Sabina Gold & Silver Reports Continued Expansion at Umwelt & Llama Deposits, Back River, Nunavut
Published : September 13, 2011

Umwelt Hole 11GSE106 returns 12.01 g/t Au over 23.5 m

Umwelt Hole 11GSE096 returns 9.02 g/t Au over 26.30 m

Llama drilling extends zone 100 m to the south

Hole 11GSE077 returns 10.88 g /t Au over 9.80 m

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Keywords :   Canada | Diamond | Gold | Iron | Market | Precious Metals | Silver | Zinc |

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 13, 2011) - Sabina Gold & Silver Corp. (News - Market indicators) is pleased to announce new assay results from holes drilled as part of its 2011 exploration program at the Umwelt and Llama deposits on the Goose property at its 100% owned Back River Project in Nunavut, Canada.

The 2011 drilling campaign at Back River has been focussing on expanding the existing deposits at Umwelt and Llama, and looking for new discoveries by applying the Company's exploration tool box on open pit targets. Work has been completed or is in progress on the Goose and George claim blocks, as well as the Wishbone gold claims.

"Aggressive expansion drilling continues at our gold deposits at Goose and we continue to increase the size of Umwelt and Llama. We are now focussed on resource expansion drilling in key areas of the extension to Umwelt prior to season completion," said Tony Walsh, President & CEO. "We plan on using up all of our contingency supplies before the season comes to a close at the end of September aggressively working at Goose and at Wishbone looking for new discoveries. Although many assays remain pending and holes are still in progress, it is fair to say that this year's campaign at Back River has delivered on our objectives to expand our existing deposits and make new discoveries. We are looking forward to measuring the results of this year's work and to incorporating them into future studies."

Umwelt drilling continues to intersect strong mineralization. New results include hole 11GSE096 drilled on section 4400N, which returned 9.02 g/t Au over 26.30 m including 27.21 g/t Au over 5.0 m. This hole targeted a 230 m gap in drilling between hole 11GSE026 which returned 9.09 g/t Au over 12.0 m and hole 11GSE052 which returned 10.19 g/t Au over 33.0 m.

Hole 11GSE106 drilled on section 4050N, returned 12.01 g/t Au over 23.50 m including 23.46 g/t Au over 9.0 m. This is an infill resource hole which intercepted wide mineralization at a vertical depth of 615 m below surface. These results continue to demonstrate the continuity of the Umwelt deposit and that these resources can continue to expand to the south and to depth.

Umwelt Drill Highlights

Hole Id
Area Section Easting
Northing

Depth
From
(m
)
To
(m
)  Length
(m
)
Au
(g/t
) Comment/
Mineral
Zone
11GSE096 Umwelt 4400 430347 7270728 504.6 Additional Assays Pending    
            444   470.3   26.3   9.02   Main Zone East
including           461   466   5   27.21   Main Zone East
            Additional Assays Pending    
11GSE105 Umwelt 4250 430509 7270672 578 Additional Assays Pending    
            543.55   549.8   6.25   3.78   Main Zone East
            Additional Assays Pending    
11GSE106 Umwelt 4050 430713 7270571 755 Additional Assays Pending    
            704.85   728.35   23.5   12.01   Main Zone East
including           714   723   9   23.46   Main Zone East
 
True widths are estimated to be 70% of drill widths.

Drilling at Llama has also extended the zone an additional 100 metres to the south. Hole 11GSE077 on section 4600N returned 10.88 g/t Au over 9.80 m including 29.13 g/t Au over 2.90 m on the western limb of the Main Zone. This hole was a follow-up to hole 11GSE067 also on section 4600N which returned 1.29 g/t Au over 28.90 m. Hole 11GSE067 had a low sulphide content, but contained a number of fine visible gold occurrences which returned higher grades over narrower widths. The Main Zone West at Llama contains many high grade intercepts including hole 10GSE041 drilled in 2010 and which returned 25.43 g/t Au over 20.00 m. Hole 11GSE077 demonstrates that Main Zone West at Llama is open to the south.

Also intersected in hole 11GSE077 was a zone called the Flying Wedge located immediately to the west of Llama. A 17.5 m wide zone grading 1.42 g/t Au was intersected along the lower base of an thick iron formation and this interval includes a 5.0 m grading 3.54 g/t Au. While initial geological interpretation indicated this interval maybe down dip, the intercept demonstrates the prospectivity of this extensive thick iron formation.

While Llama is more complex than Umwelt, these new results indicate that the resource may be able to expand with further drilling.

Llama Drill Highlights

Hole Id
Area
Section

Easting

Northing

Depth
From
(m
)
To (m
) Length
(m
)
Au
(g/t
) Comment/
Mineral

Zone
11GSE067 Llama 4650 429225 7272030 446 296.6   325.5   28.9   1.29   Main Zone West
including           296.6   298.4   1.8   6.44   Main Zone West
and           322.5   325.5   3   4.56   Main Zone West
            345.5   346.5   1   2.33   Main Zone West
11GSE077 Llama 4600 428817 7271739 434 52.5   70   17.5   1.42   Flying Wedge BIF
including           53.5   58.5   5   3.54   Flying Wedge BIF
            395.5   405.3   9.8   10.88   Main Zone West
including           397.5   400.4   2.9   29.13   Main Zone West
 
True widths are estimated to be 70% of drill widths.

The Mineral Resources for Umwelt, as calculated by RPA in March 2011, using holes drilled prior to 2011, consist of Indicated Resources of 4,601,000 tonnes grading 6.1 g/t Au for 900,000 ounces of gold and Inferred Resources of 1,067,000 tonnes grading 6.4 g/t Au for 221,000 ounces of gold.

The Mineral Resources for Llama, as calculated by RPA in March 2011 consist of Indicated Resources of 1,860,000 tonnes grading 9.4 g/t Au for 562,000 ounces of gold and Inferred Resources of 980,000 tonnes grading 5.7 g/t Au for 180,000 ounces of gold.

The global Back River gold resource consists of an Indicated resource of 9,876,000 tonnes grading 8.33 g/t Au for 2,655,000 ounces Au and Inferred resources of 5,602,000 tonnes grading 8.65 g/t Au for 1,562,000 ounces Au.

There are currently six drills operating at Back River and Wishbone. Four drills are working on resource expansion at Umwelt while two rigs are operating on the Wishbone property. Many assays from both projects are still pending.

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.

Sabina's primary properties consist of the Back River Gold Project as well as the Wishbone Claims, a vastly prospective grass roots project and the Hackett River poly metallic project all in Nunavut. The Company has announced a proposed sale of Hackett River and certain claims in the Wishbone greenstone belt to Xstrata Zinc Canada Division (Xstrata). The process to close the transaction with Xstrata is well underway and is expected to close later this year.

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 for the Back River Project and has approved its dissemination.

Mineral resources for Goose and George were generated by RSG Global Consulting Pty Ltd. (Coffey Mining) in September 2007. Mineral resources for Llama and Umwelt deposits were generated by Roscoe Postle Associates (RPA) in March 2011. These are all 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 2011 are the same as those used in earlier campaigns by Sabina Gold & Silver Corp. and have been deemed appropriate in the above noted 43-101 compliant resource reports.

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, 2010.

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

Table 1: Recent Umwelt Deposit Assay results

Hole Id

Area

Section

Easting

Northing

Depth

From
(m
)
To
(m
) Length
(m
) Au
(g/t
) Comment/
Mineral Zone
11GSE080 Umwelt 4050 430574 7270462 674 570.8   573.25   2.45   6.25   Main Zone East
            592.2   592.5   0.3   164.00   Main Zone East
11GSE096 Umwelt 4400 430347 7270728 504.6 Additional Assays Pending
            444   470.3   26.3   9.02   Main Zone East
including           461   466   5   27.21   Main Zone East
            Additional Assays Pending
11GSE105 Umwelt 4250 430509 7270672 578 Additional Assays Pending
            543.55   549.8   6.25   3.78   Main Zone East
            Additional Assays Pending
11GSE106 Umwelt 4050 430713 7270571 755 Additional Assays Pending
            704.85   728.35   23.5   12.01   Main Zone East
including           714   723   9   23.46   Main Zone East
11GSE114 Umwelt 4650 430196 7270906 479 Additional Assays Pending
            321.85   324   2.15   2.36   Main Zone East
            339   348.6   9.6   9.63   Main Zone East
including           347   348.1   1.1   32.12   Main Zone East
            Additional Assays Pending
 
Table 2: Recent Llama Deposit Assay results

Hole Id

Area

Section

Easting

Northing

Depth
From
(m
)
To
(m
) Length
(m
) Au
(g/t
) Comment/
Mineral
Zone
11GSE067 Llama 4650 429225 7272030 446 296.6   325.5   28.9   1.29   Main Zone West
including           296.6   298.4   1.8   6.44   Main Zone West
and           322.5   325.5   3   4.56   Main Zone West
            345.5   346.5   1   2.33   Main Zone West
11GSE077 Llama 4600 428817 7271739 434 52.5   70   17.5   1.42   Flying Wedge BIF
including           53.5   58.5   5   3.54   Flying Wedge BIF
            395.5   405.3   9.8   10.88   Main Zone West
including           397.5   400.4   2.9   29.13   Main Zone West
11GSE082 Llama 4550 429291 7271955 476 333.85   334.8   0.95   3.88   Main Zone West
            338.5   356.1   17.6   4.20   Main Zone West
including           338.5   340.5   2   13.10   Main Zone West
including           346.5   348.5   2   5.71   Main Zone West
including           353.5   356.1   2.6   12.95   Main Zone West
            364   367   3   1.33   Main Zone West
            381   382   1   1.17   Main Zone West

To view Figures 1-8 associated with this release, please visit the following link: http://media3.marketwire.com/docs/sbb0913i.pdf.



Sabina Gold & Silver Corp.
Nicole Hoeller
Director, Investor Relations
(604) 998-4175 or Toll Free: 1 (888) 648-4218
(604) 998-1051 (FAX)
nhoeller@sabinagoldsilver.com
www.sabinagoldsilver.com
Data and Statistics for these countries : Canada | All
Gold and Silver Prices for these countries : Canada | All

Sabina Gold & Silver Corp

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CODE : SBB.TO
ISIN : CA7852461093
CUSIP : 785271 10 7
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Sabina is a gold and silver development stage company based in Canada.

Sabina develops gold, silver, copper, lead and zinc in Canada, and holds various exploration projects in Canada.

Its main asset in development is HACKETT RIVER in Canada and its main exploration properties are DEL NORTE, ROCKSTONE, GOLDEN SIDEWALK, SKINNER, BACK RIVER - GOOSE LAKE, BACK RIVER, BACK RIVER - GEORGE LAKE, NEWMAN-MADSEN and WISHBONE in Canada.

Sabina is listed in Canada, in Germany and in United States of America. Its market capitalisation is CA$ 355.5 millions as of today (US$ 287.4 millions, € 247.1 millions).

Its stock quote reached its lowest recent point on July 12, 2002 at CA$ 0.05, and its highest recent level on April 21, 2011 at CA$ 7.63.

Sabina has 223 580 000 shares outstanding.

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