Boliden’s Q2: Good production levels and strong cash flow

Boliden’s second quarter was characterised by good production levels, in spite
of variations between the individual mines and comprehensive maintenance
shutdowns at the smelters. Revenues totalled SEK 9,596 m (10,373) and the
operating profit, excluding revaluation of process inventory, was SEK 901 m
(1,257). The free cash flow, adjusted for the acquisition of the Kevitsa mine,
totalled SEK 1,148 m.
[image]“Production and profits during the quarter were generally good in both
Mines and Smelters. The cash flow was satisfying, given the extensive
maintenance work carried out at several smelters and the production instability
at our biggest copper mine Aitik. We benefited from the improvement in metal
prices, although they are still substantially lower than last year. Boliden’s
acquisition of Finland’s biggest mine, Kevitsa, was completed during the quarter
and the integration process is proceeding according to plan,”says Lennart
Evrell, President and CEO of Boliden.
Production by Boliden’s mines showed considerable variation between the
individual mining areas. Garpenberg and Kylylahti reported very strong
production, and production levels were also high in the Boliden Area and at
Tara. Crusher availability continued to be low at Aitik, resulting in low
volumes.
Boliden’s smelters generally reported good production levels in spite of the
comprehensive, planned maintenance shutdowns at the biggest smelters, namely
Rönnskär, Harjavalta and Kokkola. The new and lower treatment charges applicable
for 2016 achieved their full impact during the quarter.
For further information, please contact:
Sophie Arnius, Director Investor Relations and Acting Press Officer
tel: +46 8 610 15 23, +46 70 590 8072
Boliden is a metals company with a commitment to sustainable development. Our
roots are Nordic, but our business is global. The company’s core competence is
within the fields of exploration, mining, smelting and metals recycling. Boliden
has just over 5,000 employees and a turnover of SEK 40 billion. Its share is
listed on NASDAQ OMX Stockholm, segment Large Cap.
www.boliden.com