Northland Begins to Outline New Open Pit Iron Resources at Pellivuoma, Sweden
Buck Morrow, the President of Northland, would like to provide an update on Northland's recent drilling at the Pellivuoma iron deposit. Pellivuoma is located about 15km west of the Tapuli iron ore deposit that Northland is fast-tracking to production. Early results of the work suggest that Pellivuoma may contain a substantial tonnage of low-stripping ratio, open pittable magnetite resources within hauling distance of the proposed Tapuli-Stora Sahavaara iron ore processing facility, which could significantly extend the life of the planned complex.
Pellivuoma is a near-surface magnetite body hosting an historic resource of 43 million tonnes with an average grade of 32.7% Fe, 0.04% P, and 0.58% S to a depth of approximately 200m below surface. The reader is cautioned that this is an historic resource estimate which was prepared prior to the implementation of National Instrument 43-101. The Company has not yet completed the work necessary to verify the resource and it cannot be relied upon. Northland acquired the project in mid-2007 (see Northland's release dated July 19, 2007) and has completed 7 holes. Assays for 3 of the holes are pending. Northland's experience in the region to date suggests that the historic resource is likely to expand as drilling progresses and a NI43-101 resource estimate is completed.
Highlights of the 4 Northland holes for which assays have been returned include:
| Hole PEL08001 | 100.7m @ 35.7% Fe from 11m downhole |
| | and 94.5m @ 39.7% Fe from 168m downhole |
| | |
| Hole PEL08004 | 66.1m @ 30.1% Fe from 15.4m downhole |
Northland is also reviewing the archived historical exploration data, and is in the process of verifying the data prior to its inclusion in a NI43-101 resource study. Highlights from a review of the 13 historic holes include[1]:
| Hole PEL69003[2] | 96.9m @ 40.4% Fe from 9.1m downhole |
| | |
| Hole PEL70002 | 58.8m @ 30.4% Fe from 27.2m downhole |
| | |
| Hole PEL71002 | 179.5m @ 38.7% Fe from 8.5m downhole |
([1]The reader is cautioned that this is historic data. Northland has not completed the work required to verify the results and they cannot be relied on. [2]Northland's hole 08001 duplicates this hole for verification purposes)
The drilling to date has focused on a northwest-southeast trending zone of magnetite mineralization, approximately 500m long by 250m wide in places, pinching out to the northwest. Holes were drilled on 7 profiles oriented northeast-southwest, spaced roughly 100m apart. A weighted average of all 1,460m of mineralized intercepts from the current and historic holes yields 32.8% Fe, close to the historic resource estimate of 32.7% Fe. Northland's technical team is waiting for the final results for holes 08005 to 7. Once they have been received, additional drilling will be scheduled and work will begin on a NI43-101 resource calculation for Pellivuoma which is scheduled for completion in Q4. A full table of new and historic drill hole results is given below.
| Hole No. | From | To | Length3(m) | Fe % |
| Northland Holes | ||||
| PEL08001 | 11.00 | 111.70 | 100.70 | 35.7 |
| including | 38.65 | 70.00 | 31.35 | 40.0 |
| and | 168.05 | 262.50 | 94.45 | 39.7 |
| including | 193.50 | 212.50 | 19.00 | 44.9 |
| including | 223.50 | 248.20 | 24.70 | 46.7 |
| PEL08002 | 32.00 | 53.50 | 21.50 | 33.8 |
| PEL08003 | 13.50 | 34.60 | 21.10 | 25.2 |
| and | 60.15 | 99.65 | 39.50 | 29.9 |
| and | 134.70 | 157.00 | 22.30 | 22.9 |
| PEL08004 | 15.35 | 81.40 | 66.05 | 30.1 |
| including | 32.60 | 44.95 | 12.35 | 53.7 |
| PEL08005 | Assays pending | |||
| PEL08006 | Assays pending | |||
| PEL08007 | Assays pending | |||
| Historic Holes | ||||
| PEL69001 | 68.00 | 132.00 | 64.00 | 20.7 |
| PEL69002 | 58.00 | 98.00 | 40.00 | 26.6 |
| PEL69003 | 9.09 | 106.00 | 96.91 | 40.4 |
| and | 168.00 | 262.00 | 94.00 | 43.5 |
| including | 218.00 | 262.00 | 44.00 | 49.8 |
| PEL69004 | 56.00 | 100.00 | 44.00 | 34.0 |
| PEL69005 | 54.00 | 81.00 | 27.00 | 22.9 |
| PEL70001 | 58.00 | 73.00 | 15.00 | 30.0 |
| and | 98.00 | 126.00 | 28.00 | 29.2 |
| PEL70002 | 27.21 | 86.00 | 58.79 | 30.4 |
| PEL70003 | 24.00 | 120.00 | 96.00 | 26.0 |
| PEL70004 | 78.00 | 115.00 | 37.00 | 21.5 |
| and | 147.00 | 218.00 | 71.00 | 19.2 |
| PEL70005 | 44.00 | 126.00 | 82.00 | 33.4 |
| and | 180.00 | 192.00 | 12.00 | 27.9 |
| PEL70006 | 34.00 | 74.00 | 40.00 | 36.2 |
| including | 48.00 | 66.00 | 18.00 | 51.1 |
| and | 85.00 | 95.00 | 10.00 | 36.1 |
| and | 262.00 | 292.00 | 30.00 | 32.5 |
| PEL71001 | 22.00 | 56.00 | 34.00 | 35.4 |
| and | 72.00 | 106.00 | 34.00 | 39.1 |
| PEL71002 | 8.53 | 188.00 | 179.47 | 38.7 |
| including | 8.53 | 72.00 | 63.47 | 46.4 |
3 The true thickness of the magnetite intercepts is estimated to be 80% of the downhole thickness
Qualified Person
The technical information in this release was prepared under the supervision of Mr. David Cass, who is a member of the Association of Professional Engineers and Geoscientists of British Columbia, and a "Qualified Person" in accordance with National Instrument 43-101.
The historical resource estimate quoted in this release was prepared prior to the implementation of National Instrument 43-101 and does not use the resource categories stipulated in Section 1.3 of National Instrument 43-101. The Company believes that the term "resources" is used differently from the use of that term in NI 43-101 and is not treating the historical resource estimate as a NI 43-101 defined resource or reserve. Northland is in the process of doing the work necessary to verify the classification of the mineral resource estimate.
The split core from Pellivuoma was prepared at ALS Chemex Lab in Pitea, Sweden and analyzed at ALS Chemex Vancouver. Copper and Iron were analyzed by Sodium Peroxide Fusion multi element analysis, ICP-AES Method ME-ICP81. Gold was analyzed by Lead Fire Assay Preconcentration with ICP-AES Method Au-ICP21 finish.
About Northland (www.northlandresourcesinc.com)
Northland is a well-structured, debt free mining company with a portfolio of high quality iron, gold, and base metal development projects in Sweden and Finland.
ON BEHALF OF THE BOARD
"Ralph Rushton"
NORTHLAND RESOURCES INC.
The Toronto Stock Exchange has neither approved nor disapproved the contents of this news release.
CONTACT INFORMATION
Northland Resources Inc.
Buck Morrow, President
Investor Relations: North America, Ralph Rushton: Toll Free: 1-866-719-8962
Europe, Jonas Lundstrom: Tel. +46 70 54 93 322