Nordic Mines AB (publ) Interim report January-September 2014

Third quarter of 2014

·       Net income was only SEK 1.3 million (SEK 74.4 million) due to the production stop at the Laiva mine.
·       The Company recorded an operating profit of SEK 406.7 million (SEK -52.8 million) as a result of significant debt write-downs.
·       Profit after tax for the period amounted to SEK 235.9 million (SEK -47.0 million), corresponding to SEK 0.28 (SEK -0.14) per share.
·       Comprehensive income for the period amounted to SEK 224.3 million (SEK -19.4 million), corresponding to SEK 0.15 (SEK -0.06) per share.
·       Cash and cash equivalents were SEK 129.7 million (SEK 7.0 million, 30 June 2014) at the end of the period.
·       Equity was SEK 516.3 million (SEK 159.4 million, 30 June 2014) at the end of the period.
·       As Nordic Mines decided to stop production at the Laiva mine until further notice, no ore was processed during the period.
·       On 31 July 2014, the Uleåborg District Court adopted the composition plan proposal filed with the court by the administrator for Nordic Mines' Finnish subsidiary.
·       On 7 August 2014, the Uppsala District Court adopted the composition plan proposal filed with the court by the administrator for Nordic Mines' Swedish company.
·       On 11 August 2014, Nordic Mines announced that it had reached an agreement in principle with its lenders, which largely confirmed the preliminary, non-binding agreement presented on 5 June 2014.
·       On 14 August 2014, Nordic Mines announced that it had signed the final contract documentation regarding the agreement with the Company's lenders that was presented on 11 August 2014.
·       On 14 August 2014, Nordic Mines published a supplementary prospectus regarding the then upcoming rights issue.
·       On 22 August 2014, Nordic Mines announced that it had received notification of subscription for new shares in the then ongoing rights issue amounting to SEK 100 million.
·       On 1 September 2014, Nordic Mines announced that it had received notification of subscription for new shares in the then ongoing rights issue amounting to approximately SEK 152 million (before issue costs). The outcome of the issue meant that all conditions for concluding the refinancing of Nordic Mines were thereby fulfilled. On the same day, Nordic Mines announced a second supplementary prospectus regarding the rights issue.
·       On 10 September 2014 Nordic Mines announced that the proceeds from the rights issue had been received.

·       Net income was only SEK 62.9 million (SEK 257.1 million) due to the production stop at the Laiva mine as of the second quarter.
·       The Company recorded an operating profit of SEK 343.8 million (SEK -121.9 million) as a result of significant debt write-downs.
·       Profit after tax for the period amounted to SEK 172.3 million (SEK -119.2 million), corresponding to SEK 0.23 (SEK -0.39) per share.
·       Comprehensive income for the period amounted to SEK 154.5 million (SEK -4.2 million), corresponding to SEK 0.21 (SEK -0.01) per share.
·       Cash and cash equivalents were SEK 129.7 million (SEK 7.0 million, 30 June 2014) at the end of the period.
·       Equity was SEK 516.3 million (SEK 159.4 million, 30 June 2014) at the end of the period.

·       On 21 October 2014 Nordic Mines held a capital market presentation and in conjunction with this presentation also published a company update on the Company's website the same day. In the company update Nordic Mines described the current situation, its plans for the immediate future and long-term strategic priorities. Among other announcements, the company announced its goal of the Laiva mine delivering a positive EBITDA within 6-12 months of its restart.

"Following the outcome of the rights issue of SEK 152 million, Nordic Mines has been able to conclude the reorganisation proceedings that have been underway since July 2013. The received funds from the issue have also made it possible to implement the write-down of around SEK 450 million. This write-down, the composition plans in Sweden and Finland and the proceeds from the issue have enabled Nordic Mines to progress from the threat of bankruptcy to an enhanced cash position. Together, they are also making it possible for us to have the goal during the winter/spring of 2015 of restarting operations at the Laiva mine in a manner that creates conditions for profitable mining," comments Nordic Mines CEO Thomas Cederborg.

For further information, please contact:
Thomas Cederborg, CEO, +46 708 480 521
Jonatan Forsberg, CFO, +46 76 105 13 10

For further information regarding Nordic Mines, please connect to www.nordicmines.com

The information above has been made public in accordance with the Securities Market Act and/or Financial Instruments Trading Act. The information was published at 08.00 (CET) on November 7, 2014.

Nordic Mines is a Nordic mining and exploration company whose vision is to be one of the leading Gold producers in the Nordics and Europe and a role model in respecting the environment. The company started mining gold in the Laiva mine in Finland in summer 2011. These gold deposits are among the largest in the Nordic region. Exploration is in progress in Finland and in Sweden. Nordic Mines was established 2005 and have more the 100 employees with head office in Uppsala, Sweden, The Nordic Mines share is traded on the Nasdaq OMX Small Cap list in Stockholm.