Northern Freegold Resources Ltd.
TSX VENTURE : NFR

Northern Freegold Resources Ltd.

June 18, 2009 12:47 ET

Northern Freegold Resources Ltd. Completes C$3,000,000 Non-Brokered Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 18, 2009) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Northern Freegold Resources Ltd. (TSX VENTURE:NFR) (the "Company") announced today it has closed the non-brokered private placement announced May 28, 2009. A total of 6,000,000 units (the "Units") were sold at an issue price of $0.50 per Unit for gross proceeds of C$3,000,000 (the "Private Placement"). As announced Tuesday (see press release dated June 16, 2009), the Company also closed a bought deal brokered financing for gross proceeds of C$5,000,000, placing 10,000,000 Units. The bought deal was placed by a syndicate of underwriters led by Canaccord Capital Corporation and including Dundee Securities Corp. and Haywood Securities Inc.

Each Unit of the Private Placement consists of one common share of the Company and one-half warrant with each whole warrant exercisable at a price of $0.75 for a period of 24 months from closing of the Offering.

The Company paid finders' fees of C$24,950 and 321,880 Units to registered dealers or arm's length third parties for the placement of sales under the Private Placement.

The net proceeds of the Private Placement will be used for general working capital as well as ongoing exploration on the Freegold Mountain Project. All securities issued under the Private Placement will be subject to a standard four month hold period from the date of closing.

About Northern Freegold Resources Ltd.

Northern Freegold is a rapidly advancing Canadian-based precious metals exploration and development company, which brings local expertise and strong management to focus on the development of economic mineral resources on the district-scale Freegold Mountain gold and copper project in the Yukon and the Burro Creek gold and silver property in Arizona.

Northern Freegold Resources Ltd.

On behalf of the Board of Directors

Susan P. Craig, President

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.
    Debbie James
    Investor Relations Manager
    877.893.8757 or 604.893.8757
    604.893.8758 (FAX)
    www.northernfreegold.com