Northland Resources Inc.
TSX VENTURE : NAU

Northland Resources Inc.

November 16, 2005 17:26 ET

Northland Closes $2.5 Million Financing

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 16, 2005) - Mr. Buck Morrow, President, Northland Resources Inc. (TSX VENTURE:NAU), is pleased to announce that the Company has closed a non-brokered private placement providing proceeds of $2.5 million. A total of 4,545,454 units were issued at a price of $0.55 per unit, each unit consisting of one common share and one-half of a common share purchase warrant. Each whole warrant entitles the holder to purchase one additional common share of the Company at $0.60 for one year.

The Company also issued a total of 234,045 finder's fee warrants, each warrant entitling the holder to purchase one common share of the Company at a price of $0.60 for one year.

All of the above securities have a four-month hold period from the date of issuance, expiring on March 16, 2006.

The proceeds of the placement will be used to advance the exploration and development of Northland's projects in Finland and Sweden, and for general working capital purposes.

Background

Northland Resources Inc. is a well-structured, debt free junior exploration company with a portfolio of high quality iron, gold, and base metal exploration projects in Sweden and Finland.

ON BEHALF OF THE BOARD

Buck Morrow

NORTHLAND RESOURCES INC.


The TSX Venture Exchange has not reviewed and does not take responsibility for the accuracy of this release.

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