Boliden AB (publ) (BOL) Earnings Call Transcript & Summary

[Presentation] Ladies and gentlemen, I'd like to welcome you to Boliden's 2021 Capital Markets Day. My name is Olof Grenmark, and I'm Head of Investor Relations. Today, we want to share with you our vision to be the world's most climate friendly and respected metal provider. We will have presentations by our CEO and President, Mikael Staffas; and his whole group management team. Please participate by asking questions. There will be plenty of times for you to ask questions, and I will make sure that they get forward to the speakers. At Boliden, we always put safety first. And as you know, it was our intention to have a live event here today with physical guests. Unfortunately, we couldn't do that. And for those -- for the few people that are present in this room, we've already had a safety demonstration. But for all you listeners out there, please make sure you know where your closest escape exit is. By that, it's a pleasure for me to welcome our President and CEO, Mikael Staffas. Mikael, the stage is yours. Welcome.

Thank you, Olof. I would also like to welcome all of you to be here. It's a pity that I can't have you here in the room, we're actually in the same place now as we were 2 years ago when we had our last Capital Markets Day. But it's, of course, better to have you in there and to be able to talk to you then to not have this presentation at all. I'd also like to point out today is St. Patrick's Day. I know that, that is important for some of you, it's also important for us. We have operations in Ireland and everybody out there who has some Irish background, congratulations to all of you. I would like to start first to talk about what we're not going to talk about. We're not actually today going to talk about the value of our metals so much. You all know that our metals are absolutely fundamental for everybody else to be able to achieve their targets, to be able to achieve their ratification and achieve their goals regarding sustainability, but you all know that. So we're not going to talk so much about exactly why you need copper, nickel and zinc and so on in order to provide electrification and new services. I will also not talk so much about the fact that we are in Europe and as Europe is short of all these metals and that Europe will need to secure the metal base that they have. As you know, with the vaccination -- a vaccine discussion that's going on right now, you all know what pressure there is in Europe generally to be dependent on the outside world and not be able to control your own destiny. And you know that for many of these metals that we're talking about today, the self-sufficiency in Europe is maybe 20%. And I'm not going to talk about that today, almost at all. I will also not talk so much about all the work that's been done during Boliden's 100-year or soon 100 year history. We'll talk a little bit about it indirectly, both our smelters and mines, we'll summarize a little bit what wasn't done in the last 24 months since the last Capital Markets Day. And of course, also when talking about sustainability, we'll come back to what we've been doing in order to have the very good starting position that we have, but we're not going to focus so much on that. We're also not going to talk so much about any kind of distant future, 25-year out kind of targets. We will talk very practically what we're doing right now and what we will do in the next few years. You will today meet the whole management team. Actually, my job today is to keep a low profile you have a chance to meet me a little bit more often every quarter at least. But the rest of the team, you don't see that often. And this is your chance to both listen and have a chance to ask questions to the rest of the management team that I have here today. Just a few comments on the management team itself. It is now well formed, and I have formed -- put together a team since I took over the responsibility, that is my team. I'm extremely proud of this team has worked extremely well, both as individuals and also together. It is also important that this is a small team. We're only 5 people in the top management group of Boliden. To me, that's a very important point, and I'll talk a little bit more about governance in a few moments. But to me, it's an important point to make sure that you have a small and efficient group that can really take responsibility and drive things forward and don't have big staff functions, overly sized that sometimes you might feel safe having. But at the end of the day, we all know that they are both costly and there also means that we don't make decisions as quickly and swiftly as you need to do. We also have a team of very relevant experience, even though some of them are new to Boliden, they've also worked in our industry or in similar industries during many years, and together, we have a strong position. In the introductory film, you got a little bit of sense of the values work that we've done. Sometimes people don't take this seriously, and I can also say that 3 years ago, when I took over the helm, I think we had a lot of versions of visions and missions and statements around. We decided it was time to make this clear and make sure what we really stood for. And we have really made clear that our purpose is to provide the metals that are essential to improve society for generations to come. And that's something that we worked by. You saw that in the film in the beginning, and you'll see that coming back. Regarding our vision, I just want to point out that our vision is to be the most climate friendly, not to become, I think we already are. Maybe there's somebody who wants to dispute that with us, well, then maybe 1 or 2 of us, but we're clearly leading in the world. And our ambition is to remain there and to stay there. We're going to talk about how we will do that, both to be the best and the most respected metal provider in the world. For this, we have our 3 value words that we've chosen with lots of discussions. We've actually made this a relatively big democratic discussion within the company to make sure that we get the words that we really want to cover. That we have care that we care for each other, the environment, our customers, the products and so on. We have the courage to speak up when things are wrong. We have the courage to be the strong and to be right. And we also had to take the responsibility for what we're doing. We're taking responsibility for each other for the health of our employees, for the health of our contractors and also for the environmental environment around. And also, we'll talk a little bit more about that. I will spend just 1 moment on this exhibit. I think many of you have seen it before because it's not brand new, but I think it's important to understand when you talk about the culture of Boliden that we are, in a way, an organization that can cover many different areas. And in order to be a good worker in this organization also to understand it, you need to be able to work across this. In some way, we're a small organization, 6,000 people is not that much. On the other hand, we're very large, we're 1 of the largest companies on the Stockholm Stock Exchange. We have big investment programs that we're running all the time, and we are the biggest or second biggest base metals company in Europe. We're local, we're very local, we work in very remote areas. We don't work fly-in fly out. We actually have people and our managers living at the places where we have our operations. And of course, we're a very important local participant there. At the same time, we're global. We're part of a global market, we have global investors that invest into us. And we take part in the global market, both for securing supplies to our smelters and for selling our metals. We are in 1 way, very conservative company. Safety is extremely important. We want to make sure that we don't do anything wrong. You have to be very secure. And also we'll talk a little bit about our safety record as we come here, but I will always steal 1 of the key punch lines. We now have 13 years of fatality-free operations, which is unique in this industry and I think in any industry. And I usually point out that if our employees were to behave like the average Swede or the average Fin on their spare time, there's typically about 1 person dying in accident in a spare time every second year. And now we have 13 years of fatality-free operation. It's not always been like that because we have developed, but for the last year, it has been very successful. At the same time, as we're conservative, we're also cutting-edge technology wise. You know that there are certain parts of optimization, digitization, where we are really in the forefront of working around those areas, and we're very happy to do that, and we're very happy to make sure that we are both conservative and very progressive in advance at the same time. For us, this is not like in the U.S. politics is something that you have to be either or you can actually be both. We also have, and I alerted that a little bit in the beginning in terms of our governance. We have a very decentralized governance model. And for us, that is extremely important. We have, even though we've -- in the last few weeks, had a little bit of issues with COVID, and we'll talk about that. But generally, we've been able to handle COVID very well. We've been able to handle many other issues very well. And it is because of our very decentralized model where we have very good and skilled and experienced people in the right positions and with a very high amount of power, also accountability being high, but also a high amount of power to be able to run our 10 operations the way that we do, they have a long relevant history. And I'd also like to make the point here, even though it's slightly joke, we had the discussion this morning, that yesterday, for those of you who are football fan, you will have seen that Zlatan Ibrahimovic which is coming back to the Swedish National team. As Zlatan sent out a tweet or on Instagram or whatever he did, saying that God is back. We will never be able to do that because it's not important to us. We are a team. We are a team that works together, and we're a team that's not dependent on individual persons around this, and we have local operations that will work very fine. Even if the central head office would disappear for a while. I also must be able to take the point here when talking this 1 that everybody sees that in this group of 10 people that are actually the ones who are running our operation 3 are women. I think this is also unique to this industry, and we're happy that it is that way, and we have very good people generally working on this level. So what are we going to talk about today? Well, we'll talk about the sustainability areas. We will talk about how we will develop from having a very strong sustainability position in terms of most of our metals. We will talk about that competitive start where we have already today. We will talk about the world, where we think, first, the verified low carbon copper launched. That we will be able to sell and that you will be able to then eventually get a to help whoever you're buying your copper things from, we'll be able to see that it's pooled inside, and we'll see how that will work out. We have, by the way, decided we're not going to wait for some central bureaucrats to decide on specific ways to do this, we have set our own standard, and we're very happy for everybody else to follow. Now we're starting from a very good starting point. We probably are already very good. But it doesn't mean that we're in any way satisfied were very clear and ambitious target to reduce our CO2 footprint, with 40% until 2030. And we'll talk a little bit about what we're doing to make sure that happens. We will also talk about that we have a new mineralization, Strömfors. This mineralization is maybe not the biggest one, it's still -- it's small, but it's interesting, it has very high values. But it also shows that we continue to develop the Boliden Area, that has been around now for almost 100 years. And that's for the last 20 years has been 6 years horizon until shutdown. We can prove that we can continue to develop that one further and further. We'll also give you an update on some of the other prolongations that we're working with. We'll talk about the Rävliden and the Kristineberg update and what we're really doing there. We'll also talk about Tara Deep and give you an update of what's happening there. We'll talk about the Odda project, and I think you'll get a good sense of why we're so keen on it already, when you see the sustainability footprint of Odda today. And then when you know that we can have an even better sustainability going forward. Combined with what we feel is attractive economics, you'll understand why we think this is such an interesting project. And finally, Håkan will also go through our financial position. The financial position is strong. Continues to be strong. And here, maybe our conservative side is showing through the most in the sense that we're sticking very hard to the targets that we worked with for a long time. So with that, everybody, I wish you all welcome. It's great to have you all here. I hope that you will have a very good day today. Thank you.

Mikael, I'm happy to say that we have got several questions here over the web that we will wait for those. We will have time for questions for Mr. Staffas and the rest of the group management. At the end of our session. We will have a group Q&A then. Instead, it's a great pleasure for me to announce the next speaker, Åsa Jackson, Senior Vice President, Corporate Responsibility. Åsa, the stage is yours, welcome.

Thank you very much, Olof, and good day to all of you. I'm very happy to be here today to update you on our journey on going from strong sustainability performance to world-class sustainability performer. I will also include in my presentation some fresh examples of how our CO2 position looks like in comparison with the industry. But let's start with our care for people. As always, on top of the agenda in Boliden, healthy and safe workplaces are crucial to running successful business. It's not only key for our employees' and contractors' well-being, but also important for our productivity and profitability. As Mikael already mentioned, we are quite unique in this industry with no fatalities since 2008, but we still have accidents. As you can see, we have had some ups and downs in our LTI rate the last couple of years. But if we go back 10 years, we have decreased significantly between 50%, 60% in accidents, both for employees and our contractors. And we have had a constant reduction of the severity in our accidents. And I strongly believe -- sorry -- the right slide is there now, I'm sorry for that. We strongly believe in what we are doing when it comes to proactively work with strengthening the safety culture and behaviors. And I'm convinced that we will reach our target of 0 accidents. We have proof of that from 0 months throughout the company and super low LTI months also in the company or quarters. COVID-19 has been a huge challenge and a lot of hard work. Thanks to our decentralized, responsible leadership. Our well-established procedures and processes and our new ways of working through this pandemic, we have been able to maintain overall strong performance. We have some units, though, that has been affected more. And you've seen also that from our release on Monday this week. Zero harm to people and care for people is not everything we focus on. The same goes also for the environment. And now I have the technique with me. As you know, from following us, we have very low levels when it comes to emissions to air, discharges to water, same thing as with the -- on the safety side, if we go even longer back, these figures are even higher when it comes to the reduction. On the water side, for instance, it's 90% reduction of discharges the last 10 years. We are working with improving our water treatment facilities, effective gas handling processes, high degree of recycling process water. We will continue to improve in these areas. And while we're doing that, we are gathering our forces around the climate challenge. We already have a very strong position when it comes to CO2 emissions. And let me share some data with you, as I promised in the beginning. If we start looking at nickel, we have a graph here, the source is Wood Mackenzie. And it shows the CO2 emissions, the CO2 in tons per ton produced metal, in this case, nickel. The Boliden staple here consists of nickel from Kevitsa, Harjavalta. And then it's an average figure for refinery included on that for comparison reasons. And you can see that approximately 1/3 of the global average is the Boliden nickel. I also brought with me a couple of zinc curves also provided to us from Wood Mackenzie. On the zinc side, we have them divided in mines and smelters. So to the left, where we have the zinc from our 3 zinc mines, we have Garpenberg and Boliden, very, very far to the left. It's almost, so we can't see it. Our Tara mine are just below the global average, and that is very much dependent on the energy mix in Ireland. Moving to the right, in that graph, we have our zinc smelters, Odda and Kokkola. And Odda is it's almost invisible. It's the very tiny blue line on 0 level, and Kokkola is also very low. So looking at this, where we are -- if we combine this, maybe on 15% of the global average, you can say that we are already world-class when it comes to zinc. But we see that we still have room for improvements. So from that strong position in CO2. We have put -- you heard it from Mikael, you've heard it many times probably by now, but we have a climate target set and that is to reduce our CO2 intensity by 40% until 2030. Base year 2012 till now, we have reached approximately halfway. And to ensure that we are achieving this target that we have set up. We have put the climate program in place. The most important thing for the mine side is the electrification, energy efficiency is key for smelters. And just let me give you some examples of what we are doing and what we have done already. So you also see in the picture here, the electric trolleys in both Aitik and Kevitsa. We have installed heat recovery units for underground ventilation in Garpenberg. We have moved from oil to steam in the nickel concentrate dryer in Harjavalta. And this year, we are also running production trials in Harjavalta and also in Rönnskär for bio coal as reduction agent. Our R&D departments are working intensively also in this area. So there will be more to share in the future. Stefan and Daniel will also come back and give you some examples on this. Another very high priority in Boliden is, of course, our dam safety and responsible tailings management. Let me just start with sharing some news, if you haven't already seen it. As from last week, we are members in the International Council on Mining and Metals, ICMM. The purpose of ICMM is to strengthen social and environmental performance in the industry. And we are looking forward now to be part of that to be able to both contribute and learn from all the other members. We are committed to implement the global industry standard on tailings management. According to the set time lines, this is an area where we will work together with ICMM, we think that we know that we can both contribute and, as I said, learn, and we will keep you updated on the progress around that as well. You can follow our ESG performance and development in our annual ESG disclosure. And to clarify, hopefully, how we disclose ESG, I put together this slide. As you know, there are a lot of initiatives, a lot of standards and more are coming in this area. We are very much looking forward to 1 common international standard for ESG reporting. That would save us a lot of time, all of us, I think, and until then, we are reporting according to the global reporting initiative, GRI, which is the most common and used standard. We are following the 10 UN Global Compact principles. Since 2019, we are also reporting according to TCFD. And now with the membership in ICMM, we will also add the ICMM principles. And we have just finalized the GAAP analysis towards sustainability accounting Standards board to see what would be required from us to also comply with that standard. And talking about ESG reporting, the specific CO2 reporting, I will also go through just shortly. In our reporting, the ESG reporting, we include the Scope 1 and scope 2. Scope 1 is the direct emissions coming from our own mines and smelters operations. Scope 2 comes from its indirect emissions, comes from the electricity that we use in our operations. And that is the common way of reporting the CO2. Then we have Scope 3, and that is emissions, indirect emissions outside of our control. And that could include, for instance, the production of external raw material that we're sourcing, production of explosive that we're using, transportations, et cetera. And when we talk about the full carbon footprint for our green metals in Boliden, we also include the Scope 3. And Daniel will come back a little bit more around this when he talks about our low carbon copper. And then we have the carbon -- full carbon footprint calculated for that. So let me now summarize what I think is our quite bold sustainability agenda. As Mikael stated already in his introduction, and I said in the beginning of my presentation, we are committed to world-class sustainability performance. Today, I have focused on health and safety on the CO2 challenge and climate program, dam safety. But of course, there are also very high on the agenda, and we take a huge responsibility when it comes to reclamation of our decommissioned mines. We have ambitious targets when it comes to biodiversity to increase biodiversity in our regions. We support long-term development of our communities and people, we secure the competencies that we need for the future, and we promote diversity. We also work with strengthening the responsible business throughout the value chain. And I look forward to keep you updated on our progress in remaining. Also, as Mikael said, a leader in green metals to achieve the vision that we have set up. Thank you.

Thank you very much. Ladies and gentlemen, that opens up our first Q&A session during this Capital Markets Day. And we've got many questions. And once again, do not get discouraged if you don't get your question right now, we will have a Q&A session at the end as well. And also, the first question comes from a U.S. investor, and it reads like this. What is the key reason why Boliden has such a good sync CO2 footprint? What is the key reason to that?

When it comes to our low carbon metals, I would say that we have good energy mix. We have made investments in technology and effective processes. And we are continuously working with -- following the modern technology and introducing that. We also have relatively good geology. Yes.

Our second question comes from Daniel Major. He works for UBS. And his question is, how do you define carbon to intensity? How do you define that? CO2 intensity, how do you define that?

The CO2 intensity and what I showed in this graph are the CO2 emissions in kilos or in tons per produced metal in kilos or tons.

Got you. And then there's another question on the CO2 target, and it's from [indiscernible] he works for [indiscernible]. The first question from him is, is your CO2 emission target, putting your business in line with the 1.5-degree target from the Paris agreement?

Our CO2 target is well aligned with both the Paris agreement and also the ambitions that we have within European Union.

Okay. And the follow-up from [indiscernible] developing is why does Boliden not work with science based targets?

We're not doing that now. We are looking into that. And I know that there are many of our peers and other companies that have come a little bit further in that. And we're striving for a continuously learning. So this is an area we're looking into. So we'll see. We're not doing it now.

I see. And his final question is, have you made any gap in analysis to identify the gaps now when you join ICMM in English, what will be new to Boliden in this perspective now when Boliden joins ICMM?

When applying for the membership in ICMM, there's quite a thorough assessment process. So we came out quite well in that process and in that assessment. But still, there are some minor gaps that we will close during this year.

This is a question regarding the same theme, and it's from Amos Fletcher. He works for Barclays. Do the ESM -- ICMM tailings standards differ meaningfully from Boliden's current standards?

I would say that it's not such a big gap. We have already come very far when it comes to dam safety and having very high dam safety standards. It's more related to governance, I would say, those gaps that we might have now.

We have a question from a gentleman named Valo. And you mentioned your vision to be the most climate friendly company in the world, quite a strong statement. What kind of KPI will you use when you measure that? And how does the journey look towards reaching that, please?

I think I summarized quite a lot around that in my presentation, CO2 is definitely 1 of the KPIs. And we are -- we also have in the vision, as Mikael said, and you've seen to be not only the most climate friendly, but also the most respected metal provider in the world, and we will make sure that we have relevant KPIs in place that we can also be transparent around and show -- to show our progress towards our vision.

He also has a follow-up, and that is what is your ranking today? And when do you expect to be ranked as #1 from this perspective?

There are -- as there are a lot of reporting initiatives within ESG, there are also a lot of rating institutes and we are following the ratings, and we come out quite good in the ratings from the different ratings institutes. And as they are different from each other, same way as the reporting, we are in different rankings from the different ranking companies, but in top in most of them. And we're learning from what we read and get in the reports. Sometimes, it's just that we haven't disclosed enough information for the rating institute due to to see our performance, so we improved by being better in our reports. And sometimes there are, of course, things that we need to improve. So we are on top in most of the ratings. But of course, we want to be #1 everywhere. So that's what we are. That's our ambition, and that's what we're striving for.

And here's another question from an investor who wants to be anonymous. What is -- coming back to your CapEx targets, what is the key measure? What is the key thing that Boliden will do to achieve this. If you were to highlight 1 thing, please.

For now, it's the CO2 target.

Excellent. Well, ladies and gentlemen, we have plenty more questions for Mrs. Jackson, but we will take that at the end. So we will move on. And it's a great pleasure for me to announce the next speaker. Mr. Stefan Romedahl, President, Boliden Mines. Welcome, Stefan.

Thank you very much, Olof. It's a great pleasure to be here talking about the mines again. And as you can see on the headings, new opportunities to extend our reserves. It's not just that we have been able to extend our reserves during the years. We have now also built up a quite good potential when it comes to the resource side. And have a really interesting stuff to share with you later on. But before I do that, let's take a look back what's all happened since last Capital Markets Day, starting with the highlights. We should -- we had 3 expansion projects ongoing, and we have delivered on 2 of those 3, Garpenberg are up and running on 3 million ton, Kevitsa final part of last year was up on the capacity level of 9.5 million ton. Unfortunately, we haven't been able to deliver the 45 million ton pace in Aitik, yet. But I will come back to Aitik later on in my presentation. Kylylahti mine, we have mined the last ton in Kylylahti in November last year. We have done the management team and the team in Kylylahti, they have done a tremendous job to do this in the safe way. So it's all credit to them. But now we are starting to -- the reclamation work in the Kylylahti mine as well as we have put the mill in Luikonlahti on care and maintenance. We have continued to increase our automation in more or less all of our mines. And we are building new trolley lines, for example, in Aitik. When it comes to the metal production and concentrate, we have been quite stable over the time. And being both copper metal and zinc metal, as you can see on the graph to the left. And we have gradually increased the throughput in our mills. And what has that taken us on the competitive side in the mining industry. Let's take a look on the cash cost curve. Starting with the copper cash cost curve. Here, we can see that we have been able to move Aitik towards from the fifth percentile 2010 and to the [ better quarter ] on the 2020 curve. Kevitsa wasn't in operation 2010, but they are on the 7th percentile on the 2020 curve. Going over to zinc mines, we can see that we have been able to do the same kind of journey for Garpenberg and Boliden Area. Tara, unfortunately, are struggling at the wrong side of the curve with a bit of a challenge there. I will come back to that later on when I talk about the Tara Deep. But what have -- what's made us so good to actually move the operations towards the left side of the curve to the right side. What's the base for that? And I think it's a combination of things. First of all, I think the expansion projects that we have been running have been a great success. As well as we have really good organization teams on all sites, working hard every day. But also, we have had a really good exploration team. And the exploration that we have done in these areas have been very, very successful. So let's take a look on the exploration. We are focusing on the areas where we do have our existing operations, both in Finland, Sweden and Ireland. And these have been a success for us for a very long time. We have gone into improve the way we are working with the union companies as well as the joint venture. If you are in Norway is such an example as well as Buchans in Newfoundland in Canada. But on this slide, I think the most important part is down to the left. The diagram, the light blue is the reserve life in 2010, the dark blue is a reserve life to 2020. And the thing here is that we have been able to double the production in Aitik and Garpenberg. But at the same time, we have been able to extend the reserve life. And now both of those operations have a reserve life of 30 years. I think that's a quite impressive work. When it comes to Kevitsa, they have a reserve life of 13 years. And then we have our challenges, that's Boliden Area and Tara. But as you can see on the curve, we have been able to keep the same level of reserve lives since 2010 to 2020. And we have done that by mining a year and add-on another year when it comes to the reserve. And in Tara -- case of Tara, we have actually been doing a bit better than that. But the exciting thing here now is that we have good potential around our resources in both Boliden Area and Tara. And let's start to talk about Boliden Area and Rävliden project. The Rävliden resource is now up to 8.4 million ton. It's very close to the existing Kristineberg mine. We will include the Rävliden mineralization into to Kristineberg. That will strengthen the life of mine plan for Kristineberg as well for the combined life of mine plans for Boliden Area. And it will actually bring Boliden Area into the next decade. So this is very good news. But we're still planning a Board decision around this. We expect that Board decision to come in the Q2 this year. Well, we have got that decision, we see that we should be able to get up to full utilization of the Boliden mill in 2024. And on the pitch to the right, you can see the Kristineberg mine, and you also see the position of the ore body in Rävliden. And the red line in between is actually a possible solution for electrified trolley drift for transportation of the ore from both Rävliden, but also can be used for Kristineberg. As you know, Kristineberg have a quite high OpEx basically based on that have long distance to transport the ore. So this will strengthen the Kristineberg life of mine plan with a big jump there. So we really look forward to that. But that may be the most exciting thing for Boliden Area today is the new discovery of Strömfors. And this is really, really interesting now, I would say. Because if you look at the 2.6 million ton or 2.59 million ton is not that big yet. But you should remember that the first intersection hole was drilled in November '19. And then we have been focusing on Strömfors and have that high on the prioritization. We have increased the pace in every part of the exploration work. And during 2020, we was able to get up to 42 holes with 26,000 meters of drilling. And the calculation, resource calculation is really fresh. It's less than 2 weeks old. So this is really new. And as you can say, it's polymetallic content here. So we have several base metals and gold and silver, for example, and it will be a high-value per ton. But we also have some contents of arsenic, antimony and mercury. So we are looking into a different kind of process to really be able to make a good concentrate on this going forward. But this is, as I said, in a very early stage, and it's very interesting, and we will continue to have a high pace when it comes to the exploration in Strömfors. And another thing with Strömfors is that its location, is located just 4 kilometers from the mill in Boliden Area. And as Mikael mentioned in the beginning, we have a quite long history. And there was where the company was founded in 1924. So 4 kilometers from home, I would say, we find this new exciting mineralization. And it's still, of course, open in several directions, and that make it so promising. And with a great potential going forward. So this is, for me, at least, very interesting and exciting thing to work with. If we make it 10x bigger to 26 million ton, we come into Tara Deep because that's the number that the resources Tara Deep for the moment. And if you look at the graph to the right side of the picture, they can see that we have taken it from 10 million ton to 26 million ton over a 5- year period. And I hope you realize what the achievement that is, it's a brilliant job done by the exploration team around Tara. And the reason for -- by saying that is that it's 1,500 meters deep depth and all the drilling that this calculation are based on drills on surface. We have started the first drilling from the exploration drift, but we haven't got any results from that yet. So I think that they have done an absolutely fantastic job with this. And if you relate the 26 million ton level, to the existing production we have in Tara, it's about a 10-year production. I think it's very important for us now to be able to grow this even further. And let's say that we should be able to double it. Then I want to go back to the cash cost curve that I was talking about when Tara was struggling on the wrong side of the curve. This can be a real good potential for us to move Tara to the right -- to the left side of the curve or to the right side of the curve. However you want to put it. So this is very exciting as well. And mentioning Boliden Area and Tara here is where we have had the challenge with R&R, but we can see possible things coming up here now on the resource side that is very interesting. And that also gets us to the strategy around Tara Deep because it's very important that we will be able to bridge the old Tara production into the new Tara Deep. And I think that we are quite committed to do that. And as -- if we can continue mining Tara as long as possible, give us more time to actually move Tara towards left on the curve. So this is good things, I would say. And as you can see also the resources have increased in grades when it comes to zinc, that's also a good thing. If I leave the exploration going into production, starting with Aitik. We can say that we haven't reached the 45 million ton pace, as I said in the beginning, we had some challenging last year, both vehicle and also have talked about the COVID situation, and it's like that for everyone I guess, and we do have had some influences from that on the production in Aitik. But we have also some other issues last year. We had some issues with the availability of shovels as well as trucks. We are working on that, of course, and we also had some challenges with the water management from the bottom of the pit especially around winter condition. And the reason for that is we are taking out the final benches in the bottom of the pit. And we have a quite high water pressure there. And that, in combination with winter climate make it a bit difficult. But as I mentioned in the beginning, we are driving to get to 45 million ton as quick as we can do that. We have been, for several years now, been mining over the reserve average grade in Aitik. And now it's time actually that we will come into a period of time where we will mine beneath the average reserve grades. For how long time? Yes, it will be several years, as I mentioned on the slide here. And if you want to be more exact, it's a 6 to 8-year period. That's a range. And of course, we are working with the plans all the time to improve them, but that's how it looks like today. When it comes to efficiency, it's very important for Aitik when it comes to the electrification, not just for efficiency thing, of course, but also for the CO2 reduction like also was talking about. So we have action provision around this. And we now have trolley line up to 1,600 meters, and we will continue to build and the goal today is to have 3.8 kilometer trolley line in a year or 2 from now. AHS, Autonomous Haulage System will also be important. We're pending a Board decision around this. But hopefully, we will get this in the Q2. And then we will gradually implement Autonomous Haulage System in Aitik. And that will help Aitik with the productivity going forward. When it comes to Liikavaara, Liikavaara is satellite pit that's included into our today mining plans. We have had -- we will have the first say from the Environmental Court in the end of next month. So it could be good to have the eyes on that. And hopefully, we will get the possible to mine Liikavaara. It's -- Liikavaara placed just 3 kilometers from the main Aitik crusher. So it will be a very low CapEx involved in open up and drive Liikavaara, we will use equipment from Aitik. When it comes to major permit renewal, 2024. Here, we have done a really extensive work, I would say, with an application, and we will put this application into the authorities this year. And then it will take a few years to get this approval. But we needed 2024 to be able to continue. And normally, it's a 10-year in between the renewals that we need to do. So it's good to let you know that, that's in process. If we go to the next expansion, operation, Garpenberg, I mentioned that they are delivering on 300 -- 3 million ton, and if they have a stable production, so they are doing really well. We do think that Garpenberg have an extra gear. But the production permit is 3 million tons. We can't mine more than that now. But with the efficiency project that we have in our pipeline in Garpenberg we can see that we should be able to use the existing operation with a very limited CapEx to get up to an increase of 3 -- 10% to 3.3 million ton in the 2 to 3 next coming years. But that also pending, of course, an approval of this new production permit level. The application for that was put into the authorities last year. And hopefully, we get this new permit approved this year. Looking at the graph to the right, you can see that we have increased automation when it comes to drilling. And that also get other consequences that we have increased the quality of the holes. So it's not that much redrilling any longer. So all the curves is going in the right directions. Leaving Garpenberg going into Kevitsa. Kevitsa was up running on 9.5 million ton, which is a design capacity the last 6 months, last year. And so they have delivered the extension project in a good way. And now we are looking to stabilize the production. And I think the operation in Kevitsa [ knew ] that but we will also work with improvements of course, electrification is 1 of them. We will build trolley lines as we have in Aitik, we will do that with the start this year. It was -- the plan was to actually to do it last year, but we pushed that a bit ahead based on the corona situation. So -- but that will come. And the potential in stage 5 is there, of course, but we are working with evaluation of this pushback. Before coming to my last slide, I just want to remind you about the permits that is pending for us. Aitik as I mentioned, it's Liikavaara waiting now first instance decision and next month, we had a major permit 2024. Garpenberg production level, hopefully, we get this year and then we can increase production, as I mentioned. And then we have the Boliden Area. Application to change existing environmental permit for Kristineberg to include Rävliden into that, and we will put that application in this year. When it comes to Laver, this is a big disappointment. Mikael already mentioned this. But we had it for additional review of the government decision. We think that it was a wrong decision, of course, and that we should have Natura 2000 permits before we got mining concession. That it's not -- that can't be right in a way. So this is important for us, but it is also important for the mining industry in Sweden, I would say. So this is -- we will keep Laver in our portfolio because we will mine it sooner or later. Now we're coming into the last slide, the summary, key success factors to drive further performance. We will focus on safe and stable production. We will continue with the efficiency programs when it comes to optimization and electrification. And this is from the production point of view, when it comes to -- sorry, social and legal license to operate, the sustainability part. I think this is an area where we need to work on several levels. We are a European mining company today. And this is very important to work on the European level, national level and the local level. So social and legal license to operate will be important. We will also put in money into the research and development of waste management as well as reclamation techniques. This is what we are doing now. We think that, that's also a very important area. And of course, we have to follow our activity plan when it comes to reduce of our CO2 emissions, and that's in all our business units. And then the final point, exploration. We will continue with this success story that the exploration team for us have bring to us for several years. And we have been really successful, I would say, to work with it in a way that bringing value to the company. We will continue to that, and we will continue to develop our strategy around new companies as well as joint venture. Thank you very much.

Thank you, Mr. Romedahl. Ladies and gentlemen, that opens up our Q&A session for mines. And we have, as always, plenty of questions here, and the first question comes from Denmark. From Mrs. Meller at [indiscernible]. The company -- the question goes like this. The Strömfors, what does Boliden actually expect to find and which amounts? Can you please tell us how big do you expect this to be?

Unfortunately, I can't tell you that because I don't know. What I do know is that this is a very early exploration project. But we have put in a lot of efforts to make it grow as quick as possible. And I think it's very interesting because if you're talking about geologists, and you know that it's just on the other side of the road from the old Boliden ore body, why haven't we found it before. The reason is that the geologists have been very successful with bringing in old history together with your physics. They have challenged the way we was looking for mineralization in the Boliden Area. And we have actually signed this in a surrounding geology -- surrounding, that we normally don't look into. So this opened up even further opportunities around Boliden as such, even if we have been there and explore for the last 96 years. So -- but I can't tell you, say, how big this will be. I have no clue, but it's open in several directions.

Got you. Next question comes from Luke Nelson. He works for JPMorgan. And the question is regarding Rävliden and the question goes like this. Is this just a brownfield project to main production at your Kristineberg, Boliden Area? That's the first question.

My eyes, it is in a way, because it's very close to Rävliden and Kristineberg mine, and it will be a [ leaned ] in Kristineberg mine going forward.

And his follow-up is then, does this project potentially incorporate an increase in throughput and profitability?

Yes, it gave us opportunity to utilize the Boliden mill fully as I mentioned in the slides here. And that's great for the Boliden Area, of course, that will strengthen the be the mining -- the Boliden Area as a unit. And it will bring us into the next decade, as I mentioned.

Okay. Then we move to Aitik and Tara, and it's a question from Gustaf Schwerin. He works for Handelsbanken Capital Markets. And the question goes. The production issues that you announced yesterday for Aitik and Tara, the technical issues, do you expect anything to spill over into Q2? And how -- for how long will these persist?

Yes. When it comes to the problems with the mill in Aitik as well as hoisting system in Tara. We are not up and running yet. We know how to handle it. So we will, as soon as possible get into operation again, of course, but exact date for that, I can't tell you.

We stay at Aitik, and we have a question from Liam Fitzpatrick, he works for Deutsche Bank. What will lower grades and lower gold grades due to Aitik costs in 2021?

To Aitik costs?

Yes. How do you -- how are costs dependent on the metal grades? Do you see a link between those 2?

No, it's not really in a way. I mean, we mine the ore tonnage and the waste tonnage and we put the ore through the mill. And the cost is based on the production more or less. Of course, the real gains would be a bit less maybe, but that's small in comparison to the full-scale of the cost in Aitik.

Okay. Then we move back to the Boliden Area, and it's a question from a gentleman called [ Joe Story ]. He works for Millennium Capital based in the U.K. and the question goes. Regarding Rävliden and the Rävliden permitting process, what kind of key hurdles from here do you see? Is this a done deal, so to say?

Yes. I expect that we will get the permits for a Rävliden, and it will be much easier when we we extend the permit for Kristineberg than go for just the permits for Rävliden. So that's why we are including Rävliden into the Kristineberg life of mine as a mine. So this is part of that. And we expect that, that will be a much easier road ahead of us then to make a separate permit application for just the Rävliden project.

Okay. Coming back to Tara, Tara Deep this time. It's Oskar Lindstrom working for Danske Bank. When will you be ready for an investment decision regarding Tara Deep?

We will work as much as possible to increase the resources. And our plan today is that we will have a material for a Board decision in 2024. That's our objective here now. But I think that you can learn from the marshmallow story, with kids marshmallow, we can take it direct. We can wait and then you get 2 marshmallows. And we're absolutely thrilled to wait until we get this 1 marshmallows to grow to 2. So I think that if we'll be able to extend Tara by time, then we should utilize that to don't reduce the value of Tara Deep.

Okay. Coming back to Strömfors call [ Stu Weik ] working for Centra Invest in Norway. Is the content of mercury and antimony in Strömfors for a potential asset or is it an environmental challenge? Is it something good or bad?

I would say it's an environmental challenge. But we do have a quite high level of this in the historical Boliden mine. And we are into this -- how to process this. So we are putting in efforts today which is very early to know how to process this in the best way. But of course, that kind of content is a challenge from an environmental point of view. But we have treated that kind of material since before as well so.

Now it's time for Janis Masvoulas working for Morgan Stanley. Regarding Aitik and Aitik grade profile, how would it change if you get a permit for Liikavaara?

Liikavaara will be in production from '24 onwards, meaning that it will, of course, affect us when it comes to the grades in Aitik in a negative way, if we don't get a permit for Liikavaara production. But mainly, that will hit '25, '26. As you can see the plans today. And then we will get into higher grades when we come down with the pushbacks. So Liikavaara will not be a thing that, that will take away our legs, if I say so. But of course, it's important that we can keep the low-grade years, not that low, that it should be without Liikavaara.

Janice has a follow-up regarding Liikavaara, what will be the potential CapEx for that one? And when will it come?

The decision to go for Liikavaara have been made by the Board. But of course, it's depending the environmental permit for Liikavaara. And the level of CapEx is based on how much waste rock we will take away. So it's not -- it will not be CapEx for buying a lot of machinery you put in a lot of infrastructure. It will be regarding waste production, like we do in the normal case.

Excellent. We're back to Aitik again, seems to be a popular mine in terms of questions.

It's a fantastic mine.

We have other mines as well, we might remind them about that.

Aitik is a fantastic mine.

It's a fantastic mine and we have many fantastic questions. Here's 1 from Luke Nelson again, JPMorgan. Aitik. Are the efficiency projects that you mentioned in your speech, enough to maintain the mine's relative cost competitiveness on the cost curve that you showed?

Yes, I think it is. When it comes to AHS, it will be something new for us. But I think it will be important by time to build it into the normal operation. And the electrification, we have talked about, and that will also bring in efficiency to the operation. So -- yes, I think that we will be able to keep our position on the cash cost curve. Just if we look at that side of the coin. Then it's other things that affecting the cash cost curve, of course, at not be [ our thing ] to work with.

Okay. We have several questions here coming in all the time. Thank you very much for that. Once again, do not get discouraged. If you don't get your questions answered right now, we will have a Q&A session at end of our presentation or at the end of our CMD Day. I should say, I think we have time for 2 more questions at this stage. And the first 1 comes from a gentleman called [ Daniel Vest ]. He works for a company called Crossinvest SA in Switzerland. And the question is, and it comes back to Strömfors. What would be a potential time frame from first ore from Strömfors in English when do you think this will be a mine that is up and running?

It's impossible to say anything about that. I mean, back to the marshmallow story, we need to build the resources in. So we know that when we are putting in the CapEx, we are doing it for the right size of operation. And we are far from that point yet. So I have to pass that. I have no clue when we'll be able to have up running a mine. But I mean, the mill in Boliden is there. And so it's very easy transportation. And we are looking into how we should be possible develop this at the same time as we are pushing the exploration. So of course, I also want to know that, but I can't answer the question today actually.

But maybe we can help this gentlemen a little bit. Let's say that this would be a normal mineralization. What's the time frame before you find it until you actually get the mine up and running and that everything works out perfectly fine.

But sorry, there are no normal mineralizations. All the mineralization is very different. In many cases, and of course, we will have a period of time. If you look at a normal exploration case, if I say so, it's normally it's 10 years before it start to become a project. And now we are 1 year into -- from the first intersection. So this is a very early stage when it comes to the exploration project. But it's very interesting. And of course, it will help Boliden Area when we are there. But we have the -- we can be patient when it comes to time here because -- and the investments around this because if we can fill up the mill in Boliden with improved life of mine plan in Kristineberg and get Boliden Area to the next decade, we don't need to be harrow this too much.

Excellent. Then the final question at this stage, and it's from Goel Jatinder. He works for Exane BNP Paribas, based in London. And the question goes like this. Based on current mine plans and projects pipeline, do you see 2025 group production for zinc and copper higher, lower or stable versus 2020.

I think the zinc will be a bit higher, the copper will be a bit lower.

Excellent. Ladies and gentlemen, it's time to move forward during our Capital Markets Day. And what will happen next is that we are soon ready to have short break, but please stay tuned. After the break at 2:00 sharp. We will have a 7 minute video, and something extra. It's a virtual tour of our beautiful Harjavalta plant in Finland. And the background is that, once again, our intention was to have a live event, and many of us would have been on a plane tonight on the way to see this plant. Instead, we made this movie so that you can get a walk around within the smelter, but not only that. You will also experience the history of the Harjavalta plant and more importantly, how it fits into our overall plan metals for modern life. Please stay tuned and at 2:00 sharp, we will continue with Mr. Peltonen, President, Boliden Smelters. Welcome back. [Break]

[Presentation] Ladies and gentlemen, a warm welcome back to Boliden's 2021 Capital Markets Day. My name is Olof Grenmark, and I'm Head of Investor Relations. We will continue with presentations by our President of the smelter's operations, Mr. Peltonen. We will continue with presentation by our CFO, and we will also have a group Q&A session. Our next speaker, Mr. Peltonen, joined Boliden in 2019, and it's a pleasure to have you here, Daniel. Most welcome.

Thank you very much, Olof. It's a pleasure being here. And well, regarding the movie, this is actually where we would have like to invite you tomorrow if circumstances would have allowed that but that is not possible at this moment. Harjavalta is a fantastic site with a long history that we have learned, not the least by this video here, producing copper, nickel, gold and silver in great and fantastic qualities. The installations are great. Recoveries are high. And profitability has really been good for quite some time now. And on top of all, we have really excellent and skilled people doing a great job at this site. And regarding our strategy, I certainly believe that Harjavalta is contributing to this, and we have actually a competitive edge that I am going to tell you about today here. But first, maybe we should look a little bit back what's been done during the last 2 years here. And -- well, some highlights since Capital Markets Day in 2019. We see in the diagram here regarding feed volumes that our debottlenecking investments have brought fruit, and we are slowly increasing our feed volumes. And -- well, both in the copper smelter, specifically, we have been debottlenecking the copper feed, and it has been successful. Today, I will talk a little bit more also about this nickel expansion that we will come on stream within the third quarter this year. Regarding Rönnskär, again, we have a couple of greater things ongoing there, and that's about the leaching plant. I will come back to that also together with the deep repository. But on top of that, we have had some successful debottlenecking investments also ongoing in Rönnskär. That is our smallest plant site, which is situated in the southern part of Sweden. There, we have invested in a plastic separation. In that, there, we were a little bit unlucky in the beginning. There was a fire that destroyed the site. Now it's been, however, up and running for 1.5 years, and it is performing in a very good way, and we are satisfied with that investment. One part here about our strategy is the thing with complex raw material, and I will go a little bit more into what this is all about. But really looking at the free metals part here, the last 5 years in the trend, we also see that we've been successful in increasing the value of that part. And one could ask, "What about this? What is this thing with the complex raw material?" Well, of course, this is something that is increasing the profitability and improving our raw material margins. And looking at the trend here at the top right, we can see that this has been ongoing for a longer time. And the gross profit development just compared to last year has been with more than SEK 1 billion, and this is mainly part of -- due to this free metal addition. But regarding the complex raw material, what is that? We heard from Stefan here earlier that it might contain, like, mercury and arsenic and antimony, by the way. And this is, of course, something that one needs to be very careful with. But it might also be that we have another level of humidity or that concentrate might be coarse or very fine particles and that makes it difficult to handle. And this is what we need to ensure that the handling capacity -- capability is top of the line and also maintaining good recovery levels while treating this. So just a small sketch here regarding the complex raw material. Well, I would like to say that the TC, the treatment costs, of this kind of material is generally more stable. We can avoid the spot TCs. We have TCs on benchmark levels. And on top of that, we get the free metals and paid for some penalties also due to this. The difficulty here that comes up is also that the costs normally increase when you go into this complex raw material, and that is what we need to master to be able to get the value out of this. So how do we intend to materialize more about this? Well, I promised to tell a little bit about this Rönnskär leach plant, which is an investment that's been ongoing now, and we have come very far. You see the picture here of, well, fantastic indoors. This is, for an engineer, a great view to see shiny equipment inside a plant before starting up actually. So this plant is about extracting additional value from intermediates in this case. And we will get out about 25,000 tonnes of lead sulphates. From these 25,000 tonnes, we will treat about 20% internally and 80% of the lead sulphates will be sold externally. And well, what more comes out? Well, this -- it comes still an additional 25,000 tonnes of copper and zinc sulfates out. And this, we'll treat 100% internally ourselves and get the value out of it. And what more regarding this process? Well, the intention is also to diminish and decrease the volumes that should go into this unique underground repository. And by treating the intermediates in this way, we can reduce the volume with up to 80%, and this is great, actually. And -- well, the CapEx of the investments has been about SEK 750 million, and we are going spot on here. So commissioning the plant at this moment and starting it up slowly. But the first volumes has already good come into the process. There is then, of course, the different parts that need to be timed together and get the process into running smoothly. I would guess that there is some job for the skilled engineers in the Rönnskär plant to get this up and running in a very good way. Another investment that we have ongoing actually is the nickel expansion in Harjavalta. This is an investment that we came out with, I think it was last August about increasing the capacity from 310,000 -- the feed capacity from 310,000 to 370,000 tonnes, and at the same time, the intention is to lower the CO2 intensity by up to 20%. This we are doing by changing the concentrate dryer, which is today, fossil fuel fired, and we will utilize the waste heat that we have on the site and dry the concentrate in that way. We will also improve the automation level at this site by introducing automatic molten metal tapping, which is creating a total different working environment for the operators at the site. We will also widen the raw material flexibility in the site, and that is, of course, important also thinking about our strategy in the smelters. We have a CapEx level of about EUR 40 million commissioning in the third quarter. And this is also very well coordinated together with the general maintenance needs at the site, and we will be standing still for some 60 days plus for really doing this. And this goes very well in line with the nickel strategy that was started up in 2015 in the smelter part here. All right. A lot of focus on the CO2 part. I, also, has been talking about it. I've been mentioning it here, and I will go a little bit more deep into this since we have been studying the CO2 emissions and our own CO2 footprint, carbon footprint, for some time now very, very focused. And by that, I would like to go into this green metals part and talking about the low carbon copper. And I would like to say that, well, talking about green metals should fit very well also thinking about the St. Patrick's Day that we are celebrating today. Well, what is green metal? Or what is low carbon copper? Well, it is actually quite simple. It is carbon with a low-carbon -- or copper with a low-carbon footprint. And in our case, we have been verifying this extensively by third-party to really get the facts up here. So we are producing this low carbon copper with concentrates coming from our own mines, and we also do it by -- from recycled copper. And also mentioned about the scopes. Here, the scope 1, 2, 3. And we are actually including all significant emission categories from, well, you could say, from cradle to gate in here. So we are rather including and excluding sources of CO2. So -- and looking at the global average, we think that we are quite well positioned compared to the global average that we find via International Copper Association. So we have come out with a level of 1.5 kilogram CO2 per kilogram of copper compared to the global average, which is above 4 kilo. So what about this now? Well, how could we benefit from this? Well, that is our intention to lead this race. And actually, we are launching the very first low-carbon copper, and it is available. And actually, already now about 25% of our capacity is already contracted. We have about 120,000 tonnes of capacity of low-carbon copper, and we have an additional 50,000 tonnes with recycled copper coming out here, and of course, our customers are keen on this. This is -- this has shown very good, well, curiosity from them, and we have some cooperation already started with the company, as you can see on this slide. First, volumes are also delivered, and we see that we can now say that we have the low carbon copper with less than 1.5 kilogram CO2 per kilogram copper and also the recycled copper with the same level here. So I would say that this is really great news that we can come out with. So if this is copper -- of course, also mentioned and talked about zinc, and we are, of course, following this very close and actually another interesting topic that will, for sure, bring out some questions later on is the project that we have ongoing in our other site, and that is the green zinc, Odda 4.0 we call it. And why that? Okay, of course, it is due to having a fantastic good environmental credentials for that site and also the possible investment revamp. We are talking about -- it would lift the automation level to a completely different level. The site, which is fantastic site, really, situated in fjord, in the Hardangerfjord in Norway, you see it in the picture. Sun is always shining, by the way, in Norway, at least looking at the pictures. We have really a strong industrial logic behind this because adding about 150,000 tonnes more with very limited amount of extra people at the site gives economies of scale. We have already fantastic logistic setup for that site. Energy efficiency will increase always when you can really adapt the process. Accordingly, you can, as an engineer, get out what you mainly want from it. And the automation and digitalization level will bring -- will be brought up to a total different level. And here, we also have this support from the Innova organization in Norway with a significant support in the project, when and if it materializes. Another thing that we don't have in the process today is the lead and silver recovery. And this is, of course, something that would be implemented also in this possible revamp of the site. So strong environmental credentials are mentioned here. Well, the CO2 footprint, it was barely notable in the slides that you saw from ores. And everything is based on hydroelectric power. And on top of that, we have the sustainable waste handling that has been actually there since the mid-'80s. What we are doing now is, really, well, looking into this financial part, what kind of CapEx level would this be? And from internally in Boliden, we, of course, need to get up with the calculation that is above Boliden targets before possibly moving forward with this. And well, the level of this -- it is comparable to Boliden's largest historical CapEx projects. Why aren't we moving on then? What's hindering us? Well, there are some issues here. Of course, when going in and possibly investing in such an amount in this site, we ask for a longer permit commitment. We see the mountain caverns in the picture here, and that has been extended since the mid-'80s now and they have been done like one or a couple of times, at a time. And now we ask for a longer commitment for really being able to utilize this system for at least 20 more years. But of course, environmental perspective is important here. And it's really, in the end, about ensuring the ground water conditions, how would this be handled in the event that we will end? We will leave the site. How will it be handled? We are actually very excited about this opportunity. We see that long-term cash flow would be coming up to a totally different level, moving the cost situation from a -- well, not the best really to be state-of-the-art, and this is something that we strongly believe in here. We are excited about the possibility. Let's see what happens during the spring and summer. If we get the calculation together, we can present an interesting case. Moving forward with this presentation actually coming to an end here, I would like to summarize this whole thing. I've been talking about the complex raw material and the strategy that we have had, which is really improving the raw material margin. And we have a strong trade track record with the improved margins and also good profitability in the smelter side. By going into this complex raw material, that means also that we have to maintain high production efficiency, and that we can do. I think we have a small benefit or maybe a large benefit within Boliden since we have different sites, and we have learned to utilize the different intermediates between the sites so that we really improve recoveries and get this on a really high-end and sustainable level. And talking about sustainability. Well, we are into lowering our CO2 intensity, and it looks pretty good, I would say. And on top of that, we also have this fantastic and unique opportunity in Rönnskär with the deep repository where we really can squeeze out the valuables of our intermediates, and in the end, lower the volume and get that done -- down into the repository and really stored in a safe way for thousands of years 300 meters below the surface. So coming out then, the last part here, the Boliden green metals. I've said today that we are launching now the Boliden low-carbon copper. And we are, of course, verifying very carefully now the other volumes about green zinc. We will have the nickel part there and so on. So I would say, really, when concluding this whole story, I'm proud about the strategy that we have built up. It is very strong. And on top of it, we are really focusing towards this Boliden overall vision to be the most-climate friendly and respected metal provider in the world. So I would say that this feels good. And I'm quite proud of what we have accomplished and the road that we have set up ahead of ours. Thank you so much for this, and yes...

Thank you very much, Mr. Peltonen. Ladies and gentlemen, that opens up our Q&A session for Daniel Peltonen. And Daniel, it's almost like you only talked about one thing. If you could imagine all the questions I've got regarding green copper here and green metal, I don't even know where to start almost, but I think there are like 10 different questions on the same subject, but let me choose one, let me pick one, cherry pick one. And then it's Tyler Broda, Royal Bank of Canada. And he says, does the new low copper carbon achieve any price premium?

Absolutely. We will have a small premium in there in the beginning. This is, in the end, something that we would like the market to set, but it will include a small premium already in the beginning. Then we know that the margins are small, and this is something that need to be tailored in the end to fit. But it is so that we have an advantage, and we would like to get some out of it also.

The second question on the same theme comes from Gustaf Schwerin working for Handelsbanken. And he asks, do you see any willingness for customers to pay a premium? Or if not, how will you get that?

Well, this is really new at this moment. But when launching this and also when talking about it together with our suppliers to our industry, there is something kind of boiling in the whole system with everybody's wish to lower their carbon footprint. And our metals are there really as an important part in the transition towards green society, and of course, there is great interest for this. And if then our metals are even better than the general level that you can get in the market, of course, that is something that benefits everyone.

We also got another question here, which third-party did verify this low carbon copper? And did you have different third parties to choose from?

We have utilized Intertech for verifying this, and we will actually come out with more information on our homepage, if not today but in the next days, with the vast information package about this. So this has been done really by the book and also in the safe ways, and therefore, we have also waited to come out with this time-wise.

Okay. I think we have one more question then, and then we'll come back at the end for the overall Q&A session for questions for you regarding smelters. But we have more questions regarding the low carbon copper, as I said, but we also have several other questions. One is regarding -- here, is regarding Odda, Odda 4.0. And it's from Johannes Grunselius working for Kepler Cheuvreux in Stockholm. When could Odda 4.0 be ready for an investment decision? Please specify. And you're mentioning project support, is it only environmental decisions that you're waiting for?

Well, all the other parts that we have -- and we have our permits also already. It's just to verify this mountain cavern park here. But time-wise, we are now specifying the cost situation and have gone out with request for quotations and gathering this very moment in the spring. Of course, we have been hindering due to the COVID situation and not able to travel into the country, and that is, well, slowing down the process since everything is done, more or less, in -- on online, so to say, via Teams. But we are gathering together this now and being ready within shortly to come out with the levels.

Thank you very much for that, and we will be back regarding this subject and other subjects moving on.

It's time for me to introduce our next speaker. It is our CFO, Håkan Gabrielsson. Håkan, you're most welcome.

Thank you, and good afternoon. It's a pleasure to be here. Just move to the right slide here. I will talk about 3 things today. Firstly, I will talk about our performance and our position. I will then move on to some -- a little bit more detailed information that I hope will be useful for those of you that are modeling our quarterly results. And then towards the end, I will talk a bit and try to add some flavor to how we think about CapEx. As you know, CapEx is an important way for us to create value and to develop the company. It is a pleasure to look back at 2020, which was a year where we improved the profits, we improved the cash flow despite all the challenges that we saw in the year. EBIT improved to SEK 8.4 billion. And I'm, of course, proud and happy of the performance that we've seen in our mines and our smelters. This was also a year where we strengthened the company. We increased the capacity to higher mill volume in 3 of our key mines in Kevitsa, Aitik and Garpenberg. We also increased the capacity for copper smelting in our Harjavalta smelter. We increased our capabilities to treat complex raw materials, which has a significant impact on the P&L. We also improved the process stability in our smelting division. I'm also happy about the cost control that we saw during the year. We had very limited cost increases in spite of the expansions that we've carried through. And finally, this was a year when I think that our metals portfolio showed its strength in the form of stronger prices. We enjoyed good prices through the year. It came down a bit immediately following the start of the COVID pandemic, but we saw a really strong recovery during the second half of the year. We have a portfolio that is based on methods with strong fundamental demand, and that is important for the changes that are happening in today's society. It's well balanced. We have a biggest exposure to copper, to zinc, but also sizable exposure to precious metals as you can see in this chart and the treatment charges in our smelters. It's a low-risk portfolio. We have a lot of negative correlations in our commodity mix that limits the volatility of our results. We often talk about the negative correlation in the results between metal and currencies. There is also often a negative correlation in the earnings between smelters and mines and also between base metals and precious methods. And in that context, it's also important to note that we have not streamed any precious metal, so we keep the full exposure in there. So all in all, it's a low-risk portfolio with metals that play an important role in the transition that we're seeing in today's society. And I'm confident that it's a portfolio that will continue to generate good returns going forward. Now I will let -- now going into a little bit more details that I hope will be of use for modeling the company's performance. First, EBIT sensitivity by business area. In each quarterly report, we publish the sensitivity, meaning how much does a 10% change in a commodity price influence our EBIT. From time-to-time, we also disclose the same table by business area and that's what you see here. Now I'm not going to go through every line and every number in this table. It's here for reference, but there are a couple of points I would like to make. The first one, looking at the total group exposure, is that adding all the precious metals together, it actually gets the same level of exposure as we have towards zinc and copper. So it's an important part of our business today. Secondly, if we look into the smelter column, I think that is a good illustration of how the profits are built up in the smelting division. You see a big exposure towards zinc and zinc TCs where zinc TCs is the most important one. That's typical of our zinc smelters, where most of the revenues are depending on the treatment charges and then a smaller part from -- or depending on zinc-free metals. It is quite different from the way it looks in our copper smelters where the TCs makes up a much smaller part. The treatment charges is a smaller part of the earnings, while there's a big dependency on precious metal, free metals, precious metals and copper. Another area I would like to go into a little bit more detail in is provisional pricing. And the reason I bring this up is that in periods of higher volatility in metal prices, it's easy to underestimate the impact on the income statement. First of all, mines and smelters operate on [indiscernible] principles with standard commercial terms. And that means that the concentrate sales from mines is priced based on a provisional pricing model. The way this works is that when mines produce and deliver the concentrate, they issue a preliminary invoice with provisional prices and record that. The final prices are fixed only 1 to 4 months later and that varies by metal; I'll come back to that. And in the meantime, in the time between there, the open positions are revalued each month-end to reflect actual market prices. And as you can see in the chart to the left, the final prices of copper and zinc and lead are set 1 month after the material has arrived at the smelter with average prices 1 month after, gold and silver 2 months, nickel and cobalt 3 months, palladium and platinum 4 months. When the final prices are fixed, the values are hedged in our smelting division, and that means that we have no more price exposure as a group. We've locked in the prices, while they are being refined in the smelting site. Now that has -- this has a few consequences. If you take nickel and platinum, palladium as examples, each quarterly closing there will be several months' worth of deliveries with open positions that are revalued to actual prices. It also means that in any given quarter, the deliveries of nickel platinum and palladium done in that quarter will all be valued in the income statements based on the prices at the last day on the quarter. So that means that in periods of volatile prices, just going by average prices for the quarter is not a good proxy to reach the right result. So we'd encourage you to build this into your model. I know that many of you already have that, but this is an important part to get an accurate prediction of our result. A few words on the outlook. Many -- most of what I'm going to say on this slide has been covered in Q&A in earlier presentations. We are in this slide repeating the great guidances that we gave in connection to the Q4 presentation and the same thing goes for maintenance stop and CapEx. Grades for mines that are not on this slide is, as usual, reserve grades. That means that some are expected to come down a bit compared to Q4 because we had a few mines mining at really good grades in Q4. A couple of days ago, we sent a press release about production issues that we've seen in Q1. COVID is far from over. We have had local outbreaks in Northern Sweden, where we have activities in our Boliden Area and Aitik. Those of you that follow Swedish local press would know that. But it is true that we are feeling more impact on our production from COVID this year or this quarter than what we have done in the previous year. In addition, we talked about production disturbances in Aitik and Tara. In Aitik, there is 1 mill line that is down due to hydraulic problems. And in Tara, it's the ore hoist that is out of production. In both these cases, we talked about the consequences in the press release. Repairs is going on, and none of the 2 is back to production yet. And of course, we'll keep you posted about developments. Finally, I'd like to move into capital expenditure investments and talk about a little bit more about that. As I said, it's important for us to create value and develop the company, and I know that there is an area of interest for many investors. Before going into the numbers and the categories, I'd just like to make a couple of general remark. First of all, you won't get any numbers for 2022 and onwards. And the reason is that we decide our CapEx plans with 1 year time horizon in the late autumn every year. And when we decide that, that's also when we tell the market what we expect us to -- what we're planning to do. Secondly. One remark I'd like to make is, I'm going to talk a bit about different categories, and that is, of course, to some extent, a simplification. We tag every investment project to one of these categories. But in reality, of course, many investments fill several purposes. Looking back at, for example, the sulfuric acid plant in Harjavalta or the trucks to the open pit mines in Kevitsa and Aitik, they could be seen both as expansions, replacements, environmental investments and then we tag it to the most important one of those 3. Starting with mine sustaining CapEx. That includes stripping in open pit mines, development in underground mines and the successive raising of dams. And the most important part here is stripping where Aitik and Kevitsa make up almost SEK 1 billion each. What defines this amount is basically how much waste rock we are able to produce and the productivity that we have, so it's very much similar to OpEx in that sense. Our expectation is that this will be at roughly a stable level until 2024, which is when the volumes in Kevitsa starts tapering off and that is then provided that we don't decide a Pushback 5 an extended mine life. In this connection -- in this sense, I'd also like to comment a bit on the accounting. There are different ways of accounting for this. In our case, the full value of stripping goes into our CapEx number. There are other options as well, which is good to know if you're comparing us with other. Replacement investments, that's fairly easy from a definition point of view. It's just one-to-one replacements. One track reaches its economic end-of-life and we buy a new one. We spend about SEK 2 billion per year, half of that in each business area. My view is that this is stable. We have some flexibility in timing, of course. If there is a severe downturn, we can delay some projects, but ideally, we want to keep a steady pace. So the way I see these 2 together, which is what we refer to as maintenance CapEx at up to SEK 4.5 billion, and I expect that to be stable over the next couple of years. In order to be successful, though, it's not enough to make one-to-one replacements. So we also spend money to extend and to expand. In connection to the Q4 results presentation, Mikael talked about the term, "stay in business CapEx," which I think is a very good description of what this is about. We have spent SEK 1.5 billion per year in the last 2 years in this area. And this is also what we're spending in 2021, and I think it's a good estimate also looking ahead. Although it will be depending on what opportunities we see, what requirements we get and what changes and regulations that we see. This is the foundation to extend and to develop the business. And to give a couple of examples, our mines are getting deeper as we mine them, underground and open pit, and that means that the cracking distances become longer. And if we don't improve our productivity, our unit cost will be higher. And that's why we are continuously working on productivity improvements. And there is also a CapEx element in this optimization as one example. Keeping the strong position on the cash cost curve, a strong cost position is important because there is a payback, of course, but it's also something that makes it possible to convert mineral resources to mineral reserves and to extend mine life. If you go back to the slide that Stefan showed where we've increased the mine life in spite of increased production in many areas. This is thanks to efficiency improvements that we've carried out. In smelting, we have invested in an improved capability to treat complex raw materials. There is more complex raw materials around. There is typically higher profitability in there. And investing in this is an important reason -- is an important fact for smelting to be able to make more money, which I think you have seen in the income statement for smelting in the last 2 years, but also to be active on the raw material market. And finally, environmental investments, and this is the most important 1 of these 3 categories money-wise. As you know, social and legal license to operate is critical for us. It's important. We need to get permits renewed, and we need to get new permits when we expand. Being ahead of the curve is highly important when it comes to environmental investments. And we have been spending about SEK 1 billion per year in that area over the last, let's say, 5 years. Also talked about our strong ESG performance, including our low CO2 footprint, and this is partially coming from investments that we have carried out. I expect that to continue. The bar is higher every time. And this is an important part to be successful in this line of business. Finally, we are carrying out pure expansions. Expansions versus our current production plan. This year, we are spending SEK 1 billion. Most important projects in there is the nickel expansion in Harjavalta and the leaching plant in Rönnskär, which is coming online this year. We expect all of these to deliver good returns. I think you know most of the big projects that are in the pipeline. There are some smaller ones that are outside this list, of course, but the big ones are Rävliden and Odda 4.0, where we're expecting a decision this year. Tara Deep and the next Pushback in Kevitsa, we are expecting a decision in 2024. And then I also put Laver on the list, and that's more uncertain when we'll be ready for a decision, and the limitation here is primarily permits and management resources. So looking at investments, I think it's also valuable to look at the returns. Now we have delivered over the last 10 years, strong return on capital employed. As an average, we are almost at 15%. So we are delivering the returns. And we are also happy that we've been able to generate a strong cash return in the form of dividends and redemption of shares. 3 of the last 4 years, we have been able to propose to the AGM to payout extra dividends, which I think is a healthy sign of our strong earnings capacity. Speaking about then, dividends and investments, I'd like to end my prepared remarks by just underlying our commitment to the financial targets and the dividend policy that we have. These are not new. You've seen them before, but they have served us very, very well over the last 10 years. And I am confident that they will continue to serve us well going forward as well. So thank you. With that, I hand over to Olof.

Thank you very much, Håkan. Ladies and gentlemen, that opens up our final Q&A session, and we will try a large logistical try here at Boliden, getting our whole group management here at the front, and I will then be the moderator. And once again, thank you all out there for submitting so many questions to us. We have plenty of them, and it's my job here now trying to prioritize a few of them. The first question goes to Mr. Romedahl, mines, and it's from Amos Fletcher at Barclays. And it is that, "You've invested a lot in Aitik. You're still not at 45 million tonne pace. When should we expect that?

As I mentioned before, we will strive to get as soon as possible, of course. And we will get that, but it will take some time. And I have no -- I can't say when that will happen actually.

Fair enough. And then we go on. It's a question for Åsa. It's an ESG question, and it's from Oskar Lindstrom working for Danske Bank. And it goes like this, "Since you're moving towards electrification on your mining operations, do you also need to secure that this is from renewable sources, in English, hydro or wind? And if so, how will you do that?"

Thank you. Yes. We are securing long-term agreements on the energy side, and we are -- I mean, in the northern part of Sweden, it's quite easy as it is mostly water and wind based. We have more difficulties in Ireland, as you saw also from my presentation, but we are working actively even there to ensure that we improve energy, the energy mix. So yes, this is a very important topic for us.

Then we have a question for Daniel. It's regarding smelters. It's from Jack O'Brien. He works for Goldman Sachs. And it follows, "For the other expansion, would the capital intensity of roughly USD 3,500 per tonne or similar to other zinc projects be appropriate benchmark? Is that something to calculate with when they're trying to figure out the large CapEx for this project?"

I'd say that I haven't really went into those details. We are more or less looking at the total CapEx level of this and haven't made any calculation regarding the tonnes that we are adding up there.

But let's then move on to our CFO here on the same subject. We got a question, "What do you mean by this with CapEx projects in line with the largest in Boliden's history?"

Well, I think we mean pretty much what we said. This is going to be a sizable project. We haven't defined the amount yet. But I think to give an order of magnitude, you look at the last -- at the bigger expansion projects we've done in mines over the last 10, 15 years. And it's those kind of numbers. We'll have to firm it up when we have defined the exact scope and when we got the quotations, but that's roughly what we're talking about. And just to give some example then we had Garpenberg by about SEK 4 billion, and we had Aitik at about SEK 6 billion. I think we should think about that order of magnitude. I can't be more precise than that at this time.

Oskar Lindstrom at Danske Bank. He also had a follow-up question, and it goes for our CEO then, and it's regarding this renewable industry. And I read this question here to Mr. Staffas, "We are now seeing several new industrial projects in Northern Sweden, which will likely increase competition for renewable electricity in the region. This could, of course, increase prices. Can you see that you need to sign up supply from specific suppliers who can guarantee that the source is renewable?"

Well, thank you, Oskar. The answer is yes. And we're already doing this. We are already today supplying from specific suppliers who can promise us that it's renewable, be it either hydro or be it wind or a combination of the 2. So there's nothing new. And the other part of your question is, will there be competition for electricity in Northern Sweden? I think the answer is yes. I think that there are people out there who are a little bit, if we say, betting a lot that it will be very much available. I think that at the end of the day, it's going to be a scarce resource, but we will be quite competitive to fight for this resource compared to many others. And I also, by the way, I think it's going to be very limited that will be available to be shipped south -- that is electricity being shipped south.

And then we have a question from Christian Kopfer. He works for Nordea in Stockholm. And the question goes to Mr. Romedahl and it's regarding Aitik. I read, "Aitik's OpEx per tonne in krone increased 8% in 2020 and has increased by 5% on average since 2016. How can unit cost be lowered, thanks to the electrification process going on? And also, how much of the increased unit cost that we saw in 2020 was due to COVID-19? Can you specify, please?

The increased cost, based on COVID, I don't really get a number for that. Sorry, about that. But if you look into the electrification how that can decrease our costs going forward? In this situation now when we have done the pilot test and we are in the beginning of this, we really didn't get the lower cost benefit from it, but it will affect our efficiencies, of course, as well as the cost if you are looking on the long run.

Okay. Here we have a little different question from -- for Mr. Peltonen in smelters. Maybe it's good to have some variety to all these numerical question. It goes like this, "You have a long history within the Nordic pulp and paper industry. What is different now when you come into the metals and mining world? And what will you bring from the pulp and paper world to the smelting world?"

Well, pulp and paper business is very much alike. It is long term. It has large CapEx investments. And well, it's basic industry. So I would say, very much comparable. What it is about in the end is, of course, a lot about people management and that is, of course, something that we would like to highlight. And I'm not the least thinking about the delegated responsibility that we have within Boliden. So it fits very well together, I think, with the history that I have bringing with me.

Thank you very much. Then, we come to Daniel Major from UBS, and it's a question to our CFO, Håkan Gabrielsson. It's regarding provisional pricing. A number of your peers specifically disclosed your propositions at each quarterly end. Would it be possible for Boliden to provide something similar in the future to make our lives easier?

I think that's probably a good idea. I won't give a firm promise here, but I would promise to look into it, and I think it sounds like a reasonable request. So let me come back with that.

Many, many questions here. Lots to choose from. This time, it's time for Krishan Agarwal. He works for Citibank based in London, and it's for Mr. Peltonen. Can you discuss broad composition of your precious metal exposure? Does it include material quantities of palladium and rhodium? How does your precious metal exposure look like?

We don't separate those, but we are talking mainly about gold and silver. Then we have the platinum -- platinum group metals that we have there. So that's how far we can go from that point of view, exactly.

I think, Olof, you can get a fair amount of guidance in the sensitivity table that was in my part of the presentation as well, I think.

Now when you took the chance to Håkan, I will not let you off the hook because now it's Gustaf Schwerin. And he says that, is it fair to assume SEK 5 billion to SEK 6 billion in CapEx for Odda? Is that what you're trying to say?

I think I've said what I -- as much as I can say -- I think I said as much as I can say. And the fact is that we don't know yet, but it's a sizable project. And it's a bigger number than what we've seen in some of the reports out on the market.

A question, an ESG question then for Mrs. Jackson. If you were to prioritize among all those different ESG standards that Boliden reports to, which one would you prioritize, which one is the most important as we speak?

Thank you. It's good to try to clarify in that ESG reporting word. We report according to GRI, and that is the most common and most used standard. And also what we hear is the standard that most of our stakeholders also request us to report according to. Then we follow a lot of principles as I also mentioned in my presentation, but GRI is the standard, yes.

A question for Mr. Romedahl, it's from a U.S. investor, and you mentioned possible expansion of the Garpenberg mine. Can you please tell us some specifics, time lines? What should we know?

The time line for this is possible 10% improved production, that's based, of course, of pending the permit from -- to increase the production level to -- permit for production to 3.5. And then if we get that this year, I will say that we will be up 10% from what we have delivered so far in the next 2 to 3 years.

While you're on here. We have a question from Gustaf Schwerin working for Handelsbanken. Timing of the Rävliden project, can you please clarify CapEx, return on investments for that specific project?

Yes. We will come back with a CapEx level for Rävliden, the time line for a decision, we hope that we will be able to present something in the Q2 this year.

Excellent. Okay. There's lots to choose from here. We have one question from Jatinder Goel, and he works for Exane BNP Paribas, and it's for you, Håkan. What's been the trend in staying business CapEx over the past 5 years? And what do you expect for the coming years?

To summarize, it's a bit more variable than what we have seen in pure replacement, but the trend has been around SEK 1.5 billion per year over the last years. And that's what I am expecting going forward as well. Out of that, about SEK 1 billion per year has been pure environmental investments and the remainder efficiencies, debottlenecking, complex materials and so on. So that's what I would expect. If I just say one number, I'd say stable SEK 1.5 billion. But again, keep in mind that it may vary between years.

Excellent. Thank you. Then we shift to Mr. Peltonen again. And the question is from [ Daniel Wiest ], and he works for Crossinvest in Switzerland. When you shift to production of green metals, does this only affect the energy input? Or does it have an impact on input material quality as well?

Generally, it's not affecting that much. It's more evaluating what we have and really seeing -- well, evaluating with third party our complete scope of emissions. And in that sense, also, we have our very pure metals, and then we have our concentrates coming in, and then we have concentrates that are -- were less pure or more contaminating. And in our case, we have not really changed that much regarding this. It's more really to know what you do and to materialize these benefits that we see from our pure concentrates that we are utilizing.

While you're in here, Krishan Agarwal from Citibank. Are you able to discuss the potential margins in the Rönnskär plant, please?

Margins, no, I cannot really go into that. I have too short background regarding those.

We can't give everything away, can we? I mean we must save something for the next Capital Markets Day. Okay. Another final question then by Charles Glasse. Glasse maybe you say. He works for Waverton in the U.K. [ Glasse ]. And once again, please repeat what's the price premium for low-carbon copper? I think we've answered that one. But the other one is, what do you really mean by normal copper then?

Well, normal copper ore that is actually copper produced by international concentrates that it's not coming from our own sources and our own mines. So that is something that has a total different carbon footprint when it comes to us. So that's how we kind of divide these different parts.

Excellent. And then we have an ESG question again for Mrs. Jackson, and it's a broad question. It's from Joachim Berlenbach, and he works for a company called Earth Investments. And the question goes like this. Do you consider to cooperate with other potential competitive companies to improve your ESG position?

Thank you. That was a good question. We are always striving to learn from the best. And in our journey here now towards this vision that we have set up, if we find ways where we can strategically work together with those that are better than we are in some areas, we will look into that. And some areas is definitely good working with almost anyone, not depending at all if they are competitors or not. So in some areas, I would say, yes, if we find someone really valuable for us to partnership with, we will do it.

I'm seeing that our CEO over there. He looks like he doesn't get any questions. He's starting to look a little bit angry at me. But we have one question here for you, Mr. Staffas, and it is -- can you elaborate on how it looks on the M&A situation currently? And if you were to prioritize among those projects that we learned about today and M&A, what would you choose?

Thank you for the question. Number one, I think I've been clear many times, that if I were to prioritize between brownfield investments and M&A, brownfield always goes first. We always have better returns on brownfield than we have on M&A. That doesn't mean that M&A is off the table. We're always looking, always trying to find something, but I've always said that we're also happy to not do anything if the prices are not right. And of course, as you will imagine, with the present metal prices, also asset prices are at very high levels, I would say. I also use the opportunity now as I suddenly got in here to comment on some of the answers before. I think that just very clear on Aitik cost development, don't forget that Aitik has gotten a pretty big and hefty increase in taxes on fuel that comes into that comparison, which means that it's difficult unless you adjust for those taxes to really make that comment that you did. Regarding the leach plant in Rönnskär. I think we told you what products we're doing. And based on the products we're doing and what we have in there, at least you could have some sense of what the revenues are. And you can say that the cost of the material going in is relatively low because it's basically something that we had at very low margins. So that's a very low inventory value, I would say. So those are just some comments on some previous answers. Over to you, Olof.

Thank you. And then it's a question regarding mining. And of course, it's then for Mr. Romedahl. Can you say something about the potential expansion of the Kevitsa mine and a possible pushback 5 there? What's the time line? Can you give us some specifics, please?

No, I will not give any specifics around this. We are doing the evaluation of this, and we need some time to be able to come back with you. Everything else, I will not be able to stand for going forward, so.

Question for Mr. Peltonen. It's regarding smelters, and it's once again regarding low carbon. And the question goes like this. Do you blend own concentrate with third-party concentrates? And would this green copper expansion limit your blending and complex concentrate possibilities?

No. Well, we are blending. Yes, that is actually one of the basics to be able to treat different complex material. But really to get out this green or low-carbon copper, it's about mass balance. And that is, by the way, also utilized in other industries when having certified raw material that comes in, it is blended with other material. But what goes in comes out also in the same proportions. And that is then, in the end, what we are verifying by third parties so that we are really having control of this. So it's really a mass balance, and it is not really hindering us from going forward.

Thank you. And while you're in here, it's from Luke Nelson, he works for JPMorgan. On Odda 4.0, can you confirm the technology being proposed? Would it be conventional roast-leach-electrowin or atmospheric leaching? Can you confirm the technology, please?

Well, what we are talking about is traditional technology. So in that sense, it is something that really works. But of course, the sizing and everything is in a total different league going for the maximum size of electrowinning and also the same with roasting. So it's really going into a more efficient level, but basically, it's the traditional technology in that sense.

And then ladies and gentlemen, you can't imagine how many questions I have here. And once again, there will be plenty of time after the CMD to come back to us. You know where to reach us. We will do our best to answer all these questions. But I have a final one here from a U.S. investor to Mr. Romedahl, it's regarding mining. It says, once again, congratulations on Strömfors. If you were to outline your dream scenario, if everything goes perfectly well, when will this be a new mine for Boliden? Could you at least elaborate about the different steps? How it will look like?

Yes. I mean, as I've mentioned before, it is an early exploration project still. And this will normally take -- take 10 years if you have a normal -- and we will try to stress this as quick as possible, of course. But let's say that we don't need actually to have a decision around this in the next 5 years. So it will take -- take some time more before we are in a position to really get up with a proposed decision for where to -- when to mine it. And as I mentioned also that the Boliden area, the mill there will be filled up with ore from the 3 existing operations, including Rävliden. So yes, I can't give any specific date. Even if I should do with that based on my dreams, then I'll start crying, and you don't want to see that.

We'd rather have that smile on your face there. That's better. Okay. Ladies and gentlemen, that concludes our group Q&A session. It's time for our President and CEO, Mikael Staffas, to conclude our Capital Markets Day 2021. Mikael Staffas, the stage is yours.

Thank you. Thank you, everybody. Thank you for all the questions, and thank you for staying with us during the Saint Patrick's Day. I don't know who of you have been looking detailed enough at Stefan Romedahl and his tie, but those who have will have noticed that he's wearing the tie with Tara footprint and the Saint Patrick's footprint just to celebrate the day. I hope that we've been able to get some messages across today. What we want -- I want to get across is that we do have an organization with high-performance ethics. We have an organization that is used to do projects, to get them done and to get them done in time. Also, on top of that, we put together a new purpose, a new vision and a new mission statement in order to be able to go forward and we'll be very clear what we want to achieve and what our value words are. We talk about sustainability. We feel that we're already today doing extremely good on sustainability, but we're not happy. We want to continue to move forward on sustainability. We've started now to brand our products to get third-party valuation to be able to show very clearly what we're doing. We want that to continue going forward. And you can expect that we will have more metals as we meet in years going forward that we will be able to verify. We talked about exploration, something that we maybe don't talk enough about. I think that we've had a very successful exploration over the years that we've been able to keep all of our assets alive for much longer than we ever thought. And now we also have Strömfors, which is exciting new opportunity that, as Stefan pointed out here towards the end, is not going to come in play for a while, but we have Rävliden we will be able to fill, once again the mill in Boliden. But once we will start depleting some of the other assets, we have Strömfors ready to stand up and take the place. And by the way, Strömfors has higher ore values than many of the other things. We also -- [indiscernible] we also talk about Tara and the success there about the exploration, where we are very hopeful to be able to get Tara deep into even larger volumes to be able to move that forward to a very exciting mining project. And we talked also about other projects, and we talked about the Odda project. You've seen from [ Rönnskär ] how well all those positioned on the climate scale, how very efficient operation that is? And I would say, from an industrial logic, there is no better place in the world to have a zinc smelter than in Odda, good logistics, very good opportunities with mountain caverns to handle the slag, very good electricity. And we feel on top of that, we put together a state-of-the-art type of facility with the productivities that comes with that, I think this is exactly what the society would like to have and would like to do. And finally, I would like to just stress once again what Håkan stressed towards the end. We have a very stable operation. It's stable both because we're good at operating it and we're operating relatively stable, even though we now in Q1 have had some major production issues that is not common. We usually produce very well. We have a strength of all the mix that we have between mining and smelting, between bases and pressures and also with the currencies involved, which means that our revenues and our earnings are more stable than you think if you just look at individual pieces because of the negative correlations that we have. And on top of that, we have a strong balance sheet, and we have a very healthy, I would say, very healthy dividend policy that has served us very well over the years. So that was a message from this year's Capital Markets Day. I very much look forward to seeing you all in person the next time around, maybe 18 months from now, we'll see exactly what the timing will be. And with that, I wish you all a very good day. Thank you.