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Northern Shield Announces Extension of Second Tranche Warrants

Financings Share Capital & Compensation

Northern Shield Announces Extension of

Second Tranche Warrants

OTTAWA, ON

,

Dec. 7, 2021

/CNW/ - Further to its press release dated

November 30, 2021

(the

"

First Press Release

"), Northern Shield Resources Inc.("

Northern Shield

" or the "

Company

")

(TSXV: NRN) announces that it intends to extend the exercise period of a further 2,050,001 share

purchase warrants, all of which are exercisable at

$0.10

per common share (collectively, the

"

Warrants

"). The Warrants were issued pursuant to a private placement which closed in two

tranches in December of 2019, with the first tranche closing on

December 9, 2019

(the "

First

Tranche

") (with the applicable warrant extensions announced in the First Press Release) and the

second tranche closing on

December 17, 2019

(the "

Second Tranche

"). The Company proposes to

extend the expiry dates for these Second Tranche Warrants by six months (as it did for the First

Tranche warrants) and accordingly, the new expiry dates for the Warrants will be

June 17, 2022

.

All other terms and conditions of the Warrants remain unchanged. The Warrant extension is subject

to acceptance by the TSX Venture Exchange.

As disclosed in the First Press Release, a total of 1,087,963 Warrants are held by parties who are

considered to be "related parties" of the Company (the "

Related Party Warrants

"). All of the

Related Party Warrants were issued in the First Tranche. The amendment of the Warrant terms

may constitute a "related party transaction" as contemplated by Multilateral Instrument 61-101

Protection of Minority Shareholders in Special Transactions

, and TSXV Policy 5.9 - Protection of

Minority Shareholders in Special Transactions. However, exemptions from formal valuation and

minority approval requirements contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101 can be relied

on by the Company as neither the fair market value of the subject matter of, nor the fair market

value of the consideration for, the Warrants, insofar as it involved related parties, exceeded 25% of

the Company's market capitalization. A material change report in respect of this related party

transaction will be filed by the Company in due course.

About Northern

Northern Shield Resources Inc. is a Canadian-based company focused on generating high-quality

exploration programs with experience in many geological terranes. It is known as a leader in

executing grass roots exploration programs using a model driven approach. Seabourne Resources

Inc. is a wholly-owned subsidiary of Northern Shield focussing on epithermal gold and related

deposits in

Atlantic Canada

.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined

in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or

accuracy of this release.

Cautionary Statement Regarding Forward-Looking Statements

This news release contains forward-looking statements, which relate to future events or future

performance and reflect management's current expectations and assumptions, including the

acceptance of the extension to the term of the warrants by the TSX Venture Exchange. Such

forward-looking statements reflect management's current beliefs and are based on assumptions

made by and information currently available to the Company. Investors are cautioned that these

forward looking statements are neither promises nor guarantees, and are subject to risks and

uncertainties that may cause future results to differ materially from those expected. These forward-

looking statements are made as of the date hereof and, except as required under applicable

securities legislation, the Company does not assume any obligation to update or revise them to

reflect new events or circumstances except as required by applicable law. All of the forward-

looking statements made in this press release are qualified by these cautionary statements and by

those made in our filings with SEDAR in

Canada

(available at

www.sedar.com

).

SOURCE

Northern Shield Resources Inc.

View original content:

http://www.newswire.ca/en/releases/archive/December2021/07/c6349.html

%SEDAR: 00007505E

For further information:

Northern Shield Resources Inc., Ian Bliss, President and CEO, Tel.: (613)

232-0459, Fax: (613) 232-0760, [email protected]

CO: Northern Shield Resources Inc.

CNW 08:00e 07-DEC-21