Non-Ferrous Solutions

Non-Ferrous solutions: providing sustainable solutions for the

whole value chain from ore to metal
Jari Rosendal, President Non-Ferrous Solutions business area
CMD 2010
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New operational model platform for growth

Customers

Market Operations
Supply

Non-ferrous
Solutions

Ferrous
Solutions

Energy,
Light Metals &
Environmental
Solutions

for the
processing of
copper, nickel,
zinc, lead,
gold, silver and
platinum group
metals as well
as industrial
minerals

for the
processing of
iron ore,
making pellets
or sinter,
producing pig
iron or direct
reduced iron,
making
ferroalloys and
titanium
feedstock

for the
processing of oil
shale and sands,
bioenergy, light
metals, sulfuric
acid and
industrial water,
and solutions
eliminating
emissions and
waste

Business Infrastructure
Strategy
Technology Management
Finance & Control
Legal Affairs
Human Capital

Reporting segments (starting Q2/2010)

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CMD 2010

Services

providing lifecycle services for

Outotec's
customers

Non-Ferrous Solutions Q1-Q3 figures

Sales increased and profitability improved as a result of

Non-Ferrous includes former units:

healthy market demand, strong services business, strong performance of Filters (exLarox) business

Base Metals Division, excluding Ferroalloys business line -> Ferrous

Minerals Processing Division, excluding Physical Separation Tech -> Ferrous
Pori Research Center, Finland
Turula workshop, Finland

M&A

Ausmelt, Australia (2010)

Larox Filters, Finland (2010)
Millteam Services, Sweden (2010)
Auburn Services, Canada (2008)

EUR million

Q3
2010

Q3
2009

Q1-Q3
2010

Q1-Q3
2009

Change

2009

Sales

144.6

104.6

399.4

366.7

9%

482.6

Operating profit from operations

20.7

9.4

26.6

27.1

-2%

35.1

Reported operating profit

13.5

9.4

2.9

27.1

-89%

35.1

Operating profit margin from

operations, % *)

14.3

9.0

6.7

7.4

-10%

7.3

9.3

9.0

0.7

7.4

-90%

7.3

Reported operating profit margin, %

*) incl. realized and unrealized FX gains in Q3 EUR 4.0 million (Q3/2009: EUR 1.3 million)
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CMD 2010

The best solution for non-ferrous metals

By Non-Ferrous

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CMD 2010

Supporting other BAs

Large amount of global mining projects indicate encouraging future

investment potential

Phase status
Construction
Feasibility
Prefeasibility
Conceptual

Nov 30

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CMD 2010

Number of projects
2010
2009
190
84
259
246
243
225
190
183

Capex USD Bn
2010
2009
103
37
137
112
123
86
103
99

which is supported by good base metal price developments despite high

stock levels and a very good development of all precious metal prices

Nov 30

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CMD 2010

Production of selected base metals,

world ex-China vs. China figures
World ex-China
China
% Chinas share of total

2010 forecasts (000 tons)

14 700

*) only 10% of the Cu

concentrate comes from China
**) only 20% of the Zn
concentrate comes from China

11 400

***) only 10% of the Ni

concentrate comes from China

7 700

7 400

6 700

39%

4 800

4 600

25%

40%

5 300

41%

31%
1 010

Copper
consumption

Nov 30

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Copper
production*

CMD 2010

Zinc
consumption

450

Zinc production** Nickel

consumption

23%
1 010

300

Nickel
production***

Leveraging Outotecs technology assets

Outotec solutions

Value-based pricing

Larger scopes

Services
Project
delivery
System
integration

Maximizing life cycle profitability

Proprietary
equipments
Technology

Outotec CAPEX solutions

Technology, equipment,
systems integration,
projects

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Outotec CMD 2010

Outotec service solutions

Spare parts

Operation and
maintenance
services

Upgrades

Maintenance
shutdown
services

Research and
analysis service

Non-Ferrous Solutions offering

Plant Solutions

SERVICES SOLUTIONS

Concentrators

Hydrometallurgical Plants

Smelters

Process Equipment Solutions

Grinding Mills

Tankhouse
Machinery

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CMD 2010

Flotation Cells

OKTOP
Reactors

Thickeners

Anode casting
machines

Filters

Permanent cathodes
Anode prep. machines

Analyzers &
Automation

DOP Pumps
Spiroc Mixers

Non-Ferrous competition is fragmented

The start of each process is important in all areas
= process and application know-how is a key differentiator

Concentrators
Mineralogy
process
develop.

Det.
eng./
Studies/
basic eng. project
mgmt

Crushing/
conveying

Grinding

Pumping/
screens/
cyclones

Leaching

Solution/
purification

SW/EW

Flotation

Thickening/
filtering

Analyzers and Chemical

Automation
dosing

Tailings
mgmt

Hydrometallurgy
Mineralogy
process
develop.

Det.
eng./
Studies/
basic eng. project
mgmt

ELE

Smelting
Testing/
process
develop.

Studies
/ basic
eng.

Det. eng./
project
mgmt

Drying Smelting

Converting

Heat
revovery

Gas
cleaning

Sulphur
capture

Acid
plant

Slag
cleaning

Fire
refining

Peers

SGS, Mintek, Lakefield, CSIRO, OMC, Hatch, Fluor, SNC-Lavalin, Kvaerner, Bateman, Metso, FLSmidth, Sandvik,
Polysius, Weir, Xstrata, Andritz, SKS, Siemens/Iasta, Thermo, Aker Solutions, Danieli, Enfi, Bgrimm, Paul Wurth,
Dynatec, Lightnin, Asturiana, Worley-Parsons, Nerin, Ciro, Delkor, Westech, Mesco, EPCM, SMS Meer

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CMD 2010

Concentrators & Hydrometallurgy

Case examples

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Mirabela Nickel, Santa Rita: nickel plant, Brazil

5 Mtpa Ni plant

Technology package for entire flotation

and dewatering plant

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12 x Outotec TankCell 160

9 x Outotec TankCell 70
4 x Outotec TankCell 30
35m and 15m
Outotec Thickeners
Outotec Courier 6SL and
Outotec PSI 300
Outotec SAG and Ball mills
Installation and
start-up supervision
Performance guarantee

Start-up April 2009

Nov 30

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CMD 2010

Talvivaara: nickel plant, Finland

Greenfield bioleaching, 15 Mtpa ore

Leaching reactor circuit

33 OKTOP reactors
Thickening circuits
20 thickeners
End product filtration
16 Larox filter units
Start-up 2008

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CMD 2010

Yara, Siilinjrvi: apatite (P2O5) plant, Finland

Expansion of throughput by 15% to 11-12 Mtpa

EPC Turnkey delivery

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10 x Outotec Floatex twin units

2 x 35m Outotec High Rate Thickeners
2 x conditioners (Outotec TankCell 40)
6 x Outotec TankCell 40
4 x Outotec TankCell 30
Outotec PSI 500
Pumps and pump sumps, piping
Buildings and foundations
Electrification, instrumentation
Training, commissioning

Start-up 2009

Nov 30

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CMD 2010

Boliden, Aitik: copper-gold plant, Sweden

36 Mtpa Cu-Au plant

Scope of supply:

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26 x Outotec TankCell 160

14 x Outotec TankCell 50
12 x Outotec TankCell 40
Flotation Air Blowers to above
Regrinding mill 6,5*9m, 3 MW
Total engineering
Design and management

Start-up 2010

Nov 30

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CMD 2010

European Goldfields, Skouries: gold-copper plant, Greece

Full Plant of 8.05 Mtpa Au-Cu ore
Technology package for entire Plant

Outotec SAG and Ball Mills

10 x Outotec TankCell 160
10 x Outotec TankCell 50
8 x Outotec TankCell 10
20m and 12m Outotec Thickeners
Process instrumentation
and automation: Outotec Proscon,
Courier 6SL, PSI 300
Basic engineering &
ORC test work
Supervision of detail engineering,
installation and commissioning
Start-up late 2011

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CMD 2010

VSF Solvent Extraction

30 % of worlds copper solvent extraction
capacity uses Outotec VSF
Solvent Extraction equipment
Solution from leaching is purified in
SX before electrowinning to guarantee
high product quality
Outotec VSF Mixer-settler technology
guarantees decreased operating costs and
improved profitability
Suitable for small and large plants thanks
to good scalability

Outotec DOP and SPIROK units at Cobre

Las Cruces solvent extraction plant, Spain

Outotec Compact Mixer-settler

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CMD 2010

Latest Outotec hydrometallurgy references

Copper sulfide precipitation,
engineering, equipment delivery,
automation, services at
Barrick/Goldcorp gold mine,
Pueblo Viejo, Dominican Republic

Copper ore grinding and leaching,

VSF solvent extraction and
electrowinning technology and
equipment for Cobre Las Cruces
copper plant, Spain

Engineering and project

services for Boliden and
Norilsk Nickel, Finland

VSF copper solvent

extraction and electrowinning
plant SPCC, Tia Maria, Peru

Sulfide precipitation and

neutralization OKTOP
reactors for Talvivaara nickel
plant, Finland

VSF solvent extraction and

electrowinning plant for
Centenario Copper Franke
plant, Chile

Copper electrorefining
technology package and
equipment, Yanggu
Xiangguang Copper, China

Solvent extraction retrofit

project, Codelco copper
plant, Chuquicamata, Chile

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CMD 2010

Zinc solution purification

technology and equipment for
Hindustan Zinc plants, two
phases at Chanderiya site,
India

Zinc direct leaching and

solution purification (As)
technology and reactors for
Hunan Zhuye Torch Metals,
Zhuzhou, China

Inmet, Cobre Las Cruces: Copper SX-EW Plant 72,000 t/a

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CMD 2010

Escondida: Copper SX plant, 180,000 t/a

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CMD 2010

Smelters

Portfolio & Cases

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Outotec Smelting technology portfolio

Cu and Ni Flash Smelting

Ausmelt
Top Submerged Lance
(TSL) technology

Kaldo-Cu, Pb, precious metals

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CMD 2010

Outotec Smelting Technology Portfolio

Flash smelting and flash fonverting

Primary copper
Secondary copper

Direct blister flash smelting

Coppermatte

Primary nickel

Ausmelt TSL process

Nickel matte
Primarylead

Slag Cleaning

Secondary lead
Primary tin

Kaldo and Troff

Lead/zinc residues
Precious metals

Anode casting

Waste processing
Slag treatment
Anode casting

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CMD 2010

Ausmelt complimenting smelting technology line

Area of industrial references

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AUSMELT

Flash Smelting
& Converting

1. Primary Copper Smelting

2. Copper Matte Converting

3. Copper Dross Smelting

4. Secondary Copper Smelting

5. Primary Nickel Smelting

6. Nickel Matte Converting

7. Nickel Leach Residue Processing

8. Primary Lead Smelting

9. Secondary Lead Smelting

10. Lead Slag Reduction

11. Lead/Zinc Residues Smelting & Slag Fuming

12. Primary Tin Smelting

13. Tin Slag Reduction

14. Tin Slag Fuming

15. Precious Metals

16. Waste Processing (Spent Pot Lining/MWIA)

17. Other

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CMD 2010

Kaldo/
TROFF

X
X

Some 140 Outotec smelters around the world

Flash smelting technology

Ausmelt TSL
Kaldo

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CMD 2010

Outotec Concentrate Burner, 2009

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CMD 2010

Kaldo technology

Low consumption of energy

Commercial operation since 1976
Excellent environmental performance
Furnace totally enclosed inside the
plant- excellent working conditions
Experience from a wide
range of raw materials

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Lead concentrates (sulphide- and carbonate-)

Copper concentrates
Lead dusts
Leach residues
Lead battery scrap
Drosses
Low grade copper scrap
Electronic scraps
Slimes from electrolytic copper refining
Cu/Ni matte

Minimum of pre-treatment
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CMD 2010

Ausmelt TSL technology

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Applied to diverse spectrum of

metals & metallurgical wastes
Suitable for batch or continuous
processing operations
Competitive in terms of both capital
and operating costs
Offers a commercially viable solution
for smaller scale projects
Relatively simple smelter plant
configuration and furnace system
Small footprint allows for ease of
retrofit into existing smelters
Environmental best practice - tightly
sealed furnace system operated
under negative pressure
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CMD 2010

Current Ausmelt projects

Huludao Copper (China)

- 500,000 tpa Copper Concentrates
Carat-TSM (Russia)
- 170,000 tpa Primary & Secondary Lead
YTCL (China)
- 190,000 tpa Lead Concentrates
Votorantim (Brazil)
- 75,000 tpa Lead Bullion
Intertrust (Bulgaria)
- 60,000 tpa Lead Bullion
YTCL (China)
- 100,000 tpa Copper Metal

Daye Copper (China)

- 1,250,000 tpa Copper Concentrates
Vinto Tin (Bolivia)
- 38,000 tpa Tin Concentrates
GRM (Korea)
- 110,000 tpa Secondary Copper
KCM SA (Bulgaria)
- 65,000 tpa Lead Bullion
HCHM (China)
- 60,000 tpa Lead Bullion
Xinjiang Wuxin Copper (China)
- 550,000 tpa Copper Concentrates
China Tin (China)
- 40,000 tpa Tin Concentrates

Tongling TSL
Copper Smelter
China
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CMD 2010

Outotec Fire Refining and Anode Casting

Outotec Anode Casting

technology is the world's
most popular copper
anodes casting technology
Installed in over 200 weighing
and casting units in smelters
around the world
State-of-art technology for
fire-refining:

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Steam gas reduction system

New cooling solutions
Electrically heated launders
Off-gas treatment
Process control

Nov 30

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CMD 2010

Latest Flash smelting technology delivered to China

Copper smelter, refinery, precious metals
and sulfuric acid plant in Yanggu, China

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CMD 2010

Direct Blister Process in KCM, Zambia started in 2008

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CMD 2010

Strategic intent: Non-Ferrous Solutions

Leveraging
technology
assets &
profitable
life cycle
solutions

Capture synergies of existing business units

and acquired companies (Ausmelt, Larox)
Increase scope of offering
Improve global market coverage for all
offerings
Continue strong growth in Services
Bolt on acquisitions
Services
Project
delivery
System
integration
Proprietary
equipments
Technology

CAPEX

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CMD 2010

Service solutions

Thank you !

Q&A

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