10th Fennoscandian Exploration and Mining

3-5 November 2015 in Levi Finland

A Modern Concept of Small Scale Mining

Bengt Ljung CEO
Key notes
Small Scale Mining
Historic Small Scale Mining
A future requriement creates increasing business opportunities in
mining
Environmentally low foot prints
Minimal impact on surrounding neighbouers and stakeholders
Low investments
Rapid cash flow
Rapid Technical development in equipment
Drilling, loading, mucking and transportation
The application and permit process
Summary
 Sala silver mine in Sweden
Fire-setting..
a role model for cauitious blasting
Tremenduoes development in
methods and productivity
Back from history towards opportunities
Sweden and many other countries have
numeroues of unexplored high grade
mining resources
Vindelgransele
Numeroues
Gold targets
Fbodliden A
Vargbcken
Fbodliden B
Fbodtjrn
Fbodliden C
Middagsberget norra
Middagsberget
strms/Klodden
Jgarliden
 Fbodtjrn
Miningconcession inprogressforsmallscale mining
Consession area1ha
Swiftcashflow
Average grades 8,5g/t
Current known tonnage~200000
ton
Annual production of 3050kton
(Compared toahalf day production
atLKABKirunaundergroundmine
Modestinvestments
Miningproduction fullyear
Undergroundminingforminimizing
environmental foot prints
Fbodtjrn
~200mlongquartz vein 111kton Indicated @8,5g/tavg.
Open below 320meter 85kton Inferred @5,9g/tavg.
Width 14,5meter

20Fbodtjrn HistogramforAu[ppm]
15

Frekvens
10

1
6
11
16
21
26
31
36
41
46
51
56
61
66
71
76
81
86
91
96
101
106
Au[ppm]
Fbodtjrn Mining Methods
Tomra Laser Sorting
Potential method to reduce waste from ore
Test of Vargbcken Gold 2014
Bjrkdal Gold mine
Slowly converting from open pit towards
Small Scale Mining
Annual production 1,5mton
0,8 underground and increasing
0,7 open pit
Relativily low Au-grades 1,7 g/t
(1,4)
Small scale vein mining methods
underground.
Limited waste and acceptable
strip factor
To be improved by better control
and closer communication
between geologists and mining
department and sampling
Own processing
Gravimetric and flotation
Lovisa Mine in Bergslagen
Annual production 40 000 ton
Small scale vein mining (cut and
fill)
Controlled blasting
Waste/ore relation to the
processing plant 50%/50%
130 km to processing plant
RESULT:
The most profitable mine in
Sweden!?
International Mining Methods
Drilling
Loading mucking
Atlas Copco Easer for vein
mining?
700 mm upholes
For openings
For narrow vein mining
How to coop with stakeholders and
Samis?
Permits and coordination for exploration work
Beforestartofexploration programme
Permits,conditions andagreements collected inaworkfolder
Bondinplace
Routines forHealth,Security,EnvironmentandCommunityrelationsin
place
Worksite meeting before start

During exploration programme

Routines forcontrol,understood andused
Continuous contact withthose locally affected
Contoll ofthework:
Health
Safety
Environment
CommunityRelations
..according topermits,legislation,company protocols andagreements

Aftercompleted programme
Posttreatment
Finalcleanup,cut andplug holes
Damage control andrepair
Finalcontrol infield
Damage compensation
Summary
I believe there are great opportunities for small
scale mining in Sweden, Finland and Norway
We have a favorable geological environment and
infrastructure
We welcome international experience and
investors
Big scale hand in hand with small scale mining
New exploration targets: Talk to SGU
Forgotten orebodies in excisting mines
Show huge respect and a keen ear towards the
Sami society and other stakeholders