This upgrade represents an increase of 0.69 million tonnes grading 4.1g/t gold for 90,900 ounces from the 31 December 2009 ore reserve.
The Scandinavian reserve increase is due to the inclusion of reserves from a series of new developments at each of the company’s three operating gold mines in Sweden and Finland.
At the Svartliden gold mine, an increase in reserves was the result of a decision to expand and deepen the open pit and includes ore from the planned underground mine and existing stockpiles.
The success of exploration drilling during 2010 has resulted in production plans being extended into 2014, with open pit mining to continue until July 2012.
The extension of open pit mining has also resulted in the deferral of the commencement of the underground mine development until mid-2011.
The reserve position at the Orivesi gold mine has been bolstered, with the commitment to the staged development of the Kutema Deeps deposit.
With the completion of the Kujankallio open pit in August 2010, the company commenced the decline for underground mining at the Jokisivu gold mine.
Mining of the 5,000 ounce reserve is scheduled to commence in April 2011.
