Boliden (BOL) Investor update summary

Operational update

• Seismic activity at the mine has returned to normal, allowing inspections and repairs to begin under improved safety protocols.

• Mining production will resume at low levels in Q2, with initial monthly output at approximately 100 ktonnes and overall production at about 30% of the guided annual capacity of 3.7 Mton.

• Most ore bodies are in good condition, but the upper part of Lappberget, which accounts for about 70% of production, has suffered significant damage and will not resume mining in 2026.

• Major underground infrastructure such as crushers and hoist systems is largely undamaged, but ventilation, pressure air, water management, electrical infrastructure, and backfill paste require several weeks of renovation.

• Production in unaffected areas will restart, with further ramp-up dependent on future planning and detailed mine planning ongoing.

Financial and production impact

• Potential loss of up to 13 million tons of ore from reserves, representing just over 10% of total reserves.

• Q1 EBITDA will be negatively impacted by approximately SEK -400 million at current prices and terms.

• Full-year production is expected to be less than half of initial expectations, with EBITDA contribution likely to be similarly reduced.

• Insurance coverage is limited, with any payout expected to be well below SEK 1 billion.

• Force majeure has been declared on concentrate deliveries, with efforts underway to manage smelter feed and customer contracts.

Strategic and technical considerations

• Expansion plans for Garpenberg are under review, with strategic focus shifting to accelerating development of the Huvudmalmen ore body.

• No significant changes have been made to mining methods or pillar sizes; the incident is attributed to a unique release of long-term stress in the rock mass.

• Remnant mining in damaged areas will proceed cautiously, with detailed engineering required to avoid further seismicity.

• The grade profile in alternative ore bodies is mixed, with some higher silver grades but generally smaller size compared to Lappberget; zinc grade is expected to deteriorate slightly, while silver grade will improve.