Northern Gold Mining Inc.
TSX VENTURE : NGM

Northern Gold Mining Inc.

March 31, 2011 07:07 ET

Northern Gold Announces Significant New Gold Assay Results

- Intersects 284.6 m @ 1.62 g/t Au including 1 m @ 386.8 g/t Au -

TORONTO, ONTARIO--(Marketwire - March 31, 2011) - Northern Gold Mining Inc. (TSX VENTURE:NGM) ("Northern Gold" or "the Company") announced today assay results for six additional diamond drill holes totaling 1,427.3 meters of drill core. These results are part of the Company's ongoing 30,000 meter drill program at the Garrcon Deposit on the Garrison Gold Property located on the Abitibi greenstone belt. A total of 37 drill holes (8,153 meters) have been reported to date for the drill program that began May, 2010. Assay results for these latest six drill holes are listed in Table 1.

"These new drilling results continue to intersect long intervals of mineralization supporting the development of a significant near surface mineral resource at the Garrcon Deposit. As we begin step out drilling, our results not only demonstrate both the continuity and consistency of the gold mineralization but also expands mineralization within our footprint," said Martin Shefsky, President and CEO of Northern Gold Mining Inc.

Table 1 - Highlights of Assay Results*


Hole ID


From

Incl
(m)

Incl
(m)

Incl
(m)

Incl
(m)

Incl
(m)

To
(m)

Interval
(m)*
Au
(g/t)
Un-Cut
Au
(g/t)
Cut
34 g
GAR-10-43 7.0           300.0 293.0 0.54  
    29.0         274.0 245.0 0.62  
      29.0       30.0 1.0 10.84  
      131.0       210.0 79.0 1.00  
        131.0     164.0 33.0 1.36  
          138.0   151.0 13.0 2.38  
            146.0 151.0 5.0 4.95  
            146.0 147.0 1.0 10.97  
        204.0     206.0 2.0 4.11  
    232.0         236.0 4.0 1.46  
    249.0         261.0 12.0 1.02  
GAR-10-44 37.5           330.0 292.5 0.60  
    59.0         316.0 257.0 0.66  
      59.0       66.0 7.0 1.33  
        64.0     65.0 1.0 3.17  
      106.0       107.0 1.0 4.00  
      120.0       121.0 1.0 3.26  
      166.0       168.0 2.0 3.85  
      175.0       176.0 1.0 4.07  
    202.0         316.0 114.0 0.93  
      203.0       227.0 24.0 1.40  
        207.0     213.0 6.0 2.42  
          212.0   213.0 1.0 6.89  
        226.0     227.0 1.0 3.83  
      278.0       316.0 38.0 1.40  
        307.0     316.0 9.0 2.14  
          309.0   310.0 1.0 7.84  
GAR-10-46 15.4           300.0 284.6 1.62 0.38
    18.5         114.0 95.5 0.67  
      22.0       40.0 18.0 1.40  
        25.0     28.0 3.0 4.15  
          25.0   26.0 1.0 6.90  
      62.0       68.0 6.0 2.11  
        64.0     65.0 1.0 4.29  
    178.0         185.0 7.0 55.78 5.38
      178.0       181.0 3.0 129.68 12.09
        178.0     179.0 1.0 386.76 34.00
GAR-10-50 13.0           300.0 287.0 0.47 0.36
    153.0         278.0 125.0 0.92 0.67
      216.0       278.0 62.0 1.64 1.14
        256.0     278.0 22.0 3.69 2.29
          277.0   278.0 1.0 64.86 34.00
GAR-10-52 4.50           198.0 193.5 0.04  
GAR-10-53 10.3           87.0 76.7 0.33  
    19.0         55.0 36.0 0.66  
      52.0       55.0 3.0 6.02  
        53.0     54.0 1.0 15.4  

*As true widths are not known, all intervals are downhole intervals and not true widths.

All of the drill holes in Table 1, except GAR-10-53, are infill and expansion holes within the existing resource footprint. The infill holes GAR-10-43, GAR-10-44 and GAR-10-46 confirmed mineralization seen in nearby holes and expanded the area previously drilled and which is expected to translate into higher quality tonnes and ounces in the upcoming NI 43-101 resource calculation expected to be announced shortly. GAR-10-50 and GAR-10-52 are step out holes to the east and GAR-10-53 was drilled to define the north margin of the deposit along Section Line 11+50W. Two assays above 34 g/t reported in these results bring the total number of plus 34 g/t assays reported since drilling commenced in May 2010 to four. NGM also reports results of these HG intersections using a "top cut" of 34 g/t as shown in the table above.

GAR-10-43 – collared on Section Line 12+50 W at approximately 9+55N on an azimuth of 340 true and an inclination of -47° was drilled through the Shaft Zone and also encountered good grade mineralization near the hole bottom in North Zone mineralization. Results are consistent with and compare very well with that encountered in hole C06-04 to the east, GAR-10-39 to the west and GAR-10-44 to the South. The hole is considerably better than Gar-57 to the north.

GAR-10-44 – collared on Section Line 12+50W at approximately 9+10N on an azimuth of 340° true and an inclination of -43° was drilled across the Shaft Zone mineralization and bottomed in North Zone mineralization. Results are consistent with and compare very well with hole C06-04 to the east, GAR-10-39 to the west and with GAR-10-43 to the north. Another delineation drill hole has already been drilled to the south and assays are pending.

GAR-10-46 – collared on Section Line 13+25W at approximately 9+35N on an azimuth of 348° true and an inclination of -45° was drilled across the Shaft Zone mineralization. Results in the top 90 meters of the hole are consistent with mineralization encountered in GAR-10-26, GAR-10-17 and GAR-09-04 along the same Section Line. The high grade mineralization encountered 175 to 180 meters down hole may correlate with 30 g/t mineralization intersected in C07-04 at 192 meters down hole and approximately 70 meters to the south.

GAR-10-50 – collared on Section Line 11+00W at approximately 9+40N on an azimuth of 338° true and an inclination of -45° is a step out hole to the east and was drilled into North Zone mineralization which was encountered 150 meters down hole. Mineralization above 150 meters is part of a lower grade central zone that appears to exist between the Shaft and North Zones along this Section Line. With good grades extending to the bottom of the hole, including a 64.8 g/t assay, which was obtained using the metallic screen fire assay procedure, the hole has subsequently been deepened until it reached the ultramafic contact bounding the north side of the Garrcon deposit. 

GAR-10-52 – collared on Section Line 11+00W at approximately 10+40N on an azimuth of 198° true and an inclination of -46° is a step out hole to the east. The entire hole encountered low grade mineralization that appears to separate the Shaft and North Zone mineralization along this Section Line.

GAR-10-53 – collared on Section Line 11+50W at approximately 11+35N on an azimuth of 338° true and an inclination of -45° is a step out hole to east that was drilled to delineate the northern edge of the North Zone mineralization. The top 52 meters of the hole encountered low grade mineralization and was followed by a narrower than expected three meter intersection averaging 6.02 g/t of typical North Zone mineralization right at the contact with the north ultramafic body. 

Quality Assurance/Quality Control

Northern Gold Mining Inc. has implemented a QA/QC protocol for its exploration work. Northern is currently diamond drilling the Garrison Gold Property and the drilling contractor is Major Drilling Group International Inc. Core size is NQ, to give good sample sizes and enabling the possibility for at least two step-downs if ground conditions should require it. Core is delivered to the secure Core Shack facility by the driller or picked up by one of Northern Gold's designated personnel and transported to the Core Shack facility. In addition to recovery and RQD (Rock Quality Designation) data geologic parameters including lithology, alteration, quartz veining, presence and identification of sulfide mineralization along with other geologic parameters are noted and recorded. Core is marked in one meter intervals for splitting, sampling and assaying, unless geologic data indicate a shorter sample interval. Prior to splitting, all core is photographed. Core splitting is done with a diamond core saw and ½ of the drill core is submitted to Expert Laboratories, an accredited laboratory (PTP-MAL – Accredited by Standards Council of Canada – In full accord with ISO/IEC Guide 43-1 "Proficiency Testing by Interlaboratory Comparison") in Rouyn-Noranda, Quebec for assaying. The remainder of the core is stored at the Garrison Gold Property. All sample intervals where visible gold is observed to be present are automatically submitted for analysis using the metallic screen procedure where the entire half core is crushed, pulped and screened at 100 mesh. The screen oversize is assayed in total and the screen undersize is fire assayed in triplicate using a gravimetric finish. All other samples are analyzed by conventional fire assay using a 30 gram sample with geochemical finish. All samples that assay greater than one gram are re-assayed with conventional fire assay using a gravimetric finish. Conventional fire assay sample prep consists of crushing to 90% passing 10 mesh from which a 300 gram sample is split and pulped to 90% passing 200 mesh and from which a 30 gram sample is taken for fire assaying. Following completion of fire assaying at Expert Laboratories, pulp samples are forwarded by Expert to SGS' certified laboratory (ISO/IEC 17025), in Toronto, Ontario for CN solubility assaying and for multi-element analyses of select samples. CN solubility test uses a 1% CN solution added to 30 grams of sample and shaken for an hour prior to settling and decanting for geochemical analysis. Multi-element analysis is conducted using 4-acid digestion followed by ICP analysis with OES finish (Inductively coupled plasma optical emission spectroscopy). Northern inserts a mixture of gold standard samples, blank samples and duplicate samples into the sample stream at a rate approximating 10% of total original samples. Samples are normally transported in a Company truck from the Property to Expert Labs in Rouyn-Noranda. Chain of Custody protocols require the signing and maintenance of logs and receipts each time the samples are picked up from or delivered to a new location. When utilizing commercial transportation, all shipping sacks are sealed with a numbered tag, the removal of which is recorded upon receipt by Expert Laboratories. Check analyses are conducted on a regular basis utilizing SGS' laboratory, in Toronto, Ontario.

About Northern Gold Mining

Northern Gold Mining Inc. is a TSX-V listed, publicly traded junior resource company based in Toronto, Ontario, dedicated to the discovery and development of high value mineral deposits in the proven mining camps of Kirkland Lake and Timmins in North Eastern Ontario. Northern Gold is focused on developing two advanced stage gold deposits on the Garrison Gold Property. The Property is located within the Abitibi greenstone belt along the Porcupine-Destor and the Munro Fault systems. The Property hosts several gold mineralized showings in addition to the two advanced stage exploration targets, the Jonpol and Garrcon Deposits, for each of which NI 43-101 compliant mineral resources have been calculated, and the less advanced 903 gold mineralized area. Historic diamond drilling by previous operators was completed in all three referenced areas. The Jonpol Technical Report was posted on SEDAR October 21, 2009 and the Garrcon Technical Report was posted on SEDAR November 5, 2010. The Garrison Gold Property has historic mining infrastructure at both the Jonpol and Garrcon Deposits and producing mines are located in close proximity to the property. The Company is in the second year of an option agreement under which it may earn up to an 80% interest in the Garrison Gold Property from ValGold Resources Ltd. ("ValGold") (TSX-VENTURE:VAL). For more information on the option agreement, please see the Company's news release dated 14 September 2009.

The technical aspects of this press release has been reviewed by Michael Gross M.S., P.Geol., Vice President Exploration for Northern Gold, who is the "Qualified Person" as defined by NI 43-101 for this project.

CAUTIONARY STATEMENTThis News Release includes certain "forward-looking statements". These statements are based on information currently available to the Company and the Company provides no assurance that actual results will meet management's expectations. Forward-looking statements include estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Forward-looking statements may be identified by such terms as "believes", "anticipates", "expects", "estimates", "may", "could", "would", "will", or "plan". Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results relating to, among other things, results of exploration, project development, reclamation and capital costs of the Company's mineral properties, and the Company's financial condition and prospects, could differ materially from those currently anticipated in such statements for many reasons such as: changes in general economic conditions and conditions in the financial markets; changes in demand and prices for minerals; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological and operational difficulties encountered in connection with the activities of the Company; and other matters discussed in this news release. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements. These and other factors should be considered carefully and readers should not place undue reliance on the Company's forward-looking statements. The Company does not undertake to update any forward-looking statement that may be made from time to time by the Company or on its behalf, except in accordance with applicable securities laws.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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