NEWS RELEASE TRANSMITTED BY CANADIAN CORPORATE NEWS



FOR: NORTH AMERICAN PALLADIUM LTD

TSE SYMBOL:  PDL
NASDAQ SYMBOL:  PDLFC

SEPTEMBER 17, 1997

North American Palladium Ltd. Company Update

THUNDER BAY, ONTARIO--North American Palladium Ltd. ("NAP" or the 
"Corporation") announced today that the Capital Reorganization, 
voted upon today at the Special Meeting of Shareholders, has been 
approved by 91.77 percent of the minority of the common 
shareholders of Corporation.  Accordingly, the "Stock Purchase 
Transaction" will proceed and is scheduled to close on September 
18, 1997 in accordance with the terms and conditions of the Stock 
Purchase Agreement, as amended, and it is contemplated that 
subject to the terms and conditions of the letter agreement dated 
August 12, 1997 between North American Palladium Ltd. and 
Kaiser-Francis Oil Company the "Remaining Debt Transaction" will 
be consummated within the next three weeks but in any event on or 
before October 15, 1997. 

In updating the Shareholders present at the Special Meeting, Mr. 
Amsden, President and Director, stated that the first phase of the
Exploration Program of drilling five holes in "C" Zone has been 
completed.  Four of the holes intersected mineralization to depths
down to 750 feet with estimated true widths varying from 85 feet 
to 300 feet.  Ore grade mineralization, assays varying from 0.091 
to 0.294 oz/ton palladium over various widths, were intersected.  
The company is encouraged by these results but more drilling is 
required to develop additional ore reserves. 

-30-

FOR FURTHER INFORMATION PLEASE CONTACT:
North American Palladium Ltd.
Michael P. Amsden
President
(807) 345-4479
(807) 345-7796  (FAX)

---