Make Kitco Your Homepage

The only nickel smelter in Western Europe stops due to slag explosion

Kitco News

Welcome to Kitco News' 2022 outlook series. The new year will be filled with uncertainty as the Federal Reserve looks to pivot and tighten its monetary policies. At the same time, the inflation threat continues to grow, which means real rates will remain in low to negative territory. Stay tuned to Kitco News to learn from the experts on how to navigate turbulent financial markets in 2022.

(Kitco News) - Sweden-based mining and metallurgical company Boliden (Nasdaq Stockholm: BOL) announced Monday that nickel production at its Harjavalta smelter in Finland has been stopped due to a slag explosion that was the result of a process malfunction in the nickel electric furnace slag tapping system on December 24.

The company said that no one was injured as a result of the explosion and that the main damage is in the mechanical construction and the slag tapping system.

Boliden added that production in the nickel line has been stopped and is estimated to be offline until mid-January.

According to the company’s statement, current estimates on the impact on EBIT due to the lost production and repair costs is 100 MSEK (~$11 million), of which half in Q4 2021.

Boliden Harjavalta is located in south-west Finland, close to the port on the Baltic Sea. The smelter’s main products are copper, nickel, gold and silver, as well as by-products such as sulphuric acid. Boliden Harjavalta is the only nickel smelter in Western Europe.

Canada's mining, quarrying, oil and gas sectors up 1.5% in October - StatCan

According to Wikipedia, Boliden is a Swedish mining and smelting company focusing on production of copper, zinc, lead, gold and silver. The name comes from the Boliden mine, some 30 km northwest of the Swedish town of Skellefteå, where gold was found in 1924.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.