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Sabina Gold & Silver Chooses FLSmidth To Supply Full Processing Plant Equipment To Sabina’s Goose Mine

Press Release

VANCOUVER, British Columbia, April 28, 2022 – Sabina Gold & Silver Corp. (SBB.TSX/SGSVF.OTCQX), (“Sabina” or the “Company”) announced today that FLSmidth (“FLS”) has been chosen to supply the key equipment for Sabina Gold & Silver Corp.’s processing flowsheet, for its Goose gold mine at its 100% owned Back River Gold District in Nunavut, Canada.

The equipment package is valued at approximately US$39M and is due to be delivered by mid-2023, for implementation ahead of the mine start-up date of Q1, 2025.

FLS will supply the jaw crusher, Raptor® Cone Crushers, ball mill, VXP-Stirred Mill (secondary grinding) and KREBS® cyclones, pumps as well as screens, feeders and Knelson™ gravity concentrators. The order also includes equipment for pre-oxidation and leaching; carbon in pulp (CIP) extraction; absorption, desorption and refining (ADR); and detoxification. In addition, Sabina is progressing contract negotiations for commissioning support, operational readiness, site training, an optimized spare management strategy, as well as a performance guarantee for the process equipment as per the flowsheet

“We are pleased to have these critical components procured with a vendor that has a proven track record for providing equipment and support to remote projects around the world,” said Bruce McLeod, President & CEO “The ball mill will be delivered early in 2023 to enable installation in the 2023 construction season. The balance of equipment will arrive on the July 2023 sealift for the 2024 construction season. This package is a fixed price with minimal exposure to continued inflation pressures.”

About Sabina Gold & Silver

Sabina Gold & Silver Corp. is an emerging gold mining company that owns 100% of the district scale, advanced, high grade Back River Gold District in Nunavut, Canada.

Sabina recently filed an Updated Feasibility Study (the “UFS”) on its first mine on the district, the Goose Mine, which presents a project that will produce ~223,000 ounces of gold a year (first five years average of 287,000 ounces a year with peak production of 312,000 ounces in year three) for ~15 years with a rapid payback of 2.3 years, with a post-tax IRR of ~28% and NPV5% of C$1.1B at a gold price of $1,600 USD. See “National Instrument (NI) 43-101 Technical Report – 2021 Updated Feasibility Study for the Goose Project at the Back River Gold District, Nunavut, Canada” dated March 3, 2021.

The Project has received all major permits and authorizations for construction and operations.
The Company has arranged a comprehensive project financing package comprised of:

  • A US$425 million senior secured debt facility, gold prepay and stream package with Orion Mine Finance and Wheaton Precious Metals Corp.; and
  • US$221 million in equity;

The Company is also very committed to its Inuit stakeholders, with Inuit employment and
opportunities a focus. The Company has signed a 20-year renewable land use agreement with
the Kitikmeot Inuit Association and has committed to various sustainability initiatives under the
agreement.

The Company continues to advance exploration and project optimization, including advancing the planned plant expansion to 4,000 tpd from Year two to initial startup.

For further information, please contact:

Nicole Hoeller, Vice-President, Communications: 1 888 648-4218 [email protected]

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