Nordic Mining ASA – Completed Private Placement

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN AUSTRALIA, CANADA, JAPAN OR SOUTH AFRICA OR ANY OTHER JURISDICTION IN WHICH THE RELEASE, PUBLICATION OR DISTRIBUTION WOULD BE UNLAWFUL. THIS ANNOUNCEMENT DOES NOT CONSTITUTE AN OFFER OF ANY OF THE SECURITIES DESCRIBED HEREIN.

Nordic Mining ASA ("Nordic Mining" or "Company") is pleased to announce the completion of a private placement of 12 950 000 shares with gross proceeds of approximately NOK 27.5 million (the "Private Placement").

Reference is made to the Company's stock exchange notice dated 28 May 2019 regarding the contemplated Private Placement.

Nordic Mining has completed the Private Placement of 12 950 000 shares at a subscription price of NOK 2.125 per share, raising gross proceeds of approximately NOK 27.5 million. The share issue constituted close to 10% of the Company's share capital.

The proceeds from the Private Placement will be used primarily to finance the Company's ongoing Definitive Feasibility Study of the Engebø project and general corporate purposes. The Definitive Feasibility study’s main purpose is to qualify the project for bankability.

Barton Group and Verdipapirfondet Nordea Avkastning were allocated shares for NOK 8 and NOK 5 million respectively. Barton Group is the leading US garnet producer and distributor that has signed a Heads of Agreement related to offtake and commercial cooperation for garnet with Nordic Mining. Barton Group's subsidiary B-L Holding Company has been allocated 3,764,706 new shares in the Private Placement. After completion of the Private Placement, B-L Holding Company will own 8,403,655 shares in the Company, which represents 5.8% of the Company's shares.

The Private Placement was resolved by the Board of Directors pursuant to the authorisation granted by the Company´s general meeting held on 21 May 2019.

Following registration of the share capital increase pertaining the Private Placement with the Norwegian Register of Business Enterprises, the Company will have a share capital of NOK 86,275,063.20 divided into 143,791,772 shares, each with a nominal value of NOK 0.60.

Delivery of the new shares will take place on or about 6 June 2019, subject to full and timely payment being received for such shares and the registration of the share capital increase relating to the issuance of such shares with the Norwegian Register of Business Enterprises. The new shares will be admitted to trading on Oslo Axess under the Company's existing ISIN upon delivery.

In connection with the Private Placement, the Board of Directors of the Company have resolved to set aside the pre-emptive rights of the existing shareholders. The Board of Directors considers this to be in the best interests of the Company and its shareholders, since it allows the Company to raise capital more efficiently and quicker in order to minimize execution risk, at a lower discount and with lower transaction costs than a rights’ offering.  

Clarksons Platou Securities AS and Swedbank Norge, branch of Swedbank AB (publ) in cooperation with Kepler Cheuvreux acted as Joint Lead Managers and Bookrunners in the Private Placement.

Oslo, 29 May 2019

Nordic Mining ASA

Nordic Mining ASA (www.nordicmining.com)

Nordic Mining ASA ("Nordic Mining" or the "Company") is a resource company with focus on high-end industrial minerals and metals. The Company's project portfolio is of high international standard and holds significant economic potential. The Company's assets are in the Nordic region.

Nordic Mining is undertaking a large-scale project development at Engebø on the west coast of Norway where the Company has rights and permits to a substantial eclogite deposit with rutile and garnet. Nordic Mining also holds 18.5% of the shares in Keliber Oy, which is developing a lithium project in Finland to become the first European producer of battery grade lithium hydroxide.

In addition, Nordic Mining holds interests in other initiatives at various stages of development. This includes patented rights for a new technology for production of alumina which are jointly owned with the Institute for Energy Technology. The Group has also taken initiatives related to seabed mineral exploration in Norway and participates in the MarMine research project. Further, the Group is investigating a high-quality quartz deposit in Kvinnherad in western Norway and holds exploration rights for nickel and PGE in a prospective geologic province in Reinfjord in northern Norway.

Nordic Mining is listed on Oslo Axess with ticker symbol "NOM".

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