Mr. Bruce McLeod reports

SABINA GOLD & SILVER ANNOUNCES BACK RIVER ENVIRONMENTAL IMPACT STATEMENT ADDENDUM FILED AND ACCEPTED BY NIRB

Sabina Gold & Silver Corp.'s addendum to the final environmental impact statement for the Back River gold project, submitted to the Nunavut Impact Review Board (NIRB) on Feb. 15, 2017, has been formally accepted by the NIRB, and the technical review has begun.

On June 15, 2016, the NIRB recommended to the Minister of Indigenous and Northern Affairs Canada (INAC) that the Back River project should not proceed to the next phase of permitting. On Jan. 12, 2017, the Minister of INAC referred the report back to the NIRB for further consideration.

On Jan. 24, 2017, the NIRB requested that Sabina file an updated final environmental impact statement (FEIS) or FEIS addendum as soon as practicable. Sabina filed the FEIS addendum on Feb. 16, 2017, which focuses on the deficiencies noted in the NIRB's final hearing report as well as the minister's referral letter. On Feb. 23, 2017, Sabina was advised by the NIRB that the FEIS addendum was formally accepted and the technical review has begun.

A copy of the minister's letter as well as the recently received Feb. 23 NIRB letter can be found on the company's website.

The NIRB has provided the following guidance for timelines for review of the FEIS addendum:

• Feb. 23, 2017 -- the NIRB initiates the technical review of the project proposal and requests final written submissions from interested parties;
• March, 2017 -- the NIRB issues notice of final hearing (60-day public notice requirement);
• April 24, 2017 -- parties submit final written submissions to the NIRB;
• May 15, 2017 -- Sabina submits its response to final written submissions to the NIRB;
• May 24, 2017 -- the NIRB facilitates a technical meeting via teleconference (optional step to be utilized if deemed necessary/appropriate);
• May 26, 2017 -- parties file presentations for final hearing (tentative date only);
• May 31 to June 3, 2017 -- the NIRB final hearing (tentative dates only);
• July, 2017 -- the NIRB issues the updated final hearing report for the Back River project proposal.

"Sabina has worked diligently in anticipation of submitting additional information to the NIRB and we look forward to working through the next steps in the process with all parties," stated Bruce McLeod, president and chief executive officer. "We have focused on the concerns outlined in the NIRB report from last June and believe we will be able to present relevant and new information to address the NIRB's high level of caution with relation to project impacts in Nunavut. We continue to receive broad-based Inuit support for the project and continue to engage and consult with all stakeholders. We believe Back River is a world-class project with a large high-grade reserve/resource in a jurisdiction that is supportive of responsible mining."

Copies of the addendum will be provided to relevant regulatory authorities, aboriginal groups, communities and other interested parties over the coming weeks. Reviewers may participate in the review phase, which will culminate in a final public hearing anticipated tentatively to be held from May 31 to June 3, 2017, in Cambridge Bay. Following this review process, the NIRB will issue a new recommendation to the Minister of INAC on whether or not the project should proceed to the next stage in the permitting project. If the project successfully passes through this stage, the company could be in a positon to receive a project certificate during the second half of 2017. A project certificate would be a major derisking event for Back River and the company.

Flow-through financing

The company expects to close its recently announced flow-through financing including the overallotment on Feb. 28, 2017, for gross proceeds of approximately $6-million.

We seek Safe Harbor.