Northland Resources SA announced that it has filed a preliminary short form prospectus in all provinces of Canada other than Quebec in connection with a contemplated offering of new shares of the Company. It is expected that an offering will also be made in Europe, the United States and Asia, subject to applicable law.

If completed, the net proceeds of an offering are intended to be used by Northland to fund capital expenditures at the Kaunisvaara Project, for the feasibility study on the Hannukainen Project, for the feasibility study on the Pellivuoma deposit, for exploration expenditures in Sweden and Finland and for working capital and general corporate purposes. The timing of a launch of an offering, the issue price of the shares and the number of shares to be issued will be determined in the context of the market.

Pareto Securities AS and SEB Enskilda AS will act as European Lead Managers, and Ocean Equities Ltd. and Ambrian Partners Ltd. will act as European Co Lead Managers, in connection with the offering to certain investors in Europe, the United States, and Asia The Company has also engaged Haywood Securities Inc. to act as the Company's North American Lead Agent in connection with the offering in Canada and the United States.

Launch of an offering is conditional upon the necessary corporate resolution, and an offering will be subject to all customary conditions and regulatory approvals, including that of the Toronto Stock Exchange.