In early May 2025, Viscaria Gruvaktiebolag (formerly Copperstone Resources AB) announced a significant upgrade to the mineral resource estimate for its Viscaria copper project near Kiruna, Sweden. This update, bolstered by a robust feasibility study, marks a pivotal advancement in the mine’s planned reopening, positioning it as a key player in Europe’s copper supply chain.
A Legacy Revived
Originally operated by Outokumpu Oy from 1983 to 1997, the Viscaria mine produced approximately 12.5 million tonnes of ore before ceasing operations due to low copper prices. In 2019, Copperstone Resources acquired the dormant site, initiating an ambitious plan to modernize and restart mining activities. Over the past two years, the company has undertaken extensive exploration and permitting efforts, culminating in the recent feasibility study and resource update
Exploration Success and Resource Expansion
The latest drilling campaigns have significantly enhanced the project’s mineral resource base. The total mineral resource now stands at 108 million tonnes with an average copper grade of 0.90%, containing approximately 967,000 tonnes of copper. This represents an 18% increase from the 818,000 tonnes reported in November 2022 and a 59% rise from the 609,000 tonnes in 2019. Notably, recent exploration has identified higher-grade zones at greater depths, with several drill holes reporting copper grades exceeding 2%. These findings suggest the deposit remains open at depth, offering substantial potential for further resource growth.
Feasibility Study Highlights
The comprehensive feasibility study outlines a 17-year mine life, underpinned by 41 million tonnes of mineral reserves and an additional 8 million tonnes of mineral resources. Key economic indicators from the study include:
- Annual Production: 26,000 tonnes of copper at full capacity
- Net Present Value (NPV): SEK 4.4 billion after tax
- Internal Rate of Return (IRR): 17.3% after tax
- Payback Period: 4.3 years from the start of production
- Projected Cash Flow: Approximately SEK 11.8 billion over the mine’s life
The mine plan emphasizes early extraction from higher-grade zones, particularly the D-Zone and A-Zone, to optimize initial cash flows. Underground mining methods will account for approximately 95.5% of the total ore produced.
Geological Context
Situated within the renowned Kiruna Iron Oxide Copper Gold (IOCG) mining district, the Viscaria deposit comprises stratabound, massive, and semi-massive magnetite formations enriched with varying proportions of iron and copper sulfides, as well as carbonates. The geological setting is characterized by primary lithological and structural controls that influence fluid flow and metal deposition, offering promising avenues for ongoing exploration.
Path Forward
With the environmental permit now legally binding following the Supreme Court’s decision not to grant leave to appeal, Viscaria Gruvaktiebolag is poised to transition from planning to execution. Preparatory activities, including the construction of a water treatment plant and the dewatering of old mine shafts, are underway. The company aims to commence production in 2026, aligning with its vision to become a leading supplier of responsibly produced copper in Europe. The revitalization of the Viscaria mine not only signifies a resurgence of Sweden’s mining heritage but also contributes to the broader European initiative for sustainable and secure metal supply chains.
