NORDIC MINES AB (publ) Interim Report January - September 2015

The English text is an unofficial translation of the Swedish original, and in the event of any discrepancies between the Swedish text and the English translation the Swedish text shall take precedence.

Third quarter of 2015

• Net income was SEK 0.0 million (SEK 1.3 million) due to the production stop at the Laiva mine.
• The Company reported an operating loss of SEK -12.6 million (SEK 406.7 million as a result of composition gains) due to the production stop at the Laiva mine.
• Profit/loss after tax for the period amounted to SEK -15.6 million (SEK 235.9 million), corresponding to SEK -0.29 (SEK 15.54) per share.
• Comprehensive income for the period amounted to SEK -13.8 million (SEK 224.3 million), corresponding to SEK -0.26 (SEK 14.78) per share.
• Cash and cash equivalents were SEK 21.1 million (SEK 40.7 million, 30 June 2015) at the end of the period.
• Equity was SEK 390.0 million (SEK 403.8 million, 30 June 2015) at the end of the period.
• An agreement in principle was reached with Ab Tallqvist Infra Oy, a local mining contracting firm, to operate the Laiva mine in the future.
• Nordic Mines Oy has conducted codetermination negotiations with representatives for the employees at the Laiva mine with the aim of realising additional cost savings in the immediate future. Nordic Mines AB (publ) ("Nordic Mines" or "the Company") also initiated a number of additional measures to reduce the Company's operating expenses. The measures as a whole reduce the Company's total operating costs by approximately one-third. Through streamlining, the company's overhead costs have been reduced by approximately 50 percent.
• Tom Söderman at his own request has decided to step down from his position as General Manager of the Laiva mine and will be replaced until further notice by the Company's current Head of Exploration, Peter Finnäs, starting on 1 November 2015.
• Nordic Mines implemented the consolidation of shares (reverse split) on a 1:100 basis as resolved by the Annual General Meeting.
• Nordic Mines AB (publ) has reached an agreement in principle with the Company's lenders that Nordic Mines will buy all of the lenders' claims on Group companies in accordance with the existing project financing agreement.
• The Board of Directors of Nordic Mines has decided on a new rights issue for current shareholders ("Rights Issue") on the condition that the issue is approved by the extraordinary general meeting ("the Meeting"). The Rights Issue is being conducted with the aim of funding the purchase of all of the lenders' claims on Group companies and to fund the Company for at least 12 months while waiting for more beneficial external factors in the form of primarily the Gold price and currency rates.

January - September 2015

• Net income was SEK 0.0 million (SEK 62.9 million) due to the production stop at the Laiva mine.
• The Company recorded an operating loss of SEK -67.3 million (SEK 343.8 million).
• Profit/loss after tax for the period amounted to SEK -76.1 million (SEK -172.3 million), corresponding to SEK -1.41 (SEK 23.5) per share.
• Comprehensive income for the period amounted to SEK -76.8 million (SEK 154.5 million), corresponding to SEK -1.42 (SEK 21.06) per share.

Significant post balance sheet events

• The Company held an extraordinary general meeting on 21 October 2015. The Meeting resolved to approve the Board of Director's proposal for a Rights Issue.
• The Chair of the Board of Nordic Mines and all Board members have announced their intention to subscribe to shares in the Nordic Mines Rights Issue and, where applicable, for a minimum of their pro-rata shares. CEO Eva Kaijser also announced her intention to subscribe to shares in the Rights Issue.

For further information, please contact:

Eva Kaijser, CEO,+46 (0)70 932 09 01
Jonatan Forsberg, CFO, +46 (0)76 105 13 10

For more information about Nordic Mines, please visit www.nordicmines.com.
The information presented above has been disclosed pursuant to the Securities Markets Act and/or the Financial Instruments Trading Act. The information was published on 30 October 2015 at 8:00 a.m. 

Nordic Mines is a Nordic mining and exploration company. The Laiva mine in Finland produced gold between 2011 and 2014. The deposit is among the largest in the Nordic region. Nordic Mines is a member of SveMin and applies its reporting regulations for public mining and exploration companies. The Nordic Mines share has been admitted for trading on Nasdaq Stockholm's Small Cap list. Also refer to www.nordicmines.com