Investing for growthStefan Romedahl, President Boliden Mines

2019-03-132Boliden CMD 2019

Key highlights since CMD 2017

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2014 2015 2016 2017 2018

Ktonnes

Copper Zinc

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Aitik Boliden Area Garpenberg Kylylahti Tara Kevitsa

years

2008 2018

Production of metal in concentrate

Long mine life for largest and most profitable mines

New surface crusher in Aitik

Increased cobalt production in 2018

Exploration drifts in Tara and Rävliden

‒ Tara Deep Resource estimate upgraded to 18 Mtonnes (13)

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1602 1605 1608 1611 1702 1705 1708 1711 1802 1805 1808 1811

Ktonnes

Milled production

Stable output in from all mines, R12

Diversified portfolio and revenues

2019-03-13

By Commodity

By Mine

Mines 2018 Revenues: 18,404 MSEKMines 2018 EBIT: 6,451 MSEK

Zinc(1)

(ktonnes)

Gold(1)

(koz)

Copper(1)

(ktonnes)

2018 Mine Revenue breakdown Copper and gold among key commodities

(1) Refers to production of metal in concentrate

Boliden CMD 2019 3

33%

20%15%

16%

13%4% Aitik

GarpenbergTaraKevitsaBoliden areaKylylahti

37%

29%

12%

8%5%

5%4% CopperZincGoldSilverLeadNickelOther

78 85103

143 140

2014 2015 2016 2017 2018

294 299329

305 290

2014 2015 2016 2017 2018

141 158185

233 247

2014 2015 2016 2017 2018

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0% 20% 40% 60% 80% 100%

2018 cost curve 2008 cost curve

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2018 cost curve 2008 cost curve

Successfully enhanced productivity and cost position in open pit and underground mines

2019-03-134

Copper Cost Curve(2)Copper – Open Pit Mines(1)

Zinc Cost Curve(2)

Source: Wood Mackenzie(1) Open pit and mines with both open pit / underground operations, (2) C1 Cash Cost (US¢/lb) composite costing

Zinc – Underground Mines

Boliden CMD 2019

We transformed Aitik into the world’s most productive open pit copper mine

We transformed Garpenberg into the world’s most efficient underground mine

TaraGarpenberg

AitikKevitsa

Aitik

0,05,0

10,015,020,025,030,035,0

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Tonn

es m

illed

per

man

hour

Million tonnes ore milled per year

Kevitsa

Garpenberg

Tara

Boliden Area

0,00,51,01,52,02,53,03,54,0

0 5 10 15Tonn

es m

illed

per m

anho

ur

Million tonnes ore milled per year

Improved productivity

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Min

e Act

ivitie

s

24 hours

Boliden Group 5

Increase through autonomous machines Increase through production control Current mining activities

Boliden CMD 2019 2019-03-135

A successful cocktail of electrification…

…and automation

Electrification, ventilation on demand

5G underground positioning system, driverless vehicles

Mining Operating Control, tablets controlling all digital systems

In-house technical department

Mine design and technical know-how – critical for future competitiveness

Example: Mine activities in underground mine

Exploration and Mineral Resources & Mineral Reserves

2019-03-13

Exploration cost 520 MSEK (2018)‒ Drifts in Tara and Boliden Area‒ Increased exploration budget 2019 +10%

Long life-of-mine in Aitik, Kevitsa and Garpenberg‒ Limited new additions‒ Aitik remaining life-of-mine reserve grade 0.22%

(0.23)

Increased inferred mineral resources in Tara Deep‒ Increase from 13.0 to 18.2 Mtonnes‒ Surface drilling

Short life-of-mine in Kylylahti in existing ore body

Tara Deep – geological map

6Boliden CMD 2019

8

SE Zone

NW Zone

Conglomerate Hosted Zone

Tara Deep Access

Return Air Raise

Aitik – status updatePlus 45 Mtonnes throughput 2020 New surface crusher Automation

‒ Production drilling New satellite pits 26 years reserve life

26 years reserve life

Minus Mining 2018 at higher grades than mineral

reserve average (Cu reserve grade: 0.22%) Diesel - tax?

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2 500

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018Proven/Probable Reserve Measured/Indicated ResourceInferred Resource Production*10

Aitik reserve & resources vs. production

Mtonnes

Next key step Electrification Increased automation Planning, new industrial area

2019-03-13Boliden CMD 2019 7

Garpenberg – status updatePlus 3.0 Mtonnes throughput 2020 Automation

‒ Drill rigs, trucks 25 years reserve life

Minus Mining 2018 at higher grades than mineral

reserve average (Zn reserve grade: 3.1%)

Boliden CMD 2019

0102030405060708090

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018Proven/Probable Reserve Measured/Indicated ResourceInferred Resource Production*10

Garpenberg reserve & resources vs. production

Mtonnes

Next key step Increased automation

2019-03-138

Kevitsa – status updatePlus 9.5 Mtonnes milled volume pace in 2020 Automation Increased in-house production

‒ Larger and more suitable machines 13 years reserve life

Minus 2019 – year of transformation

‒ Mining below reserve average‒ High capex

020406080

100120140160180

2016 2017 2018Proven/Probable Reserve Measured/Indicated ResourceInferred Resource Production*10

Kevitsa reserve & resources vs. productionMtonnes

Next key step Electrification Increased automation

2019-03-13Boliden CMD 2019 9

Tara – status updatePlus New tailings facility Automation

‒ Drill rigs, trucks and chute Increase in inferred mineral resources

‒ Drilling from Tara Deep´s exploration drift expected to start in 2020

Minus Decreasing stope size 7 years reserve life

Boliden CMD 2019

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30 000

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018Proven/Probable Reserve Measured/Indicated ResourceInferred Resource Production*10

Ktonnes

Tara reserve & resources vs. production Next key step Tara Deep Increased automation

2019-03-1310

Boliden Area – status updatePlus Rävliden project in Kristineberg Highly flexible mill Increased tailing capacity

Minus Maurliden depleting ~80% utilization of mill 7 years reserve life

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2009 2010 2011 2012 2013 2014 2015 2016 2017 2018Proven/Probable Reserve Measured/Indicated ResourceInferred Resource Production*10

Ktonnes

Boliden Area reserve & resources vs. production Next key steps Rävliden Renström expansion Increased automation

2019-03-13Boliden CMD 2019 11

Kylylahti – status update

Plus Extended operation to 2020 Cobalt production Test of cobalt from tailings in good

progress Exploration potential in Outokumpu field

Minus Disappointing exploration results

near mine <2 years reserve life

Boliden CMD 2019

01 0002 0003 0004 0005 0006 0007 0008 0009 000

2012 2013 2014 2015 2016 2017 2018Proven/Probable Reserve Measured/Indicated ResourceInferred Resource Production*10

Ktonnes

Kylylahti reserve & resources vs. production Next possible key step Extraction of cobalt from tailings

2019-03-1312

Investing for growth

2019-03-1313

2010

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2020

2020

2020

Completed expansions On-going Expansion

Aitik (36Mtpa) Capex: ~SEK6.2bn

Boliden Area(1)

Capex: ~SEK1.0bn

Garpenberg (2.5Mtpa) Capex: ~SEK3.9bn

Kylylahti acquisitionCapex: ~SEK0.5bn

Kevitsa acquisitionCapex: ~SEK6.0bn

Aitik (45Mtpa)Capex: ~SEK1.0bn

Kevitsa (9.5Mtpa)Capex: ~ SEK0.8bn

Garpenberg (3.0Mtpa)Capex limited

Boliden CMD 2019

1) Kankberg mine; Gold/Tellurium expansion

Key success factors growth:

1. Exploration2. Economies of scale3. Acquisitions