Sabina Silver Corporation
TSX VENTURE : SBB

Sabina Silver Corporation

June 11, 2009 12:34 ET

Sabina Announces Increase of Previously Announced Bought Deal to $18 Million

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 11, 2009) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Sabina Silver Corporation (TSX VENTURE:SBB) has amended the terms of its $15 million equity bought deal. Under an amended agreement, a syndicate of underwriters led by Dundee Securities Corporation and BMO Capital Markets, and including Paradigm Capital Inc., Haywood Securities Inc. and Research Capital Corporation have agreed to purchase 12,000,000 common shares (the "Common Shares") of the corporation at a price of $1.00 per Common Share and 5,000,000 flow-through common shares (the "Flow-Through Common Shares") at a price of $1.20 per Flow-Through Common share, for total gross proceeds of $18 million.

The gross proceeds of the Flow-Through Common Shares shall be used for the Corporation's Nunavut projects and the net proceeds of the Common Shares for general corporate purposes.

The offering is scheduled to close on June 30, 2009, and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange, and other applicable securities regulatory authorities. All securities issued will be subject to a four-month hold period.

SABINA SILVER CORPORATION is a Canadian public mineral exploration and development company with assets at the Hackett River silver-zinc and the recently acquired Back River gold project and Wishbone claims in Nunavut along with several projects in the Red Lake gold camp. The Company is well capitalized with approximately $40 million in cash and marketable securities at March 31, 2009. The strategy to grow the company focuses on two mandates: 1) to continue to focus on enormous exploration and development potential of the Hackett River silver-zinc and Back River gold projects; and 2) maintain a strong balance sheet to acquire accretive precious metals assets.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful. The securities have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

This news release has been authorized by the undersigned on behalf of Sabina Silver Corporation.

Anthony P. Walsh, President & CEO

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