VANCOUVER, British Columbia, April 11, 2019 (GLOBE NEWSWIRE) -- Sabina Gold & Silver Corp (SBB.T : SGSVF:OTCQX), (“Sabina” or the “Company”) is pleased to announce that the Goose Site has been successfully opened and crews are drilling at the Goose Property on its 100%-owned Back River gold project (“Back River” or the “Project”) in Nunavut, Canada.
Drilling has commenced on an approximate 8,000 meter spring drill program at the Goose Property. Work will focus on key areas of resource optimization in high grade zones at Llama and Umwelt underground and continued scoping of the newly discovered Nuvuyak zone (Figure 1).
“In 2018 we continued to be successful in demonstrating the potential for new discovery and possible high impact additions to future mine reserves at the Goose project,” stated Bruce McLeod, President and CEO. “Early indications point to the strong possibility of a significant new resource at Nuvuyak while drilling at the Llama extension zone shows the potential to greatly expand the concept of a future Llama underground which is not currently included in our initial development plan. It is our belief that we can continue to demonstrate the potential for future mine reserve growth by aggressively exploring along our better-known gold trends as well as the newly emerging gold trends we have been uncovering. We believe that the Goose Property presents considerable opportunity to become a very productive northern gold mine. The Goose Property makes up 8km of the 80km Back River District, 100% owned by Sabina.”
Spring Drilling Program
Nuvuyak Target
Drilling in 2018 resulted in the discovery of a new large-scale gold zone named “Nuvuyak”, highlighted by discovery hole 18GSE545 which returned 11.58 g/t over 39.50 m (See news release August 20, 2018). To date the Nuvuyak target has been tested over an approximate strike length of 200 metres. The target shows strong internal gold endowment and geologic similarities to other gold deposits including Llama, Umwelt and Goose Main. The Nuvuyak discovery remains open and untested in all directions. Drilling in 2019 will focus on continued scoping of size and grade continuity with step-outs, up and down plunge of the 2018 drilling.
Llama Extension
The Llama extension zone has now been drilled over 500 m down plunge of the currently defined Llama underground resource. Multiple high-grade intercepts, including drill hole 17GSE516B which returned 9.48 g/t Au over 38.55 m and drill hole 18GSE530 which returned 15.67 g/t Au over 23.25 m highlight the potential for high-grade mineral zones within the broader >500 m extension target area. Two initial drill holes have been planned to first, test the continuity of the gold structure and second, advance our understanding of the gold potential in the high value gold zones.
Vault Zone – Umwelt
Drilling in 2019 will continue to test the continuity of higher than average grade potential in the Umwelt underground area known as the “Vault” zone. Initial drill testing will commence with one hole, located approximately 150 meters north (or up-plunge) of the Vault zone, in an area that shows potential for thickened iron formation with higher gold grades. Additional areas will continue to be targeted based on the success of initial drilling results with the objective of better defining opportunities for resource optimization.
Qualified Persons
The Qualified Person as defined by NI 43-101 as pertains to the Back River Project, is James Maxwell, Exploration Manager, for the Company.
All drill core samples selected within the exploration program are subject to a company standard of internal quality control and quality assurance programs which include the insertion of certified reference materials, blank materials and duplicates analysis. All samples are sent to SGS Canada Inc. located in Burnaby, British Columbia where they are processed for gold analysis by 50 gram fire assay with finish by a combination of atomic absorption and gravimetric methods. Additionally, analysis by screen metallic processes is performed on select samples. SGS quality systems conform to requirements of ISO/IEC Standard 17025 guidelines and meets assay requirements outlined for NI 43-101.
Sabina Gold & Silver Corp.
Sabina Gold & Silver Corp. is well-financed and is an emerging precious metals company with district scale, advanced, high grade gold assets in one of the world’s newest, politically stable mining jurisdictions: Nunavut, Canada.
Sabina released a Feasibility Study on its 100% owned Back River Gold Project which presents a project that has been designed on a fit-for purpose basis, with the potential to produce ~200,000 ounces a year for ~11 years with a rapid payback of 2.9 years (see “Technical Report for the Initial Project Feasibility Study on the Back River Gold Property, Nunavut, Canada” dated October 28, 2015).
The Project received its final Project Certificate on December 19, 2017. The Project received its Type A Water License on November 14, 2018 and is now in receipt of all major authorizations for construction and operations.
In addition to Back River, Sabina also owns a significant silver royalty on Glencore’s Hackett River Project. The silver royalty on Hackett River’s silver production is comprised of 22.5% of the first 190 million ounces produced and 12.5% of all silver produced thereafter.
For further information please contact:
Nicole Hoeller, Vice-President, Communications: 1 888 648-4218
[email protected]
Forward Looking Information
This news release contains “forward-looking information” within the meaning of applicable securities laws (the “forward-looking statements”), including our belief as to the extent, results and timing of and various studies relating to engineering studies, infrastructure improvement activities, exploration results and permitting and licensing outcomes. These forward-looking statements are made as of the date of this news release. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the future circumstances, outcomes or results anticipated in or implied by such forward-looking statements will occur or that plans, intentions or expectations upon which the forward-looking statements are based will occur. While we have based these forward-looking statements on our expectations about future events as at the date that such statements were prepared, the statements are not a guarantee that such future events will occur and are subject to risks, uncertainties, assumptions and other factors which could cause events or outcomes to differ materially from those expressed or implied by such forward-looking statements. Such factors and assumptions include, among others, the effects of general economic conditions, commodity prices, changing foreign exchange rates and actions by government and regulatory authorities and misjudgments in the course of preparing forward-looking statements. In addition, there are known and unknown risk factors which could cause our actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by the forward-looking statements. Known risk factors include risks associated with exploration and project development; the need for additional financing; the calculation of mineral resources and reserves; operational risks associated with mining and mineral processing; fluctuations in metal prices; title matters; government regulation; obtaining and renewing necessary licenses and permits; environmental liability and insurance; reliance on key personnel; the potential for conflicts of interest among certain of our officers or directors; the absence of dividends; currency fluctuations; labour disputes; competition; dilution; the volatility of the our common share price and volume; future sales of shares by existing shareholders; and other risks and uncertainties, including those relating to the Back River Project and general risks associated with the mineral exploration and development industry described in our Annual Information Form, financial statements and MD&A for the fiscal period ended December 31, 2018 filed with the Canadian Securities Administrators and available at www.sedar.com. Although we have attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. We are under no obligation to update or alter any forward-looking statements except as required under applicable securities laws. This news release has been authorized by the undersigned on behalf of Sabina Gold & Silver Corp.
Bruce McLeod, President & CEO
Suite 1800 – Two Bentall Centre
555 Burrard Street
Vancouver, BC V7X 1M7
Tel 604 998-4175 Fax 604 998-1051
http://www.sabinagoldsilver.com
A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/af622762-d48e-42b1-a643-24fd397b0638
