Northern Continental Resources Inc.
TSX VENTURE : NCR
October 21, 2008 10:00 ET
Northern Continental Confirms Grayling West Conductor at Russell Lake Uranium Project
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 21, 2008) - Northern Continental Resources Inc. ("Northern Continental") (TSX VENTURE:NCR) announced today that the results of a ground geophysical surveying program at the Russell Lake Uranium Project ("Russell Lake" or the "Project") confirm the presence of a historical conductor west of the Grayling Zone. The Grayling West 1 ("GW1") conductor was found in close proximity to the location of the historical UTEM conductor C, and is interpreted to be a strong, basement-hosted, graphitic conductor. The Grayling Zone is an area of the Project that has several significant occurrences of uranium mineralization within prospective geological structure, now further enhanced by the delineation of the GW1 conductor. A map depicting the 2008 survey is available on Northern Continental's website at www.northerncontinental.ca.
Russell Lake is located in the Athabasca Basin of northern Saskatchewan, Canada, and is a joint venture between Northern Continental and Hathor Exploration Ltd. ("Hathor"), in which Northern Continental holds a 60% interest and Hathor holds a 40% interest. The Project lies within the Key Lake-McArthur River corridor, one of the most prolific uranium mining districts in the world.
Results of 2008 Grayling West EM Survey
The purpose of the 2008 electromagnetic ("EM") survey west of the Grayling Zone was to confirm the presence of historical UTEM conductors "B" and "C", first detected in 1987, which were not seen in subsequent geophysical surveys. It is likely the historical conductors escaped detection more recently because of "null coupling" - that is, the later surveys were oriented in a direction that did not provide optimum coupling with historical conductors B and C.
Northern Continental's 2008 survey program consisted of 19.3 kilometres of EM surveying carried out on a modified northwest-southeast oriented gravity survey grid that had earlier outlined areas of prospective structure to the west of the Grayling Zone. Due to the summer/fall weather conditions, survey loops were restricted to dry areas between McGowan Lake and Russell Lake.
The 2008 survey successfully outlined an interpreted mid-to-late time conductor at a depth of approximately 300 metres, which likely indicates the presence of graphite. The interpretation locates the GW1 conductor in close proximity to the historical UTEM conductor C, and indicates a strike of 030 degrees NE over an approximate 400 metres strike length toward the north end of the grid, where the conductor remains open to the northeast. The historical UTEM conductor B was not detected in the 2008 survey, which could be due to the survey's loop size or locations.
The previously-unknown GW1 conductor presents a new, highly-prospective drill target area within 600 metres of the known mineralization found at the Grayling Zone. A follow-up EM survey is recommended over the GW1 conductor during the winter of 2008-2009 to map the conductor northward and better detail its strike and character. Integration of all other available geophysical and geological data is ongoing in order to recommend new drill targets to the Russell Lake joint venture in preparation for a future drilling program.
About Russell Lake
Northern Continental acquired Russell Lake in 1999, and subsequently staked additional claims contiguous to the original property. In 2004, Northern Continental optioned a 40% interest in the Project to Roughrider Uranium Corporation, which was acquired in 2006 by Hathor. After Hathor incurred a further $2.0 million of exploration expenditures on the Project, a joint venture was formed with Hathor holding a 40% participating interest and Northern Continental holding a 60% participating interest.
The technical information in this news release regarding Russell Lake has been reviewed by Don Simmons, P.Geol. Vice-President, Exploration, a qualified person as defined by National Instrument 43-101.
For further information on Northern Continental and Russell Lake, visit our website at www.northerncontinental.ca.
NORTHERN CONTINENTAL RESOURCES INC.
Warren Stanyer, President & CEO
Forward Looking Statements
This news release contains "forward-looking statements" that are based on Northern Continental's current expectations, estimates, forecasts and projections. These forward-looking statements include statements regarding Northern Continental's outlook for our future operations, plans and timing for the commencement or advancement of exploration activities on our properties, and other expectations, intention and plans that are not historical fact. The words "estimates", "projects", "expects", "intends", "believes", "plans", or their negatives or other comparable words and phrases are intended to identify forward-looking statements. Such forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. Many of these factors are beyond the control of Northern Continental. Consequently, all forward-looking statements made in this news release are qualified by this cautionary statement and there can be no assurance that actual results or developments anticipated by Northern Continental will be realized. For the reasons set forth above, investors should not place undue reliance on such forward-looking statements. Northern Continental disclaims any intention or obligation to update or revise forward-looking information, whether as a result of new information, future events or otherwise.
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