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North American Palladium Intends to Use Placement Proceedings to Explore Canadian Mines

North American Palladium Ltd. (TSX:PDL)(NYSE Amex:PAL) has completed its previously announced flow-through financing through which the Company sold 2,667,000 flow-through shares of NAP on a guaranteed basis at a price of C$8.25 per share.

The syndicate of underwriters was led by RBC Capital Markets and Scotia Capital Inc. and included Cormark Securities Inc., Stifel Nicolaus Canada Inc., Macquarie Capital Markets Canada Ltd., GMP Securities L.P., Haywood Securities Inc. and Octagon Capital Corporation.

The Company intends to use the proceeds from the Offering for exploration activities that will constitute Canadian exploration expenditures, a portion of which will qualify as "flow-through mining expenditures" as defined in the Income Tax Act (Canada).

The Flow-Through Shares have not been registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"), and may not be offered or sold in the United States or to "U.S. persons" as defined in Regulation S under the U.S. Securities Act. This press release does not constitute an offer to sell the Flow-Through Shares in the United States or to U.S. persons.

Source:

North American Palladium Ltd.

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