NORDIC MINING DAY 2018NORDIC COMMODITY UPDATES

BASE METALS OVERVIEWErika Ingvald, Henrik Schiellerup, Juhani Ojala, Johan Söderhielm

Trends and background

Zinc – closing of zinc mines and increasing demand from ChinaNickel – increasing demand from stainless steel industry and battery productionCopper – increasing demandfrom ChinaLead – strong growth in vehicle production in China

Fennoscandian geology

• More than 3 billion years of geologic history

Fennoscandian Ore Districts

Major base metal deposit types• Caledonides

• Köli Nappe – VMS• Rödingsfjäll Nappe - VMS• Caledonian front – MVT

• Skellefte district – VMS• Bergslagen – Stratiform and stratabound• Northern Norrbotten – IOCG and Porphyry

copper• Sveconorwegian – Sedimenthosted Co, Cu• Svecofennian – Sedimenthosted Cu, Ag, Au

Base metal mines in SwedenMine

(Company)

Commodity Production

start

Tonnage

(Mt)

Grade

%- g/t

Ore district

Aitik

(Boliden)

Cu, Au 1968 4054,7 0,21 Cu

0,17 Au

Northern

Norrbotten

Kristineberg

(Boliden)

Cu, Zn, Pb,

Au, Ag

1935 41,91 1,1 Cu

6,09 Zn

0,26 Pb

1,2 Au

47,8 Ag

Skellefte district

Maurliden V

(Boliden)

Zn, Cu, Au,

Ag, Pb

2000 5,02 3,4 Zn

0,2 Cu

0,9 Au

49 Ag

0,4 Pb

Skellefte district

Renström

(Boliden)

Zn, Cu, Pb,

Au, Ag

1948 19,96 7,26 Zn

1,44 Pb

0,81 Cu

2,8 Au

151 Ag

Skellefte district

Garpenberg

(Boliden)

Zn, Pb, Ag 375 BCE 109,3 5,0 Zn

2,3 Pb

140 Ag

Bergslagen

Lovisagruvan

(Lovisagruvan

AB)

Zn, Pb 1992 0,93 11 Zn

7 Pb

Bergslagen

Zinkgruvan

(Zinkgruvan

Mining)

Zn, Pb, Ag 1849 65,6 9,4 Zn

4,3 Pb

83 Ag

Bergslagen

Aitik open pitPhoto: Boliden

Major projects - Sweden

Laver Cu-Au-MoPorphyry Style

Classification Tonnes (Mt) Cu (%) Au (g/t) Mo(g/t)Measured Resource 1.1 0.20 0.11 18Indicated Resource 512.4 0.22 0.13 36Inferred Resource 550.6 0.21 0.10 33

Images from Boliden

Major projects - Sweden

Name Classification Tonnes (Mt) Cu Grade (%)A Zone Measured Resource 14.439 1.7

Indicated Resource 4.69 1.2Inferred Resource 2.48 1.0

B Zone Measured Resource 0.123 1.3Indicated Resource 4.118 0.7Inferred Resource 15.41 0.8

D Zone Indicated Resource 10.36 1.2Inferred Resource 0.78 1.6

Viscaria CuVMS, IOCG

A and B Zone VMS Besshi typeD Zone IOCG or VMS replacement

Sunstone Metals

Major projects - Sweden

Classification Tonnes (Mt) Cu (%) Au (g/t) Ag (g/t)Indicated Resource 8.2 1.7 0.9 5.0Inferred Resource 7.5 1.5 0.6 7.0

Nautanen Cu-AuIOCG

Photo: J. Kruse

Major projects - NorwayNussir and Ulveryggen

Sediment-hosted Cu

Photo: J. Kruse

NussirClassification Tonnes (Mt) Cu (%) Indicated Resource 64.3 1.17 + Ag, Au(JORC)

UlveryggenClassification Tonnes (Mt) Cu (%)Indicated Resource 7.7 0.81 (JORC)

Nussir –in dolarenite and argillitic dolostone

Ulveryggen –in quartzitic to feldspathic sandstone and conglomerate

Major projects - NorwayModum

Sediment-hosted Co, Cu, Au

Photo: J. Kruse

Historic cobalt minesworld producer of blue pigment in the 19th CenturyProduction: 1.0 Mt @ 0.2 % Co

New exploration ongoing

Drilling in 2013 (NGU and BTV):8.3 m intersection @ 1.28 % Cu, 0.03 % Co, 0.26 ppm Au

Major projects - Norway

Classification Tonnes (Mt) Cu (%) Zn (%)Indicated Resource 5.55 1.05 1.27

Above a 1.0 % Cu-eq cut-off

Hersjø Cu-ZnVMS

Photo: J. KruseHersjø – 3D modelFrom North Atlantic Minerals Ltd. (northatlanticminerals.com)

Major projects - Norway

SkiftesmyrClassification Tonnes (Mt) Cu (%) Zn (%)Indicated Resource 3.51 1.0 1.5Inferred resource 0.57 1.0 1.6Above a 0.5 % Cu-eq cut-off (NI 43-101)

GodejordClassification Tonnes (Mt) Cu (%) Zn (%) Ag (ppm) Au (ppm)Inferred resource 0.25 0.6 4.2 15 0.4Above a 0.5 % Cu-eq cut-off

Skiftesmyr Cu-Zn, Godejord Zn-Pb-AgVMS

Photo: J. Kruse

SkiftesmyrFrom Metal Prospecting AS (www.metproas.no)

Mining in FinlandKittilä Au

Kemi Cr

Pyhäsalmi Cu-Zn

Talvivaara Ni-Zn

Jokisivu Au

Parainen

calcite

Ilomantsi Au

Lappeenranta

calcite,

wollastonite

Orivesi Au

Punasuo talc

Kylylahti Cu

Polvijärvi talc

Lohja

calcite

Siilinjärvi P

Kevitsa Ni-Cu-Pd-Pt

Metals

Industrial minerals

2015 ore output (Mt)

< 0.1

0.1 - 0.5

0.5 - 1.0

1.0 - 10

> 10

In production 2016

• 12 metal mines

• 30 industrial minerals mines

• Mine investments 2008–2014: 2300 M€

– 242 M€ in 2016

• Estimated investments 2016–2025: 3000 M€

• Turnover 1500 M€ in 2015

• Mining and metal-related exports 6700 M€ in 2014

Mines in Finland

Mine development projects - Finland

14

Kolari

Suhanko

Sokli

Taivaljärvi

Sakatti

Project Commodity Resource/Reserve Company

Sakatti Ni, Cu, PGM 44.4 Mt3 @ 1.9% Cu, 0.96% Ni, 1.37 g/t 2PGM+Au

Anglo American

Suhanko PGM, Ni, Cu, Au 208 Mt1 @1.83 g/t 2PGM Goldfields

Taivaljärvi Ag, Au, Pb, Zn 2.76 Mt5 @124 g/t Ag Sotkamo Silver

Kolari Fe, Cu, Au 115 Mt5 @32.4% Fe, 0.2% Cu, 0.1 g/t Au

Hannukainen Mining Oy

KuusamoHaarakumpu

Co, Cu 0.9 Mt @ 0.46% Cu and 0.34% Cu5 Latitude 66 Cobalt

Koillismaa PGM, Cu, Ni, Au 46.8 Mt3 @0.43-0.99 g/t 2PGM, twodeposits

Nortec

Hautalampi Cu, Co, Ni 2.2 Mt @ 0.38 Ni, 0.32 Cu, 0.1% Co Vulcan HautalampiOy

1 Measured, Indicated and Inferred, 2 Measured and Indicated, 3 Indicated and Inferred, 4 Inferred, 5 Proven and Probable

Koillismaa

Hautalampi

Kuusamo