The management of “AzerGold” CJSC declares that the Company’s ecological policy is guided by the environmental protection and use of natural resources according to the principles of sustainable development during exploration, study, research, development and management of non-ferrous ore deposits. The Company also:

• Observes the provisions of international contracts and conventions (agreements, protocols etc.) regarding protection of natural resources, supported by our republic, as well as local legislation requirements;
• Applies progressive methods in accordance with sustainable development principles for the purpose of minimizing the environemntal pollution and regulating its protection;
• Takes preventive and protective measures, which prevent negative impact on the environment;
• Tries to reduce to the maximum the ecological risks for ecosystems that may occur in its fields of activity;
• Applies Environmental Management;
• Provides extension of relations with state, government authorities and public organizations in the field of environmental protection, public healthcare and effective use of natural resources;
• Plays an active social role in environmental protection;
• Provides continuous monitoring of impact on the environment during exploration, study, research, development processes of non-ferrous ore deposits.

“AzerGold” CJSC defines following main mechanisms on fulfilment of obligations of environmental protection, environmental safety and ecological policy:

• Provides continuous control and internal reforms in order to apply this system and improve its implementation as well in accordance with the requirements of Environmental Management;
• Mobilizes appropriate resources in order to determine the goals on measurable ecological and corporative social responsibility directed to reduction of negative impact on the environment;
• Provides absolute consideration of ecological aspects during planning and implementation of general activity of the company, and assessment of risks during that process;
• Develops target-oriented Programs and Plans financed by the Company related to providing continuous monitoring according to the most important ecological aspects of production activities, analyses of the results of this monitoring and environmental protection based on these analyses. These programs enclose the following fields as a priority:
• Reduction of polluting wastes thrown into environment;
• Supervision of placement of wastes and water supply systems;
• Effective utilization of soil and quality reclamation of disturbed soil
• Encourages and supervises that each and every employee of the Company studies, understands and applies practically the statutory and other requirements belonging to ecological aspects of its activity in the regions where the Company operates;
• Uses the materials with less negative impact in ecological terms by modernizing current processing equipment and technologies, applying cutting edge technologies by taking into consideration the requirements of increasing environmental protection and industrial safety;
• Builds the programs concerning resource saving, reduction in electricity consumption expenditures, implementation of modern non-waste or low-waste technologies, provides appropriate analyses and corrective actions once a year in this regard in order to achieve determined goals;
• Brings ecological policy obligations to the notice of all related persons, including subcontractors working in the Company’s facilities.

“AzerGold” CJSC, having satisfied all the principles, implements this policy by using all reasonable means within the scope of national legislation in order to prevent or minimize the threats that may inflict harm to environment during work process.

“AzerGold” CJSC’s Quality Policy is driven by the study, research, exploration, development and management of non-ferrous metal ore deposits, internal management system of the company, meeting consumers’ requirements, as well as maintenance of favourable relationships with contractors and subcontractors.

“AzerGold” CJSC’s management declares the following:

• Our Quality Policy is an integral part of our general development concept;
• This Policy brings to the fore the application of advanced, sophisticated and the latest technologies in our activity, competitive growth of our products;
• The Company controls the quality of its products throughout all phases;
• The systematical work with consumers, appropriate assessment of cooperation and increase of attention paid to them constitute a component of this Policy in order to study the current and anticipated future needs;
• The Company coordinates its production areas, quality parameters of the products offered with international and national standards, legislation and regulations of the Republic of Azerbaijan;
• The Company initiates to optimize the processes according to international best practices in mining industry, as well as continuous improvement of the effectiveness of current systems;
• The Company regularly delivers trainings to increase the staff’s knowledge, skills and competencies;
• Guided by the decisions taken on quality, the Company, by taking into consideration the direction and goals of strategic development for current and long-term period, periodically conducts analyses and takes precautionary measures to ensure the suitability, adequacy and efficiency of the quality management system and achieve desired results.

The Company undertakes to allocate all required resources, encourage employees’ initiatives, improve quality and provide efficiency for the purpose of pursuing current policy.

The main objective of “AzerGold” CJSC’s activity on providing health protection and occupational safety of its employees is to prevent accidents and incidents, and ensure safe working conditions for all employees of the Company, contractors and subcontractors as well.

“AzerGold” CJSC’s management declares the following:

• This Policy brings to the fore the activity preventing hazards and risks that may harm the health of employees, contractor organizations’ employees and of population;
• The Company tries to achieve the application of cutting-edge, safe techniques and technologies in workplaces and production areas;
• The Company is guided by and ensures implementation of the requirements of laws, regulations and legislative acts of the Republic of Azerbaijan on Occupational and Technical Safety;
• The Company investigates and analyses all incidents occurred, takes precautionary measures so that they do not happen again, instructs and informs the staff thereof;
• The Company develops preventive measures respecting possible emergency situations;
• The Company regularly implements outreach activities to increase the employees’ knowledge in the field of occupational and technical safety;
• The Company operates systematically to prevent workplace injuries or employees’ health deterioration, as well as improve the system for providing occupational safety and the related performance indicators.

The use of alcoholic beverages, drugs, psychotropic substances by “AzerGold” CJSC’s (hereinafter referred as Company) staff in the workplace and gambling lower the performance quality of the Company and employees, harm the Company’s reputation as well.

To this end, the Company’s management declares the following:

• Regardless of the position and competencies, the use, storage, distribution, transportation and sale of alcoholic beverages, drugs and psychotropic substances in the Company’s structural units, workplaces are PROHIBITED and the occurrence of such cases affords ground for dismissal of employees;
• The use, storage and distribution of drug-containing medicines put up for sale by prescription are PROHIBITED without notifying the head of structural unit, as well as the head of the Company’s unit providing health protection and occupational safety;
• It is PROHIBITED for employees to come to work under the influence of alcoholic beverages, drugs, psychotropic and other toxic substances, as well as use alcoholic beverages, drugs, psychotropic and other toxic substances in the workplace;
• In case it is detected that the employee is under the influence of drugs and psychotropic substances in the workplace, it gives rise to termination of employment agreement regardless of his/her position and referral the employee to relevant authorities to take measures in legal terms according to requirements of the legislation of the Republic of Azerbaijan and the Company’s internal disciplinary rules, as well as related articles of labour code of the Republic of Azerbaijan;
• The heads of the Company’s structural units, as well as the head of the unit providing health protection and occupational safety are eligible to test the staff, if required, for the presence of alcoholic beverages, drugs and psychotropic substances;
• All gambling games are PROHIBITED since they may result in possible disputes among the staff members and thus in disharmony of the work process.

If the Company’s employees violate the above-mentioned requirements, their employment in the Company will be PROHIBITED.

Pursuant to the Anti-Corruption Policy (hereinafter referred to as the Policy) of AzerGold CJSC (hereinafter referred to as the Company), the Company grounds on the prevention of any violations related to corruption in its activities, protection of the interests of the Company in this sphere, providing legal, transparent and efficient operation of the Company, as well as strict observation of the provisions of the Policy by all personnel of the Company, irrespective of their positions, and prevention of using personal interests against the Company’s operations.

The provisions of the Policy are observed by all managers and employees of the Company, including contractors, their representatives, other persons related to the Company, all the departments, representative offices, branches and subsidiaries of the Company.

Purpose of the Policy

The Policy is aimed to increase the awareness on intolerance to and combating corruption in the Company's activities, support business reputation and ensure openness and transparency of the Company’s operations, reflect the commitment of business process to high ethical standards, and take appropriate measures to minimize corruption risks.

General Provisions

The Company implements this Policy to meet the requirements of the Law of the Republic of Azerbaijan on Combating Corruption, the requirments of ISO 37001:2016 –  Anti-corruption management systems standard, and other relevant legislation, as well as normative documents of the Company.

The management of measures to prevent violations within anti-corruption  combat arising from the requirements of this Policy, application of appropriate control mechanisms, information system on violations, liability for corruption-related violations, as well as other relevant provisions are covered in the Company's Rules on Combating Corruption.

The Company requires all managers and employees to reject corruption, increase the awareness level on anti-corruption combat, support business reputation, and ensure transparency in operations.

The Company declares that:

• All managers and employees of the Company adhere to the principle of prevention of any corruption in any form in the course of business activities within the Company, as well as in the interaction with any natural or legal persons, state bodies, political figures and their representatives;
• Any violations related to corruption are prohibited in the Company;
• To reduce the corruption risks and ensure compliance with the requirements of the applicable anti-corruption legislation, the Company regularly conducts external audits of financial and economic activities, as well as regular monitoring, analysis and investigation of the internal control system reflecting the corruption combating mechanisms, and controls the observance of the requirements of the applicable relevant legislation and the normative documents of the Company;
• All necessary measures are taken to provide conditions for the confidential submission of information on corruption-related cases by any person(s), excluding the cases required by the national law.

The Company regularly monitors the efficiency of this Policy, evaluates its functionality, proportionality and urgency, and upgrades the current Policy based on the deficiencies in the control process or on amendments in applicable anti-corruption legislation and best international practice.

The Risk Management and Internal Control Department, which monitors compliance with the requirements of the legislation on combating corruption and the normative documents of the Company, operates within the powers defined by its charter, and the independence of the Department is protected by the management of the Company.

All the managers and employees of the Company are liable for failure to comply with the requirements for the prevention of corruption stipulated by this Policy and the relevant legislation of the Republic of Azerbaijan in the performance of their duties.

AzerGold Closed Joint-Stock Company (hereinafter – the Company), specializing in the study, exploration, processing, and management of non-ferrous ore deposits, is aware of the possible impact of mining on the environment, the local population, and communities living in the production areas, as well as their inalienable rights, and tries to mitigate this impact fairly and comprehensively as part of the Social Responsibility concept. The Social Impact and Responsibility Policy (hereafter – the SIRP) is a branch of the Company’s Social Responsibility concept. This Policy determines the Company's primary goals to identify and fairly manage the social consequences that may arise when implementing mining projects.

When preparing this Policy, the requirements of the national law on environmental protection, social protection, labor relations, and other related areas were taken as a basis. Also, the best international practice in social impact and responsibility, as well as the requirements of the Ecuadorian Principles, the World Bank's Environmental and Social Action Policies, the UN Norms on the Responsibilities of Transnational Corporations and Other Business Enterprises with Regard to Human Rights, were considered.

Objective and Scope of the Policy

The Social Impact and Responsibility Policy covers the activity of the Company and its departments, branches, and subsidiaries. When implementing joint projects in the fields of the study, exploration, processing and management of non-ferrous ore deposits, the Company's contractors, subcontractors, and other business partners should also act considering the Policy’s requirements and goals.

The Social Impact and Responsibility Policy’s key objectives are:

• Identify and manage the social consequences that may arise in the course of mining aimed at the exploration, processing, and management of non-ferrous ore deposits;
• Contribute to the socioeconomic development of the country in general, paying special attention to the ore deposit regions;
• Build and improve the Company’s activity as part of the Sustainable Development concept, considering the needs of the local population/community;
• Ensure the protection of social and labor rights of the mining industry employees;
• Support gender balance in regions of direct social and environmental impact of the mining industry.

The Company's Social Impact and Responsibility Policy mainly covers four priority areas, including the aforementioned objectives. These are:

• Local population and communities
• Favorable working conditions and human rights
• Environmental protection
• Supporting gender balance.

Local Population and Communities

The Company builds its policy based on the following goals concerning the local population and communities:

• Ensure strict compliance with the national law requirements when planning and implementing projects in the fields of the exploration, processing, and management of non-ferrous ore deposits and all other spheres of the Company's activity;
• Identify negative mining-related social, economic, and environmental impacts on the local population and communities and implement specialized projects to mitigate these impacts;
• Participate in building and developing social infrastructure;
• Exercise archaeological and cultural heritage protection duties prescribed by the law and actively cooperate with the local population and communities in this field;
• Pay compensations for the loss of land and infrastructure, prescribed by the law;
• Take all measures required by the labor law and those within its powers to open new jobs and offer them to the local population and community members.

Favorable Working Conditions and Human Rights

The Company builds its Policy based on the following goals in the fields of favorable working conditions and human rights:

• Ensure compliance with the national law requirements for the prohibition of forced and child labor when planning and implementing projects in the fields of the exploration, processing, and management of non-ferrous ore deposits and all other spheres of the Company's activity;
• Comply with the national law requirements for labor safety and health protection of employees and implement systematic measures in this regard, considering international standards and best practices;
• Implement various projects within its capabilities to improve the qualification of employees, as well as arrange vocational training for young people and vulnerable groups among the local population and communities;
• Make every effort to create a fair wage system and eliminate all types of discrimination in the workplace.

Environmental Protection

Mining affects the environment in various aspects regulated by a series of the Company’s internal documents, including the Environmental Policy. As part of the Social Impact and Responsibility Policy in general, the Company shall:

• Meet the environmental management system requirements in its activity and exercise continuous monitoring and internal reforms to improve compliance;
• Strive to implement the best practices and environmentally friendly and new technologies that allow significant savings of natural resources and energy sources;
• Implement promotional projects and measures in the fields of the exploration, processing, and management of non-ferrous ore deposits.

Supporting Gender Balance

To ensure gender balance in the regions of direct social, economic, and environmental impact of the mining industry, the Company shall:

• Identify the social risks faced by the local population and women community members during the exploration, processing, and management of non-ferrous ore deposits, as well as the implementation of projects in these fields, and make every effort to mitigate/eliminate these risks;
• Consider any type of discrimination between employees unacceptable, including gender discrimination, and eliminate any discrimination in the payment of labor and other areas of labor relations;
• Take a series of measures to strengthen the role of women in public life and the socioeconomic development of regions through vocational training and various social projects.

Final Provisions

This Policy shall come into force from the moment of approval by the Chairman of the Company’s Board with a special order and signature.

The Policy can only be amended upon obtaining the positive opinion of the Corporate Social Responsibility Committee based on the proposal of appropriate departments.

Any amendment to the Policy shall only come into force upon approval by the Chairman of the Company’s Board with a special order and signature.

Pursuant to the Policy on Combating the Legalization of Criminally Obtained Property and the Financing of Terrorism (hereinafter referred to as the Policy) of AzerGold CJSC (hereinafter referred to as the Company), the Company grounds on the prevention of any violations related to the legalization of criminally obtained property and the financing of terrorism in its activities, protection of the interests of the Company in this sphere, ensuring legal, transparent and efficient operation of the Company, as well as strict observation of the provisions of the Policy by all personnel of the Company, and prevention of using personal interests against the Company’s operations.

The provisions of the Policy are observed by all managers and employees of the Company, including contractors, their representatives, other persons related to the Company, all the departments, representative offices, branches and subsidiaries of the Company.

Purpose of the Policy

This Policy is aimed to take measures for realizing the concept of inaccessibility of legalization of criminally obtained property and the financing of terrorism in the activities of the Company, minimizing risks in this sphere, and ensuring openness and transparency in the operations of the Company.

General Provisions

Criminally obtained property means any monetary funds, movable or immovable, tangible or intangible property, including virtual assets, and legal instruments and documents on ownership rights and interests in property, acquired directly or indirectly by committing crimes determined by the Criminal Code of the Republic of Azerbaijan.

The Company declares that:

• All the managers and employees of the Company are prohibited from taking any actions or engaging in such activities, while beeing conscious that the money or other property, regardless of their source of acquisition, partly or entirely, directly or indirectly will be used to finance terrorism, that is, to prepare, organize or commit any crime by a person or group (gang, organization) stipulated in the relevant articles of the Criminal Code of the Republic of Azerbaijan, or to finance a terrorist or a terrorist group (gang, organization);
• None of the managers or employees of the Company shall be engaged in any process of legalization of criminally obtained property, that is, withholding the true source of the property while being aware of the criminally obtained source, or converting or transferring such property to assist a person who has committed a crime, or carrying out financial or other transactions by using criminally obtained property for these purposes, as well as concealing the true nature, source, location, disposition, and relocation of the property, and the rights to or ownership of such properties, during the performance of their duties;
• None of the managers or employees of the Company shall be engaged in fraudulent entrepreneurship in the performance of their duties, that is, they shall not establish an enterprise or other legal entity to get bank credit and/or tax-exempt or obtain other property benefits, or to conceal prohibited activities, without the intention of realizing entrepreneurial activities, and shall not legalize illegal funds;
• None of the managers or employees of the Company shall legalize illegally obtained property by any means, including through securities, precious metals, gems and/or real estate.

Relevant mechanisms for the management of measures arising from the requirements of this Policy and minimizing the risks of legalization of criminally obtained property and the financing of terrorism are covered in the Company's Rules on Combating Corruption.

The Company regularly monitors the efficiency of this Policy, evaluates its functionality, proportionality and urgency, and upgrades the current Policy based on the deficiencies in the control process and best international practice.

The Risk Management and Internal Control Department, which monitors compliance with the requirements of the legislation on combating corruption and the normative documents of the Company, operates within the powers defined by its charter, and the independence of the Department is protected by the management of the Company.

All the managers and employees of the Company are liable for failure to comply with the requirements stipulated by this Policy and the relevant legislation of the Republic of Azerbaijan in the performance of their duties.