Financing approved



    Trading Symbol: NRS

    VANCOUVER, Aug. 28 /CNW/ - Norwood Resources Ltd. (the "Company) has
closed a non-brokered private placement for CDN $6,121,783.05 as previously
announced on July 15, 2009.
    The funds were raised by way of 'Secured Convertible Promissory Notes'.
The Notes have a 2 year term and are secured by way of a general security
interest on all of the assets of the Company. A coupon of 10% per annum will
be paid semi-annually. The Company has the right to repay the Notes and
accrued interest during the term by providing thirty (30) days advance notice
to the Note holders. If the Company elects for an early repayment, a 5%
penalty/bonus will be paid. The Note holders can elect to convert under the
terms of the Notes during the same period. The Notes are convertible into
shares of the Company at a price of Cdn$0.07 per share. Subscribers also
received a "stand-alone" share purchase warrant for each share into which the
notes are convertible. The warrants are exercisable without converting the
Notes, at a price of $0.10 per share for two years. The Company will have the
right to accelerate conversion of the share purchase warrants if the common
shares of the Company trade above Cdn$0.50 for ten consecutive trading days.
    Finder's fees in the amount of $125,705.00 will be paid in respect of
certain of the subscriptions in accordance with applicable stock exchange
policies. Proceeds of the financing will be used to provide working capital
and for field exploration activities on the Indoklanicsa concession located in
Nicaragua.

    
    ON BEHALF OF THE BOARD OF DIRECTORS OF
    NORWOOD RE

SOURCES LTD. "Raymond Cahill" Raymond Cahill President & CEO WE SEEK SAFE HARBOUR This press release contains certain forward-looking statements. While these forward-looking statements represent our best current judgment, they are subject to a variety of risks and uncertainties that are beyond the Company's ability to control or predict and which could cause actual events or results to differ materially from those anticipated in such forward-looking statements. Accordingly, readers should not place undue reliance on forward-looking statements. THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ACCURACY OR ADEQUACY OF THIS RELEASE

For further information:

For further information: To find out more about Norwood Resources Ltd.
(NRS) contact: Raymond Cahill, President & CEO, E-Mail:
info@norwoodresources.com, Telephone: (604) 642-6566

Organization Profile

NORWOOD RESOURCES LTD.

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