Northern Gold Completes VTEM Airborne Survey and Adds Second Diamond Drill at Kirana

Wednesday, August 13th 2008

Northern Gold Mining Inc. has completed a VTEM airborne geophysical survey, flown by Geotech Ltd., over the extent of the Kirana project property. The Kirana Project is the company’s most recently acquired ground and comprises 86 contiguous claim units, 4 patent blocks plus an isolated block of 8 more claim units just south of the main group. Northern Gold’s recently announced gold bearing zone lies in Teck Township, Ontario, approximately five kilometers northeast of the historic Kirkland Lake gold mining camp.

Preliminary interpretation of data from Geotech’s VTEM survey has identified 10 distinct conductive anomalies. Following more detailed data analysis and such ground investigation as may be feasible, all anomalies of merit will be tested with diamond drilling. To facilitate this drilling, Northern Gold now has a second drill on site. As well as testing the VTEM anomalies, this second drill will be able to test the Matheson Zone at a deeper level than is currently being tested. It will also test previously identified regional targets along six kilometers of strike extent of the Kirana Break, that part of the structure that crosses Northern Gold’s Kirana property.

Northern Gold has granted 200,000 Stock options at an exercise price of $0.28 to James C. Gervais LGen (Ret’d), the company’s new Director and Chairman of the Board. The company also granted options on a total of 240,000 shares to various employees and consultants with an exercise price of $0.28. All the options were granted under the previously approved stock option plan and have an expiry date of August 4, 2013.