Nordic Mines informs about the ongoing capital raise. The efforts to provide the company with at least SEK 150m to fund a restart of the Laiva mine continues

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PRESS RELEASE, August 22, 2014

The English text is an unofficial translation of the Swedish original and in case of any discrepancies between the Swedish text and the English translation, the Swedish text shall prevail. This is not a legal document

Nordic Mines AB (publ) ("Nordic Mines" or the "Company") has received applications for subscription of new shares in the ongoing rights issue amounting to SEK 100m. The rights issue alone does not provide the Company with the minimum capital increase of SEK 150m set as a condition for thecarrying out of the rights issue. The Board of Directors continues the efforts to, within the scope of the financing plan presented in April this year, achieve the condition of the rights issue regarding minimum capital increase.

Nordic Mines' extraordinary general meeting resolved on April 28, 2014 to approve the rights issue previously resolved by the Board of Directors. The extraordinary general meeting also resolved to approve two private placements directed to long-term investors and to the Company's creditors, respectively.

The rights issue is, inter alia, conditional in such a way that the Company needs to be provided with a capital increase of at least SEK 150m (implying a share capital increase of at least SEK 50m). If the Company concurrently with the rights issue receives other capital increase (equity or debt) which together with the proceeds of the rights issue amounts to at least SEK 150m, it is however sufficient if the rights issue provides a capital increase of at least SEK 90m (corresponding to a share capital increase of at least SEK 30m).

The Company has received applications for subscription of new shares in the rights issue amounting to SEK 100m, corresponding to a subscription level of 52 % (of which 39 % were subscribed for with subscription rights). The rights issue alone does not provide the Company with a capital increase large enough to fulfill the condition of the rights issue. The Board of Directors continues the ongoing negotiations and its work  with other indications of interest received by the Board of Directors and the Company's financial advisor Evli Bank. This in order to examine if the remaining capital needed to reach a total capital increase of at least SEK 150m may be obtained. The Board of Directors intends to present more information on the result of the ongoing negotiations during next week.

Those who have applied for subscription of new shares in the rights issue need not to take any further action at this time. Payment for the new shares should be made only when advice of payment has been distributed. Such advice of payment will be distributed if the Board of Directors makes the appraisal that the conditions of the rights issue, as outlined above, will be fulfilled.

For additional information, please contact:

Thomas Cederborg, CEO, +46 708 480 521

Jonatan Forsberg, CFO, +46 761 051 310

For more information about Nordic Mines, please visit; www.nordicmines.se

The above information may be information that Nordic Mines AB (publ) is required to disclose under the Securities Market Act and / or the Trading in Financial Instruments. The information was published at 8:00 CET on August 22, 2014.

Nordic Mines is a Nordic mining and exploration company whose goal is to become one of Europe's leading Gold producers and a role model in respecting the environment. The Laiva mine in Finland commenced gold production in late 2011. The discovery is one of the largest in the Nordic countries. Exploration is performed in Finland and Sweden. Nordic Mines was founded in 2005 and has almost 100 employees and is headquartered in Uppsala. Its shares are traded on the Nasdaq OMX Small Cap list. See also www.nordicmines.se