Northland Resources Inc. - Salimivaara

Development Projects Tapuli Stora Sahavaara Hannukainen

Exploration Projects Kuervitikko Pellivuoma Saarijarvi / Lannavaara Salimivaara Barsele

Location: Gällivare, (Norrbotten County) northern Sweden
Minerals: Iron and Copper
Ownership: Northland: 100% ownership of exploration permit
Status: Exploration & resource definition drilling

Overview:
Salmivaara is a magnetite body located 33 km north of the city of Gällivare in Norrbotten County, Sweden, close to LKAB's Malmberget iron ore mine. There is an all weather sealed road allowing access to the site and power lines are nearby.

Historical resources calculated by the Swedish Geological Survey (SGU), are:

Mt	Fe	Cu	S	P
16	34%	0.1 to 0.8%	3.60%	0.03%

Note that these are historic resources, non-43-101 compliant and cannot be relied upon. Northland is currently doing the work to verify the historic resources.

Strategic Value:
Salmivaara is part of Northland's aggressive, on-going strategy to define combined resources at its northern European iron project of one billion tonnes of magnetite close to major infrastructure. The project is within 1 km of a sealed road and 33 km north of Gällivare, Sweden where a rail line carries iron ore trains from Europe's second largest iron ore mine, Malmberget, to the ice-free, deep water port of Narvik, Norway.

Metallurgical Testwork:
Northland is planning an extensive program of metallurgical work for 2008. Dependent on permitting, the Company will collect a major bulk sample of magnetite mineralisation for pilot scale met testing.

History:
Salmivaara was discovered in 1897 and first drilled in 1904. It was mined for copper during World War II. The SGU worked on the deposit between 1967 and 1971, publishing a report titled "Salmivaara Iron Occurrence" and describing the deposit in the Swedish Iron Ore Inventory. They drilled 12 holes, for 1,818m of core drilling to a maximum depth of 120m and completed magnetic and gravimetric studies that indicate the magnetite body continues to a depth of at least 700m below surface. An exploration license was granted to Northland Exploration Sweden AB in February 2007.

Geology:
Mineralization at Salmivaara consists of magnetite with pyrite, pyrrhotite and chalcopyrite. Information suggests that the magnetite bodies are steeply dipping and therefore, the true thickness of the magnetite is likely to be less than the angled downhole mineralized intervals. There appear to be possibly three magnetite zones present within a synformal fold structure with the richest zone of magnetite in the core of the structure.

Northland's Exploration:
In late 2007, Northland initiated a drill program to verify the historical data and expand the known size of the Salmivaara body. Six diamond core holes were drilled that had a combined length of 1,780m. The drill holes encountered multiple intersections of magnetite, with maximum downhole thickness of nearly 150m with an average downhole thickness of a little more than 50m. The results of Northland's work support and build on results of the SGU's historic work, and include the following highlights:

Hole 07001 42.8% Fe + 0.12% Cu over 52.7m from 15.3m downhole
Hole 07004 35.5% Fe + 0.10% Cu over 53.9m from 41m downhole
Hole 07005 46.5% Fe + 0.12% Cu over 49.2m from 97.8m downhole
Hole 07006 35.3% Fe + 0.12% Cu over 147.3m from 89.9m downhole

The drilling cut substantial magnetite mineralization below the limits of the historical work; a very promising start to Northland's exploration at Salmivaara. In April 2008, Northland plans to start drilling seven holes totalling 2,300m to further define the Salmivaara magnetite bodies.