«SAMRUK-ENERGY» JSC 2020 MATERIALITY MATRIX

THE LIST OF SUBSTANTIAL TOPICS IN 2020

The Context of Sustainable Development

The report provides information on the Company’s contribution to the economic, environmental, social aspects.

Completeness

The indicators and content of the Report are sufficient to reflect the significant impact of the Company on the economy, the environment and society during the reporting period.

Balance

This Report shows the positive and negative aspects of the Company’s results for the reporting year. Certain indictors were disclosed in 3-year dynamics.

Comparability

Stakeholders using this Report can compare the information provided on the Company’s financial and operating performance with the results for previous periods and its objectives.

The report was prepared in accordance with GRI Standards, which allows stakeholders to compare the Company’s operations with those of other companies.

Accuracy

The information provided in the Report is accurate enough and detailed so that stakeholders can evaluate the results of the Company’s operations for the reporting period. Information is expressed both in quality descriptions and in figures.

Timeliness

The report is provided on an annual basis within the shortest possible time after the approval of the audited financial statements and no later than July 30, which allows assuming that the information reflected in this Report is relevant. The report is posted on the company’s website in Kazakh, Russian and English, simultaneously for all stakeholders.

Clarity

The information in the Report is set out in an understandable and accessible form to the interested parties.

Reliability

In preparing this Report, the information provided was preliminarily analyzed and disclosed in such a way that stakeholders could check this report and assess the degree of reliability of its content.

Data sources are official reporting forms, which are submitted to government agencies every year. A number of indicators are collected and calculated in accordance with the forms of internal reporting, which are checked by responsible representatives of companies during internal audit procedures.

Production, social and environmental indicators presented in the Company Report were calculated, collected and consolidated in accordance with principles of reporting and recommendations of Sustainability Reporting Guidelines and the Company’s corporate governance procedures. The probability of an error in figures for each category of indicators in the area of sustainable development is minimized. Ratios and specific values are supplemented by absolute values. Figures were indicated by using generally accepted system of measurement units and are calculated using standard coefficients.

The report provides all stakeholders with an overview of operations results and achievements of “Samruk-Energy” group of companies from January 1 to December 31, 2020 in electronic, paper form or online. The date of publication of previous Integrated Annual Report of the Company – August 5, 2020. The late approval of the Report is connected with limited measures resulted in coronavirus pandemic.

Limitation of the scope and boundaries of the Report

The audited consolidated financial statements of the Company for 2020 as of December 31, 2020 and as of 31 December 31, 2019, specified in this Report are the result of an independent audit of “PricewaterhouseCoopers” LLP (“PwC”).

This Report provides information on financial and operating results and sustainable development. Qualitative and quantitative information were presented for 2020, in order to compare and analyze information in indicators, data for 2019 and 2018 were used, where applicable. The Company determined the Report scope in accordance with GRI Standards.

For single approach to preparation of the report about financial and operating performance of “Samruk-Energy” JSC group of companies, equity participation method is applied in the consolidation. Moreover, in accordance with the current accounting policy, fixed assets and intangible assets are recorded at historical cost, i.e., without considering revaluation. Subsidiaries are included in the consolidated financial statements using the acquisition method. Purchased identifiable assets and liabilities and contingent liabilities received in a business combination are measured at fair value at the acquisition date, regardless of the size of the noncontrolling interest.

Turnover of such large companies as “Ekibastuz SDPP-2 Plant” JSC, the company of coal assets Forum Muider B.V. where “Samruk-Energy” JSC holds 50 %, is excluded when using the equity method in the consolidated balance sheet.

When consolidated financial performance of “SamrukEnergy” JSC is formed, the share of profit of these companies is shown in the item “share of profit / loss of organizations accounted for using the equity method and investment impairment”.

The indicators of the following subsidiaries and affiliates of “Samruk-Energy” JSC were used in the audited consolidated financial statements of the Company for 2020: