IGE Nordic AB 2008 First Quarter results

May 7, 2008
(all amounts are in SEK (Swedish Kronor) unless otherwise stated)

Company Comments
Fredric Bratt, CEO of IGE Nordic said “We continue to move forward on a number of fronts. Drilling began or is about to begin on four key projects, a test mining permit was granted for the Norra Norrliden project and two agreements to form jointly-owned companies were concluded on our uranium and iron ore assets.”

As part of the plan to move the best potential projects forward, drilling began in March and April 2008 on three key projects – the Rönnbäcken nickel and the Gladhammar and the Solvik gold projects – and at the end of June, it is expected to begin at the Bidjovagge gold-copper project.

A test mining permit was granted in March 2008 for the Norra Norrliden zinc-copper project.

The Company has signed two agreements to form jointly-owned companies – one in uranium with Energy Ventures Limited of Australia and the other in iron ore with Archelon Mineral AB and Kopparberg Mineral AB. Both of these agreements have the advantage of utilizing our partner’s technical skills and resources and adding their own exploration properties to the joint ventures while allowing IGE Nordic to remain focused on gold, nickel, copper and zinc.

In January 2008, IGE Nordic began dialogue with stakeholders and municipal officials in northern Norway with regard to the Bidjovagge gold-copper project, and in April 2008, similar meetings were held with representatives from the Vapsten Sami village, the County Administration in Västerbotten and the Municipality of Storuman about our planned activities at the Swedish Rönnbäcken nickel project. Fredric Bratt, CEO of IGE Nordic said “With the knowledge that the most successful mining projects are those that are deemed successful by the local community, we began the process of communicating and exchanging views with various stakeholders in Norway and Sweden.”

We believe we have a large portfolio of prospective projects and we will continue to look for ways to advance them. At the same time, we are encouraged by the continued strength in the commodity markets. The objective of all these projects is to establish through drilling and metallurgical testwork a mineral resource of sufficient size and grade to support an economic mining operation. Other projects, which have a development potential but where we lack expertise, will be joint-ventured (e.g. uranium properties). We will also continue to work to create strategic partnerships.

Highlights in the First Quarter 2008
Drilling started at Rönnbäcken nickel project at the end of March
• The Company secured two rigs in January 2008 for a major drill program at its Rönnbäcken nickel project in Sweden. The first rig started an 8,000 metres drilling program at the end of March 2008. The second drill rig is expected to begin operating in May 2008. The program is looking to test the concept of a large, low grade nickel deposit amenable to open pit mining. If successful, the Company has the option to continue with a phase 2 program, of up to 10,000 metres of more drilling under the same contract.

Drilling began in March 2008 on the Gladhammar gold project
• IGE Nordic and Wiking Mineral AB launched a 1,000 metres drilling program in March 2008 on the Gladhammar gold project in Sweden. Each Company has a 50% interest in the project, and Wiking Mineral AB is the operator.

Two drill rigs are expected to start at the end of June on the Bidjovagge gold-copper project
• IGE Nordic AB secured two rigs in February 2008 to start a drilling program at the end of June 2008 on the Bidjovagge gold-copper project in northern Norway. About 5,000 metres is expected to be drilled to test the concept that a large gold-copper deposit can be delineated at Bidjovagge. If successful, IGE Nordic has the option to continue with an extended program drilling an additional 5,000 metres under the same contract.

Energy Ventures will invest SEK 5 million on uranium exploration in the first 18 months.
• In February 2008, the Company entered into an agreement with Australian-listed Energy Ventures Limited (EVE) to form a jointly-owned company to explore their combined Swedish exploration licence areas for uranium. Under the terms of the agreement, IGE Nordic and EVE will incorporate a joint venture company to explore on the combined 17 exploration license areas considered by the two companies to be prospective for uranium mineralisation. IGE Nordic holds a number of uranium exploration projects secured under eight granted exploration licenses (Björkråmyran nr 1, Björkråmyran nr 2, Lingarö nr 2, Näverede nr 1, Olserum nr 2, Påläng nr 2, Rappen nr 21, Sännsjölandet nr 1) in different parts of Sweden. EVE holds its Swedish uranium exploration projects, secured through nine granted exploration licenses (Ardnapuouda nr 1, Ballonåive nr 1, Bergajaure nr 1, Gunnarn nr 100, Jarre nr 1, Katinhaure nr 1, Meuresvare nr 1, Nammejaure nr 1, Seper nr 1) in the Norrbotten region of northern Sweden, through its wholly owned subsidiary EVE Ventures (UK) Ltd. EVE will manage the joint venture and has committed to invest SEK 5 million (approximately AUD $0.87 million) to fund exploration expenditures for the first 18 months. EVE will hold a 51% equity interest in the joint venture company and IGE Nordic will hold 49% when the shareholders agreement has been finalized between the parties.

Test mining permit for the Norra Norrliden zinc-copper project has been granted
• At the Norra Norrliden zinc-copper project (IGE Nordic 10 % and Lundin Mining Corp. 90 %), a permit for the test mining of up to 65,000 tonnes of ore and 170,000 tonnes of waste rock was granted in March 2008. Lundin Mining Corp. expects the test mining to begin by the third quarter 2008.

Dialogue and exchange of views began with local communities in Northern Norway with regard to the Bidjovagge gold-copper project
• During the quarter, the Company met the Municipality of Kautokeino, the Sami Parliament (Sametinget), the Finnmark Property (Finnmarkseiendomen), the Norwegian Reindeer Husbandry Administration and representatives from two Reindeer grazing districts and the media in northern Norway with the purpose of establishing dialogue and understanding local social and economic interests, updating stakeholders on the Company’s plans for the Bidjovagge gold-copper project. The Company plans to continue such meetings with the respective stakeholders.

New CFO appointed January 1st, 2008
• Joakim Lindén was appointed Chief Financial Officer as of January 1st, 2008.

Airborne survey completed on Mjölkfjället
• An airborne survey was completed in late 2007 over nickel bearing Mjölkfjället gabbro-ultramafic intrusive complex. Results obtained in the reporting period show that while the survey showed no strong conductors in the intrusion, the Company obtained a much clearer picture of this unexplored area, as well as confirmation of a conductor over the best nickel showing to guide future exploration.

Highlights after the reporting period
IGE Nordic will form a jointly-owned iron ore exploration company with Archelon Mineral and Kopparberg Mineral to maximize the potential of their combined assets
• IGE Nordic AB, Archelon Mineral AB and Kopparberg Mineral AB will form an iron ore exploration company that will focus on maximizing the development potential of their combined assets. Kopparberg Mineral AB is the manager. The Companies expect that the agreement will provide for a more effective exploration program on the combined portfolio and the best opportunity for a potential iron ore discovery.

Dialogue and exchange of views began with local communities in Northern Sweden with regard to the Rönnbäcken Nickel Project
• In March and April 2008, the Company held meetings with various representatives from the Vapsten Sami village, the County Administration in Västerbotten and the Municipality of Storuman where we informed stakeholders about our planned activities with regard to the Rönnbäcken nickel project. The Company will continue such meetings.

Drilling began at Solvik gold project in April 2008
• A 1,000 metres drilling program started in April 2008 at the Solvik gold project. IGE Nordic and Archelon Mineral AB have a 50% interest each in the project, and IGE Nordic is the operator.

Reporting period

The reporting period for IGE Nordic is calender year. This interim statement comprises the period from 1 January to 31 March 2008 and compared with the same period 2007.

Business description

IGE Nordic is presently an exploration company currently operating in Sweden and Norway. The Company has a large and well diversified exploration portfolio in combination with an experienced team of geologists and field technicians with core competences and a unique expertise in evaluating opportunities in the geological conditions specific to Sweden and Norway.

Investments during the period

Net investments during the period amounts to 1,318 TSEK (450 TSEK).

Financial position

Net cash flow for the period amounted to -14,151 TSEK (163 TSEK) and the balance sheet amounted to 127,432 TSEK (7,923 TSEK) at the end of the reporting period. Cash and cash equivalents at period-end amounted to 80,119 TSEK (622). Shareholders equity amounted to 125,082 TSEK (7,014) at the reporting date i.e. a solvency ratio of 98,2 % (88,5 %).

Assets pledged and contingent liabilities

Assets pledged are 107 TSEK (0) and contingent liabilities are 0 TSEK (0).

Coming reports

Interim report Jan-June, 2008, August 27, 2008
Interim report Jan-September, 2008, November 20, 2008
Interim report 2008, February 20, 2009

This interim report has not been audited by the company’s auditors.

Stockholm May 7, 2008
Fredric Bratt
Chief Executive Officer
IGE Nordic AB (publ)