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.

NORDIC MINES AB (publ) Interim report January – June 2015 Second quarter 2015         

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Net income was SEK 0.0 million (SEK 10.0 million) due to the production stop at the Laiva mine. The Company reported an operating loss of SEK -28.4 million (SEK -26.0 million) due to the production stop at the Laiva mine. Profit/loss after tax for the period amounted to SEK -31.3 million (SEK -27.1 million), corresponding to SEK -0.01 (SEK -0.08) per share. Comprehensive income for the period amounted to SEK -31.9 million (SEK -32.8 million), corresponding to SEK -0.01 (SEK -0.10) per share. Cash and cash equivalents were SEK 40.7 million (SEK 57.9 million, 31 March 2015) at the end of the period. Equity was SEK 403.8 million (SEK 435.7 million, 31 March 2015) 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. The Board of Directors of Nordic Mines AB (publ) (“Nordic Mines”, “the Company” or “the Group”) appointed Eva Kaijser the new CEO of the Group. More information is available under New CEO of Nordic Mines. The Board of Directors of Nordic Mines has decided to delay the start of production at the Laiva mine until further notice. However, the Company is continuing to work on the preparation of a financing solution which given the right conditions would make it possible to restart operations at the Laiva mine with sufficient profitability. More information is available under Nordic Mines delays the start of production at the Laiva mine and Strategy and financing for Nordic Mines and the Laiva mine. Nordic Mines held its Annual General Meeting (AGM) for the Company on 30 June 2015. At the AGM a Board of Directors for Nordic Mines was elected consisting of Lennart Schönning (Chair), Ulla-Britt Fräjdin-Hellqvist (Deputy Chair), Krister Söderholm, Tord Cederlund and Manfred Lindvall. More information is available under Annual General Meeting.

January – June 2015      

Net income was SEK 0.0 million (SEK 61.6 million) due to the production stop at the Laiva mine. The Company recorded an operating loss of SEK -54.7 million (SEK -62.8 million). Profit/loss after tax for the period amounted to SEK -60.5 million (SEK -63.6 million), corresponding to SEK -0.01 (SEK -0.19) per share. Comprehensive income for the period amounted to SEK -63.0 million (SEK -69.9 million), corresponding to SEK -0.01 (SEK -0.20) per share. Cash and cash equivalents were SEK 40.7 million (SEK 57.9 million, 31 March 2015) at the end of the period. Equity was SEK 403.8 million (SEK 435.7 million, 31 March 2015) at the end of the period.

Significant post balance sheet events 



Nordic Mines has implemented a number of measures with the aim of achieving more flexibility before a future re-start of operations at the Laiva mine and realising additional cost savings in the short term. 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 announced that it will be extending an invitation for codetermination negotiations in order to realise additional cost savings in the near future at the Laiva mine. Current General Manager Tom Söderman at his own request has decided to leave his post at the end of 2015. More information is available under Changes at the Laiva mine.

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

The Company’s lenders have expressed to the Company that they believe that the Group is in violation of the current project financing agreement on a number of points and has submitted a request to the Company on 10 August 2015 for a clarification from the Company regarding the Company’s financing. The Company is therefore holding discussions with its lenders. If Nordic Mines is in significant breach of its project financing agreement, the bank consortium is entitled to apply for a default of the Finnish composition plan. More information is available under Significant risks and uncertainties.

Operations at the Laiva mine during the second quarter of 2015 Nordic Mines had already entered into codetermination negotiations with representatives for the employees at the Laiva mine as early as March 2014 to realise additional cost savings. The negotiations resulted in the lay-off of employees at the mine and plant and a production stop was implemented until further notice. The production stop, which initially applied until the external financing required to restart operations had been secured, has not been lifted yet. Up until the production stop, the Company had continued to process ore from a previously mined ore layer. Due to the production stop, no ore was processed during the second quarter of 2015. As at 30 June 2015, Nordic Mines had 66 employees in Sweden (4) and Finland (62). The majority of these employees have been laid off in conjunction with the codetermination negotiations described above. As at 30 June 2015, there have been no accidents at the Laiva mine during the past 497 days.

Nordic Mines delays the start of production at the Laiva mine The overall goal of Nordic Mines is to restart operations at the Laiva mine at a point in time when external factors in particular, such as the price of gold and the exchange rate, create conditions for profitable mining. Intensive efforts have been underway since the reorganisations of the Group’s companies were concluded to plan the restart of the operations. SRK Consulting UK Ltd (SRK), as communicated previously, collaborated with Nordic Mines at the end of 2014 and the beginning of 2015 to develop a business plan for the restart of the operations at the Laiva mine. The business plan is based on the mineral reserve as of 1 January 2015, as calculated by SRK, totalling 9.4 million tonnes with a head grade of 1.2 g/t. In conjunction with preparations to restart its mining operations, Nordic Mines prepared a detailed mining plan for the first 18 weeks on the basis of additional drill hole data. However, negative deviations in the detailed mining plan resulted in further review of the mineral reserve in its entirety. The determination therefore has now been made that a higher gold price than what was used in previous assumptions is required to ensure sufficient profitability for the restart of the Laiva mine. The review of the mineral reserve also indicated that a smaller drilling program is desirable to achieve an optimal mining plan and a detailed mining plan. Given the current state of uncertainty, the Board of Directors therefore decided to hold off on the start of production at the Laiva mine.

Strategy and financing for Nordic Mines and the Laiva mine The Company is continuing to work on the preparation of a financing solution which given the right conditions would make it possible to restart operations at the Laiva mine with sufficient profitability. Such a solution could consist of, individually or in combination, for example, share issues and/or collaborations with strategic or financial partners, the pre-sale of gold production and gold deliveries, the renegotiation of supplier terms and other types of bridge financing for working capital. The Company’s lenders have expressed to the Company that they believe that the Group is in violation of the current project financing agreement on a number of points and has submitted a request to the Company on 10 August 2015 for a clarification from the Company regarding the Company’s financing. The Company is therefore holding discussions with its lenders. If Nordic Mines is in significant breach of its project financing agreement, the bank consortium is entitled to apply for a default of the Finnish composition plan. More information is available under Significant risks and uncertainties In the notice to attend the Company’s AGM, which was held in Uppsala on 30 June 2015, the Board attempted to create some room for negotiation in its continued work to secure an optimal financing solution for the Company. The notice therefore included among other points a proposal for a resolution on a rights issue and a directed share issue. Since the Board decided to hold off on the start of production at the Laiva mine, the Company has not currently sought additional capital from its shareholders or external investors via the share issues previously proposed in the notice to attend the AGM, but rather withdrew the share issues proposed to the AGM. The Company intends to call an extraordinary general meeting during the year in the event the situation changes and new financing in the form of a share issue will take place. As part of its efforts to prepare an optimal financing solution, Nordic Mines has engaged Evli Bank and PWC Corporate Finance Debt & Capital Advisory as financial advisors.

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Changes at the Laiva Mine Nordic Mines is implementing a number of measures with the aim of obtaining more flexibility before a future restart of operations at the Laiva mine and for realising additional cost savings in the short term:   

Agreement in principle with Ab Tallqvist Infra Oy, a local mining contracting firm, to operate the Laiva mine in the future. Nordic Mines Oy announced that it will be extending an invitation for codetermination negotiations with the goal of realising additional cost savings in the near future at the Laiva mine. Current General Manager Tom Söderman at his own request has decided to leave his post at the end of 2015.

The agreement in principle with Ab Tallqvist Infra Oy entails that the local mining contractor will become a strategic partner of Nordic Mines and take significantly more responsibility for the operation of the Laiva mine than it did before. This also provides Nordic Mines with more flexibility regarding the restart of operations at the Laiva mine, primarily in terms of staffing. The Finnish subsidiary, Nordic Mines Oy, also intends to invite employee representatives to codetermination negotiations in accordance with Finnish law. The aim of these negotiations is realise additional cost savings in the near future and thus extend the time available to find a financing solution for the Company and the Laiva mine.

New CEO of Nordic Mines During the quarter the Board of Nordic Mines named Eva Kaijser the new CEO of the Company. Eva has more than 17 years of experience in the mining industry, of which 11 were with the Boliden Group in various operational and Group management roles. She then served as the CFO of Northland Resources. Most recently she has worked as an independent advisor in the mining industry. Eva Kaijser assumed the post of CEO of Nordic Mines on 4 May 2015.

Profit/loss for the second quarter of 2015 Net sales were SEK 0.0 million (SEK 10.0 million) during the second quarter of 2015 due to the production stop at the Laiva mine. Production costs for the second quarter of 2015 amounted to SEK 9.5 million (SEK 19.5 million). Even if there has not been any production during the quarter, the Company has maintained some of the organisation around the Laiva mine, for example for maintenance work as well as planning and preparations to restart operations at the Laiva mine. Consulting costs to update the Company’s business plan for the Laiva mine are also included in this item. The mine and the plant also have a number of fixed costs, for example balancing the water levels in the mining area, which remain even when production has stopped. Depreciation, amortisation and impairment losses for the second quarter of 2015 were SEK 7.4 million (SEK 8.1 million). Sales and administration costs amounted to SEK 9.7 million (SEK 12.3 million). Other operating income and operating expenses consist primarily of foreign exchange rate changes. The Company recorded an operating loss of SEK -28.4 million (SEK -26.0 million). Net financial items were SEK -2.9 million (SEK -9.6 million) and consisted primarily of accumulated interest. The Company’s income tax for the period has an impact of SEK 0.0 million (SEK 8.4 million) on profit/loss. Profit/loss for the period amounted to SEK -31.3 million (SEK -27.1 million).

Cash flow and financial position Cash flow from operating activities including changes in working capital for the second quarter of 2015 amounted to SEK -15.9 million (SEK -23.5 million). Cash flow from the financing operations amounted to SEK -1.0 million (SEK 9.4) during the same period. Cash and cash equivalents at the end of the period amounted to SEK 40.7 million compared to SEK 57.9 million as of 31 March 2015. At the end of the period, the Group’s equity was SEK 403.8 million, compared to SEK 435.7 million as of 31 March 2015. The equity/assets ratio was 67.0 per cent compared to 68.7 per cent as of 31 March 2015. Net debt was SEK 86.6 million compared to SEK 70.4 million as of 31 March 2015.

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Investments Since the Company is currently not conducting any mining operations at the Laiva mine, only smaller investments have been made. Net investments during the quarter amounted to SEK 0.3 million, compared to SEK 0.8 million during the same quarter of 2014.

Segment reporting As per January 2013, the Group stopped using a segment division as there has only been one productive mine in Finland within the Group, and exploration work is currently limited to an administrative scope due to cost savings. The consolidated income statements and balance sheets have been reviewed and valued thereafter.

Employees During the second quarter of 2015, the average number of employees was 67 (84). Of these, the majority have been laid off. More information is available under Operations at the Laiva mine during the second quarter of 2015. As at 30 June 2015 there were 66 employees (84). No serious accidents were reported during the period.

Exploration Due to cost savings, Nordic Mine’s exploration work was more or less suspended at the beginning of 2013. In total, capitalised exploration expenses as at 31 March 2015 amounted to SEK 63.4 million.

Mineral resource and mineral reserve, 1 January 2015, prepared by SRK Consulting UK Ltd On 26 February 2015, Nordic Mines presented an updated mineral reserve for five years of gold production. The total proven and probable mineral reserve in Laiva as of 1 January 2015 is 9,367,000 tonnes with an average grade of 1.19 grams of gold per tonne (cut-off 0.6 grams per tonne). The gold content in the mineral reserve corresponds to around 11,200 kg (360,000 troy ounces). The updated mineral reserve and mineral resource for the Laiva mine was prepared by SRK, an independent mining consultancy company. The calculation applies the current JORC code (JORC Code 2012). Nordic Mines’s presentation of the Company’s mineral resource and mineral reserve complies with the Fennoscandian Review Board’s (FRB) regulations for public disclosure of information. During the second quarter 2015, in conjunction with preparations to restart its mining operations, Nordic Mines prepared a detailed mining plan for the first 18 weeks on the basis of additional drill hole data. Negative deviations in the detailed mining plan resulted in further review of the mineral reserve in its entirety. The determination has now been made that a higher gold price than what was used in previous assumptions is required to ensure sufficient profitability for the restart of the Laiva mine.

Laiva Mineral Resource (1 January 2015) Category

Tonnage (t)

Au Grade (g/t)

Gold (kg)

Gold (tr.oz)

Measured

-

-

-

-

Indicated

15,970,000

1.52

24,300

780,000

Measured + Indicated

15,970,000

1.52

24,300

780,000

Inferred

3,220,000

2.08

6,700

215,000

The mineral resource is reported at a cut-off grade of 0.6 g/t. The model for the calculation of the mineral resource is limited by an assumed gold price of € 1,300 per troy ounce (USD 1,510 per troy ounce). The reported mineral resource includes the mineral reserve shown below.

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Laiva Mineral Reserve (1 January 2015) Category

Tonnage (t)

Au Grade (g/t)

Gold (kg)

Gold (tr.oz)

-

-

-

-

Probable

9,367,000

1.19

11,200

360,000

Proved + probable

9,367,000

1.19

11,200

360,000

Proved

The mineral reserve is reported at a cut-off grade of 0.6 g/t. The calculation of the mineral reserve was based on an assumed five-year gold price of € 1,020 per troy ounce (USD 1,184 per troy ounce). For definitions, please refer to Definitions in accordance with SveMin.

The gold market and price of gold According to LBMA (London Bullion Market Association) gold fixing, the price of gold was listed at the beginning of the quarter per tr. oz. at USD 1,197 and EUR 1,113, and at the end of the quarter at USD 1,171 and EUR 1,046. EUR/ Ounce

USD/ Ounce

2000

2000

1600

1600

1200

1200

800

800

400

400

0

2007

2008

2009

2010 Gold, USD

2011

2012

2013

2014

2015

0

Gold, EUR

The Nordic Mines share The Nordic Mines share has been traded on the Nasdaq Stockholm’s Small Cap list since July 2008. The ticker symbol for the share is NOMI and the ISIN code is SE0001672809.

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Shareholders As at 30 June 2015, the number of shareholders in Nordic Mines amounted to approximately 11,000. The ten largest shareholders in the Company are listed in the table below.

Shareholders as at 30 June 2015 GOLDMAN SACHS INTERNATIONAL LTD, W8IMY J P MORGON CLEARING CORP, W9 FÖRSÄKRINGSBOLAGET, AVANZA PENSION ROBUR FÖRSÄKRING NORDNET PENSIONSFÖRSÄKRING AB HANDELSBANKEN LIV MIKAEL UNLIMITED AB CBLDN-POHJOLA BANK PLC CLIENT A/C PROPERTY DYNAMICS AB NORDEA BANK FINLAND ABP OTHER Total

Number of shares 691,648,394 354,310,038 283,379,428 118,196,848 97,063,296 83,535,083 41,025,186 38,577,342 35,000,000 32,464,565 3,627,843,016 5,403,043,196

Holdings % 12.8% 6.6% 5.2% 2.2% 1.8% 1.6% 0.8% 0.7% 0.6% 0.6% 67.1% 100.0%

Source: Euroclear

Share capital and options As at 30 June 2015, the share capital amounted to SEK 391,835,214.44 divided between 5,403,043,196 shares with a quota value of SEK 7.25 öre each. In addition there are also, for example, the 736,778,618 warrants issued by Nordic Mines that target the Company’s lenders. Equity amounted to SEK 403.8 million as per 30 June 2015, compared to SEK 433.2 million as per 31 March 2015.

Significant risks and uncertainties All enterprise is associated with a certain degree of risk. Nordic Mines’ operations must be assessed based on the risk, cost and difficulty that companies in the mining and exploration business often face. The risks in the majority of cases are such that the Company cannot protect itself from them. The risk faced by mining and exploration companies is mainly associated with the outcome of the exploration itself, the production and the market price on the metal markets, but there is also risk associated with licensing issues related to exploration, processing and the environment. The Group is also exposed to a number of financial risks: credit risk, liquidity risk, gold price risk, currency risk and interest risk. The Board and Management attempt to address these risks by identifying, evaluating and mitigating the risks listed above where appropriate. A more detailed analysis is available in the 2014 Annual Report, which is available on the Company’s website, www.nordicmines.se. Composition plan and agreement with banks regarding project financing loans One condition for a successful implementation of the adopted composition plan for the Company’s Finnish subsidiary, Nordic Mines Oy, is that the agreement reached with the bank consortium, with which a project financing agreement has been signed, can be fulfilled. As per the agreement, a number of changes were made to the project financing agreement and new opportunities for the bank consortium to terminate the agreement were inserted. These include the following. A draft of the start-up plans must have been delivered on 1 November 2014 and a final version must have been delivered on 1 December 2014. The financial model must have been updated no later than 15 December 2014 and must be approved by the bank consortium. If the start-up plans are not delivered or the updated financial model is not delivered and approved on time, this shall serve as grounds for termination as per the project financing agreement. In order to ensure the accuracy of and minimise the risk in the work with the start-up plans and the associated financial model, Nordic Mines discussed with the bank consortium the possibility of obtaining more time for this work. An extension was granted from 1 December 2015 and 15 December 2015, respectively, until January 2015. The Company delivered in January to its lenders an indicative updated business plan and a

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financial model for their approval. The Company’s lenders have to date not approved the business plan. Furthermore, the agreement with the bank consortium entails the replacement of the existing financial covenants with five operational tests. These operational tests mean that Nordic Mines Oy at various points in time must achieve a certain percentage of a budgeted or forecast level to fulfil the requirements of the project financing agreement. The operational tests must be measured every month for a rolling three-month period that concludes at the end of a month. According to the project financing agreement, the first measurement date was 30 April 2015, at which time the operational tests would be measured for the period 1 February - 30 April 2015. Since production has not started again in accordance with the start-up plan, the Company has not yet started any measurements. Additional work is required before the budgeted and forecast levels can be adopted and approved by the bank consortium. The Company, therefore, does not know at this point in time against which levels the operational tests should be measured. The Company also does not know if it will have sufficient room to withstand swings in production or unforeseen events, particularly during the start-up phase. If the operational tests are not fulfilled, this will serve as grounds for termination as per the project financing agreement. If Nordic Mines Oy does not have sufficient funds to make the investments required by the financial model, this will serve as grounds for termination as per the project financing agreement. Other grounds for termination include those related to the Group companies not fulfilling their payment obligations under the composition plans. The Company’s lenders have expressed to the Company that they believe that the Group is in violation of the current project financing agreement on a number of points and has submitted a request to the Company on 10 August 2015 for a clarification from the Company regarding the Company’s financing. The Company is therefore holding discussions with its lenders. If Nordic Mines Oy significantly breaches the project financing agreement, the bank consortium is entitled to apply for a default of the Finnish composition plan. If the Company or Nordic Mines Oy breaches the composition plans or if the agreement with the bank consortium cannot be fulfilled, there is a risk that the Finnish composition plan or the agreement with the bank consortium will fail, which could lead to a new reorganisation, bankruptcy or other winding down of the Company. In the event the Finnish composition plan or the agreement with the bank consortium defaults, the relevant creditors’ claims return to Nordic Mines Oy, including the claims the bank consortium and other companies in the Group have granted payment exemption to in accordance with the composition plan, at their full amount, and in the event of bankruptcy all shareholders will lose the entire amount of their previously invested share capital. Liquidity risk The Company applied for reorganisation on 8 July 2013 due to insufficient liquidity. Due to the conclusion of the reorganisation and the completed rights issue, the Company has a stronger financial position than it held previously. However, the Company continues to have limited financial resources. Furthermore, Nordic Mines is currently in a phase where the restart of the Laiva mine is being planned and funds for expenditure are not currently covered by internally generated revenue. Therefore, the Company’s growth is still judged to be dependent on external financing. It is currently unclear if additional financing will be made available to the Company. Instability of financial institutions can have an impact on the Company’s ability to conduct a new share issue or obtain future financing through loans. Disruptions in the capital and credit market due to uncertainty, changed or increased regulation of financial institutions, decreased alternatives or the failure of significant financial institutions can negatively affect the Company’s access to external capital. Gold price risk Sales commenced in January 2012 and essentially have consisted of a single product, doré bars, containing gold, silver and copper. A decline in the price of gold could have an immediate negative impact on the Group’s future profit as well as a negative impact on the Company’s possibilities for restarting the Laiva mine. Currency risk Gold is quoted in USD, the majority of the costs occur in EUR and the Group is consolidated in SEK. Accordingly, the company is directly dependent on exchange rates for these currencies. If USD strengthens against EUR, this has a positive effect. If EUR strengthens against SEK, this has a positive effect on sales, but a negative effect on costs. Interest rate risks Interest rates have a negative impact on the consolidated profit/loss and cash flow. All interest rates have both an annual fixed interest rate margin and a variable component that follows Euribor. If the Euribor rate is increased, the Company’s interest expenses increase. The average rate for the original EUR 53.0 million of the project loan has been approximately 4 per cent. The average rate for the additional credit frameworks of EUR 7.5 million and EUR 6.0 million, respectively, has been

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approximately 10 per cent. The bank consortium has invoiced the Company an additional 2 percentage points on the loan due to the reorganisation and lack of liquidity. Interest has not been paid while the Company was undergoing its reorganisation, but it was reported as accrued expenses. Through the composition plan with the Company’s Finnish subsidiary and the changes in the facility agreement with the Company’s lenders, the fixed interest rate margin is 8 per cent. Employees Nordic Mines currently has a small organisation and is dependent on a number of key individuals. A limited expected lifetime and to date weak profitability for the Laiva mine can result in restricted opportunities to recruit key personnel once the mine restarts its operations.

Going concern principle Nordic Mines concluded the Group’s reorganisation processes for the Parent Company and its subsidiaries during the third quarter of 2014. Since then, Nordic Mines has been working towards and planning for a restart of operations at the Laiva mine. Such a restart requires approval from the Company’s lenders, which has not yet been granted. A restart of operations at the mine also assumes that the Company has sufficient liquidity to handle such a restart, which will require additional external financing. More information is available under Strategy and financing for Nordic Mines and the Laiva mine. There are no guarantees that Nordic Mines will receive approval from its lenders to restart the operations. There are also no guarantees that, at the point in time when a decision is to be made about the restart of operations, Nordic Mines will have sufficient liquidity to finance a restart of operations at the Laiva mine. In a situation where it can no longer be assumed that the Group is a going concern, there is a risk that the Group’s assets and the Parent Company’s carrying amounts on receivables to Group companies and participations in subsidiaries will be subject to significant impairment losses.

Accounting principles The consolidated accounts have been prepared in accordance with the International Financial Reporting Standards (IFRS) as endorsed by the EU and recommendation RFR 1 issued by the Swedish Financial Reporting Board on Supplementary Accounting Rules for Groups, which specifies the additions to the IFRS disclosures that are required as stipulated in the Annual Accounts Act. This financial report was prepared in accordance with IAS 34, Interim Financial Reporting. The Parent Company’s financial statements are prepared in accordance with the Annual Accounts Act and RFR 2, Accounting for Legal Entities. The Group uses the same accounting principles as those described in the 2014 Annual Report. No new IFRS additions or regulations that affect the Group have entered into force.

Annual General Meeting On 30 June 2015, Nordic Mines held its Annual General Meeting. The AGM reached its resolutions in accordance with the proposed resolutions as communicated in the notice to attend the AGM, with the exception of the item under point 15 on the proposed agenda in the notice, which was withdrawn by the Board on 25 June 2015. More information is available under Strategy and financing for Nordic Mines and the Laiva mine. The AGM resolved to adopt the balance sheet and profit and loss statement for the Company and the Group, to discharge the outgoing Board and CEO from liability and to elect Lennart Schönning (Chair, re-elect), Ulla-Britt Fräjdin-Hellqvist (Deputy Chair, new elect), Krister Söderholm (re-elect), Tord Cederlund (new elect) and Manfred Lindvall (new elect). For more information about the elected Board of Directors, please refer to the Company’s website, www.nordicmines.se. The AGM also resolved to reduce the Company’s share capital to cover losses and to carry out a reverse split of shares, 1:100, which would combine 100 shares into a single share. These measures are conditional on the Company and the Company’s lenders reaching necessary agreements. Once this has occurred, additional information regarding the reduction in share capital and the reverse split will be provided via a press release. A full overview of the resolutions at the AGM and their terms is presented in the proposals included in the notice to attend the AGM.

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Upcoming informational meetings Report for the third quarter of 2015 Year-end report for 2015

3 November 2015 25 February 2016

The Board of Directors and the Chief Executive Officer hereby confirm that this interim report gives a true and fair view of the Company’s and the Group’s operations, financial position and results of operations, and describes significant risks and uncertainties faced by the Company and the companies in the Group. The report for January – June 2015 has not been reviewed by the Company’s auditors.

Uppsala, 12 August 2015 NORDIC MINES AB (publ) Lennart Schönning Chair of the Board

Ulla-Britt Fräjdin-Hellqvist Deputy Chair

Krister Söderholm Board member

Tord Cederlund Board member

Manfred Lindvall Board member

Eva Kaijser CEO

Note Nordic Mines is required to publish this information pursuant to the Securities Markets Act and/or the Financial Instruments Trading Act. The information was published on 13 August 2015 at 8:00 a.m.

For further information, please contact: Eva Kaijser, CEO, Tel.: +46 709 32 09 01 Jonatan Forsberg, CFO, Tel.: +46 761 051 310 [email protected]

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Definitions according to SveMin A Mineral Resource is a concentration of occurrences of materials in or on the earth’s crust in such form, quality and quantity that is of interest financially and for which financially profitable extraction is deemed possible. The location, quantity, grade, continuity and other geological characteristics of a mineral resource are measured, estimated or interpreted based on specific geological facts, tests and knowledge. On the basis of its geological certainty, a mineral resource is classified into the following categories: inferred mineral resource, indicated mineral resource and measured mineral resource. An Inferred Mineral Resource is the part of a mineral resource for which the tonnage, density of occurrences, form, physical characteristics, grade and mineral content can be estimated with a low level of confidence. This is inferred from geological evidence, tests and assumed but not verified geological or grade continuity. It is based on information gathered using appropriate techniques through exploration and testing of, for example, outcrops, trenches, pits, workings and drill holes. The information is limited or of uncertain quality and reliability. An Indicated Mineral Resource is the part of a mineral resource for which the tonnage, density of occurrences, form, physical characteristics, grade and mineral content can be assumed with a reasonable level of confidence. It is based on information gathered using appropriate techniques through exploration and testing of, for example, outcrops, trenches, pits, workings and drill holes. However, this information is too inconsistent or inappropriately distributed to guarantee geological or grade continuity. A Measured Mineral Resource is the part of a mineral resource for which the tonnage, density of occurrences, form, physical characteristics, grade and mineral content can be assumed with a high level of confidence. It is based on information gathered using appropriate techniques through detailed and reliable exploration and testing of, for example, outcrops, trenches, pits, workings and drill holes. This information is sufficiently consistent to prove geological and/or grade continuity. A Mineral Reserve is the part of a measured or indicated mineral resource that is deemed to be economically feasible for extraction. This includes diluting material and losses which may occur when the material is mined. Appropriate assessments and studies have been conducted and modified taking into consideration realistic assumptions related to mining, metallurgical, economic, marketing, legal, environmental, social and political factors. These assessments show on the reporting date that extraction can be reasonably justified. On the basis of their geological certainty, mineral reserves are classified into the following categories: probable mineral reserve and proven mineral reserve. When using the term “mineral reserve’, there is an expectation that studies have been conducted at the PreFeasibility level as a minimum, including a mining plan that is technically appropriate and economically viable. A Probable Mineral Reserve is the part of an indicated or under some circumstances measured mineral resource for which extraction is economically viable. This includes diluting material and losses which occur when the material is mined. Studies at a minimum of the Pre-Feasibility level have been conducted and modified to take into consideration mining, metallurgical, economic, marketing, legal, environmental, social and political factors. These assessments show on the reporting date that extraction can bereasonably justified. A Proven Mineral Reserve is the part of a measured mineral resource for which extraction is deemed to be economically viable. This includes diluting material and losses which occur when the material is mined. Studies at a minimum of the Pre-Feasibility level have been conducted and modified to take into consideration mining, metallurgical, economic, marketing, legal, environmental, social and political factors. These assessments show on the reporting date that extraction is justified.

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Consolidated Statement of Comprehensive Income SEK 000 Note Sales revenues 1 Cost of goods sold of which production costs of which depreciation, amortization and impairment Gross income

Q2 2015 0 -16 896 -9 546 -7 350 -16 896

Q2 2014 10 009 -27 558 -19 437 -8 121 -17 549

Jan-Jun 2015 0 -34 074 -19 087 -14 987 -34 074

Jan-Jun 2014 61 617 -108 196 -87 921 -20 275 -46 579

Full year 2014 62 898 -163 430 -115 228 -48 202 -100 532

Selling and administrative expenses Other operating income Other operating expenses Operating income

-9 714 365 -2 174 -28 419

-12 309 4 058 -172 -25 972

-16 687 699 -4 644 -54 706

-19 940 5 942 -2 245 -62 822

-50 575 459 060 -2 794 305 159

Financial income Financial expenses Income after financial items

0 -2 881 -31 300

11 -9 591 -35 552

2 -5 752 -60 456

44 -18 855 -81 633

62 -17 685 287 536

Income tax Net income

0 -31 300

8 403 -27 149

0 -60 456

18 057 -63 576

-161 754 125 782

Other comprehensive income Exchange rate differences for the period 3 Total comprehensive income net of tax for the period Total comprehensive income for the period

-632 -632 -31 932

-5 678 -5 678 -32 827

-2 527 -2 527 -62 983

-6 239 -6 239 -69 815

-20 870 -20 870 104 912

-31 300 -31 300

-27 149 -27 149

-60 456 -60 456

-63 576 -63 576

125 782 125 782

-31 932 -31 932

-32 827 -32 827

-62 983 -62 983

-69 815 -69 815

104 912 104 912

5 403 043 5 403 043 -0,01 -0,01 -0,01 -0,01

341 217 341 217 -0,08 -0,08 -0,10 -0,10

5 403 043 5 403 043 -0,01 -0,01 -0,01 -0,01

341 217 341 217 -0,19 -0,19 -0,20 -0,20

1 900 916 1 900 916 0,07 0,07 0,06 0,06

2 2

Net income attributable to: equity holders of the parent company Total comprehensive income attributable to: equity holders of the parent company

Average number of shares before dilution, thousands Average number of shares after dilution, thousands Earnings per share before dilution, SEK Earnings per share after dilution, SEK Comprehensive income per share before dilution, SEK Comprehensive income per share after dilution, SEK

Nordic Mines | Interim Report January – June 2015 |

11 (20)

Consolidated Statement of Comprehensive Income, quarterly SEK 000 Note Sales revenues 1 Cost of goods sold of which production costs of which depreciation, amortization and impairment Gross income

Q1 2014 51 608 -80 638 -68 484 -12 154 -29 030

Q2 2014 10 009 -27 558 -19 437 -8 121 -17 549

Q3 2014 1 281 -19 534 -11 500 -8 034 -18 253

Q4 2014 0 -35 700 -15 807 -19 893 -35 700

Q1 2015 0 -17 178 -9 541 -7 637 -17 178

Q2 2015 0 -16 896 -9 546 -7 350 -16 896

Selling and administrative expenses Other operating income Other operating expenses Operating income

-7 631 1 884 -2 073 -36 850

-12 309 4 058 -172 -25 972

-20 936 446 196 -338 406 669

-9 699 6 922 -211 -38 688

-6 973 334 -2 470 -26 287

-9 714 365 -2 174 -28 419

Financial income Financial expenses Income after financial items

33 -9 264 -46 081

11 -9 591 -35 552

1 8 135 414 805

17 -6 965 -45 636

2 -2 871 -29 156

0 -2 881 -31 300

Income tax Net income

9 654 -36 427

8 403 -27 149

-178 881 235 924

-930 -46 566

0 -29 156

0 -31 300

Other comprehensive income Exchange rate differences for the period 3 Total comprehensive income net of tax for the period Total comprehensive income for the period

-561 -561 -36 988

-5 678 -5 678 -32 827

-11 602 -11 602 224 322

-3 029 -3 029 -49 595

-1 895 -1 895 -31 051

-632 -632 -31 932

-36 427 -36 427

-27 149 -27 149

235 924 235 924

-46 566 -46 566

-29 156 -29 156

-31 300 -31 300

-36 988 -36 988

-32 827 -32 827

224 322 224 322

-49 595 -49 595

-31 051 -31 051

-31 932 -31 932

341 217 341 217 -0,11 -0,11 -0,11 -0,11

341 217 341 217 -0,08 -0,08 -0,10 -0,10

1 518 188 1 518 188 0,16 0,16 0,15 0,15

5 403 043 5 403 043 -0,01 -0,01 -0,01 -0,01

5 403 043 5 403 043 -0,01 -0,01 -0,01 -0,01

5 403 043 5 403 043 -0,01 -0,01 -0,01 -0,01

Q1 2014 371 678 0,6 87% 79% 187 6 012 186 5 980

Q2 2014 0 N/A N/A N/A 36 1 157 35 1 138

Q3 2014 0 N/A N/A N/A 0 0 0 0

Q4 2014 0 N/A N/A N/A 0 0 0 0

Q1 2015 0 N/A N/A N/A 0 0 0 0

Q2 2015 0 N/A N/A N/A 0 0 0 0

1 773 21 184

2 588 N/A N/A

N/A N/A N/A

N/A N/A N/A

N/A N/A N/A

N/A N/A N/A

42

0

0

0

0

0

6,46 8,86 8,94

6,60 9,05 9,18

6,95 9,20 9,20

7,42 9,27 9,47

8,32 9,38 9,33

8,42 9,30 9,22

2 2

Net income attributable to: equity holders of the parent company Total comprehensive income attributable to: equity holders of the parent company

Average number of shares before dilution, thousands Average number of shares after dilution, thousands Earnings per share before dilution, SEK Earnings per share after dilution, SEK Comprehensive income per share before dilution, SEK Comprehensive income per share after dilution, SEK

Other information

Throughput, ore milled (ton) Gold grade, gram per ton Availability/hours capacity utlilization (%) Gold recovery in plant (%) Gold production (kg) Gold production (tr oz) Gold sold/delivered (kg) Gold sold/delivered (tr oz) Cash cost (USD/oz) Cost per ore milled, ton (EUR) Cost per ore milled, ton (SEK) LTIFR, including contractors (accidents per 1 million working hours) USD/SEK, average rate EUR/SEK, average rate EUR/SEK, closing rate

Nordic Mines | Interim Report January – June 2015 |

12(20)

Consolidated Statement of Financial Position SEK 000 ASSETS Non-current assets Intangible assets Property, plant and equipment Financial assets Total non-current assets

30 Sep 2013

31 Dec 2013

31 Mar 2014

30 Jun 2014

30 Sep 2014

31 Dec 2014

31 Mar 2015

30 Jun 2015

4 5

75 220 1 037 193 159 255 1 271 668

64 580 477 329 177 607 719 516

64 631 466 067 187 311 718 009

65 567 466 804 199 113 731 484

63 337 459 465 21 870 544 672

64 341 460 637 22 514 547 492

63 797 448 682 22 165 534 644

63 414 438 066 21 920 523 400

6

72 572 63 117 44 526 180 215

56 491 56 410 28 110 141 011

51 255 37 664 21 927 110 846

42 732 39 098 7 036 88 866

42 826 11 082 129 652 183 560

31 520 11 917 83 197 126 634

31 031 10 833 57 872 99 736

30 689 8 137 40 658 79 484

1 451 883

860 527

828 855

820 350

728 232

674 126

634 380

602 884

850 937

229 223

192 235

159 408

516 344

466 749

435 698

403 766

236 946 7 428 244 374

6 806 22 035 28 841

4 866 25 553 30 419

2 931 26 262 29 193

116 189 26 319 142 508

123 005 27 093 150 098

123 098 26 674 149 772

124 207 26 379 150 586

155 902 172 528 2 214 25 928 356 572

154 775 411 249 2 540 33 899 602 463

150 657 411 866 2 731 40 947 606 201

158 715 423 185 1 512 48 337 631 749

27 518 18 139 1 175 22 548 69 380

32 702 6 869 718 16 990 57 279

28 403 5 208 1 166 14 133 48 910

28 341 3 095 1 299 15 797 48 532

Note

Current assets Inventories and work in progress Current receivables Cash and cash equivalents Total current assets TOTAL ASSETS

EQUITY AND LIABILITIES Equity Non-current liabilities Borrowings Provisions Total non-current liabilities

7

Current liabilities Accounts payable Borrowings Other liabilities Accrued expenses and prepaid income Total current liabilities TOTAL EQUITY AND LIABILITIES Real estate mortgages Financial guarantees

9 10

1 451 883

860 527

828 855

820 350

728 232

674 126

634 380

602 884

18 802 066 33 984

19 294 011 34 458

19 323 025 34 486

19 858 590 35 004

19 901 990 35 045

20 486 702 35 610

20 169 614 35 304

19 947 134 35 089

Consolidated Statement of Changes in Equity SEK 000

Equity Other capital

Opening balance at January 1, 2014 Comprehensive income Net income Other result for the period Total comprehensive income for the period

341 217

Total equity at June 30, 2014

341 217

Opening balance at January 1, 2015 Comprehensive income Net income Other result for the period Total comprehensive income for the period

391 835

Total equity at June 30, 2015

391 835

853 448

Reserves -19 016

Retained earnings Total equity -946 426

229 223

-63 576 -6 239 -6 239

-63 576

-63 576 -6 239 -69 815

853 448

-25 255

-1 010 002

159 408

935 444

-39 886

-820 644

466 749

-60 456

,

Nordic Mines | Interim Report January – June 2015 |

935 444

-2 527 -2 527

-60 456

-60 456 -2 527 -62 983

-42 413

-881 100

403 766

13 (20)

Consolidated Statement of Cash Flows Q2 2015

Q2 2014

Jan-Jun 2015

Jan-Jun 2014

Full year 2014

-31 300

-35 552

-60 456

-81 633

287 536

7 438 -295 3 440

8 210 709 -18 204

15 165 -714 6 641

20 451 4 227 -19 443

38 799 5 058 -47 540

-20 717

-44 837

-39 364

-76 398

283 853

342 2 698 -62 1 797 -15 942

8 523 -1 434 8 058 6 171 -23 519

831 3 782 -4 361 -612 -39 724

13 759 17 312 3 940 13 410 -27 977

24 971 44 493 -122 073 -18 731 212 513

-513 245 -268

-167 -589 -756

-837 594 -243

-715 -443 -1 158

-725 -1 134 -1 859

0 -1 004 -1 004

0 9 384 9 384

0 -2 572 -2 572

0 8 061 8 061

132 614 -288 181 -155 567

-17 214

-14 891

-42 539

-21 074

55 087

57 872 40 658

21 927 7 036

83 197 40 658

28 110 7 036

28 110 83 197

Q1 2014

Q2 2014

Q3 2014

Q4 2014

Q1 2015

Q2 2015

-46 081

-35 552

414 805

-45 636

-29 156

-31 300

12 241 3 518 -1 239

8 210 709 -18 204

10 428 57 -14 049

7 920 774 -14 048

7 727 -419 3 201

7 438 -295 3 440

-31 561

-44 837

411 241

-50 990

-18 647

-20 717

5 236 18 746 -4 118 7 239 -4 458

8 523 -1 434 8 058 6 171 -23 519

-94 28 016 -131 197 -26 127 281 839

11 306 -835 5 184 -6 014 -41 349

489 1 084 -4 299 -2 409 -23 782

342 2 698 -62 1 797 -15 942

-548 146 -402

-167 -589 -756

-2 -47 -49

-8 -644 -652

-324 349 25

-513 245 -268

Financing activities Rights issue Amortization and loans Cash flow from financing activities

0 -1 323 -1 323

0 9 384 9 384

132 614 -291 788 -159 174

0 -4 454 -4 454

0 -1 568 -1 568

0 -1 004 -1 004

Changes in cash and cash equivalents

-6 183

-14 891

122 616

-46 455

-25 325

-17 214

Cash and cash equivalents in the beginning of the period Cash and cash equivalents in the end of the period

28 110 21 927

21 927 7 036

7 036 129 652

129 652 83 197

83 197 57 872

57 872 40 658

SEK 000 Operating activities Income after financial items Adjustments for items not included in cash flow: Depreciations and write-offs Provisions Others Cash flow after operating activities before changes in working capital Cash flow from changes in working capital Changes in inventories and work in progress Changes in current receivables Changes in accounts payable Changes in current liabilities Cash flow from operating activities Investing activities Acquisition of fixed assets Recovery/ aquisition of other fixed assets Cash flow from investing activities Financing activities Rights issue Amortization and loans Cash flow from financing activities Changes in cash and cash equivalents Cash and cash equivalents in the beginning of the period Cash and cash equivalents in the end of the period

Koncernens kassaflöde, kvartalsvis SEK 000 Operating activities Profit/loss after financial items Adjustments for non-cash items Depreciation, amortization and impairment Provisions Others Cash flow after operating activities before changes in working capital Cash flow from changes in working capital Changes in inventories and work in progress Changes in current receivables Changes in accounts payable Changes in current liabilities Cash flow from operating activities Investing activities Acquisition of fixed assets Recovery/ aquisition of other fixed assets Cash flow from investing activities

Nordic Mines | Interim Report January – June 2015 |

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Consolidated Key Ratios Q2 2015

Q2 2014

Jan-Jun 2015

Jan-Jun 2014

Full year 2014

164 -21 069 -31 300 Neg Neg 403 766 602 884 86 644 67,0 67 66 0,07 5 403 043 5 403 043 5 403 043 0,00

167 -17 851 -35 552 Neg Neg 159 408 820 350 419 080 19,4 84 84 0,47 341 217 341 217 341 217 -0,04

837 -39 719 -60 456 Neg Neg 403 766 602 884 86 644 67,0 70 66 0,07 5 403 043 5 403 043 5 403 043 -0,01

715 -42 547 -81 633 Neg Neg 159 408 820 350 419 080 19,4 89 84 0,47 341 217 341 217 341 217 -0,06

725 353 361 287 536 40 27 466 749 674 126 46 677 69,2 83 77 0,09 5 403 043 5 403 043 1 900 916 0,01

Q1 2014

Q2 2014

Q3 2014

Q4 2014

Q1 2015

Q2 2015

Investments in plant, SEK 000 548 EBITDA SEK 000 -24 696 Income after financial items, SEK 000 -46 081 Return on total assets, % Neg Return on equity, % Neg Equity, SEK 000 192 235 Balance sheet total, SEK 000 828 855 Net debt, SEK 000 394 805 Equity/assets ratio, % 23,2 Average number of employees 94 Number of employees at the end of the period 93 Equity per share after dilution, SEK 0,56 Number of shares, thousands 341 217 Number of shares after dilution (at the end of the period), thousands 341 217 Number of shares after dilution (average), thousand 341 217 Cash flow per share, SEK -0,02

167 -17 851 -35 552 Neg Neg 159 408 820 350 419 080 19,4 84 84 0,47 341 217 341 217 341 217 -0,04

2 414 703 414 805 53 46 516 344 728 232 4 676 70,9 79 79 0,10 5 403 043 5 403 043 1 518 188 0,02

8 -18 795 -45 636 Neg Neg 466 749 674 126 46 677 69,2 77 77 0,09 5 403 043 5 403 043 5 403 043 -0,01

673 -18 650 -29 156 Neg Neg 435 698 634 380 70 434 68,7 72 69 0,08 5 403 043 5 403 043 5 403 043 0,00

164 -21 069 -31 300 Neg Neg 403 766 602 884 86 644 67,0 67 66 0,07 5 403 043 5 403 043 5 403 043 0,00

Investments in plant, SEK 000 EBITDA SEK 000 Income after financial items, SEK 000 Return on total assets, % Return on equity, % Equity, SEK 000 Total assets, SEK 000 Net debt, SEK 000 Equity/assets ratio, % Average number of employees Number of employees at the end of the period Equity per share after dilution, SEK Number of shares, thousands Number of shares after dilution (at the end of the period), thousands Number of shares after dilution (average), thousand Cash flow per share, SEK

Consolidated Quarterly Key Ratios

Nordic Mines | Interim Report January – June 2015 |

15 (20)

Parent Company Income Statement Q2 2015

Q2 2014

Jan-Jun 2015

Jan-Jun 2014

Full year 2014

Administrative costs Other operative income Other operating costs Operating income

-7 332 640 -2 164 -8 856

-3 472 1 328 -20 -2 164

-11 899 974 -4 609 -15 534

-7 312 1 896 -517 -5 933

-16 265 5 780 -1 765 -12 250

Financial items, net Income after financial items

1 859 -6 997

2 001 -163

3 716 -11 818

3 968 -1 965

-159 282 -171 532

Income tax Net income

-6 997

-163

-11 818

-1 965

-171 532

5 403 043 5 403 043 0,00 0,00

341 217 341 217 0,00 0,00

5 403 043 5 403 043 0,00 0,00

341 217 341 217 -0,01 -0,01

1 900 916 1 900 916 -0,09 -0,09

SEK 000

Averge numer of shares before dilution, thousands Average number of shares after dilution, thousands Basic earnings per share, SEK Diluted earnings per share, SEK

Parent Company Balance Sheet 30 Jun 2015

30 Jun 2014

ASSETS Non-current assets Intangible assets Property, plant and equipment Financial assets Total non-current assets

62 609 31 650 198 500 292 759

64 762 31 909 204 487 301 158

Current assets Current receivables Cash and cash equivalents Total current assets TOTAL ASSETS

2 592 24 230 26 822 319 581

13 332 1 510 14 842 316 000

259 279 53 486 6 816 319 581

307 767 70 8 163 316 000

6 734 135 35 089

6 704 205 35 004

Belopp i Tkr

EQUITY AND LIABILITIES Equity Non-current liabilities Current liabilities TOTAL EQUITY AND LIABILITIES Pledged assets Contingent liabilities

Nordic Mines | Interim Report January – June 2015 |

Note

7

16 (20)

Parent Company Statement of Changes in Equity

SEK 000 Opening balance at January 1, 2014 Net income Translation difference Total equity at June 30, 2014

SEK 000 Opening balance at January 1, 2015 Net income Translation difference Total equity at June 30, 2015

Equity

Statutory reserve

Share premium reserve

341 217

26 000

827 448

341 217

26 000

Equity

Statutory reserve

391 835

26 000

391 835

26 000

Q2 2015

Q2 2014

Jan-Jun 2015

Jan-Jun 2014

Full year 2014

-6 124 1 908 -4 216 -1 225 -1 -5 442 29 672 24 230

4 808 -146 4 662 -7 938 -8 -3 284 4 794 1 510

-10 205 697 -9 508 -2 026 0 -11 534 35 764 24 230

3 037 -1 046 1 991 -9 925 -8 -7 942 9 452 1 510

-171 381 7 650 -163 731 4 021 186 022 26 312 9 452 35 764

Retained earnings

Total Equity

827 448

-884 816 -1 965 -117 -886 898

309 849 -1 965 -117 307 767

Share premium reserve

Retained earnings

Total Equity

909 444 -1 056 689 -11 818 507 909 444 -1 068 000

270 590 -11 818 507 259 279

Parent Company Statement of Cash Flows SEK 000 Cash flow from operating activities before change in working capital Change in working capital Cash flow from operating activities Cash flow from investing activities Cash flow from financing activities Change in cash and cash equivalents for the period Cash and cash equivalents at the beginning of the period Cash and cash equivalents at the end of the period

Nordic Mines | Interim Report January – June 2015 |

17 (20)

Note 1 Sales revenues SEK 000 Gold sales Silver sales Hedging of gold price Total sales revenues

Q1 2014 51 531 77 0 51 608

Q2 2014 10 000 9 0 10 009

Q3 2014 1 246 35 0 1 281

Q 4 Full year 2014 2014 0 62 777 0 121 0 0 0 62 898

Q1 2015 0 0 0 0

Q2 2015 0 0 0 0

Note 2 Other operating income and other operating costs SEK 000 Exchange gains (unrealized) Exchange losses (unrealized) Composition profit Total other operating income and other operating costs

Q1 2014 1 884 -2 073 -

Q2 2014 4 058 -172 -

Q3 2014 -3 303 -338 449 499

Q4 2014 6 922 -211 -

Q1 2015 334 -2 470 -

Q2 2015 365 -2 174 -

-189

3 886

445 858

6 711

-2 136

-1 809

31 Mar 2014

30 Jun 2014

30 Sep 2014

31 Dec 2014

31 Mar 2015

30 Jun 2015

0

0

0

0

0

0

0

0

0

0

0

0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

-19 016

-19 577

-25 255

-36 857

-39 886

-41 781

-561 -561 -19 577

-5 678 -5 678 -25 255

-11 602 -11 602 -36 857

-3 029 -3 029 -39 886

-1 895 -1 895 -41 781

-632 -632 -42 413

-19 577

-25 255

-36 857

-39 886

-41 781

-42 413

31 Mar 2014 64 580 0 0 51 64 631

30 Jun 2014 64 631 0 0 936 65 567

30 Sep 2014 65 567 0 -2 307 77 63 337

31 Dec 2014 63 337 0 0 1 004 64 341

31 Mar 2015 64 341 0 0 -544 63 797

30 Jun 2015 63 797 0 0 -383 63 414

Note 3 Group reserves SEK 000 Hedges At beginning of period Cash flow hedge: Fair value, gain/loss in the quarter Tax on fair value, gain/loss in the quarter Total hedges Closing balance Translations At beginning of period Exchange rate differences - Group Total translations Closing balance Total hedges

Note 4 Intangible Assets SEK 000 Opening balance Purchases Impairment Exchange rate differences Closing balance

Nordic Mines | Interim Report January – June 2015 |

18 (20)

Note 5 Property, plant and equipment

SEK 000 Opening book value Purchases Disposals Exchange rate differences Depreciation Closing book value

Buildings, land 25 454

-29 25 425

Mine assets 110 284

Machinery and Inventory 15 420

110 284

-106 -5 397 9 917

-8 137 -9 739 292 440

June 30, 2015 Total property plant 460 637 837 0 -8 243 -15 165 438 066

Production facility 309 479 837

Note 6 Inventories and work in progress SEK 000 Mined ore in stockpile Consumables Work in progress Doré bars Total inventories and work in progress

31 Mar 2014 11 851 29 856 9 548 0

30 Jun 2014 12 180 30 552 0 0

30 Sep 2014 12 207 30 619 0 0

31 Dec 2014 0 31 520 0 0

31 Mar 2015 0 31 031 0 0

30 Jun 2015 0 30 689 0 0

51 255

42 732

42 826

31 520

31 031

30 689

Note 7 Bank loans In conjunction with the Finnish reorganisation, the Group's bank loans were renegotiated. As a result of the renegotiation, the loans amount to EUR 12.5 million, or SEK 117 million. The original facility agreements and the original amounts excluding installements (EUR 53 million) continue to be the basis for the relationship with the bank consortium. In conjunction with the reorganisation, the bank consortium has therefore submitted a waiver for the difference between the original amounts and the amounts under the reorganisation. The waiver is primarily based on the Group following the conditions of the reorganisation and the loans are therefore at period-end recorded at EUR 12.5 million or SEK 117 million, as well as interest of 697 TEUR or SEK 7 million. In conjunction with the Group's financial challenges and its subsequent reorganisation, Nordic Mines realised a guarantee provided by the bank consortium. The bank consortium has received a convertible promissory note for SEK 53.5 million that can only be converted into shares. The consortium has also received warrants corresponding to 12% of the capital, or 736,778,618 shares. The warrants expire in 2023. Since the promissory note can only be converted into shares and in addition under special conditions is not judged to result in a future payment, it has been booked under equity in the consolidated accounts. In order to enable a future conversion, the promissory note has been recorded at its full amount in the Parent Company's accounts. A future payment obligation can only arise if Nordic Mines AB refuses to convert the note into shares. It is the assessment of the Board of Directors that this condition is not present at period-end. In the Parent Company, the realisation of the guarantee has been recorded as an investment in Nordic Mines OY.

Nordic Mines | Interim Report January – June 2015 |

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Note 8 Pledged assets SEK 000 Own liabilities and provisions

31 Mar 2014

30 Jun 2014

30 Sep 2014

31 Dec 2014

31 Mar 2015

30 Jun 2015

Restricted cash, Deposition Trade-, Traffic- & Environment authority in Finland

21 234

21 551

21 535

21 535

21 535

21 535

31

31

31

31

31

31

Floating charges (MEUR 730)

6 255 200 6 523 280

6 428 660 6 704 174

6 442 730 6 718 847

6 632 220 6 916 458

6 529 460 6 809 294

6 457 360 6 734 104

Property mortgages (MEUR 730)

6 523 280

6 704 174

6 718 847

6 916 458

6 809 294

6 734 104

Restricted cash, Bergstaten Leasehold mortgages (MEUR 700)

Total

19 323 025 19 858 590 19 901 990 20 486 702 20 169 614 19 947 134

A significant portion of the project funding raised in March 2011 is from the land around Laiva, the properties and machinery owned by the Company, which were pledged to the benefit of the project financiers. The value was set by the National Land Survey of Finland at EUR 730 million. The book value is significantly lower on the corresponding assets and was SEK 438 million (roughly EUR 47 million) as at June 30, 2015.

Note 9 Contingent liabilities SEK 000 Guarantee Tallqvist AB (MEUR 1) Guarantee Atlas Copco AB (maximum amount) Guarantee Nordea Oy (MEUR 1,1)

31 Mar 2014 8 936 15 840 9 710

30 Jun 2014 9 184 15 840 9 980

30 Sep 2014 9 203 15 840 10 002

31 Dec 2014 9 475 15 840 10 295

31 Mar 2015 9 328 15 840 10 136

30 Jun 2015 9 225 15 840 10 024

Total

34 486

35 004

35 045

35 610

35 304

35 089

Nordic Mines | Interim Report January – June 2015 |

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