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Roger Holmberg 1 R. Holmberg, Lima, Nov 2010

1 Mining in Sweden

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Page 1: 1 Mining in Sweden

Roger Holmberg

1 R. Holmberg, Lima, Nov 2010

Page 2: 1 Mining in Sweden

Peru vs Sweden

R. Holmberg, Lima, Nov 2010 2

Peru ~30 million people 3 times Swedish area Sweden ~9,5 million people

Page 3: 1 Mining in Sweden

Mines in production

R. Holmberg, Lima, Nov 2010 3

PRODUCTION Iron ore Sulphide ore Gold ore

Swedish share of total production in EU 2005

Metal Share % Placement

Iron 89.4 1st

Silver 17.2 2nd

after Poland

Lead 36.3 2nd

after Ireland

Copper 12 3rd

after Poland and Portugal

Zinc 26.9 2nd

after Ireland

Gold 36.9 1st

Page 4: 1 Mining in Sweden

LKAB

R. Holmberg, Lima, Nov 2010 4

Luossavaara-Kirunavaara AB (LKAB) is an international high-tech minerals group, one of the world’s leading producers of upgraded iron ore products for the steel industry and a growing supplier of industrial minerals products to other sectors.

Most of the iron ore products are sold to European steelworks. Other important markets are North Africa, the Middle East and Southeast Asia. Industrial minerals are sold mainly in Europe but also to growing markets in Asia and the USA.

LKAB has around 3,700 employees, of which 600 outside Sweden.

Page 5: 1 Mining in Sweden

LKAB Kirunavaara

R. Holmberg, Lima, Nov 2010 5

27 Mton crude ore per year

4 km long orebody in Kiruna, average width 80 m. 2 km deep

Page 6: 1 Mining in Sweden

LKAB Malmberget

R. Holmberg, Lima, Nov 2010 6

16 Mton crude ore per year

20 ore bodies, ~10 are mined

Page 7: 1 Mining in Sweden

LKAB The finished products are

transported from the ore processing plants to customers by rail and by ship via the shipping ports at Narvik and Luleå.

R. Holmberg, Lima, Nov 2010 7

LKAB

LKAB

Page 8: 1 Mining in Sweden

LKAB LKAB produced 25.3 Mt of iron ore products in 2010.

87 % is pellets (66% Iron)

23% is Fines

Second- largest pellet manufacturer after Vale, Brazil

Will increase production initially to 37 Mt. 2015

Utilises large scale sublevel stoping.

Automatic and remotely controlled loading and transport. 30 % of all machinery are supervised and controlled from a surface office.

LKAB

LKAB

Page 9: 1 Mining in Sweden

LKAB Production 2010

Page 10: 1 Mining in Sweden

Boliden Mineral

In 2010 Boliden produced 30.4 Mt of ore in Swedish

mining operations.

10 R. Holmberg, Lima, Nov 2010

Page 11: 1 Mining in Sweden

Boliden Aitik Mine The open pit mine Aitik, located outside Gällivare in northern Sweden, is one of the largest producers of copper in Europe.

Aitik is a low-grade copper mine, which means that the ore is mined on a large scale. In 2010 approximately 28 million tonnes of ore were mined.

67,000 ton Cu and 2,200 kg gold

In operation since 1968.

Page 13: 1 Mining in Sweden

Boliden Area The Boliden Area is located in the mineral –rich Skellefteå field where some 30 mines have been in operation since the 1920s.

Zn, Cu, Pb, Ag and Au

Mines today are;

Kristineberg, Renström, Maurliden and Maurliden Östra

2010

1.44 Mton ore mined

86,000 ton Zc produced

Page 14: 1 Mining in Sweden

Boliden Garpenberg Mine The Garpenberg Mine is the oldest mine in operation in Sweden.

Mined as early as in the 13th century.

One of the owners of the mines was even Gustav Vasa, the first king of the Vasa Dynasty.

Boliden purchased the Garpenberg Mine from AB Zinkgruvor in 1957. Operations at the Garpenberg Norra mine started in 1972.

Page 15: 1 Mining in Sweden

Garpenberg –mining method At the Garpenberg area a sulphide polymetallic ore is mined. Its main

constituents are zinc and silver, but the ore contains also lead, copper and gold.

Mining method has been Cut and Fill but is changing over to panel stoping with paste fill.

Six metres slices are mined from stopes 50-300m long and up to 15m wide.

The lowermost cut is filled with pure sand and later on with waste rock and sand; thereafter either plain or cemented tailings pumped from the surface are used and the water is drained off.

The coarse fraction of the mill tailings is used for backfill in the mines, while the fines are deposited in an adjacent tailing pond.

15 R. Holmberg, Lima, Nov 2010

Page 16: 1 Mining in Sweden

Garpenberg More than 1.4 million tonnes of ore are processed at the concentrator

each year.

2010 was 86,000 ton Cu

Zn (%) 7,28

Cu (%) 0,07

Pb (%) 2,80

Ag (g/ton) 139

Au (g/ton) 0,25

An expansion is underway to double production.

16 R. Holmberg, Lima, Nov 2010

Page 17: 1 Mining in Sweden

Garpenberg- Lappberget Between the two active mines a large deposit, called Lappberget, was discovered year 2001, with high grades of zinc, silver and lead, extending the area's operating life. This orebody is of a greater thickness then the other mines will allow for a larger scale mining method, i.e. panel stoping with paste fill. A connecting drift between the mines at 800-900 m level was completed in spring 2004 and production at Lappberget commenced on a wider scale. The Garpenberg area has around 275 employees.

?

850Z

Lappberget

Garpenberg

Norra

Garpenberg

Mine

?

850Z

Lappberget

Garpenberg

Norra

Garpenberg

Mine

Page 18: 1 Mining in Sweden

Wireless Central Blasting System Garpenberg previously utilised a simple, but not the safest, method for

initiation of the rounds.

In the mines the NONEL-system is used and after charging the coupled rounds they earlier had the blasting crew driving around to the various blasting sites.

At the end of each shift, i.e. at 16.00 and at 04.00 the crew ignited the rounds with cap and fuse.

The new shifts started at 18.00 and 06.00, which gave a time gap of 2 hours to shoot the rounds and ventilate the blast fumes.

The old fashion cap and fuse was not considered safe and they installed a central blasting system.

18 R. Holmberg, Lima, Nov 2010

Page 19: 1 Mining in Sweden

Safer blasting procedures Adjacent to the shaft at the 800 m level a control room for the central blasting system was established.

Cap and fuse method for initiation of Nonel rounds was abandoned

Avoiding people to enter the mine during the initiation sequences is a safer approach then previously used method.

A remote controlled central blasting system like DynoRem Mine was convenient to use and the safety has been increased in the mine.

Page 20: 1 Mining in Sweden

Lundin Mining - Zinkgruvan Zinkgruvan Mining AB produced in 2010 ~1 Mton of

ore.

Metal production;

72 206 ton Zinc

36 636 ton Lead

540 ton Copper

56 ton Silver

20 R. Holmberg, Lima, Nov 2010

Page 21: 1 Mining in Sweden

Lundin Mining - Zinkgruvan

R. Holmberg, Lima, Nov 2010 21

Page 22: 1 Mining in Sweden

Gold Ore Resources Ltd. – Björkdalsgruvan

2010

1.1 Mton ore , surface and underground

1,300 kg Gold

R. Holmberg, Lima, Nov 2010 22

Page 23: 1 Mining in Sweden

Gold line Svartliden Guld AB (Dragon Mining NL) and Lapland Goldminers have started production.

23 R. Holmberg, Lima, Nov 2010

Page 24: 1 Mining in Sweden

Dragon Mining Sweden AB – Svartliden 2010

300 000 ton ore in open pit

produced ~1.250 kg Gold

R. Holmberg, Lima, Nov 2010 24

Page 25: 1 Mining in Sweden

Lappland Goldminers Pahtavaara 2010

224 kg Au

Ersmarksberget Production start 2012

Fäbodliden Feasibility study

R. Holmberg, Lima, Nov 2010 25

Page 26: 1 Mining in Sweden

Prospecting costs - Sweden

26 R. Holmberg, Lima, Nov 2010

Million US$

100

50

Page 27: 1 Mining in Sweden

Exploration The exploration is focused on base metals . The

priorities are the following ;

1: 60% - Zn, Cu, Pb and Ni

2: 20% - Fe and energy minerals

3: -molybdenum, tungsten, vanadium, tellurium, lithium……

R. Holmberg, Lima, Nov 2010 27

Page 28: 1 Mining in Sweden

Why prospecting in Sweden? Political and economic stability

Excellent ore potential

Proven mineral resources of world class

High class data bases

Good infrastructure

Beneficial (simple) mineral laws

28 R. Holmberg, Lima, Nov 2010

Page 29: 1 Mining in Sweden

LTI – Swedish Mining Industry

R. Holmberg, Lima, Nov 2010 29

LTI per million work hour

Page 30: 1 Mining in Sweden

Ballast production

0

10

20

30

40

50

60

70

80

90

100

-94 -95 -96 -97 -98 -99 -00 -01 -02 -03

Mto

n

Crushed stones

Others + Morain

Natural gravel

2008 101,4 Mton

30 R. Holmberg, Lima, Nov 2010

2008 18.8 Mton Environmental Goal 2010 12 Mton

Page 31: 1 Mining in Sweden

31 R. Holmberg, Lima, Nov 2010

Explosives deliveries

0

10

20

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-90

-92

-94

-96

-98

-00

-02

-04

Kto

n

ANFO

Bulk emulsion

Cartridge

Page 32: 1 Mining in Sweden

32 R. Holmberg, Lima, Nov 2010

Bulk emulsion

0

5

10

15

20

25

30

35

-97 -98 -99 -00 -01 -02 -03 -04

Kto

n

M ines

Others

kton

Page 33: 1 Mining in Sweden

R. Holmberg, Lima, Nov 2010 33

Mines Others

Page 34: 1 Mining in Sweden

R. Holmberg, Lima, Nov 2010 34

Mines Others Cartridges kton

Page 35: 1 Mining in Sweden

R. Holmberg, Lima, Nov 2010 35

Mines Others

Mines Others

M pcs

M pcs

Non-electric detonators

Electric detonators