Press release: Stockholm, February 17, 2022, 08.45 CET


  • Net sales was 99 MSEK compared to the previous year 78 MSEK. The positive contributor was favourable development of zinc price
  • EBITDA was 28 MSEK (7)
  • EBIT was 6 MSEK (-16)
  • Cash and cash equivalents were 37 MSEK (35)
  • Investments were 25 MSEK (14) including tailings pond dam raise amounting to 11 MSEK
  • The production was about 341 000 (349 000) ounces of silver, 869 (969) ounces of gold, 466 (330) tonnes of lead, and 1 049 (757) tonnes of zinc in concentrates
  • P700 surface drilling was completed in December, totalling ca. 3 800 meters. The assaying of the P700 underground drilling was completed and results were reported in October


  • Net sales was 387 MSEK (366)
  • EBITDA was 92 MSEK (73)
  • EBIT was 7 MSEK (-10)
  • Equity Ratio was 38 % (32)
  • Earnings per share was -0.09 SEK (-0.26) non-diluted, -0.09 SEK (-0.24) diluted
  • Investments were 48 MSEK (32) including tailings pond dam raise amounting to 11 MSEK
  • The production was about 1.38 million (1.58 million) ounces of silver, 3 403 (3 965) ounces of gold, 1 494 (1 532) tonnes of lead, and 3 373 (3 254) tonnes of zinc in concentrates


Comparative figures refer to the corresponding period of the previous year.


Firstly, I would like to focus on a few numbers. Our operative cash flow during the Q4 was 18 MSEK positive and we had 37 MSEK cash and cash equivalents in our accounts at the year-end. Given the fact that we still had low head grades due to the mixing of marginal ore, this is a great achievement. Our operative expenses decreased by 4 MSEK to 64 MSEK compared to Q4/2020 and at the same time, our mill feed tonnes increased by 30 %. Smart utilization of the marginal ore enables us to increase throughput and metal production at the marginal cost.

Many shareholders are keen to hear more about the ore-sorting project. The pilot results have proven the technology itself but the integration of the sorting process to primary crushing and material handling is the key to successful implementation. The capital and operational expenses of the initial draft were not justifying the investment. To assess the technically and economically viable setup and to evaluate the feasibility of ore-sorting in production scale, we have returned to the drawing board. The engineering team consisting of internal and external resources is working on the redesigning.

The core drilling campaigns conducted last year as a first step of the P700-project were encouraging. We have reported the first lot of assay results and the rest will be reported during Q1/2022. We have engaged a drill rig for 2022 and will continue drilling during the year with targets both in production planning and prolonging the life of mine. The update of the Mineral Resource and Ore Reserve estimates was started in Q4, and the results will be released in Q1. These new estimates incorporate the geological knowledge gathered from the mine with assays and state-of-the-art methods and practices for resource modelling. The new model sets the starting point for the work to increase the Mineral Resource and corresponding Ore Reserve and eventually the life of the silver mine.

I wish all the best for the Team at the silver mine and all the stakeholders in the challenges of 2022.



The Company operates the silver mine in Sotkamo, Finland. The production was started in March 2019 and the mine produces silver, gold, zinc, and lead in concentrates which are sold to a smelter. In addition, the Company holds mining and exploration rights to mineral deposits nearby current operations in the Sotkamo region in Finland.

Net sales was 99 MSEK compared to the previous year 78 MSEK. The positive contributor was the favourable development of zinc production and price. Head grades of silver and other metals were impacted by the use of marginal ore. Milled ore tons were 182 000 tonnes, ca. 25 % higher than the average feed rate during the first half of 2021. Compared to the Q4 last year, we produced an equal volume of silver, ca. 10 % less gold while lead and zinc production were ca. 40 % above the comparison period.  

Other income of 1 MSEK (5) included -0,4 MSEK (5) estimated unrealized final sales price adjustment due to price difference between provisional and final invoices for the period. Net sales included -1,8 MSEK estimated final metal content adjustment due to metal content difference between provisional and final invoices for the period. The final sales price for silver and gold is based on the monthly average market price two months after the delivery, deducted by the customer’s smelter charges.

Investments in the underground mine and environmental investments amounted to 25 MSEK (14) in Q4 and 48 MSEK (32). Environmental investments included tailings pond dam raise amounting to 11 MSEK. P700 project’s exploration continued in Q4 which costs are included in the investments of the period.


Key figures, group

Q4 2021

Q4 2020

FY 2021

FY 2020

Net sales MSEK















Equity ratio (%)





Cash liquidity (%)





Personnel at end of the period





Milled tonnes approx.

182 000

139 000

624 000

546 000

Average silver grade g/tonne







In the fourth quarter, 182 000 (139 000) tonnes of ore were milled. In Q4 the Company produced about 341 000 (349 000) ounces silver, 869 (969) ounces gold, 466 (330) tonnes lead, and 1 049 (757) tonnes zinc in concentrates. As mentioned earlier, the head grades of the mill feed were lower than in the reference period, but this was compensated by the higher mill feed tonnes.

In 2021, the production was about 1.38 million (1.58 million) ounces silver, 3 403 (3 965) ounces gold, 1 494 (1 532) tonnes lead, and 3 373 (3 254) tonnes zinc in concentrates. Milled tonnes during 2021 were about 624 000 (546 000).

The annual production guidance for 2022 is ca. 1.5 million ounces of silver in 2022. However, the primary target is to maximize the revenue and operative cash flow. To achieve this, the Company adjusts the mix of metals in the ore feed which might have an impact on the produced silver ounces.



On January 11, 2022, the Company announced that it is investigating the conditions and opportunities for refinancing financial instruments of both Sotkamo Silver AB and its Finnish subsidiary which are maturing in 2022 (secured bond and convertible bond). At the same time, the main goal is to extend the maturity of its debt financing. Current operations and metal market prices development give good grounds for refinancing.



  • Annual report      March 2022
  • Q1                       26 April 2022
  • AGM                    27 April 2022
  • Q2                       29 July 2022
  • Q3                       21 October 2022
  • Q4                       17 February 2023



Erkki Kuronen, CEO of Sotkamo Silver AB, tel. +358 50 599 3539


This information that Sotkamo Silver AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above on February 17, 2022, at 08:45 CET.

The official Stock Exchange Releases are given in Swedish and there may be differences in the translated versions. Should there be any differences, the Swedish version takes precedence.


About Sotkamo Silver AB

Sotkamo Silver´s business concept is to develop mineral deposits in the Nordic countries with regards to human society and environment. Sotkamo Silver owns through its subsidiary the Silver Mine in Sotkamo which started production in March 2019 and has reached full production capacity. In addition, the Company holds exploration rights to precious and base metal deposits in Finland, Sweden and Norway.

Sotkamo Silver applies SveMin's & FinnMin's own rules of reporting for public mining & exploration companies. Sotkamo Silver has chosen to publish mineral resources and ore reserves according to the internationally accepted JORC or NI 43-101 code. The company applies International Financial Reporting Standards (IFRS) as approved by the European Union.

The ticker symbol is SOSI in NGM Equity in Stockholm and SOSI1 in 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

Get in Touch

Sotkamo Silver in Sweden

Sotkamo Silver AB
Nybrogatan 34/Box 5216
SE-102 45 Stockholm

Sotkamo Silver in Finland
Sotkamo Silver Oy
Hopeatie 20

Telephone +358 44 733 2355

© 2021 Sotkamo Silver AB.