| May 10, 2010 Sabina Gold & Silver Announces More Success at Llama Lake Discovery at Back River Project, Nunavut | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Significant Results From Hole 10GSE31 returning 16.92 g/t gold over 22.0 meters including 36.58 g/t gold over 4.7 meters. Vancouver, BC -- Sabina Gold & Silver Corp (SBB.T) announced today additional drill hole results on the new Llama Lake discovery on its 100% owned Back River project in Nunavut, Canada. LLAMA LAKE As announced on May 4, 2010, a significant new gold discovery has been made at Llama Lake approximately 8 km northwest of the Goose deposit and 5 km northwest of the new Echo zone, that was discovered last year. The zones are part of the Company's 100% owned Back River Project that contains an indicated resource of 3.4 million tonnes at 10.9 g/t for 1.19 million ounces gold and an additional inferred resource of 3.6 million tonnes at 10.2 g/t for 1.16 million ounces gold. "Hole 31 at Llama Lake is our best hole so far on the new zone with high grades over significant widths." said Tony Walsh, President & CEO. "We continue to be excited about the potential of this new discovery to add to the critical mass of ounces we believe we need to advance the project to economic studies." To date a total of 16 holes totalling 3,755 meters were completed or are in progress at Llama Lake, with partial intercepts from three holes being reported last week. Hole 10GSE31 was targeted to test a 50 meter vertical overcut of the intersected zones in the upper zone in Hole 10GSE27. As reported in a news release dated May 4, 2010, Hole 10GSE27 returned 9.21 g/t gold over 11.1 meters and 68.6 g/t gold over 7.2m Hole 10GSE31, collared into the eastern limb of the Llama Lake anticline and the mineralized zone was encountered between 108 and 130 meters. Strong sulphide mineralization and veining were present throughout the mineralized interval and is similar to the Goose Deposit located 8 km to the south. To date the Llama zone has been encountered over a strike length of at least 250 meters and appears to be open in all directions. All three of the drills at Back River remain at Llama Lake where drilling off the ice is a priority prior to testing the extension of the mineralized zones on land. Also reported below are values associated with the lower zone in hole 10GSE25. A large number of assays are still pending and further updates will be provided when received. Significant assays include:
Correction to Previously Reported Hole 10GSE21. Upon review of drilling completed to date it was determined that some of the assays reported for hole 10GSE21 were assigned to the wrong intervals. The correct intervals for hole 21 are listed in the table below, all other previously reported assay intervals from holes 10GSE25 and 10GSE27 as well the new holes reported in this release have been validated and reported without error.
Table of individual assays from Hole 10GSE31
SABINA GOLD & SILVER CORP Sabina Gold & Silver Corp. is an emerging precious metals company with district scale, world class undeveloped assets in one of the world's newest, most politically stable mining jurisdictions: Nunavut, Canada. The properties consist of the Hackett River silver-zinc Project, the Back River Gold Project, both advanced exploration properties, as well as the Wishbone Claims, a vastly prospective grass roots project. The combined holdings total approximately 3,000 square kilometres and cover the largely unexplored Wishbone Greenstone belt. Hackett River is one of the largest undeveloped silver - zinc volcanic massive sulphide ("VMS") deposits in the world with indicated resources totalling 43.6 million tonnes with diluted (recovery) grades of 4.15% zinc, 129 g/t silver, 0.35% copper, 0.58% lead and 0.27 g/t gold. An additional inferred open resource totalling 16.0 million tonnes with diluted (recovery) grades of 3.53% zinc, 111 g/t silver, 0.24% copper, 0.46% lead and 0.25 g/t gold is also contained at Hackett River. The Back River Project is comprised of the George and Goose Lake gold deposits and contain measured & indicated gold resources of 3.4 million tonnes grading 10.9 g/t Au for 1.19 million ounces and inferred resources of 3.6 million tonnes grading 10.2 g/t Au for 1.16 million ounces of gold. Quality Assurance Mr. Doug Cater, P. Geo, and Project Manager, Back River Project of Sabina Gold & Silver Corp is a Qualified Person under the terms of NI43-101 and has reviewed the technical content of this press release and approved its dissemination. Mineral resources for Goose Lake and George Lake were generated by RSG Global Consulting Pty Ltd (Coffey Mining) in September 2007, and are posted on www.sedar.com. 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 2010 are the same as those used in earlier campaigns by Sabina Gold & Silver Corp. and Dundee Precious Metals (previous operator at Back River) and have been deemed appropriate in the above noted 43-101 compliant resource reports. For further information please contact: Nicole Hoeller, Director, IR: 1 888 648-4218 nhoeller@sabinagoldsilver.com Forward Looking Statements Statements relating to exploration, pre-feasibility work and future operations at the Back 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, 2009. 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, change. This news release has been authorized by the undersigned on behalf of Sabina Gold & Silver Corp. Tony Walsh, President & CEO
930 West 1st Street, Suite 202
North Vancouver, BC V7P 3N4
Tel 604 998-4175 Fax 604 998-1051
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