North American Palladium Provides LDI Exploration Update: New Zone Discovered; Offset and Cowboy Zones Extended
TORONTO, ONTARIO -- (Marketwire) -- 11/17/10 -- North American Palladium Ltd. ('NAP') (TSX: PDL)(NYSE Amex: PAL) today provided an update on the drill results from its 2010 exploration program at the Company's flagship Lac des Iles ('LDI') palladium mine in Northern Ontario. These results (see appendix) are the second tranche of drill results from the 2010 drill program underway at LDI.
Highlights:
-- New PGM zone, named the Sheriff Zone, was intersected approximately 100
metres south east of the Offset Zone
-- Continued positive drill results throughout the Offset Zone (including
122 metres of 4.4 g/t Pd)
-- Offset Zone continues to extend higher towards surface and to the north
by 50 metres
-- Cowboy Zone intersected again in Offset drilling
-- Deep drilling results indicate Offset and Cowboy zones are completely
open at depth
-- Roby resources reclassified as reserves following start of production
'This second release of positive drill results from our 2010 exploration program confirms our belief that LDI has considerable exploration upside,' said William J. Biggar, President and CEO. 'We are very excited with the discovery of the new Sheriff Zone, which in addition to the Cowboy and Outlaw zones, has the potential to increase annual production rates and extend LDI's mine life.'
Mr. Biggar added: 'The exploration success we have had at LDI during the past two years gives me great encouragement that we have tremendous potential to continue to grow our reserve and resource base through exploration. As we pursue our organic growth strategy through our mine expansion, exploration will continue to be a key focus.'
NAP's $15 million 2010 exploration program at LDI initially included 53,000 metres of drilling aimed at expanding the size of the Offset and Roby zones, increasing the grade of the Offset Zone mineralization and exploring the West Pit and other surface areas. Following the exploration success from the first tranche of drill results (20,500 metres) that were released on June 7, 2010, the Company has completed a further 35,000 metres of drilling, for a total of approximately 55,000 metres. Exploration at LDI is ongoing, expected to include approximately 7,000 more metres prior to year end.
Since the beginning of 2010 until October 1, 2010, five drills have
completed 148 holes at LDI, totaling 55,325 metres, of which:
-- 38 holes (8,925 metres) were completed from underground on the extension
of the Roby Zone;
-- 83 holes (36,355 metres) were completed on the Offset Zone including:
(i) Underground, on the upward extension of the Offset Zone (mine
elevation 4900 and higher - 'Upper Offset Zone');
(ii) On the Central Offset Zone to complete the previous drilling
pattern and to follow its northern extension; and
(ii) From surface with directional drilling, with the first deep holes
into the Lower Offset Zone (mine elevation 4650 and lower);
-- 6 holes (5,740 metres) were completed from surface on the new south-east
zone (the Sheriff Zone); and
-- 10 holes (4,305 metres) were completed from surface on the Creek Zone
and West Pit Area.
Complete drill results are included in the appendix of this news release. Elevations referred to in this news release are presented in the mine grid in Figure 1, and the drill locations are presented in Figure 2, available online at NAP's website at www.nap.com/explore_ldi.htm.
Roby Zone Extension
As announced in the last exploration update (see June 7, 2010 news release), the 2010 underground drill campaign extended the Roby Zone by approximately 100 metres north and at depth. The encountered mineralized area is located immediately adjacent to the underground infrastructure that is currently utilized for production from the Roby Zone, which is presently mined at a rate of 2,600 tonnes per day. Additional drilling tested the limit of the extension and mine planning is underway to access the area.
Some of the most encouraging new drill results include:
--------------------------------------------------------
Hole Length of Intersection Grade (g/t Pd)
--------------------------------------------------------
10-161 17 metres 11.1
--------------------------------------------------------
Including 3 metres 36.5
--------------------------------------------------------
Including 3 metres 10.9
--------------------------------------------------------
10-162 3 metres 9.2
--------------------------------------------------------
The Sheriff Zone
NAP is pleased to announce the discovery of a new underground mineralized zone (the Sheriff Zone) that was intersected during the Company's surface directional drilling campaign. The Sheriff Zone is located sub-parallel to the Offset Zone and approximately 100 metres south east of the Offset Zone.
In March 2010, while awaiting the advance of the development ramp into the Offset Zone (which now allows for further infill drilling from underground), the Company commenced a surface directional drilling campaign with two drills. The objective was to drill deep holes around the 4450-4650 elevation of the Offset Zone. As previously announced in the June 7, 2010 news release, hole 10-501 (which was originally targeting the south part of the Offset Zone) intersected an unknown 8-metre interval commencing at 701 metres down hole. A second directional hole (10-502) intersected the same mineralized area at 703 metres. Subsequently, additional drilling resulted in new intersections around this mineralized interval.
The table below sets out the drill results encountered on the Sheriff Zone
to date:
-----------------------------------------------------------
Hole Length of Intersection Grade (g/t Pd)
-----------------------------------------------------------
10-501(i) 8 metres 9.6
-----------------------------------------------------------
10-502(i) 5 metres 8.4
-----------------------------------------------------------
10-503 4 metres 7.5
-----------------------------------------------------------
10-006 3 metres 11.0
-----------------------------------------------------------
10-007 5 metres 3.5
-----------------------------------------------------------
10-010 7 metres 2.8
-----------------------------------------------------------
(i)Drill data from the first tranche of results, previously released on June
7, 2010.
More drilling is planned to establish the continuity and the positioning of this new and potentially economic zone, which remains open in all directions and has the potential to further extend LDI's mine life and improve the economics of the mine.
A visual of the Sheriff Zone trend is shown in Figure 3, available online at NAP's website at www.nap.com/explore_ldi.htm.
The Offset Zone
The Upper Offset Zone
As reported on June 7, 2010, the underground drilling extended the Upper Offset Zone approximately 50 metres higher on the 4950 elevation, where drilling encountered some of the best results to date. (This mineralized area was not included in the May 27, 2010 resource estimate.) Five holes (10-330 to 10-334) were drilled at elevation 4900 on 15-metre spacing. One of the most encouraging drill results released previously was hole 10-334, which intersected 11 metres grading 8.0 g/t Pd, including 5 metres at a grade of 13.1 g/t Pd.
During the second tranche of drilling, an underground drift was driven across the Offset Zone at elevation 4900 at the location of this reported drilling. The drift ore muck samples grade averaged 10.1 g/t Pd, and confirmed the values intersected in the drill holes. The 5,266 tonnes of Offset Zone's sill ore that were milled during the third quarter returned an average head grade of 9.37 g/t Pd.
'This is the first time that we could access the Offset Zone ore directly and the ore muck sample grade and mill results confirmed the drill predicted grade,' said Michel Bouchard, Vice President Exploration and Development.
NAP also continued to drill from the underground mine towards the 5000 elevation. The Offset Zone was intersected and still remains open towards surface. The holes were pushed on toward the west and some encountered the Cowboy Zone and the Outlaw Zone.
Some of the best results include:
------------------------------------------------------------------
Hole Length of Intersection Grade (g/t Pd) Location
------------------------------------------------------------------
10-672 8 metres 7.1 Offset Zone
------------------------------------------------------------------
5 metres 10.7 Cowboy Zone
------------------------------------------------------------------
6 metres 5.0 Outlaw Zone
------------------------------------------------------------------
10-313 4 metres 4.3 Offset Zone
------------------------------------------------------------------
4 metres 5.4 Cowboy Zone
------------------------------------------------------------------
10-675 33 metres 5.7 Offset Zone
------------------------------------------------------------------
Including 6 metres 10.3 Offset Zone
------------------------------------------------------------------
10-676 58 metres 3.6 Offset Zone
------------------------------------------------------------------
Including 7 metres 8.0 Offset Zone
------------------------------------------------------------------
10-680 8 metres 5.9 Offset Zone
------------------------------------------------------------------
Further drilling will continue to follow the upward extension of the Upper
Offset Zone, and to further delineate the Cowboy Zone.
The north extension of the upper part of the Offset Zone was drilled by the
600 series of holes. Some of the best results are:
--------------------------------------------------------------------------
Hole Length of Intersection Grade (g/t Pd) Location
--------------------------------------------------------------------------
10-610 23 metres 4.7 Offset Zone
--------------------------------------------------------------------------
Including 5 metres 9.4 Offset Zone
--------------------------------------------------------------------------
10-612 51 metres 3.3 Offset & Cowboy zones
--------------------------------------------------------------------------
Including 13 metres 6.7 Offset Zone
--------------------------------------------------------------------------
Including 7 metres 9.9 Offset Zone
--------------------------------------------------------------------------
Including 6 metres 5.6 Cowboy Zone
--------------------------------------------------------------------------
10-615 24 metres 4.9 Offset Zone
--------------------------------------------------------------------------
Including 9 metres 6.2 Offset Zone
--------------------------------------------------------------------------
10-618 31 metres 5.1 Offset Zone
--------------------------------------------------------------------------
Including 7 metres 10.0 Offset Zone
--------------------------------------------------------------------------
10-621 35 metres 4.9 Offset Zone
--------------------------------------------------------------------------
Including 9 metres 8.0 Offset Zone
--------------------------------------------------------------------------
Including 6 metres 6.6 Offset Zone
--------------------------------------------------------------------------
10-623 40 metres 4.5 Offset Zone
--------------------------------------------------------------------------
Including 12 metres 8.8 Offset Zone
--------------------------------------------------------------------------
10-624 36 metres 5.6 Offset Zone
--------------------------------------------------------------------------
Including 5 metres 14.1 Offset Zone
--------------------------------------------------------------------------
The results indicate that the north extension of the Offset Zone and Cowboy Zone are still open.
A visual of the Upper Offset Zone cross-section is shown in Figure 4, available online at NAP's website at www.nap.com/explore_ldi.htm.
Directional Drilling of the Offset Zone
The two surface directional drills were aimed at below elevation 4500 in the
north part (holes 10-551 to 10-554) of the Offset Zone, and at the middle
elevations (4650) in the south part (holes 10-501 to 10-505) of the Offset
Zone.
The following intersections were encountered in the north area:
----------------------------------------------------------------------------
Hole Length of Intersection Grade (g/t Pd) Location
----------------------------------------------------------------------------
10-552 Offset, Cowboy &
122 metres 4.4 possibly Outlaw zones
----------------------------------------------------------------------------
Including 12 metres 11.6 Offset Zone
----------------------------------------------------------------------------
Including 6 metres 6.9 Cowboy Zone
----------------------------------------------------------------------------
Including 9 metres 7.5 Possibly Outlaw Zone
----------------------------------------------------------------------------
10-553 24 metres 5.0 Offset Zone
----------------------------------------------------------------------------
Including 5 metres 9.6 Offset Zone
----------------------------------------------------------------------------
Including 17 metres 4.7 Cowboy Zone
----------------------------------------------------------------------------
Including 6 metres 7.5 Cowboy Zone
----------------------------------------------------------------------------
10-554 24 metres 5.2 Offset Zone
----------------------------------------------------------------------------
Including 7 metres 8.2 Offset Zone
----------------------------------------------------------------------------
Including 2 metres 5.9 Cowboy Zone
----------------------------------------------------------------------------
Holes 10-552 to 10-554 intersected the Offset and Cowboy zones between elevations 4450 and 4225, the latter being the actual bottom of the resource calculation of the Offset Zone. Resources in that area were classified as inferred resources. Hole 10-554 is located at elevation 4225, the bottom limit of the resource calculation. It demonstrates, like the two other holes, that the Offset and Cowboy zones are robust and completely open at depth and sideways.
In the south area, directional holes 10-503, 10-504 and 10-505 also intersected the Offset Zone. The Offset Zone in that area is wide (hole 10-505 Offset Zone intersection is 51 metres in total) with higher grade sections of 7 metres of 5.0 g/t Pd (hole 10-505) and 5 metres of 5.6 g/t Pd (hole 10-504). These results also indicate that the Offset Zone there is completely open toward the south and at depth.
A visual of the deep Offset Zone looking east is shown in Figure 5, available online at NAP's website at www.nap.com/explore_ldi.htm.
West Pit Area
The 2010 surface drill program in the West Pit area of the LDI mine property followed up on the historic and previous drill results of the mineralized zones adjacent to the open pit. In 2009, 29 holes were drilled from within 150 metres of the west wall of the open pit and a total of 5 holes (over 1,257 metres) were completed in 2010. A thorough compilation of all geological and assay results from the last three years indicated that there is insufficient mineralization at this time to support the development of an open pit operation in that sector at current palladium prices. Some of the ore may be available for underground operations in the future.
Update on the Roby Zone Reserves and LDI Resources
The results reported today, along with the other 2010 results reported on June 7, 2010, are not incorporated in the resource update for the Offset Zone that was released on May 27, 2010, which only included results from the 2009 program and earlier drilling.
The Offset Zone resource number set out below are unchanged from the May 27, 2010 resource update. The next resource update for the Offset Zone, which will incorporate all of the 2010 drill results, is expected in the second quarter of 2011.
Following the re-start of mining operations during the second quarter of 2010 on the Roby Zone, NAP mandated URS/Scott Wilson to update the Roby resource classification into reserves for the NI 43-101 report, dated November 2, 2010.
Based on this estimation, the Company has calculated contained metal for the measured and indicated resources is equivalent to 3,396,000 ounces of palladium, and that contained metal for the inferred resource category is equivalent to 608,000 ounces of palladium. The NI 43-101 technical report will be filed on SEDAR in the coming weeks.
The following tables present the new classifications of the reserves and resources at LDI based on the new NI 43-101 report:
Table 1: Roby Zone Underground Reserves - Lac des Iles Mine
----------------------------------------------------------------------------
Location Tonnes Pd Pt Au Cu Ni
(000's) (g/t) (g/t) (g/t) (%) (%)
----------------------------------------------------------------------------
Reserve
----------------------------------------------------------------------------
Proven 480 5.80 0.33 0.20 0.041 0.052
----------------------------------------------------------------------------
Probable 1,209 6.43 0.38 0.30 0.065 0.074
----------------------------------------------------------------------------
Proven & Probable 1,689 6.25 0.37 0.27 0.058 0.068
----------------------------------------------------------------------------
Notes:
1. CIM definitions were followed for the estimation of Mineral Reserves.
2. Mineral Reserves for the underground Roby Zone were estimated at a
cut-off grade of 4.5 g/t Pd.
3. Metal price assumptions of US$375/oz palladium, US$1,500/oz platinum,
US$900/oz gold,US$7.00/lb nickel, and US$2.50/lb copper were used in
the estimation of cut-off grade. A US$/C$ exchange rate of 1.11 was
used.
4. Variable dilution has been applied according to anticipated over-break
on footwall or hanging wall, and to the location of stopes with
respect to hanging wall structures that affect over-break.
5. Mining extraction for the crown pillar is 100%. For Roby Zone stopes,
extraction is 95%.
The resources of the Offset Zone were estimated by URS/Scott Wilson,
published on May 27, 2010, and remain unchanged until the 2010 drilling can
be incorporated. Other resources have been reviewed and updated by URS/Scott
Wilson.
Table 2: Mineral Resource Summary - Lac des Iles Mine
----------------------------------------------------------------------------
Location Tonnes Pd Pt Au Cu Ni
(000's) (g/t) (g/t) (g/t) (%) (%)
----------------------------------------------------------------------------
Measured Resources
----------------------------------------------------------------------------
Open Pit 3,722 1.99 0.23 0.17 0.08 0.07
----------------------------------------------------------------------------
Stockpiles 747 1.89 0.19 0.16 0.06 0.08
----------------------------------------------------------------------------
Total Measured 4,469 1.97 0.22 0.17 0.07 0.07
----------------------------------------------------------------------------
Indicated Resources
----------------------------------------------------------------------------
Open Pit 2,565 2.20 0.24 0.18 0.08 0.07
----------------------------------------------------------------------------
RGO Stockpiles 13,365 0.97 0.12 0.08 0.03 0.06
----------------------------------------------------------------------------
Roby Zone Underground 3,144 7.62 0.44 0.33 0.06 0.08
----------------------------------------------------------------------------
Offset Zone Underground 8,628 6.29 0.42 0.40 0.11 0.14
----------------------------------------------------------------------------
Total Indicated 27,702 3.50 0.26 0.22 0.06 0.09
----------------------------------------------------------------------------
Total M&I Resources 32,171 3.28 0.26 0.21 0.06 0.08
----------------------------------------------------------------------------
Inferred Resources
----------------------------------------------------------------------------
Offset Zone Underground 3,322 5.70 0.35 0.23 0.07 0.10
----------------------------------------------------------------------------
Notes:
1. CIM definitions were followed for the estimation of Mineral
Resources.
2. MineralResources are inclusive of Mineral Reserves, which are
contained in theRoby Zone underground mine.
3. MineralResource cut-off grades were estimated for a 14,000 tpd
production scenario.Open pit and RGO stockpile resources are not
economic at the currentproduction rate.
4. Open PitMineral Resources were estimated at a pit discard cut-off
grade of 1.8 g/tpalladium equivalent (PdEq), within an optimized pit
shell. Additionalmineralization is present outside of the pit shell.
5. MineralResources in stockpiles were estimated at a cut-off grade of
1.9 g/t PdEq.
6. MineralResources for the Roby Zone underground mine were estimated
at a cut-offgrade of 5.8 g/t PdEq.Resources include sill, rib, and
crown pillars.
7. MineralResources for the underground Offset Zone were estimated at a
cut-offgrade of 4.0 g/t Pd (6.0 g/t PdEq).
8. PdEqfactors were calculated separately for each area, based on
operating costand metallurgical performance estimates appropriate
for those areas.
9. Metalprice assumptions of US$350/oz palladium, US$1,400/oz platinum,
US$850/ozgold, US$6.50/lb nickel, and US$2.00/lb copper were used in
the estimationof PdEq and cut-off grade. A US$/C$ exchange rate of
1.11 was used. Forthe Offset Zone, metal price basis is: US$400/oz
Pd; US$1,400/ozPt;US$1,000/oz Au; US$3.00/lb Cu; US$8.50/lb Ni;
US$20/lb Co. Exchangerate is 1.11 US$/C$.
10. Effective dates are variable for the variousareas of Mineral
Resources.
Technical Information and Qualified Persons
The assay analyses performed during NAP's drill programs are subject to a formal quality assurance and quality control (QA/QC) program. Diamond drill core is logged and sampled on site and at the Company's exploration office in Thunder Bay with sample transport by the Company and Courtesy Courier to Activation Laboratories Ltd. (Thunder Bay and Ancaster), an independent accredited laboratory, for assay analysis. Check assay analyses are carried out by SGS Minerals Services (Toronto), a laboratory that is also independent of the Company. The Company's exploration team designed and executed the drilling program under the supervision of Mr. Michel Bouchard, P. Geo., Vice President, Exploration and Development, a Qualified Person as defined by National Instrument 43-101, who has reviewed and approved the content of this news release.
URS/Scott Wilson QPs include Richard Routledge, M.Sc., P.Geo., Principal Geologist, for the mineral resource estimates, and Jason Cox, P.Eng., Supervisor of Mine Engineering, for the mineral reserve estimates.
About North American Palladium
NAP is a Canadian precious metals company focused on growing its production of palladium and gold in mining-friendly jurisdictions. The Company's flagship mine, Lac des Iles, is one of the world's two primary palladium producers. NAP also owns and operates the Sleeping Giant gold mine located in the prolific Abitibi region of Quebec. The Company has extensive landholdings adjacent to both its Lac des Iles and Sleeping Giant mines, and a number of exploration projects. NAP trades on the NYSE Amex under the symbol PAL and on the TSX under the symbol PDL.
Cautionary Note to U.S. Investors Concerning Estimates of Measured, Indicated and Inferred Resources
This press release uses the terms 'Measured', 'Indicated' and/or 'Inferred' Resources. United States investors are advised that while such terms are recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize them. 'Inferred Mineral Resources' have a great amount of uncertainty as to their existence, and as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Mineral Resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or any part of Measured or Indicated Mineral Resources will ever be converted into Mineral Reserves. United States investors are also cautioned not to assume that all or any part of an Inferred Mineral Resource exists, or is economically or legally mineable.
Cautionary Statement on Forward Looking Information
Certain information included in this press release, including any information as to our future exploration, financial or operating performance and other statements that express management's expectations or estimates of future performance, constitute 'forward-looking statements' within the meaning of the 'safe harbor' provisions of the United States Private Securities Litigation Reform Act of 1995 and Canadian securities laws. The words 'expect', 'believe', 'will', 'intend', 'estimate' and similar expressions identify forward-looking statements. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties, risks and contingencies, including the possibility that ramping-up operations at the Lac des Iles and Sleeping Giant mines to a steady-state may not proceed as planned, that other properties can be successfully developed, and that metal prices, foreign exchange assumptions and operating costs may differ from management's expectations. The Company cautions the reader that such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual financial results, performance or achievements of North American Palladium to be materially different from the Company's estimated future results, performance or achievements expressed or implied by those forward-looking statements and that the forward-looking statements are not guarantees of future performance. These statements are also based on certain factors and assumptions. For more details on these estimates, risks, assumptions and factors, see the Company's most recent Form 40-F/Annual Information Form on file with the U.S. Securities and Exchange Commission and Canadian provincial securities regulatory authorities. The Company disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, events or otherwise, except as expressly required by law. Readers are cautioned not to put undue reliance on these forward-looking statements.
Appendix:
ROBY ZONE
------------------------------------------------------------------------
Drill Hole From To Length Pd Pt Au Cu Ni Co
(m) (m) (m) (g/t) (g/t) (g/t) (%) (%) (%)
------------------------------------------------------------------------
10-150 159 161 2 4.39 0.27 0.07 0.002 0.034 0.004
------------------------------------------------------------------------
10-151 215 219 4 3.52 0.37 0.03 0.014 0.033 0.005
------------------------------------------------------------------------
10-152 NSA
------------------------------------------------------------------------
10-153 206 208 2 4.85 0.71 0.16 0.028 0.045 0.005
------------------------------------------------------------------------
10-154 NSA
------------------------------------------------------------------------
10-155 NSA
------------------------------------------------------------------------
10-156 197 198 1 10.10 0.38 0.10 0.002 0.044 0.004
------------------------------------------------------------------------
10-157 208 209 1 9.53 1.10 0.06 0.007 0.040 0.004
------------------------------------------------------------------------
10-158 236 238 2 9.82 1.43 0.04 0.003 0.028 0.004
------------------------------------------------------------------------
10-159 NSA
------------------------------------------------------------------------
10-160 111 116 5 5.27 0.34 0.03 0.027 0.052 0.006
------------------------------------------------------------------------
10-161 144 161 17 11.12 0.66 0.26 0.019 0.047 0.005
------------------------------------------------------------------------
Including 148 151 3 36.50 2.17 0.73 0.033 0.050 0.005
-------------------------------------------------------------
156 159 3 10.97 0.58 0.43 0.030 0.063 0.004
------------------------------------------------------------------------
10-162 114 118 4 5.67 0.49 0.17 0.004 0.033 0.003
------------------------------------------------------------------------
10-162 177 180 3 9.21 0.60 0.30 0.017 0.051 0.005
------------------------------------------------------------------------
10-163 156 158 2 5.17 0.51 0.04 0.004 0.036 0.003
------------------------------------------------------------------------
10-164 139 146 7 3.48 0.27 0.02 0.003 0.045 0.005
------------------------------------------------------------------------
10-164 166 170 4 3.65 0.24 0.06 0.017 0.048 0.006
------------------------------------------------------------------------
10-165 NSA
------------------------------------------------------------------------
10-166 153 157 4 4.65 0.23 0.06 0.005 0.037 0.004
------------------------------------------------------------------------
10-166 162 166 4 4.47 0.36 0.03 0.003 0.027 0.004
------------------------------------------------------------------------
SOUTH SURFACE DRILLING
----------------------------------------------------------------------------
Drill Hole From To Length Pd Pt Au Cu Ni Co
(m) (m) (m) (g/t) (g/t) (g/t) (%) (%) (%) Zone
----------------------------------------------------------------------------
10-006 471 475 4 3.79 0.52 0.23 0.176 0.140 0.008 Other
----------------------------------------------------------------------------
10-006 506 509 3 10.99 0.50 0.34 0.049 0.079 0.007 Sheriff Zone
----------------------------------------------------------------------------
10-006 1205 1207 2 6.55 0.69 0.46 0.124 0.127 0.006 Other
----------------------------------------------------------------------------
10-006 1244 1249 5 5.61 0.75 0.70 0.229 0.273 0.008 Offset Zone
----------------------------------------------------------------------------
10-006 1363 1367 4 3.12 0.42 0.25 0.114 0.130 0.008 Cowboy Zone
----------------------------------------------------------------------------
10-007 153 161 8 3.34 0.36 0.03 0.143 0.109 0.008 Other
----------------------------------------------------------------------------
10-007 170 178 8 3.52 0.32 0.02 0.110 0.120 0.007 Other
----------------------------------------------------------------------------
10-007 554 559 5 3.55 0.38 0.23 0.070 0.112 0.008 Sheriff Zone
----------------------------------------------------------------------------
10-007 730 776 46 3.04 0.35 0.33 0.074 0.100 0.008 Offset Zone
----------------------------------------------------------------------------
Including 751 757 6 5.02 0.54 0.59 0.115 0.141 0.009 Offset Zone
------------------------------------------------------------------
762 768 6 6.57 0.78 0.76 0.117 0.144 0.008 Cowboy Zone
----------------------------------------------------------------------------
10-008 416 419 3 4.70 0.47 0.31 0.132 0.123 0.009 Other
----------------------------------------------------------------------------
10-009 NSA
----------------------------------------------------------------------------
10-010 487 494 7 2.76 0.25 0.20 0.111 0.100 0.009 Sheriff Zone
----------------------------------------------------------------------------
10-011 Assays
Pending
----------------------------------------------------------------------------
UPPER OFFSET ZONE
----------------------------------------------------------------------------
Drill Hole From To Length Pd Pt Au Cu Ni Co
(m) (m) (m) (g/t) (g/t) (g/t) (%) (%) (%) Zone
----------------------------------------------------------------------------
10-307 260 269 9 2.00 0.23 0.07 0.052 0.062 0.006 Twilight Zone
----------------------------------------------------------------------------
10-307 302 307 5 2.71 0.31 0.16 0.089 0.103 0.007 Offset Zone
----------------------------------------------------------------------------
10-307 329 334 5 3.73 0.41 0.22 0.096 0.103 0.006 Offset Zone
----------------------------------------------------------------------------
10-308 240 249 9 2.98 0.21 0.06 0.012 0.060 0.004 Offset Zone
----------------------------------------------------------------------------
10-308 256 261 5 3.96 0.37 0.39 0.166 0.156 0.008 Cowboy Zone
----------------------------------------------------------------------------
10-309 278 290 12 1.89 0.20 0.27 0.062 0.071 0.005 Offset Zone
----------------------------------------------------------------------------
10-310 283 291 8 2.98 0.31 0.17 0.063 0.090 0.005 Offset Zone
----------------------------------------------------------------------------
10-311 NSA
----------------------------------------------------------------------------
10-312 250 255 5 3.72 0.43 0.43 0.153 0.133 0.008 Offset Zone
----------------------------------------------------------------------------
10-312 270 276 6 5.66 0.63 0.66 0.210 0.200 0.011 Cowboy Zone
----------------------------------------------------------------------------
10-313 260 264 4 4.28 0.50 0.17 0.072 0.090 0.007 Offset Zone
----------------------------------------------------------------------------
10-313 300 304 4 5.44 0.55 0.28 0.113 0.153 0.007 Cowboy Zone
----------------------------------------------------------------------------
OFFSET ZONE (UPPER NORTH)
----------------------------------------------------------------------------
Drill Hole From To Length Pd Pt Au Cu Ni Co
(m) (m) (m) (g/t) (g/t) (g/t) (%) (%) (%) Zone
----------------------------------------------------------------------------
10-600 168 189 21 2.04 0.15 0.05 0.034 0.064 0.005 Missed (1)
----------------------------------------------------------------------------
10-601 166 197 31 3.74 0.26 0.27 0.080 0.113 0.006 Offset Zone
----------------------------------------------------------------------------
Including 168 175 7 5.19 0.29 0.33 0.105 0.119 0.006 Offset Zone
---------------------------------------------------------------
180 187 7 5.16 0.39 0.30 0.083 0.128 0.006 Offset Zone
----------------------------------------------------------------------------
10-602 130 138 8 5.61 0.34 0.35 0.070 0.117 0.007 Offset Zone
----------------------------------------------------------------------------
10-602 166 185 19 3.34 0.28 0.29 0.129 0.179 0.006 Cowboy Zone
----------------------------------------------------------------------------
10-603 NSA Missed (1)
----------------------------------------------------------------------------
10-604 125 139 14 3.31 0.22 0.11 0.091 0.111 0.007 Offset Zone
----------------------------------------------------------------------------
10-610 126 149 23 4.68 0.31 0.28 0.093 0.129 0.006 Offset Zone
----------------------------------------------------------------------------
Including 135 140 5 9.35 0.56 0.47 0.171 0.202 0.007 Offset Zone
----------------------------------------------------------------------------
10-611 127 156 29 4.21 0.27 0.38 0.097 0.160 0.007 Offset Zone
----------------------------------------------------------------------------
Including 128 131 3 7.53 0.41 0.60 0.085 0.160 0.008 Offset Zone
----------------------------------------------------------------------------
10-612 142 193 51 3.25 0.22 0.26 0.091 0.104 0.005 Offset Zone
----------------------------------------------------------------------------
Including 142 155 13 6.74 0.36 0.46 0.097 0.142 0.006 Offset Zone
---------------------------------------------------------------
148 155 7 9.92 0.50 0.66 0.141 0.198 0.007 Offset Zone
---------------------------------------------------------------
162 168 6 5.64 0.39 0.48 0.117 0.133 0.005 Cowboy Zone
----------------------------------------------------------------------------
10-613 105 132 27 3.83 0.26 0.33 0.059 0.098 0.006 Offset Zone
----------------------------------------------------------------------------
Including 105 112 7 8.24 0.51 0.78 0.100 0.169 0.008 Offset Zone
----------------------------------------------------------------------------
10-614 127 156 29 3.48 0.23 0.22 0.071 0.113 0.006 Offset Zone
----------------------------------------------------------------------------
Including 133 139 6 5.57 0.36 0.39 0.110 0.173 0.006 Offset Zone
---------------------------------------------------------------
151 156 5 5.47 0.37 0.19 0.076 0.125 0.005 Cowboy Zone
----------------------------------------------------------------------------
10-615 134 158 24 4.94 0.32 0.19 0.081 0.133 0.006 Offset Zone
----------------------------------------------------------------------------
Including 149 158 9 6.22 0.40 0.18 0.076 0.161 0.006 Offset Zone
----------------------------------------------------------------------------
10-616 123 148 25 3.25 0.21 0.26 0.055 0.100 0.006 Offset Zone
----------------------------------------------------------------------------
Including 128 134 6 5.57 0.33 0.38 0.054 0.102 0.005 Offset Zone
----------------------------------------------------------------------------
10-618 127 158 31 5.12 0.33 0.26 0.080 0.117 0.006 Offset Zone
----------------------------------------------------------------------------
Including 130 137 7 10.01 0.64 0.56 0.135 0.155 0.008 Offset Zone
----------------------------------------------------------------------------
10-620 136 184 48 3.75 0.25 0.31 0.084 0.114 0.006 Offset Zone
----------------------------------------------------------------------------
Including 147 157 10 6.20 0.36 0.44 0.103 0.156 0.006 Offset Zone
----------------------------------------------------------------------------
10-621 144 179 35 4.94 0.30 0.32 0.081 0.123 0.006 Offset Zone
----------------------------------------------------------------------------
Including 144 153 9 8.01 0.44 0.52 0.082 0.128 0.007 Offset Zone
---------------------------------------------------------------
172 178 6 6.57 0.42 0.37 0.112 0.170 0.006 Offset Zone
----------------------------------------------------------------------------
10-622 153 162 9 3.05 0.22 0.47 0.107 0.115 0.006 Missed (1)
----------------------------------------------------------------------------
10-623 133 173 40 4.52 0.29 0.30 0.083 0.120 0.007 Offset Zone
----------------------------------------------------------------------------
Including 134 146 12 8.82 0.51 0.45 0.104 0.145 0.008 Offset Zone
----------------------------------------------------------------------------
10-624 141 177 36 5.62 0.35 0.39 0.077 0.127 0.007 Offset Zone
----------------------------------------------------------------------------
Including 145 150 5 14.14 0.76 1.06 0.142 0.187 0.007 Offset Zone
----------------------------------------------------------------------------
10-625 145 172 27 3.56 0.24 0.37 0.089 0.113 0.006 Offset Zone
----------------------------------------------------------------------------
Including 145 153 8 5.17 0.33 0.29 0.066 0.100 0.005 Offset Zone
---------------------------------------------------------------
214 219 5 3.92 0.84 0.14 0.059 0.093 0.005 Cowboy Zone
----------------------------------------------------------------------------
10-626 NSA Missed (1)
----------------------------------------------------------------------------
10-627 171 182 11 5.02 0.31 0.23 0.069 0.088 0.006 Offset Zone
----------------------------------------------------------------------------
10-628 Assays
Pending
----------------------------------------------------------------------------
1. Missed zone, north of wireframe and Offset fault
OFFSET ZONE (UPPER)
----------------------------------------------------------------------------
Drill Hole From To Length Pd Pt Au Cu Ni Co
(m) (m) (m) (g/t) (g/t) (g/t) (%) (%) (%) Zone
----------------------------------------------------------------------------
10-670 227 236 9 3.95 0.41 0.07 0.022 0.070 0.005 Offset Zone
----------------------------------------------------------------------------
10-672 143 151 8 7.14 0.47 0.29 0.087 0.120 0.009 Offset Zone
----------------------------------------------------------------------------
10-672 166 171 5 10.71 0.58 0.47 0.114 0.127 0.009 Cowboy Zone
----------------------------------------------------------------------------
10-672 196 202 6 4.96 0.28 0.05 0.013 0.059 0.004 Outlaw Zone
----------------------------------------------------------------------------
10-673 NSA Missed (2)
----------------------------------------------------------------------------
10-674 NSA Missed (2)
----------------------------------------------------------------------------
10-675 161 194 33 5.65 0.41 0.34 0.115 0.133 0.007 Offset Zone
----------------------------------------------------------------------------
Including 162 168 6 10.35 0.54 0.44 0.113 0.151 0.009 Offset Zone
----------------------------------------------------------------------------
10-676 141 199 58 3.56 0.28 0.23 0.088 0.114 0.007 Offset Zone
----------------------------------------------------------------------------
Including 143 150 7 8.02 0.47 0.34 0.083 0.145 0.007 Offset Zone
----------------------------------------------------------------------------
10-677 NSA Missed (2)
----------------------------------------------------------------------------
10-678 NSA Missed (2)
----------------------------------------------------------------------------
10-679 NSA Missed (2)
----------------------------------------------------------------------------
10-680 106 114 8 5.94 0.38 0.04 0.078 0.138 0.008 Offset Zone
----------------------------------------------------------------------------
10-681 Assays
Pending
----------------------------------------------------------------------------
2. Missed zone, up-section from wireframe
DIRECTIONAL DRILLING ON OFFSET ZONE (SOUTH)
----------------------------------------------------------------------------
Drill Hole From To Length Pd Pt Au Cu Ni Co
(m) (m) (m) (g/t) (g/t) (g/t) (%) (%) (%) Zone
----------------------------------------------------------------------------
10-503 0 4 4 7.53 0.38 0.52 0.105 0.096 0.005 Other
----------------------------------------------------------------------------
10-503 296 308 12 2.29 0.29 0.08 0.061 0.084 0.007 Other
----------------------------------------------------------------------------
10-503 328 336 8 2.75 0.35 0.15 0.134 0.128 0.009 Other
----------------------------------------------------------------------------
10-503 451 462 11 3.97 0.54 0.35 0.093 0.114 0.006 Offset Zone
----------------------------------------------------------------------------
10-503 470 491 21 2.59 0.32 0.17 0.067 0.089 0.005 Offset Zone
----------------------------------------------------------------------------
10-504 1155 1206 51 2.50 0.32 0.22 0.069 0.084 0.005 Offset Zone
----------------------------------------------------------------------------
Including 1157 1162 5 5.55 0.50 0.61 0.112 0.129 0.007 Offset Zone
-----------------------------------------------------------------
1186 1191 5 4.69 0.56 0.38 0.112 0.150 0.007 Offset Zone
----------------------------------------------------------------------------
10-505 200 255 55 2.22 0.26 0.17 0.074 0.086 0.007 Offset Zone
----------------------------------------------------------------------------
Including 202 209 7 5.01 0.52 0.28 0.110 0.116 0.008 Offset Zone
----------------------------------------------------------------------------
10-506 Called
short
----------------------------------------------------------------------------
10-507 1234 1244 10 4.77 0.32 0.26 0.067 0.088 0.007 Offset Zone
----------------------------------------------------------------------------
DIRECTIONAL DRILLING ON OFFSET ZONE (DEEP)
----------------------------------------------------------------------------
Drill Hole From To Length Pd Pt Au Cu Ni Co
(m) (m) (m) (g/t) (g/t) (g/t) (%) (%) (%) Zone
----------------------------------------------------------------------------
10-552 612 734 122 4.38 0.31 0.39 0.113 0.147 0.007 Offset Zone
----------------------------------------------------------------------------
Including 619 631 12 11.58 0.88 0.92 0.149 0.236 0.010 Offset Zone
-----------------------------------------------------------------
661 667 6 6.91 0.36 0.23 0.051 0.119 0.008 Cowboy Zone
-----------------------------------------------------------------
709 718 9 7.46 0.56 0.61 0.139 0.164 0.006 Cowboy Zone
----------------------------------------------------------------------------
10-553 1500 1524 24 5.00 0.34 0.38 0.091 0.120 0.007 Offset Zone
----------------------------------------------------------------------------
Including 1504 1509 5 9.55 0.60 0.59 0.127 0.151 0.007 Offset Zone
----------------------------------------------------------------------------
10-553 1543 1560 17 4.69 0.33 0.16 0.055 0.100 0.005 Cowboy Zone
----------------------------------------------------------------------------
Including 1545 1551 6 7.50 0.48 0.23 0.068 0.139 0.005 Cowboy Zone
----------------------------------------------------------------------------
10-554 719 743 24 5.20 0.34 0.38 0.086 0.117 0.006 Offset Zone
----------------------------------------------------------------------------
Including 719 726 7 8.20 0.58 0.56 0.108 0.113 0.008 Offset Zone
----------------------------------------------------------------------------
10-554 788 790 2 5.91 0.63 0.43 0.235 0.204 0.007 Cowboy Zone
----------------------------------------------------------------------------
Notes:
NSA: no significant assays
Other: zones that cannot be interpreted with certainty
To view the attached maps, please visit the following links:
http://media3.marketwire.com/docs/fig1pdl1117.pdf
http://media3.marketwire.com/docs/fig2pdl1117.pdf
http://media3.marketwire.com/docs/fig3pdl1117.pdf
http://media3.marketwire.com/docs/fig4pdl1117.pdf
http://media3.marketwire.com/docs/fig5pdl1117.pdf
Contacts:
North American Palladium Ltd.
Camilla Bartosiewicz
Manager, Investor Relations and Corporate Communications
416-360-7590 Ext. 7226
camilla@nap.com
North American Palladium Ltd.
Michel Bouchard
Vice President, Exploration & Development
416-360-7590
mbouchard@nap.com