Northern Freegold Resources Ltd.
TSX VENTURE : NFR

Northern Freegold Resources Ltd.

January 18, 2007 13:16 ET

Northern Freegold Resources Ltd.: High Grade Intersections in Step Out Holes at Nucleus Zone

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 18, 2007) - Northern Freegold Resources Ltd. (TSX VENTURE:NFR) is pleased to announce results from 9 additional holes from the twenty-six diamond drill hole program completed within the Nucleus Zone at the Freegold Mountain Project in 2006. Additional results will be released as they are compiled and interpreted.



Highlights:
- High grade mineralization intersected in drillholes including:
- 2.00 m (6.56 feet) of 20.25 g/t Au in GRD06-34
- 3.30 m (10.82 feet ) of 28.47 g/t Au in GRD06-34 correlates with
- 1.50 m (4.92 feet) of 6.37 g/t Au in GRD06-35
- 1.20 m (3.94 feet) of 9.88 g/t Au in GRD06-26
- Widespread ore-grade mineralization intersected in drillholes including:
- 71.95 m (236.00 feet) of 0.50 g/t Au in GRD06-27
- Nucleus zone mineralization open in all directions and to depth


Nucleus Zone (Partial Results)

High grade intersections were returned in three step-out holes, two to the west (GRD06-34 & 35) and one to the north (GRD06-26) at the Nucleus Zone. Intervals of GRD06-34 & 35 in the 290 to 200 m range represent coarse grained quartz sulphide breccia veins which appear continuous between the 2 holes, a distance of 50 m (see intervals marked with (a) in table below). The drill hole location map and drill tables can be found at www.northernfreegold.com.



Hole No. From To Thickness Thickness Au
(m) (m) (m) (feet) (g/t)
GRD06-34 82.00 84.00 2.00 6.56 20.25
and 122.00 124.00 2.00 6.56 1.03
and 195.70 200.90 5.20 17.06 (a)18.26
incl 197.60 200.90 3.30 10.82 28.47
GRD06-35 189.50 191.00 1.50 4.92 (a)6.37
and 221.00 222.50 1.50 4.92 2.49
GRD06-26 52.50 53.70 1.20 3.94 9.88
GRD06-27 3.05 75.00 71.95 236.00 0.50
incl 23.50 34.50 11.00 36.08 1.13
incl 38.40 29.70 1.30 4.26 1.86
incl 73.50 75.00 1.50 4.92 1.04
and 117.50 131.00 13.50 44.28 0.59
incl 128.00 131.00 3.00 9.84 1.33
and 143.70 145.20 1.50 4.92 1.19
and 149.35 150.10 0.75 2.46 1.89
GRD06-25 19.00 29.60 10.60 34.77 1.18
and 76.70 85.50 8.80 28.86 0.84
incl 82.25 85.59 3.25 10.66 1.93
GRD06-30 3.05 6.90 3.85 12.63 0.74
and 47.30 50.00 2.70 8.86 1.25
GRD06-33 87.00 90.50 3.50 11.48 0.59
and 111.00 113.00 2.00 6.56 1.38
and 167.50 169.00 1.50 4.92 1.71
GRD06-36 11.00 13.00 2.00 6.56 1.23
GRD06-39 98.20 99.20 1.00 3.28 3.08
and 172.20 174.60 2.40 7.87 1.73


The high grade nature of the breccia veins encountered in step out holes to the west and north of the Nucleus Zone suggest multiple high grade veins within an extensive consistently mineralized low grade body. Previous 2006 drill results released also exhibited high grade numbers in GRD06-15 (1.40 m at 9.26 g/t), GRD06-18 (3.64 m at 17.90 g/t) and GRD06-20 (1.30 m at 6.15 g/t and 1.00 m at 5.07 g/t). Historical drilling in percussion holes PN88-8 and PN88-31 returned 15.24 m at 31.45 g/t and 6.09 m @ 11.16 g/t respectively. Historical diamond drill hole DN04-08 returned 3.23 m @ 23.60 g/t.

Bill Harris, President & CEO commented "although the target at the Nucleus Zone is a bulk- tonnage porphyry similar to Fort Knox, we are excited by these higher grade intervals within the lower grade body. The potential of this deposit continues to increase as all results from the area suggest the zone is open in all directions and at depth".

The Freegold Mountain Project covers an area in excess of 64 square miles (166 square km) with greater than 700,000 contained ounces of gold(2) in several road accessible mineralized zones. The Nucleus Zone is within the Golden Revenue property which is under option from ATAC Resources Ltd. (TSX VENTURE:ATC).

Historical work on the Freegold Mountain property dating back to 1930 indicates that the property holds significant potential to host bulk-tonnage gold-copper porphyry style mineralization such as that seen at Kinross Gold's Fort Knox deposit in Alaska (24.7 million ounces of gold from proven and probable reserves of 90.1 million tonnes grading 0.81 g/t) and Northgate Minerals' Kemess deposits in northern British Columbia which host 3.0 million ounces of gold and 944 million pounds copper from measured and indicated resources of 306 million tones grade 0.31 g/t to 0.40 g/t gold and 0.07 to 0.18% copper.

Hole numbering in the 2006 drill program started at GRD06-15. Results were reported on holes GRD06-15 to 17 and GRD06-23 to 24 in the November 30, 2006 release and results were reported on holes GRD06-18 to 21 in the December 19, 2006 release. Multiple single mineralized intervals of up to 1.0 g/t in each hole are not included in the tables above. Similarly the November 30 drill results table did not report multiple single intervals of up to 1.7 g/t in each hole. Management is assessing all results received to date and will report upon them after compilation and interpretation. Please refer to www.northernfreegold.com for ongoing updates on this information.

Quality Control and Assurance

All core samples from diamond drilling are split and sent to Eco Tech Laboratory in Kamloops. Blanks, commercial standards and duplicate core samples are included in each batch. Gold is analysed on 30 gram pulps by fire assay followed by aqua regia digestion and Atomic Absorption Spectrometry (AAS). Gold values greater than 1000 ppb are reanalysed by gravimetric fire assay. Check assays are carried out by metallic screen fire assay. Other elements are analysed by 28 element ICP analysis after aqua regia digestion. Additional check analyses and assays will be carried out by ALS Chemex in North Vancouver.

The program is under the direct supervision of Mr. Ron Robertson, P. Geol., hereby identified as the "Qualified Person" under the NI 43-101 requirements.

Northern Freegold is a 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.

Northern Freegold Resources Ltd.

On behalf of the Board of Directors

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

(2) 700,000 ounces of contained gold includes published historical resources in 3 zones totaling more than 257,000 ounces and a potential target (Nucleus) with approximately 441,000 ounces (see table below). For more information, please refer to the detailed NI 43-101 compliant technical report filed on SEDAR by Northern Freegold on August 2, 2006 and found at www.northernfreegold.com/i/pdf/2006_6_30_43-101.pdf.



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Zone Tonnage (tonnes) Grade (g/t) Contained Au ounces
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Tinta Hill 700,000 10.0 225,080
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Goldstar
Margarete 123,800 4.5 17,913
Augusta 77,000 4.1 10,151
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Goldy 54,000 2.7 4,688
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Nucleus 13,000,000 to 0.8 to 418,006 to 463,002
18,000,000 1.0 Average: 440,514
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The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. 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.

Contact Information

  • Northern Freegold Resources Ltd.
    Bernie Kennedy
    Investor Relations Manager
    (877) 489-4440 or (250) 489-4440
    Website: www.northernfreegold.com