North American Palladium Ltd.
TSX : PDL
AMEX : PAL
TSX : PDL.WT
AMEX : PAL.WS

North American Palladium Ltd.

April 29, 2008 15:56 ET

North American Palladium Releases Infill Drilling Results for Offset High Grade Zone

TORONTO, ONTARIO--(Marketwire - April 29, 2008) - North American Palladium Ltd. (TSX:PDL)(TSX:PDL.WT)(AMEX:PAL)(AMEX:PAL.WS) is pleased to announce results from an infill drilling program for the Offset High Grade Zone ("OHGZ") located at its Lac des Iles mine near Thunder Bay, Ontario. A total of 44 drill holes, totaling 20,984 metres, were completed as part of this program. This drilling program was carried out from the Lac des Iles underground mine and targeted the upper portion of the OHGZ to a vertical depth of approximately 890 metres below surface.

The primary deposit at the Company's Lac des Iles property is the Roby Zone, a disseminated magmatic nickel-copper-PGM deposit. The OHGZ is believed to be the fault displaced continuation of the Roby Zone mineralization and is located below and approximately 250 meters to the west of the Roby Zone. A mineral resource estimate for the OHGZ was prepared by Scott Wilson Roscoe Postle Associates ("RPA") in October 2007 (see press release dated April 2, 2007). The report showed that the OHGZ has significantly more mineral resources than the current underground mine at similar grades, while still being open along strike to the north, south and at depth.

The objective of this drilling campaign was to increase the confidence level in the upper portion of the OHGZ and to upgrade a portion of the inferred mineral resources to the measured and indicated categories. RPA has been retained to update the mineral resources on this portion of the zone. A surface diamond drill program is also being carried out to determine the outer limits of OHGZ mineralization.

Mr. Jim Excell, President and CEO said: "The grades and widths of the mineralization from this infill drilling program continue to support our view of the long term prospects for underground mining at Lac des Iles. A scoping study examining the economic viability of several exploitation scenarios for the OHGZ is nearing completion and the results will be released shortly."



Table 1: 2007 Drilling Results, Offset Zone Infill Drilling(1)

---------------------------------------------------------------------
Hole ID From To Length Est. True
(m) (m) (m) Width
(m)
---------------------------------------------------------------------
07-001 273.00 293.00 20.00 16.0
inc 273.00 275.00 2.00
---------------------------------------------------------------------
07-002 313.00 334.00 21.00 13.7
incl. 325.00 330.00 5.00
and 355.00 364.00 9.00 5.4
---------------------------------------------------------------------
07-003 377.00 480.00 103.00 58.0
incl. 379.00 397.00 18.00
and 427.00 448.00 21.00
and 473.00 480.00 7.00
---------------------------------------------------------------------
07-004 445.00 448.60 3.60 2.5
and 483.57 500.00 16.43 11.3
---------------------------------------------------------------------
07-005 279.85 294.15 14.30 11.5
incl. 281.00 285.00 4.00
---------------------------------------------------------------------
07-006 305.80 336.00 30.20 20.3
inc 314.00 323.65 9.65
---------------------------------------------------------------------
07-007 350.00 373.00 23.00 15.3
inc 362.00 367.00 5.00
---------------------------------------------------------------------
07-008 410.00 432.00 22.00 12.4
incl. 410.00 419.00 9.00
And 426.00 432.00 6.00
---------------------------------------------------------------------
07-012 286.00 290.10 4.10 3.6
---------------------------------------------------------------------
07-015 304.60 316.80 12.20 10.0
---------------------------------------------------------------------
07-017 374.30 431.40 57.10 36.8
incl. 374.30 395.00 20.70
and 407.00 410.00 3.00
---------------------------------------------------------------------
07-018 244.00 257.00 13.00 9.0
inc 253.00 257.00 4.00
---------------------------------------------------------------------
07-019 377.20 394.00 16.80 13.0
incl. 380.20 384.00 3.80
---------------------------------------------------------------------
07-020 417.00 425.00 8.00 7.0
---------------------------------------------------------------------
07-021 480.27 552.00 71.73 33.8
incl. 480.27 503.25 22.98
incl. 496.27 503.25 6.98
---------------------------------------------------------------------
07-022 414.00 460.80 46.80 29.0
incl. 414.00 425.80 11.80
and 491.00 500.00 9.00 5.6
---------------------------------------------------------------------
07-023 332.79 336.00 3.21 2.4
---------------------------------------------------------------------
07-024 373.15 378.00 4.85 3.3
and 398.00 405.00 7.00 4.8
---------------------------------------------------------------------
07-028 249.00 253.00 4.00
and 395.00 400.00 5.00 3.5
---------------------------------------------------------------------
07-029 438.00 449.00 11.00 7.1
and 489.00 504.00 15.00 9.7
---------------------------------------------------------------------
07-030 Encountered tonalite-did not intersect Offset Zone
---------------------------------------------------------------------
07-032 455.00 467.00 12.00 10.3
---------------------------------------------------------------------
07-034 393.00 402.80 9.80 8.6
Incl. 400.00 402.80 2.80
and 415.35 427.25 11.90 10.4
---------------------------------------------------------------------
07-035 439.20 441.15 1.95 1.6
---------------------------------------------------------------------
07-036 Encountered tonalite-did not intersect Offset Zone
---------------------------------------------------------------------
07-037 430.34 440.00 9.66 8.8
---------------------------------------------------------------------
07-041 393.00 397.00 4.00 2.1
and 452.00 467.00 15.00 7.7
---------------------------------------------------------------------
07-042 481.40 492.00 10.60 4.5
---------------------------------------------------------------------
07-043 408.00 415.00 7.00 6.2
incl. 410.00 413.00 3.00
---------------------------------------------------------------------
07-044 Encountered tonalite-did not intersect Offset Zone
---------------------------------------------------------------------
07-045 Encountered tonalite-did not intersect Offset Zone
---------------------------------------------------------------------
07-046 430.40 440.00 9.60 7.8
incl. 431.40 435.40 4.00
---------------------------------------------------------------------
07-047 466.00 473.00 7.00 4.0
---------------------------------------------------------------------
07-048 452.25 465.00 12.75 9.6
incl. 452.25 453.10 0.85
and 477.00 486.25 9.25 5.1
---------------------------------------------------------------------
07-049 432.50 481.00 57.50 35.5
incl. 441.30 462.00 20.70
and 468.00 476.00 8.00
---------------------------------------------------------------------
07-050 Encountered tonalite-did not intersect Offset Zone
---------------------------------------------------------------------



---------------------------------------------------------------------
Hole ID Pd, Pt, Pd Pt Ni Cu Au
Au (g/t) (g/t) (%) (%) (g/t)
(3E g/t)
---------------------------------------------------------------------
07-001 10.00 8.71 0.49 0.19 0.18 0.80
inc 29.48 26.66 1.10 0.19 0.11 1.72
---------------------------------------------------------------------
07-002 7.52 6.81 0.47 0.11 0.08 0.25
incl. 11.00 10.26 0.52 0.11 0.07 0.22
and 6.54 5.62 0.36 0.16 0.14 0.56
---------------------------------------------------------------------
07-003 6.76 5.97 0.41 0.15 0.12 0.37
incl. 14.68 13.57 0.73 0.14 0.11 0.37
and 8.58 7.46 0.51 0.20 0.16 0.61
and 9.90 8.97 0.69 0.13 0.09 0.24
---------------------------------------------------------------------
07-004 6.04 5.51 0.40 0.09 0.05 0.13
and 9.51 8.07 0.57 0.14 0.11 0.87
---------------------------------------------------------------------
07-005 10.16 9.42 0.52 0.18 0.11 0.22
incl. 20.03 18.82 0.87 0.19 0.14 0.35
---------------------------------------------------------------------
07-006 9.38 8.37 0.53 0.13 0.12 0.49
inc 14.40 13.04 0.69 0.13 0.11 0.68
---------------------------------------------------------------------
07-007 13.74 12.33 0.62 0.24 0.16 0.78
inc 29.69 26.67 1.12 0.48 0.36 1.90
---------------------------------------------------------------------
07-008 7.87 6.86 0.50 0.15 0.10 0.51
incl. 10.58 9.24 0.70 0.20 0.16 0.65
And 9.19 7.94 0.53 0.17 0.11 0.72
---------------------------------------------------------------------
07-012 4.85 3.87 0.43 0.22 0.23 0.55
---------------------------------------------------------------------
07-015 8.43 7.45 0.38 0.12 0.07 0.60
---------------------------------------------------------------------
07-017 6.84 6.16 0.36 0.13 0.07 0.31
incl. 9.12 8.30 0.49 0.15 0.05 0.34
and 12.63 11.60 0.67 0.20 0.10 0.33
---------------------------------------------------------------------
07-018 6.31 5.60 0.37 0.22 0.07 0.33
inc 9.32 8.21 0.46 0.29 0.12 0.64
---------------------------------------------------------------------
07-019 9.41 8.31 0.63 0.15 0.11 0.47
incl. 18.94 17.03 1.11 0.24 0.18 0.80
---------------------------------------------------------------------
07-020 6.55 5.83 0.43 0.12 0.07 0.29
---------------------------------------------------------------------
07-021 6.51 5.76 0.40 0.18 0.11 0.34
incl. 8.06 7.05 0.52 0.20 0.12 0.48
incl. 13.89 12.64 0.74 0.23 0.08 0.49
---------------------------------------------------------------------
07-022 7.06 6.03 0.49 0.13 0.14 0.54
incl. 8.45 7.26 0.58 0.11 0.11 0.61
and 9.30 8.55 0.45 0.06 0.06 0.29
---------------------------------------------------------------------
07-023 3.23 2.90 0.23 0.06 0.04 0.10
---------------------------------------------------------------------
07-024 8.58 6.78 1.19 0.16 0.19 0.61
and 7.32 6.37 0.57 0.12 0.09 0.38
---------------------------------------------------------------------
07-028 3.56 3.02 0.45 0.13 0.10 0.10
and 4.64 3.94 0.50 0.06 0.06 0.21
---------------------------------------------------------------------
07-029 8.91 7.80 0.59 0.11 0.10 0.53
and 7.45 6.69 0.43 0.11 0.08 0.33
---------------------------------------------------------------------
07-030 Encountered tonalite-did not intersect Offset Zone
---------------------------------------------------------------------
07-032 7.50 6.40 0.43 0.17 0.12 0.66
---------------------------------------------------------------------
07-034 9.29 8.59 0.41 0.13 0.13 0.28
Incl. 18.21 17.09 0.72 0.14 0.12 0.40
and 13.96 13.24 0.55 0.09 0.02 0.16
---------------------------------------------------------------------
07-035 16.72 15.35 0.89 0.08 0.06 0.48
---------------------------------------------------------------------
07-036 Encountered tonalite-did not intersect Offset Zone
---------------------------------------------------------------------
07-037 6.23 5.17 0.42 0.13 0.13 0.64
---------------------------------------------------------------------
07-041 3.20 2.75 0.37 0.04 0.02 0.08
and 6.76 6.03 0.47 0.10 0.10 0.26
---------------------------------------------------------------------
07-042 11.02 9.67 0.66 0.17 0.12 0.68
---------------------------------------------------------------------
07-043 10.76 9.86 0.60 0.09 0.09 0.30
incl. 18.60 17.29 0.85 0.10 0.09 0.46
---------------------------------------------------------------------
07-044 Encountered tonalite-did not intersect Offset Zone
---------------------------------------------------------------------
07-045 Encountered tonalite-did not intersect Offset Zone
---------------------------------------------------------------------
07-046 12.56 11.57 0.52 0.09 0.06 0.48
incl. 20.85 19.33 0.71 0.12 0.09 0.81
---------------------------------------------------------------------
07-047 3.85 3.15 0.43 0.10 0.12 0.28
---------------------------------------------------------------------
07-048 6.29 5.64 0.41 0.08 0.04 0.24
incl. 24.61 21.57 1.28 0.24 0.25 1.76
and 7.62 6.76 0.56 0.09 0.06 0.30
---------------------------------------------------------------------
07-049 7.09 5.76 0.77 0.20 0.20 0.56
incl. 9.47 7.59 1.04 0.26 0.28 0.83
and 8.59 6.93 0.90 0.27 0.27 0.76
---------------------------------------------------------------------
07-050 Encountered tonalite-did not intersect Offset Zone
---------------------------------------------------------------------
(1) A listing of the drill hole collar information and previously
released results (press release dated October 3, 2007) can be found
on North American Palladium's website at www.napalladium.com.


The assaying performed during this drilling campaign was subject to a formal quality assurance and quality control (QA/QC) program. Diamond drill core is logged and split on site with split samples transported by the Company to Accurassay Laboratories, an independent accredited laboratory located in Thunder Bay, for analysis. Approximately 10% of the analyzed samples are sent to and re-sampled by ALS Chemex, a laboratory that is also independent of the Company. The check samples are being analyzed by ALS Chemex using the same procedures employed by Accurassay. Ms. Krista Nelson, P.Geo, a geologist employed by North American Palladium, is the Qualified Person who supervises the QA/QC work carried out for the OHGZ drilling program. The design and execution of this drilling program was done by the company's exploration team under the supervision of Paul Nielsen, P.Geo, a Qualified Person, who has reviewed and approved the contents of this news release.

About North American Palladium

North American Palladium is one of North America's largest producers of palladium. The Company's core palladium business at the Lac des Iles mine is strengthened by a significant contribution from platinum, nickel, gold and copper by-product metals. The Company is actively progressing its three advanced exploration projects: the Offset High Grade Zone at its Lac des Iles Mine, the Shebandowan West Project, located approximately 100 kilometres from the mine, and the Arctic Platinum Project in Finland. Please visit www.napalladium.com for more information.

Forward-Looking Statements

Certain information included in this press release, including any information as to our future 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 and contingencies. These statements are based on certain factors and assumptions, including but not limited to, the assumption that market fundamentals will result in increased palladium demand and prices and sustained by-product metal demand and prices; the integrated operation of the Company's underground mine and the open pit mine remain viable operationally and economically; financing is available on reasonable terms; expectations for blended mill feed head grade and mill performance will proceed as expected; new mine plan scenarios will be viable operationally and economically; and plans for mill production, sustainable recoveries from the Lac des Iles mine, exploration at Lac des Iles and elsewhere will all proceed as expected. 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 risks, uncertainties and other factors include, but are not limited to: metal price volatility; economic and political events affecting metal supply and demand; changes in the regulatory environment; fluctuations in ore grade or ore tonnes milled; geological, technical, mining or processing problems; future production; changes in the life-of-mine plan or the ultimate pit design; availability and increasing costs associated with mining inputs and labour; the speculative nature of exploration and development, including the risks of diminishing quantities or grades of mineral reserves; adverse changes in our credit rating; and the risks involved in the exploration, development and mining business. These factors are discussed in greater detail in 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. Readers are cautioned not to put undue reliance on these forward-looking statements.

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