SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» WE BUILD THE FUTURE! SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» Pavlodar, 2016

SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» CURRENT STATE OF LOGISTICS SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» Russia Pavlodar China Travel time from the Southern part of Kazakhstan (Almaty) to Irkutsk via Moscow is about 230 hours or 9500 kilometers by road transport, excluding stops on this route Construction of the sorting and logistics center on the territory of SEZ "Pavlodar" will significantly reduce transport costs by reducing the distance and time required for shipping loads at least twice 1

SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» PROSPECTS OF LOGISTICS DEVELOPMENT SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» Russia Pavlodar SEZ "Khorgos - Eastern gates" China Redirecting of transport streams from the South-East direction of delivery of the goods across the sea for a shorter cost-effective route will happen due to the improvement of customs and transport-logistics administration Location of SEZ "Pavlodar" near the big cities of Siberia and Kazakhstan will allow to carry out goods from China, Kyrgyzstan, Uzbekistan to Russia and Europe 2

SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» POSSIBILITIES OF THE REGION SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» Airport Railway st River port Transport infrastructure of Pavlodar region gives opportunity to use all the ways of goods delivery: Railway transportation Railways Trucking The immediate proximity of the main national highways Air transportation Airport River transportation Pavlodar river port directions of activity: Russia, China 3

SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» INVESTMENT ATTRACTIVENESS OF PROJECT Garages Administrative building Warehous Scales Parking lot Containers storage area SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» Direct participation of the state gives a guarantee of stability in the expansion of logistics possibilities of Pavlodar region, increase in efficiency of working of the SEZ "Pavlodar" customs control services and applying of the principle of state-private partnership. Total project’s cost: $10 - 12 million Bandwidth: 550 thousand tons per year Period of implementation: 2016 - 1st half of 2018 4

SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» MAP OF THE PARTICIPANTS SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» 50% 50% PRIVATE INVESTORS STATE PARTICIPATION IN THE PROJECT: Construction of loading and unloading areas and the 2nd stage of the A class warehouse complex - 7200 sq. m.; Construction of parking garage, hotel and workshops for loading and unloading facilities and trucks; Purchasing of forklifts; Purchasing of warehouse equipment. Construction of engineering infrastructure and fencing; Construction of the customs terminal buildings; Construction of the railways and the sorting railway station, construction of the container yard; Construction of the 1st stage of the A class warehouse complex - 1800 sq. m; The guaranteed allocation of a land plot on the leasehold until 2036. according to the principle of state-private partnership 5

SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» EXISTING OBJECTS SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» Garages and workshops Administrative building Inspection depots Truck scales Entry checkpoint The complex of buildings of the customs terminal includes: - administrative building for brokerage companies, customs, transport and logistics companies; - entry checkpoint; - inspection depots and areas; - truck scales 6

SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» INVESTMENT PROPERTIES SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» Railroad with access ways and a locomotive for transportation by rail. Railway length: 5,1 km. Railroad includes: - entrance to the A class warehouse complex; - transit ways to the participants of SEZ "Pavlodar"; - access to container area; - shunting locomotive; - repair workshop for maintenance of rolling stock. 7

SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» INVESTMENT PROPERTIES SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» The A class warehouse complex and loading/unloading areas areas are used for the temporary transshipment on freight motor vehicles, and also for the accumulation of inventories imported and exported to/from the Republic of Kazakhstan under varying temperature conditions. Building area: 9000 sq. m. Warehouse complex includes: - loading and unloading areas; - information center; - railroad access way; - construction of the 1st stage of the A class warehouse complex - state participation is 1800 sq. m.; - construction of the 2nd stage of the A class warehouse complex - private partnership 7200 sq. m.; - entrances for freight vehicles. 8

SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» INVESTMENT PROPERTIES SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» Container yard and vehicles parking lot are used for containers unloading, cleaning and storing and for automotive rolling stock parking. Garages and workshops are used for servicing of loading/unloading equipment and automotive rolling stock, include utility rooms for movers and fitters. 9

SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» LIST OF SERVICES PROVIDED BY SLC SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» 1. Customs services: Customs clearance Expert assessment of the cargo, definition of the Commodity Nomenclature of Foreign Economic Activity codes (analogue of the Harmonized Commodity and Description Coding System in Eurasian Economic Union) Certification of cargo Licensing of cargo Filling in customs documents and declarations Transportation of cargo Payment of customs duties, fees 2. Warehouse services: Secure storage (automated WMS system based on 1C computer program) Operations of unloading / loading of all types of transport (road and rail) Address placement and storage of products according to required conditions Cross-docking (receipt/shipment of goods without placing in the storage areas) Gathering of mixed orders (pallets, boxes, pieces) Utilization of defective products 3. Container Terminal Services: Loading and unloading of large-capacity containers from/to railroad platforms Storage of large-capacity containers Sorting containers on fitting platforms depending on their destination Moving containers for customs and/or veterinary inspection Pretrip inspection and verification of cargo in containers Repacking of cargoes of any complexity Sealing/opening containers 10

SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» LIST OF SERVICES PROVIDED BY SLC SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» 4. Distributsion services: Work on the "door to door" principle On time delivery of cargo by approved schedule Round-the-clock system of orders selection Delivery of goods in accordance with the waybills Informing of the clients about the current order status in real time Collection of cash in a trading point Return of confirmation documents with the closing of the financial statements 5. Transport services: Trucking, including consolidated trucking Rail transportation Container shipping Ordering to a manufacturer Preparation of transport documentation and approvals Organizing of targeted delivery of cargo around the world Ability to distribute cargo on several destinations 6. Additional services: Integrated and optimal solutions for delivery of cargo Scheduling the delivery of cargo around Kazakhstan Estimation and controlling of timely arrival at the place of loading / unloading Cargo insurance Security escort 11

SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» DIRECT RESULTS SORTING AND LOGISTICS CENTER SEZ «PAVLODAR» 1 ACCELERATING THE SPEED OF CARGO DELIVERY 2 ORGANIZING OF CUSTOMS CLEARANCE 3 REDUCING THE COST OF THE FINAL PRODUCT 4 MULTIMODAL TRANSPORTATION 5 STORAGE OF CARGO WITH DIFFERENT TEMPERATURE 6 POSSIBILITY OF CONTAINER SHIPPING 12

"Management Company of SEZ "Pavlodar" JSC Pavlodar, North industrial zone Phones: +7 (7182) 730-260, 730-261 ++7-701-803-19-97 E-mail: aouksezpavlodar@mail.ru