October 3, 2001 Silver Standard has exercised its option to purchase the Candelaria silver mine near Hawthorne, Nevada, from Kinross Gold. Under revised terms for the purchase agreement, Silver Standard has made a CDN$100,000 cash payment, issued 600,000 units to Kinross and delivered a CDN$300,000 note payable in cash or stock that matures in 12 months. In other news, Silver Standard has commenced reverse circulation drilling of its high-grade Bluey's silver project in Northern Territory, Australia. The company also reports that a 5,000 metre diamond drilling program is now underway at the Manantial Espejo
silver-gold project in southern Argentina.