OTTAWA , Sept. 23, 2015 /CNW/ - Northern Shield Resources Inc. ("Northern Shield" or the "Company") [TSX-V: NRN] is pleased to announce that it has completed a non-brokered private placement (the "Private Placement") of 6,000,000 units ("Units") at a price of $0.05 per Unit for aggregate gross proceeds of $300,000 . Each Unit is comprised of one common share in the capital of Northern Shield (a "Common Share") issuable on a "flow-through" basis pursuant to the Income Tax Act ( Canada ) and one half of one Common Share purchase warrant (a "Warrant"). Each whole warrant is exercisable for one Common Share at a price of $0.075 per share until September 21, 2017 . The Common Shares and Warrants underlying the Units are subject to a four month hold period from the date of issuance and the Private Placement remains subject to the final approval of the TSX Venture Exchange.
A cash finder's fee of $18,000 was paid, and 18,000 Warrants were issued, to certain finder's in connection with the Private Placement. Each such Warrant is exercisable to acquire one Common Share at a price of C$0.075 per share until September 21, 2017 .
Proceeds from the Private Placement will be used to incur eligible Canadian Exploration Expenditures and Flow-through Mining Expenditures to advance the Company's Huckleberry Cu-(Ni-PGE) project ("Huckleberry") in the Labrador Trough region of northern Quebec . Northern Shield discovered significant Cu-(Ni-PGE) mineralization at Huckleberry earlier this year where the assay results of 22 samples collected from the property averaged 1.4% Cu, 0.14% Ni and 1.4 g/t PGE+Au with a high of 10.6% Cu and 16.9 g/t PGE+Au. A field crew will be immediately mobilized to Huckleberry and the Labrador Trough.
The program at Huckleberry will be overseen by Christine Vaillancourt , P. Geo., a Qualified Person under National Instrument 43-101. Samples will be analyzed by ALS Global in Sudbury, Ontario and in Vancouver, BC , for Au, Pt and Pd by Fire Assay with ICP-AES finish and base metals by four acid digestion and ICP-AES.
Northern Shield Resources Inc. is a Canadian-based mineral exploration company built around its platinum group element (PGE) expertise, which forms the basis of its exploration in eastern Canada .
Forward-Looking Statements AdvisoryThis news release contains statements concerning the exploration plans, results and potential Cu-Ni-PGE and other mineralization at the Company's southern Labrador Trough properties, geological, and geometrical analyses of the southern Labrador Trough properties and comparisons of the properties to known Cu-Ni-PGE deposits, and other expectations, plans, goals, objectives, assumptions, information or statements about future events (including the use of proceeds from the Private Placement), conditions, results of exploration or performance that may constitute forward-looking statements or information under applicable securities legislation. Such forward-looking statements or information are based on a number of assumptions, which may prove to be incorrect.
Although Northern Shield believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward‑looking statements because Northern Shield can give no assurance that such expectations will prove to be correct. Forward-looking statements or information are based on current expectations, estimates and projections that involve a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by Northern Shield and described in the forward‑looking statements or information. These risks and uncertainties include, but are not limited to, risks associated with geological, geometrical and geophysical interpretation and analysis, the ability of Northern Shield to obtain financing, equipment, supplies and qualified personnel necessary to carry on exploration and the general risks and uncertainties involved in mineral exploration and analysis.
The forward-looking statements or information contained in this news release are made as of the date hereof and Northern Shield undertakes no obligation to update publicly or revise any forward‑looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Northern Shield Resources Inc.