Good News from Mon, 25 January, 2010:

Outokumpu’s Kemi mine has enough resources for hundreds of years to come

New research promises Kemi mine a future of hundreds of years of mining. New research promises Kemi mine a future of hundreds of years of mining.

The mineral resources in Kemi mine may turn out to be significantly greater than earlier estimated. There may be enough mining resources for hundreds of years to come. According to the seismic research report by Geological Survey of Finland the intrusion including Kemi chrome ore extends to the depth of 2-3 kilometres, possibly even to 4 kilometres. The report also indicates the possibility that the chromitite layer extends to at least 2-2.5 kilometres, or even deeper.

The ore reserves of Kemi mine have been estimated to be about 37 million tons. Additionally, the amount of mineral resources is about 87 million tons, and they have been estimated to extend down to a depth of 1 kilometre. Previous estimations indicated that with present mining volumes the ore reserves and mineral resources together would last for 70-80 years. Based on the new information there is a possibility that there are enough mining resources for several hundreds of years even with the planned doubling of the annual production volumes.

- The news about the opportunity to continue mining operations in the future is received with great pleasure. We have all the readiness and plans for extending our mining operations and for doubling our ferrochrome production, says CEO of Outokumpu, Juha Rantanen.

Kemi mine is the only chromium mine in the European Union area. The chrome deposit was found in 1959 and production started in 1968. The mine produces chromite concentrates to be used as raw-material in Outokumpu's ferrochrome smelter. The annual production volume of Kemi mine is about 1.3 million tons of ore.

Outokumpu employs approximately 7 500 people in more than 30 countries. The Group's head office is located in Espoo, Finland.