North American Palladium Updates Resource Estimate for Offset Zone
Indicated Resource Grade Increases by 25%
TORONTO, May 27, 2010 – North American Palladium Ltd. (“NAP” or “the Company”) (TSX: PDL)
(NYSE Amex: PAL) today announced the results of an updated resource estimate for the Offset Zone at its Lac
des Iles (“LDI”) mine in Northern Ontario.
The updated resource estimate, prepared by Scott Wilson Roscoe Postle Associates Ltd (“Scott Wilson RPA”),
shows that the 2009 drill program, which consisted of 86 drill holes totaling 41,600 metres, achieved its objective
of significantly increasing the palladium grade in the Offset Zone. The indicated resource grade increased from
5.02 g/t Pd (the last published resource grade in March 2009) to 6.29 g/t Pd.
“Consistent with the exploration success we achieved last year, I am extremely pleased that our 2009 infilll drilling
on the Offset Zone resulted in a 25% grade increase for indicated resources,” said William J. Biggar, President
and CEO. “Contained mineralization for the Offset Zone, which is still open at depth and along strike, now
stands at 2.4 million ounces of palladium. As we progress this year with initial development of the Offset Zone by
constructing a $16 million ramp over a depth of 200 metres, we are encouraged that the increased resource
grade supports our plans to extend LDI’s mine life by potentially 10 years, at an annualized production rate in the
range of 250,000 ounces per year.”
The following mineral resource calculation uses a minimum 4 g/t Pd resource block cut-off:
Estimated Mineral Resources - Offset Zone, LDI Mine
This news release includes only the updated resource for the Offset Zone. This updated resource estimate does
not include drilling data from the Cowboy and Outlaw zones, as there is insufficient drill data at this time for a
resource estimate. The National Instrument 43-101 (“NI 43-101”) report, to be prepared by Scott Wilson
RPA, will include updated reserves a