Solway Investment Group Announces Its Full Year 2018 Financial Results.

ZUG, Switzerland: Despite a volatile commodities market and unstable global steel production volumes, Solway Group continues to develop and optimize its nickel production structure at its production facilities in Guatemala and Ukraine. The company is primarily focused on reducing the cost of nickel production and increasing production volumes. Looking forward, the Group will also be developing a new mine, Borov Dol, in Macedonia, as well as identifying exploration opportunities for new gold deposits at Kurilgeo in Russia.

The Fenix Project, Guatemala

In 2018, 2.618 million metric tons of wet nickel ore were mined in Guatemala. Pronico delivered 14,688 metric tons of nickel in ferronickel in 2018 compared to the 12,416 metric tons it produced in 2017. Total capital expenditures amounted to USD 32 million. This figure includes purchases of mine equipment and coal boilers, construction of an SPLC system, and exploration works.

Considerable management and shareholder effort was invested in acquiring equipment for electricity generation and ensuring stability of production. The Group also continues investing in different processes to increase both production volumes and the quality of the goods produced. The Group remains absolutely committed to the highest standards of health and safety, environmental protection, sustainability, and local community development.

Pobuzhsky Ferronickel Plant (PFP), Ukraine

In 2018, PFP processed 1.431 million metric tons of wet ore into 15,807 tons of nickel in ferronickel.

In 2018, the investment plan was primarily focused on supporting production volumes and increasing the efficiency of the gas cleaning units. Capital expenditures to repair the primary technical equipment equaled USD 2.7 million. Investments to support production capacity -- acquisition of equipment, technical equipment, construction, etc.-- were USD 0.6 million in 2018. In 2017, the plant launched a long-term project for the reconstruction of the third stage of the gas treatment facility. The first stage of construction was completed in 2018 and the second stage of this project will be completed without stopping the main production facility. Total expenditures (the cost of equipment purchased and works performed) equaled USD 1.7 million. After the program is completed, the level of emissions cleaned will increase to 99.9%.

Kurilgeo Project, Russia

In 2018, Kurilgeo produced 42,600 oz. of gold, a 37% increase compared to 2017, and 123,988 oz. of...