Dannemora Mineral AB: Press release 25 june 2008

Communiqué from EGM of Dannemora Mineral AB (publ)

At an extraordinary general meeting held on Wednesday, Dannemora
Mineral decided to authorise the Board to issue new shares for the
purpose of raising capital for the company's continuing development
of the Dannemora mine. Last week the Swedish Environmental Court
approved the company's application to start mining operations in
Dannemora, scheduled to commence at the end of 2009. The meeting also
ratified the Board's proposal to extend the share option scheme.

Board mandate

The extraordinary general meeting authorised the Board to issue new
shares (class A and/or class B) on one or more occasions before the
next annual general meeting, with or without preferential rights for
shareholders. However, class A shares may only be issued with
preferential rights for shareholders. The aim of the mandate is to
raise capital for the company's continuing development of the
Dannemora mine.

Share option scheme

The EGM approved the Board's proposal to extend the share option
scheme adopted by the EGM on 11 April 2008, comprising 50,000 share
options and 50,000 warrants. The extended share option scheme for key
management personnel in Dannemora Mineral consists of two parts:
35,000 share options and 35,000 warrants.

Each warrant will entitle the holder to subscribe for one new class B
share in Dannemora Mineral during the period 1 July 2009 - 15 January
2012 at a price corresponding to 150 percent of the volume weighted
average price of the company's B share on First North between 23 May
and 23 June 2008 (the 20 trading days immediately prior to the annual
general meeting), but no less than SEK 86.

The warrants will be issued at a market price defined using the Black& Scholes option pricing formula.

Each share option will entitle the holder to acquire one class B
share in Dannemora Mineral during the period 1 July 2011 - 15 January
2012 at a price corresponding to 110 percent of the volume weighted
average price of the company's B share on First North between 23 May
and 23 June 2008 (the 20 trading days immediately prior to the annual
general meeting), but no less than SEK 68.

Share options will be allotted to employees free of charge. Share
options are not securities and are not negotiable.

This document is a translation of the original Press Release in
Swedish. In case of divergence, the Swedish version shall have
precedence.

For further information, please contact:

Staffan Bennerdt, Group President
Telephone 0295- 24 44 22
staffan.bennerdt@dannemoramineral.se



Dannemora Mineral AB is a mining and exploration company, with the
main goal to recommence operations in the Dannemora iron ore mine.
The Company also engages in exploration activities to increase the
iron ore base locally and regionally, and to explore base and
precious metals in several areas in Uppland where the potential for
finding feasible mineralisations is considered to be good.

Dannemora Mineral consists of the parent company Dannemora Mineral AB
and the wholly-owned subsidiaries Dannemora Magnetit AB, responsible
for the operations of the Dannemora iron ore mine, Dannemora
Prospektering AB, responsible for all exploration, and Dannemora
Förvaltnings AB, responsible for the property portfolio.

The Company's most important asset is the iron ore deposit at
Dannemora, and activities will initially focus mainly on the planned
mining of this deposit.

The Company's Certified Advisor on First North is E. Öhman J:or
Fondkommission AB.