New Jersey Mining Company Silver Strand Update.

Business Editors

KELLOGG, Idaho--(BUSINESS WIRE)--Oct. 14, 2003

New Jersey Mining Company (OTCBB:NJMC) is currently planning for a seasonal underground mining operation at its Silver Strand gold and silver mine located near Coeur d'Alene, Idaho. The planned production rate is approximately 1,000 tonnes of ore per month which will be shipped for processing at the New Jersey mill in Kellogg, Idaho.

Startup of the Silver Strand operation is dependent upon completing the environmental permitting process with the U.S. Forest Service (USFS) and other relevant governmental agencies. A Plan of Operations was submitted in June 2003 and the USFS has retained a consultant who is currently performing the necessary field reviews. Public scoping is expected to begin in November. Management estimates that the permitting could be completed by mid-year 2004, but appeals by environmental groups could delay the process.

During the past year, NJMC has completed a drilling and sampling program at the Silver Strand mine which indicated the previously mined orebody extends to depth below the current workings and that the gold grade may be increasing at depth. Five holes were drilled at the Silver Strand and all five intercepted the orebody. The highlight of the program was DDH02-04 which hit 1.56 meters of 10.63 grams per tonne (gpt) gold (.310 ounces per ton) and 505.5 gpt of silver (14.75 ounces per ton). This intercept also contained 5% base metals (Copper + Zinc + Lead).

A channel sampling program was also completed where the vein is exposed on the No. 3 level as part of a resource calculation exercise. A mine-able oreshoot about 20 meters in length and 3 meters wide was outlined. The highlight of the channel sampling program was a one meter interval that assayed 11.20 gpt gold (0.327 opt) and 1810 gpt silver (52.8 opt). A reserve-resource calculation was completed by a registered professional geologist retained by the Company using the sampling and drilling data. Reserves were calculated using a cutoff grade of 5 gpt gold-equivalent and a minimum mining width of four feet. Reserve-resource data is presented in the Table below.

Silver Strand - Ore Resources


                                          Gold        Silver    Metric
                                          Grade        Grade    Tonnes
                                      ------------- ------------ -----
                                      Grams  Ounces Grams  Ounces
                                      Per    per    per    per
                                      Tonne  Ton    Tonne  Ton
----------------------------------------------------------------------
Proven & Probable                       5.43 0.158   361  10.53  6,903
----------------------------------------------------------------------
Mineralized  Material                   6.16 0.180   321   9.36 10,554
----------------------------------------------------------------------

Note that mineralized material category is not recognized by the U.S. Securities and Exchange Commission. Metallurgical tests indicate that flotation will recover about 80% of the gold and silver to a bulk sulfide concentrate. Preliminary economic terms have been received from a local smelter with respect to the purchase of the Silver Strand concentrates.

New Jersey Mining Company is involved in exploring for and developing gold, silver and base metal ore resources in the Coeur d'Alene Mining District of northern Idaho. The Company has a portfolio of six mineral properties in the Coeur d'Alene Mining District: the New Jersey mine, the Silver Strand mine, the Golden Chest mine, the Lost Eagle project, the CAMP project and the Wisconsin-Teddy project.

Disclaimer:

This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. Forward-looking statements are inherently subject to risks and uncertainties, many of which cannot be predicted with accuracy, and some of which might not even be anticipated.