Stillwater Mining Company Signs New PGM Supply Agreements

      BILLINGS, Mont., Aug. 29 /PRNewswire-FirstCall/ -- Stillwater Mining
Company (NYSE: SWC) announced today that it has amended the provisions of an
existing PGM supply agreement and has signed a new agreement with one of its
existing automotive industry customers extending a portion of Stillwater's sales
commitments through 2012.

      The terms of the new agreements include:

      --    Stipulated monthly delivery commitments for palladium and rhodium;

      --    Some sourcing flexibility for Stillwater on palladium and rhodium
            deliveries;

      --    A guaranteed minimum floor price on all sales of palladium under the
            agreement; and

      --    A customer discount off the prevailing market price on all sales
            above the floor price.

      The agreement also provides the customer with an opportunity to elect
increased delivery volumes of palladium and rhodium after 2010.

      Stillwater Mining Company is the only U.S. producer of palladium and
platinum and is the largest primary producer of platinum group metals outside of
the Republic of South Africa and the Russian Federation. The Company's shares
are traded on the New York Stock Exchange under the symbol SWC. Information on
Stillwater Mining can be found at its Website: http://www.stillwatermining.com.