Northern Abitibi Mining Corp.
TSX VENTURE : NAI

Northern Abitibi Mining Corp.

December 17, 2009 08:30 ET

Northern Abitibi Earns 100 Percent Interest in Viking

CALGARY, ALBERTA--(Marketwire - Dec. 17, 2009) - Northern Abitibi Mining Corp. ("Northern Abitibi") (TSX VENTURE:NAI) is pleased to announce that it has earned a 100% property interest in its Viking gold project, located in Newfoundland, from Altius Resources Inc. (Altius).

In October 2009 Northern Abitibi completed its initial earn in obligations at Viking by incurring in excess of $1.2 million on exploration and issuing a total of 1,115,000 shares to Altius. Under the terms of the option agreement Altius has elected to retain a 2 to 4% sliding scale net smelter royalty (tied to the price of gold) and grant Northern Abitibi full ownership of the property. This decision by Altius is consistent with their overall business model of project generation and royalty creation.

Dr. Shane Ebert, President of the Company commented, "We are extremely pleased to have earned a 100% property interest in the exciting new gold discovery at Viking. Northern Abitibi has no further cash or share obligations to Altius for the Viking property and we are free to explore and advance the project on our own timeline. Having 100% control opens up a number of options for funding the project to the resource stage and beyond, including the option of bringing in potential development partners, or the eventual outright sale of the asset. Altius has been an exceptional joint venture partner and Northern Abitibi will continue to work hard to unlock the value of Viking for both companies."

The company is currently working on planning and permitting a 2010 exploration program with the goal of producing a National Instrument 43-101 compliant resource estimate by late summer or early fall 2010.

The Viking Property

Exploration at Viking to date has intersected gold mineralization along the Thor Trend over a 1000 metre long strike length and the zone remains open. Highlights include 6 holes that directly tested the Thor Vein and returned a high of 218.8 grams per tonne (g/t) gold over 0.5 metres, a low of 8.7 g/t gold over 1.3 metres, with an average of 39.1 g/t gold over 2.82 metres. Larger lower grade intervals have been encountered in drilling including 27 metres grading 7.9 g/t gold, 23.0 metres grading 5.12 g/t gold, 57.4 metres grading 2.6 g/t gold, and 41.4 metres grading 2.0 g/t gold. The Viking property is located in the mining friendly jurisdiction of Newfoundland and Labrador and has excellent access and local infrastructure, with a paved highway and power line located less than one kilometre from the project. A detailed description of the Viking project is available on our website (www.naminco.ca). Dr. Shane Ebert, P.Geo., is the Qualified Person responsible for the preparation of this news release.

Shane Ebert, President/Director

Except for the historical and present factual information contained herein, the matters set forth in this news release, including words such as "expects", "projects", "plans", "anticipates" and similar expressions, are forward-looking information that represents management of Northern Abitibi's internal projections, expectations or beliefs concerning, among other things, future operating results and various components thereof or the economic performance of Northern Abitibi. The projections, estimates and beliefs contained in such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause Northern Abitibi's actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. These risks and uncertainties include, among other things, those described in Northern Abitibi's filings with the Canadian securities authorities. Accordingly, holders of Northern Abitibi shares and potential investors are cautioned that events or circumstances could cause results to differ materially from those predicted. Northern Abitibi disclaims any responsibility to update these forward-looking statements.

The TSX Venture Exchange has neither approved nor disapproved of the contents of this press release.

Contact Information

  • Northern Abitibi Mining Corp.
    Shane Ebert
    President/Director
    (250) 964-2699
    or
    Northern Abitibi Mining Corp.
    Jean Pierre Jutras
    (403) 233-2636
    www.naminco.ca