High North Resources-Operational Update

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE
UNITED STATES. 


High North Resources Ltd. (TSX VENTURE:HN) (the "Company" or "High North") is
pleased to provide an operational update.


DRILLING UPDATE

The Company is encouraged by the recovery of hydrocarbons upon completing and
testing the two new wells drilled at 8-21-76-21W5M and 8-02-76-21W5M and is
moving to install production equipment at both locations.


AMENDMENT TO FARMOUT AGREEMENT

The Company previously announced on March 24, 2014 that it had entered into an
amending agreement on March 21, 2014 (the "Agreement") with certain farmors (the
"Farmors") which reduced the rate of the overriding royalty (the "Overriding
Royalty") payable under three farmout agreements between the Company and the
Farmors (the "Farmout Agreements"). The Agreement encompasses the Company's
McLean Creek Block "A" Area, the McLean Creek Block "B" Area, the McLean Creek
Block "C" Area, the Sturgeon Lake/Snipe Lake Block "D" Area and Block "H" and
"I" (the "Farmout Lands"). The Farmout Agreements cover approximately 100
sections of land. Under the terms of the Agreement, the Farmors agreed to reduce
the Overriding Royalty on the Farmout Lands from eight percent to five percent.
The consideration paid for the reduction in the Overriding Royalty was
$5,000,000, of which $1,000,000 was paid by the Company to the Farmors on April
15, 2014, and the balance of $4,000,000 which was to be paid on June 30, 2014.


The Company is pleased to advise it has entered into an amending agreement with
the Farmors as of June 30, 2014 (the "Amending Agreement"), whereby the
obligation to pay the further sum of $4,000,000 has been extended by way of a
loan, bearing an interest rate of prime plus one percent until October 31, 2014
(the "Loan"). In addition, the Amending Agreement also provides the Company with
the opportunity to suspend the payment of certain delay payments relative to
specific drilling obligations from July 1, 2014 to October 31, 2014 (the "Delay
Payments"). 


The Loan and the suspension of the Delay Payments free up considerable short
term cash for the Company. Colin Soares, the Company's President and Chief
Executive Officer stated: "High North is extremely pleased with the settlement
and deferral of these payments. This provides additional and immediate funds
which will assist in the continuation of the Company's Montney oil development
drilling program at our Girouxville-McLean property". 


Reader Advisory Regarding Forward-Looking Statements

This news release contains certain "forward-looking statements" or
"forward-looking information" (collectively referred to herein as
"forward-looking statements") within the meaning of applicable securities
legislation. Such forward-looking statements include, without limitation,
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 the Company. Forward-looking statements are statements
that are not historical facts and are generally, but not always, identified by
the words "expects", "plans", "anticipates", "believes", "intends", "estimates",
"projects", "potential" and similar expressions, or that events or conditions
"will", "would", "may", "could" or "should" occur or be achieved. This news
release contains forward-looking statements, pertaining to, among other things,
the following: the recovery of hydrocarbons, the installation of production
equipment, future royalty payments and anticipated changes to the Delay Payments
and the Company's future drilling obligations. Statements regarding future
production, capital expenditures and development plans are subject to all of the
risks and uncertainties normally incident to the exploration for and development
and production of oil and gas that may cause actual results or events to differ
materially from those anticipated in such forward-looking statements. These
risks include, but are not limited to, inflation or lack of availability of
goods and services, environmental risks, drilling risks, regulatory changes and
certain other known and unknown risks detailed from time to time in High North's
public disclosure documents, copies of which are available on High North's SEDAR
profile at www.sedar.com. 


Although High North believes that the material factors, expectations and
assumptions expressed in such forward-looking statements are reasonable based on
information available to it on the date such statements were made, no assurances
can be given as to future results, levels of activity and achievements and such
statements are not guarantees of future performance. High North's actual results
may differ materially from those expressed or implied in forward-looking
statements and readers should not place undue importance or reliance on the
forward-looking statements. Statements including forward-looking statements are
made as of the date they are given and except as required by applicable
securities laws, High North disclaims any intention or obligation to publically
update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise. The forward-looking statements
contained in this news release are expressly qualified by this cautionary
statement.


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.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Mr. Colin Soares
President, Chief Executive Officer and Director
[phone]
[e-mail]


Mr. Kyle Stevenson
Investor Relations and Director
[phone]
[e-mail]
www.highnorthresources.com