North American Palladium Ltd.

North American Palladium Ltd.

February 14, 2006 17:32 ET

North American Palladium's Announces the Return to Full Operations at the Lac des Iles Mine

TORONTO, ONTARIO--(CCNMatthews - Feb. 14, 2006) - North American Palladium Ltd. (TSX:PDL)(AMEX:PAL) is pleased to announce that crushing and milling operations at its Lac des Iles mine have been successfully restored.

The tailings leak, which occurred on February 4th, led to flooding of the milling and primary crusher areas and resulted in an initial shutdown of these operations. To remain in production, the mill was brought back online last Thursday, while portable crushing units in combination with the stockpile delivered throughput. The damage to the electrical switchgear at the primary crusher required that additional repairs had to be made, and the power was reconnected to the circuits late yesterday.

In making this announcement, Jim Excell, President and CEO, stated, "I am pleased to report that operations are back in full swing here at Lac des Iles and that there was no environmental impact as a result of the leak. Again, our team here has done an excellent job in managing this situation, while ensuring that the repair process was completed as quickly and seamlessly as possible."

North American Palladium's Lac des Iles Mine is Canada's only primary producer of platinum group metals and is one of the largest open pit bulk mineable palladium reserves in the world. The Company also earns substantial revenue from by-product nickel, platinum, gold and copper. In addition to operating Lac des Iles, the Company's mandate is to expand its production profile through an aggressive exploration campaign, designed to increase its exposure to base and precious metals. Palladium use in the auto industry continues to be an important component in controlling exhaust emissions as mandated by more stringent hydrocarbon emissions standards for cars, particularly in the United States, Europe and Japan. Palladium is also used in the dental, electronics, jewellery and chemical sectors.

Forward-Looking Statements - Certain statements included in this news release are forward-looking statements which are made pursuant to the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. When used herein, words such as "expect" and other similar expressions are intended to identify forward-looking statements. Such forward-looking statements involve inherent risks and uncertainties and are subject to factors, many of which are beyond our control that may cause actual results or performance to differ materially from those currently anticipated in such statements. See the Company's most recent Annual Information Form and Annual Report on Form 40-F on file with securities regulators for a comprehensive review of risk factors. 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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