Northern Shield Resources Options Ni-Cu-PGE prospect in northern Ontario
Ottawa (June 23, 2008) – Northern Shield Resources Inc. (“Northern Shield”) (TSX-V: NRN) is pleased to announce that it has signed an option agreement with East West Resource Corporation. (“East West”) (EWR – TSX-V) whereby Northern Shield can earn up to a 66% interest in East West’s 91 square kilometer “Max” nickel-copper PGE prospect located adjacent to Northern Shield’s Wabassi property in northwestern Ontario.
Under the terms of the option agreement, Northern Shield can earn a 50% interest in the property by making an initial payment of $75,000, issuing 300,000 shares, incurring $1 million in exploration expenditures on the property within 2 years, of which $250,000 must be incurred in 2008, and making an additional payment of $50,000 and issuing an additional 100,000 shares on the first anniversary of the agreement. After earning its 50% interest, Northern Shield can increase its interest to 66% with an additional expenditure of $2.5 million over two years and the issuance of an additional 250,000 shares. Under the agreement Northern Shield is the operator and manager for the exploration. The terms of this agreement are subject to approval by the TSX Venture Exchange.