Updated Feasibility Study for the Goose Gold Mine at the 100% owned Back River Gold District in Nunavut, Canada
March 2021
Goose Gold Project, Back River, Nunavut, Canada
Forward Looking InformationStatements relating to our belief as to the results of development studies, timing of receipt of necessary authorizations and licenses,the availability of project financing, the timing of the start of construction and the first gold pour, and the results of furtheroptimization studies to the UFS, the potential tonnage and grades and contents of deposits and the potential production from andviability of Sabina’s properties are forward looking information within the meaning of securities legislation of certain Provinces inCanada. Forward looking information are statements that are not historical facts and are generally, but not always identified by thewords “expects,” “plans,” “anticipates,” “believes,” “intends,” “estimates,” “projects,” “potential,” “opportunities,” and similarexpressions, or that events or conditions “will,” “would.” “may,” “could,” or should occur. The forward looking information is made ofthe date of this presentation. This forward looking information is subject to a variety of risks and uncertainties which could causeactual events or results to differ materially from those reflected in the forward looking information, including, without limitation: theeffects of general economic conditions; changing foreign exchange rates; risks associated with exploration and project development;the calculation of mineral resources and reserves; risks related to fluctuations in metal prices; uncertainties related to raising sufficientfinancing to fund the planned work in a timely manner and on acceptable terms; changes in planned work arising from weather,logistical, technical or other factors; the possibility that results of work will not fulfill expectations and realize the perceived potentialof the Company’s properties; risk of accidents, equipment breakdowns and labour disputes; access to project funding or otherunanticipated difficulties or interruptions; the possibility of cost overruns or unanticipated expenses in the work program; titlematters; government regulation; obtaining and receiving necessary licenses and permits; the risk of environmental contamination ordamage resulting from Sabina’s operations and other risks and uncertainties including those described in Sabina’s annual informationform for the year ended December 31, 2019 available at www.sedar.com
Forward looking information is based on the beliefs, estimates and opinions of Sabina’s management on the date the statements aremade. Sabina undertakes no obligation to update the forward-looking information should management’s beliefs, estimates oropinions, or other factors, change, except as required by applicable law
2
3
Assets Partners Catalysts
Creating value from 80 km Back River Gold District in Northern CanadaGoose Mine – one of five 100% owned prospective properties of gold bearing iron formation in the belt
▪ Large gold resources/reserves▪ High grade (6g/t Au open
pits)▪ District scale▪ Offers development flexibility▪ Mining friendly jurisdiction▪ Robust economics at US$1600
gold price (After tax C$1.1B NPV & ~28% IRR )
▪ Hackett River Silver royalty
▪ Experienced management and Board
▪ Successful track record▪ Supportive strategic and
institutional shareholders▪ Strong community support▪ Landowners aligned
shareholders
▪ Detail Engineering due H1, 2021▪ Project Debt Process being
refreshed▪ Production Decision subject to
project financing due H1, 2021▪ Camp opening early March 2021▪ 2021 Exploration at Goose and
to begin at George Property
Updated Feasibility study demonstrates high-confidence, de-risked project with longer mine life and increased production profile
4
Development Companies by size and grade
AGC
AOT
ARTG
AUTG
BGL
BMEBNAU
BSR
BSX
BTRCAI
CMM DEG
FF FPC
FURY
FVLGSV
GTRGWM
HIGH
INV
ITR
KIN
KOR
KORE
LGDLIO
LR
MAEMAI
PPTA
MGM
MOZ
NHK
OIIIOLA
ORE
ORR
ODV
PRB
RDS
RGD
RIO
RVG
SBB
SIL
SKE
TLG
TML
WGOWVM
YGT
0
2
4
6
8
10
12
14
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
Go
ld e
qu
ival
ent
reso
urc
e (M
oz)
-M
&I+
I
Gold equivalent grade (g/t) - M&I+I
NovaGold23MMoz at 2.1g/t
Median target resource grade since 2013 = 1.9 g/t
Median target resource size since 2013 = 2.7 Moz
One of the few fully permitted projects in a tier one jurisdiction
RBC Capital Markets 02/23/21
Over 575,000 meters of drilling completed at Back River
5
See slides #35 & 36for resource/reserve estimate QA/QP.Mineral Resources are not Mineral Reserves and as such do not have demonstrated economic viability.
Reserve Tonnes Grade OuncesProven 8,008 5.54 1,426Probable 10,684 6.29 2,162
Resource Tonnes Grade OuncesM&I 33,452 5.88 6,321Inferred 13,794 6.44 2,856
Grade in g/t
▪ Updated resource estimate added:▪ 988koz Au to M&I▪ 1Moz Au to Inferred
▪ Reserve Estimate added 1M oz Au
All in finding costs (since 2014) are C$24.95 per ounce
With a historic resource to reserve conversion rate of 73%, and all deposits open, we will be mining at Goose long past the 15 year mine life in this study
Back River – World Class Grade
6
Only Project with +5 g/t average grade with an Open Pit component
Notes: Select development projects with gold reserves/resources greater than 1Moz
Source: Various Company Technical Reports
0
2
4
6
8
10
12
Tota
l Go
ld –
All
Cat
ego
ries
(M
oz)
0
1
2
3
4
5
6
7
8
9
10
Ave
rage
Go
ld G
rad
e (g
/t)
OP
UG
OP
UG
OPUG
OP
UG OPUG
UG OP
Key Project Enhancements
7
▪ An updated gold price of US$1,600/ounce and exchange rate of $C:US$ of 1.31:1.00
▪ 56% improvement on capital efficiency compared to the IFS (NPV/Initial CAPEX)
▪ Higher confidence in CAPEX and changes to project scope to de-risk execution & operations
▪ 1M of increase in reserve
▪ High-grade Umwelt underground earlier increases production profile (peak production of 312 koz Au in year 3)
▪ Process plant expansion from 3,000 tpd to 4,000 tpd at end of year two of production
▪ Echo open pit and underground, Goose Main underground, Llama underground added to mine plan
▪ No requirement for TSF, the most complicated and highest civil capital risk to the Project. Exhausted pits used for
tailings storage
▪ Pre-production mining at Echo and Umwelt pits place 2.2 Mt and 372K oz stockpiled material, prior to
commencement of milling operations (sufficient for two years of mill feed)
This level of engineering significantly de-risks the Project, bringing a higher level of certainty to capital and contingency estimates when compared to most feasibility studies
Key Project Enhancements Continued
8
▪ OP vs UG – 53%/47% (tonnes)
▪ Significant earthworks completed: box-cut for underground exploration ramp, 4 km of roads, airstrip extension,
and site prep for the process pad and accommodation complex
▪ Construction of Port and receipt of three sealifts successfully testing logistics and supply chain from the South
▪ Construction and operation of a 172km Winter Ice Road from the Port to the Goose Property, gaining valuable
experience in the Project’s key infrastructure
▪ Significant infrastructure including fuel tanks, batch plant, construction crushers and construction/mobile
equipment mobilized in 2019/2020 with two maintenance shops
▪ Basic engineering completed with detailed engineering substantially completed
▪ Constructability and operability review by third party Arctic construction team
▪ A prominent Original Equipment Manufacturer engaged to complete the process plant equipment design with a
fixed price contract
See slides 35,36 & 37 for QP information
UFS delivers a Project with a high degree of confidence compared to others
9
▪ The Project is fully permitted with no costly changes needed to accommodate future permitting requirements;
▪ The cost of Social License has been incorporated (IBA & Royalties);
▪ Detailed engineering is substantially complete based upon material take off quantities versus estimates and
factoring;
▪ Major logistics infrastructure and supply chain has been built and successfully tested;
▪ Substantial civil earthworks have been completed at Port and Goose Site;
▪ A third-party experienced Arctic contractor has provided a review on constructability and operability;
▪ Bonding amounts certain and agreed to by federal/Inuit Stakeholders and incorporated into the Project;
▪ Deliberate increase in CAPEX initiatives to provide lower operational/execution risk;
▪ Mineral Resource Estimates provide foundation for future reserves to extend mine life;
▪ Constructor has been involved in development of project schedule and resource loading;▪ Framework for 3 year construction labour costs agreed to in principle; ▪ Additional capex has been allocated for operational readiness.
▪ Additional time for commissioning and ramp up has been added from IFS
10
Unit 2015 IFS 2021 UFS
Gold Production LOM Moz 2.32 3.35
Annual Gold Production Moz 250 (Y1-8) 287 (Y1-5)
Annual Gold Production LOM Moz 198 223
Mine Life years 11.8 15
Initial Capital Cost $M 415 610 (US$466)
Sustaining Capital Cost $M 185 419 (US$320)
Closure Cost $M 64 42
Operating Cost $/t 115 141
Cash Costs US$/oz 534 679
All-In Cash Costs (AISC) US$/oz 620 775
Pre-Tax IRR % 28.2 33
Pre-Tax NPV 5% $M 699 1.7B
Post-Tax IRR % 24.2 27.7
Post-Tax NPV 5% $M 480 1.1B (US$860)
Payback/Break Even Gold Price Years/US$ oz 2.9/795 2.3/955
UFS 2021 Highlights vs IFS 2015
All CAD$ Unless Otherwise Specified
Peak production Y3 of 312koz. LOM average
recovery 93.4%
CAPEX Increase due to change in Project scope to de-risk, cost escalation of
12% and Underground development in Year -2
Removal of TSF reduces closure costs
See slide 37 for QP Information
Addition of four UG mining zones and inclusive of
closure costs
11
Economics – Capital CostCAPEX
Initial
($ million)
Sustaining
($ million)
LOM
($ million)
Mining1 56 348 404
On-Site Development 6 3 9
Ore Crushing and Handling 28 0 28
Process Plant 91 13 104
On-Site Infrastructure (Goose) 97 5 102
Off-Site Infrastructure 1 0 1
Port 19 4 23
Tailings 5 0 5
Indirect Costs2 177 4 181
EPCM 6 0 6
Owner’s Costs 68 0 68
Reclamation 0 42 42
Subtotal 554 419 973
Contingency 56 - 56
Total CAPEX 610 419 1,029Notes: 1 Includes labour and mining equipment purchases only.
2 Includes preproduction mining explosives, fuel, maintenance spares, and consumables.
Numbers may not add due to rounding.
Mining/development10%
Ore Crushing and Handling
5%
Process Plant15%
On-Site Infrastructure
16%MLA/Off-site Infrastructure
3%
Tailings1%
Indirect Costs29%
EPCM1%
Contingency9%
Owner’s Costs 11%
PRE-PRODUCTION CAPEX BREAKOUT
12
Economics – Operating Costs
OPEXLOM
($ million)
Open Pit Mining 355
Underground Mining 714
Processing 693
Freight & Site/Offsite Services 450
G&A 415
Total OPEX 2,627
Open Pit Mining14%
Underground Mining
27%
Processing26%
Freight & Site/Offsite
Services17%
G&A16%
LOM OPEX
Notes: 1 Average LOM open pit mining cost amounts to $4.16/t mined at a 10:1 strip ratio;
average LOM underground mining cost amounts to $81/t mined (including power and
logistics).
Annual And Cumulative Cash Flows
13
-300
-200
-100
0
100
200
300
400
500
600
700
-3 -2 -1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
An
nu
al (
Can
adia
n $
mill
ion
s)
Project Year
Annual Cash Flow
Operating costs Capital costs
Working capital & bonding Taxes
Net revenue Post-tax cash flow, annual
-1000
-750
-500
-250
0
250
500
750
1000
1250
1500
1750
2000
2250
-3 -2 -1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17An
nu
al (
Can
adia
n $
mill
ion
s)
Project Year
Cumulative Cash Flow
Sensitivities to Gold Price and FX/ Post-Tax
14
NPV 5% ($M) Au price (US$/oz)
IRR (%) 1,000 1,300 1,600 1,900 2,200
CAD to
USD
0.95(379) 178 601 1,005 1,407
-6.8% 9.3% 18.4% 25.7% 32.2%
0.90(263) 283 721 1,146 1,570
-2.4% 11.7% 20.7% 28.1% 34.6%
0.85(132) 397 854 1,304 1,752
1.6% 14.2% 23.1% 30.6% 37.2%
0.802 523 1,005 1,481 1,958
5.1% 16.8% 25.7% 33.3% 40.0%
0.7693 625 1,126 1,626 2,125
7.3% 18.8% 27.7% 35.4% 42.2%
0.70261 821 1,367 1,912 2,455
11.2% 22.5% 31.6% 39.4% 46.4%
0.65408 1,004 1,590 2,176 2,760
14.4% 25.7% 34.9% 42.9% 50.0%
0.60576 1,215 1,851 2,484 3,117
17.9% 29.2% 38.6% 46.8% 53.9%
Sensitivities to CAPEX & OPEX / Post-Tax
15
NPV 5% ($M) CAPEX
IRR (%) -15.0% -10.0% -5.0% 0.0% +5.0% +10.0% +15.0%
OPEX
-15.0%1,371 1,343 1,315 1,286 1,258 1,230 1,201
35.3% 33.5% 31.9% 30.5% 29.1% 27.8% 26.6%
-10.0%1,318 1,290 1,261 1,233 1,205 1,176 1,148
34.3% 32.6% 31.0% 29.6% 28.2% 27.0% 25.8%
-5.0%1,265 1,236 1,208 1,180 1,151 1,123 1,095
33.3% 31.6% 30.1% 28.7% 27.3% 26.1% 25.0%
0.0%1,211 1,183 1,155 1,126 1,098 1,070 1,041
32.3% 30.7% 29.1% 27.7% 26.5% 25.3% 24.1%
+5.0%1,158 1,130 1,101 1,073 1,045 1,017 987
31.3% 29.7% 28.2% 26.8% 25.6% 24.4% 23.3%
+10.0%1,105 1,076 1,048 1,020 992 963 934
30.3% 28.7% 27.2% 25.9% 24.7% 23.5% 22.4%
+15.0%1,051 1,023 995 967 938 909 880
29.2% 27.7% 26.3% 25.0% 23.8% 22.6% 21.6%
16
Logistics and Transportation- Port▪ Freight shipped to Sabina Port
during summer months (July to September)
▪ equipment and supplies stored until winter then haul to site via Winter Ice Road
▪ Three sealifts received since 2018
Port
Goose Site
17
Port & Marine Laydown Area – Completed 2018
16
18
KM 0
KM 171
Forward Camp – 1st position
Forward Camp – 2nd position
Bathurst Inlet
Bathurst Lake
Winter Ice Road 172 km long from Port Facility to Goose Property
Project logistics - Haul equipment and supplies brought to Port via summer sealift to Goose Property for construction and operations
Annual Process:
▪ Open Port camp▪ Construct the Winter Ice Road from two headings (Port and Goose
Site) over 8 weeks▪ Utilize “Forward Camps” – mobile camps that can be used to house
crew along the route versus considerable daily travel back and forth to Port
▪ Haul freight to Goose Property over 10 weeks▪ First Winter Ice Road completed successfully in 2019
19
Winter Ice Road – “The Connector” Completed 2019
2020
Goose Site Layout
Plant & Accommodation Complex Layout
21
Crushing and Storage 3-D Model Mineralized Material Fed from Right to Left
Process Plant 3-D Model, Mineralized
Material Feed from Lower Right
22
Processing – Tonnes, Grade Milled and Gold Produced
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
Tonnes Milled 935 1186 1460 1460 1460 1460 1460 1460 1460 1460 1460 1460 865 682 429
Gold Produced (kozs) 285 261 312 281 295 226 215 236 250 237 224 219 125 114 72
Grade Milled 10.18 7.37 7.2 6.45 6.76 5.16 4.9 5.35 5.67 5.37 5.06 4.95 4.82 5.54 5.54
0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
9.0
10.0
11.0
12.0
0
200
400
600
800
1,000
1,200
1,400
1,600
Gra
de
Mill
ed (
g/t
)
Ton
nes
Mill
ed (
kto
nn
es)
and
Go
ld P
rod
uce
d (
koz)
Project Year
23
-
2.00
4.00
6.00
8.00
10.00
12.00
-
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
-3 -2 -1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Au
, g/t
To
nn
es
Year - Quarter
Mill Feed
High-Grade Tonnes Mid-Grade Tonnes Low-Grade Tonnes Mill Feed Target Tonnes Mill Feed Grade, g/t
Mill Feed (Including Stockpile) by Quarter
Permitting & Social License Achieved – UFS Project is Permitted
24
▪ All Major authorizations for construction and operations received
▪ Finalized Agreements with landowner Kitikmeot Inuit Association ▪ Will provide training, jobs, contracting
opportunities and royalty payments to Kitikmeot Region
▪ Renewable 20- year land use lease▪ Kitikmeot Inuit Association is an aligned
shareholder▪ Regional wealth creation initiative
payments – creating jobs outside of the mining industry – new precedent in Nunavut
Widespread support from communities
Opportunities for Further De-risking and Growth
25
▪ Stockpile of 2.2 Mt of mill feed and 372 koz Au ready prior to
commissioning;
▪ High confidence in conversion of further resources into reserves at
all deposits with a historical 73% conversion rate.
▪ All deposits in the UFS are open to depth with both new resources at
Llama Extension and Nuvuyak showing significant expansion
potential along trend.
▪ Sabina has advanced engagement with companies on alternative
energy generation for reduced carbon footprint options;
▪ Additional time, resources and funds for testing, commissioning,
start-up and ramp-up have been incorporated into the analysis;
▪ Expansion and development of the 2 M oz George Property as a
second potential mine; and
▪ Strong additional discovery potential of new economic gold zones
over the 80km Back River Gold District
Nunavut Canada – Over four decades of prosperity in mining
26
▪ Nunavut is well endowed with sizeable gold deposits
▪ Many historic and operating mines in the region
▪ Agnico Eagle – Meadowbank Mine, a good performing mine at ½ grade of Back River
▪ Agnico has two new mines in Nunavut and has just acquired TMAC/Hope Bay
▪ A safe jurisdiction with certainty of tenure and district scale opportunities
Back River: A District Scale Gold Opportunity100% OWNED BY SABINA
Multigenerational Mining opportunities:
▪ 5 claim blocks on the 80km belt
▪ Most advanced is Goose – initial mine – 8km of iron formation
▪ Second most advanced is George – 50 km from Goose Mine
▪ Continue to generate brownfield & greenfield targets.
▪ Growth to be generated internally
Back River Property
80 Km
Kilometres
0 12.5 25
LEGEND
Inuit Owned Land
Camp
Area of Interest
Claim
Lease
Surface
Subsurface and Surface
George Project
BootBoulder
Goose Project
Del
Bath
27
Port
Significant existing resources at George on 20km of largely unexplored iron formation offering
opportunity for another mining complex on the Back River district. As development continues at
Goose, exploration will turn to George.
Indicated: 1.2 M oz @ 5.34 g/tInferred: 1.0 M oz @6.12 g/t
M&I: 5.1 M oz at 6.02 g/t AuInferred: 1.8 M oz at 6.64 g/t
See slides #27 & 28 for resource/reserve estimate QA/QP
28
2
7
6
54
Few permitted advanced exploration projects in Canada’s NorthGeorge Property 50 km from first mine at Goose. Next area of development?
0 1 2 3 4 5 6 7
Sabina - George Project
Nighthawk Gold - Colomac
Gold Mining Inc - Yellowknife Gold Project
White Gold - Golden Saddle/Arc
Gold Terra Resource - Yellowknife City Gold
Rockhaven Resources - Kaza
Atac Minerals - Orsis and Tiger
Northern Exploration Projects
Grade (g/t Au) Resource Ounces Gold (MOz)
Company Market
Capitalization
Gold Mining Inc $320m
White Gold Corp $93m
Nighthawk Gold $54m
Gold Terra Resource
Corp.
$49m
Rockhaven
Resources
$34m
Atac Resources $31m
Sabina’s George Project is more advanced, higher grade and permitted for exploration. Minimal value being realized
Back River is a Company Maker – What is Next?
29
▪ Completion of detailed engineering 1H, 2021
▪ Debt Process being refreshed using updated feasibility metrics
▪ Preparing for financing window to make a production decision 2021
▪ Mobilizing for camp March 2021
▪ Exploration at George (first since 2013)
Upcoming Milestones
Sabina is fortunate to own one of the best development projects in the sector. Shovel ready, district scale, large, high grade and in Canada: positioned for a re-
rating once a production decision is made
Sabina is Poised for a re-rating once a production decision is made
30
No Value ascribed for
▪ Multi-generational district owned 100% by Sabina – imbedded growth
▪ Premier jurisdiction▪ Remaining ounces in mineral resource
estimate & exploration upside▪ Compelling economics and achievable
mine plan▪ enhancing economics and production
profile and reducing payback period▪ Hackett River Royalty – option on silver
for the future▪ Environmental and Social Licenses in
hand
Back River is a company maker and a coveted Project
Sabina is here
Capital Structure
31
Major Shareholders Analyst Coverage
Share Price C$2.70TSX SBBOTCQX SGSVFMarket Cap C$870mI & O ~326mFully Diluted ~340mCash (Q3, 2020) C$65mDebt None
Zhaojin International ~9.9%Dundee Precious
Metals
~9%
Van Eck ~8%Sun Valley Gold ~6%Wheaton Precious
Metals
~4%
Directors and
Management
~1.1%
BMO Andrew MikitchookCanaccord Kevin MackenzieCantor Fitzgerald Matt O’KeefeCormark Brock ColterjohnEchelon Ryan WalkerIndustrial Alliance George ToppingNational Bank Jonathan EgiloParadigm Lauren McConnellRBC Wayne LamSprott Brock SalierTD Arun LumbaShare Ownership Breakdown
22.9% Strategic
35% Institutional
41% Retail
1.1 % Management
Average 12-month target price: ~C$4.00
Management & Board of Directors
32
Bruce McLeod President & CEO
Elaine BennettVice-President, Finance &
CFO
Nicole Hoeller
Vice-President,
Communications &
Corporate SecretaryAngus Campbell Vice-President, Exploration
Mathew PickardVice-President, Environment
& Sustainability
Combined exploration, mine development, permitting operations & capital markets experience in over 110
projects & companies
David FennellNominating & Governance Committee, HS&E Committee
James MortonNominating & Governance Committee Chair, Audit Committee
David RaeHS&E Committee Chair, Compensation Committee
Walter Segsworth, Chair of the Board
Compensation Committee Chair, HS&E Committee
Anna StylianidesAudit Committee, Compensation Committee
Anna TudelaNominating & Governance Committee
Anthony WalshAudit Committee Chair, Nominating & Governance Committee
Leo ZhaoCompensation Committee, Nominating & Governance Committee
D. Bruce McLeod President & CEO
33
APPENDIX
Mineral Resource Estimate – December 2020
34
Resource
ClassificationTonnes (kt)
Grade (g/t
Au)
Metal (koz
Au)
Measured 9,707 5.75 1,796
Indicated 23,745 5.93 4,525
Measured and
Indicated33,452 5.88 6,321
Inferred 13,794 6.44 2,856
Source: AMC, 2020.
Notes: CIM Definition Standards (2014) were used for
reporting the Mineral Resources.
The Qualified Person is Dinara Nussipakynova, P.Geo. of AMC
Mining Consultants (Canada) Ltd.
Measured and Indicated Mineral Resources are inclusive of Mineral
Reserves.
Metal price: US$1,550 /troy oz for gold
Exchange rate: 1.00 US$:1.31 C$.
Process Recovery: Goose deposits is 93% and for George deposits
is 95%.
Cut-off grade: for Goose and George deposits, open pit is 1.4 g/t Au.
Goose deposits underground is 3.0 g/t Au. George deposits
underground is 3.5 g/t Au.
Goose Mineral Resources deposits are Goose Main, Umwelt, Echo,
Llama, Llama Extension and Nuvuyak.
George Mineral Resources deposits are LCP North, LCP South,
Locale 1, Locale 2, GH, and Slave.
Open pit Mineral Resources are constrained by an optimized pit shell
using gold price and exchange stated above.
The George underground Mineral Resources were estimated within
mineral domains expanded to a minimum horizontal width of 2 m.
Drilling results for Goose Main, Echo, Llama Extension and Nuvuyak
are up to November 15, 2020.
Drilling results for Umwelt are up to October 16, 2020.
Drilling results for Llama and all George deposits are up to
December 31, 2013.
The numbers may not add due to rounding.
• Geological and mineralization 3D wireframes were created by Sabina in Leapfrog Geo software,
and were informed with diamond drilling intersected lithologies, alteration, sulphidation, gold
assays and structure, as well as surface mapping data. Gold domains range from two to 40 metres
in true thickness and occur predominantly within antiform fold hinges and limbs of oxide iron
formation. The number of gold domains across the property range from two at Echo to 24 at
Goose Main, reflecting the increase in structural complexity at the deposits.
• Ten block models were updated and two block models were created, all produced using
DatamineTM Studio RM software. Block sizes within the block models vary by deposit ranging
between two and ten metres in length, width and height, and all models were sub-blocked by
geology and mineralization. All models except the Echo deposit were rotated to align to deposit
specific mineralization.
• Estimation was carried out predominantly by Ordinary Kriging (OK), with smaller or less populated
gold domains by Inverse Distance Squared (ID2). At the George Site, 2D Accumulation was utilized
at the Locale 1, Locale 2, GH and Slave deposits prior to estimation. All parameters for estimation
were informed by variography on composited intervals.
Mineral Resources are not Mineral Reserves and as such do not have demonstrated economic viability.
35
Area Classification
Diluted Tonnes
(‘000s)
Diluted Grade
(Au g/t)
Contained
Au
(oz ‘000s)
Total Open Pit Proven 7,471 5.42 1,302
Probable 2,412 4.80 372
Total Underground Proven 537 7.21 124
Probable 8,272 6.73 1,790
Total Back River
Property
Proven 8,008 5.54 1,426
Probable 10,684 6.29 2,162A gold price of US$1500/oz is assumed.An exchange rate of CDN$1.31 to US$1.00 is assumed.The numbers might not add due to rounding.Diluted Au grades are shown/listed for both COG and Mineral Reserves.Notes for open pit:Dilution and recovery factors are applied as per open pit mining method.A COG of 1.72 g/t was used on undiluted grade for the Umwelt Open Pit Mineral Reserve Estimate.A COG of 1.74 g/t was used on undiluted grade for the Llama Open Pit Mineral Reserve Estimate.A COG of 1.70 g/t was used on undiluted grade for the Goose Main Open Pit Mineral Reserve Estimate.A COG of 1.60 g/t was used on undiluted grade for the Echo Open Pit Mineral Reserve EstimateNotes for underground:Dilution and recovery factors are applied as per underground mining method.A COG of 3.9 g/t was used for the Umwelt underground Mineral Reserve Estimate.A COG of 4.1 g/t was used for the Llama underground Mineral Reserve EstimateA COG of 4.1 g/t was used for the Goose Main underground Mineral Reserve EstimateA COG of 3.5 g/t was used for the Echo underground Mineral Reserve Estimate
Mineral Reserve Estimates Jan 15, 2021
Updated Feasibility Study – QP/QA
36
Qualified person Company QP Responsibility/Role
Denis Thibodeau Sacré-Davey
Engineering
Executive Summary, Introduction, UG Mining,
Infrastructure, Market Studies, CAPEX/OPEX, Other
Relevant Data, Interpretations, Recommendations,
References, Abbreviation
Jacinta Klabenes Mining Plus
Canada Consulting
Ltd
Underground Mining, Open pit Mining Methods,
Overall Production Schedule, Waste Rock Storage
Maurice Mostert Mining Plus
Canada Consulting
Ltd
Underground Reserves, Open Pit Reserves
John Morton
Shannon
AMC Mining
Consultants
(Canada) Ltd
Property Description, Accessibility, History, Geology,
Deposits, Exploration, Drilling, Sample Preparation,
Adjacent Properties
Dinara
Nussipakynova
AMC Mining
Consultants
(Canada) Ltd
Mineral Resource Estimates, Data Verification
Richard Cook Knight Piésold Ltd Environment, Water Management Planning, Tailings
Disposal, Closure
Amber Blackwell Knight Piésold Ltd Geochemistry
Ben peacock Knight Piésold Ltd Geomechanical
John Kurylo SRK Consulting Water Management Infrastructure, Tailings
Deposition
Shervin Teymouri Sacré-Davey
Engineering
Market Studies and Contracts, Economic analysis
Stacy
Freudigmann
Canenco
Consulting Corp
Metallurgy, Recoveries, Process
Authors and Qualified Persons Statement
The UFS was prepared under the direction of Sacré-Davey Engineering consultants
and subject matter experts, all Qualified Persons (QP) under National Instrument 43-
101. The QPs have reviewed and approved the content of this news release.
Consultants and QP are identified in the table below.
Mr. Vincy Benjamin, P. Eng, PMP, and Director of Engineering for Sabina Gold & Silver
Corp. is a Qualified Person within the meaning of NI 43-101 and has reviewed the
technical content of this news release and has approved its dissemination.
The Mineral Resources for the Back River Property were prepared and approved by
Ms. Dinara Nussipakynova P. Geo of AMC Mining Consultants (Canada) Ltd, who is
independent of Sabina and a qualified person within the meaning of NI 43-101. Ms.
Dinara Nussipakynova has approved the contents of this press release as it pertains
to the estimation work and results.
Mr. James Maxwell P. Geo. and Director of Exploration for Sabina Gold & Silver Corp.
is a Qualified Person under the terms of NI 43-101 and has reviewed the technical
content in relation to geoscience of this press release for the Back River Property and
has approved its dissemination.
Sabina Gold and Silver corporation is also grateful for the assistance from Subject
Matter Experts, PriceWaterHouse Cooper and Sacre-Davy Engineering.
Category Unit 2015 IFS 2021 UFSInventory KtGrade g/t 6.3 6.0Contained koz Au 2,503 3,588Recovery % 93.0 93.4Throughput tpd 2,882 3,670Total Production Koz Au 2,319 3,351
Average Annual
Production LOM
Koz Au 198 223
Yrs 1-5 avg annual
production
Koz Au 275 287 (peak
312 Y3)Cash Costs US$ 534 679AISC US$ 620 775Mine Life Years 11.8 15NSR Royalties &
Refining
C$M 121 354
UG Mining Cost C$/t mined 64 81OP Mining Cost C$/t mined 3.35 4.16Mining Cost C$/t ore mined 45 57Processing Cost C$/t processed 37 37Site/Off-site Services
(incl freight)
C$/t processed 15 25
G&A C$/t processed 18 22Operating cost C$/t processed 115 141
Initial CAPEX C$M 415 610
Sustaining CAPEX C$M 185 377
Sustaining CAPEX/Year C$M 16 25
Closure Cost C$M 64 41
Gold Price US$ 1,150 1,600
Discount Rate % 5% 5%
(US$:CAD) 1 CAD = 0.80 0.76
NPV at build start pre-tax C$M
NPV at build start post tax C$M 480 1,126
IRR at build start pre-tax C$M
IRR at build start post tax % 24.2 27.7
Operating Margin % 57% 61%
Annual Average FCF C$M 110 160
LOM FCF C$M 782 2,026
Payback Years 2.9 2.3
Break Even post tax gold
price (NPV5%=0)
US$ 795 955
37
UFS Metrics
38
Projected LOM Production
Open pit ore to process kt 9,883 53%
Underground ore to Process kt 8,815 47%
ROM to Process – Total kt 18,698 100%
Ore Grade
ROM Grade to Process - O/P g/t Au 5.3
ROM Grade to Process - U/G g/t Au 6.8
ROM Grade to Process - Average g/t Au 6.0
Operating Metrics
LOM Production - O/P koz Au 1,674 47%
LOM Production - U/G koz Au 1,914 53%
LOM Production - Total koz Au 3,588 100%
Avg. Annual Production koz Au / year 223
Mine Life Years 15
O/P Strip Ratio 10:1
Mill Design Throughput tpd 3,000-4,000
Gold Recovery (LOM) % 93.4
Projected Life Of Mine Production
Mined versus Milled Tonnage
39
0
200
400
600
800
1000
1200
1400
1600
1800
-3 -2 -1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
Tho
usa
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es p
er y
ear
Project year
Mined versus milled tonnage
Total ore mined Total tonnes processed Total mined from open pit Underground mill feed tonnes as mined