NEWNORTH ANNOUNCES RESULTS FOR THE QUARTER ENDING MARCH 31, 2011

CALGARY, June 29, 2011 /CNW/ -- 
CALGARY, June 29, 2011 /CNW/ - NewNorth Projects Ltd. ("NewNorth")
 (TSXV:NNP) today announced its financial results for the quarter ending
 March 31, 2011.


Mr. Greg Herndier, President and Chief Executive Officer of NewNorth,
 reports a net loss after tax of $347,000 which includes debenture
 interest of $139,000.


After tax loss per share, basic and diluted is $0.03.


Select information for the period:


    --  Subsequent to the first quarter of 2011 and as of the date of
        this document, NewNorth has sold four units of the Vista
        Village project, a condominium project in Red Deer, Alberta. 
        The gross proceeds for these sales were approximately
        $617,000.  An additional 15 units have been conditionally sold
        as of the date of this document.
    --  NewNorth sold its 50% interest in a rental property in
        Yellowknife, NWT on June 1, 2011.
    --  At December 31, 2010, the Company's current ratio (current
        assets to current liabilities) is 15.88:1 and the adjusted debt
        to equity ratio is 0.48:1 which exceeds NewNorth's operating
        loan covenants requirements of a current ratio not to be less
        than 1.25:1 and an adjusted debt to equity ratio not to exceed
        2:1.



Management believes that the value of the net assets of NewNorth
 significantly exceeds the current share value.


Two of management's goals in 2011 are to lower the cost of operating by
 paying out a portion of its debenture payable and to recapitalize the
 Company.  The above mentioned sales are the first step in the financial
 restructuring being undertaken by management.  These measures will
 allow management to refocus its efforts on key development
 opportunities.


NNP continues to add value to land holdings by obtaining the necessary
 approvals.  Having those approvals will allow NNP to begin to execute
 development plans.  NewNorth anticipates selling the balance of the
 Sheep River project this year. 


NewNorth is an integrated land and building development Corporation
 operating in Alberta, the Northwest Territories and Nunavut.


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.


The contents of this release have not been approved or disapproved by
 any securities authority or stock exchanges.



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p iMr. Greg N. Herndier, Chief Executive Officer or Mrs. Shannon Cook,  Controller at [phone]/i /p 

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