TORONTO, ONTARIO--(Marketwired - Sep 18, 2014) - NORTHERN GOLD MINING INC. (TSX VENTURE:NGM) ("Northern Gold" or the "Company") announces that the Company has signed a custom milling agreement (the "Agreement") with St. Andrew Goldfields, Ltd., which provides for the milling of a minimum of 80,000 tonne bulk sample from the Company's Garrcon deposit, located on its Garrison Property (a part of the Company's Golden Bear Project). The term of the Agreement is approximately nine months.
The Company will be mining under a Mine Production Closure Plan that provides for the processing of up to 150,000 tonne bulk sample (see press release dated July 14, 2014). Stockpiling of material has already begun and processing of the initial batch of 8,000 tonnes is expected to begin immediately.
The goal of the bulk sampling is to provide "real world" mining, milling, metallurgical and recovery data, as well as costing, in support of the development of the Garrcon open pit mine/mill. Funding for the bulk sample program is being provided via a Secured Debt Facility provided by a third party lender (see press release dated August 27, 2014). Proceeds from the gold credits will be used to pay down this Secured Debt Facility in full within the next 12 months.
"This is the latest milestone in the development of the Garrcon open pit mine, our most advanced of several deposits that the Company is developing. I want to thank our partners, Wahgoshig First Nation, Asinii Drilling, LPL Contracting, St. Andrew Goldfields, Ltd, and many others as well as our dedicated workforce for their efforts in achieving this milestone. With a resource of more than 2 million ounces of gold (see press release of May 2, 2014) on the Garrison property, and more exploration opportunity at depth and to the west on the property, the Company is working hard to create Canada's next new gold mine." said Eric Moeller, President and CEO.
For more information please see the Northern Gold website at www.northerngold.ca.
About Northern Gold
Northern Gold is a TSXV-listed gold company based in Toronto, Ontario. The Company's main focus is the exploration and development of its prospective mineral properties at the Golden Bear Project in the Larder Lake Mining Division, northeastern Ontario. Northern Gold has a portfolio of advanced exploration projects, including the Jonpol and Garrcon Deposits and the Buffonta Property. Recent transactions, including the amalgamation with Victory Gold Mines Inc. and acquisition of the Lac Minerals Property add to the Company's regional consolidation strategy along the Destor-Porcupine Fault Zone.
CAUTIONARY STATEMENT: Neither the TSXV 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 news release. No stock exchange, securities commission or other regulatory authority has approved or disapproved of the information contained herein. This news release contains forward-looking information which is not comprised of historical facts. Forward-looking information is characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur and includes information with respect to, among other things, the uses of proceeds from financing activities and the status of regulatory approvals. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release is based on, among other things, the opinions and assumptions of management considered reasonable as of the date of this news release, such as that all necessary regulatory approvals will be received as and when expected, and financing will continue to be available to the Company on favourable terms or at all. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, delays in obtaining or failures to obtain required regulatory approvals, changes in equity markets, fluctuations in commodity prices, and other risks involved in the mineral exploration and development industry, including those risks set out in Northern Gold's public documents filed on SEDAR. Although Northern Gold believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Northern Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.