TORONTO, ONTARIO--(Marketwire - Aug. 17, 2010) - Northern Gold Mining Inc. ("Northern Gold" or the "Company") (TSX VENTURE:NGM) is pleased to announce that its board of directors (the "Board") approved the adoption of a shareholder rights plan (the "Plan") dated August 16, 2010.

The purpose of the Plan is to provide both shareholders and the Board sufficient time to adequately consider a take-over bid and to allow for competing and alternative proposals to emerge during the period between the announcement of the proposed take-over bid and the period of review allowed within the Plan. The Plan is similar to those adopted by other Canadian public companies, and Northern Gold is currently unaware of any party contemplating or preparing a proposal to acquire control of the Company.

At the close of business on August 16, 2010 existing shareholders of the Company were granted "Rights" to acquire additional common shares. The Rights were granted for no cash or non-cash consideration. These Rights are attached to each share as long as the Plan remains in effect. Each subsequent shareholder who invests in the Company's common shares will also be entitled to the Rights for no consideration.

The value of these Rights are that they allow shareholders, other than the take-over bidder, to purchase, at the Exercise Price one common share of the Company for each common share held. This Right is triggered only if a party acquires or announces its intention to acquire 20% or more of the outstanding shares of the Company and this proposed acquisition does not meet the Permitted Bid requirements set forth within the Plan. Under the Plan, only bids that meet certain specific requirements intended to protect the interests of all shareholders will qualify as Permitted Bids. Permitted Bids must be made to all shareholders of the Company, must remain open for 60 days and must be made by way of a take-over bid circular prepared in compliance with applicable securities laws.

The Board's approval of the Plan is subject to the TSX Venture Exchange's acceptance and the ratification by the shareholders of the Company at the annual meeting of shareholders of the Company scheduled for September 23, 2010. Unless otherwise terminated in accordance with its terms, the Plan will terminate at the close of the Company's third annual meeting of shareholders, following the meeting at which the Plan is ratified by shareholders, unless the Plan is reconfirmed and extended at such meeting.

All capitalized terms within this press release without definition have the meanings attributed to them in the Plan. The shareholder rights plan will be available on SEDAR shortly for those shareholders who wish to view the document in its entirety.

About Northern Gold Mining Inc.

Northern Gold is focused on developing two advanced stage projects on its gold property in the world renowned mining districts of Kirkland Lake and Timmins in Northeastern Ontario. The property is located within the Abitibi greenstone belt, along the Porcupine-Destor and the Munro Faults. The Garrison Township Property consists of the Jonpol Project and the Garrcon Project. The Garrison Township Property has historic mining infrastructure and producing mines are located in close proximity to the property. An indicated resource of 253,100 tonnes grading 7.77 g/t Au (containing 63,200 ounces of gold) and an inferred resource of 1.6 million tonnes grading 4.93 g/t Au (containing 246,540 ounces of gold), were disclosed for the JonPol project in a NI 43-101 report filed by Northern Gold on SEDAR on 21 October 2009. The Company is in the first year of an option agreement under which it may earn up to an 80% interest in the Garrison gold property from ValGold Resources Ltd. ("ValGold,") (TSX VENTURE:VAL). For more information on the option agreement, please see the Company's news release dated 14 September 2009.

CAUTIONARY STATEMENT: This News Release includes certain "forward-looking statements". All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, future plans and objectives of Northern Gold Mining Inc., are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Northern Gold Mining Inc.'s expectations are the risks detailed herein and from time to time in the filings made by Northern Gold Mining Inc. with securities regulators.

Neither the TSX Venture Exchange nor its Regulation Services 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 or disapproved the information contained herein.

FOR FURTHER INFORMATION PLEASE CONTACT:
        Northern Gold Mining Inc.
        Martin R. Shefsky
        President and CEO
        (416) 366-7300
        Fax: (416) 366-7301(FAX)
        mshefsky@northerngold.ca
        www.northerngold.ca

Source: Northern Gold Mining Inc.