NAP News Release - October
7, 2009
09-20-NAP
TSX: PDL, PDL.WT, PDL.WT.A
NYSE Amex: PAL, PAL.WS
NAP pours first gold at Sleeping Giant and eliminates royalty
Pictures from the gold pour are available on the Company's website:
www.nap.com.
Toronto, Ontario - North American Palladium Ltd. ("NAP")
poured its first gold bars at its Sleeping Giant mine on October 6, 2009, and
will now ramp up to a commercial production rate of 50,000 ounces of gold per
year during the fourth quarter of 2009.
"Becoming a gold producer is an important milestone in attaining
our vision of being a diversified precious metals company operating multiple
mines in mining friendly jurisdictions," said William J. Biggar, NAP's
President and Chief Executive Officer. "I'd like to congratulate and thank
our employees for successfully restarting the Sleeping Giant mine within our
seven-month timeframe and $7.5 million budget."
The Company also announced that it has exercised its right to buy back a
1% net smelter return royalty on the Sleeping Giant mine held by IAMGOLD
Corporation for $1 million.
NAP's 100% owned Sleeping Giant gold mine, located northwest of Val d'Or
in the prolific Abitibi region of Quebec, has a full complement of employees at
site. The Company also owns the nearby Discovery Project, the Dormex Property
and has a joint venture with Midland Exploration over the Laflamme Project.
North American Palladium:
Re-engineering the Future
North American Palladium is
a precious metals company that owns the Lac des Iles mine, which produced
platinum group metals for 15 years until October 2008 when it was placed on
temporary care and maintenance due to low metal prices. Prior to the temporary
shutdown, the mine had annual production of 270,000 ounces of palladium, 20,000
ounces of platinum and 20,000 ounces of gold. The Company also owns and
operates the Sleeping Giant gold mine located in the Abitibi region of Quebec,
which produced over 1 million ounces of gold from 1988-2008 at an average grade
of 11.44 g/t. North American Palladium expects commercial gold production to
resume in the fourth quarter of 2009 at an annual rate of 50,000 ounces. North
American Palladium benefits from operating in a politically stable jurisdiction
with developed infrastructure and a history of innovation and excellence in
mining.
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