Boliden Garpenberg Zinc Mine Investment Strengthens Long-Term European Zinc Supply

Boliden

Boliden Garpenberg zinc mine investment plans will reinforce one of Europe’s most important zinc supply assets beyond 2030. The Sweden-based metals group will invest SKr4 billion, or about $430 million, in a new hoisting system at Garpenberg to support continued mining of newly identified resources.

The six-year project is designed to sustain production at around 4.5 million tonnes per year. Recent exploration has expanded Garpenberg’s mineral resources and reserves, creating the need for new infrastructure to reach deeper and newly discovered zones.

Boliden Garpenberg zinc mine development matters because Europe needs stable domestic sources of zinc concentrates. Zinc remains essential for galvanizing steel, infrastructure, automotive production, construction, and renewable energy equipment.

Garpenberg Infrastructure Upgrade Supports Deeper Zinc Mining

The new hoisting system will give Boliden better access to deeper ore zones and help protect long-term output from Garpenberg. The mine already holds an environmental permit for up to 4.5 million tonnes per year, although that permit remains under appeal.

The investment could also create a foundation for future expansion. However, Boliden said any further growth would depend on major additional investments and permitting progress.

The project comes as Garpenberg deals with a near-term production disruption. A seismic event and related rockfall activity halted production on 14 March, causing four lost production days so far. Infrastructure inspections have started, and the shutdown is significant because Garpenberg is Boliden’s most profitable mine.

Odda Expansion and Ronnskar Project Deepen Boliden’s Zinc and Smelting Strategy

Boliden’s zinc strategy also includes the long-delayed Odda zinc smelter expansion in Norway. The 150,000 tonne per year expansion is expected to take its first feed within about five days, with first production to follow shortly after.

The Odda zinc smelter expansion is strategically important because it strengthens Europe’s refined zinc capacity. The roaster and acid plant are now in the final stages of hot commissioning after a difficult project cycle.

Boliden is also investing SKr1.5 billion in a demonstration plant for a new cement replacement product at Ronnskar in Sweden. Construction is expected to start in the second half of 2026, with ramp-up in the first half of 2029 and planned capacity of 280,000 tonnes per year. The process is designed to improve metals recovery and move Boliden closer to waste-free smelting.

At Ronnskar, copper cathode capacity is around 230,000 tonnes per year, and ramp-up is planned for the final quarter of this year. Meanwhile, Boliden expects higher copper grades at Aitik and Kevitsa by 2034, along with improved nickel grades at Kevitsa. However, further Kevitsa expansion remains paused because low nickel prices, higher taxes, and tougher environmental rules have weakened the investment case.

The Metalnomist Commentary

Boliden Garpenberg zinc mine investment shows that European metals security depends as much on mine infrastructure as on new discoveries. The Odda and Ronnskar updates also show Boliden’s wider strategy: secure concentrates, expand refined metal capacity, and reduce waste across the smelting chain.