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The subsidiaries Endomines and Kalvinit have been working on research tightly connected with project development and mining activity. Both of them have concentrated their research efforts on process development.

Together with the Finnish research institute, The Geological Survey of Finland, Endomines has examined different gold beneficiation processes. It has concentrated on the cyanide leaching of the concentrate from the Company’s test mining aiming at improving the recovery of the gold from the concentrate. The Company has also examined the possibility of using biological leaching with the help of bacterium, although studies show that similar beneficiation results are reached with cheaper, traditional methods. Endomines has decided not to use cyanide in ore or concentrate processing in Pampalo.

Kalvinit has also taken part in a local energy manufacturing project to create possibilities for cheaper energy. The project has led to a pre-feasibility study.

Kalvinit, together with Geological Survey of Finland, has developed beneficiation technology and utilisation of magnetic separation methods to considerably improve the product quality and reduce the investment and operation costs. Also, the possibilities of beneficiating apatite with flotation to reduce the need of the sulphuric acid leaching are being examined. The Company has commissioned Outotec Oyj to examine the costs of processing of ilmenit to titanium slag and pig iron as a possible next step in the development of the project. The results of this Informative Study are interesting but preliminary and uncertain. Therefore this will not lead to immediate action.

Kalvinit and Endomines’ research and development activity has not led to any patents or licences.The subsidiaries are more practically aimed concentrating on the product technology.

The results of the energy project and the utilisation of electrolysis in manufacturing titanium are preliminary and uncertain. Kalvinit is not expecting any direct or immediate results from these projects.

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