Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000...

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Boliden Smelter Strategy Kerstin Konradsson President Boliden Smelters

Transcript of Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000...

Page 1: Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000 3€500 0912 1012 1112 1212 1312 1412 1512 1612 SEK EBIT ex PIR ROCE ex PIR Capex, R12

Boliden Smelter Strategy

Kerstin KonradssonPresident Boliden Smelters

Page 2: Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000 3€500 0912 1012 1112 1212 1312 1412 1512 1612 SEK EBIT ex PIR ROCE ex PIR Capex, R12

A supplier to the European metals industry

Concentrates from own and external mines

Zinc metal sold to steelworks for rust-proofing

(galvanising)

Copper metal sold to wire rod and copper rod

manufacturers

Lead sold to car battery manufacturers

Gold and silver sold to industrial producers and as

investment object

Other by-products

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Page 3: Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000 3€500 0912 1012 1112 1212 1312 1412 1512 1612 SEK EBIT ex PIR ROCE ex PIR Capex, R12

Smelters income model

Payable by-

metals

Mine

share

Free metal main

and by-metal

Treatment and

Refining charge

Metal premium

By products

Betalbara

bi-metaller

Smelter

share

Metal

value

LMEPayable main

metal

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Page 4: Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000 3€500 0912 1012 1112 1212 1312 1412 1512 1612 SEK EBIT ex PIR ROCE ex PIR Capex, R12

The most cost efficient will survive…

Cost structure

‒ Automation

‒ Energy consumption

Production stability

‒ Maintenance

‒ Process control

Economy of scale

‒ De-bottlenecking

‒ Expansions

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Page 5: Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000 3€500 0912 1012 1112 1212 1312 1412 1512 1612 SEK EBIT ex PIR ROCE ex PIR Capex, R12

…and/or the ones with the highest revenues

Technology development

‒ Impurity capability

‒ Extract valuables

‒ By-products

‒ Waste management

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To be the most sustainable metal producerEconomically, environmentally and socially

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Cu PGM Ni

Zn

Ag

Au

Pb

Bi

Sb

Cu

Zn Pb

NiNickel

PbLead

ZnZinc

CuCopper

Secondary material

Products

Waste

Concentrates

Cu

Au

Rönnskär & HarjavaltaAu, Ag, Se, Te, Ni, PGM,

OPM, H2SO4, SO2

Kokkola & OddaAg, Pb, Cu, Cd, H2SO4

HarjavaltaCu, PGM, Co, H2SO4, SO2

Bergsöe & RönnskärPrimary: Au, Ag, Sb, Bi

Secondary: Sb, Sn

Page 7: Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000 3€500 0912 1012 1112 1212 1312 1412 1512 1612 SEK EBIT ex PIR ROCE ex PIR Capex, R12

Strategy

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Strategic directionMaximise the value from raw materials,

production and sales with focus on sustainable

waste solutions

Focus areas Operational efficiency

Competence development

Productification

Page 8: Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000 3€500 0912 1012 1112 1212 1312 1412 1512 1612 SEK EBIT ex PIR ROCE ex PIR Capex, R12

Considerable capex invested in the strategy

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Automatisation

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Safety in Odda Quality in Kokkola

Page 10: Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000 3€500 0912 1012 1112 1212 1312 1412 1512 1612 SEK EBIT ex PIR ROCE ex PIR Capex, R12

World leader in Recycling

” Two million

mobile phones

per day”

56 ton copper

6,5 ton gold

152 ton silver

50 kton zinc

” Four million car

batteries per year”

46 kton lead

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Separation of plastics in Bergsöe

80 MSEK

In operation Q1 2018

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Page 12: Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000 3€500 0912 1012 1112 1212 1312 1412 1512 1612 SEK EBIT ex PIR ROCE ex PIR Capex, R12

Odda expanded to 200 kton zinc

350 MNOK

New capacity May 2017

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Page 13: Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000 3€500 0912 1012 1112 1212 1312 1412 1512 1612 SEK EBIT ex PIR ROCE ex PIR Capex, R12

New Sulphur Acid plant in Harjavalta

90 MEUR

‒ Phase 1: Contact converter, 2018

‒ Phase 2: Gas cleaning, 2019

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Page 14: Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000 3€500 0912 1012 1112 1212 1312 1412 1512 1612 SEK EBIT ex PIR ROCE ex PIR Capex, R12

Unique underground storage in Rönnskär

650 MSEK

In operation 2019

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High availability and low emissions in Kokkola

4,9 MEUR

In operation May 2017

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Page 16: Boliden Smelter Strategy Kerstin Konradsson 35% 0 500 1€000 1€500 2€000 2€500 3€000 3€500 0912 1012 1112 1212 1312 1412 1512 1612 SEK EBIT ex PIR ROCE ex PIR Capex, R12

Summary

Strong vision & strategy

Challenges

‒ License to operate

‒ Cost position

‒ Capex intense

Possibilites

‒ Technology development

‒ Automation

‒ Support from a network of partners

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