Dannemora Mineral AB: Press Release 17 February 2009

DANNEMORA MINERAL SECURES RIDDARHYTTAN IRON ORE WITH NEW EXPLORATION
                               PERMIT

  * Dannemora Mineral has been granted a new exploration permit for
    iron ore - Riddarhyttan 3. The new permit and the previously
    granted permit, Riddarhyttan 1, cover the interesting iron ore
    reserves in the Riddarhyttan ore field.
  * The two exploration permits cover historically proven and
    probable iron ore reserves of just over 12 million tonnes.
    Dannemora Mineral believes conditions are in place for increasing
    the resources considerably by means of exploration in the area.
  * In addition to the Riddarhyttan ore field, Dannemora Mineral is
    planning to explore four other iron ore deposits in Bergslagen.
  * Dannemora Mineral has a strategic interest in securing iron ore
    reserves, which, in the long term, may increase iron ore
    production over and above what the measured reserves in the
    Dannemora mine can produce. However, the Company's no. 1 priority
    is to resume operations in the Dannemora mine and the majority of
    its resources are allocated for this purpose.

Riddarhyttan
On 13 February 2009, Dannemora Mineral AB was granted a new
exploration permit - Riddarhyttan no. 3.  The new permit, together
with the permit granted in August 2008, means that the company will
now be working in yet another historically important iron ore field
in Bergslagen. Together, the two permits cover the part of the
Riddarhyttan ore field, which contains interesting iron ore
deposits.  The exploration permit is located in Skinnskatteberg
municipality in the county of Västmanland.

Riddarhyttan is one of the oldest iron ore fields in Bergslagen. It
contains a large number of mines. Bäckegruvan in particular and also
Källfallsgruvan have had a historically high level of iron ore
production. Bäckegruvan, which is mined for skarn magnetite ore, was
operated by Fagersta AB until 1978. Historical iron ore production
from the entire Riddarhyttan ore field has been estimated at over 20
million tonnes.

The "ore reserve calculation" which was conducted when Bäckegruvan
closed down in 1978 resulted in just over 12 Mt of historically
proven and probable ore (see the table below). The calculation was
carried out before SveMin introduced its regulations, which now have
to be applied. This means that the reported tonnage and its
classification have not been carried out in accordance with the
Canadian policy document NI 43-101 or SveMin's recommendations.
Operations in the Riddarhyttan ore field are primarily concentrated
on updating the tonnage and grade calculation, completing an
application for an exploitation concession and increasing the
resources by means of exploration.

  Historical "ore reserve calculation" carried out on Bäckegruvan's
                              closure.
The calculation, dated 1 Jan. 1978, was conducted by E. Bergquist, J.
                      Thamsten and K-I Grusell.


+------------------------------------------------------------------------------+
|Deposit       | "Proven |  Iron   | "Probable |  Iron   | "Inferred |  Iron   |
|              |ore" (kt)| Content | ore" (kt) | content | ore" (kt) | content |
|              |         | (% Fe)  |           | (% Fe)  |           | (% Fe)  |
|--------------+---------+---------+-----------+---------+-----------+---------|
|Förhoppnings  |  3 678  |  36.4   |    272    |  36.2   |    664    |  33.9   |
|-gruvan       |         |         |           |         |           |         |
|--------------+---------+---------+-----------+---------+-----------+---------|
|Myrbacks-     |   528   |  31.6   |    132    |  31.0   |     0     |    -    |
|Östergruvan*  |         |         |           |         |           |         |
|--------------+---------+---------+-----------+---------+-----------+---------|
|Bäckegruvan   |  3 399  |  36.9   |    629    |  36.8   |   1 259   |  36.8   |
|areas 6, 7    |         |         |           |         |           |         |
|and 8         |         |         |           |         |           |         |
|--------------+---------+---------+-----------+---------+-----------+---------|
|Höjdgruvan    |   809   |  39.4   |    93     |  41.0   |    486    |  37.3   |
|--------------+---------+---------+-----------+---------+-----------+---------|
|Pellegruvan*  |   147   |  40.0   |    245    |  40.0   |    653    |  40.0   |
|--------------+---------+---------+-----------+---------+-----------+---------|
|Persgruvan*   |  2 514  |  40.9   |     0     |    -    |     0     |    -    |
|--------------+---------+---------+-----------+---------+-----------+---------|
|Total         | 11 075  |  37.6   |   1 371   |  37.0   |   3 062   |  36.9   |
+------------------------------------------------------------------------------+

* Deposits stated as containing 0.1 - 0.5% copper.

Dannemora Mineral AB believes that many of the known mineralisations
in the Riddarhyttan ore field continue towards depth and there is a
good opportunity to find new orebodies.

Another four iron ore projects in Bergslagen
The Rudgruvan no. 1 exploration permit is situated in Fagersta
municipality in the county of Västmanland. Rudgruvan belongs to the
Semla ore field, which has an estimated historical iron ore
production of 2.9 million tonnes. Rudgruvan was owned and operated by
Fagersta AB until the 1960s.

The Klackberg no. 1 exploration permit is located in Norberg
municipality in the county of Västmanland. The permit covers the
Klackberg mine, with an estimated historical ore production of 2.8
million tonnes, and the Kolingsberget mine, from which approx. 2.0
million tonnes are produced.

The Persberg nos. 1 and 2 exploration permits are located in
Filipstad municipality in the county of Värmland. Persberg's Odal
field, which produced 7.7 million tonnes of iron ore, was one of the
most important iron ore fields in Värmland until production ceased in
1979.

The Värmlandsberg no. 1  exploration permit is also situated in
Filipstad municipality in the county of Värmland. The Nordmarkberg,
Taberg and Värmlandsberg mines are found in the area. The three mines
lie within an area of approx. 2 x 2 km and have a combined historical
production of approx. 5 million tonnes. The Nordmarksberg and Taberg
mines were operational until 1962, while the Värmlandsberg mine
carried on until 1980.

Dannemora Mineral's focus on further deposits in Bergslagen is
concentrated on skarn iron ore with magnetite as the main economic
mineral, i.e. the same type of iron ore as the Company intends to
start mining in Dannemora during 2010. The involvement in new iron
ore projects in Bergslagen is an important step in the Company's
strategic development plans for its activities after the Dannemora
mine becomes operational.


Lars-Göran Ohlsson (board member and senior consultant for Dannemora
Mineral AB) and Lennart Falk (one of the main owners of Dannemora
Mineral AB) are registered by SveMin (Swedish Association of Mines,
Mineral and Metal Producers) as Qualified Persons (QPs). Lars-Göran
Ohlsson and Lennart Falk have examined and confirmed the content of
the Swedish original of this press release.


For further information, please contact:

Staffan Bennerdt, Group President
Telephone 0295- 24 44 22
staffan.bennerdt@dannemoramineral.se


Dannemora Mineral AB is a mining and exploration company, with the
main goal to recommence mining operations in the Dannemora iron ore
mine. The Company also engages in exploration activities to increase
the iron ore base locally and regionally, and to explore base and
precious metals in several areas in Uppland where the potential for
finding mineable deposits is considered good.

Dannemora Mineral comprises the parent company Dannemora Mineral AB
and the wholly-owned subsidiaries Dannemora Magnetit AB, which is
responsible for operation of the Dannemora mine and the Group's
exploration activities, and Dannemora Förvaltnings AB, which is
responsible for the property portfolio.

The Company's most important asset is the iron ore deposit at
Dannemora, and activities will initially focus mainly on the planned
mining of this deposit.

The Company's Certified Advisor on First North is E. Öhman J:or
Fondkommission AB.