Silver Standard Reports Fourth Quarter and Year-End 2016 Results

VANCOUVER, Feb. 23, 2017

Paul Benson, President and CEO said, "We had a strong fourth quarter capping a year of records for Silver Standard, which included production of over 390,000 gold equivalent ounces at an AISC of less than $925 per ounce. Our focus on Operational Excellence has led not only to production and cost improvements at each site, it has allowed us to meet or exceed our annual guidance for the fifth straight year."

"Importantly, we entered 2017 in a very strong position with over $325 million in cash and an additional $150 million in marketable securities, which predominantly reflects our near 10% stake in Pretium Resources. Last year, we continued to invest in our business, particularly with respect to exploration, and the success in growing reserves at both Marigold and Seabee is driving our increased brownfields exploration in 2017."

Fourth Quarter and Year-End 2016 Highlights:
(All figures are in U.S. dollars unless otherwise noted)

• Strong financial performance: Generated cash from operations of $170.7 million in 2016 and increased our cash position by $115.3 million to $327.1 million. Generated net earnings of $65.0 million or $0.63 per share and adjusted net earnings of $100.3 million or $0.97 per share. Quarterly cash from operations of $74.1 million, net earnings of $12.1 million or $0.10 per share and adjusted net earnings of $30.8 million or $0.26 per share.
  
  
• Delivered on scale and margin: Record production of 393,325 gold equivalent ounces at cash costs of $653 and AISC of $923 per payable gold equivalent ounce sold for the full year 2016. Fourth quarter production was 110,130 gold equivalent ounces at cash costs of $625 and AISC of $845 per payable gold equivalent ounce sold.
  
  
• Completed the acquisition of Claude Resources: Purchase of Claude Resources Inc. completed on May 31, 2016, through a share exchange transaction, adding the Seabee Gold Operation, a high quality, free cash generating gold operation in Canada.
  
  
• Increased Mineral Reserves at Marigold and Seabee: Successful exploration activities in 2016 increased gold Mineral Reserves at our Marigold mine by 31% to 2.84 million ounces and at the Seabee Gold Operation by 50% to 0.36 million ounces.
  
  
• Enhanced our financial flexibility: Working capital totaled $559.9 million at year-end, an increase of $219.1 million from the end of 2015. Contributing to working capital are marketable securities valued at $148.9 million at December 31, 2016.
  
  
• Sustained efficiencies at Marigold: Production in the fourth quarter was strongest for the year at 59,945 ounces of gold, taking full year production to 205,116 ounces. Reported 2016 cash costs of $647 per payable ounce of gold sold. Fourth quarter cash costs were $585 per payable ounce of gold sold.
  
  
• Continued operational improvements at Seabee: Ore milling rates averaged 919 tonnes per day during the fourth quarter of 2016 contributing to annual record gold production of 77,640 ounces and low fourth quarter cash costs and AISC of $595 and $833 per payable gold ounce sold, respectively.
  
  
• Record operating performance at Pirquitas: Achieved record annual silver production of 10.4 million ounces at cash costs of $9.00 and AISC of $10.21 per payable silver ounce sold due in part to record average annual ore milling rates of 4,846 tonnes per day in 2016, a 14% improvement compared to 2015.
  
  
• Favorable resolution with Canada Revenue Agency: Settled in our favor the Notice of Reassessment with the CRA, which resulted in the repayment of our deposit of $18.2 million plus accrued interest.
  
  
• Created value from our portfolio: Completed the sale of the Parral properties in Mexico and the Diablillos project in Argentina for combined consideration of approximately $8 million in retained equity and undiscounted future cash payments of $15 million. Subsequent to year-end, we entered into an option agreement for the Candelaria project in the U.S. and announced the sale of the Berenguela project in Peru for approximately $1 million in equity and undiscounted future cash payments of $12 million and a 9.9% retained interest.
  

Marigold Mine, U.S.