Slide 1: Business area Ferrochrome: Strongly progressing towards carbon neutrality
Business area Ferrochrome Strongly progressing towards carbon neutrality Site visit for institutional investors, analysts and bankers June 15, 2022 Martti Sassi – President, business area Ferrochrome
Slide 2: Content
Content Global ferrochrome and chrome ore production BA Ferrochrome – Fundamental part of Outokumpu’s operations BA Ferrochrome – Global ESG leader in ferrochrome industry Kemi mine – Towards carbon neutrality and sustainable mining Summary 2 | June 15, 2022
Slide 3: Outokumpu has the only chrome mine in the EU area
Outokumpu has the only chrome mine in the EU area Chrome ore Geographical distribution: mines and furnaces production 4% 5% South Africa by country, 3% 3% Kazakhstan 2021 India 12% 35 Mt Turkey 60% Finland Finland 12% Russia Zimbabwe Sweden ROW Kazakhstan Albania China Turkey FeCr 1% China productio
Slide 4: Own ferrochrome production is a fundamental part of Outokumpu's fully integrated value chain
Own ferrochrome production is a fundamental part of Outokumpu’s fully integrated value chain Kemi chrome mine Tornio ferrochrome plant Largest ferrochrome producer in Europe Part of one of the most integrated stainless steel plants in the world • The only chrome mine in the EU, largest • Three subme
Slide 5: Outokumpu is a global ESG and sustainability leader in ferrochrome industry
Outokumpu is a global ESG and sustainability leader in ferrochrome industry Environment Recognized in sustainability CO2 footprint -70% lower than industry peer average 1) Environmental impacts monitored Social Strong focus on safety in operations Open dialogue with local community Total recordable
Slide 6: Kemi mine – Towards carbon neutrality and sustainable mining
Kemi mine – Towards carbon neutrality and sustainable mining Systematic CO2 emission Sustainable utilization of ore Digitalization improves safety, reduction, carbon neutral by 2025 extends current supply up to productivity and sustainability the end of 2040s • Carbon free energy • Improved situatio
Slide 7: Deepening of Kemi mine in 2018–2022 secures our long-term chrome ore supply
Deepening of Kemi mine in 2018–2022 secures our long-term chrome ore supply EUR 283 million investment in new production area below existing mine • EUR 49 million capex in 2022 • EUR 12 million capex in 2023 New main level at 1,000 meters depth • New ore handling and hoisting system Status • First o
Slide 8: We will improve significantly our mineral resource utilization by implementing a new mining method
We will improve significantly our mineral resource utilization by implementing a new mining method Current: Sublevel Stoping New: Sub Level Caving (SLC) • Mining progresses upwards • Mining progresses downwards • Supportive pilars are left for support • Backfilling not needed • Supportive pilars not
Slide 9: Further strengthening our position as the ESG leader with our ferrochrome operations
Further strengthening our position as the ESG leader with our ferrochrome operations Global ESG and sustainability leader in the ferrochrome industry Enabling net zero ambition of our clients and their clients Only chrome mine in the EU offering reliability and strategic importance to customers Carb
Slide 10: Thank you!
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