Aitik presentation at CMD 2019 Hans Jnsson, General Manager Welcome - - PowerPoint PPT Presentation

Aitik presentation at CMD 2019

Hans Jönsson, General Manager

Welcome to Aitik – Agenda March 14, 2019

08.15 Hans Jönsson, General Manager Boliden Aitik 09.00 Pause and change of clothes 09.30 Guided tour (2 groups) 11.30 Pause and change of clothes 12.00 Lunch including final Q& A session with Group Management 13.15 Departure Aitik mine 14.30 Departure Gällivare Airport 16.00 Arrival Arlanda Airport

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Safety

Production is important, but your health and your life are more important!

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1968 Production starts, 2 Mtonnes throughput

2010 ~6 BSEK investment, 36 Mtonnes

2020 45 Mtonnes

1973 6 Mtonnes, 1983: 11 Mtonnes, 1992: 18 Mtonnes

1932 The Aitik deposit discovered

Brief history of Aitik

2018 860 MSEK, new surface crusher

Aitik ore profile

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Production overview at Aitik

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Aitik from above

7,000 ha

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Europe’s largest and the world’s most productive open pit copper mine

• Easily accessible ore
• Favourable stripping ratio 1:1
• Large scale operations
• Efficient logistics
• Committed and competent employees
• High level of automation, advanced technology

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Milled ore tonnes/manhour Million tonnes of ore milled

Copper mine productivity 2018 Open pit mines with concentrator

Source: Wood Mackenzie

Aitik – Increased productivity

New Haul trucks

• Mineral reserves have increased 80% since

2008 despite the fact that yearly throughput has increased 100%.

• Electric test lane ~700 meters and is expected to

save 830 m3 diesel per year.

• New trucks enable automation and cost

reductions.

Remote controlled/autonomous drill rigs Truck trolley

New Aitik electric trolley

New Komatsu 830E-5 intended for Kevitsa and Komatsu 930E-5 intended for Aitik

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Aitik – EBIT and throughput since 2009

500 1 000 1 500 2 000 2 500 3 000 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Aitik- EBIT (MSEK)

10 000 20 000 30 000 40 000 50 000 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Aitik - Milled production (Ktonnes)

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Aitik Opex/ tonne since 2009

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10 20 30 40 50 60 70 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

Aitik - Operating costs (excl. depr.), SEK/milled tonne

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Aitik – Pushback scenarios

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Aitik - New crusher station (KiD2)*

500 1 000 1 500 2 000 2 500 Apr May Jun Jul Aug Sep Oct Nov Dec Ktonnes

KiD2 production from start

*KiD2 = Surface crusher 2

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Aitik - Pebbles crushing

• Pebbles crushing will be installed in connection to the two autogenous mills
• Will increase capacity when low grindability
• Commissioning during Q2 2019

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Liikavaara

Short facts

• “Low-grade” Cu-Au mineralisation, approx. 3 km east of Aitik
• Discovered by Boliden in 1930´s
• Conceptual study in 2009-10, approx. 40 Mtonnes at 0.28%

Cu

• Included in Aitik LoMP, 2023-30

Status

• Feasibility 2018 indicate 58 Mtonnes at 0.26% Cu

‒ Satellite to Aitik pit ‒ Hauling ore and acid forming waste rock to Aitik ‒ Processing in Aitik

• Application for mining concession filed at mining

inspectorate

• Application for environmental permit filed at environmental

court Risks

• Permits

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NE SW

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Nautanen

Short facts

• Cu-Au mineralisation, approx. 15 km NW of Aitik
• Discovered by Boliden in 2011
• ”High grade” (1.5% Cu) known from ca 200 m to 600 m below

surface, still open

• Mineral Resource

‒ Indicated: 8.2 Mtonnes at 1.7% Cu, 0.9 g/tonnes Au, 5 g/tonnes Ag ‒ Inferred: 7.5 Mtonnes at 1.5% Cu, 0.6 g/tonnes Au, 7 g/tonnes Ag

• Conceptual study in 2014

Status

• Pre-feasibility 2015-2019 on-going

‒ Underground mine, open stoping ‒ Transport to Aitik and processing in Aitik ‒ Application for mining concession ‒ Water treatment ‒ More drilling

Risks

• Permits

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Prioritised areas of work

• Safety culture
• Water management and dam safety
• Reducing emissions to water and air
• Energy savings
• Decommissioning and reclamation of land
• Reducing waste and spillage

Aitik from an EHS perspective

1000 2000 3000 4000 5000

1979 1984 1989 1994 1999 2004 2009 2014 Kg/year

Aitik mine - Emissions of copper per year

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At Boliden, safety is number one

• Keep your phone/camera in your pocket or bag until photo opportunity is announced
• Ongoing production, pay attention
• Heavy traffic
• Listen to and follow the instructions given to you
• We are all equally responsible for the safety of ourselves and each other

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• This presentation has been prepared by Boliden for information purposes only and as per the indicated date. Boliden does not

undertake any obligation to correct or update the information or any statements made therein. Certain statements in this presentation are forward-looking and are subject to risks and uncertainties.

• Nothing contained herein shall constitute any representation or warranty as to accuracy or completeness. Boliden has not made

any independent verification of the information obtained from third parties.

• Nothing in this material shall be construed as an offer or solicitation to buy or sell any security or product, or to engage in or refrain

from engaging in any transaction.

• Boliden does not accept any liability whatsoever arising from or in connection with the use of this information.
• Save as by prior approval in writing, this material may not be copied, transmitted or disclosed, whether in print, electronic or any
• ther format. All rights to the material are reserved.

Disclaimer

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