FinnMin update 2013:

IndustrialOUTLOOK

What’s up in Finland today ?

• Mining industry is boomingSomehow today! Also tomorrow?

• Need of human resources with qualityAnd we know that?And we know that?

• Metals Industry in Finland• Dialogue with regulators and authorities• Expectations for the future are bright but

some clouds....

What FinnMin ?

• FinnMin is a recognized representative of the Finnish metals and minerals mining industry.

• The association's main objective is to promote the industry and to maintain its relations with the industry and to maintain its relations with National and European institutions at all levels.

• FinnMin also fosters contacts with the mining community in Nordic countries and in Europe.

What FinnMin ?

• Around 50 members.• Mining companies, exploration and junior

companies, mining technology, contractors.• Collaboration with

FinnMin : Field of activities

• Environment• Health & Safety • Laws & regulation• CSR and Social license• CSR and Social license• Education & Research• Communication & Public image • Lobbying: governmental issues & mining policy

Mining in Finland:

• 12 metal mines in operation in 2013

• > 30 active industrial mineral mines

• Mining industry turnover in 2012 was 1,5 billion €

500

600

700

800

900

1000

METAL MINES: TURNOVER INCREASEMillion euros

25.9.2013 7

0

100

200

300

400

500

2005 2006 2007 2008 2009 2010 2011 2012

Lähde: Tilastokeskus, Kansantalouden tilinpito

HR: Labor force in mining Finland:

• Today around 4 500 persons

• Need for more than 5 000 by 2022

• From where?

• Labour force not a problem but lack of

skilled people – same as in Sweden

Economic Impact on the Region

Kittilä Gold mine:

The unemployment rate in Kittilä is below 10 % on average - during high season 6 %

Annual real estate tax paid by the Kittilä mine EUR 0.25 millionmillion

Annual royalty payment to the State will be ca. EUR 3 million

Corporate tax will be ca. EUR 15 - 20 million

Kittilä mine’s B 2012 turnover was over EUR 190 million

Mineral policy highlights recently:

� Mineral Strategy 2010� Green Mining 2011-16; national innovation

programprogram� Round Table Process 2012-13� Environmental stress tests for selected mines

2013

MINING POLICY and SOCIAL LICENCE

- times are changing

Media headlines in capital letters

Pro mining

CSR & Social licence

INDUSTRY OUTLOOK

Sustainable (balanced) development

� Economic viability and technical credibilitycredibility

� Environmental performance� CSR & Social license

Puolustusministeri Haglundin tapaaminen 2.8.2012

Thank you!

”Every mine is important

every mine is different”

Thank you!

FinnMin