Ms. Nicole Hoeller reports

SABINA GOLD & SILVER CORP. ANNOUNCES C$30 MILLION BOUGHT DEAL FINANCING

Sabina Gold & Silver Corp. has entered into an agreement with a syndicate of underwriters co-led by BMO Capital Markets, Canaccord Genuity and Cormark, under which the underwriters have agreed to buy, on a bought deal basis, 18.41 million common shares, at a price of $1.63 per common share, for gross proceeds of approximately $30-million. The company has granted the underwriters an option, exercisable at the offering price for a period of 30 days following the closing of the offering, to purchase up to an additional 15 per cent of the offering to cover overallotments, if any. BMO Capital Markets is the sole bookrunner on the offering. The offering is expected to close on or about May 20, 2016, and is subject to Sabina receiving all necessary regulatory approvals.

The net proceeds of the offering will be used to advance development of the company's Back River gold project, including detailed engineering and permitting on the project, and for working capital and general corporate purposes.

The common shares will be offered by way of a short form prospectus in all of the provinces and territories of Canada, except Quebec, and may also be offered by way of private placement in the United States.