ALROSA to invest ca. $60 million in social and economic development of Yakutia and its local communities

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May 20, 2021 - ALROSA will provide around $60 million (at least RUB 4.2 billion) in 2021-2025 for social and economic development of the Republic of Sakha (Yakutia) and local communities in the regions, where its core operations are concentrated. Support agreements for another five-year period have been signed on May 20. During 2011-2020 ALROSA provided more than RUB 8 billion to support Yakutia and its districts apart from dividend payments, putting the sustainable development of the region and local communities among top priorities.

ALROSA remains committed to socially responsible way of doing business, ensuring social and economic stability in the Republic of Sakha (Yakutia), one of the most remote regions at the Northeast of Russia with extremely harsh climate and sophisticated logistics.

“ALROSA implements a vast range of social initiatives, including those in education, healthcare, social services, sports and culture, science, environmental protection etc. In 2021, ALROSA to finance RUB 700 million on these projects. In 2022-2025, spending will be at least RUB 800 million per annum. Moreover, financing for the state programme of upgrading Vilui districts water supply will amount RUB 833 million by 2024. The company has already provided RUB 450 million for this programme since 2019,” – Sergey Ivanov commented.

ALROSA together with the republican authorities will continue developing incentives aimed to improve environmental protection, industrial safety, indigenous peoples’ way of living etc. The company to continue projects already launched, such as regular fish stocking of local rivers and lakes and supporting sport events including national Yakut disciplines. Under the previous agreement with the republic, ALROSA provided almost RUB 7.2 billion in 2011-2020 for social development of Yakutia, helping to build habitation, educational and healthcare facilities, sports and cultural halls, a museum etc.

Apart from that, ALROSA has signed separate agreements with authorities of eight districts of Yakutia, and will provide RUB 370 million in 2021-2025 for developing social, cultural and sports facilities, healthcare, education there. Under previous cooperation agreements, ALROSA has provided more than RUB 870 million for these purposes since 2011. Being the company’s shareholders, eight districts that together own 8 percent share has received almost RUB 22.5 billion as dividends.

From its inception, ALROSA has been complying with the highest social and environmental standards. It remains on the FTSE4Good index and maintains a BB rating from MSCI ESG, which evaluates companies’ environmental, social, and corporate governance performance. On top of that, the Company is among the Top 10 environmentally responsible mining companies in Russia as ranked by WWF Russia and a joint project of UNDP, GEF and the country's Ministry of Natural Resources. In 2019, ALROSA received a Diamond Empowerment Fund (DEF) award for community stewardship. In 2021, ALROSA joined United Nations Global Compact initiative.

This page was last updated on 20 May 2021 at 14.58