The Swedish company Boliden AB is in talks to acquire two mines from Lundin Mining Corp. This is reported in the Boliden press release.
The proposed deal is aimed at strengthening Boliden's position as one of the largest European producers of zinc, which is used for galvanizing steel, guaranteeing long-term supplies for Boliden metallurgical plants in Scandinavia.
Previously, Lundin put up for sale two companies (Zinkgruvan in Sweden and Neves-Corvo in Portugal) in order to optimize assets, which will allow it to focus on expanding its presence in Latin America. The mines are Lundin's oldest assets, providing a fifth of the company's revenue.
Production at the Lundin Zinkgruvan mine, which is located southwest of Stockholm, amounted to 76 thousand tons of zinc, and production at the Neves-Corvo mine in Portugal amounted to 109 thousand tons of zinc and 34 thousand tons of copper in 2023.
As part of the deal, Lundin plans to raise funds for the development of copper projects in South America. In July 2024, Lundin teamed up with BHP Group Ltd. to acquire Filo Corp., the owner of a large copper project on the border of Argentina and Chile. BHP will also partner with Lundin as part of the Argentine Josemaria project.
Boliden intends to expand production capacity at the metallurgical plant in Odda (Norway) by 75% to 350 thousand tons per year and resume production at Europe's largest zinc mine Tara, which was partially closed due to high maintenance costs.
Boliden AB is a Swedish multinational metallurgical, mining and smelting company headquartered in Stockholm (Sweden). The company produces zinc, copper, lead, nickel, silver and gold in Sweden, Finland, Norway and Ireland.
Lundin Mining Corp. — a Canadian mining company with assets in Argentina, Brazil, Portugal, the USA and Chile. The headquarters is located in Toronto (Canada). The company is part of the Swedish Lundin Group.
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