Sabina Gold & Silver Announces Interim Financial Results for the Quarter Ended March 31, 2020

$21.1 million in cash and short-term investments, pre-development activities commenced

VANCOUVER, British Columbia, May 14, 2020 (GLOBE NEWSWIRE) -- Sabina Gold & Silver Corp. (“Sabina”) or (the “Company”) (SBB – TSX/ SGSVF - OTCQX) reports the interim financial results for the quarter ended March 31, 2020.

“Sabina was able to advance the Back River Project on several fronts, despite slowdowns caused by COVID-19, pandemic,” said Bruce McLeod, the Company’s President & CEO.  “The Company had mobilized Goose camp for the beginning of a drill campaign to test the potential of a high-grade corridor extending up plunge from the Vault zone to the bottom of the proposed pit at Umwelt.  We were looking forward to testing this hypothesis but, out of concern for the safety of our team and our Inuit stakeholders, we elected to defer this program until later in the year. I am pleased to report that camp was demobilized efficiently with everyone returning to their home communities safely.  At the same time, a work from home protocol was established which has been implemented smoothly.  The team continues to advance desktop initiatives for Project optimization, and we look forward to getting back into camp to complete this year’s work program when it is safe to do so.”

Q1 2020 Highlights: 

• The Company had cash and cash equivalents and short-term investments of $21.1 million at March 31, 2020. 
  
  
• Early in the quarter Project development activities were temporarily decelerated due to uncertainty created by the COVID-19 pandemic. The Company continued to refine project execution plans and advance the preparation for additional exploration of the Umwelt deposit via surface and underground drilling testing an opportunity for resequencing and early release of higher grade ores from the Umwelt zone.
  
  
• Other Project development activities were focused around the negotiation of an engineering, procurement, construction (“EPC”) contract, with SCGT (joint venture between Sedgman, and CGT Industrial – (Clark Builders, Gisborn and Tarpon)) which envisaged a fixed price for the delivery of the processing plant and associated components.  Sabina was presented with a proposal with two components: a fixed, lump sum price for engineering and procurement of all equipment and materials; and a target price for construction and commissioning with a fixed fee.  Ultimately the Company has elected to continue negotiating with CGT Industrial who have indicated that they would convert their target bid for construction to a fixed price lump sum bid if detailed engineering is finalized prior to final price confirmation.