Northland Resources S.A.
OSLO : NAUR
FRANKFURT : NPK
OMX : NAURo

Northland Resources S.A.

September 12, 2013 04:31 ET

Northland Announces Adjusted Production Target for 2013

LUXEMBOURG, LUXEMBOURG--(Marketwired - Sept. 12, 2013) - Northland Resources S.A. (OSLO:NAUR)(FRANKFURT:NPK)(OMX:NAURo) - together with its subsidiaries "Northland", "NRSA" or the "Company") announces that the expected production target for 2013 is 1 million tonnes - 1.1 million tonnes.

Reference is made to the Company's second quarter results, published on August 8, 2013, where Northland announced that the Company expected to produce 1.2 million dry tonnes of iron ore concentrate during 2013. The new production target for 2013 is 1 - 1.1 million dry tonnes.

The main reasons for the expected production shortfall are further delays of the third Vertimill and lower than planned head grades of the ore to the concentrator.

The third Vertimill is being completed during September and the Company expects the ramp-up phase to be completed in October 2013.

Northland is a producer of iron ore concentrate, with a portfolio of production, development and exploration mines and projects in northern Sweden and Finland. The first construction phase of the Kaunisvaara project is complete and production ramp-up started in November 2012. The Company expects to produce high-grade, high-quality magnetite iron concentrate in Kaunisvaara, Sweden, where the Company expects to exploit two magnetite iron ore deposits, Tapuli and Sahavaara. Northland has entered into off-take contracts with three partners for the entire production from the Kaunisvaara project over the next seven to ten years. The Company is also preparing a Definitive Feasibility Study ("DFS") for its Hannukainen Iron Oxide Copper Gold ("IOCG") project in Kolari, northern Finland and for the Pellivuoma deposit, which is located 15 km from the Kaunisvaara processing plant.

Forward-Looking Information

This announcement may include "forward-looking" information within the meaning of applicable securities laws. This forward-looking information can be identified by the use of forward-looking terminology, including the terms "believes", "estimates", "anticipates", "expects", "intends", "may", "will" or "should" or, in each case, their negative, or other variations or comparable terminology. This forward-looking information includes all matters that are expectations concerning, among other things, Northland's results of operations, financial condition, liquidity, prospects, growth, strategies and the industry in which it operates. By their nature, forward-looking information involves risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Readers are cautioned that forward-looking information is not a guarantee of future performance and that Northland's actual results of operations, financial condition and liquidity, and the development of the industry in which it operates may differ materially from those made in or suggested by the forward-looking information contained in this press release. In addition, even if Northland's results of operations, financial condition and liquidity, and the development of the industry in which Northland operates are consistent with the forward-looking information contained in this press release, those results or developments may not be indicative of results or developments in subsequent periods.

Contact Information

  • Northland Resources S.A.
    Johan Dagertun
    Deputy COO
    +46 703 700

    Northland Resources S.A.
    Jonas Lundstrom
    SVP Corporate Communication
    +46 705 493 338

    Northland Resources S.A.
    Petter Brunnberg
    Investor Relations
    +46 727 24 41 09
    www.northland.eu