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Northland Resources closes private placement & conducts public
offering
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Vancouver, July 13, 2007: Buck Morrow, President of Northland Resources
Inc., is pleased to announce that the Company has closed its private
placement financing (previously announced on June 18 and 19, 2007) of
22,792,500 common shares at a purchase price of NOK 26.50 per share and
has received net proceeds, after commission, of NOK 573,801,188
(approximately CDN$104.6-million). Pareto Securities ASA of Oslo,
Norway acted as the agent in selling the offering.
Northland intends to publish a prospectus on July 16, 2007, and the
shares issued in the private placement will be tradable on the Oslo
Stock Exchange from that date.
The Company has also arranged for the sale of up to an additional
2,279,250 shares through Pareto by way of a public offering in Norway,
with preferred allocation to shareholders of the Company who were
registered in the VPS on June 18, 2007 and were not invited to
participate in the private placement. The issue price will be NOK 26.50
per share, providing Northland with additional net proceeds of up to
approximately CDN$10.4-million. Further details of the subsequent
public offering will be included in the Company's prospectus.
The private placement shares and the public offering shares have a hold
period which restricts trading on the TSX Venture Exchange or otherwise
to Canadian residents, until December 16, 2007, being four months and
one day following the issuance of the public offering shares which is
anticipated to occur on or about August 15, 2007. The offerings are
subject to final acceptance in Canada by the TSX Venture Exchange.
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 accept
responsibility for the adequacy or accuracy of this release.
CONTACT INFORMATION
Northland Resources Inc.
Buck Morrow, President
Ralph Rushton, Investor Relations
Toll Free: 1-866-719-8962
www.northlandresourcesinc.com
(NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWS WIRE
SERVICES)
THIS IS NOT AN OFFER TO SELL, OR THE SOLICITATION OF AN OFFER TO BUY,
ANY SECURITIES. THE DISTRIBUTION OF THIS PRESS RELEASE AND THE OFFER
AND SALE OF THE SECURITIES IN CERTAIN JURISDICTIONS MAY BE RESTRICTED
BY LAW. ANY PERSONS READING THIS PRESS RELEASE SHOULD INFORM THEMSELVES
OF AND OBSERVE ANY SUCH RESTRICTIONS. THIS IS NOT AN OFFER OF
SECURITIES FOR SALE IN THE UNITED STATES. NO SECURITIES HAVE BEEN
REGISTERED UNDER THE U.S SECURITIES ACT TO BE OFFERED FOR SALE IN THE
UNITED STATES. SECURITIES MAY NOT BE OFFERED FOR SALE IN THE UNITED
STATES ABSENT REGISTRATION UNDER THE U.S. SECURITIES ACT OR AN
EXEMPTION FROM REGISTRATION. ANY PUBLIC OFFERING OF SECURITIES TO BE
MADE IN THE UNITED STATES WILL BE MADE BY MEANS OF A PROSPECTUS.
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Copyright (c) 2007 NORTHLAND RESOURCES INC. (NAU) All rights reserved.
For more information visit our website at
http://www.northlandresourcesinc.com/ or send
mailto:karenr@goldgroup.com
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