Risk management and internal control

Risk Management is an integral part of NMC Tau-Ken Samruk JSC (hereinafter – the Company) activities and is aimed at identification, assessment and monitoring of all significant risks and taking measures to reduce the level of risks that may adversely affect the value and reputation of the Company and its subsidiaries.

The risk management process in the Company is carried out in accordance with the internal documents on risk management approved by the Board of Directors of the Company, as well as the Samruk-Kazyna JSC policy on risk management and internal control.

Key risk factors

The main factors affecting the implementation of the risks of the Group of Companies:

  • Low degree of field exploration;
  • Low quality and insufficient volume of previously carried out geological exploration;
  • Ineffective Project management;
  • Natural disasters;
  • Investment unattractiveness of projects;
  • Lack of relevant competencies;
  • Price factors (reduction of quotations for metals);
  • Change in currency quotes.

Internal control system

Internal control is defined as the process carried out by participants in the internal control system in order to achieve the objectives in three key areas:

  • Operating activities;
  • Preparation of financial statements;
  • Compliance with regulatory and legal requirements.

The internal control system of the Company is an integral part of the corporate governance system, covers all levels of management, all internal processes and operations of the Company.

The activities of the Company within the framework of the internal control system are carried out in accordance with the Regulation on the internal control system of the Company.