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VANCOUVER, British Columbia, June 30, 2020 (GLOBE NEWSWIRE) -- Sabina Gold & Silver Corp. (SBB.T/SGSVF.OTCQX), (“Sabina” or the “Company”) is pleased to provide an update on the permitting and authorization status of its first mine at the Back River Gold Project (the “Project” or “Back River”) in Nunavut, Canada.
On June 25, 2020 Sabina received its final operational approval for the placement of the tailings into the Project’s proposed tailings storage facility. Sabina is now in possession of all major authorizations for not only the construction, but also the operations of the Back River Project.
“While we have been permitted for construction and have been shovel ready for some time, this final authorization enables full operations at Back River,” said Bruce McLeod, President & CEO “this is the culmination of a rigorous process spanning several years and could not have been accomplished without significant engagement with all stakeholders. It is also important to remember, that while the mine plan in our Feasibility Study is focused on a 3,000 tonne per day operation with four mining areas, permitting was advanced on the basis of the previous 6,000 tonne per day feasibility at the Goose project providing significant future project flexibility. We continue to work to de-risk and advance the project and look forward to getting back into camp next week.”
Permitting & Authorization Accomplishments
In December 2017, following an extensive environmental assessment process that spanned several years, Sabina received approval from the Minster of Crown-Indigenous Relations and Northern Affairs Canada and was granted its Project Certificate by the Nunavut Impact Review Board.
In November 2018, Sabina received its Type A Water License (expiry date of 2031) from the Nunavut Water Board which enables the use and disposal of water at the Project, as well as approval to construct and operate fuel management facilities, waste rock and tailings storage facilities, and numerous other pieces of infrastructure.
In December 2017, Sabina commenced the process under the Metal and Diamond Mines Effluent Regulation (“MDMER”) to operate the tailings storage facility as contemplated in the Feasibility Study. Under Schedule 2 of MDMER, waterbodies frequented by fish must be approved and listed in the Regulations if a deleterious material is proposed to be placed in the waterbodies. Sabina received approval to use the primary tailings storage facility on June 25, 2020. While the Project has been shovel ready for construction, this final authorization is a milestone that enables full operations at the first mine at Back River.
In addition to these key authorizations Sabina holds numerous other approvals from the federal government including CIRNAC land leases (expiry date of 2048), fisheries authorizations from the Department of Fisheries and Oceans Canada (expiry date of 2031), and navigable waters authorizations from Transport Canada (no expiry date).
Sabina has also negotiated a renewable 20 year Land Use Agreement and Impact and Benefits Agreement with the Kitikmeot Inuit Association. These agreements enable access to the site and benefits to flow to the Inuit until 2038.
About Sabina Gold & Silver
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.
The Company currently has approximately $75 million in cash.
For further information, please contact:
Nicole Hoeller, Vice-President, Communications: 1 888 648-4218 email@example.com
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
This news release contains “forward-looking information” within the meaning of applicable securities laws (the “forward-looking statements”), including information pertaining to the Company's filing of the Preliminary Base Shelf Prospectus, regulatory approval of the Shelf Prospectus and any potential future offering(s) of securities pursuant to the Shelf Prospectus (and the use of proceeds therefor). 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, 2019 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.