OTTAWA, Feb. 2, 2012 /CNW/ - Northern Shield Resources Inc. ("Northern
Shield") [TSX-V: NRN] is pleased to announce that it has completed a
non-brokered private placement (the "Private Placement") for gross
proceeds of $2,936,000 by issuing 13,345,454 units ("Units") at $0.22
per Unit. Each Unit consists of one common share and one half of one
common share purchase warrant. Each whole warrant is exercisable for
one common share at a price of $0.40 per common share for a period of
24 months. The Units are subject to a hold period of 4 months from the
date of issuance and the Private Placement is subject to the final
approval of the TSX Venture Exchange.
The proceeds from the Private Placement will be primarily used for
exploration on Northern Shield's Wabassi and Storm properties, and for
general corporate purposes. The participants in the financing were
HudBay Minerals Inc. (TSX: HBM) (NYSE: HBM) ("HudBay") and Anglo
Pacific PLC (LSE: APF) of London, England. HudBay now owns
approximately 9.9% of the issued and outstanding common shares on a
non-diluted basis and 14.1% of the shares assuming full exercise of the
"In the past two weeks we have signed two significant deals: a letter of
intent with Impala on our Idefix PGE property in Quebec and now an
equity subscription agreement with HudBay to assist in funding
exploration on our copper-zinc-silver VMS discoveries at Wabassi and
Storm in northern Ontario. We are very pleased that the merits of these
properties along with our persistent and scientifically driven
exploration efforts have not gone un-noticed," says Northern Shield's
President and CEO, Ian Bliss.
Crews are already on site preparing for ground geophysics and drilling
at the Tempest claims within the Storm Claim Group.
Northern Shield is an innovative, results-driven Canadian company
focused on Platinum Group Element (PGE) exploration in Canada and
copper-zinc-silver exploration on its Wabassi and Storm properties in
northern Ontario. Its mission is to create a successful mineral
exploration company through technical excellence and efficient
management, where success is measured by the identification and
development of high-quality mineral exploration projects, which may
ultimately be optioned, sold or developed for maximum return on
investment. For further information on Northern Shield and its
properties, please visit our website at www.northern-shield.com
No stock exchange, securities commission or other regulatory authority
has approved or disapproved the information contained herein.
SOURCE NORTHERN SHIELD RESOURCES INC.
For further information:
Northern Shield Resources Inc.
President and CEO
Tel.: (613) 232-0459
Fax: (613) 232-0760