Description of the company

Dragon Mining Oy is a Finnish mining company that conducts ore exploration around its mines. Dragon Mining Oy is owned by the Australian Dragon Mining Ltd, which is listed on the Hong Kong stock exchange. In 2024, the company have an operating gold mine in Jokisivu Huittinen, where the ore is mined underground. The production of Kaapelinkulma mine in Valkeakoski ended in April 2021 and the production of the Orivesi mine ended in June 2019. In these mines the closure processes are ongoing. The ore mined from the Jokisivu mine is processed at the Vammala Plant in Sastamala. The Vammala Plant is a conventional flotation facility that produces gold concentrate and a lesser amount of gravity gold. The company’s main product is gold concentrate.

The answers presented in the social responsibility report concern the Jokisivu, Kaapelinkulma and Orivesi mines and the Vammala Plant.

Results according to the TSM Finland Standard

AAA
AA
A
B
C
Community Outreach Biodiversity Management Tailings management Water management Climate change management Mine closure Occupational health and safety

Crisis management

Crisis management preparedness Internal review Training and exercises
Crisis Management Planning – Corporate
Crisis Management Planning – Site
Results as of: Results verified in 2025
Latest externally verification: 14.8.2025

Social Responsibility Report

Company in figures

  • Production volume: A total of 5200t of gold concentrate.
  • Total mining: Ore approx. 280 000 t and waste rock approx. 210 000 t.
  • Reported one reserves: Jokisivu / Huittinen: Proved 300 000 t @ 2,5 g/t Au. Probable 930 000 t @ 2,2 g/t Au
  • Reported mineral reserves: Jokisivu / Huittinen: Measured 530 000 t / 3,5 g/t Au. Indicated 1 500 000 t / 2,8 g/t Au. Inferred 670 000 t / 2,7 g/t Au. Kaapelinkulma / Valkeakoski: Measured 21 000 t / 1,9 g/t Au. Indicated 41 000 t / 3,2 g/t Au. Inferred 100 000 t / 4,4 g/t Au. Orivesi: Measured 93 000 t / 5,0 g/t Au. Indicated 110 000 t / 5,9 g/t Au. Inferred 71 000 t / 4,8 g/t Au.
  • Year of commencement: Mining at Huittinen Jokisivu mine started in 2009. Mining at Valkeakoski Kaapelinkulma started in 2019 and ended in April 2021. The closure plan for Kaapelinkulma has been approved by the authority. The utilization of mine waste rock is being investigated. The operation of the Orivesi mine started in 2006 (restarting of mining operations), there was a shutdown in 2003–2006, the mine was opened for the first time in 1994 by another company. The operation of the Orivesi mine ended in June 2019 and the closure plan has been submitted to the authorities. The latest study to supplement the closure plan has been a Natura assessment. The closure plan is currently being processed by the authorities. The Vammala Plant crushing, milling and flotation facility was recommissioned in 2007. The Vammala Plant was closed between 2003 to 2007, and was originally opened in the mid-1970s by another company.
  • Expected remaining life of the mine: 0-5
  • Mining area: A total of 358 ha.
  • Number of own employees (31.12.): 33
  • The main localities of the employees: Sastamala, Tampere, Nokia, Huittinen.
  • Number of permanent contractors (31.12.): 53
  • Operating profit EBITDA: 17,9 million euros
  • Paid capital gains tax: 3,16 million euros

Information about prospecting

In 2024, exploration has been done in Jokisivu mining concession and mining permit areas by diamond drilling.

  • Number and area of reservation areas: 0 pcs
  • Number and area of exploration permit areas: 5 pcs and 680 hectares
  • Number and area of exploration permit application: 0
  • Exploration permits under appeal: 0
  • Exploration drilling: about 9,5 km

Environment

The company's environmental practices:
Yes No
Location in a nature reserve*
Environmental Management System **
Environmental impact assessment required (in accordance with the EIA Act) *
Measurements for dust
Measurements for noise
Measurements for vibration
Environmental risk assessment carried out
Deviations from environmental permits ***
Closure plan for the mine
Plan for the controlled shutdown of the mine in unexpected situations
  • *** 1 pcs (a slight excess of solids in mine discharge water).

  • Environmental permit granted: Yes
  • Year of permit: Jokisivu: The valid environmental permit was granted in 2010, which was partially amended in 2016. The updated environmental permit application was submitted to the Regional State Administrative Agency in 2024. for which the Regional State Administrative Agency issued a permit decision in January 2025. The permit has been appealed and the permit case is still pending. Vammala: The valid environmental permit was granted in January 2024.
  • Link of permit: -
  • Guarantee in accordance with the Environmental Protection Act: In accordance with the permits.
  • Financial guarantee in accordance with the mining act in the mining permit area: In accordance with the permits.
  • Financial guarantee in accordance with the mining act in mineral exploration permit area: In accordance with the permits.

Key Figures

  • Amount of mining waste: Waste rock about 210 000 t and tailings about 295 000 t.
  • Utilixation of extractive waste: In 2024, about 195 000 t of waste rock has been transported and used as a stope backfill material of the Jokisivu underground mine. About 5 500 t of waste rock was crushed for own use. In addition, in 2024, approximately 13 000 tons of Jokisivu waste rock were transported to Vammala and used as material for the structures of the tailings area.
  • Fuel Consumption: Fuel oil 440 t, Diesel 275 t
  • Other energy consumption: Electricity 14,6 GWh. The heating plant at Jokisivu used 0,34 GWh LPG.
  • Energy consumption target:
  • CO2 emissions from the mine: CO2 emissions from fuels approx. 2200 t and CO2 emissions from LPG approx. 79 t (mine heating).
  • Water consumption: The Company uses groundwater, surface water and recycled water in its operations.
  • Discharge of water outside the mining area: Jokisivu 0,22Mm3, Vammala 0,73Mm3, Kaapelinkulma 0,007Mm3, Orivesi 0Mm3
  • Number of dams in the mining area: 1 pcs (Vammala tailings area, class 2).
  • Endangered species are present in the operational area: Yes
  • Use of environmentally hazardous chemicals: Environmentally hazardous chemicals are not used in the mines. In the flotation process of the Vammala Plant, collector chemicals are used and some of those have been defined as dangerous for the environment. The chemicals are mainly remained in the the final product (concentrate).
  • Biodiversity actions: • Based on the flying squirrel surveys conducted in the Jokisivu mining area of ​​Huittinen in 2018 and 2022, the mining area has a vibrant flying squirrel population and one reason for the good flying squirrel situation is the good nesting situation. A large number of nesting huts suitable for flying squirrels have been installed in the area by the mining company. The most recent installation of the nesting huts was carried out during the summer of 2023. In the 2025 survey, signs of flying squirrels were found in a smaller area than in 2018 and 2022. The differences in the number of squirrels may be explained to some extent by weather conditions and the fact that the survey was carried out at different times of spring in different years. A more likely explanation for the weaker results in 2025 is probably the small size and isolation of the forests in the Jokisivu mining area, which means that predators and random causes can cause more variation in the flying squirrel population than usual. The flying squirrel population in the area is monitored through regular surveys. • In the Kaapelinkulma area, the Woodland brown butterfly has been monitored in 2018–2024, and based on the monitoring, the butterfly populations in Kaapelinkulma have been found to be viable on 2018-2021 monitorings. In the 2024 monitoring, the number of individuals was lower, which was probably due to the earlier than expected flight time as well as the instability of the weather conditions during the flight time. The next butterfly monitoring will be in 2025.

Personnel and safety

The company's personnel practices:
Yes No
Staff initiative system
Performance appraisals concerning the entire personnel
Staff training plan
Equality plan
Employee representation in company administration
Occupational health and safety management system*
Occupational safety card for everyone working in the area
Own rescue unit
  • * Not certified, also applies to contractors.

Key Figures

  • Average training days: About 2,4 days/employee
  • Sickness absences (excluding contractors): 2,6 %
  • Accident frequency: Companys employees 1 accident: 6,90 accidents per million working hours.
  • Shift systems in use: 2-shift system, 7.5-hour working day system, 12-hour working day system, flexible working time.
  • Share of women in the labour force: 18 %

Impact on the use and livelihoods of nearby areas

Impact on local livelihoods:

  • Mining operations are not located in the reindeer herding area. The municipality, residents of the surrounding area, landowners and rural businesses are taken into account in the company’s stakeholder cooperation work.

Impact on nearby recreational use:

According to the company’s own assessment, its operations partially have an impact on land use when the operational areas are away from other uses.

The finished operation of the Orivesi mine had effects on the two lakes below. The state and quality of the lakes are monitored regularly. In the trial fishery carried out in 2024, the perch population in lake Ala-Jalkajärvi has increased significantly since 2021, and the trial fishery catch was so abundant that the net unit catch was even more than twice the unit catch in the next lake Peräjärvi. The size distribution of the perch catch in Ala-Jalkajärvi was diverse, presumably representing many age groups. The change in the perch population is an indication that conditions have become more favorable for the fishery after the metal concentrations in the water have clearly decreased.

From lake Ala-Jalkajärvi, the waters flow through Horhanpuro to Lake Peräjärvi. The strong stratification of lake Peräjärvi has narrowed the area with sufficient oxygen and viability for fish, and this time too, the four deepest nets were completely devoid of fish. The biggest change in the 2024 test fishing results of Lake Peräjärvi was the decrease in roach compared to the three previous monitoring sessions. The number of perch catches has remained more or less the same. According to water monitoring, the stratification of Lake Peräjärvi, which is caused by sulfate concentrations, has been partially break down in both 2023 and 2024. This development trend will significantly change the conditions for fish and other organisms in a positive direction.

The cessation of the mine discharge waters and recent changes in the water quality and metal concentrations of Lake Peräjärvi have probably contributed to the fact that the signal crayfish has finally spread from the Peräjoki River to Lake Peräjärvi. Experimental crayfish collections in Lake Peräjärvi have been carried out since 2003, and the two spotted crayfishes from there in 2024 were the first in the observation history.

Impact on landscape value:

  • Landscape values ​​have been taken into account in the planning of the company’s operations. At the end of the operation, the areas will be landscaped according to the closure plans.

Interaction with stakeholders

Stakeholder cooperation:

  • The company has organized open house days.
  • The company receives visitors, such as the neighbors of the mines and the Vammala Plant, as well as student groups.
  • The company offers thesis, summer work and internships for schoolchildren and students.
  • The company supports local sports and hobby activities.

Research and cooperation projects:

  • Thesis works has been accomplished, which serve both the student and the company.
  • The company is a partner in development and research projects.
Social Responsibility Report
Area of operation
Huittinen, Valkeakoski, Orivesi, Sastamala
Contact information:
Tuomo Etelämäki
Environmental Manager
Dragon Mining Oy

Towards Sustainable Mining – TSM Suomi