Press Release - September 21, 2004

NORTHERN SHIELD RESOURCES INC.
NRN: TSX-V

NORTHERN SHIELD EXTENDS MAIN PLATINUM-PALLADIUM SOIL ANOMALY TO 22 KM STRIKE LENGTH AND IDENTIFIES TWO NEW PLATINUM-PALLADIUM HORIZONS

Results Prompt More Staking on Highbank Lake Property in Northern Ontario

Ottawa (September 21, 2004) - Northern Shield Resources Inc. [TSX-V: NRN] is pleased to announce additional positive indications for reef-hosted PGE (Platinum Group Elements) mineralization on its 100% owned Highbank Lake Property in Northern Ontario. Through a recently completed MMI (Mobile Metal Ion) soil sample survey, the Company has defined a zone with elevated concentrations of PGEs over a 22 km strike length. The zone, termed the HB1 layer, is open at both ends and is also associated with anomalous nickel (Ni), cobalt (Co) and silver (Ag) and gold (Au). Similar element associations are known to occur in other PGE deposits including the Bushveld Complex in South Africa, where approximately 80% of the world’s reserves of PGEs are contained. A second PGE anomaly (Lower Zone) was identified approximately 800 m stratigraphically below the HB1 layer, and a third zone was identified at the contact of the layered intrusion with the surrounding country rock. This contact zone anomaly is broader then the other “reef-style” zones and is characterized by higher Ni and Co contents.

The HB1 anomaly was first identified in MMI soil samples taken in 2003 with this year’s samples designed to test the extension of this anomaly over the 22 km strike length. The position of the HB1 layer was projected with the aid of a previously completed airborne magnetic survey that showed a discontinuity in the layered sequence at the same level as the HB1 soil anomaly. Five MMI soil sample profiles (profiles 6,7,8,10 and 11) were run across the projected extension of the HB1 layer and all profiles returned anomalous palladium (Pd) and/or platinum (Pt) at this horizon.

Based on the positive results and, the identification of two new zones of Ni and PGE enrichment, Northern Shield has staked a further 190 units, increasing the size of the Highbank Lake Property to 197 km sq. Northern Shield is planning a ground geophysical survey to commence as soon as possible. The survey will be conducted along Profile 11 which provides the most compete transect of the intrusion and along which some of the most distinct PGE anomalies are located. It is hoped to drill test the anomalies prior to freeze-up.

“The MMI sample results have not only identified potential zones of PGE mineralization but they have also aided in the mapping of the intrusion through the overburden, and this helps us prioritize targets in an otherwise blind environment,” stated Northern Shield’s president, Ian Bliss. “The integration of the magnetic and soil sample surveys reinforces the theory that the HB1 layer occurs at the base of a magmatic reversal, a process thought critical for the concentration of PGEs in layered intrusions.”

A total of 557 MMI samples were collected at 25 or 50 meter intervals along five profiles. The profile lengths were: P6, 4.1 km; P7, 2 km; P8, 2.6 km; P10, 2 km and P11, 4.6 km. Profile 11 is the continuation of Profile 2 that was surveyed in 2003. As a quality control check, Profile 11 overlapped the last 300 meters of Profile 2 including the HB1 anomaly first identified in 2003. The results from Profile 11 were almost identical to those of Profile 2 thus confirming the legitimacy of the HB1 anomaly. Samples were analysed using the MMI‚ B Precious Metal package (Pt, Pd, Ni, Co, Ag) and MMI‚ D package (Mg, Ti, Cr, Ni, Co, Pd, Nb, Rb and Y) by SGS Laboratories Ltd in Toronto, Ontario. A number of factors, such as overburden thickness, metal solubility and water table elevation, can affect metal concentrations and data must therefore be interpreted as comparisons within the sample population, not as absolute concentrations. The most effective method of viewing data is as a response ratio; the ratio of the concentration to background value for each element. Background values were calculated by taking the average concentration of each element in samples falling within the lower quartile of the population, taken on an element-by-element basis for the sample population. The highest response ratios for Pt, Pd and associated pathfinder elements from the survey are Au-23; Pd-13.2; Pt-2.6; Ni-189; Co-291; and Ag-218; Cr-15 and Ti-178. Eighty-four samples returned Pd response ratios greater than 2 (response ratios for precious metals greater than 2 are typically considered significant); eleven returned Pt response ratios greater than 2 and seventeen returned Au response ratios greater than 2. The soil sample survey was overseen by Mr Ian Bliss.

Northern Shield is an innovative, results-driven Canadian company focused on diamond and Platinum Group Element (PGE) exploration in Ontario. Its mission is to create a successful mineral exploration company through technical excellence and efficient management, where success is measured by the identification and development of high-quality mineral exploration projects, which may ultimately be optioned, sold or developed for maximum return on investment. For further information on Northern Shield and its properties, please visit our website at www.northern-shield.com or contact:

For further information please contact:

Northern Shield Resources Inc.
Ian Bliss
President and CEO
Tel.: (613) 232-0459
Fax: (613) 232-0760
info@northern-shield.com

Renmark Financial Communications Inc.
Tina Cameron : tcameron@renmarkfinancial.com
John Boidman : jboidman@renmarkfinancial.com
Media, Cynthia Lane: clane@renmarkfinancial.com
Tel.: (514) 939-3989
Fax: (514) 939-3717
www.renmarkfinancial.com

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CAUTIONARY STATEMENT

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. 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, and future plans and objectives of Northern Shield, 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 form those anticipated in such statements. Important factors that could cause actual results to differ materially from Northern Shield’s expectations are exploration risks detailed herein and from time to time in the filings made by Northern Shield with securities regulations.

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