New gold mine

Reportage in Bergsäkert 2024

New mine opened in Fäbodtjärn

May 2 2024 was an historic day. That was when the very first blast was fired to begin tunneling toward the ore in Fäbodtjärn.

 

– This is a great day for me. I’m very excited indeed to be opening Sweden’s first new mine in 10 years. I’m especially pleased for Botnia Exploration, everyone who’s been involved from the beginning – all of whom have worked hard to make this day happen – and for our shareholders, who believe in us, says Fredrik Bergsten, CEO of Botnia Exploration.

Botnia Exploration has been involved in exploration and developing mineral deposits, mainly in Västerbotten, ever since it began in 2007. Its aim has been to develop a sustainable Swedish gold mine with a minimal environmental footprint, and the Fäbodtjärn deposit has been the project with the highest priority.


In 2023, the last permits necessary for the operation came into force, enabling Botnia Exploration to begin preparations for work above ground and take on partners and suppliers.


– In addition to the mineralisation, the deciding factor in whether or not the mine will be profitable for us as a minor player is our ability to find the right partners and working arrangements. Happily, everything has fallen into place for us, and we’re very pleased, says Fredrik.


Documented 30 years ago

The vein of ore in the area where the mine is located was documented in the mid 1990s. Work on identifying the recoverable value began in 2008, and a few years later in 2012 the deposit was confirmed.


– Since then, our work has consisted of diamond drilling and efforts to secure environmental permits and mining concessions. From start to finish, everything took about 11 years, which is absolutely fantastic, says Fredrik.

 

A company to be reckoned with
For Botnia Exploration, the start of mining is a milestone.
– For us, this is a very big deal. We’ve gone from being an exploration company trying to find development projects, to letting the market know we’re a true mining company and a partner to be reckoned with.


In Sweden, there’s only a handful of mining companies running active mines. Now, Botnia Exploration is one of them. Efforts to find more deposits continue.


– Moving forward, we’ll be working on two fronts. While we’ll be an actively producing mining company, we’ll still continue our exploration operations. In a few years we hope to realise additional projects, either alone or with partners, says Fredrik.

Fredrik Bergsten, VD, Botnia Exploration

Fredrik Bergsten, CEO, Bothnia Exploration.

Bergteamet’s drilling rig on its way to work immediately after the opening of the mine.

The first blast was fired at the opening of the mine. Here the blasting mats are lifted away.

At least four years
The plan is to mine 200,000 tonnes of ore in Fäbodtjärn, equivalent to around four years’ production, but we think production will last longer.


– We know the deposit is open-ended downwards, and our test drilling has not yet found the end. So we hope that as we go deeper, we can do more exploration drilling to see if we can extend production, says Fredrik.
What will it take for the mine to succeed?


– The deposit has every chance of becoming a profitable mine. It’s important that we, together with Bergteamet, our main contractor, achieve good working methods and procedures, and design the mine well by laying out galleries and ramps in the right places in relation to the ore.
It’s also essential that we’re able to maintain good ore grades as far as possible, so we can avoid mining unnecessarily large amounts of the surrounding rock, which contains no gold, and avoid sending it to the concentrator, explains Fredrik.


What made you choose Bergteamet?
– As a small company with limited resources, we studied the market carefully to find the contractor best able to handle our mine. We’ve found a good business arrangement with Bergteamet and feel that we enjoy an open, trusting partnership.


– They’ve already got to grips with things and are doing a great job. Bergteamet’s employees have the right skill sets, they put in the effort and always find solutions to any problems that arise. Bergteamet are no newbies. They know what they’re doing, which is reassuring for us all, says Fredrik.


Gold is the mine’s central focus.
– While our calculations are based on mining gold, we also know there’s likely to be a small amount of silver in the quartz, even if its importance is only marginal. For us, gold is the central focus. It’s the ultimate hard currency and an essential industrial metal for the electronics industry’s ability to create corrosion-resistant, highly conductive contacts. Gold helps strengthen the country’s financial structure, emphasises Fredrik Bergsten.

Bergteamet is responsible for tunneling and production in the Fäbodtjärn mine

When the Fäbodtjärn mine opens, Bergteamet will be responsible for all underground work, from tunneling to production mining.


It’s all very exciting and rewarding. We’re honoured to take part in the start up of a new mine. In my eyes, it’s a really big deal, says Daniel Lithell, Bergteamet’s Site Manager.

Fäbodtjärn is in a secluded spot on top of a mountain and can only be reached by gravel roads. Here in the new mine, Bergteamet is responsible for all underground work, starting from the tunnel opening.

 

– We drive tunnels, reinforce rock and install utilities such as ventilation and electricity. We extract the ore and haul it up to the surface where it’s reloaded and taken to the concentrator. We’re experienced in all of these operations, but doing them all in one place is quite unusual for us, says Daniel.

 

Everything in place
Before Bergteamet was fully in place, the area was prepared by some of Botnia Exploration’s other subcontractors. The land was uncovered, sedimentation ponds built, and electricity and water supply laid on.

 

The first machines from Bergteamet began arriving at the beginning of April, and tunneling began on 2 May 2024 with the first blast.


– Initially, we’ll have two miners and one mechanic per shift on site here in Fäbodtjärn. Then once we reach the ore and begin drilling with the Simba, we’ll add one more miner. Initially, we’ll be employing between 12 and 14 people including production management, says Daniel.

 

High hopes
To begin with, Bergteamet will be excavating eight stopes, which means around 4,800 metres. Daniel is confidently looking forward to the work.
– The rock conditions look good, and we’ll find out more once we’ve gone down a bit. The conditions all seem good, and we’re putting our hopes in more tunneling and mining after the first stretch if the deposits turn out to carry on down, he says.

 

– The project will be a challenge for everyone involved and we’ll have to perform at our very best. We enjoy a close, open collaboration with Botnia Exploration and we’re just like part of the Bergteamet family where everyone helps each other. I’m confident that our work will be successful, emphasises Daniel.

Reportage in Bergsäkert 2024