KELLOGG, IDAHO. New Jersey Mining Company (Symbol: NJMC - OTC Bulletin Board) has acquired the Silver Strand property from Trend Mining Company. The Silver Strand prospect is a unique gold-silver occurrence in the Revett formation near Coeur d'Alene, Idaho. The property consists of 16 unpatented lode claims in the Idaho Panhandle National Forest about 12 miles east of Coeur d'Alene, Idaho.

The agreement calls for New Jersey to issue 50,000 shares of restricted common stock now and spend $200,000 in work commitments over three years to receive 100% interest in Trend's 16 claims. Trend will retain a 1.5% Net Smelter Return (NSR) royalty capped at $50,000 at which time the NSR is reduced to 0.5%.

The Silver Strand occurrence was discovered relatively recently and was mined during the 1970's for siliceous smelter flux. Production was 12,500 tonnes grading 3.2 grams per tonne gold, 329 grams per tonne silver, and 87.1% silica. Developed ore reserves are 4,500 tonnes and probable ore reserves are 7,000 tonnes for a total of 11,500 tonnes grading 3.2 grams per tonne gold and 329 grams per tonne silver.

A diamond drilling program was conducted during 1997. Four holes were drilled totaling 793 meters and the mineralized quartz zone was intersected in three of the four holes with one hole stopping short of intersecting the quartz zone. Anomalous silver and gold values were sampled in the quartz replacement zone and in the altered wallrock. The large extent of the quartz replacement zone and the altered wallrock indicate that a strong hydrothermal system existed.

Management plans to begin the permitting process for the Silver Strand mine in order to mine the established reserves and transport the ore to the Company's New Jersey mill near Kellogg, Idaho for processing. Plans also include geophysical studies of the Silver Strand zone.

In other news, NJMC has become fully reporting with the SEC as required by the new rules of the OTC Bulletin Board. NJMC quarterly and annual reports can be found at the SEC's website. Considerable progress was made during the year on the new concentrator building which is now complete.

New Jersey Mining Company is developing the New Jersey mine in the Coeur d'Alene Mining District of North Idaho. To-date significant gold resources have been identified. New Jersey also owns part of the CAMP area, a silver prospective area near the Coeur and Galena mines.

Statements made which are not historical facts, such as anticipated payments, production, sales of assets, exploration results and plans, costs, prices or sales performance are ``forward-looking statements'' within the meaning of the Private Securities Litigation Reform Act of 1995, and involve a number of risks and uncertainties that could cause actual results to differ materially from those projected, anticipated, expected or implied. These risks and uncertainties include, but are not limited to, metals price volatility, volatility of metals production, market conditions and project development risks. Refer to the company's Form 10-Q and 10-K reports for a more detailed discussion of factors that may impact expected future results. The company undertakes no obligation and has no intention of updating forward-looking statements.