Nordic Iron Ore announced progress made with respect to the 11 February 2022 Memorandum of Understanding (MOU) with Cargill, Incorporated to negotiate a long-term offtake agreement for high grade iron ore concentrate from its Blötberget project located in Dalarna, Sweden as well as setting out the possible terms for Cargill to provide a SEK 50 million investment into the company as part of a wider capital raise of at least SEK 100 million. The two companies have concluded a process of technical due diligence which will inform the next phase of Nordic Iron Ore's development. The parties are now in a period of final contract negotiation for both the off-take, investment and the wider strategic partnership, with the aim of completing the transaction in as timely a manner as possible.

The Investment will facilitate the next phase of the development of the project that once completed would produce approximately 1,600,000t per year of a 68% Fe concentrate. Such a product would be well received by the steel industry as this product, characterized by its high grade, magnetite content and low concentration of deleterious elements will facilitate the reduction of CO2 intensity throughout the steel supply chain. Cargill's metals business focuses on iron ore and steel trading, connecting iron ore miners around the world with steel mills and steel end users in key markets.

Cargill Metals trades more than 50 million tonnes of iron ore per year and is a strategic investor of a number of mining operations in North America and Northern Europe. About NIO: Nordic Iron Ore AB is a mine development company that aims to resume and develop iron ore production at Ludvika Mines in Blötberget and Håksberg and to develop the intermediate Väsman iron field. The Company has all the necessary permits in place for the mine in Blötberget and will be able to produce iron ore of extremely high quality from significant mineral resources.