmland and access to raw agricultural products offer investors an opportunity for supplying and providing the market with processed high-margin food products  As the agriculture in Kazakhstan is highly extensive, with fertilizer consumption growth, yields per hectare should increase, offering investors an opportunity for further development  All producers in this market are relatively small, can be consolidated and scale advantages can be achieved Contact information Veronika Yun Manager at the Department on Pre-investment affairs, KAZNEX INVEST, JSC Mob:

1010 CONFIDENTIAL Agenda 1.Executive summary and basic information 2.Grain Production 3.Acquisition and greenfield investment opportunities

1 CONFIDENTIAL Veronika Yun KAZNEX INVEST, JSC (int. 1124) Establishing Wheat Starch and Gluten Plant Project profitability for the period of 5 years (in th. USD) Project cost: USD mln. Location: Almaty region, Yeskeldi District, Baktibay village Implementation period: Project scope: Construction of a modern wheat starch and gluten plant in Kazakhstan’s Kostanai Region. Being located in the center of wheat harvesting region, the project gains advantage from wheat harvesting farm proximity. Finished product: Gluten, wheat starch, cattle fodder. Production capacity: Gluten – t/year, wheat starch – t/year, cattle fodder – t/year Potential markets: USA, Mexico, Holland, Kazakhstan and CIS countries Provision of land and premises: The company owns land spot for the construction of the plant. Permissions had been granted on infrastructure. The project development team is completed. Required financing: USD 45,5 mln. Required investor type: Project capex 45,5 mln USD Project IRR 25% Company name AL-BM LLP Year of establishment 2002 Presence on the market: Current operation: Agricultural complex on production of wheat starch and gluten located in Kostanai Region, Zarechnyi village Project initiator Project profitability Contact information Project initiator’s contacts: AL-BM LLP Kazakhstan, Kostanay City, 71 Mailin street ☑ Equity ☑ Debt ☐ Technology transfer ☐ Other In USD thousands Year 1Year 2Year 3Year 4Year 5Total Sales COGS EBITDA Interest, depreciation and other Taxes Net profit Project information Contact Project profitability

1212 CONFIDENTIAL Veronika Yun Manager at Sectorial department on agriculture and food processing, KAZNEX INVEST, JSC Mob: Establishment of the factory on deep processing of wheat Project profitability Project cost: USD mln. Location: Karaganda region, Karaganda city Implementation period: 2016 Project scope: Establishment of the modern factory on deep processing of wheat with consequent production of glucose syrup on a basis of existing factory Finished product: glucose syrup, gluten, feed supplement Production capacity: tons of gluten, tons of glucose syrup, tons of feed supplement per annum Potential markets: local market of Kazakhstan, Russia, China and countries of Eurasian union Provision of land and premises: Availability of land and premises required for the project as well as documentation for the required infrastructure of electricity and water. Availability of contract agreements with technology and equipment suppliers. Required financing: USD 35,4 mln. Required investor type: Company name Nomad LLP Year of establishment 2000 Presence on the market: 2000 Current operation: Deep processing of wheat with consequent production of glucose syrup Project initiator Project profitability ☑ Equity ☑ Debt ☑ Technology transfer ☐ Other Contact information Project initiator’s contacts: Nomad LLP As for confidentiality terms, additional information on financial model and project documentation will be provided upon personal request Project IRR 26% Payback Period 4 years Project capex USD 35,4 mln. Project NPV USD 36,8 mln. Project information Contact Project profitability

1313 CONFIDENTIAL Veronika Yun Manager at Sectorial department on agriculture and food processing, KAZNEX INVEST, JSC Mob: Construction of a Plant for Industrial Grain Processing Project profitability Project cost: USD mln. Location: Kostanai region, Zarechnoe village Implementation period: (7-8 years) Project scope: Construction of a plant that will deal with the deep processing of grain into starch, gluten and condensed fodder for domestic animals Finished product: Grain starch, grain gluten and condensed forms of fodder Production capacity: 4500 tones of gluten at 8% concentration; tones of starch type A with humidity level at 10%; tones of dry fodder products with humidity level at 12,5% Potential markets: Local markets; Baltic states; Netherlands and Iran Provision of land and premises: A land of 2 hectares has been provided by the local government for the purposes of construction of the plant Required financing: USD 45,4 mln. Required investor type: Company name “Al Rudan” LLC Year of establishment Presence on the market: Developed brands: 2001 “Rudan” Current operation: Business plan is being developed. Economic feasibility study is ready Project initiator ☑ Equity ☑ Debt ☐ Technology transfer ☐ Other Contact information Project initiator’s contacts: “Al Rudan” LLC As for confidentiality terms, additional information on financial model and project documentation will be provided upon personal request Project profitability Project information Contact Project profitability Payback Period 7 years As for confidentiality terms, additional information on financial model and project documentation will be provided upon personal request Project capex 20,4 mln USD Project IRR 25 %