North Arrow Reports Federal Court Decision on Phoenix Project Land Use Permit

November 23, 2010

North Arrow Minerals Inc. (NAR: TSXV) reports to its shareholders that Federal Court Justice Michael L. Phelan has rendered judgment with respect to the Notice of Application (the "Notice") to the Federal Court of Canada referred to in North Arrow news release #09-18 (August 19, 2009). The judgment includes quashing of the Mackenzie Valley Land and Water Board's (MVLWB) Order granting North Arrow a land use permit for the Company's Phoenix lithium project, located in the Northwest Territories, approximately 340 km northeast of Yellowknife. North Arrow has not conducted exploration work on the property since the Notice was filed with the Federal Court of Canada in August of 2009.

The judgment was based primarily on the interpretation that the Applicants to the Notice, including the Yellowknives Dene First Nation and Lutsel K'e Dene First Nation, were not sufficiently consulted with respect to the land use permit application. It is North Arrow's position that it is inappropriate for a project proponent to determine whether sufficient consultation has occurred and that the matter of the Notice more properly related to the Federal Government and the Applicant First Nations. As such, North Arrow did not take a position on the proceedings with the intent of complying with the ruling of the Federal Court.

North Arrow takes seriously its responsibility to consult and communicate with local stake holders, including First Nations and aboriginal communities. The Company has, within its exploration project portfolio, a number of properties, including the Canoe Lake and Anialik projects, that trace their roots back to the largest industry-aboriginal exploration agreement signed in Canada. With respect to the Phoenix project permit application, North Arrow did not refuse to meet or consult with either of the First Nations. However, the Company did decline to pay what it considered to be unreasonable monetary requests in order to have such meetings. North Arrow requested reasonable meeting budgets from the First Nations, in the absence of which, and after discussions with the MVLWB, the Company submitted its application for the land use permit. The MVLWB, after referring to Indian and Northern Affairs Canada (INAC), determined that sufficient consultation had occurred and the permit was granted. Justice Phelan's judgment would indicate that MVLWB and INAC were incorrect.

North Arrow works within the regulatory framework of any jurisdiction in which it operates. The Company is disappointed that a regulatory framework exists in the Northwest Territories that is confusing and misunderstood by all parties including responsible government agencies. The Company looks forward to learning the results of an ongoing Federal Government review of the regulatory process in the Northwest Territories. In particular, the Company is looking for the development of a clearly documented process by which exploration projects can be permitted in a timely and cost effective manner and includes adequate consultation that is acceptable to local stakeholders and First Nations.

Subsequent to filing of the Notice, North Arrow has met with both First Nations with respect to a different project permit application. North Arrow looks forward to continuing to develop a positive and respectful dialogue and relationship with the Yellowknives Dene First Nation and Lutsel K'e Dene First Nation with respect to all of the Company's exploration projects within the Akaitcho region of the Northwest Territories.

North Arrow Minerals Inc.

/s/ "D. Grenville Thomas"
D. Grenville Thomas
President and CEO

For further information, please contact:
D. Grenville Thomas
President and CEO
Tel: 604-668-8355

Gordon Clarke
Vice President, Exploration
Tel: 867-873-8483

Email: [email protected]

The TSX Venture Exchange has not reviewed, and does not accept responsibility for the adequacy of this release.



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