Northern Freegold Resources Ltd.
TSX VENTURE : NFR

Northern Freegold Resources Ltd.

December 01, 2008 09:10 ET

Northern Freegold Drilling Intersects 14.50 m of 4.29 g/t Gold, 61.5 g/t Silver, 0.67% Copper and 0.21% Zinc in Ridge Zone, Freegold Mountain Project, Yukon

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 1, 2008) - Northern Freegold Resources Ltd. (TSX VENTURE:NFR) is pleased to announce results from the 2008 drill program at the Ridge Zone located in the central portion of the district scale Freegold Mountain Project, Yukon, roughly 8 km northeast of the Nucleus Zone, 11 km southwest of the Tinta Zone, and 1 km from the Stoddart Zone. The Ridge Zone was discovered during follow up trenching conducted in 2007 on a historical gold-in-soil anomaly and sampling of float material grading up to 14.1% Cu. Trench 07R-01 exposed a 6.7 m wide shear zone containing a high grade zone 1.70 m wide assaying 18.02 g/t gold, 328.0 g/t silver, 2.82% copper, 3.44% lead and 1.57% zinc (see news release November 8, 2007). The 2008 program consisted of 9 diamond drill holes totaling 1,079 m strategically located to follow up on the projected strike extension of the newly discovered Ridge Zone.

Highlights:

- Drill Hole 08RZ-03 intersected 14.50 m of 4.29 g/t gold, 61.5 g/t silver, 0.67% copper, 0.24% lead and 0.21% zinc including

-- 5.75 m of 6.46 g/t gold, 116.2 g/t silver, 1.25% copper, 0.34% lead and 0.27% zinc.

- Drill Hole 08RZ-04 intersected 24.50 m of 1.18 g/t gold, 36.6 g/t silver, 0.11% copper, 1.20% lead and 0.53% zinc including

-- 1.30 m of 9.43 g/t gold, 174.77 g/t silver, 0.55% copper, 3.85% lead and 0.39% zinc

-- 0.50 m of 11.10 g/t gold, 310.0 g/t silver, 0.70% copper, 17.70% lead and 3.36% zinc

- Drill Hole 08RZ-09 intersected 0.90 m of 10.62 g/t gold, 243.0 g/t silver, 0.31% copper, 2.08% lead and 0.19% zinc including

-- 0.20 m of 12.30 g/t gold, 813.0 g/t silver, 0.88% copper, 7.41% lead and 0.24% zinc

Bill Harris, CEO & COO commented, "The results from the 2008 drilling conducted at the newly discovered Ridge Zone have established that the high grade mineralization within this system is persistent and open in all directions. The structure that hosts the mineralization can be traced on surface for over two kilometers. The fact that we have only explored 200 metres of this mineralized structure during our 2008 drilling bodes well for expanding the size of the high grade zone in the future."



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Len- Len- Au Ag
from gth gth Au (oz/ Ag (oz/ Cu Pb Zn
Hole # (m) to (m) (m) (ft) (g/t) T) (g/t) T) %(i) %(i) %(i)
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08RZ-01 21.75 26.00 4.25 13.9 1.67 0.05 14.2 0.41 0.21 0.05 0.05
includes 21.75 23.05 1.30 4.3 3.50 0.10 42.0 1.23 0.63 0.14 0.11
and 25.85 26.00 0.15 0.5 14.90 0.43 20.8 0.61 0.29 0.07 0.03
08RZ-01 33.40 41.40 8.00 26.2 3.32 0.10 33.4 0.97 0.53 0.19 0.23
includes 34.60 37.30 2.70 8.9 8.05 0.23 74.1 2.16 1.25 0.34 0.43
--------------------------------------------------------------------------
08RZ-02 34.30 44.80 10.50 34.4 1.89 0.06 10.7 0.31 0.06 0.06 0.05
includes 34.30 38.60 4.30 14.1 4.12 0.12 20.9 0.61 0.10 0.06 0.06
08RZ-02 71.00 81.00 10.00 32.8 1.98 0.06 46.5 1.36 0.35 0.17 0.19
includes 71.00 77.90 6.90 22.6 2.80 0.08 62.1 1.81 0.44 0.28 0.33
which
incl. 75.50 77.90 2.40 7.9 6.87 0.20 140.2 4.09 0.99 0.41 0.46
--------------------------------------------------------------------------
08RZ-03 37.60 39.00 1.40 4.6 1.88 0.05 11.0 0.32 0.17 0.03 0.03
08RZ-03 48.00 62.50 14.50 47.6 4.29 0.12 61.5 1.79 0.67 0.24 0.21
includes 49.10 49.60 0.50 1.6 14.30 0.42 136.0 3.97 0.87 0.77 0.30
and 53.75 59.50 5.75 18.9 6.46 0.19 116.2 3.39 1.25 0.34 0.27
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08RZ-04 71.80 96.30 24.50 80.4 1.18 0.03 36.6 1.07 0.11 1.20 0.53
includes 72.30 73.60 1.30 4.3 9.43 0.28 174.8 5.10 0.55 3.85 0.39
and 77.65 79.55 1.90 6.2 4.92 0.14 215.2 6.28 0.42 6.52 0.37
and 87.50 88.00 0.50 1.6 11.10 0.32 310.0 9.04 0.70 17.70 3.36
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08RZ-05 no significant results
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08RZ-06 84.20 89.40 5.20 17.1 0.33 0.01 27.3 0.80 0.57 0.09 0.15
includes 85.05 86.45 1.40 4.6 0.79 0.02 83.2 2.43 1.39 0.20 0.32
--------------------------------------------------------------------------
08RZ-07 113.70 116.75 3.05 10.0 0.47 0.01 12.1 0.35 0.31 0.07 0.08
includes 115.10 116.25 1.15 3.8 1.18 0.03 25.8 0.75 0.64 0.15 0.15
--------------------------------------------------------------------------
08RZ-08 50.60 53.90 3.30 10.8 1.91 0.06 26.8 0.78 0.26 0.62 1.06
08RZ-08 70.70 71.70 1.00 3.3 0.59 0.02 13.4 0.39 0.04 0.71 0.41
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08RZ-09 89.60 96.65 7.05 23.1 0.32 0.01 4.9 0.14 0.09 0.04 0.06
08RZ-09 100.30 101.20 0.90 3.0 10.62 0.31 243.0 7.09 0.31 2.08 0.19
includes 100.65 100.85 0.20 0.7 12.30 0.36 813.0 23.71 0.88 7.41 0.24
and 100.85 101.20 0.35 1.1 19.40 0.57 154.0 4.49 0.21 1.03 0.29
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(i) Percent values for Cu, Pb and Zn were calculated from ppm assay
results.


Ridge Zone 2008 Drilling

Drilling during the 2008 program focused on investigating the high grade gold-silver-copper lead-zinc mineral occurrence found in this shear zone (Ridge Zone) during trenching conducted in 2007. The 9 drill holes totaling 1,079 m (3,540 feet) targeted both lateral (along strike) and down dip projections of the mineralization.

Drill holes 08RZ-01 and 02 were positioned to intersect the projected down dip extension of the high grade mineralization discovered in Trench 07R-01 which included a 6.7 m (22.0 foot) wide shear zone containing a high grade zone 1.70 m (5.6 feet) wide assaying 18.02 g/t (0.52 oz/t) gold, 328 g/t (9.53 oz/t) silver, 2.82% copper, 3.44% lead and 1.57% zinc (see news release November 8, 2007). Drill hole 08RZ-03 was drilled from the same drill pad as 08RZ-01 and 02 but oriented to intersect the mineralized structure further to the north (see plan map). All three drill holes intersected the projected mineralized structures and returned high grade intervals as outlined in the table above (see section). Drill hole 08RZ-03 intersected 14.50 m (47.6 feet) of 4.29 g/t (0.12 oz/t) gold, 61.5 g/t (1.79 oz/t) silver and 0.67% copper including significant higher grade intervals as outlined in the table above.

Drill holes 08RZ-04 and 05 were drilled approximately 50 m to the south perpendicular to the projected strike of the Ridge Zone mineralized structure discovered in Trench 07R-01. Drill Hole 08RZ-04 intersected 24.50 m (80.4 feet) of 1.18 g/t (0.03 oz/t) gold, 36.62 g/t (1.07 oz/t) silver, 0.11% copper, 1.20% lead and 0.53% zinc including significant higher grade intervals as outlined in the table above.

Drill holes 08RZ-06 and 07 were drilled a further 50 m south along the projected strike of the mineralized structure and also intersected mineralization.

Drill holes 08RZ-08 and 09 were positioned a further 60 m south along the projected strike of the mineralized structure from drill holes 08RZ-06 and 07 and again encountered mineralization with significant values including 3.30 m (10.8 feet) of 1.91 g/t (0.06 oz/t) gold, 26.8 g/t (0.78 oz/t) silver and 0.26% copper, 0.62% lead and 1.06% zinc (drill hole #08RZ-08) and 0.90 m (3.0 feet) of 10.62 g/t (0.31 oz/t) gold, 243.0 g/t (7.09 oz/t) silver and 0.31% copper, 2.08% lead and 0.19% zinc including 0.20 m of 12.30 g/t (0.36 oz/t) gold, 813.0 g/t (23.71 oz/t) silver, 0.88% copper, 7.41% lead and 0.24% zinc (drill hole #08RZ-09).

The Ridge Zone mineralization is related to a shear zone that is closely associated to the contact between the Bow Creek Granite and another granitoid. The contact between the two units can be seen in core. Most of the mineralization observed to date occurs in the granitoid, although some does occur in the Bow Creek Granite. Contacts of mineralized zones are most often sharp and distinct. The contact forms a distinctive arcuate recessive lineament that crosses the width of the ridge; it can be seen in outcrop on the Freegold road. The projection of this contact also coincidently corresponds to the upstream end of placer operations on Seymour Creek. Mineralization along this structure appears stronger at the north end and is open in both directions. The mineralization is structurally-controlled and its nearby relationship with the Stoddart porphyry system is being assessed.

2008 Freegold Mountain Program

A total of 97 holes, totaling 22,773 m (74,695 feet) were drilled between April and August at the Freegold Mountain Project. Results are pending on 74 holes, following this release.

Nucleus Zone

The Nucleus Zone, located 8 km to the southwest from the Ridge Zone, was originally identified as a low grade bulk tonnage near surface gold target. A total of 53 holes were drilled in 2008 in the Nucleus Zone (13,287 m/45,352 feet). Results received from 6 holes initially drilled in the Nucleus in 2008 indicate the presence of gold-rich (abundant visible gold in some samples) sulphide lenses in addition to the vein hosted epithermal mineralization. The high grade lenses returned 3.25 m (10.66 feet) of 100.69 g/t (2.94 oz/ton) gold within 37.80 m (124.02 feet) of 10.41 g/t (0.30 oz/ton) gold and 2.34 m (4.04 feet) of 92.74 g/t (2.70 oz/ton) gold within 46.96 m (154.07 feet) of 9.60 g/t (0.28 oz/ton) gold (see press releases dated June 9, 2008 and July 29, 2008). Results are pending from 46 holes.

Tinta Zone

The Tinta Zone, located 11 km to the east from the Ridge Zone, is a high grade gold-silver-copper polymetallic vein system. The 2008 program was focused on drilling the vein system such that a NI 43-101 compliant resource may be calculated at the Tinta Zone, upon receipt of results. A total of 17 holes totaling 3,807 m (12,487 feet) have been drilled. Results are pending on all 17 holes.

Goldy Zone

The Goldy Zone is located 8 km from the Ridge Zone. The 2008 program consisted of ground geophysics, and the drilling of 8 diamond drill holes (1,500 m, 4,920 feet) based upon historical gold-in-soil anomalies, trenching and 2007 drilling. The Goldy Zone is at the intersection of a 3 km gold in soil anomaly trending north-south; and a 4 km gold in soil anomaly trending northwest-southeast. Drilling in 2008 focused within a shear zone, the exrent of which is yet to be defined. Highlights from the 2008 drilling include drill hole GY08-27 which intersected 23.70 m (77.76 feet) of 2.84 g/t gold including 1.75 m (5.74 feet) of 21.18 g/t gold and 1.45 m (4.76 feet) of 11.26 g/t gold.

Stoddart Zone

Upon completion of the initial phase of drilling at the Goldy Zone, the diamond drill moved to the Stoddart Zone, located 1 km from the Ridge Zone. Two holes, testing a soil geochemical anomaly, drilled at the end of the 2007 program intersected porphyry style mineralization at the Stoddart Zone. A total of 10 holes totaling 2560 m (8,397 feet) have been drilled in 2008 to expand upon the 2007 discovery of porphyry mineralization. Results are pending on all 10 holes.

Freegold Mountain Project

The Freegold Mountain Project is a road accessible district scale property that covers 166 square km (64 square miles). Within the project expanse are at least 20 known mineralized zones, some with historical resource estimates (not compliant with NI 43-101). Northern Freegold is actively drilling on five of those zones (2% of the total project area), two of which to calculate NI 43-101 resource calculations at the end of the 2008 program (Nucleus and Tinta), and 3 of which are still at an exploration stage (Goldy, Stoddart, Ridge).

The district scale Freegold Mountain Project is situated within the Dawson Range portion of the Tintina Gold Belt, characterized by plutonic rocks of the ca 100 million year old Cretaceous Dawson Range Batholith and Early Jurassic metaplutonic rocks, intruding Devono-Mississippian metavolcanic and metasedimentary rocks of the Yukon-Tanana terrane. The Dawson Range is a well-mineralized belt over 100 km long, extending from Mount Freegold northwesterly to the Casino copper-gold porphyry deposit. This belt is transected by the west-northwest trending Big Creek Fault, which provides the locus for many mineral occurrences including placer gold deposits, porphyry gold-copper mineralization, gold veins and breccias. The Freegold Mountain Project covers a 35 km long section of this belt.

Quality Control and Assurance. The holes were drilled by a skid mounted diamond drill with NTW core size (5.6 cm/2.2 inches in diameter). All core samples from diamond drilling are split and sent to EcoTech Laboratory in Whitehorse for sample preparation and then to EcoTech Laboratory in Kamloops for analysis. Blanks, commercial standards and duplicate core samples are included in each batch.

To determine Au levels at the ppb level (detection limit 5-1000 ppb) 30 g samples are fire assayed then digested in aqua regia solution and analyzed by atomic absorption. Over-limit values are re-assayed by fire assay and then digested with aqua regia and then re-analyzed by an atomic absorption instrument (detection limit 0.03 g/t). Other elements are analyzed by a 29 elements package (ICP-AES analysis). Additional check-analyses will be carried out by ALS-Chemex in North Vancouver.

Intervals reported in this release do not necessarily represent true widths of mineralization.

The technical information disclosed in this release has been reviewed and approved by Dr. Fabrizio Colombo, P.Geo.

The company is pleased to announce the granting of incentive stock options to employees and consultants of the company for the purchase of a total of 165,000 shares at the exercise price of $0.50 per share expiring November 30, 2011.

The Board of Directors of NFR intend (subject to regulatory approval) to re-price a total of 2,367,500 common share purchase options to $0.50 per share from various prices ranging from $0.65 to $0.88 per share. Management of the Company believes that it is in the Company's best interest to re-price the options to a level closer to the Company's current share price in order to provide additional performance incentives to its employees in the current, tight employment market for commodity resources.

Pending regulatory approval, the Company will re-price 1,292,500 common share purchase options granted to employees to $0.50 per share from various prices ranging from $0.65 to $0.88 per share and 1,075,000 common share purchase options granted to Directors and Officers to $0.50 per share from various prices ranging from $0.65 to $0.85 per share, subject to shareholder approval. The vesting provisions and expiry dates of the re-priced options remain unchanged. The re-pricing of the options granted to directors and officers will be voted on at the Company's annual general meeting, which is scheduled for June 2009.

Northern Freegold is a well financed Canadian-based resource exploration and development company which relies on local expertise and strong management to focus on development of economic reserves on the district-scale Freegold Mountain Project in the Yukon and Arizona.

Northern Freegold Resources Ltd.

On behalf of the Board of Directors

William (Bill) G. Harris, Chief Executive Officer and Chief Operating Officer

To view Drill Hole Plan Map Ridge Zone and Drill Section, A-A' Ridge Zone please click on the following link: http://media3.marketwire.com/docs/nfr121images.pdf.

This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

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

Contact Information

  • Northern Freegold Resources Ltd.
    Sarah Mouritzen
    Investor Relations Manager
    1-877-893-8757 or (604) 893-8757
    (604) 893-8758 (FAX)
    Website: www.northernfreegold.com