Nordex Explosives Ltd.
TSX VENTURE : NXX

Nordex Explosives Ltd.

June 29, 2011 18:53 ET

Nordex Explosives Announces Supply Agreement With First Nickel Inc.

KIRKLAND LAKE, ONTARIO--(Marketwire - June 29, 2011) -

NOT FOR DISTRIBUTION TO UNITED STATES OF AMERICA WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES OF AMERICA

NORDEX EXPLOSIVES LTD. (TSX VENTURE:NXX) ("Nordex") is pleased to announce that it has entered into a supply agreement with First Nickel Inc. for the supply of explosive products to their Locker by Mine site located near Sudbury, Ontario, Canada.

First Nickel is one of Canada's premier nickel/copper explorers with resources identified exceeding 170 million pounds of nickel.

First Nickel has successfully increased the "probable reserves" at its Lockerby Mine five-fold since it was acquired from Falconbridge in 2005. A February 2009 feasibility study on the mining of the Lockerby Depth by Genivar Limited Partnership estimates metal production totaling 51.7 million pounds payable nickel, 34.4 million pounds payable copper and 1.0 million pounds of payable cobalt.

Jim Taylor, Chief Executive Officer for Nordex, stated "First Nickel is another exciting opportunity for Nordex as it will be our first underground mining client in the Sudbury region. We hope this will open up other new opportunities in this region as we continue to expand our radius of operations. We are committed to our philosophy of providing quality products, competitive pricing and the best customer service and technical support to the mines we service."

The agreement is for a period of six years subject to both parties meeting their contractual obligations. Under the terms of the agreement, there is no minimum volume or dollar commitment and resulting explosive sales will be a function of the operating activities of First Nickel Inc.

ABOUT NORDEX EXPLOSIVES:

LES EXPLOSIFS NORDEX LTEE./NORDEX EXPLOSIVES LTD. is a manufacturer and distributor of explosives for the mining, quarry and road construction industries since 1970. Its manufacturing operations and distribution centre is strategically located in one of the world's largest mining regions near Kirkland Lake, Ontario. Nordex trades on the TSX Venture Exchange under the symbol "NXX".

OTHER INFORMATION

Additional Information relating to the Company is available on SEDAR at www.sedar.com.

Forward-Looking Statements

Certain information included herein may contain "forward-looking statements" which reflect the current expectations of management of the Company regarding the Company's future growth, results of operations, performance, business prospects and opportunities. Wherever possible, words such as "may", "would", "could", "should", "will", "anticipate", "believe", "plan", "expect", "intend", "estimate", "aim", "endeavor", "seek", "predict", "potential" and similar expressions have been used to identify these forward-looking statements. These statements reflect management's current beliefs with respect to future events and are based on information currently available to management of the Company. Forward-looking statements involve significant risks, uncertainties and assumptions. Many factors could cause the Company's actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including, without limitation, cancellations of or the failure to renew purchase orders; production and delivery issues; quality, pricing and availability of raw materials; compliance with environmental regulations; exchange rate fluctuations as well as the other risks identified in the "Risk Factors" contained in the Company's Management Discussion and Analysis for the Third Quarter and other public filings (copies of which may be obtained at www.sedar.com). Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results, performance or achievements may vary materially from those expressed or implied by this press release. These factors should be considered carefully and the reader should not place undue reliance on the forward-looking statements. Although any forward-looking statements contained in this press release are based upon what management currently believes to be reasonable assumptions, the Company cannot assure readers that actual results, performance or achievements will be consistent with these forward-looking statements, and management's assumptions may prove to be incorrect. These forward-looking statements are made as of the date of this press release, and, other than as required by law, the Company does not intend, and does not assume any obligation, to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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