Northern Gold Mining Inc.

Northern Gold Mining Inc.

October 10, 2008 22:15 ET

Northern Gold Mining Inc. Initial Kirana Results and Polymetallic Grabs

TORONTO, ONTARIO--(Marketwire - Oct. 10, 2008) - Northern Gold Mining Inc. (TSX VENTURE:NGM) continues the exploration of its Kirana Project in Kirkland Lake and its Matheson Claim Group in Timmins, and announces the results of assays on the earliest Fidelity area drill holes as well as grab samples from the Mallard Lake area of the Kirana Project.


In July Northern Gold discovered high-grade gold grab samples in the Fidelity area on its Kirana property. This discovery initiated an aggressive exploration campaign of surface stripping and diamond drilling to ascertain the characteristics and extent of the gold mineralization. Thirty-eight drill holes were drilled into the zone over an area 350 metres along strike by 300 metres vertical. Hole lengths varied from 50 to 650 metres. Varying hole azimuths were utilized to test for all possible mineralized zone orientations and structural controls. To date, assays have been returned from 16 shallower holes drilled early in the program and testing to a depth of 35 metres. All of the holes intersected the carbonate-sericite alteration associated with the high grade gold mineralization on surface. However, none of the assayed holes showed economic gold mineralization. The values were more typical of the elevated background levels observed in the earlier surface sampling between the local higher grade concentrations. Based on surface observations it is believed that the high-grade gold mineralization is associated with a quartz-feldspar porphyry - mafic volcanic contact. In 6 of the 16 drill holes with assays returned this contact was not visible and the hole collared immediately in the alteration associated with the gold mineralization. This indicates that a potentially significant portion of the mineralized zone has been removed due to surface erosion. Northern Gold is currently awaiting the results from deeper holes testing the zone at depths between 35 and 300 metres.

Hole From - To (m) Length (m) Assay (g/t) Depth (m) Easting (m)
B08-5 collared in zone NSA -14 161E
B08-6 NA NA NSA -17 146E
B08-7 collared in zone NSA -14 130E
B08-8 34.2-34.8 0.6 1.71 -3 144E
B08-9 collared in zone NSA -4 126E
B08-10 20.8-21.5 0.7 0.21 -8 135E
B08-11 8.3-9.0 0.7 1.10 -2 124E
B08-12 32.5-32.8 0.3 0.48 -23 135E
B08-13 NA NA NSA -9 90E
B08-14 collared in zone NSA -10 100E
B08-15 30.6-31.2 0.6 0.34 -24 96E
B08-16 40.9-41.9 1.0 0.89 -20 88E
B08-17 31.9-33.2 1.3 1.48 -25 115E
B08-18 30.8-31.5 0.7 0.55 -35 102E
B08-20 NA NA NSA -28 39E
B08-24 37.1-37.7 0.6 2.88 -30 52E
(NA - not applicable; NSA - no significant assay; for holes showing NSA the
Depth and Easting position is the target)

Northern Gold has expanded its drilling program on the Kirana Property to test regional targets along the 7.5 kilometre strike extent of the Kirana Break. An 88 kilometre Induced Polarization (IP) survey which is nearly complete has outlined numerous conductive anomalies along the Kirana Break. This same IP survey has also outlined a strong conductive anomaly at least 700 metres in length in an unexplored area approximately 600 metres south of the Kirana Break. With two diamond drills currently on the property, Northern Gold is systematically testing these anomalies. Nineteen holes have now been completed on this regional drilling program and detailed geologic logging and assaying are scheduled for later this month (following completion of priority work on the Fidelity core). To date a total of approximately 8900 metres has been drilled in the Fidelity and other areas of the Kirana Project.

Northern Gold has stripped and washed two new areas 6.0 and 6.5 kilometres east of the Fidelity area where indications of both gold-silver and base metal mineralization have been observed. In the Mallard Lake area approximately 6.0 kilometres east of Fidelity both VTEM and IP surveys show a strong conductive response, with the IP response being traced across at least 400 metres. Following up on these survey results, Northern Gold has stripped and washed an area approximately 100 metres by 100 metres in the vicinity of an old 60 foot deep shaft and exposed quartz veins up to 3 metres in width with clots of coarse galena and chalcopyrite. Following this initial stripping effort the area will be geologically mapped and channel sampled prior to diamond drilling. Initial grab samples from this area have returned assays up to 11.16 g/t gold (Au), 557 g/t silver (Ag), 25.53% lead (Pb), 5.25% zinc (Zn), and 1.01% copper (Cu).

Mallard Lake Grab Samples
Sample # Au (g/t) Ag (g/t) Cu (%) Pb (%) Zn (%)
-------- -------- -------- ------ ------ ------
11745 1.10 124.6 0.27 20.98 4.92
11746 2.81 129.0 0.28 12.40 0.56
11747 4.01 164.0 0.29 0.59 0.06
11748 1.68 557.0 1.01 0.88 0.14
11749 0.75 64.3 0.08 9.00 1.43
11750 11.16 270.3 0.17 25.53 0.01
58304 trace trace trace trace trace
58305 6.07 202.5 0.49 0.38 0.55
58306 0.63 232.0 0.36 12.5 5.25


Northern Gold has contracted a diamond drill to test IP geophysical and Mobile Metal Ion (MMI) geochemical anomalies on three of its Timmins area properties - Pamour, Hoyle, and Matheson. The anomalies were identified during surveys conducted during 2007. Currently 5 holes totaling approximately 1500 metres have been completed, with logging and assaying on-going. In addition to drill testing the previously identified anomalies, Northern Gold is expanding the grids on the Hoyle and Pamour properties, to be followed by an IP survey over the new grid area. Significant anomalies will be drill tested immediately with the diamond drill currently in the area.

Northern Gold Mining Inc. has implemented a quality assurance and control (QA/QC) program to ensure sampling and analysis of all exploration work is conducted in accordance with the best possible practices. The rock samples collected were sent to either the accredited Polymet Laboratories in Cobalt, Ontario or Swastika Laboratories in Swastika, Ontario, and analyzed using the appropriate gold fire assaying technique. For QA/QC purposes the Company submits blanks and standards every 50 samples. Approximately 5% of sample rejects and/or pulps will be sent to a different lab from the lab which ran the original assay for check assaying.

Results of this technical work and the sampling procedures have been reviewed by R.V. Zalnieriunas P.Geo., an independent consulting geologist who is the "Qualified Person" as defined by NI 43-101 for this project.

CAUTIONARY STATEMENT: This News Release includes certain "forward-looking statements". All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, future plans and objectives of Northern Gold Mining Inc., are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Northern Gold Mining Inc.'s expectations are the risks detailed herein and from time to time in the filings made by Northern Gold Mining Inc. with securities regulators.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

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