PAN AMERICAN SILVER CORP.

Pan American Silver Corp. is one of the world's leading primary silver producers, carrying out mining activities in Mexico, Peru, Argentina and Bolivia.

Pan American Silver enjoyed another record year in 2007 as it notched its thirteenth consecutive year of growth in silver production and increases in mine operating earnings and cash flow. The company produced 17.1 million ounces of silver in 2007 (a 31% increase over 2006) and expects to produce approximately 19.5 million ounces in 2008

Throughout 2007, Pan American significantly advanced the construction of its eighth mine, Manantial Espejo in Argentina, which was 58% complete at the end of 2007. The Company also increased its ownership in the silver-zinc San Vicente mine from 55% to 95% and at the same time announced a major expansion to fully develop the property's ore body. An extensive exploration drilling program at its Morococha and La Colorada operations contributed to the company's 7% increase in proven and probable reserves in 2007. Pan American expects to attain a production target of 25 million ounces/year from 8 producing mines by 2009.

Pan American's mission is to be the largest and lowest cost primary silver mining company globally, and to achieve this by constantly increasing its low cost silver production and silver reserves. Pan American has delivered 14 consecutive years of production growth and expects to continue this trend in 2008 as silver production is forecast to increase by 14% to 19.5 million ounces.