Varie
The Laiva mine produced 130 kilos of gold Q1, 2012
During the first quarter 2012 a total of 130 kilos of gold was produced at the Laiva mine. More that half of this, 68 kilos, was produced in March. However, as this is still less than predicted, the Board has decided to strengthen the liquidity of the company primarily through further forward sales of gold.
During the first two months of the year, an average of 1 kilo of gold was produced per day. At the end of February, the high-grade refinery circuit was taken into use and after this the production has increased.
At the end of March, the production level was around 3 kilos of gold per day - compared to the planned capacity of the plant of around 10 kilos per day.
Standard Bank, UniCredit Bank and Finnvera, the company has paid MEUR 6.3 in amortization and
MEUR 1.0 in interest rate as of March 30.
As the gold price was higher than the price of the existing sales contract, the company also had to pay the difference of MEUR 2.5 in accordance with the agreement. As a consequence of this payment, a major part of the net liquidity from the recent share issue has been used.
The present production level generates around MSEK 30 per month of profit and the Board estimates that the production will continue to increase successively. Despite this, the Board estimates that the liquidity of the company has to be strengthened, primarily through further forward sales of gold.
For further information contact:
Michael Nilsson, CEO of Nordic Mines, phone. +46 18 84 345 01
Nordic Mines is a Nordic mining and exploration company whose goal is to be one of the leading gold producers in 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 Sweden. Nordic Mines has 86 employees and its head office is in Uppsala. The Nordic Mines share is traded on the Nasdaq OMX Mid Cap list in Stockholm. For more information, go to www. nordicmines.com
Copyright Thomson Reuters
This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients.
The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and other applicable laws; and
(ii) they are solely responsible for the content, accuracy and originality of the
information contained therein.
Source: %s via Thomson Reuters ONE