Northern Continental Resources Inc.
TSX VENTURE : NCR

Northern Continental Resources Inc.

January 02, 2008 13:54 ET

Northern Continental Resources Inc. Closes Financing With the MineralFields Group and 49 North

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 2, 2008) -

THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO THE UNITED STATES OR FOR DISSEMINATION ON US NEWS WIRE SERVICES.

Northern Continental Resources Inc. (TSX VENTURE:NCR) is pleased to announce the closing of a non-brokered private placement of $1,540,000 through the sale of 3,850,000 flow-through units ("FT Units") at $0.40 each to the MineralFields Group (3,750,000 FT Units) and 49 North 2007 Resource Flow-Through LP (100,000 FT Units), as originally announced on December 18, 2007. Each FT Unit consisted of one flow-through common share and one-half (1/2) of a share purchase warrant, with each whole warrant to entitle the holder to purchase one additional ordinary common share at a price of $0.60 until December 28, 2008. The proceeds from this flow-through private placement will be used for exploration of NCR's Russell Lake uranium property in Saskatchewan.

In connection with the closing disclosed above, NCR will pay a finder's fee to Limited Market Dealer Inc. consisting of: (a) 243,750 units (each unit consisting of one ordinary common share and one-half (1/2) of a share purchase warrant, with each whole warrant to entitle it to purchase one additional ordinary common share at a price of $0.60 until December 28, 2008); and (b) 262,500 share purchase warrants, each entitling it to purchase one ordinary common share at a price of $0.60 until December 28, 2008.

All of the securities issued in connection with the closing of this private placement, including the securities issued in payment of the finder's fee, are subject to a hold period in Canada until April 29, 2008.

"We are very pleased to be expanding our relationship with the MineralFields Group," said Alan Crawford, President and CEO of NCR. "This is another important milestone in the growth of Northern Continental Resources Inc. and we look forward to working with the MineralFields Group as we develop our holdings in Saskatchewan."

About MineralFields, Pathway and First Canadian Securities ®

MineralFields Group (a division of Pathway Asset Management) is a Toronto-based mining fund with significant assets under administration that offers its tax-advantaged super flow-through limited partnerships to investors throughout Canada during most of the calendar year, as well as hard-dollar resource limited partnerships to investors throughout the world. Pathway Asset Management also specializes in the manufacturing and distribution of structured products and mutual funds. Information about MineralFields Group is available at www.mineralfields.com. First Canadian Securities ®, a division of Limited Market Dealer Inc., is active in leading resource financings (both flow-through and hard dollar PIPE financings) on competitive, effective and service-friendly terms, with investors both within, and outside of, MineralFields Group.

About NCR's Russell Lake Uranium Project

A winter diamond drilling program at Russell Lake budgeted at $4 million is set to begin in January. The program is a joint venture in which NCR holds a 60% controlling interest. Permitting for 21 diamond drill holes in five target zones on the large (113,000 acre) Russell Lake property is under way, with a planned average target depth of 500 metres, totaling 10,500 metres. Drilling targets have been selected after a three-year, $3-million geophysical program which identified numerous zones with the potential to host uranium mineralization. For further information on NCR and the Russell Lake project, please visit our website at www.northerncontinental.ca.

NORTHERN CONTINENTAL RESOURCES INC.

Charlie O'Sullivan, Chairman of the Board

The TSX Venture Exchange has not reviewed, and does not accept responsibility for the adequacy or accuracy of the contents of this news release.

Contact Information

  • Northern Continental Resources Inc.
    Charlie O'Sullivan
    Chairman of the Board
    (604) 685-9255 or Toll Free: 1-800-449-4435
    Website: www.northerncontinental.ca