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Sabina Gold & Silver signs acquisition loan of C $ 126 million, Canadian Business Journal

Not for distribution to US news agencies or distribution in the United States.

Vancouver, British Columbia, March 30, 2022 (GLOBE NEWSWIRE) — Sabina Gold & Silver Corp. (SBB.T / SGSVF.OTCQX), (“Sabina” or “society”) Today announced that it has completed a purchase transaction offering (“Offering”) with Syndicate, an underwriter led by BMO Capital Markets.

The offering was fully subscribed and consisted of 71,000,000 shares of our common stock of $ 1.55 per share. In addition, the underwriter exercised an over-allotment option to purchase an additional 15% or 10,650,000 common shares for $ 1.55 per share, with total revenue (including over-allotment) of C $ 126,557,500.

In addition, Zhaojin International Mining Co., Ltd. has chosen to participate in this financing. This will result in the issuance of 7,797,813 shares of our common stock at $ 1.55 per share and additional gross revenue of $ 12,086,610.15. This fund tranche requires TSX approval. In addition, by exercising the over-allotment option, Zhaojin reserves the right to subscribe to an additional 1,173,749 shares of common stock for $ 1.55 for a total revenue of $ 1,819,310.95.

Arranging a comprehensive project finance package

February 8th After that, we announced comprehensive project finance consisting of:

  • US $ 225 million senior secured debt facility by Orion Mine Finance (“Orion”).
  • Orion’s US $ 75 million prepaid facility.
  • Wheaton Precious Metals Corp. A US $ 125 million gold flow arrangement with (“Wheaton”).
  • Private placement of US $ 75 million with Orion.
  • Private placement of US $ 25 million with Wheaton.
  • Purchased Deal Finance for US $ 100 Million (offering above).When
  • Participation from Zhaojin International Mining Co. Ltd, including participation in this offering, totals approximately US $ 21 million.

As stated on February 8thth The press release was a precondition for funding under the Orion credit line and Wheatonstream arrangements, with Sabina arranging an additional equity financing of US $ 105 million. We are currently fulfilling this obligation.

Bruce MacLeod, President and CEO, said: Adjust the budget and program for 2022. We look forward to announcing this in the coming weeks. “

The net income from the sale of common stock will be the ongoing procurement of equipment necessary for the development, construction and operation of Goosemine proposed by the Company, the progress of civil engineering work to support the site infrastructure, working capital and general enterprises. Used for purposes.

The underwriter will receive a 5% fee in connection with this offering.

Common stock based on the offering will be provided in accordance with the Company’s Basic Prospectus dated May 15, 2020 and the Prospectus Supplement dated March 23, 2022, and will be provided in accordance with the securities regulations of each Canadian state and territory (excluding Quebec). It was submitted to the authorities. It is also offered as a private placement in the United States.

The securities offered are not registered under the Securities Act of 1933 (Amendment) and may not be offered or sold in the United States without the applicable exemptions from the registration or registration requirements. This press release does not constitute an offer to sell or solicit a purchase, nor will securities be sold in jurisdictions where such offer, solicitation or sale is illegal.

About Sabina Gold & Silver

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

Sabina recently submitted a renewal feasibility study (“UFS”) for the Goose mine, the district’s first mine. This shows a project that produces about 223,000 ounces of gold annually (average of 287,000 ounces per year for the first five years; peak production of 312,000 ounces in the third year) for about 15 years, 2.3 years. Rapid investment recovery, IRR after tax is about 28%, NPV 5% is C $ 1.1 billion. See the 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.

With the completion of UFS, detailed ground engineering testing work on the Tailings sample, and the addition of a large volume of Tailings thickener, the Tailings storage capacity of the Echo open pit has been sufficiently increased to build a mill with a capacity of 4,000tpd. It is now possible to make a decision. At first. This, in addition to optimized equipment selection and detailed engineering, reduced expansion costs from C $ 17m to C $ 10m when compared to UFS.

The project received final major approval on June 25, 2020 and is currently receiving all major construction and operation permits and approvals.

We are also very enthusiastic about Inuit stakeholders, focusing on Inuit employment and opportunities. We have a 20-year renewable land use agreement with the Kitty Kumeoto Inuit Association and are working on various sustainability initiatives under that agreement.

February 8th After that, we announced comprehensive project finance consisting of:

  • US $ 225 million senior secured debt facility by Orion Mine Finance (“Orion”).
  • Orion’s US $ 75 million prepaid facility.
  • Wheaton Precious Metals Corp. A US $ 125 million gold flow arrangement with (“Wheaton”).
  • Private placement of US $ 75 million with Orion.
  • Private placement of US $ 25 million with Wheaton.
  • Purchased Deal Finance for US $ 100 Million (offering above).When

Participation from Zhaojin International Mining Co. Ltd totaling approximately US $ 21 million.

For more information, please contact:

Nicole Hoeller, Vice President of Communications: 1 888 648-4218
nhoeller@sabinagoldsilver.com

Information about future prospects

This news release contains “forward-looking information” (“forward-looking statements”) in the sense of applicable securities law. This includes the use of revenue from offerings, and UFS. These forward-looking statements have been made as of the date of this news release. Readers should be careful not to place excessive reliance on forward-looking statements. There is no guarantee that future situations, results, or results will occur, or that plans, intentions, or expectations will arise in such forward-looking statements. A statement about the future outlook will occur. These forward-looking statements are based on expectations of future events at the time such statements were made, but these statements warrant that such future events will occur. Not affected by risks, uncertainties, assumptions, and other factors. Events or outcomes may differ materially from those expressed or implied by such forward-looking statements. Such factors and assumptions include, among other things, the availability of equity financing under reasonable conditions, the approval of private offerings to Orion and Wheaton by Sabina shareholders, the construction, production, development planning and costs of the Back River Gold project. Estimated uncertainties are included; discrepancies between actual mineral reserves and estimated mineral reserves and mineral resources, and actual development costs and estimated development and operating costs. Interpretation of drills, metallurgical tests and other exploration results. The company’s ability to retain key managerial employees and skilled and experienced personnel. Exploration, development, mining risks, and the inherently dangerous nature of mining, and the risk of inadequate insurance or inability to obtain insurance to cover these risks and other risks and uncertainties. Risk of property and mineral ownership, including claims of minerals or defects in ownership of property. General economic conditions, commodity prices, changes in foreign exchange rates, and the impact of government and regulatory measures. Misunderstandings in the process of making a statement about the future outlook. In addition, there are known and unknown risk factors that may cause our actual results, performance, or outcomes to differ materially from future outcomes, performances, or outcomes expressed or implied by forward-looking statements. Known risk factors include risks associated with exploration and project development. Need for additional financing; calculation of mineral resources and reserves. Operational risks associated with mining and mining processing. Metal price fluctuations; the title is important. Government regulation; Obtaining and renewing required licenses and permits. Environmental responsibility and insurance; dependence on key persons. Possible conflicts of interest between certain officers or directors. Lack of dividends; currency fluctuations; labor disputes; competition; dilution; our common stock price and volume volatility. Future sale of shares by existing shareholders. And other risks and uncertainties. This includes the risks associated with the Back River project and the mineral exploration and development described in the annual information form, financial statements, and MD & A for the accounting period ended December 31, 2020 filed with Canada Securities. Includes common industry risks. Available to admins and www.sedar.com. You have attempted to identify important factors that may cause actual actions, events, or outcomes to differ materially from those described in the forward-looking statements, but the actions, events, or outcomes are expected or presumed. , Or there may be other factors that may cause it to not work as intended. Actual results and future events may differ materially from those expected in such statements and there is no guarantee that the forward-looking statements will be accurate. Therefore, readers should not place undue reliance on forward-looking statements. We undertake no obligation to update or change any forward-looking statement, except as required by applicable securities law.

This news release has been approved by the signatories on behalf of Sabina Gold & Silver Corp.

Bruce MacLeod, President and CEO
Suite 1800 – Two Ventall Centers
555 Ballard Street
Vancouver, British Columbia V7X1M7
Tel 604 998-4175 Fax 604 998-1051
http://www.sabinagoldsilver.com


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Sabina Gold & Silver signs acquisition loan of C $ 126 million, Canadian Business Journal

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