Talvivaara Mining Company Plc: Audley Capital Advisors LLP

Stock Exchange Release

Talvivaara Mining Company Plc

12 March 2015







    Audley Capital Advisors LLP and the State of Finland have entered into a
  conditional asset purchase agreement on Talvivaara Sotkamo mining operations



Talvivaara Mining Company Plc ("Talvivaara" or "Company") has been informed that
Audley  Capital  Advisors  LLP  ("Audley"),  a  UK-based  investment and capital
advisory  firm,  has  entered  into  a  conditional  asset purchase agreement to
acquire  the assets of Talvivaara Sotkamo Ltd from its Bankruptcy Estate. At the
same  time,  the  State  of  Finland,  through  its wholly-owned special purpose
company Terrafame Ltd, has entered into an investment agreement with Audley. The
purpose  of the asset purchase agreement and  the investment agreement is to re-
establish the operations and continue the business of the Talvivaara mine within
a   new  mining  company  that  will  be  established  in  connection  with  the
transaction.  Before the transaction can close and operations at the mine can be
ramped  up under the direction of the new mining company, a number of steps must
still take place including the provision of the necessary regulatory permits and
the  obtaining of committed financing. Closing  is expected to take place during
the  summer 2015 until which time the business will be maintained and managed by
the Bankruptcy Estate.

The  process  of  selling  the  Sotkamo  mining operations has progressed in the
expected  sequence,  and  the  milestone  reached  today  by  the parties to the
conditional  asset purchase  agreement enables  the start  of the discussions on
Talvivaara's  potential role in  the future of  the Sotkamo mining operations in
earnest.

The  Company will update the market about the outcome of such discussions in due
course.



Enquiries



Talvivaara Mining Company Plc Tel +358 20 7129 800

Pekka Perä, CEO

Pekka Erkinheimo, Deputy CEO



[HUG#1902613]

Talvivaara Mining Company Plc: Audley Capital Advisors LLP and the State of Finland have entered into a conditional asset purchase agreement on Talvivaara Sotkamo mining operations

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