Over the past few years, Sabina has been steadily advancing logistics, civil works, engineering and procurement. All pre-development activities are now completed and we are ready for full construction to commence in 2023. All major equipment and materials required for construction have been either procured, marshalled at our east and west transportation hubs, have been delivered or are in transit to the Port Facility in Bathurst Inlet,
“This is a milestone decision for the Company,” said
“Additionally, we are fortunate that our strategy of pre-planning and accelerating procurement efforts has reduced our exposure to inflationary impacts and supply chain issues, and we are sufficiently funded for construction. This is an exciting time for the Company as we move to develop what we believe will be the first mine on this prolific gold district,” he said.
After the Company arranged over
Of the
Advancement Highlights and Schedule
Engineering
- FLSmidth (“FLS”) has been selected to supply the key process equipment for the
Goose Mine . The equipment package is valued at approximatelyUS$39 million and has been fabricated or is in the production queue for delivery on or before the 2023 sealift to ensure installation prior to the mine start-up date, scheduled for Q1, 2025. - The design for the Echo open pit, which is to be pre-mined to enable initial tailings storage was completed and pre-stripping is now underway. The early mining of the Echo and Umwelt pits, will ensure approximately two years’ worth of stock-piled feed for the mill, will be available prior to commencement of operations; and
- Detailed engineering is approaching 85% completion for the overall project and approximately 95% for the process plant design. The remaining engineering activities are focused on updating vendor data, as the procurement activities progress on miscellaneous equipment.
Issued For Construction drawings (“IFC”) for all structures are complete with engineering on IFC secondary steel structures expected during the 3rd quarter of this year. Additionally, the IFC drawings for the process plant piping are also near completion.
Procurement
All major items for construction have been procured.
Items include:
- 24 MW (N+2 configuration) Power plant co-generation system with boilers and ancillary equipment (prime power generators) have already been delivered to our Port;
- 95% of the planned mining fleet;
- All major process plant components (for a plant with a capacity of 4000 TPD);
- Permanent accommodation complex (500 units) with kitchen and recreation center;
- 95% of building envelope steel and cladding;
- 100% of project explosives required for construction phase;
- Mobile cranes and major construction support equipment;
- Allof the project cement & rebar requirements – with concrete batch plant available on site;
- 80% of secondary structural steel for the process plant and Process piping;
- 100% of all tailing, reclaim and freshwater piping for the project (~11.5Km of piping).
- All conveyor galleries and arctic corridors.
- All electrical E-houses.
- Electrical switch gear for the Powerhouse.
- Water and sewage treatment plant.
- HVAC unit and Dust collections systems.
- Fuel dispensing and offloading system for Goose and the port site.
- All the construction and mobile equipment required for the winter ice road construction (construction on both ends of the road to commence simultaneously).
- Crushing/screening unit and washer plant on site for concrete aggregate;
- Additional 15 million liter tank storage for both Goose and Port sites; and
- Liner material for all water management structures.
There is approximately
- Remaining platework, pumps and tank insulation - materials for which engineering is completed and quotes are being finalized;
- Electrical bulks and cable tray;
- Electrical miscellaneous equipment (process plant and powerplant);
- PLC controls systems;
- Instrumentation for the project;
- Communication systems; and
- Balance of fuel storage at Goose and Port Sites.
Civil Works & Logistics
Considerable pre-development activities have already been completed at the Goose and Port sites.
Port Facility and 2022
At the Port Facility an additional 25,000m2 of laydown area for equipment and supply storage has been completed.
To reduce the length of the
Port Facility Work Completed in 2022: https://www.globenewswire.com/NewsRoom/AttachmentNg/6671b636-078a-47e9-a2ca-bc3d935ed740
Additionally, 1.7 km of fuel transfer conduit and road was constructed and installed to safely and efficiently facilitate this year’s fuel delivery.
Completed Fuel Transfer Conduit at Port Facility: https://www.globenewswire.com/NewsRoom/AttachmentNg/d94ec9f4-9530-48ea-99d1-22e6af1e28bc
The first vessel from the east arrived at the Port Facility on
First Vessel received, off-loaded and departed
The first barge with equipment & supplies from the west is expected to depart Tuktoyaktuk on
Goose Site Civil Works
At Goose, approximately 45% of overall project and ~98% of plant site civil works have been completed or are underway including:
- All building bedrock preparations are nearing completion to be ready for concrete civil crews next year;
- 25M liter fuel berm containment is complete;
- 10M liter fuel tank is being prepared for the WIR fuel offload;
- Fresh and potable water systems are being constructed for permanent camp use;
- Plant site dump pond lining placement is underway; and
- Exploration camp upgrades have been completed.
Arial View Of Plant and Accommodation Pad: https://www.globenewswire.com/NewsRoom/AttachmentNg/59384730-028e-44eb-b681-87e48473a282
10M Liter Fuel Tank and Berm and plant/accommodation pad construction 2022: https://www.globenewswire.com/NewsRoom/AttachmentNg/32352b10-299f-4fae-887a-569c373cb188
Additionally,
Pre-Stripping at
Development of the underground portal has progressed with approximately 992m completed. With first underground exploration drilling expected to commence in the 4th quarter.
Umwelt Underground Portal
Human Resources and Recruitment
Upon completion of the project financing package earlier this year, the Company established a Human Resources team with a focus on recruiting and enhancing exiting policies and protocols to enable successful development into a producer. The HR team has been very successful in adding key personnel to the Company roster increasing from 30 full-time employees in March of this year to 142 full-time employees to-date.
Alternative Energy Initiative
Sabina has submitted a regulatory package to the
Sabina filed an Updated Feasibility Study (the “UFS”) on its first mine on the district, the
The Project has received all major permits and authorizations for construction and operations.
The Company has arranged a comprehensive project financing package comprised of:
- A
US$425 million senior secured debt facility, gold prepay and stream package withOrion Mine Finance and Wheaton Precious Metals Corp.; and US$221 million in equity including Zhaojin’s participation.
The Company is also very committed to its Inuit stakeholders, with Inuit employment and opportunities a focus. The Company has signed a 20-year renewable land use agreement with the
The Company continues to advance exploration and project optimization, including advancing the planned plant expansion to 4,000 tpd from Year two to initial startup.
All news releases and further information can be found on the Company’s website at www.sabinagoldsilver.com or on SEDAR at www.sedar.com. All technical reports have been filed on www.sedar.com
For further information please contact:
nhoeller@sabinagoldsilver.com
Forward Looking Information
This news release contains “forward-looking information” within the meaning of applicable securities laws (the “forward-looking statements”), including, but not limited to, statements related to the expected use of proceeds of the Offering and the projections and assumptions of the results of the UFS. These forward-looking statements are made as of the date of this news release. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the future circumstances, outcomes or results anticipated in or implied by such forward-looking statements will occur or that plans, intentions or expectations upon which the forward-looking statements are based will occur. While we have based these forward-looking statements on our expectations about future events as at the date that such statements were prepared, the statements are not a guarantee that such future events will occur and are subject to risks, uncertainties, assumptions and other factors which could cause events or outcomes to differ materially from those expressed or implied by such forward-looking statements. Such factors and assumptions include, among others, the uncertainty of production, development plans and costs estimates for the
Tel 604 998-4175 Fax 604 998-1051
http://www.sabinagoldsilver.com
Figure 1.0
Port Facility Work Completed in 2022
Figure 2.0
Completed Fuel Transfer Conduit at Port Facility
Figure 3.0
First Vessel received, off-loaded and departed September 6th, 2022
Figure 4.0
Aerial View of Process and Accommodation Pad & Road Network
Figure 5.0
Arial View Of Plant and Accommodation Pad
Figure 6.0
10M Liter Fuel Tank and Berm and plant/accommodation pad construction 2022
Figure 7.0
Pre-Stripping at Echo Pit
Figure 8.0
Umwelt Underground Portal September 2022
2022 GlobeNewswire, Inc., source