Northland's liquidity and solvency unharmed by market turmoil
Vancouver, August 21, 2007: Northland Resources Inc.: In light of the recent turmoil in the financial markets, Northland wishes to inform market observers and investors of the following:
- The Company's cash position as at July 31, 2007 was approximately C$145 million.
- The cash is held on term deposits with major bank institutions and highly liquid government backed securities with AAA rating.
- Funds are denominated in currencies that maintain "purchasing power parity" for future Northland construction projects in the Nordic Countries.
- Under Northland's investment management procedures, safety is a priority, where investments are not exposed to the risk of unacceptable losses in capital value.
- Northland does not currently hold directly or indirectly any type of derivative contracts.
Additional information on the Company's financial position may be found in our financial statements for the three months ended April 30, 2007, filed on SEDAR June 14, 2007. These have also been posted on the Company's website at www.northlandresources.com.
Background
Northland Resources Inc. is a well-structured, debt free junior exploration company with a portfolio of high quality iron, gold and base metal exploration projects in Sweden and Finland.
ON BEHALF OF THE BOARD
"Buck Morrow"
NORTHLAND RESOURCES INC.
The TSX Venture Exchange has not reviewed and does not take responsibility for the adequacy or accuracy of this release.
CONTACT INFORMATION
Northland Resources Inc.
Buck Morrow, President
Ralph Rushton, Investor Relations
Toll Free: 1-866-719-8962