site update May 17Site Development Update: During the first quarter, much has been advanced on the project, including the following: • Procurement of the initial surface mining fleet for the first year of pit development consisting of seven 64 tonne haul trucks with associated drilling, loading and support equipment. Procurement of phase I of the permanent accommodation complex (287 beds), building steel and cladding for the process plant, crusher building and truck shop, construction equipment necessary for concrete placement and building erection as well as equipment required for winter ice road construction. Sabina is also working with a logistics specialist (air and sealift) to finalize the execution strategy for mobilizing goods and equipment to site. • Site civil works continue including ground support of the box cut face which Sabina is developing for the underground exploration ramp and harvesting of esker material for concrete production and plant site preparation work. • The erection of a 60’ x 100’ underground shop has been completed and installation of site services for power and compressed air supply for underground activities is ongoing. • 1,800 meters of a planned 4,000 meter exploration drilling program has been completed. • Necessary geotechnical drilling of proposed water containment areas is finished. To facilitate this work, transportation of over one million litres of fuel and 1.5 million pounds of supplies and consumables for surface civil works has also been completed. Engineering Update: Detailed engineering is approximately 75% complete and is expected to be completed in late Q2 with issued for construction drawings and finalized vendor interfaces. Sabina has also entered into a contract with FLSmidth to complete the engineered design and fixed pricing for the plant, including commissioning, training and spare requirements. Sabina is also continuing to negotiate a performance guarantee on plant equipment. The Company has also engaged an artic experienced constructor who has completed constructability reviews and is developing an execution plan focused on providing a fixed price bid on construction deliverables.