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An Introduction to Kiruna Iron for

8th Fennoscandian Exploration and Mining – FEM 2011


Disclaimer This Document and the information contained herein and any presentation (collectively referred to as “Information”) is proprietary to Scandinavian Resources Limited/Kiruna Iron Aktiebolag (“the Company”). Potential investors must make their own independent assessment and investigation of the opportunity and should not rely on any statement or the adequacy or accuracy of the information provided. Securities of micro cap exploration companies, typically involve a high degree of risk and as such, any investment in the Company must be considered as speculative. The Information provided does not purport to cover all relevant information about any potential investment in the Company. Accordingly potential investors are advised to seek appropriate independent advice, if necessary, to determine the suitability of this investment. The Document contains reference to certain intentions, expectations and plans of the Company. Those intentions, expectations and plans may or may not be achieved. They are based on certain assumptions which may not be met or on which views may differ. The performance and operations of the Company may be influenced by a number of factors, many of which are outside the control of the Company. No representation or warranty, express or implied, is made by the Company or any of their respective directors, employees, agents, advisers and consultants that any intentions, expectations or plans will be achieved either totally or partially or within a prescribed timeframe or that any particular rate of return will be achieved. The Information disclosed relates to the proposed business of the Company at the date of this Document. Material information may have changed since the date the Document was compiled. No responsibility is accepted to advise any person of any change or update any of the Information. Neither the provision of this Document nor any information contained in this Document or subsequently communicated to any person in connection with this Document is, or should be taken as, constituting the giving of investment advice to any person. By accepting this Document you acknowledge and agree to be bound by each of the foregoing statements.

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CORPORATE STRUCTURE

Scandinavian Resources Ltd

2007

(ASX:SCR)

100% 2009

Incubating minerals projects from public and private databases

Scandinavian Resources AB

Precious & Base Metals

100% 2010

Kiruna Iron AB

Bulk Commodities

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SCANDINAVIAN RESOURCES LTD - DIRECTORS Damian Hicks Chairman

Olof Forslund Technical Director

• Founding director • Founding director of Hannans Reward Ltd in 2002, currently Managing Director • Bachelor of Commerce (Accounting & Finance) from University of Western Australia • Admitted as Barrister & Solicitor in Western Australia

• Founding director • Geophysicist with extensive international experience in the mineral exploration industry • Majority of career with Geological Survey of Sweden (SGU); commenced in 1966 • Previously Regional Manager of SGU Mineral Resources Information Office

Ian Gregory Director & Company Secretary

Paul Thomas Non-Executive Director

• Over 25 years experience in the provision of company secretarial services in the exploration, mining, mineral processing, and other industries

• Metallurgist in the mining industry for 25 years • Managing Director of OM Holdings Ltd’s (ASX: OMH) subsidiary, OM Manganese

Markus Bachmann Non-Executive Director • Corporate finance professional and founding partner of Craton Capital • Craton Capital awarded Fund Manager of the Year at the Mining Journal’s “Outstanding Achievement Awards” during December 2010

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INCUBATION & OWNERSHIP

Kiruna Iron AB has been incubated by the Team at Scandinavian Resources Ltd (ASX:SCR) Kiruna Iron AB is striving to become a producer of Premium quality iron products

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STRATEGY Aggregate significant quantities of iron within the world-class Kiruna District, Sweden Mine iron from a number of 50 - 100Mt iron deposits within 80km of Kiruna

Produce a premium quality iron concentrate Transport the concentrate to customers in Europe, Middle-East and Asia via road, rail and or sea

Ice breakers in Port of Lulea

Rail at Port of Lulea 7


KIRUNA DISTRICT - UNDEREXPLORED • Kiruna Iron AB is the largest permit owner in the Kiruna District • Minimal exploration completed in Kiruna since SGU completed the Iron Ore Inventory Program (IOIP) in 1960/70’s – diamond drilling and geophysical surveys • Kiruna Iron AB has secured majority of IOIP iron occurrences and has access to SGU diamond drill core and geophysical data – significant time & cost savings 8


KIRUNA IRON’S DEPOSITS Mineral deposits within Kiruna Iron AB’s permits

Tjårrojåkka

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Åkosjegge


KIRUNA IRON AB – A MAJOR PERMIT POSITION

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ACHIEVEMENTS SINCE IPO

Cooperation Agreement with Boliden Mineral AB 6 September 2011

Acquires Iron Project from Gr채ngesberg Iron AB 8 June 2011

Acquires Rakkuri Project from Anglo America and Rio Tinto 15 November 2010

JV with Tasman Metals 28 June 2010

IPO, initial public offering 21 April 2010 11


FINANCIAL ADVISERS APPOINTED

continues growing Kiruna Iron Project with the strong support of

• publicly listed on Toronto and London exchanges with a market capitalisation of USD1.2 Billion • operations in Canada, the United States and China • strong financial position with USD954 Million in cash and cash equivalents • completed 650 financings since 2010 worth over USD45 Billion including 171 mining financings worth over $8.6 Billion

• offices across Norway, as well as in Stockholm, Malmö, New York and Singapore • #1 ranked manager of IPOs and listings on Oslo Børs having managed ~70 IPOs and listings since 2005, corresponding to ~40% market share • recently acquired the Swedish investment banking arm of the Öhman group

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TECHNICAL VALUE @ USD125M

• SRK engaged as an independent specialist to provide BDO with an opinion on the technical valuation of mineral assets of SCR • SRK considers that the Technical Value of the proportion of the Assets held by SCR lies in the range of USD77m to USD143m • SRK’s preferred value is USD125m, which reflects a value closest to the Comparable Transaction valuation and also incorporates consideration of the Past Expenditure valuation of the Early Stage Exploration Target asset group 13


IRON ORE DEPOSIT AT RAKKURIJOKI •

One twin hole and seven exploration holes completed. Twin hole RJO11002 returned 25m @ 51% Fe from 213m, 17m @ 47% Fe from 301m and 39m @ 37% Fe from 327m. Exploration hole RJO11001 returned 23m@ 43% Fe from 88m and 45m @ 36% Fe from 121m. Exploration hole RJO11003 returned 46m@31% Fe from 266m. Mineralisation currently open at a depth of >400m

ASX announcement 13 July 2011 JORC Inferred resource

Rakkurijoki-74.5Mt @ 39.7% Fe, 0.28% P, 0.89% S 1 4


HIGH GRADE IRON

Platey hematite from Harrejaure Project 15


INFERRED AND INDICATED RESOURCES ASX announcement 29July 2011

Indicated resources JORC

Inferred resources JORC

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Inferred and indicated resources

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VALUE PROPOSITION COMPANY

Scandinavian Resources Ltd

TONNES (Mt) Indicated Resources 73.8Mt Inferred Resources 338.3Mt

IRON GRADE (%)

MARKET CAP (A$M)

LOCATION

STAGE / LISTED NOTES EXCHANGE 

43

39

42 (fully diluted)

Northern Sweden

Explorer ASX:SCR

 

Minimal exploration since 1970 Located adjacent to Kiruna town and rail infrastructure No off-take agreements OMH own 16% of SCR Intensive exploration during last 5 years DFS for Kaunisvaara Plan to truck ore 150km to rail head en route to Narvik Off-take agreements with Standard Bank, Stemcor and Tata Steel Project finance in place Fully permitted

OMH own 16% of NFE

     

Northland Resources Inc

Northern Iron Ltd

176 (Reserves)

623 (Resources & Reserves)

26 - 41

32

336

386

Northern Sweden

Northern Norway

Developer TSX:NAU

Miner ASX:NFE 

LKAB

Northern Sweden

 Major Miner

International high-tech minerals group One of the world’s leading producers of upgraded iron ore products s Table dated 2 September 2011

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Other Projects •

Currently more than 15 additonal iron targets are being worked up including Gäddmyr, Karanisvare, Tjåorika, Hotnjos, Kuosatjvare, Pattok, Teltaja, Kevus, Tervakoski, Leppäjoki, Holmajärvi Södra, Saivo, Rappakojärvi, Staggotjåkka, and Eustillako .

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Thank you for your attention!

Hans Lindberg 2011

Hans Lindberg 2011

Hans Lindberg 2011

Amanda Arrowsmith, Exploration Manager, on her way to Harrejaure (left) Damian Hicks, Chairman, and Markus Bachmann, Director, at Sautusvaara (centre) Future employee (right) 20


CONTACT DETAILS

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An Introduction to Kiruna Iron