NWT Mineral Exploration

[kraftdinner]

Sabina Silver maps out new course


2005-10-17 08:02 MT - News Release

Mr. Abraham Drost reports

SABINA SILVER CORPORATION - NEW FOCUS ON SILVER SECTOR

Sabina Silver Corp. has changed its name to reflect a new corporate focus within the silver sector. Following the company's recent success in Red Lake that was capitalized into a successful $11.5-million project sale, Sabina will focus on its Hackett River property and the recently optioned Del Norte project in British Columbia. A recent resource completed on the Hackett River property in Nunavut, indicates that Sabina's current silver resource endowment per United States dollar of fully diluted market capitalization is presently over five times the silver sector average. Sabina Silver is currently well financed to pursue these projects with over $15-million in working capital.

Sabina Silver's 100-per-cent-owned polymetallic Hackett River project contains a National Instrument 43-101 compliant indicated mineral resource in excess of 154 million ounces of silver, 1.8 million tons zinc, 137,000 tons copper, 256,000 tons lead and 448,000 ounces gold. The magnitude of the silver resource at Hackett River ranks Sabina Silver among the top 12 silver-focused companies operating in North and South America. The company is currently awaiting a 2005 mineral resource update for Hackett River, based on 10,000 metres of additional drilling completed earlier in 2005.

Consistent with the company's new silver focus, Sabina recently signed an option to acquire up to 65 per cent of the Del Norte silver-gold property in the Stewart-Eskay Creek mining district of British Columbia from Teuton Resources Corp. (see Stockwatch on Oct. 3, 2005). Assay results are currently pending from the 2005 drilling program on the property.

The vein system at Del Norte consists of two main, possibly continuous, vein zones along strike. Previous drilling into the southern K zone at Del Norte by optionor Teuton Resources intersected mineralization with true widths ranging from 26 feet to 32.8 feet, and grades varying from 5.22 ounces per ton to 8.09 ounces per ton silver and from 0.104 ounce per ton to 0.223 ounce per ton gold.

Drilling at Del Norte in 2003 along the northern LG vein zone varied from 3.3 feet to 6.6 feet wide on surface and encountered significant silver and gold values in seven of nine holes. The deepest intersection to date (hole DN03-07) returned from 475.7 feet to 480.6 feet (4.9 feet) grading 39.26 ounces per ton silver and 0.337 gold, or 0.991 ounce per ton gold equivalent. Petrographic work on LG vein material has confirmed it is mesothermal in nature. Mesothermal veins have been known to extend to depths greater than 6,000 feet.

Past surface programs at Del Norte included prospecting, mapping, trenching and geophysical surveys identified several additional targets along strike to the south that could extend total strike length of the mineralized zone to over 2.5 kilometres. One of the main targets is the Horatio zone, where preliminary sampling of both heavily mineralized float boulders and outcrop returned gold grades up to 3.457 ounces gold/ton associated with sphalerite, galena and pyrite (see Stockwatch on Aug. 10, 2004).

In addition to the company's primary projects, Sabina Silver retains four promising gold projects in the Red Lake mining district, Ontario. Exploration programs on these projects are being considered for the near future.

We seek Safe Harbor.