Northern Gold Mining Inc.

Northern Gold Mining Inc.

April 28, 2011 07:05 ET

Northern Gold Intersects 61.0 m @ 2.32 g/t Gold Including 1.0 m @ 127.70 g/t Confirming Continuity of Mineralization

TORONTO, ONTARIO--(Marketwire - April 28, 2011) - Northern Gold Mining Inc. (TSX VENTURE:NGM) ("Northern Gold" or "the Company") announces assay results for eight additional diamond drill holes totaling 1,887.9 meters of drill core. These results include six drill holes which are the last of the 47 drill holes completed during an excellent 2010 drill program. While the program was originally planned for 10,000 meters, 11,280 meters of core were actually recovered because a second drill was added to the program in October. Forty five of the holes intersected significant mineralization including a number of holes that intersected mineralization displaying exceptional lengths of continuous downhole mineralization. As an example, nine holes intersected mineralization with average grades of 0.5 g/t or higher (the cutoff grade used in the first resource calculation, please see the Technical Report posted on SEDAR Nov. 5, 2010) over downhole lengths greater than 200 meters with another eleven holes encountering similar grades over downhole lengths between 100 and 200 meters. Fifteen holes intersected average grades of 1.0 g/t or higher over downhole lengths of at least 50 meters. The best hole of the program, GAR-10-42 encountered an average grade of 1.44 g/t over 209 meters which included an average grade of 2.33 g/t over 108 meters.

Two of the eight drill holes being reported are from the ongoing 2011 drill program which is planned for 30,000 meters on the Garrcon Deposit located on the Garrison Gold Property. Assay results for these eight drill holes are listed in Table 1. The location and orientation of the drill holes are listed in Table 2.

"Our 2011 drill program continues to expand the Garrcon Deposit along strike and is consistent with the results from our 2010 drill program. We continue to encounter long, consistent intervals of plus 1.0 g/t mineralization and significantly longer intervals at grades of plus 0.5 g/t. These results confirm Northern Gold's belief that continued drilling on the Garrcon Deposit will develop sufficient resources to enable a production decision for an open pit mining operation to be made within 18 months," said Martin Shefsky, President and CEO of Northern Gold Mining Inc.

Table 1 – Highlights of Assay Results*

Hole ID






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

Table 2 – Location and Orientation of Drill Holes

Hole ID
Section Line
Section Line


Two assays above 34.0 g/t are reported in these results bringing the total number of assay results received that are higher than one ounce per tonne to eight since drilling commenced in May of 2010. Those assay results affected by the high grade assays are also shown after applying a top cut grade of 34.0 g/t. Cross sections showing drill results for the Garrcon Deposit can be seen on the Company's web site at

Drill hole GAR-10-54 was designed to define the north boundary of the deposit along Section Line 12+00W and successfully established the boundary as being about 20 meters south of the hole location. All the rest of the drill holes are in systematic fences stepping out along strike from Section Line 12+00W to the east 50 meters per fence. Drill holes GAR-11-70, GAR-11-74 and GAR-11-59 (Reported in Press Release dated April 26, 2011) established a 100 meter strike length of very consistent mineralization the down hole thickness of 93 to 142 meters averaging from 1.0 to 1.6 g/t gold. This mineralization, which is a continuation of mineralization encountered on Section 12+00W and further west now has a confirmed strike length of at least 200 meters.

Northern Gold has a strong treasury of over $4 million in cash and cash equivalents and is continuing its aggressive drilling program to complete its previously announced 30,000 meter drill program.

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. On April 7, 2011, the Company and ValGold announced that they have entered into a definitive agreement whereby Northern Gold will acquire 100% ownership of the Garrison Gold Property. For details of that Agreement, please see the Press Release dated April 7, 2011.

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 STATEMENT: This 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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