Press release: Stockholm, September 5, 2022, 08:45 CET
Sotkamo Silver Oy is starting the Change Negotiations in accordance with the Act on Cooperation with Undertakings in order to adapt its operations to the prevailing general economic and market situation. The scope of the Change Negotiations includes the Company's entire personnel, ca. 50 people.
The sharply increased prices of energy and consumables and the simultaneous decline of the metal prices, as well as the great uncertainty and volatility associated with them, require measures to ensure the profitability of production and the continuity of operations.
The Change Negotiations covers the measures aimed at adapting production and its costs to reflect the changed situation. As one option, the periodic production of the concentrator and the adaptation of mining to match it will be reviewed. In addition to examining these options, we have already initiated measures to improve cost efficiency and minimize the impact of cost increases in all areas of operations. The measures that are the subject of negotiations are estimated to lead to a maximum of 90 days of layoffs by the end of April 2023.
Stockholm, September 5, 2022
Sotkamo Silver AB
Erkki Kuronen, CEO
Erkki Kuronen, CEO, tel. +358 50 599 3539
This information is information that Sotkamo Silver AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact persons set out above on September 5, 2022, at 08:45 CET.
The official Stock Exchange Releases are given in Swedish and there may be differences in the translated versions.
About Sotkamo Silver AB
Sotkamo Silver´s business concept is to develop mineral deposits with regards to human society and environment. The Company owns the Silver Mine in Sotkamo which started production in March 2019. In addition, the Company holds mining and exploration rights to precious and base metal deposits in Finland.
The company applies International Financial Reporting Standards (IFRS) as approved by the European Union.
The ticker symbol is SOSI on NGM Main Regulated Equity in Stockholm and SOSI1 on Nasdaq Helsinki.
ISIN-code for Sotkamo Silver shares is SE0001057910.
Legal Entity Identifier (LEI): 213800R2TQW1OZGYDX93
Read more about Sotkamo Silver on www.silver.fi
The Company's press releases, and financial reports are distributed via Cision Sverige and are available on www.silver.fi