Sabina drills 42.95 m of 180.5 g/t Ag at Hackett River
2006-09-20 10:06 ET - News Release
Shares issued 47,061,244
SBB Close 2006-09-19 C$ 1.20
Mr. Abraham Drost reports
SABINA'S HACKETT RIVER ASSAY UPDATE INCLUDES DEEP STEPOUT HOLE WITH 42.95M OF 8.35% ZINC AND 180.5g/T SILVER
Sabina Silver Corp. has provided an assay update for holes 22 to 45 from 2006 drilling at Hackett River. A total of 17,293 metres in 53 holes was drilled at Hackett River this year. The silver and zinc-rich character of the Hackett River massive sulphide mineralization continues to be confirmed down plunge on the Boot Lake deposit with a step-out hole at 500 metres vertical depth, SHR-06-32, which intersected 42.95 metres grading 8.35 per cent zinc and 180.5 grams per tonne silver. A second 50-metre down plunge step-out hole from the same setup, SHR-06-37, contains 49.85 metres of 9.18 per cent zinc and 141.6 g/t silver. A separate copper and precious metal-enriched footwall stringer zone underlying the Boot Lake massive sulphide deposit was intersected in Hole SHR-06-37 with copper-silver-gold stringer mineralization over 20.15 metres grading 1.59 per cent copper, 259.9 g/t silver and 3.1 g/t gold.
Sabina is currently updating the Hackett River deposit model and is on track to meet its 2006 goal of an updated National Institute 43-101-compliant mineral resource estimate and independent scoping level discounted cash flow economic analysis of the Hackett River project. Approximately 40 per cent of the total 17,293 metres drilled this year was devoted to infill work upgrading the inferred mineral resource at Hackett River to the higher confidence level indicated mineral resource. The balance (60 per cent) was step-out work, as all three deposits (Boot Lake, Main Zone and East Cleaver) remained open. Optimized metallurgy and baseline environmental work is in progress.
Sabina has an undivided 100-per-cent interest in its polymetallic Hackett River project, which contains a NI 43-101-compliant indicated mineral resource based on 2005 drilling (see table below). The magnitude of the contained silver resource alone at Hackett River ranks Sabina among the top-12 silver-focused companies operating in the Western Hemisphere. A substantial zinc endowment with appreciable copper, lead and gold, will also factor prominently in the 2006 mineral resource update and scoping level discounted cash flow analysis.
2005 NI 43-101 CUMULATIVE INDICATED MINERAL RESOURCE -- HACKETT RIVER DEPOSITS
Cut-off Ag Ag Eq* Zn Eq* Ag Zinc Cu Lead Au g/t
Eq oz/ton Tons oz/ton % oz/ton % % %
>20 11,046,617 26.57 12.17 5.67 7.69 0.41 1.19 0.52
>15 20,251,800 22.41 10.26 4.75 6.35 0.40 1.00 0.49
>10 31,300,755 18.88 8.64 3.92 5.30 0.37 0.84 0.45
>5 39,347,008 16.65 7.62 3.40 4.63 0.36 0.73 0.41
Ag Eq equals silver equivalent; Zn Eq equals zinc equivalent; derived after
normalizing 43-101 indicated mineral resource contained silver, zinc, lead,
copper and gold to silver and zinc respectively using historical metallurgical
recoveries and conservative metal prices.
Present metal recoveries (Cominco, 1981) zinc 81.8 per cent, silver 66.7 per
cent, copper 69.6 per cent, lead 70 per cent, gold 50 per cent metal price
(United States dollars) (Wardrop, 2005) zinc 53 cents per pound, copper $1.23
per pound, lead 38 cents per pound, gold $434 per ounce, silver $6.56 ounces
troy.
Updated 2006 drill core assay highlights from Hackett River are presented in the table below. The company is waiting on assays for seven additional holes pending at this time and will publish a complete list of all 2006 program results when available as drilling is now complete.
SUMMARY OF 2006 DRILL HOLE COMPOSITE ASSAYS (HOLES SHR-06-22-45)
Hole ID From To Interval Cu Pb Zn Ag Au Comments
(m) (m) (m) (%) (%) (%) (g/t) (g/t)
SHR-06-22 93.55 97.85 4.30 0.20 1.84 13.43 183.20 0.19 infill
incl. 100.40 109.90 9.50 0.08 0.53 2.94 78.80 0.09
SHR-06-23 451.70 470.90 19.20 0.22 1.27 7.17 157.10 0.12 step-out
incl. 451.70 454.95 3.25 0.17 1.77 11.23 240.40 0.19
SHR-06-24 412.15 449.25 37.10 0.51 0.86 5.13 238.90 0.58 step-out
incl. 412.15 418.05 5.90 0.40 2.45 14.15 414.00 0.22
431.25 436.20 4.95 0.83 1.85 3.78 465.40 0.50
SHR-06-25 462.00 464.90 2.90 0.15 1.19 0.03 157.20 0.01 step-out
incl. 517.85 528.90 11.05 0.35 0.74 9.80 122.40 0.04
517.85 520.05 2.20 0.45 2.07 13.85 271.80 0.06
521.70 524.50 2.80 0.22 0.60 16.11 97.50 0.03
537.40 552.40 15.00 0.30 1.23 0.12 252.40 0.25
544.40 552.40 8.00 0.20 1.92 0.03 345.50 0.33
560.25 561.40 1.15 0.20 1.29 0.40 1899.70 21.60
564.85 569.75 4.90 0.37 0.06 2.25 84.70 0.22
571.75 586.85 15.10 1.03 0.08 1.09 113.40 0.41
576.05 578.00 1.95 2.51 0.02 1.41 219.60 0.55
SHR-06-26 439.05 444.10 5.05 0.50 0.82 4.20 161.90 0.09 step-out
incl. 455.05 466.20 11.15 1.68 0.15 1.14 181.60 0.51
458.90 463.30 4.40 2.44 0.27 2.02 266.70 0.93
501.10 504.50 3.40 1.70 0.21 2.00 70.10 1.18
522.35 524.80 2.45 3.38 0.01 0.40 101.90 0.79
SHR-06-27 476.30 490.90 14.60 0.12 0.69 5.08 175.10 0.19 step-out
incl. 497.70 514.40 16.70 0.95 0.04 0.78 191.00 0.45
SHR-06-28 575.60 610.50 34.90 0.31 0.76 6.53 252.50 0.11 step-out
incl. 575.60 582.25 6.65 0.09 1.09 12.14 255.00 0.08
594.60 598.30 3.70 0.14 0.04 11.83 77.20 0.08
617.45 623.00 5.55 0.61 0.06 1.23 209.30 0.26
627.20 644.20 17.00 0.67 0.05 0.70 200.30 0.29
SHR-06-29 379.90 392.25 12.35 0.90 0.58 3.40 199.20 0.14 step-out
incl. 394.00 396.45 2.45 1.25 0.14 0.91 584.20 1.46
427.30 429.25 1.95 7.64 0.01 0.85 161.70 0.88
SHR-06-30 no significant values step-out
SHR-06-31 abandoned
SHR-06-32 474.80 485.75 10.95 0.16 0.87 5.13 137.10 1.59 step-out
incl. 489.85 532.80 42.95 0.29 1.44 8.35 180.50 0.17
494.75 500.50 5.75 0.19 2.18 20.58 214.70 0.11
519.50 523.55 4.05 0.13 2.48 10.73 245.90 0.35
536.80 548.15 11.35 0.50 0.17 2.27 76.30 0.22
SHR-06-33 602.00 629.15 27.15 0.07 1.07 4.20 284.80 0.77 step-out
619.55 622.05 2.50 0.12 3.66 0.28 1278.00 3.47
635.00 637.40 2.40 0.19 0.07 4.35 62.50 0.16
SHR-06-34 abandoned
SHR-06-35 267.90 279.70 11.80 0.90 0.50 0.53 365.80 1.21 infill
SHR-06-36 no significant values step-out
SHR-06-37 515.75 565.60 49.85 0.20 1.19 9.18 141.60 0.11 step-out
incl. 526.20 529.40 3.20 0.10 2.21 19.76 198.90 0.07
541.95 543.90 1.95 0.14 1.02 20.64 154.60 0.10
552.50 556.20 3.70 0.29 0.90 14.08 133.10 0.11
568.65 587.55 18.90 1.14 0.57 0.51 285.90 0.63
593.45 613.60 20.15 1.59 0.54 0.29 259.90 3.10
596.40 597.90 1.50 1.72 6.20 0.37 1130.00 39.79
SHR-06-38 no significant values step-out
SHR-06-39 425.15 427.90 2.75 0.19 3.02 12.50 399.20 0.29 step-out
incl. 445.45 450.80 5.35 0.08 0.45 1.73 112.90 0.19
459.10 468.55 9.45 0.12 0.52 6.28 134.90 0.11
477.35 479.00 1.65 0.26 1.68 9.19 320.30 0.15
SHR-06-40 161.35 165.75 4.40 0.07 2.19 9.41 279.00 0.24 infill
incl. 171.80 178.00 6.20 0.08 1.73 11.52 271.60 1.00
SHR-06-41 108.60 117.70 9.10 0.21 0.01 6.54 46.20 0.05 infill
incl. 109.85 111.05 1.20 0.11 0.00 19.97 20.00 0.01
133.10 134.65 1.55 0.62 0.31 0.46 216.40 0.38
138.25 140.90 2.65 0.05 0.81 1.59 280.70 3.91
SHR-06-42 no significant values infill
SHR-06-43 80.55 82.65 2.10 0.16 0.06 10.52 18.00 0.12 infill
SHR-06-44 abandoned
SHR-06-45 no significant values infill
Sabina spent a total of $12-million in 2004 and 2005 to gain a 100-per-cent interest in the Hackett River project subject to a 2-per-cent net smelter return royalty held by Cominco Mining Partnership (CMP), an affiliate of Teck Cominco Ltd. CMP relinquished all back-in rights to the Hackett River project in November, 2005.
The Hackett River drill program is being carried out under the supervision of Douglas Kim, PGeo. Resource development manager and a qualified person under National Instrument 43-101. Mr. Kim supervised drill hole planning, implementation and application of a quality assurance/quality control (QA/QC) sampling system incorporating the regular use of sample standards, blanks and duplicates and has approved the technical content of this news release. Core was one-half split, with half sent to ISO-accredited Accurassay Laboratories, Thunder Bay, along for sample preparation and analysis.
In other matters, John Trinnear, CA, has been appointed as acting chief financial officer of Sabina in place of Duncan Caldwell who has taken a leave of absence. Mr. Trinnear is currently working as controller for Sabina and worked as finance and administration consultant for MacKinnon Transport Inc. in Ontario during 2004 and 2005. Prior to this, Mr. Trinnear was the corporate controller/vice-president finance for FTI Consulting in London, Ont., from 1992 to 2004, as well as controller for two other companies from 1979 to 1992.
In addition, the company has granted 50,000 stock options, exercisable at a price of $1.23 per share, up to and including Sept. 19, 2011.
We seek Safe Harbor. |
