13 October 2020
Sabina Gold & Silver Corp is pleased to announce further high grade assay results from drilling of the upper portions of the high-grade corridor at the Umwelt Underground resource (the “V2 Zone”) on its 100%-owned Back River Gold Project (“Back River” or the “Project”) in Nunavut, Canada.
Internal studies conducted earlier this year suggest that mining higher-grade underground material at the beginning of the mine life could have a significant positive impact on project economics by increasing gold production in the early years. Drilling was designed to delineate and detail the nature of the high-grade structure at Umwelt, which has never been discretely targeted. During the 2020 field program, nine holes were drilled, proving the hypothesis that additional high-grade corridors exist between the Vault Zone at depth and the bottom of the proposed open pit at Umwelt.
This year’s drilling focused on a zone directly under the proposed Umwelt open pit (V2 Zone) at a depth that ranges from 135m to 285m below surface, over a plunge extent of approximately 300 m. All seven drill holes targeting this zone returned exceptional widths of gold mineralization, up to 2-3 times the average grade of the Umwelt underground reserve. The V2 Zone is very similar to the Vault Zone, further supporting the concept of additional high-grade underground corridors within the Umwelt deposit. These results will be incorporated into an updated Feasibility Study expected to be released in the 1st Quarter of 2021.