Mineral Resources and Mineral Reserves 2022: Boliden

Rhea-AI Summary

On February 14, 2023, Boliden announced the identification of a new mineralization in Garpenberg, adding 5.5 million tonnes of Inferred Mineral Resources. This increase is part of a broader rise in Mineral Resources at Garpenberg and a modest increase in the Boliden Area. However, the Mineral Reserve has decreased in Aitik and Kevitsa, with Aitik down by 176 million tonnes. Exploration costs in 2022 reached SEK 770 million. Although grades are slightly lower, Garpenberg's Mineral Reserve has surged by 15.6 million tonnes due to successful exploration efforts. The overall outlook for Garpenberg remains positive, supporting long-term mining operations.

Positive

• Discovered 5.5 million tonnes of Inferred Mineral Resource in Garpenberg.
• Garpenberg's Mineral Reserves increased by 15.6 million tonnes (13%).
• Successful exploration efforts continue to enhance Mineral Resources.

Negative

• Aitik's Mineral Reserve decreased by 176 million tonnes, affected by higher costs.
• Mineral Reserves at Kevitsa decreased by 12 million tonnes.

STOCKHOLM, Feb. 14, 2023 /PRNewswire/ -- Boliden has identified a new mineralization in Garpenberg of 5.5 Mtonnes of Inferred Mineral Resources, which forms part of Garpenberg's Mineral Resources. Both the Mineral Reserve and the Mineral Resource are increasing significantly in Garpenberg, and they are also increasing in the Boliden Area, although the increase there is more moderate. The Mineral Reserve is decreasing in Aitik and Kevitsa.

"Continued success in Garpenberg means even better conditions for long-term development of the mining operation there. The new deposit is located within Garpenberg's mining area at a depth of 1,000 meters, close to the existing infrastructure. That naturally makes the deposit even better news," says Stefan Romedahl, President Boliden Mines.

The cost of exploration in 2022 was SEK 770 m (629).
 
Aitik
In Aitik, work is continuing to prepare the Liikavaara deposit for mining. This forms part of Aitik's Mineral Resources and Mineral Reserves, about 3 km northwest of Aitik. Exploration and evaluation are also underway at the Nautanen deposit approximately 15 km north of Aitik, which is reported separately and is not part of Aitik's Mineral Resources and Mineral Reserves. In Aitik, the Mineral Reserve is decreasing by 176 Mtonnes, of which 43 have been mined in 2022. This decrease is mainly due to the fact that parts of the deposit have involved higher costs. It also means that the average grade is increasing slightly. The Mineral Resource, which in the open pit involves tonnage that, with today's estimated prices and costs, lies outside the planned final open pit, is increasing by 230 Mtonnes, mainly due to the fact that a few years of drilling to depth have now been calculated. The Salmijärvi open pit just south of the main mine in Aitik has closed, and a decision has been made to use it as a tailings pond.

The Boliden Area
In the Boliden Area, preparations are underway for the mining of the Rävliden mineralization in Kristineberg. Overall, exploration has provided additions to the Mineral Resources that could be partially converted into Mineral Reserves. For the Boliden Area as a whole, the Mineral Resource is increasing by 600 ktonnes (2%) and the Mineral Reserve by 400 ktonnes (3%), while the grades are slightly lower. In 2022, 1.9 Mtonnes were mined and milled.
 
Garpenberg
In Garpenberg, successful exploration activities, infill drilling and studies are continuing. A new mineralization called 'Stationen' has been identified and calculated at 5.5 Mtonnes of Inferred Mineral Resource. Exploration is continuing on this and at other locations in the mine. Significant tonnage has been converted from Mineral Resource to Mineral Reserve, leading to an increase in the Mineral Reserve of 15.6 Mtonnes (13%). Despite this, it has also been possible to increase the Mineral Resource by 10 Mtonnes (17%). The average grades are slightly lower than last year. In 2022, 3.0 Mtonnes were mined and milled in Garpenberg.
 
Kevitsa
The reduction in the Mineral Resource following drilling evident last year has had an effect on the Mineral Reserve this year. In addition, the open pit has had to be redesigned to avoid potential stability problems that were identified in a rock mechanics survey. The Mineral Reserve is decreasing by 12 Mtonnes in addition to the 10 Mtonnes mined and milled in 2022. The average grades are slightly higher. The Mineral Resource is increasing by 3.2 Mtonnes (2%).
 
Tara
At the end of 2021, Tara suffered a large inflow of water in the exploration drift against the mineralization in Tara Deep. This affected Tara's production in early 2022 and has prevented underground drilling to Tara Deep throughout 2022. Due to problems obtaining permits, it has been impossible to start work on any new drilling sites above ground in 2022. However, extensive exploration has been undertaken around the existing mine in Tara. The Mineral Resource in the Tara mine has increased by 1.6 Mtonnes but decreased by 1.1 Mtonnes in Tara Deep. For the whole of Tara, there is thus only a total increase of 0.5 Mtonnes (1%). In 2022, 2.0 Mtonnes were mined (2.1 Mtonnes were milled) and about half of that tonnage has been replaced with a new Mineral Reserve.

About the classification
Mineral Resources and Mineral Reserves are estimated separately and broken down into different categories. Prerequisites in the form of costs and metal prices are produced at the start of the year and are used in all estimates made throughout the year. Boliden's Mineral Reserves are not subsidiary amounts of the Mineral Resources. When converting Mineral Resources into Mineral Reserves, the quantity is deducted from the Mineral Resource. Boliden follows the recommendations of the Swedish Mining Association (SveMin) for reporting exploration results, Mineral Resources and Mineral Reserves and strives to report according to the Pan-European Reserves and Resources Reporting Committee (PERC). The PERC standard has clear requirements for documentation and for the competent persons who must evaluate the information that companies report. All summary reports for Mineral Resources and Mineral Reserves per project and mine that are available on Boliden's website are reviewed and approved by the competent persons named in each report. This summary of Mineral Resources and Mineral Reserves has been reviewed and approved by Gunnar Agmalm, Competent Person and Head of Ore Base and Project Evaluation, Boliden, who is a member of The Australasian Institute of Mining and Metallurgy (AusIMM) and The Fennoscandian Association for Metals and Minerals Professionals (FAMMP), both of which are approved organizations for competent persons according to PERC.

Planning prices	Long-term prices 2022	Change compared to 2021
Zinc	2,600 USD/tonne	+200
Copper	7,200 USD/tonne	+400
Nickel	17,000 USD/tonne	+1 000
Lead	2,000 USD/tonne	-100
Gold	1,400 USD/troy oz.	+100
Silver	20 USD/ troy oz.	+3
Palladium	1,300 USD/ troy oz.
Platinum	900 USD/ troy oz.
Cobalt	20 USD/lb
Tellurium	35 USD/kg
Molybdenum	8 USD/lb
USD/SEK	8.0
EUR/SEK	9.35
EUR/USD	1.17

For further information, please contact:
Klas Nilsson, Director Group Communications, tel: +46 (0)70-453 65 88
klas.nilsson@boliden.com

This information is information that Boliden AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of Director Communications, at 07.49 CET on February 14, 2023.

The following files are available for download:

https://mb.cision.com/Main/997/3714261/1846111.pdf	Appendix Mineral Resources and Mineral Reserves 2022
https://mb.cision.com/Public/997/3714261/82c9f9dbbedf5d6f.pdf	Press release (PDF)

View original content:https://www.prnewswire.com/news-releases/mineral-resources-and-mineral-reserves-2022-boliden-301746054.html

SOURCE Boliden

FAQ

What is the new mineralization discovered by Boliden in February 2023?

Boliden identified a new mineralization in Garpenberg, adding 5.5 million tonnes of Inferred Mineral Resources.

How much did Boliden's exploration costs amount to in 2022?

Boliden's exploration costs in 2022 were SEK 770 million.

What changes occurred to Boliden's Mineral Reserves in Aitik and Kevitsa?

Aitik's Mineral Reserve decreased by 176 million tonnes, while Kevitsa's decreased by 12 million tonnes.

What is the significance of the new mineralization for Garpenberg's mining operations?

The new mineralization enhances the long-term development potential of mining operations in Garpenberg.

What impact did exploration in Garpenberg have on Mineral Reserves?

Exploration efforts in Garpenberg led to an increase of 15.6 million tonnes in Mineral Reserves.