Highlights include: SHR10-39A at East Cleaver, which encountered new lens returning 118.5 meters of 106 g/t silver and 2.13 percent zinc, including 211 g/t Ag and 3.55 percent Zn over 59.80 meters; SHR10-48 at Main Zone West, which encountered a new stringer zone returning 24.4 meters of 3.56 percent copper; and SHR10-41 at Main Zone West, which intersects 17.1 meters of massive sulphides grading 598 g/t Ag, 22.81 percent Zn, 0.02 percent Cu, 2.96 percent lead, 3.42 g/t Au. A total of 19,465 meters in 84 holes have been drilled to date in a planned 20,000-metre C$10 million program at Hackett River. Drilling will continue into mid-September.

Exploration programs in 2010 at Hackett focused on quantifying previously identified targets with a view to increasing the existing resource by at least 10 percent. To this end, drilling has focused on finding higher value mineralization (copper/silver/gold stringer zones), drilling peripherally to the current deposits to identify additional mineralization, and infill drilling the currently proposed pit shells in an effort to convert waste material to mineralization.

Drilling continues to intersect new mineralization within and outside but proximal to the currently proposed pits at East Cleaver, both of the Main deposits and the Boot deposit. Among them: At East Cleaver, the discovery of a significant new lens of massive sulphide mineralization immediately to the west of the deposit, which may represent the extension of the East Cleaver deposit and which remains open at depth and to the west; and at Main Zone West the definition of a new strong zone of copper stringer mineralization in the immediate footwall to the deposit.

“Our accomplishments at Hackett River in 2010 continue to move us towards our objectives to positively impact the early year economics of the proposed Hackett River Silver-Zinc mine by increasing the global resource of the project and enhancing existing open pit models,” said Sabina President and CEO Tony Walsh. “Additionally, the company has engaged BMO Capital Markets to solicit investors or partners in the Hackett River project and to advise the company in its pursuit of strategic alternatives to advance the tremendous potential of this project.”

A total of 14 holes have been drilled to test the south limb of the Cleaver fold structure immediately to the west of the known East Cleaver deposit. Work in 2010 has demonstrated that the south limb of the Cleaver structure dips to the south at surface and then folds back on itself at a shallow depth and reverses to a northward dip. This new massive sulphide lens was first identified by recently completed hole SHR-10-39A,which was drilled in the hinge of this fold nose and returned 118.55 meters of stringer, semi massive and massive sulphide mineralization averaging 106 g/t Ag and 2.13 percent Zn. Within this is a core of massive sulphide which returned 211 g/t Ag and 3.55 percent Zn over 59.80 meters.

The drilling of 30-metre step-outs to the west has intersected similar style mineralization in holes SHR-10-45, SHR-10-47 and SHR-10-49. Hole SHR-10-49 returned 53.95 meters of massive sulphide averaging 200 g/t Ag and 4.37 percent Zn. Hole SHR-10-51 approximately 30 meters east of hole SHR-10-39A also encountered massive sulphides. This significant new zone of massive sulphide mineralization may be an extension of the East Cleaver deposit, which is immediately to the east. This new zone remains open at depth and to the west and is situated within and slightly below the currently proposed pit outline in an area that was previously considered not mineralized due to lack of drilling.

Continued drilling will attempt to trace this new lens westward. Additional drilling at East Cleaver is also targeting gaps in the resource model near surface (e.g. SHR-10-42: 79.25 meters averaging 76 g/t Ag, 3.66 percent Zn including higher grade zones) and along strike between East Cleaver and Knob Hill. A total of 4,719 meters of drilling in 17 holes have been completed at Main Zone West in 2010 where drilling is focusing on defining high grade footwall copper stringer mineralization. At least two sub parallel zones of copper stringer mineralization occur below the massive sulphide horizon at Main Zone West and historical drilling has locally intersected significant thicknesses of copper mineralization grading in excess of 2 percent copper.

In order to explore these footwall targets, a number of zones require drilling through the main massive sulphide horizon to get to the target horizon. This will provide additional pierce points for confirming the results of earlier holes which did not have accurate drill hole location information. An example of this is hole SHR-10-41 which intersected 17.10 meters of massive sulphide averaging 598 g/t Ag, 22.81 percent Zn, 0.02 percent copper, 2.96 percent Pb and 3.42 g/t Au. A highlight of the copper stringer drilling is evident in hole SHR-10-48 which intersected a well-developed copper horizon that averaged 1.58 percent Cu over 72.15 meters including a 24.4-meter interval grading 3.56 percent Cu.

This intersection is immediately below the northern wall of the proposed Main Zone pit and is not included in the existing resource. Drilling to define the extent of this zone continues. The copper/gold/silver stringer mineralization targeted by the program is near surface, not included in the current resource and in an area on the property that is virtually untested.

Drilling at Main Zone East was focused on extending the known mineralized zone to the south and east. A total of 1,697 meters in eight holes have been completed at the Main Zone East to date. Drilling during the winter was focused on extending the known mineralized zone to the south and east. Significant silver- rich intersections have been returned from drilling immediately to the south of the known deposit and just beyond the currently proposed pit outline.

Final results from this program include hole SHR10-21 which intersected a 8.75-metre wide zone grading 559 g/t Ag, and 1.34 g/t Au. A 5,000-metre program for a total of $6 million was planned at Wishbone for 2010. Currently 4,558 meters in 25 holes have been completed.

Drilling focused on the May Zone to the North D'Arcy corridor and continues to intersect massive, semi massive and stringer sulphide mineralization within a highly altered felsic volcanic unit. The May Zone has been traced over a 2,000-meter strike length, is tabular and plunges shallowly to the south. The best intercepts from the 2010 drilling include: SWB-10-25 (5.07 percent Zn, 0.96 percent Cu over 5.90 m), SWB-10-27 (10.70 percent Zn, 0.25 percent Cu over 3.90 m) and SWB-10-29 (5.56 percent Zn, 0.45 percent Cu over 10.30 m). The zone has been explored southward to the North D'Arcy area where hole SWB-10-02 returned 261 g/t Ag, 5.61 percent Zn, 5.22 percent Cu, 0.55 percent Pb, 0.48 g/t Au over 1.55 meters.

Plans to complete sufficient drilling to define a NI43-101 resource on the May zone will likely be deferred until 2011 as supplies and personnel have been redirected to meet expanded drilling of the new discoveries at the Company’s adjacent Back River gold project. The Watson target is an extensive EM target that can be traced for over 1,000 m from north of Watson Lake, where a surface grab sample in 2009 returned 5,160 g/t Ag, 30.3 g/t Au, 5.2 percent Zn, 2.21 percent Pb, to mid D'Arcy Lake. 1,376 meters in 11 holes were drilled to test this anomaly.

Results were returned for hole SWB-10-6 where 53 g/t Ag, 0.93 percent Cu, 5.86 percent Zn, 0.04 percent Pb, 0.02 g/t Au was intersected over 1.63 m at a down hole depth of 79.00 m and for hole SWB-10-08 where 20 g/t Ag, 0.22 percent Cu, 6.53 percent Zn, 0.16 percent Pb, 0.03 g/t Au was intersected over 3.49 m at a down hole depth of 99.90 meters reported in June.