Swedish copper and zinc producer Boliden said its second-quarter profit climbed 75 percent to 755 million Swedish kronor ($103 million). Its revenue rose to 8.91 billion kronor from 6.44 billion kronor.

Its operating profit was smaller-than-expected and its stock share dived more than 4 percent in Stockholm trading.

Higher volumes compensated for lower base metal prices, the company said.

Full statement:

Increased mine production - but higher costs

Q2 2010

· Revenues totalled SEK 8,908 million (SEK 6,439 m)
· The operating profit totalled SEK 1,123 million (SEK 654 m) - and totalled SEK 1,130 million (SEK 477 m), excluding the revaluation of process inventory
· Free cash flow totalled SEK 201 million (SEK -97 m)
· Earnings per share totalled SEK 2.76 (SEK 1.58)
· Refinancing of the loan portfolio
· Aitik in production
· Major maintenance shutdown at Rönnskär

Boliden's operating profit for the second quarter totalled SEK 1,123 million (SEK 654 m). The revenues totalled SEK 8,908 million (SEK 6,439 m), an increase of 38 per cent. Besides higher metal prices, increasing volumes of copper being produced by the expanded Aitik mine and higher volumes of zinc from the smelters contributed to the improvement.

"We've had a quarter of high volatility of the metal prices but also an improvement in demand for our metals. For Boliden the quarter was marked by an increased production in both our mines and our smelters, the commissioning of the Aitik expansion and a major maintenance shutdown at the Rönnskär copper smelter. The projects meant we incurred relatively substantial costs. The Aitik expansion is now in production and we are successively running in the ore production facilities in order to achieve their full capacity of 36 million tonnes per annum in 2014," says Boliden's President & CEO, Lennart Evrell.