NORD.L Regulatory News (NORD)

Nord Gold N.V. operating results for the third quarter and nine months ended September 30, 2014

Amsterdam, Netherlands, October 22, 2014

Nord Gold N.V. ("Nordgold" or the "Company", LSE: NORD), the internationally diversified, pure-play gold producer strategically focused on emerging markets, announces strong Q3 numbers: 6% growth in revenue despite challenging price environment; and on track to achieve the upper end of full year production range guidance of 900-950 koz.

· Lost time injury frequency rate (LTIFR) for the first 9 months of 2014 was 1.00, a significant improvement compared with the same period last year (2013: 1.58). In Q3 2014, the LTIFR was 1.55, an improvement of 18% compared with Q3 2013 (1.88), but higher than in Q2 2014 (1.08). 

· Gold production in Q3 2014 was 270.6 thousand gold equivalent ounces ("koz"), an 11% increase compared with Q3 2013 (244.7 koz) and a 2% increase compared with Q2 2014 (265.2 koz). For the first 9 months of 2014 production reached 746.9 koz, a 13% increase compared with the same period in 2013.

· For the full year 2014, the Company is targeting the upper end of the original FY 2014 production range of 900-950 koz.

· In the first 9 months of 2014, eight out of Nordgold's nine mines achieved a year-on-year ("YoY") production increase mainly as a result of measures the Company has implemented to improve operational efficiency at the mines. Double digit growth was recorded at Bissa, Taparko, Lefa, both the Buryatzoloto underground mines (Irokinda and Zun-Holba) and Neryungri.

· The average realised gold price in Q3 2014 was US$1,281 per oz, a 3% decrease compared with Q3 2013 (US$1,327/oz) and a 1% decrease compared with Q2 2014 (US$1,292/oz). The average realised gold price for the first 9 months of 2014 was US$1,290 per oz compared with US$1,426 per oz for the same period of 2013, a fall of 10%.

· Despite a lower gold price, revenues in Q3 2014 were US$344.8 million, a 6% increase compared with US$325.3 in Q3 2013 and a 1% increase compared with US$342.1 in Q2 2014, due to higher gold production and sales volumes. For the first 9 months of 2014, Nordgold revenues increased by 2% YoY to US$961.8 million, despite a 10% decrease in the average realised gold price.

· Unaudited net debt at September 30, 2014 decreased to approximately US$635.0 million compared with US$687.0 million at the end Q2 2014, reflecting the strong positive free cash flow generated.

Message from the CEO

"This has been another excellent operating performance by the Company, a period in which we continued to demonstrate our ability to drive production growth while keeping a tight rein on costs and a focus on safety. Eight of our nine operating mines have achieved quarter on quarter production increases and I am particularly pleased with the continued excellent performance of Bissa and improvement at Lefa and Buryatzoloto mines, testament to the investments we have made in the assets and the efforts of the team on the ground. As a result, we are pleased to be able to guide towards the upper end of our full year production target.

It is this proven operating performance, the focus on costs, and our determination to control the things on which we have a direct influence, that has enabled us to report another increase in revenues, despite a lower gold price environment. We continue to benefit from a robust balance sheet and an exciting development pipeline, which we will progress carefully.

As we approach the end of the year, we remain committed to our stated strategy, to maintain cost discipline and improve efficiency while staying dedicated to improving safety across the Company. We are well on track to meet our target of achieving positive free cash flow generation at all our mines."

Nikolai Zelenski, Chief Executive Officer, Nordgold

(1) Including 20.1 thousand ounces of doré produced by Suzdal mine in Q1 2014, but refined and sold during Q2 2014.

For the full report, please follow the link:

http://www.rns-pdf.londonstockexchange.com/rns/9658U_-2014-10-22.pdf

Enquiries

For further information on Nordgold please visit the Company's website - www.nordgold.com

Notes to Editors

Nordgold (LSE: NORD) is an international pure-play emerging-markets gold producer established in 2007 and publicly traded on the London Stock Exchange. Nordgold has expanded rapidly through carefully targeted acquisitions and organic growth, achieving a rate of growth unmatched in the industry during that period. In 2013, Nordgold's gold production increased to 924 koz from 717 koz in 2012.

The Company operates nine mines in Russia, Kazakhstan, Burkina Faso and Guinea. Nordgold has two development projects, four advanced exploration projects and a diverse portfolio of early-stage exploration projects and licenses in CIS, West Africa and French Guiana. Nordgold employs over 10,000 workers.

Certain information contained in this press release, including any information as to Nordgold's estimates, strategy, projects, plans, prospects, future outlook, anticipated events or results or future financial or operating performance and production may constitute "forward-looking information" within the meaning of applicable securities laws. All statements, other than statements of historical fact, constitute forward-looking information. Forward-looking information can often, but not always, be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", "predicts", "potential", "continue" or "believes", or variations (including negative variations) of such words, or statements that certain actions, events or results "may", "could", "would", "should", "might", "potential to", or "will" be taken, occur or be achieved or other similar expressions concerning matters that are not historical facts. The purpose of forward-looking information is to provide the reader with information about management's expectations and plans. Readers are cautioned that forward-looking statements are not guarantees of future performance.

All forward-looking statements made or incorporated in this press release are qualified by these cautionary statements.

Forward-looking information involves significant risks, assumptions, uncertainties and other factors that may cause actual future realities or anticipated events to differ materially from those expressed or implied in any forward-looking information and, accordingly, should not be read as guarantees of future performance or realities. Material factors or assumptions that were applied in formulating the forward-looking information contained herein include the assumption that the business and economic conditions affecting Nordgold's operations will continue substantially in their current state, including, without limitation, with respect to industry conditions, general levels of economic activity, market prices for gold, competition for and scarcity of gold mine assets, achievement of anticipated mineral reserve and mineral resource tonnages or grades, ability to develop additional mineral reserves, acquisition of funding for capital expenditures, adequacy and availability of production, processing and product delivery infrastructure, electricity costs, continuity and availability of personnel and third party service providers, local and international laws and regulations, foreign currency exchange rates and interest rates, inflation, taxes, and that there will be no unplanned material changes to Nordgold's facilities, equipment, customer and employee relations and credit arrangements. Nordgold cautions that the foregoing list of material factors and assumptions is not exhaustive. Many of these assumptions are based on factors and events that are not within the control of Nordgold and there is no assurance that they will prove correct. The risks and other factors that may cause actual future realities or anticipated events to differ materially from those expressed or implied in any forward-looking information include, but are not limited to Nordgold's ability to execute its development and exploration programs; the financial and operational performance of Nordgold; civil disturbance, armed conflict or security issues at the mineral projects of Nordgold; political factors; the capital requirements associated with operations; dependence on key personnel; compliance with environmental regulations; estimated production; and competition.

Actual performance or achievement could differ materially from that expressed in, or implied by, any forward-looking information in this press release and, accordingly, investors should not place undue reliance on any such forward-looking information. Further, any forward-looking information speaks only as of the date on which such statement is made, and Nordgold does not undertake any obligation to update any forward-looking information to reflect information, events, results, circumstances or realities after the date on which such statement is made or to reflect the occurrence of unanticipated events, except as required by applicable securities laws. All forward-looking information contained in this press release is qualified by such cautionary statements. New risk factors emerge from time to time, and it is not possible for management to predict all of such risk factors and to assess in advance the impact of each such factor on Nordgold's business or the extent to which any factor, or combination of factors, may cause actual realities to differ materially from those contained in any forward-looking information.