Boliden: Lower production rate in Aitik

Rhea-AI Summary

Boliden (BDNNY) announces production challenges at its Aitik copper mine due to high deposits of hard diorite rock encountered during a new pushback operation. The company expects:

- First quarter 2025 production of just over 9 Mtonnes
- Full-year 2025 production estimate of nearly 40 Mtonnes
- Copper grade maintaining at 0.16%

The challenges stem from oxidized ore and diorite deposits in an area representing half of Aitik's production. The oxidization negatively impacts recoveries, while the hard rock significantly limits grinding capacity. These conditions are expected to persist throughout 2025.

Positive

• Copper grade maintaining stable at 0.16%

Negative

• Production rate reduced to 9 Mtonnes in Q1 2025 due to hard rock deposits
• Full-year 2025 production lowered to 40 Mtonnes
• Oxidized ore causing negative effect on recoveries
• Grinding capacity significantly by hard diorite rock

News Market Reaction

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+3.76% News Effect

On the day this news was published, BDNNY gained 3.76%, reflecting a moderate positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

STOCKHOLM, March 5, 2025 /PRNewswire/ -- In connection with a new pushback in Aitik, production challenges have arisen as a result of high deposits of the very hard rock type diorite. The occurrences create challenges and mean that the production rate for the first quarter is estimated to be just over 9 Mtonnes. For the full year 2025, production is estimated at close to 40 Mtonnes. The copper grade is estimated at 0.16%, which is in line with what was previously communicated.

In 2024, the Aitik copper mine began a new pushback, which means that mining will take place from ground level and that the open pit will thus be expanded. In this area, where half of Aitik's production is now taking place, parts of the ore are oxidized and contain deposits of the very hard rock type diorite. The oxidization means a slight negative effect on recoveries and the hard rock means that the capacity for grinding is clearly limited. This means that the production rate for the first quarter is estimated at just over 9 Mtonnes. 

Drilling has established that the diorite deposits will continue to affect the production process in Aitik for the remainder of 2025. Aitik's total production in 2025 is therefore estimated at close to 40 Mtonnes. The copper grade is estimated at 0.16%, which is in line with what was previously communicated.

For further information, please contact:

Klas Nilsson
Director Group Communications
+46 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 Group Communications, at 08.00 CET on March 5, 2025.

This information was brought to you by Cision http://news.cision.com

https://news.cision.com/boliden/r/lower-production-rate-in-aitik,c4114481

The following files are available for download:

https://mb.cision.com/Main/997/4114481/3301429.pdf

Lower production rate in Aitik press release

 

FAQ

What is causing the production slowdown at Boliden's Aitik mine in 2025?

High deposits of hard diorite rock and oxidized ore encountered during a new pushback operation are limiting grinding capacity and affecting recoveries.

What is BDNNY's expected production volume for Aitik mine in Q1 2025?

Production for Q1 2025 is estimated at just over 9 Mtonnes.

What is the projected copper grade for Boliden's Aitik mine in 2025?

The copper grade is estimated at 0.16%, consistent with previous communications.

How long will the diorite deposits affect BDNNY's Aitik production in 2025?

The diorite deposits will continue to affect production throughout the remainder of 2025, impacting the full year's output.

What is BDNNY's total production forecast for Aitik mine in 2025?

Total production for 2025 is estimated at approximately 40 Mtonnes.