VANCOUVER, BRITISH COLUMBIA--(Marketwired - Apr 30, 2013) - Sabina Gold & Silver Corp (SBB.TO) ("Sabina" or the "Company") is pleased to announce initial drilling results from its 2013 exploration program on its 100% owned Back River project in Nunavut and announces the adoption of an Advance Notice Policy (the "Advance Notice Policy").
"Drilling is going very well at our Back River Gold Project and we are off to a good start with some impressive results at Llama and George," said Rob Pease, President & CEO "To facilitate our commitment to aggressively advance the development of Back River, our 2013 program is focussed on work to complete the on-going pre-feasibility study (PFS) and to support a potential subsequent feasibility study (FS) and completion and filing of a draft environmental impact statement ("EIS") by year end. We believe in the long term outlook of our assets and our sector and will keep working to create shareholder value despite a challenging market sentiment. The Board of Directors has also adopted an advance notice polity to ensure that all shareholders are provided with adequate notice of board nominees. We look forward to providing further updates throughout the year."
After an early seasonal start up in mid-February drilling at Back River is proceeding as planned with five drill rigs running at the Goose project area and three at George.
In the Goose project area, drilling at Llama is currently focussed on converting resources to the measured and indicated category in the proposed pit. Drilling at Llama is progressing well and continues to demonstrate confidence in supporting strong zones of shallow high grade gold mineralization amenable to open pit extraction.
A total of 30 out of 33 holes are now complete with the intention of converting a significant portion of the mineralization to the measured category. Highlights supporting this process includes holes 13GSE263 returning 19.65g/t over 5.13m, 13GSE269 returning 1572g/t over 0.90m and 8.29g/t over 24.40m, and hole 13GSE271 returning 9.66g/t over 25.00m.
Two priority exploration targets at the Goose project area include; Boomerang, a shallower target located southwest of the Goose Main deposit where indications of favorable structure and alteration indicate potential for mineralization, and the Wing zone, located close to the Llama deposit, where drilling from 2012 intersected encouraging gold values from a number of drill holes including drill hole 12GSE226 which returned 12.68 g/t over 15.45 m. Drilling on the Wing zone is underway and Boomerang target drilling will commence once infill drilling is complete.
George Extension Drilling Success
At the George project area, seven drill holes have been completed. Drilling is planned to focus on exploration of new mineral zones, extensions to existing mineralized zones and completion of a geo-mechanical drill program at the Locale 1, 2 and LCP deposit areas.
Drilling at George is currently focused on better defining mineralized extensions at the Local 2 deposit and is testing high potential extension gold targets close to the existing resources. Initial success in extensional drilling is now confirmed with the return of positive gold results at both the Locale 2 Gap and the Locale 2 Hinge targets. Highlights from this portion of the program include the first hole at the Locale 2 Hinge target, 13GRL095, returning 7.43g/t over 9.00m and an additional 9.35g/t over 7.75m further down hole. Success at the Locale 2 Gap target includes holes 13GRL097 returning 5.53g/t over 5.10m and 13GRL098 returning 9.00g/t over 3.80m. Drilling continues with three diamond drill rigs at the George property on priority targets with further preparations being made for a near term transition to brownfields exploration target follow up from significant successes in 2012.
Exploration drilling later in the year is planned at the Fold Forest target area where previous drilling results, for example 2.29 g/t over 13.0 m in hole 12GRL047 and 5.92 g/t over 5.0 m in hole 12GRL046, indicate the potential in the target area for expanding open pit mineralization over a broader area.
To further support the development of the Back River project, significant engineering and environmental studies are underway.
- Ongoing metallurgical, geo-technical and geo-mechanical investigations are underway to provide higher confidence in the deposits and to better define mine sequencing.
- Pre-feasibility open pit and underground mine designs have been completed and are being reviewed and incorporated into an initial mining schedule, focus of the mining schedule is on open pit mine development and stockpile management.
- Process plant flow sheets, layouts and preliminary design criteria are complete, equipment specifications and engineering for the process plant and other site infrastructure (tailings storage facility, truck shop, administration building, camp, etc.) are underway.
- Trade off studies on alternative lay down/port areas are underway and substantially completed.
- Extensive environmental baseline monitoring and data collection, which started in 2010, is ongoing and expected to satisfy all requirements for the draft EIS. This information will enable the Company to form a framework for an environmental management system to minimize the projects impacts on employee health and safety, water and air quality, waste management and reclamation.
A number of camp improvement projects are also currently underway on site. A quarry has been established and a mobile crushing plant commissioned in close proximity to the Goose camp to provide crushed rock/gravel for the construction of an all-weather airstrip at Goose Camp. Crushed rock/gravel will also be used to facilitate longer term fuel storage and additional improvements to camp safety.
Community engagement will also continue with plans for multiple visits to all involved communities in 2013. Sabina has launched www.backriverproject.com to support its goal of working closely with the Kitikmeot residents, communities and stakeholders.
Advance Notice Policy
Sabina is committed to: (i) facilitating an orderly and efficient annual general or, where the need arises, special meeting, process; (ii) ensuring that all shareholders receive adequate notice of the director nominations and sufficient information with respect to all nominees; and (iii) allowing shareholders to register an informed vote having been afforded reasonable time for appropriate deliberation. To this end, the Board of Directors has adopted the Advance Notice Policy.
The purpose of this Policy is to provide shareholders, directors and management of the Corporation with a clear framework for nominating directors. This Policy fixes a deadline by which holders of record of common shares of the Corporation must submit director nominations to the Corporation prior to any annual or special meeting of shareholders and sets forth the information that a shareholder must include in the notice to the Corporation for the notice to be in proper written form in order for any director nominee to be eligible for election at any annual or special meeting of shareholders. No person will be eligible to be elected as a director unless nominated in accordance with the policy.
The Company believes that this Policy is in the best interests of the Company, its shareholders and other stakeholders. This policy will be subject to an annual review, and will reflect changes as required by securities regulatory agencies or stock exchanges, or so as to meet industry standards. The Company will be seeking shareholder ratification for this policy at the next annual general meeting of shareholders to be held at the Metropolitan Hotel in Vancouver on June 13, 2013.
The full policy can be found on the Company's website and at www.sedar.com.
The Qualified Person as defined by NI 43-101 as pertains to the Back River Project, is Angus Campbell, P. Geo, Vice-President Exploration for the Company.
True widths for the intercepts reported in this news release have not yet been determined.
Diamond drill core was sent to TSL Laboratories in Saskatoon, Sask. Quality control is monitored on a continual basis and utilizes a system of standards, blanks and duplicates to ensure analytical accuracy. The protocols and procedures used in 2013 are the same as those used in earlier campaigns by Sabina Gold & Silver Corp. and have been deemed appropriate in the Company's 43-101 compliant resource reports.
SABINA GOLD & SILVER CORP.
Sabina Gold & Silver Corp. is an emerging gold developer with district scale, world class assets in one of the world's newest, most politically stable mining jurisdictions: Nunavut, Canada.
Sabina's primary assets, all located in Nunavut, consist of: the Back River Gold Project, currently in the pre-feasibility and permitting phase; the Wishbone Claims, a vastly prospective grass roots project; and the Hackett River Silver Royalty, a silver production royalty on Xstrata Zinc's Hackett River project comprising 22.5% of the first 190 million ounces produced and 12.5% of all the silver produced thereafter. The company ended December 31, 2012 with approximately $116 million in cash.
Forward Looking Statements
Statements relating to future operations at the Back River Project and the Hackett River Project and the expected results of this work are forward-looking statements within the meaning of securities legislation of certain Provinces in Canada. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects," "plans," "anticipates," "believes," "intends," "estimates," 'projects," "potential" and similar expressions, or that events or conditions "will," "would," "may," "could" or "should" occur. Information inferred from the interpretation of drilling results may also be deemed to be forward looking statements, as it constitutes a prediction of what might be found to be present when and if a project is actually developed. These forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking statements, including, without limitation: risks related to fluctuations in metal prices; uncertainties related to raising sufficient financing to fund the planned work in a timely manner and on acceptable terms; changes in planned work resulting from weather, logistical, technical or other factors; the possibility that results of work will not fulfill expectations and realize the perceived potential of the Company's properties; risk of accidents, equipment breakdowns and labour disputes or other unanticipated difficulties or interruptions; the possibility of cost overruns or unanticipated expenses in the work program; the risk of environmental contamination or damage resulting from Sabina's operations and other risks and uncertainties, including those described in Sabina's Annual Report for the year ended December 31, 2012.
Forward-looking statements are based on the beliefs, estimates and opinions of Sabina's management on the date the statements are made. Sabina undertakes no obligation to update these forward-looking statements should management's beliefs, estimates or opinions, or other factors, should change.
This news release has been authorized by the undersigned on behalf of Sabina Gold & Silver Corp.
Rob Pease, President & CEO
930 West 1st Street, Suite 202
North Vancouver, BC V7P 3N4
|Llama infill Assays |
|Hole Id||Area||Section||Easting||Northing||Depth||From |
|George Assays - Locale 2|
|Hole Id||Area||Section||Easting||Northing||Depth||From |
|13GRL093||Locale 2 Gap||3860||388237||7312615||197||12.50||13.50||1.00||15.09||L2 Gap|
|13GRL094||Locale 2 Gap||3890||388219||7312638||176||19.80||20.80||1.00||3.21||L2 Gap|
|13GRL095||Locale 2 Hinge||4280||387748||7312746||649||511.80||520.80||9.00||7.43||L2 Hinge|
|13GRL096||Locale 2 Gap||3860||388218||7312596||278||126.20||132.70||6.50||1.50||L2 Gap|
|13GRL097||Locale 2 Gap||3890||388199||7312620||251||53.40||56.70||3.30||2.10||L2 Gap|
|13GRL098||Locale 2 Gap||3860||388155||7312544||195||89.00||90.00||1.00||2.28||L2 Gap|
To view the maps accompanying this press release please click on the following link: http://media3.marketwire.com/docs/SBB0430.pdf