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Northern Empire And Sonoro Sign LOI For Hilltop Gold Project, Alaska

Vancouver, BC – March 10, 2015 - Northern Empire Resources Corp. (TSXV: NM) (“Northern Empire”),  today announced the signing of a letter of intent (“LOI”) with Sonoro Metals Corp. (“Sonoro”), pursuant to which Sonoro has been granted the option to acquire a 60% interest in Northern Empire’s 7,840 acre Hilltop Gold Project (“Hilltop”) located 115km south of Fairbanks, Alaska, USA.

To exercise the option and earn its 60% interest in the Hilltop Gold Project, Sonoro will expend C$3,000,000 on exploration activities to advance the project, and issue 1,000,000 Sonoro shares to Northern Empire, prior to December 31, 2019.  During the term of the option Northern Empire will be the operator of the project.

Northern Empire's chairman, John Robins, stated, "The Hilltop Gold Project is a very compelling gold project located in the Tintina Gold Belt, one of North America’s most prolific gold regions. With the signing of this agreement, Northern Empire is executing on its business strategy to identify high quality projects and mitigate its risk profile through the joint venture model. We are pleased to have the opportunity to work with Sonoro as we advance the property.”

About the Hilltop Gold Project

Northern Empire holds a 100% interest in the block of claims forming the Hilltop Gold Project within the broader Richardson Gold District (excluding placer gold). Hilltop is an exploration stage gold project located 115 kilometers southeast of Fairbanks, Alaska and 40 kilometres northwest of Delta Junction in east-central interior Alaska. Hilltop is located approximately 55 km from Sumitomo’s Pogo mine (4.973 million ounces at 12.5 g/t gold; http://www.sumitomocorp.co.jp/files/topics/25649_ext_31_en_0.pdf ) and 135 south of Kinross’s Fort Knox mine (3.8 million ounces at 0.45 g/t Au; http://www.kinross.com/operations/operation-fort-knox-alaska-usa.aspx ). The 7,840 acre (31 km2) Hilltop property is bordered on the south by the all-weather and paved Richardson Highway. In addition, the property is proximal to both a high power electrical transmission line and the Trans-Alaska Pipeline. Access into the interior of the property from the Richardson Highway is via a new system of logging roads and trails which makes most points within the Hilltop project area accessible for exploration activities.

To view a map of the Hilltop Gold Project, please visit the Richardson project section of Northern Empire’s website at http://www.northernemp.com/projects/richardson/ .

*Work in the Richardson Gold District began in 1905 with the discovery of placer gold. Since then over 120,000 oz of gold have been produced in the Richardson district. The Hilltop prospect, located in the far western portion of the Richardson district, was a grass roots discovery made in 1992 while following up a stream sediment anomaly. Follow up work included hand dug pits to bedrock, bedrock chip and channel samples, and soils samples. Hand dug pits to bedrock found multiple high grade gold values from a combination of chip samples and panel samples from one square metre pits, with higher values including 48.0 g/t, 37.7 g/t, 29.3 g/t, 50.6 g/t, 59.2 g/t Au, as well as greater than 10,000 ppm As, and up to 289 ppm Bi and 2,000 ppm Sb. Soils sampling also identified a strong north trending gold in soils anomaly overlying a large resistivity geophysical signature. In 2011 US Gold collected additional samples, extending the strike of the north trending anomaly, as well as identifying another east-west trending anomaly approximately 3 km long. Of more than 800 soils samples collected to date, over 184 are considered anomalous (>25ppb Au), including gold values up to 9.6 g/t and anomalous intrusive related gold (IRG) system pathfinder elements such as Bi, Te, As, Sb, and W, in flat lying quartz-pyrite-arsenopyrite-tourmaline veins. In 2011, three shallow holes were drilled on the property (total drilling of 842m), however in each case these holes were drilled before the results of the 2011 soil sampling program were received. While it is believed these holes were poorly placed, they did include gold intercepts which show very strong correlation of gold, Te, Bi, As and Sb. Highlighted intercepts include 4.73g/t Au over 1.17m in hole RAK-001; 1.38 g/t Au over 1.17m in hole RAK-002 and, 3.94 g/t Au over 0.31m in hole RAK-003.

The elemental pathfinder associations with gold are consistent with an intrusion related gold system and the exploration model at Hilltop is for Pogo-style mineralization.

Bedrock is quartz-feldspar-biotite-muscovite schist, semi-schist and gneiss with some minor amphibolite with documented QFP float on the property and in the core. Gold mineralization occurs within low to moderate angle quartz-pyrite-arsenopyrite veins and veinlets concordant with the foliation of host gneiss and schists. Petrography confirms the presence of pyrite, arsenopyrite, native gold, various secondary arsenic minerals, various secondary bismuth minerals and minor chalcopyrite, sphalerite and galena in mineralized samples.

The combination of high gold values with coincident highly anomalous arsenic, antimony, tellurium and bismuth; the lack of anomalous silver; the flat-lying nature of the Au-As-Bi quartz veins; the gneissic host rocks; the proximal IRG affinities suggested by both the Ag: Au and Bi: Au ratios; Hilltop’s proximal location 4km north of the Birch Lake Instrusive, and the intrusive affinities suggested by mineralogical studies completed on pan concentrates; all suggest the Hilltop project is a proximal IRG prospect similar to Pogo which merits immediate follow-up work.

*The above scientific, technical and exploration information about the Hilltop Gold Project (including the sampling, drilling, recovery, analytical and test data) has not been verified by Northern Empire or a qualified person engaged by Northern Empire, as Northern Empire only recently acquired the Richardson Property, (including the Hilltop Gold Project), in 2014, and has not had the opportunity to perform any exploration work on the Property or verify historical data.  As such it is relying on historic data to summarize the characteristics and attributes of the property.  Similarly, Northern Empire has not confirmed the quality assurance program or quality control measures applied by the former operators on the property.  Readers should not rely on the information, and Northern Empire provides it only for information purposes as it considers the information to be relevant.  Northern Empire has referred to the comprehensive April 8, 2011 technical report entitled Geology and Mineralization of the Richardson Gold Project, Richardson Mining District, Alaska, which was prepared for Select Resources Corporation.  William J. (Bill) Cronk, P.Geo., is the qualified person who reviewed and approved the technical information contained in this news release. 

Terms of the Option Agreement

To exercise the option and earn its 60% interest in the Hilltop Block, Sonoro must expend C$3,000,000 on exploration activities to advance the Hilltop Block and issue 1,000,000 Sonoro shares to Northern Empire, prior to December 31, 2019, as per the following schedule:

  • within 60 days of the execution of the letter of intent and subject to TSX-V approval, issue to Northern Empire 250,000 common shares of Sonoro;
  • by December 31, 2015 pay to Northern Empire C$250,000 to be applied toward exploration expenditures on Hilltop;
  • by December 31, 2017 issue to Northern Empire an additional 250,000 Sonoro shares, and pay to Northern Empire an additional C$500,000 to be applied toward exploration expenditures on Hilltop;
  • by December 31, 2018 issue to Northern Empire an additional 250,000 Sonoro shares, and pay to Northern Empire an additional C$750,000 to be applied toward exploration expenditures on Hilltop; and
  • by December 31, 2019 issue to Northern Empire an additional 250,000 Sonoro shares, and pay to Northern Empire an additional C$1,500,000 to be applied toward exploration expenditures on Hilltop.

The agreement is subject to receipt of all necessary regulatory approvals, including the acceptance of the TSX Venture Exchange.

About Northern Empire

Northern Empire is a newly formed company which will follow the “Project Generator” business model to take advantage of the depressed market conditions in the resource sector to acquire low acquisition and low holding cost properties with significant exploration potential.

A Project Generator identifies, acquires, and performs early stage exploration on compelling exploration targets before finding project partners to bear the financial risk associated with advanced exploration.

Northern Empire’s experienced board and management team feels that executing the Project Generator business model is the most practical way to provide investors the potential excitement and value creation of mineral discoveries, without the financial risks and equity dilution of standard exploration programs.

ON BEHALF OF THE BOARD OF NORTHERN EMPIRE RESOURCES CORP.

“Jim Paterson”

Director

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 NEWS RELEASE.

This press release includes “forward-looking statements” including forecasts, estimates, expectations and objectives for future operations that are subject to a number of assumptions, risks and uncertainties, many of which are beyond the control of Northern Empire Resources Corp.  The option to Sonoro described above is subject to a number of conditions precedent, and there is no assurance that (i) all conditions will be satisfied, (ii) the option will occur on the bases outlined above, or close at all; or (iii) if closed, that the option will be exercised.  Statements regarding mineral exploration operations and objectives are subject to risk, including, but are not limited to, exploration and geologic risk, inflation and costs of goods and services, property title issues and regulatory approvals. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements. Such forward-looking information represents management’s best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Northern Empire does not assume the obligation to update any forward-looking statement, except as required by applicable law.

For Further information, please contact:

 Jeff Sundar, Corporate Development

Northern Empire Resources Corp.

Tel: 604 764 5944

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