Kopy Goldfields: Interim report January - June 2011

Highlights during second quarter 2011

Exploration development
· The company announces an initial resource estimation for Kopylovskoye project in compliance with JORC Code of 37.000 Oz of indicated with gold grade of 1.31 g/t and 80.000 Oz of inferred gold resources with gold grade of 1.07 g/t estimated by SRK Consulting. The mineralization is open along strike and to depth.

· Through in-house economical evaluation of the properties beside Kopylovskoye project the company make a decision on how to add up to the Kopylovskoye mine development

· Within Kavkaz-property 634 meter of RC and 1.370 meter of diamond drill holes have been completed targeting Milliony structure. The drill samples have been collected and sent for fire assay test and the results are expected during third quarter 2011.

· On Zolotoy-prospect within Prodolny property five exploration trenches with the total length of 1.700 meters have been excavated and sampled. Trench samples have been sent for fire assay test. Mineralized zones are strongly visible with thickness of mineralized rock increasing from west to east along strike to above 100 meters on surface. Diamond drilling has commenced to test mineralization at depth.

· On West Uspenskoye-prospect within Prodolny-license 800 meters of trenching was finalized and chip samples were collected along the trench. Express gold- and multielement analysis are under process during third quarter.

Corporate development
· Kopylovskoye AB has changed name to Kopy Goldfields AB. The new name better corresponds to the portfolio of 17 exploration projects within the Lena Goldfields.

· The company has implemented a cost-reduction program both in Sweden and in Russia.

The second quarter 2011
· Impairment of exploration costs accumulated to Kopylovskoye project amounted to -74.7 MSEK (0).
· During the period 7.1 MSEK (6.5) was invested in exploration work.
· During the period nothing (4.7 MSEK) was invested in exploration licenses.

The first half year 2011
· Impairment of exploration costs accumulated to Kopylovskoye project amounted to -74.7 MSEK (0).
· During the period 15,4 MSEK (12,4) was invested in exploration work.
· During the period 0,4 MSEK (4,7) was invested in exploration licenses

Significant events after the reporting period
· Three new board members were elected on the EGM on July 27, 2011. Johan Österling, Patric Perenius and Andreas Forssell.
· An option program for the employees was approved by the EGM.
· Long-term loan commitments of 12.7 MSEK with major shareholders with 7% interest rate and two years duration
· A term-sheet non-binding agreement with Eldorado Gold Corp was reached on placing 2.700.000 new shares for the total amount of 29 MSEK.

Publication under Swedish law
Kopy Goldfields is publishing this information in accordance with the Swedish Financial Markets Act (Sw. Lag om värdepappersmarknaden) and/or the Swedish Financial Trading Act (Sw. Lag om handel med finansiella instrument). This information was released for publication on August 31, 2011 at 08.45 CET.

For the complete press release including tables, images and maps see attached document.
För pressmeddelande på svenska se bifogat dokument (Swedish)

Stockholm, August 31, 2011

For more information, please contact:
Mikhail Damrin, CEO, +7 916 808 12 17
Kjell Carlsson, Chairman of the Board, +46 70 588 21 49
Anna Sandgren, Vice President IR, +46 709 73 71 31

The following documents can be retrieved from beQuoted
Kopy Goldfields Pressrelease 2011-08-31 (English).pdf
Kopy Goldfiels Interim Report Q2 2011 (English).pdf
Kopy Goldfields Pressrelease 2011-08-31 (Swedish).pdf
Kopy Goldfiels Delårsrapport Q2 2011 (Swedish).pdf

Mer information från beQuoted
Nyhetssida Kopy Goldfields (Swedish)

About Kopy Goldfields AB
Kopy Goldfields AB (publ), listed at NASDAQ OMX First North in Stockholm is a gold exploration company operating in one of the most gold rich areas in the world; Lena Goldfields, Bodaibo, Russia. The company holds 100% of seven bedrock exploration- and production licenses covering 255 sq km. The long term target is to develop a gold exploration and production company with resources of 5Moz supporting annual gold production of 0.2 Moz.

Kopy Goldfields AB reports since June 3, 2011 mineral resources and ore reserves according the internationally accepted JORC- code. SRK Consulting acts as consultant and will approve the JORC reports. Kopy Goldfields AB applies International Financial Reporting Standards (IFRS), as approved by the European Union. Mangold Fondkommission acts as Certified Adviser and Liquidity Provider, contact number: +46 8-503 015 50.

The share Ticker: KOPY www.nasdaqomxnordic.com/firstnorth/
Outstanding shares: 6.626.937