Interim Report First Quarter

Significant events during the period



  * Dannemora Mineral implemented a private placement which raised SEK
    103,500,000 before issue costs. This is considered to have secured the
    remaining capital requirement until a positive cash flow is achieved.
  * An update of the Company's mineral reserve reported 35.1 million tonnes of
    probable mineral reserves grading 35.3 percent iron, which is is an increase
    of 6.9 million tonnes.
  * A new ramp connection to the surface was completed. This is a crucial
    component for significantly improved logistics in the mine and an early
    production start.
  * Dannemora Mineral signed a ten-year terminal services agreement with Hargs
    Hamn AB, which means that Dannemora has now resolved the entire supply chain
    from mine to ship loading.
  * The Court confirmed that King Carl XVI Gustaf will perform the official
    opening of the Dannemora iron ore mine on 13 June 2012.
  * Net sales for the period January - March 2012 amounted to SEK 0.8 (0.8)
    million. Profit/loss after net financial items during the same period
    amounted to SEK -0.4 (-8.0) million.
  * The total cash flow for the period January - March was SEK -243.0 (767.1)
    million.
  * Cash & cash equivalents at 31 March 2012 were SEK 383.3 (979.2) million.

  Significant events after the end of the period


  * The Company's production started on 2 April, when the sorting plant began
    operations, which means that the year's production plan has been adhered to.

  * Dannemora Mineral has decided to resume the process of getting its shares
    admitted to trading on the NASDAQ OMX Main List.

 Read the Report below

[HUG#1606097]