Geological Survey of Finland
Geological Survey of Finland
Geological Survey of Finland
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<strong>Finland</strong>Established 1835A supplement to Mining JournalGreen Mining Programme
FINLANDPutting <strong>Finland</strong> ahead in sustainabilityA message from the minister <strong>of</strong> economic affairsASTRONG factor for creating a goodbusiness environment is the role <strong>of</strong>the government and administration.Considering this, we have toremember that investment climate isnot depending on one single factor. The businessenvironment is rather made out <strong>of</strong> a complicatednetwork <strong>of</strong> various support measures as well as <strong>of</strong>various kinds <strong>of</strong> regulation.<strong>Finland</strong> is now following its mineral strategy, adocument published a year ago.According to its main targets, thegovernment is now pushing forwardinfrastructure investments which areneeded in establishing new mines, aswell as making a significantcontribution to training mineemployees.The mineral sector is not onlyabout extracting ore with proventechnology. Services and research,together with transportation, countmuch as well. The entire chain fromprospecting and mining to enrichment and closurerequires expertise and services. One key area <strong>of</strong> ourmineral strategy is to create and put more efforts toR&D operations and expertise. And as an answer tothis, we have recently launched a new Green MiningProgramme. This is to put <strong>Finland</strong> ahead when talking“One key area<strong>of</strong> our mineralstrategy is tocreate and putmore efforts toR&D operationsand expertise”about sustainable mineral industry by year 2020.Implementation <strong>of</strong> the Minerals Strategy is alsosupported by the Government Programme <strong>of</strong>Prime Minister Jyrki Katainen’s Cabinet. The Ministry<strong>of</strong> Employment and the Economy is in charge <strong>of</strong>monitoring the progress <strong>of</strong> strategy implementation,and <strong>of</strong> making the necessary proposals for development.There has also been discussion within thegovernment to determine if the Finnish state shouldhave its own mining companyinstead <strong>of</strong>, or in addition to, minoritystakes in some companies. To datethe policy has been that state‘interference’ is not needed, withmany new Finish mining companiesalready being created by privateinvestors.The availability <strong>of</strong> mineral rawmaterials has also been raised as animportant issue for the widerEuropean Union, and in February2011 the European Commissionadopted a new strategy document which sets outtargeted measures to secure and improve access toraw materials for Europe. <strong>Finland</strong> supports EU’s rawmaterial initiative, and is actively seeking a moreinvolved role in EU raw materials strategy.Governmental mining policy has taken majorsteps forward in recent years. The new MiningAct, which entered into force last summer, providesthe legislative framework for activity in this sector.Enactment <strong>of</strong> the new Mining Act was a time-consuming,at times arduous process. The objective <strong>of</strong> theAct is to provide sound operating conditions forexploration and mining. On the other hand, it alsoaims to reinforce the constitutional rights <strong>of</strong> citizens,landowners and other parties concerned, as well aslocal authorities’ possibilities <strong>of</strong> influencing. Thedegree <strong>of</strong> success in this regard remains to be seen.After parliamentary elections in 2011, our newgovernment has maintained asteady mining policy, with thecore message that mining hasa significant role in <strong>Finland</strong>.Personally, I feel thatsupporting sustainabledevelopment <strong>of</strong> mining in ourcountry is about creating asecond leg for northern parts <strong>of</strong><strong>Finland</strong>, which are currently toodependent on tourismalone.Jyri HäkämiesMinister <strong>of</strong> Economic Affairs Jyri HäkämiesPhoto: Janne Suhonen, Finnish government <strong>of</strong>ficeThe Talvivaara mineCONTENTSPutting <strong>Finland</strong> ahead in sustainability 2Introduction: raw materials revealed 3Green Mining Programme proves its worth 4<strong>Finland</strong> is European hub for exploration 6A front runner in technology and service 10GTK forms the bedrock <strong>of</strong> research 15Key contacts 19Company pr<strong>of</strong>iles:Endomines 12Golder 14MEN <strong>Finland</strong> 18Advertisements:ALS 9, 13Arctic Drilling 8FEM 16Kallilolaw 17Labtium 9Metso Mineralsback coverNordkalk 3Normet 7Paakkola 5Smoy 10SRK 11VTT 15Cover design: Tim Peters; Photos: Eeva Anundi, Metso, iStockphotoEditorialEditor Chris Hinde T +44 (0)20 7216 6084 E chris.hinde@mining-journal.comProduction editor / designer Tim PetersSub editors Vickie Johnstone / Woody PhillipsEditorial enquiries T +44 (0)20 7216 6060 F +44 (0)20 7216 6050 www.mining-journal.comAdvertising production Sharon Evans E sharon.evans@aspermontuk.comAdvertisingAdvertisement, subscriptions and circulation directorContact: Gareth HectorAspermont UK, Albert House, 1 Singer Street, London EC2A 4BQ, UKT +44 (0)20 7216 6060 F +44 (0)20 7216 6050E gareth.hector@aspermontuk.comSales manager – supplementsRichard VerthT +44 (0)20 7216 6068E richard.verth@mining-journal.comSubscriptions and circulation Stuart Balk T +44 (0)20 7216 6064 E stuart.balk@aspermontuk.comSubscription enquiries T +44 (0)20 8955 7050 F +44 (0)20 8421 8244 E subscriptions@aspermontuk.comPO Box 1045, Bournehall House, Bournehall Road, Bushey WD23 3ZQ, UKEditorial director Chris HindeChief executive <strong>of</strong>ficer David NizolChairman Andrew KentThis supplement is published with Mining Journal,published weekly, which is available only as part <strong>of</strong> asubscription with Mining Magazine and Mining, Peopleand the Environment, plus online access.Annual subscription –UK and Europe £360 (580 euros)Rest <strong>of</strong> the world US$650Published by Aspermont UK, Albert House,1 Singer Street, London EC2A 4BQ, UK. Printed byStephens & George Magazines, Merthyr Tydfil, UK.Registered as a newspaper at the Post Office.Subscription records are maintained at Aspermont UK,PO Box 1045, Bournehall House, Bournehall Road,Bushey WD23 3ZQAspermont UK, publisher and owner <strong>of</strong> Mining Journal (‘the publisher’) and each <strong>of</strong> itsdirectors, <strong>of</strong>ficers, employees, advisers and agents and related entities do not makeany warranty whatsoever as to the accuracy or reliability <strong>of</strong> any information,estimates, opinions, conclusions or recommendations contained in this publicationand, to the maximum extent permitted by law, the publisher disclaims all liability andresponsibility for any direct or indirect loss or damage which may be suffered by anyperson or entity through relying on anything contained in, or omitted from, thispublication whether as a result <strong>of</strong> negligence on the part <strong>of</strong> the publisher or not.Reliance should not be placed on the contents <strong>of</strong> this magazine in making acommercial or other decision and all persons are advised to seek independentpr<strong>of</strong>essional advice in this regard.© Aspermont UK 2012 ISSN 0026-52252Mining Journal special publication – <strong>Finland</strong>January 2012
Raw materials revealedFINLAND is located in the middle <strong>of</strong> theFennoscandian Shield, which is the largestexposed area <strong>of</strong> Precambrian rocks inEurope, similar to the famous miningdistricts in Canada and Australia.<strong>Finland</strong> has a long history <strong>of</strong> mining activity andmetals production. Since iron-ore mining began in1540, about 270 metal mines have been in operation,the main commodities being copper, nickel, zinc,cobalt, chromium, iron, gold and vanadium. The majorindustrial minerals mined in <strong>Finland</strong> are carbonates,apatite and talc.There are currently nine metal mines and 32industrial minerals mines in operation in <strong>Finland</strong>. Themain commodities produced from metal mines arechromium, zinc, nickel, copper, sulphur, gold andsilver. <strong>Finland</strong> is the only chromium producer inEurope. The most important industrial minerals areapatite, talc and carbonate rocks. Other commoditiesinclude wollastonite, quartz and feldspar. <strong>Finland</strong> isEurope’s biggest talc and wollastonite producer.New mines have been recently opened, and anumber <strong>of</strong> mines and deposits are under constructionor at the feasibility stage. Investments for minedevelopment have been about €1.3 billion(US$1.7 billion) over the past three years, and theyare estimated to rise over €3 billion in the next fiveyears. According to the vision <strong>of</strong> Finnish mining 2020,metal mining will reach over 70Mt from the modest3.5Mt in the early 2000s, and many new commoditiesare to be produced, including many critical metals andminerals for the high-tech industry.INCREASED ACTIVITYThe excellent potential for a variety <strong>of</strong> commoditiesin the Fennoscandian Shield continuously attracts newinternational companies to <strong>Finland</strong>. At the moment,about 40 companies have activities in <strong>Finland</strong>. Focusareas are the Lapland greenstone belt, wherecompanies are exploring for nickel, copper, gold andOre output from metal mines7060504030201001980 1985 1990 1995 2000 2005 2010 2015Source: 1980-2010 Ministry <strong>of</strong> Employment and the Economy,2011-2018 <strong>Geological</strong> <strong>Survey</strong> <strong>of</strong> <strong>Finland</strong> estimate.CapitalHelsinkiTotal area338,430,53km 2 , <strong>of</strong> which 303,892,46km 2 is land area.NeighboursEstonia, Sweden, Norway and Russia (<strong>Finland</strong>’s landborder with Russia is the eastern border <strong>of</strong> the EU)Population5.4 million (at the end <strong>of</strong> 2010) live in cities or urban areasMain citiesHelsinki (588,549), Espoo (247,970), Tampere (213,217),Vantaa (200,055), Turku (177,326) and Oulu (141,671)Finnish 90%, Swedish 5%, Russian 1%, other 3%. FinnishLanguagesand Swedish are the <strong>of</strong>ficial languages, while English is animportant business languageReligionLutheran 78%, Orthodox 1%, other 1%(19% have no religious affiliation)Following the parliamentary elections <strong>of</strong> March 2011, theGovernmentnew majority coalition comprises 19 ministerial posts held by the National CoalitionParty (6), the Social Democratic Party (6), the Left Alliance (2), the Swedish People’sParty in <strong>Finland</strong> (2), the Green League (2) and the Christian Democratic Party (1)CurrencyeuroGDP growth rate 3.6% (2010 est; Statistics <strong>Finland</strong>, July 2011)GDP per capita €33,608 (2010, at current market prices))Unemployment rate 6.9% (September 2011)Monthly wages Average €2,980; men €3,301, women €2,670Main industrialproductsFast facts: <strong>Finland</strong>Paper and board, electronics, metal products. The engineering and high-technologyindustries, led by Nokia, have long been the leading branches <strong>of</strong> manufacturingFINLANDplatinum ores, and eastern <strong>Finland</strong>, where the focus isin base metals.Mining has provided the raw material base for thecountry’s metal industry, with significant processingand refining <strong>of</strong> copper and nickel concentrates at Poriand Harjavalta (Boliden and Norilsk Nickel), zinc atKokkola (Boliden), cobalt at Kokkola (OMG), stainlesssteel at Tornio (Outokumpu), and iron at Raahe(Ruukki) and Koverhar (FNSteel). Key processingplants also exist for phosphorus fertilisers, titaniumpigments, and coating carbonates and talc. Finnishmetallurgical technology and manufacturers <strong>of</strong> miningequipment are well known throughout the internationalmining community (Outotec, Metso, Normet).FINLAND’S MINERAL POLICYAfter the parliamentary elections in 2010, the newgovernment has maintained a steady mining policy,with the core message that mining plays a significantrole in the Finnish economy.<strong>Finland</strong>’s mineral strategy, a document published ayear ago, aims financially to support infrastructureinvestments needed to establish new mines andsignificantly contribute to the training <strong>of</strong> mineemployees. There are no specific tax incentives for themining industry, mainly owing to the generallyaccepted objectives <strong>of</strong> the Finnish tax system: efficient,neutral and internationally competitive.Mining is subject to general taxation rules.However, the new Mining Act does not include anyroyalties to government. The new Mining Act enteredinto force on July 1, 2011 superseding the previousAct from 1965. Changes introduced to oreprospecting and mining activity by the new Mining Actwill be specified over the next few years.It is clear that the minerals authority andcompanies face increasing amounts <strong>of</strong> administrativework. However, it remains to be evaluated whetherthe legislative amendments <strong>of</strong> recent years will bringfundamental changes to the operational environment.The Ministry <strong>of</strong> Employment and the Economy istasked with keeping such evaluations up to date.There has also been discussion within the governmentto determine whether the Finnish state shouldhave its own mining company instead <strong>of</strong>, or inaddition to, minority stakes in some companies.To date, the policy is that state interference is notneeded with many new domestic mining companiesalready being created by private investors.The availability <strong>of</strong> mineral raw materials has alsobeen raised as an important issue for the wider EU.In February 2011, the European Commission adopteda new strategy document which sets out targetedmeasures to secure and improve access to rawmaterials for the EU. <strong>Finland</strong> supports the EU and itsraw material initiative, and is actively seeking a moreinvolved role in the EU raw materials strategy.Background photo: Anton KallandNordkalk is the leadingproducer <strong>of</strong> high qualitylimestone-based productsfor the metals and miningindustry in Northern Europe.www.nordkalk.comJanuary 2012Mining Journal special publication – <strong>Finland</strong>3
FINLANDGreen Mining Programme proves its worthTEKES (Finnish Funding Agencyfor Technology and Innovation)programmes are an essentialpart <strong>of</strong> the Finnish innovationsystem. These programmeshave proved to be an effective form <strong>of</strong>co-operation and networking for companies,universities and research institutes fordeveloping innovative products, processes andservices.Tekes’ programmes boost development inspecific sectors <strong>of</strong> technology or industry, andthe results <strong>of</strong> the research work are passedon to business systematically. The programmes alsoserve as excellent frameworks for international R&Dco-operation.Green Mining Programme was one <strong>of</strong> the actionproposals <strong>of</strong> <strong>Finland</strong>´s Minerals Strategy 2010(Ministry <strong>of</strong> Employment and the Economy,<strong>Geological</strong> <strong>Survey</strong> <strong>Finland</strong>).The aim <strong>of</strong> the Green Mining Programme is tomake <strong>Finland</strong> a pioneering country <strong>of</strong> eco-efficiency inthe mineral industry by 2020.Green Mining programme is, besides financing,forum for the exchange <strong>of</strong> information andnetworking between businesses and research groups.The programme provides opportunitiesfor carrying out ambitious R&Dprojects and for developing businessexpertise and internationalcooperation. Both companies andresearch institutes are eligible forfunding under the programme.Large companies will in particularbe expected to set up networkprojects that encourage SMEs todevelop their activities. In researchprojects, co-operation with leadingforeign units will be particularly appreciated.The budget for the programme is €60 million(2011-2016), and Tekes generally finances about half<strong>of</strong> the project costs (ie €30 million).Green mining Programme places special emphasison participation by small businesses and promotesPromotes materials and energyefficiencyEnsures availability <strong>of</strong> mineralresources for future needsMinimizes adverse environmentaland social impactsImproves work and organisationalpracticesEnsures sustainable land usefollowing mine closure“<strong>Finland</strong> aims tobe a pioneeringcountry <strong>of</strong> ecoefficiencyin themineral industryby 2020”<strong>Finland</strong>’s GreenMining ConceptSocial licenseto operateco-operation with the major companies. In researchprojects, co-operation with leading foreign units willbe particularly appreciated.All projects should have ‘green thinking’, which:• Promotes materials and energy efficiency;• Ensures availability <strong>of</strong> mineral resources for futureneeds;• Minimises adverse environmental and social impacts;• Improves work and organisational practices; and• Ensures sustainable land use following mine closure.The programme will be promoted throughinternational networking and drawing on bestinternational practices. The scope <strong>of</strong>this co-operation is a signal <strong>of</strong> theactors’ strong commitment todeveloping eco-efficiency. The GreenMining Programme <strong>of</strong>fers greatopportunities for strongerinternationalisation through bothconcrete cooperation projects andexchanges <strong>of</strong> scientists. Thisprogramme will further raise<strong>Finland</strong>’s pr<strong>of</strong>ile as a country <strong>of</strong>clean-tech expertise.The Finnish mineral industry is a world leader inmany areas. Equipment manufacturers in particularare on the leading edge <strong>of</strong> the sector globally.Developing environmental friendliness and promotingsustainable development are key goals <strong>of</strong> actors in theindustry.However, stronger SME involvement in thesubstantial growth <strong>of</strong> the sector will be needed.There are two themes in the programme:New mineral resources, and intelligentminimum-impact mines. Green Mining combinesan industrial production process with ecologicaloperating practices. The objective is to minimiseadverse impacts through compliance withenvironmentally and socially sustainableobjectives in the entire cycle <strong>of</strong> extraction andbeneficiation process, and to ensure alternativeland uses following mine closure. Green Miningrepresents an active effort to find improvedworking methods and operating practices.One important aim is to improve organisationalpractices.There are three main aims:1) Improve competitiveness and productivity in theFinnish mineral sector value network2) Improve network management and networkpractices in organisations, and3) Support to create open innovation system withinthe organisations and between the organisations.What kind <strong>of</strong> projects are needed? We have tocarry out a pilot study among sector leadingcompanies in <strong>Finland</strong> about good practices indevelopment <strong>of</strong> organisational practices. Also, wehave to promote development and set up <strong>of</strong> QSHEsystems and deploiting their practices. We have tobenchmark international companies during delegationvisits. And, finally, we have to fund research andenterprise projects aiming to improve working andorganisational practices.Programme objectives:• Making <strong>Finland</strong> a global leader <strong>of</strong> sustainable mineralindustry by 2020• Creating new business that requires specialisedexpertise alongside traditional mining• Increasing the number <strong>of</strong> SMEs targeting the exportmarket in the mineral cluster, and• Achieving global leader status for research inselected sectors.The programme <strong>of</strong>fers:• Funding for projects in the programme’s topic area;• Networking events;• Regional road shows; and• Trips to promote international co-operation.Projected outcomes:• The number and turnover <strong>of</strong> mines will go up;• The strong market shares <strong>of</strong> global machinery andequipment manufacturers and service providers willincrease further;• New, export-orientated environmental know-howwill be generated;• New, export-oriented service know-how will begenerated; and• New business concepts will be created for agrowing sector.Programme sub aims:• Mines that are global leaders in production andenergy efficiency;• Increasing the number <strong>of</strong> SMEs capable <strong>of</strong> export4Mining Journal special publication – <strong>Finland</strong>January 2012
FINLANDGreen miningTekes programme themesGreen Mining contactsMaterial andenergy efficiencyNew mineralresources• Explorationtechnologies• Geomodels andgeodata management• Hi-tech metal resources• Beneficiation and use <strong>of</strong>country rock and tailingsControllingenvironmentalimpactsWork organisationdevelopmentIntelligent and minimalimpact/invisible mining• Innovative processes(mine, quarry, dressing plant)• Automation and optimisation• Chemical/biologicalenrichment techniques• Management <strong>of</strong> process watersMining machinery / equipmentService innovations and new business conceptsValue networksMine / dressingplant pilot projectsKari KeskinenProgramme ManagerTekes (Finnish Funding Agency for Technologyand Innovation) Green Mining - programmeTel: +358 10 605 5843E-mail: kari.keskinen@tekes.fiWebsite: www.tekes.fi/enWebsite: www.tekes.fi/programmes/GreenMiningHarry SandströmGreen Mining project co-ordinator,Spinverse OyTel: +358 400 709899E-mail: harry.sandstrom@spinverse.comWebsite: www.spinverse.comoperations in the cluster;• <strong>Finland</strong> will have globally leading know-how inselected areas;• Globally leading work organisation expertise,perform ance and operating models in the mineralssector;• Developing new operating models betweenequipment manufacturers and other companies inthe mineral cluster; and• Raising the pr<strong>of</strong>ile <strong>of</strong> the minerals sector –Finnishknow-how will be sought after internationally.How can we make the vision come true? Theprogramme is not only funding and implementing <strong>of</strong>selected projects. It is also doing together and learningfrom others. It can be used as an additional instrumentand discussion forum to raise the pr<strong>of</strong>ile <strong>of</strong> themineral sector in <strong>Finland</strong>. It is a good instrument topromote the cross-border co-operation in the Nordiccountries and Barents region. It is for domestic andinternational networking.First projects in the Green Mining Programmehave just started, and we expect that there will bearound 30 projects underway by January 2013.January 2012Mining Journal special publication – <strong>Finland</strong>5
FINLAND<strong>Finland</strong> is European hub for explorationTop: Lappland Goldminer’s Pahtavaara mine in northern<strong>Finland</strong>. Above: a drill rig at Agnico-Eagle’s Kittile mineThe Kujankallio open pit at Dragon MiningFennoscandian ShieldFN Steel Oy AbRaw steelHANNUKAINENFeOutokumpu OyjStainless steelRuukki OyjRaw steelOMG KokkolaChemicals OyCobaltBoliden ABZincLÄNTTÄLiKITTILÄAu2007-HITURANi, CuKEMICr1969-LAIVAAuPAHTA-VAARAAu1996-PYHÄSALMICu, Zn1962-ORIVESIBoliden AB AuCopper1994-2003,Norilsk Nickel2008-NickelJOKISIVUAu2009-HelsinkiKEVITSANi, Cu, PGMSAKATTICu, Ni, PGMSUHANKOPd, PtSOKLIPTALVIVAARANi, Zn,Cu, Co2007-Yara International ASAFertilizersFINLAND is the hub <strong>of</strong> mineral explorationand mine development in Europe.A number <strong>of</strong> new mines have recentlyopened, or are under construction, andabout 40 companies are in exploration.In the latest Fraser Institute mining industry study,<strong>Finland</strong> was ranked fifth in the combined policymineral potential index. In addition to the gooddiscovery potential, <strong>Finland</strong> is regarded as afavourable and safe investment environment.Geoscientific base data is probably the best inthe world, and it is easily accessible via the internetat the <strong>Geological</strong> <strong>Survey</strong> <strong>of</strong> <strong>Finland</strong>’s web pages.These are particularly designed for the mineralsindustry (see Explore <strong>Finland</strong> at: en.gtk.fi/Exploration-<strong>Finland</strong>/).Databases covering the entire country withexceptional coverage and quality include:• High-resolution, low-altitude airborne geophysicalsurveys (40m altitude, 200m line spacing) includingmagnetic, EM and radiationSIILINJÄRVIP, 1979-KYLYLAHTICu, Cocomponents;• Regional till geochemical sampling(one sample/4km 2 );• Seamless bedrock map at1:250,000 scale; and• Detailed databases on mineraloccurrences and ore indications.Datasets are available in digitalGIS form on request, and selecteddatasets are viewable on the GTK’s web page ActiveMap Explorer (http://maps.gtk.fi/gtk/eexpert.asp). Thisweb service provides up-to-date information on landtenure, claim reports, drilling, mines and undevelopeddeposits, mineral indications data, and bedrockage data in <strong>Finland</strong>. Users can zoom to whateverscale required and select various background maps(eg, infrastructure, geology or aeromagnetic data).TAIVALJÄRVIAg100kmPAMPALOAu2009-THE MOST SIGNIFICANT MINES 2011Talvivaara Ni, Zn, Cu, Co, U Talvivaara Mining Co.Kemi Cr Outokumpu Chrome OyPyhäsalmi Cu, Zn Inmet Mining Corp.Kittilä Au Agnico-Eagle LtdHitura Ni, Cu Belvedere Mining OyPahtavaara Au Lappland Goldminers AbJokisivu Au Dragon Mining LtdOrivesi Au Dragon Mining LtdPampalo Au Endomines ABSiilinjärvi P Yara International ASALaiva Au Nordic Mines AbMINES UNDER CONSTRUCTIONKevitsa Ni, Cu, PGM First Quantum Minerals LtdKylylahti Cu, Co Altona Mining LtdMINES IN PRE-CONSTRUCTION PLANNINGHannukainen Fe Northland Resources AbSokli P Yara International ASASuhanko Pd, Pt Gold Fields Arctic Platinum OyLänttä Li Keliber Resources LtdTaivaljärvi Ag Sotkamo Silver ABSakatti Cu, Ni, PGM Anglo American Exploration B.V.STEEL PLANTSOutokumpu Oyj Stainless steelRuukki Oyj Raw steelFN Steel Oy Ab Raw steelBASE METAL PLANTSBoliden AB ZincBoliden AB CopperNorilsk Nickel NickelOMG Kokkola CobaltChemicals OyFERTILIZER PLANTYara International ASAMines and metallurgicalplants in <strong>Finland</strong>“Gold is the maintarget for thelargest number<strong>of</strong> companiesactive in <strong>Finland</strong>”EXPLORATION RAMPS UPIn 2010, total exploration expenditure (greenfield andbrownfield) was about €60 million (US$80 million), a25% increase on previous years. Mineral explorationin <strong>Finland</strong> has historically focused on gold, platinumgroup metals and base metals, although, in addition,silver, iron, vanadium, uranium, lithium, REE, talc anddiamonds were targeted by exploration companies in2011. Activity remains concentrated in the northernand eastern parts <strong>of</strong> the country.Gold growthGold is the main target for the largest number <strong>of</strong>companies active in <strong>Finland</strong>, with a number <strong>of</strong> newprojects set to begin production and mine expansionunderway. Agnico-Eagle Mines Ltd is focusing onenlarging the resource base for its Kittilä mine in thecentral Finnish Lapland. By the end <strong>of</strong> September2011, the mine had produced 109,050oz, withforecast production for the year <strong>of</strong> 150,000oz. Thecompany says that the mine is nowoperating steadily, its next goal is toreduce mine site costs.This will be achieved throughchanges to the mining operationand specific measures such asimproving mill efficiencies andincreasing throughput, andcontinuing the transition toself-mining.Proven and probable gold reserves are estimatedat 4.9Moz from 32.7Mt at a grade <strong>of</strong> 4.6g/t. Results <strong>of</strong>the recent exploration drilling continue to indicatereserve growth, and a feasibility study is underwayregarding a 50% increase in mill throughput.Dragon Mining Ltd is targeting extensions for itsOrivesi and Jokisivu gold mines in southwestern<strong>Finland</strong> and the Kuusamo gold-cobalt-copper projectin the northeast. The company produced a total <strong>of</strong>17,760oz by the end <strong>of</strong> September 2011 from theOrivesi and Jokisivu gold mines. The restart <strong>of</strong>exploration at Kuusamo has resulted in more than a50% increase in the total resources, to almost 3.40Mtat an average grade <strong>of</strong> 4.2g/t Au, and 0.15% Co by theend <strong>of</strong> October 2011.Endomines AB started production from itsPampalo gold mine in January 2011. Pampalo andother gold prospects <strong>of</strong> Endomines in the easternmost<strong>Finland</strong> are typical orogenic gold occurrences ina Neoarchaean greenstone belt. Pampalo produced13,981oz <strong>of</strong> gold by the end <strong>of</strong> September 2011, andthe company maintains its target <strong>of</strong> 19,000oz for thefull year 2011.Lappland Goldminers AB is actively exploring inthe vicinity <strong>of</strong> its Pahtavaara gold mine in northern<strong>Finland</strong>, where it produced 14,842oz by the end <strong>of</strong>September in 2011. The company has been workingon a maintenance programme to reduce costs andincrease productivity at the mine, which temporarilyreduced producing in July and August. In June,Lappland Goldminers completed an underwrittenrights issue with preferential rights for existingshareholders to raise approximately SEK70.5 million(US$10.5 million) after issue costs.Nordic Mines AB is preparing to start productionat its Laiva gold mine in western <strong>Finland</strong> at aproposed rate <strong>of</strong> 118,000oz/y. The company recently6Mining Journal special publication – <strong>Finland</strong>January 2012
FINLANDannounced an updated reserve estimate for theproject, putting proven and probable reserves at12.9Mt at an average grade <strong>of</strong> 1.85g/t Au.In March 2011, the company also secured ahedging deal for 36% <strong>of</strong> the mine’s productionbetween 2012 and 2015 at a gold price <strong>of</strong> €1,049/oz.Base-metal productionIn February 2011, Talvivaara Mining Company plcsigned an <strong>of</strong>f-take agreement with Cameco Corp onuranium obtained as a by-product at the Talvivaaranickel mine. Annual production is estimated at770,000lb U (350t), and Cameco will provide anup-front investment, to a maximum <strong>of</strong> US$60 million,to cover the construction cost <strong>of</strong> the uraniumextraction circuit.Cameco’s capital contribution will be repaidthrough deliveries <strong>of</strong> uranium concentrate in theinitial years <strong>of</strong> the agreement. The agreement stillrequires ratification by the Euratom Supply Agencyand the approval <strong>of</strong> the European Commission andthe permits from the Finnish environmentalauthorities, but commissioning <strong>of</strong> the facility isscheduled for the second half <strong>of</strong> 2012.Meanwhile, nickel output in 2011 at the Talvivaaramine by the end <strong>of</strong> September was 11,319t, up 73%versus Q1-Q3 2010, while zinc production rose to21,291t. Nickel production for 2011 year is expectedto be at least 16,000t. However, the company iscontinuing to conduct conceptual studies relating toproduction expansion beyond 50,000t/y <strong>of</strong> nickel.Inmet Mining Corp’s Pyhäsalmi zinc-copper mineAerial view <strong>of</strong> the Talvivaara mineproduced 10,500t <strong>of</strong> copper and 21,900t <strong>of</strong> zincduring the first half <strong>of</strong> 2011, a -3% and +29% changeto the same period in 2010, respectively.The company says Pyhäsalmi remains on target tomine 1.4Mt <strong>of</strong> 1% Cu and 2.6% Zn in 2011, and toproduce 13,300t <strong>of</strong> copper and 31,900t <strong>of</strong> zinc. Inaddition, in March the company signed a five-yearInmet Mining Corp’s Pyhäsalmi zinc-copper mine: remains on targetsales contract with a customer in the Far East for upto 400,000t/y <strong>of</strong> pyrite from the operation, and nowhas long-term agreements covering sales <strong>of</strong> up to760,000t/y.Meanwhile, Belvedere Resources Ltd’s Hituranickel mine produced 1,057t <strong>of</strong> nickel in the first half<strong>of</strong> 2011. A 5,000m drilling programme was carriedout for the open-pit expansion at Hitura, whereextensions to the open pit to the south <strong>of</strong> its currentmargins could add significantly to the operating life <strong>of</strong>the mine. The company is also entering into a jointventure with REBgold Corp to continue work onBelvederes’ main gold projects, Kiimala andRantasalmi in western and eastern <strong>Finland</strong>, respectively.REBgold has the right to earn up to a 50%interest in a special purpose joint venture company bycontributing expenditures <strong>of</strong> C$6 million over afour-year period. Belvedere completed 6,100m <strong>of</strong>drilling at the Osikonmäki prospect, Rantasalmiearlier 2011. The total inferred resource hasincreased 52% to 244,000oz gold. In addition, afurther 68,000oz has been upgraded to the indicatedwww.normet.fiwww.taminternational.comSOLUTIONS FOR TOUGH JOBSwww.coray.comNOR_110502_imageAd_MMag_178x124.indd 1 02.05.11 16:51January 2012Mining Journal special publication – <strong>Finland</strong>7
FINLANDA planned open-pit expansion at Belvedere’s Hitura operationcould add significantly to the operating life <strong>of</strong> the mineAltona’s Luikonlahti mill refurbishment programme is ontrack for an early 2012 start-upresource category for a total resource <strong>of</strong> 312,000oz.The prospect remains open in all directions.First Quantum Minerals Ltd is also preparing tostart production from its Kevitsa nickel-copper-PGMmine in 2012. Construction <strong>of</strong> the Kevitsa projectwas over 90% complete at the end <strong>of</strong> September, andis on schedule. The reserves at Kevitsa wereincreased in March 2011, and nowstand at 160.6Mt at an average grade<strong>of</strong> 0.3% Ni, 0.4%, Cu, 0.23g/t Pt,0.17g/t Pd and 0.12g/t Au.Kevitsa has an initial annualproduction target <strong>of</strong> 10,000t <strong>of</strong> nickeland 20,000t <strong>of</strong> copper, but thecompany says the increase in orereserve means that at the currentlyplanned processing rate <strong>of</strong> 5Mt/y, themine life would be extended to over30 years. Approvals are being soughtto increase the initial annualthroughput capacity by 50% to 7.5Mt.The ongoing extensive resource drillprogramme continues to deliverencouraging results.Altona Mining Ltd is building a copper-cobalt mineat Kylylahti, within the historic Outokumpu district.The Kylylahti mine is anticipated to produce550,000t/y <strong>of</strong> copper-gold ore which will be trucked43 km to the company’s Luikonlahti concentrator fortreatment.The concentrator was being refurbished during2011 to provide an initial production capacity <strong>of</strong>“AngloAmerican’sdiscovery <strong>of</strong> theSakatti depositwas publishedat the 8thFennoscandianconference lastNovember”550,000t/y to produce 8,000t/y <strong>of</strong> copper metal and8,400oz/y <strong>of</strong> gold in copper-gold concentrate aswell as 1,600t/y <strong>of</strong> zinc in zinc concentrate. TheLuikonlahti mill refurbishment programme was about80% complete end <strong>of</strong> September 2011 and on trackfor an early 2012 start-up.Western Areas NL, meanwhile, has released thefirst JORC-compliant resource for itsTalvivaara-type polymetallic deposit atRautavaara, eastern <strong>Finland</strong>. The blackschist-hosted global resource isestimated at 34.26Mt at a grade <strong>of</strong>0.19% Ni, 0.38% Zn, 0.10% Cu and0.012% Co. The company is alsodrilling and surveying otherTalvivaara-type and copper-cobalttargets in eastern <strong>Finland</strong>.Anglo American’s discovery <strong>of</strong> theSakatti copper-nickel-PGE depositwas published at the 8th FennoscandianExploration and MiningConference (FEM 2011), in Levi,Finnish Lapland, last November. Thefollowing is taken from the abstract <strong>of</strong> the presentationgiven by Jim Coppard, Anglo American’s regionalhead <strong>of</strong> exploration, and from the company’sinformation sheet.The Sakatti deposit is located in the Finnish easternportion <strong>of</strong> the Lapland Greenstone Belt. It is asignificant grassroots discovery with the eastern part<strong>of</strong> the deposit sub-cropping under a thin glacial tillcover. Mineralisation is ultramafic-hosted and consists8Mining Journal special publication – <strong>Finland</strong>January 2012
FINLANDThe Kevitsa mills being constructed at First Quantum Minerals<strong>of</strong> disseminated, vein, semi-massive and massivesulphides which plunge as a coherent body over 950mat 45° to the north-west. Mineralisation at present is“open” to the west, north, south and at depth.The current exploration drilling programme isfocused on delineating the boundaries <strong>of</strong> themineralised body with a 100m step-out programme.Infill drilling required for the definition and estimation<strong>of</strong> a mineral resource will occur at a later stage.The deposit was discovered 2009 using conventionalexploration methods. The area was initiallyselected using regional geological correlationsand thoroughly assessed utilising the excellent basedata generated by the <strong>Geological</strong> <strong>Survey</strong> <strong>of</strong> <strong>Finland</strong>.A number <strong>of</strong> additional airborne survey systemswere flown and ground follow-up using Base-<strong>of</strong>-Tillgeochemical sampling together with Anglo American’sLT SQUID TEM geophysical system refined andprioritised the targets.Other commoditiesOutokumpu Chrome Oy’s Kemi chromium mine hasannual output <strong>of</strong> 1.3Mt. A project to double themine output as part <strong>of</strong> ferrochrome productionexpansion is ongoing, and will make Kemi the biggestunderground mine in <strong>Finland</strong>.Northland Resources SA’s ongoing feasibilitystudy on the Hannukainen iron ore-copper-goldproject continued during the first half <strong>of</strong> 2011.A preliminary economic assessment completed2010 year suggests the project could produce2Mt/y <strong>of</strong> Fe concentrate at approximately 69% Fe,over a 14-year mine-life beginning in 2014.Capital costs are estimated at US$371 million.The company has also submitted an applicationfor mining concession for the deposit to theFinnish authorities.In February 2011, Nortec Minerals Corp releasedthe first NI 43-101 compliant resource for theLäntinen Koillismaa (LK) PGM-cipper-nickle projectin northeast <strong>Finland</strong>. The resource contains twolayered intrusion-hosted deposits (Kaukua andHaukiaho) which combined contain an estimatedresource <strong>of</strong> 32.8Mt at a grade <strong>of</strong> 0.14% Ni, 0.21%Cu, 0.01% Co, 1.1g/t Pd, 0.18g/t Pt and 0.07g/t Au.In August, Nortec announced it is to form a jointventure with Otterburn Ventures Inc to developthe LK project. Otterburn has an option to earn upOrespecimenfromSotkamoSilver’sTaivaljärvito an 80% interest in the project for payments <strong>of</strong>US$20.5 million.Elsewhere, Sotkamo Silver AB continues to drillthe Taivaljärvi silver deposit in the Archaean Kuhmogreenstone belt, eastern <strong>Finland</strong> which has anestimated resource <strong>of</strong> 4.6Mt at 113g/t Ag and 0.3g/tAu, while Nordic Mining ASA has discoveredanother lithium pegmatite deposit near its existing1.3Mt lithium resource in western <strong>Finland</strong>. The newdeposit is called Outovesi and has a resource <strong>of</strong>0.29Mt at 1.5% Li 2O.Diamond exploration in <strong>Finland</strong> is also ongoing,but very little has been reported during the past fewyears. Most recently, Karelian Diamond Resourcesplc has been drilling within the Kuhmo kimberlitecluster and exploring elsewhere in the eastern<strong>Finland</strong>. The company reports having previouslyrecovered six macro-diamonds and 60 microdiamondsfrom a 100kg sample from one <strong>of</strong> theKuhmo kimberlite pipes.The global leader in analytical dataservice for the mining industryWE SPECIALISE IN:• Fast turnaround time for assaying and geochemicalanalyses• New lower detection limits for geochemical analysis• Updated Webtrieve on-line and state-<strong>of</strong>-the-artwebdata access system• ISO 9001:2008 and 17025:2005 accredited analysismethods• New: Processing core photo to produce continuousdown hole photo file; web based and includinganalytical data• Metallurgical analyses at ALS Ammtec• Digital mineralogy services with MLAContact us to discuss a cost effective solution to yourexploration analysis requirementsPiteaalspi.lab@alsglobal.com+46 911 65800Nordic area locationsOutokumpualsot.lab@alsglobal.com+358 50 401 2822www.alsglobal.comKirkenesalskk.lab@alsglobal.com+47 91 306 911January 2012Mining Journal special publication – <strong>Finland</strong>9
FINLANDA front runner in technology and serviceFINLAND is definitely a leading country inmining technology and producing miningmachinery in the world. Names likeMetso, Outokumpu, Outotec, Larox (part<strong>of</strong> Outotec), Rautaruukki , SandvikTamroc (part <strong>of</strong> Sandvik Mining and Construction),etc. are known worldwide as pioneers, and alwaysrelated to high-tech mining.The service infrastructure is at a good level in theFinnish mineral sector, allowing increasing outsourcing<strong>of</strong> the mine development functions. This isespecially the case for sampling, measurement, analytical,environmental expert services and mine siteplanning, which have climbed to a world-class level.One <strong>of</strong> the Green Mining Programme’s aims is toencourage and support Finnish SMEs in internationalisation.Metso: Developing sustainablemining solutionsMining is today the biggest single customer segmentfor Metso. The equipment company is well knownthroughout the global mining industry as a provider <strong>of</strong>not just equipment, but a complete <strong>of</strong>fering, includingplanning, process knowledge and services packages.Today, sustainable mining operations includinghealth, safety and environmental issues, are amongthe key challenges in the mining industry worldwide.Metso, together with its mining partners, isYour Supplier <strong>of</strong> Drillingsand GeoservicesDrillingsRaiseboringGeophysicsDrillcon ABwww.drillcon.seGeologyRock MechanicsSuomen Malmi Oywww.smoy.fideveloping processes that consume less energy andare safe both for the miners and the surroundingenvironment.The company is striving to improve its sustainableminingprocesses, which calls for closer co-operationwith the mines and the technology suppliers. In manycases, mines really want to concentrate in their corebusinesses, and collaborate, for example, processdevelopment-related issues with their key partners,says Jari Riihilahti, who is in charge <strong>of</strong> technologymanagement and research atMetso’s Mining and ConstructionTechnology division.Vertically placed grinding millsare a good example <strong>of</strong> Metso’sproduct development, leading tosignificant energy savings incomminution. Typically,energy-consuming milling is doneat horizontal position.Through a consistent productdevelopment, Metso builtvertical, Vertimill brandedgrinding mills which have warmly welcome by themining industry worldwide.Metso has a global competence network thatworks together to serve our customers. For example,the company’s Process Technology and Innovationgroup is seeking to provide total process integrationand optimisation services for the mining industry.The main location is in Brisbane, Australia, but it ispresent and operating globally on every continent.These research and consulting services includeoptimisation <strong>of</strong> the mining (drill and blast), comminution,flotation/leaching and dewatering processes forboth greenfield and existing operations. The mainobjectives are to reduce operating costs, increaseproduction rates and improve overall process, energyand water efficiency, targeting to a more sustainableoperation.Metso has developed several, innovative systemsfor minerals processing studies. SmartTag is aninnovative system for marking and tracking ores fromthe mine through to the processes. SmartEar is anacoustic-monitoring system designed mainly toprevent damage and minimise wear to mill linerscaused by the impact <strong>of</strong> grinding balls.SmartSAG is a dynamic model for AG and SAG“One <strong>of</strong> theGreen MiningProgramme’s aimsis to encourageand supportFinnish SMEs ininternational isation”Metso’s vertical, energy-saving Vertimill ® grinding mills havebeen highly successful among the mining industry worldwide.The SmartTag ore tracking system developed by Metso’sProcess Technology and Innovation organisation helps themines to accurately study their material flows Photos: Metsomills. It uses the ore feed rate, feed size distributionand water flow rates to estimate power consumption,charge level and pr<strong>of</strong>ile, charge radius, slurry poolformation and mill product size distribution.www.metso.comOutotec: Sustainable use <strong>of</strong> Earth’sresourcesOutotec develops and provides technology solutionsfor the sustainable use <strong>of</strong> Earth’s natural resources.In 2010, 72% <strong>of</strong> Outotec’sorders were classified asEnvironmental Goods andServices, according to theOECD definition. Thanks totheir energy efficiency, Outotectechnologies are rated as BAT(Best Available Technology) andmoreover they also enablereducing emissions.As the global leader <strong>of</strong> theminerals and metals processingtechnology, Outotec hasdeveloped innovative technologies that have totalledinto over 2,000 installations around the world. Thecompany also <strong>of</strong>fers innovative solutions for theindustrial water treatment and the utilisation <strong>of</strong>alternative energy sources. Outotec’s solutionsinclude proprietary technology, feasibility studies,basic and detail engineering, process equipment,automation, project implementation and life-cycleservices.With a history <strong>of</strong> over 100 years in two majormetal companies – Outokumpu and Lurgi Metallurgie– Outotec has become a major force in the globalmining and metallurgical industry. Outotec has furtherstrengthened its leadership in mining and metalindustries catering for both ferrous and non-ferrousindustries. The heritage <strong>of</strong> expertise, innovativenessand experience has translated into superior industrybenchmark technologies and solutions that benefitour customers worldwide.Collaboration with Outotec provides reliability andbenefits by:• Guaranteeing licence to operate;• Ensuring sustainable operation with latest and besttechnology;• Increasing pr<strong>of</strong>itability with customised solutions for10Mining Journal special publication – <strong>Finland</strong>January 2012
FINLANDBackground photo: Jari Eklundthe customer specific needs;• Saving time and money with fast and reliable projectimplementation;• Including performance guarantees;• Increasing availability, maintainability and safety <strong>of</strong>operations; and• Involving lifelong support, technology developmentand services.Outotec pr<strong>of</strong>essionals incorporate sustainabilityinto everything they do with the following benefits:• More metals and other end products from rawmaterial;• Safe working environment;• Less energy and water consumed;• Less waste and emissions; and• Lower operating costs.www.outotec.comNormet OyNormet is one <strong>of</strong> the market leaders. It has almost50 years <strong>of</strong> experience in the development,production and sales <strong>of</strong> equipment and vehicles forunderground mining and tunnel construction. Inaddition, it provides services for maintenance andoperating processes throughout the entire life-cycle<strong>of</strong> its products.With over 7,500 delivered units, it has become one<strong>of</strong> the market leaders in its product segments.Normet believes that its success comes especiallyfrom customer satisfaction. Its business vision focuseson fulfilling its customers’ needs by exceeding theirexpectations.Partner networking, product quality, environmentalissues and safety are main priorities for Normet. ItsOutotec’s grinding mills“The serviceinfrastructureis at a goodlevel in theFinnishmineralsector,allowingincreasingoutsourcing<strong>of</strong> the minedevelopmentfunctions”Normet’s UtimecLF 600 AgitatorOur 2007 geotechnicalstudy recommended a5° increase to the pitslopes <strong>of</strong> Capstone’sMinto copper-gold mine inthe Yukon. Estimatessuggested this wouldreduce waste stripping by~4.5 million tonnes.Fast forward to 2011. Thepit is completed and weno longer need to talkabout estimates. Weknow what happened.This is what$16 million looks likeAs our rock engineeringpredicted, the steeper, stablepit slopes saved ~$16 millionin stripping costs.Ask us how we can add valueto your next Nordic project.Exploration, feasibility, duediligence..se.com>1,000 pr<strong>of</strong>essionals • > 40 <strong>of</strong>fices • 20 countries • 6 continentsJanuary 2012Mining Journal special publication – <strong>Finland</strong>11
PROFILEEndomines extends gold explorationThis company’s flagship Pampalo mine has been in operationfor nearly a year, while other assets come on boardAbove: aerial view <strong>of</strong> the Pampalo mine, underground and the processing plant (below), and assaying at the mine laboratory (right)ENDOMINES AB is a Nordic mining andexploration company with its firstoperating gold mine having startedproduction in February 2011. ThePampalo gold mine lies in eastern <strong>Finland</strong>,on the Archean Ilomantsi greenstone belt, orso-called Karelian Gold Line.The company owns mining concessions and claimsfor all the currently known gold deposits along this40km-long gold-critical belt, which has similarArchean geology to the well-known Southern Crossbelt in Australia.Endomines’ total proven and probable ore reservesare 1.8Mt with an average gold grade <strong>of</strong> 3.6g/t (or210,000oz), with 150,000oz at Pampalo, and 60,000ozin deposits near Pampalo. The company also controlsother gold and industrial mineral properties at variousstages <strong>of</strong> development elsewhere in <strong>Finland</strong>.Results from an exploration and drilling campaigncarried out during in mid-2011 have confirmed theexciting potential <strong>of</strong> the Karelian Gold Line. Significantgold-bearing intersections have been obtained fromseveral targets, including a newly discovered targetlocated about 20km south from Pampalo, where3.07g/t <strong>of</strong> gold over 28m was intersected. Results arestill pending from several other targets.The next few years will see a strong focus onfurther exploration campaigns along the KarelianGold Line and other exploration targets in FinnishLapland. Endomines will also consider furtherstrategic opportunities, with its main focus on <strong>Finland</strong>and the other Nordic countries.Financing for the Pampalo project was finalised atthe end <strong>of</strong> 2009, and construction <strong>of</strong> the Pampalogold mine began immediatelythereafter. The construction phasewas completed at the end <strong>of</strong> 2010, andthe project remained on schedule andwithin budget throughout. “I am proudto look back on these last two years:we achieved what we had set out todo in late 2009, and Endomines hasbeen successfully transformed froma junior exploration company to amining company in full production.What is interesting about Endomines,I believe, is that we can financeexploration from our own cash-flow,”says Markus Ekberg, CEO <strong>of</strong>Endomines.“It is a tribute to my colleagues at Endomines andour contractors, whose dedication and hard workmade these achievements possible in record time. Ouraim was to start production at Pampalo quickly with aview to capitalising on the prevailing high gold price.”Pampalo delivered its first gold concentrates toBoliden’s Harjavalta smelter in early February 2011and the ramp-up to full production was completed inmid-2011. The processing plant is now operating at acapacity <strong>of</strong> over 260,000t/y (15% above planningcapacity), and the mine produced 617kg, or 19,800oz,<strong>of</strong> gold during its first year <strong>of</strong> operations. This wasslightly above expectations <strong>of</strong> 550-600kg for the firstyear. Targeted gold production will be 800-900kg/y asfrom this year.In addition, a feasibility study is under way with aview to substantially increasing capacity and bringingthe satellite deposits near Pampalo into productionover the next few years. These satellite deposits all liewithin trucking distance <strong>of</strong> the Pampalo processing“Pampalodelivered itsfirst goldconcentratesto Boliden’sHarjavaltasmelter in earlyFebruary 2011”plant, and the surrounding road infrastructure isexcellent.The Pampalo gold mine employs about 80 peopleon-site, both own personnel and contractors. MrEkberg says: “There is strong government support fordeveloping industry in this remote region, and themining industry in the Nordic region suffers from ashortage <strong>of</strong> qualified personnel. Therefore, around70% <strong>of</strong> our personnel has been hired locally andtrained by Endomines under a local governmentemployment subsidy programme. We believe that thisfocus on hiring local personnel and on our training andapprenticeship programmes encouragelong-term retention in the future.”Endomines’ business practicesand mining operations are based onsustainable principles and onminimis ing the adverse impact on theenvironment. The Pampalo processingplant does not use cyanide or acids inthe process, there are no harmfulmaterials in the tailings, and there isno acid mine drainage.Mr Ekberg concludes: “I believethat we can look forward to anexciting future for Endomines. Wenow have low technical risk with ourfirst mine in production, we have modern andenvironmentally-sustainable technology, combinedwith the significant potential <strong>of</strong> our gold explorationtargets. In addition, all <strong>of</strong> our mineral assets arelocated in <strong>Finland</strong>, ranked as one <strong>of</strong> the mostfavourable jurisdictions for the mining industry.”Endomines AB shares are quoted on the FirstNorth Premier segment in Stockholm (ENDO.ST),and the company will be applying for a listing onStockholm’s main market this year.CONTACTSEndomines ABHovslagargatan 5B, SE-111 48 StockholmTel: +46 8 611 66 45 Fax: +46 8 611 47 30Website: www.endomines.com12Mining Journal special publication – <strong>Finland</strong>January 2012
FINLANDThis Paakkolacrawler-mounted450m-long bridgestacker conveyorwas installedat Talvivaara.Far left: coresampling at Smoy<strong>of</strong>fering consists <strong>of</strong> solutions for the followingunderground customer processes:• Concrete spraying and transport;• Explosive charging;• Lifting and installations;• Underground logistics; and• Scaling.The company’s head <strong>of</strong>fice with Group and R&Dfunctions is in Iisalmi, <strong>Finland</strong>, and manufacturing iscarried out in Iisalmi and in Santiago de Chile. To reactbetter and faster to changes in its customers’environments and needs, Normet has established adistribution and service network with headquartersinSwitzerland and sales and support facilities in23 locations in 16 countries around the globe.www.normet.fiPaakkola ConveyorsPaakkola Conveyors supplies modern and reliableconveyor systems for mining and basic industries. Itspecialises in project management, provision <strong>of</strong>conveyor systems with advanced technology,modernisation <strong>of</strong> existing systems and supply <strong>of</strong>aftermarket services. It operates globally withinternational customers. However, the mining industryis growing rapidly in <strong>Finland</strong>, especially in Lapland.Paakkola is an innovative and agile partner. Its focus is:• Serving clients in mining and heavy resource industries;• Providing complete solutions for bulk materialhandling;• Smooth material flow, Conveyor Care and PaakkolaDesign;• Its agile way <strong>of</strong> working, the ‘Paakkola Way’.www.paakkola.comYOUR TECHNICAL SERVICES PARTNERCORE VIEWERCORE BOX PHOTOSGEOCHEMICAL DATACORE VIEWERwww.alsglobal.comRIGHT SOLUTIONS RIGHT PARTNERJanuary 2012Mining Journal special publication – <strong>Finland</strong>13
FINLANDSuomen Malmi OySuomen Malmi Oy (Smoy) is the Finnish branch <strong>of</strong> theDrillcon Group (www.drillcon.se), and claims to bethe leading European geological contracting company.Established in 1935, Smoy is now a contractingcompany specialised in geological sampling <strong>of</strong> the soiland bedrock, and in geological surveys with moderngeophysical equipment. The company’s main market isin prospecting for mineral deposits, in the miningindustry and in engineering geology. Sales amountedto €12 million in 2010, and the average number <strong>of</strong>personnel was 130. Smoy’s main sector is drillingservices, including:• Core drilling on the surface;• Underground core drilling;• Percussion drilling (soil samples, chip samples,securing <strong>of</strong> rock surface);• Installation <strong>of</strong> ground water monitoring wells; and• Technical measurements in drill holes.Geophysical services consist <strong>of</strong> surveys on the surfaceand in drill holes:• Versatile field surveys;• Processing and reporting <strong>of</strong> results; and• Measurements with precision GPS.www.smoy.fiScanmobile – shorter time to mineMine On-Line Service Oy from Espoo, <strong>Finland</strong>, starteddeveloping a new service for speeding up explorationprojects in 2007. “The idea behind the new servicewas to analyse the mineral samples, ie the drill cores,drill cuttings, till and gravel samples directly fromtheir PROFILEboxes at exploration and mine sites. Time spentScanmobile drill-core scanningfor sample handling, shipping and analysis was to becut to minimum. Moreover, the analysis informationreporting to be was to be fast and easy to use,”explains Ilpo Auranen, CEO <strong>of</strong> the company.The solution is the Scanmobile moving laboratory,combined with RemoLog remote logging internetbrowser service. The Scanmobile is built in a utilitytruck. It deploys to exploration and mine sites andprovides geochemical analysis on mineral samplesutilising a purpose-built XRF-scanning elementalanalyzer developed by a Finnish company IMAEngineering Ltd.The cores are analysed with this non-destructivemethod in core boxes several hundred metres perday, typically before they are logged. The RemoLoganalysis report is available for the logging geologist onnext day via the internet.The report includes geochemical analysis <strong>of</strong> thedrill cores with graphics and data tables with an abilityto view individual boxes and complete drill holeinformation. Also the accurate core box photos andclose up photos are included. The quick and remoteaccess to the analysis data enables geologists to logthe cores from remote location thus increasing theirwork efficiency.The Scanmobile is operating today in <strong>Finland</strong>,Sweden and Norway. Mine On-Line Service is todayplanning expanding the business to North and SouthAmerica, Australia and Africa.www.mols.fiGolder: a global player with a local faceMINING companies all over theglobe recognise Golder Associatesas a reliable and trustworthycompanion in mining projects.A little less well known perhaps isits nearly two decades’ presence and its environmentaland geotechnical expertise in <strong>Finland</strong>, the currentfocal point <strong>of</strong> mining activity in Europe. Golder’sFinnish and global teams can jointly provide the bestavailable technologies complying with the strictestenvironmental and business requirements.The new Mining Act 2011 emphasises more thanever the environmental, land use and health and safety(H&S) issues <strong>of</strong> mining. The permitting process willrequire various environmental assessments as well asinteractive stakeholder engagement throughout theprocess. A mine will usually require an environmentalimpact assessment.Many <strong>of</strong> <strong>Finland</strong>’s ore deposits lie in areas rich alsoIvaloLaplandin natural beauty and conservation value. In suchareas, the fragile environment must be consideredsince the early stages <strong>of</strong> the project. Golder is familiarwith these requirements, such as drilling in winteronly (when the ground is frozen) to avoid damagingthe surface soil <strong>of</strong> protected wetlands. Furtherspecialist studies such as NATURA 2000 assessmentsare <strong>of</strong>ten required. Golder is helping its clientsunderstand and cope with these needs.Golder’s experience covers the project life cyclefrom pre-feasibility to operations phase, fromprospecting to mine closure. With its GoldSETdecision support tool, it is easy for clients to considereconomical, technical and social factors jointly. In themine design and operations planning phase, its localteam specialises in mine waste and water management,including groundwater protection. During allstages, an important task is the assessment <strong>of</strong>potential risks, including impact analysis andqualitative risk calculations with risk mitigation plans.Finally, the success <strong>of</strong> an operation is about peopleand safety. Mining H&S rules will come into play in themine design and operations planning stage. Mine H&Srisk assessments based on the Finnish H&S regulations,hazard and operability analyses (HAZOP) withassociated management systems, other safety andemergency plans as well as industrial hygienemeasure ments (eg radiation, hazardous agents) arevital in this area.Permitting compliance monitoring gives clients theindependent monitoring and reporting required.Enthusiastic about the booming mining industry in<strong>Finland</strong>, the Golder team and partners can help clientswith their sustainably successful mining businesses.CONTACTSGolder Associates OyRuosilankuja 3E,00390 Helsinki, <strong>Finland</strong>Tel: +358 9 5617 210Website: www.golder.com • www.golder.fi14Mining Journal special publication – <strong>Finland</strong>January 2012
Outokumpu’s stainless-steel plant at Tornio is one <strong>of</strong>the giants <strong>of</strong> Finnish industryFINLANDLabtium OyLabtium Oy is a fully independent and impartiallaboratory company established in 2007 after longhistory <strong>of</strong> being part <strong>of</strong> the <strong>Geological</strong> <strong>Survey</strong> <strong>of</strong><strong>Finland</strong> and tracing back to the 1940s.The Finnish state is the sole owner <strong>of</strong> the company.Labtium provides laboratory, testing and expertservices for its customers, freeing them fromnon-core testing and monitoring obligations. Thecompany aims to be the leading commercial researchlab in the Nordic countries, providing not only analysisservices, but also related expert, training and designservices in three main business areas. Labtium <strong>of</strong>fers:• <strong>Geological</strong> research, exploration and mining industry;• Environmental research; and• Materials and process industry.Labtium is the only laboratory in the Nordiccountries providing locally a full range <strong>of</strong> samplepreparation and analytical services for explorationand mining based on best practices accepted globally.The laboratory has been accredited since 1994 andprobably the first laboratory in the world withaccreditation scope covering also the commercialgeological assays. Labtium is a forerunner in adaptingautomation to preparation <strong>of</strong> geological samples.Furthermore, Labtium can design and implementlaboratory services for mines with the miningcompany serving as the operator or outsourcing allservices, either on-site or through its comprehensivelaboratory network in <strong>Finland</strong> (Espoo, Kuopio,Rovaniemi, Outokumpu, Sodankylä).www.labtium.fi/enLabtium and Ahma provide laboratory and project-management services, respectivelyAhma Engineers LtdAhma claims to be the biggest independent andprivately owned full-service project managementcompany in <strong>Finland</strong>. The company’s “comprehensiveservices” cover everything from project planning andenvironmental impact assessment to site supervision,deployment and acceptance inspections. Ahma drawsup the project plan, maintains timetables and budgets,manages procurement and subcontractors andproduces contracts and reports.Ahma has been managing mine projects in <strong>Finland</strong>,Sweden and Russia.High quality, solid expertise, total reliabilityand a customer-driven approach are the cornerstones<strong>of</strong> Ahma’s business, and it says it “helps ourcustomers manage all project-related risks”. Eachproject and customer is unique, says the company,which handles demanding public buildings and publicinfrastructure projects as well as project managementfor the facility planning, implementation anddeployment <strong>of</strong> power plants and industrial production.In <strong>Finland</strong>, Ahma has branch <strong>of</strong>fices in Helsinki,Tampere, Oulu, Rovaniemi and Lappeenranta. Thecompany has foreign <strong>of</strong>fices in Moscow and Kiev. Inaddition, Ahma serves its customers on a projectspecificbasis around the world. The company’s staffhas extensive project management experience in 30different countries.www.ahmainsinoorit.fi/ahma_enLapin Vesitutkimus OyThe company’s services include environmentalconsulting, environmental monitoring and laboratoryservices, and infrastructure engineering design.LVT specialises to mining industry environmentaland infrastructure problems’ solving. Services include:• Environmental permit procedures;• Environmental and social impact assessment;• Environmental management systems;• Environmental contribution in feasibility studies;• Water management planning;• Investigations and reports on natural conditions;• Environmental monitoring and reporting;• Technical planning for mine lay-outs;• Infrastructure design for feasibility study;• Mining waste management plan;• Detailed planning for construction; and• Mine closure planning.www.lvt.fi/?lang=enVTT - 70 years <strong>of</strong> technology for business and societySolutions forGreen Miningfrom VTTRead more: www.vtt.fiContacts: Rainer Raitasuo, tel. +358 20 722 6956, rainer.raitasuo@vtt.fiTechnologyandmarketforesight•Strategicresearch•Productandservicedevelopment•IPRandlicensing•Assessments,testing,inspection,certification•Technologyandinnovationmanagement•TechnologypartnershipJanuary 2012Mining Journal special publication – <strong>Finland</strong>15
FE MNext event: October 29-31, 2013 • LaplandFennoscandian Exploration and Mining– going from strength to strengthHeld every other year, FEM has become one <strong>of</strong> the most important events <strong>of</strong> its kind in EuropeSince its launch in 1998, FEM hasattracted a huge number <strong>of</strong>delegates and exhibitors.Amount100090080070060050040030020010001998 1999 2001 2003 2005 2007 2009 2011DelegatesInternational delegatesNationalitiesOrganisationsExhibitorsFrom board-level decision-makersto exploration managers,geoscientists, consultants and seniorgovernment <strong>of</strong>ficials looking foropportunities to attract FDI to theircountries, all come for world-classpresentations and an opportunity tonetwork with the good and the great<strong>of</strong> the mining world.2011’s FEM was no exception.Mining Journal was impressed withthe extremely high-quality <strong>of</strong> thepresentations given – particularlythose from Agnico Eagle and AngloAmerican.The winners <strong>of</strong> the prestigiousFennoscandian Mining Awarddemonstrate FEM’s commitment torewarding individual achievementwith awards going to Pr<strong>of</strong> Gabor Gaalfor being “…an inspiring individualwho has successfully combined aninnovative research and teachingcareer with project generation andmanage ment…” as well as the AngloAmerican Exploration Team led byJim Coppard and Peter Walker for hisachievements with ScandinavianMinerals.The next FEM will be held onOctober 29-31, 2013 in Lapland andyou can register your interest inattending the event by visiting thewebsite, below.fem.lappi.fi
FINLANDGTK forms the bedrock <strong>of</strong> research<strong>Finland</strong> has a solid foundation <strong>of</strong> mining-relatedresearch institutes and educational establishments<strong>Geological</strong> <strong>Survey</strong> <strong>of</strong> <strong>Finland</strong>GTK produces and disseminates geologicalinformation for industry and society to promotesystematic and sustainable use <strong>of</strong> mineral resourcesand the national geological endowment.The <strong>Geological</strong> <strong>Survey</strong> <strong>of</strong> <strong>Finland</strong> (GTK),established in 1885, is a state research institute under<strong>Finland</strong>’s Ministry <strong>of</strong> Employment and the Economy.GTK serves as <strong>Finland</strong>’s national geoscientificinformation centre and participates actively in internationalresearch and project work throughout theworld. GTK employs 570 permanentstaff <strong>of</strong> whom 300 are qualifiedpr<strong>of</strong>essionals in various aspects <strong>of</strong>geology, environmental sciences,geophysics, mineral processing andinformation technology.Around half <strong>of</strong> GTK’s geologicalstaff is involved directly with mineralsector activities, including researchand development in exploration,mapping and mineral processingtechnology.The minerals sector forms themost important customer group towhich GTK provides confidentialexpertise. The GTK’s services include excellentgeodata and expertise in Fennoscandian economicgeology, as well as, customer-tailored explorationservices, including cutting-edge mineralogical, mineralprocessing and GIS laboratory services on a“The mineralssector forms themost importantcustomer groupto which GTKprovidesconfidentialexpertise”Above left: GTK’s mineral-processing laboratory.Above: GTK Active Map Explorer provides detailedexploration information on the internetconfidential basis. In all business operations, GTKapplies modern management tools as well as itsInternal Quality System (based on the ISO 9001standard). Most exploration and mining companiesin <strong>Finland</strong> are using the GTK’s services.Today, GTK contributes to numerous domesticand international R&D projects, andis the leader <strong>of</strong> the €17 millionintegrated Promine project, whichhas 30 partners from 11 countries.GTK aims to further develop itsrole as the key provider <strong>of</strong>geoscientific expertise for public andprivate stakeholders. Its vision is toevolve into a European centre <strong>of</strong>excellence for mineral resources andtheir sustainable use, and toconsolidate its role as the nationalgeoinformation center. GTKmaintains a careful balance <strong>of</strong>resources between its primaryresponsibilities for public domain mapping and geodatamanagement, technological and conceptual researchand development as well as provision <strong>of</strong> commercialservices to both public and private sector clients.Of the current annual operational budget <strong>of</strong>€46 million, more than €14 million is derivedfrom external earnings. Pricing and accountingstructures for consulting and contract activities aremanaged separately from public-sector duties andresponsibilities.VTT Technical Research CentreThe VTT Technical Research Centre is an impartial,non-pr<strong>of</strong>it, organisation acting independently inrespect <strong>of</strong> its customers. The VTT Group is thelargest public applied research activity in northernEurope, with a staff <strong>of</strong> 2,900 people and a turnover€280 million. VTT is actively networking with industry,other research institutes and universities globally.In the mineral sector, VTT works actively invarious fields <strong>of</strong> technology and services to fostersustainable, energy-efficient and smart miningtechnology. This includes new enrichment and wastetreatment concepts, efficient water process solutionsand new water treatment technologies.VTT also works together with state-<strong>of</strong>-the-artcompanies by promoting digitalisation, virtualtechniques, sustainability and human-technologyInternationally Awarded as the Best Mining Law Firm in <strong>Finland</strong>January 2012Mining Journal special publication – <strong>Finland</strong>17
FINLANDBackground photo: Eeva AnundiActivity atAgnico-Eagle’sKittila mineUniversities <strong>of</strong> applied sciencesIn addition to higher university education, annuallysome 8,000 students start their studies in several <strong>of</strong><strong>Finland</strong>’s universities <strong>of</strong> applied sciences. TheUniversity <strong>of</strong> Applied Sciences Bachelor <strong>of</strong> Engineeringdegree equals 240 credits and typically takesstudents four years to complete.The degree studies include basic, pr<strong>of</strong>essional andfree-choice studies as well as a compulsory practicaltraining period and thesis. The growing need <strong>of</strong>human resources in mining sector in <strong>Finland</strong> has beentaken into account and a new programme tailored“Annually some 8,000students start their studiesin several <strong>of</strong> <strong>Finland</strong>’suniversities <strong>of</strong> appliedsciences”particularly for mining industry, leading to qualificationin Mining and Mineral Engineering, will be launched2013 jointly by the Eastern and Northern Universities<strong>of</strong> applied sciences in Kajaani, Rovaniemi and Oulu.During the new programme students will specialisein mining technology and deepen their competence inthe opportunities provided by <strong>Finland</strong>’s bedrock, andpermit application procedures and environmentalissues.Additionally, Central Ostrobothnia AdultEducation Institute provides tailored re-educationprogrammes to mining companies to train adultsalready in work life for mine and concentration plantworkers. The training includes theory and hands ontraining in the client companies.Photo: Anton KallandKey mining contactsPekka SuomelaChief Inspector <strong>of</strong> MinesMinistry <strong>of</strong> Employment and the EconomyTel: +358 10 606 3727E-mail: Pekka.suomela@tem.fiWebsite: www.tem.fiTuomo AiraksinenCEO, Invest in <strong>Finland</strong>Tel: +358 10 773 0302E-mail: tuomo.airaksinen@investinfinland.fiWebsite: www.investinfinland.fiOther contactsTerho LiikamaaChief Inspector <strong>of</strong> MinesFinnish Safety and Chemicals Agency (Tukes)Tel: +358 10 605 2117E-mail: terho.liikamaa@tukes.fiContact to mining authority in TukesTukes, PL 66, 00521 HelsinkiTel: +358 10 6052 127E-mail: miningauthority@tukes.fiWebsite: www.tukes.fi/enThe Finnish Safety and Chemicals Agency (Tukes) isthe mining authority referred to in the new MiningAct <strong>of</strong> <strong>Finland</strong>, which entered into force in July2011. The previous authority was the Ministry <strong>of</strong>Employment and the Economy. Along with the Act,Tukes started a new <strong>of</strong>fice in Rovaniemi toconcentrate most <strong>of</strong> the related authority tasks inNorthern <strong>Finland</strong>. Nevertheless, Tukes also <strong>of</strong>fersmining authority services at its <strong>of</strong>fice in Helsinki.Tukes enforces compliance with the Act andmanages other duties laid down in the legislation,making decisions on reservation notifications, oreprospecting permits and gold panning and miningpermits, while the government <strong>of</strong> <strong>Finland</strong> decideson mining permitsrelating to theproduction <strong>of</strong>uranium orthorium.Dr Pekka A NurmiResearch Director<strong>Geological</strong> <strong>Survey</strong> <strong>of</strong> <strong>Finland</strong> (GTK)GTK is the national geological organisationresponsible for geoinformation, mapping, R&Dand services with particular focus on the mineralssector clients.E-mail: pekka.nurmi@gtk.fiWebsite: www.gtk.fiMinerals sector webpages:http://en.gtk.fi/Exploration<strong>Finland</strong>/Exploration opportunities: explor@gtk.fiGeodata: info@gtk.fiServices: services@gtk.fiHeadquarters:Betonimiehenkuja 402150 Espoo, <strong>Finland</strong>January 2012Mining Journal special publication – <strong>Finland</strong>19
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