Boliden Expands Electronic Scrap Recycling

Regulatory News:

Boliden (STO:BOL)(TSX:BOL) is investing SEK 1.3 billion and trebling its electronic scrap recycling capacity. The investment increases the capacity to 120,000 tonnes per year and thereby strengthens Boliden's position as one of the world's leading recyclers of electronic scrap.

The combination of the increased use of electronic products, shorter product lifecycles and stricter legislation governing the collection and processing of electronic waste means that the global availability of electronic scrap is increasing, and that the availability of electronic scrap now exceeds the capacity for recycling it.

The investment, in which a Kaldo furnace at the Rönnskär copper smelter is the biggest component, will increase the facility's electronic scrap recycling capacity from the current level of 45,000 tonnes per year to 120,000 tonnes. The expansion will be implemented in 2010 and 2011 and is expected to come on line at the end of 2011/beginning of 2012. Reflecting major synergies with the existing copper production process a pay-back of less than four years will be achieved.

"A growing part of the raw materials used in metal production in future will come from scrap products. The expansion takes advantage of our extensive experience of processing electronic scrap and will enhance Rönnskär's commercial potential in a growing market," says Roger Sundqvist, General Manager at Rönnskär.

The Rönnskär smelter has, for many years now, been a technological leader in the field of recycling metals from electronic scrap, and it is now one of the world's biggest players in the field. The margins in electronic scrap recycling are higher and the profitability's volatility lower than in traditional copper production.

The expansion is in line with Boliden's view of metals' eco-cycle in a sustainable society. By increasing Rönnskär's capacity, Boliden is helping ensure that more electronic scrap is recycled, rather than being sent to landfills.

Boliden is a leading European metals company whose core competence is in the fields of exploration, mining, smelting and recycling. Boliden's main metals are zinc and copper. Other important metals extracted and refined include lead, gold and silver. The operations are conducted in two Business Areas: Mines and Smelters. The number of employees is approximately 4 400 and the turnover amounts to approximately SEK 28 billion annually. Its shares are listed on NASDAQ OMX Stockholm, segment Large Cap and on the Toronto Stock Exchange in Canada.

www.boliden.com

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Contacts:

Boliden
Svante Nilsson, SVP Business Area Smelters
tel: [phone]
or
Rönnskär
Roger Sundqvist, General Manager
tel: [phone]
or
Boliden AB
Marcela Sylvander, Director Group Communications
tel: [phone]
or
Frans Benson, Investor Relations
tel: [phone]