Northland Resources Inc.
FRANKFURT : NBS
OSLO STOCK EXCHANGE : NAUR
TSX : NAU
March 05, 2009 03:28 ET
Northland to Focus Financial Resources on Key Projects, Continue to Reduce Expenses
VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 5, 2009) - In response to the current economic climate, Northland Resources Inc. (Northland) (TSX:NAU)(FRANKFURT:NBS)(OSLO:NAUR) has reviewed and reduced its cost base, while maintaining the development timelines of its key projects.
Northland will continue to prioritize the development of its Tapuli iron ore project, which is currently the subject of a Prefeasibility Study (PFS). The Company will also continue to advance the Stora Sahavaara and Pellivuoma iron ore projects, which are located in close proximity to Tapuli and have the potential to provide ore to feed a common processing facility (Kaunisvaara). The Company will focus its exploration on increasing strategically important iron ore resources in Sweden and Finland, and will give lower priority to early stage exploration projects.
In addition, Northland will close its offices in Vancouver, Canada, Castle Rock, USA and Storuman, Sweden in order to utilize the Company's personnel in a more efficient manner. The principal business office of the Company will continue to be its office in Lulea, Sweden.
In terms of Investor Relations, the Company will allocate more resources to the Scandinavian and European investor communities, as the majority of Northland's shareholders are located in Scandinavia, in particular, and the rest of Europe.
"Given that the timing of an economic recovery remains unclear, we have had to make difficult decisions to ensure the long-term viability of the Company. We will be directing the majority of our human and financial resources to the development of the Tapuli and adjacent project areas, while streamlining our operations as much as possible." said Bill Wagener, Chief Operating Officer, of Northland.
About Northland (www.northlandresourcesinc.com)
Northland is a well structured, debt-free mining company with a portfolio of high quality iron, gold, and base metal development projects in Sweden and Finland.
ON BEHALF OF THE BOARD
NORTHLAND RESOURCES INC.