Northland Resources Inc.

Northland Resources Inc.

February 02, 2006 09:00 ET

Northland Provides Update on Norra/Barsele and Stora Sahavaara Projects, Sweden

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 2, 2006) - Mr. Buck Morrow, President of Northland Resources Inc. (TSX VENTURE:NAU) is pleased to provide an update on work underway at the Norra/Barsele gold project and its Stora Sahavaara iron (magnetite) projects, both in Sweden. Northland is in the process of increasing its ownership interest in the Norra/Barsele project to 100%.

Barsele Gold Project

Northland's geologists are in the process of incorporating the results from the 2005 drilling and sampling program at Barsele into an updated NI43-101 compliant resource calculation. The Company anticipates that it will be able to release the updated 43-101 report within the next 45 days.

Based on an internal review of the 2005 exploration program, Northland is planning to commence the next phase of diamond drilling at Barsele as soon as permits are obtained and drill rigs are available. The drill program will have a number of objectives:

1) to develop additional gold resources within the limits of the current resource area,

2) to increase the level of confidence in the existing resources and upgrade portions of the existing resources into a higher classification, and

3) to test ground immediately to the south of the Central Zone, beyond the limits of the current resource area, for additional gold mineralization.

Highlights of last year's drilling at Barsele which were previously reported in NAU press release dated November 15th, 2005, included:

- 178m @ 1.26 g/t Au with a higher grade section of 41m @ 2.4 g/t Au in hole 008

- 229m @ 1.1g/t Au with a higher grade section of 32m @ 2.0 g/t Au in hole 007

- 196m @ 0.8g/t Au with a higher grade section of 18m @ 2.2 g/t Au in hole 009

- 91m @ 1.2 g/t Au with a higher grade section of 16m @ 2.2 g/t Au in hole 010

In addition to the resource estimate, Northland will initiate an Environmental Impact Study (EIS) this year. The EIS is a prerequisite to advancing the Barsele resource area to an Exploitation (Mining) Concession.

Stora Sahavaara Magnetite Project

The Company drilled a number of holes at the Stora Sahavaara magnetite (iron) property located in the Norrbotten District of northern Sweden. The results from Northland's program were reported in NAU press releases dated September 14th and November 17th of last year.

Based on the results of this drilling, and the on-going metallurgical test work, the Company plans to complete a NI43-101 compliant resources calculation. Work is currently underway on a wire frame model for the magnetite body and management anticipates that a NI43-101 compliant resource estimate will be completed in the next 2-3 months.

The Company is also planning a 2006 drill program to further test the main Stora Sahavaara magnetite body and a number of known "satellite" magnetite bodies to upgrade a portion of any resources developed in 2005 to reserves and resources by year end 2006. In addition work will continue in and around Stora Sahavaara to develop the copper and gold potential of the magnetite body.

Stora Sahavaara is one of the eighteen (18) iron, copper and gold (IOCG) mineral occurrences that the company controls in the Pajala Shear Zone (PSZ) which straddles the border between Sweden and Finland. The company controls in excess of 67,000 hectares along the PSZ.

Qualified Person

Vance V. Thornsberry, P.Geol., Vice President of Exploration for Northland Resources, is the Qualified Person as defined in NI43-101, responsible for overseeing the design and execution of the Barsele exploration program and for the design and execution of the Stora Sahavaara drill program.

ALS Chemex Sweden AB, of Pitea, Sweden was responsible for sample preparation and shipment of sample pulps to Vancouver for analysis. ALS Chemex of Vancouver, Canada, using international standards ISO 9001:2000 and ISO 17025:1999 has completed and certified all of Northland Resources' analytical work for the Barsele Project Sweden. Gold analysis was performed using fire assay with an atomic absorption finish "Au-AA26, Ore Grade Au 50g FA-AA finish". In addition to Chemex internal sample preparation and assay QC protocol, Northland maintains a rigorous quality control program consisting of inserting blanks, duplicates and certified standards to the analytical process.


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.


Buck Morrow


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

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