TORONTO,
Dec. 21, 2011 /PRNewswire/ -
Mineral Claims Acquisition
Northern Iron Corp. (TSX-V: NFE) ("Northern
Iron", or the "Company") (OTCQX: NHRIF) (Frankfurt:
N8I) announces that it has signed an agreement with Mr.
Larry Herbert (the "Vendor"), a
private individual, whereby the Company will acquire a 100%
interest in five mineral claims totaling 848 hectares (the
"Claims").
The Claims are adjacent to the past producing Griffith mine, situated east and south of the
claims acquired by the Company in January, 2010. The
Griffith mine produced iron
pellets and sponge iron from 1968 to 1986 before being shut down
due to uneconomic iron prices.
In consideration for the 100% interest in the
claims, Northern Iron will pay the Vendor $6,000 in cash and issue 100,000 common shares of
the Company at a deemed price of $0.30 per share.
Stock Options Grant
The Company also announces that it has approved
the grant of 1,125,000 stock options to officers, directors and
consultants of Northern Iron. 700,000 of these options were granted
to two directors of Northern Iron, namely Brian Thurston and Paul
Sarjeant, and to Grant Smith,
who acts as Chief Financial Officer of the Company. 425,000 stock
options were granted to Consultants. Each option has a five year
term and is exercisable for one common share of the Company at an
exercise price of $0.30 per
share.
About Northern Iron Corp.
Northern Iron is a mineral resource company engaged in reviving
a past producing iron mine and concurrent exploration of high
quality iron ore resources in the Red
Lake mining division, district of Kenora, Ontario, Canada.
Northern Iron holds 100% interest in minerals claims covering
approximately 14,672 hectares, comprised of the El Sol Property,
the past producing Griffith Property, the Karas Property, the
Papaonga Property and the Whitemud-Slate Property.
The Griffith Mine owned at the time by Stelco, produced 78.8
million tonnes of iron ore for conversion to pellets and DRI from
1968-1989. Total magnetic iron recovery was 86.26%.
The Red Lake area is
accessible year round by Highway 105, which joins the Trans Canada
highway at Vermillion Bay, 175 km south and 100 km east of
Kenora. Commercial air services
operate to Red Lake from
Thunder Bay, Ontario and
Winnipeg, Manitoba.
Cautionary Statement
The foregoing information may contain forward-looking statements
relating to the future performance of the Company. Forward-looking
statements, specifically those concerning future performance, are
subject to certain risks and uncertainties, and actual results may
differ materially from the Company's plans and expectations. These
plans, expectations, risks and uncertainties are detailed herein
and from time to time in the filings made by the Company with the
TSX Venture Exchange and securities regulators. The Company
does not assume any obligation to update or revise its
forward-looking statements, whether as a result of new information,
future events or otherwise.
Neither the TSX Venture Exchange nor its
Regulation Service Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release. No stock exchange,
securities commission or other regulatory authority has approved of
disapproved the information contained herein.
SOURCE Northern Iron Corp.