Northern Superior Resources Inc.
TSX VENTURE : SUP

Northern Superior Resources Inc.

July 08, 2008 07:30 ET

Northern Superior to Focus on Gold and Diamond Projects

North Thelon Joint Venture interest exchanged for Forum shares and 5% NPR

TORONTO, ONTARIO--(Marketwire - July 8, 2008) - Northern Superior Resources Inc. ("Northern Superior" or the "Company") (TSX VENTURE:SUP) today announced that it has opted out of the North Thelon uranium project ("North Thelon") by selling its 50% interest to joint venture partner and operator Forum Uranium Corp. ("Forum"). The transaction reflects Northern Superior's strategy to focus on its gold and diamond assets on the Canadian Shield, most specifically the Ti-pa-haa-kaa-ning gold project covering approximately 32,200 hectares in Northwestern Ontario.

In exchange for Northern Superior's 50% interest in the properties associated with North Thelon, the Company will receive 2.7 million Forum common shares at a deemed price of $0.50. The shares will be pooled for release over a two year period with 25% of the shares available after four months, 25% after 12 months, 25% after 18 months and the final 25% after 24 months. Northern Superior will have the right to sell the shares upon notifying Forum of its intention to sell shares that are released from the pool and Forum will have 15 business days to place the shares. In addition, Northern Superior will be granted a 5% Net Profits Royalty ("NPR") on the 100% owned joint venture claims. This NPR does not apply to the Tanqueray Option or the Agnico-Eagle Participation agreement. Northern Superior will be cleared immediately of its obligations for the approved and contingency budgets for the 2008 exploration programs.

Dr. Tom F. Morris, President and CEO of Northern Superior, commented: "We have concluded that it is in the best interest of both our shareholders and the North Thelon project that Northern Superior focus its financial and human resources on our gold and diamond projects and that North Thelon move forward as a project that is 100% owned by Forum. Through this transaction, we will immediately save $0.8 million, representing our obligations for May and June, and approximately $1.3 million of additional commitments related to our share of budgeted expenditures over the balance of 2008. We will also retain an opportunity to benefit from continued progress by Forum at North Thelon, and its other uranium projects in Saskatchewan, through our 2.7 million Forum shares, as well as through our 5% NPR on the 100% owned North Thelon claims."

About Northern Superior

Northern Superior Resources Inc. is a junior exploration company whose focus is exploring for gold and diamonds on the Superior Province of the Canadian Shield. Northern Superior is also advancing gold and base metal properties as a by-product from its diamond exploration programs. The Company is a reporting issuer in British Columbia, Alberta, Ontario and Quebec, and trades on the TSX Venture Exchange under the symbol SUP.

ON BEHALF OF THE BOARD

Thomas F. Morris, PhD., FGAC, P.Geo., President & CEO

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Northern Superior Resources Inc.
    Thomas F. Morris
    President and CEO
    (416) 703-4830
    (416) 703-5391 (FAX)
    or
    Northern Superior Resources Inc.
    Mark Utting
    Investor Relations
    (416) 703-4830
    (416) 703-5391 (FAX)
    or
    Northern Superior Resources Inc.
    Timea Carlsen
    Corporate Relations
    (604) 630-8264
    (604) 630-1153 (FAX)
    Email: info@nsuperior.ca
    Website: www.nsuperior.ca