Lundin Mining Corporation

Lundin Mining Corporation

March 09, 2005 10:03 ET

Lundin Mining Owns 96.4 percent of NAN and Extends the Acceptance Period


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: LUNDIN MINING CORPORATION

TSX SYMBOL: LUN

MARCH 9, 2005 - 10:03 ET

Lundin Mining Owns 96.4 percent of NAN and Extends the
Acceptance Period

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 9, 2005) - On January
21, 2005 Lundin Mining Corporation ("Lundin Mining")(TSX:LUN)(O-list
Stockholmsborsen:LUMI) made a public offer for all outstanding shares in
North Atlantic Natural Resources AB ("NAN"). The NAN shareholders were
offered either one newly issued share in Lundin Mining for each 5.3
shares in NAN (the "Share alternative") or SEK 10.75 per share in NAN
(the "Cash alternative") (together referred to as the "Offer"). The
acceptance period expired at 17.00 (CET) on Friday March 4, 2005.

Shareholders representing 6,993,616 shares, corresponding to 22.4
percent of the total number of shares and votes of NAN, have accepted
the Offer. 6,960,997 shares were submitted under the Share alternative
and 32,919 shares were submitted under the Cash alternative. Combined
with the 23,117,000 shares held by Lundin Mining prior to the Offer,
Lundin Mining now holds 30,110,616 shares in NAN, corresponding to 96.4
percent of the total number of shares and votes.

Lundin Mining declares the Offer unconditional and accounting of
settlement for those having accepted during ordinary acceptance period
is estimated to commence around Monday, March 14, 2005.

In order to provide an opportunity for the remaining shareholders in NAN
to accept the Offer, the acceptance period is extended until 17.00 (CET)
on Friday, March 18, 2005. Lundin Mining has initiated compulsory
purchase of the remaining shares in NAN.

"This is a resounding vote of confidence in the growth strategy we have
been implementing since the acquisition of Zinkgruvan last year. We are
delighted to be able to welcome the former shareholders of NAN as new
shareholders of Lundin Mining. The combination of Zinkgruvan, NAN's
production and exploration assets and Lundin Mining's highly prolific
exploration projects in Norrbotten will, together with the announced
intended merger with ARCON, serve to create a highly competitive leading
European base metals producer - and to create significant values for our
shareholders", comments Mr. Lukas Lundin, Chairman of Lundin Mining.

ON BEHALF OF THE BOARD

"Edward F. Posey"

President

Lundin Mining is a Canadian mining and exploration company with a
primary focus in Scandinavia. The main asset of the company is the
Zinkgruvan mine, located about 200 kilometers southwest of Stockholm,
Sweden. The mine has been producing zinc, lead and silver on a
continuous basis since 1857. Zinkgruvan has consistently ranked in the
lowest cost quartile among zinc mines in the world. Lundin Mining is the
majority owner of North Atlantic Natural Resources AB (NAN), a mining
and exploration company listed on Stockholmsborsen (the Stockholm Stock
Exchange) under the ticker symbol NAN. NAN's primary asset is the
Storliden copper and zinc mine in the Skellefte District of northern
Sweden, which has been in production since 2002. Lundin Mining also
holds a large copper/gold exploration project in the prolific Norrbotten
Mining District in northern Sweden.

-30-

Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Lundin Mining Corporation
    Sophia Shane
    Head of Corporate Communications
    (604) 689-7842
    (604) 689- 4250 (FAX)
    or
    Lundin Mining Corporation
    Robert Eriksson
    Investor Relations - Europe
    +468-545-07470
    +46 8 545 074 71 (FAX)