SOURCE: North Bay Resources Inc.
SKIPPACK, PA--(Marketwire - Apr 18, 2012) - North Bay Resources Inc. (OTCBB: NBRI) ("North Bay" or the "Company") is pleased to report that it has acquired additional claims that significantly expand its 100%-owned Connie Hill Property on Vancouver Island, British Columbia. The new claims cover several large gold-silver-copper deposits that are discussed below, and in great detail as part of a NI 43-101 Technical Report issued in 2008.
The Connie Hill Property is located on east-central Vancouver Island, approximately 15 kilometres northwest of Courtenay BC, and extends for 10 kilometres from Constitution Hill and Wolf Lake southwest to Mount Washington. Including the recently acquired claims, the property now covers 2,629 contiguous hectares (6,493 acres). Access to the property is by a network of well-maintained paved and gravel mining and logging roads. Electric power and ample water for drilling is available nearby. Year-round accommodations, construction supplies, services and labor are also readily available in the Campbell River-Courtenay area.
Prior to the addition of the new claims the Connie Hill property encompassed but did not include the entire Murex deposit east of Mt. Washington. With the addition of the new claims, the Company has consolidated its holdings in the area, and now owns a 100% undivided interest in the entire Murex deposit. Similarly, the Connie Hill property previously only partially covered the Oyster deposit north of Mt. Washington. The new claim area now consolidates and completely covers the Oyster, giving the Company 100% ownership of that resource as well.
The Oyster (MINFILE 092F 365) is a breccia deposit located approximately 3 km north of Mt. Washington. It has been measured to be approximately 400 metres in diameter, and is known to be at least 184 metres deep. The MINFILE summary and AR 17193 reports that a grab sample of silicified fault breccia assayed 14.50 grams per tonne gold, 31.88 grams per tonne silver, 1.04% lead and 0.05% zinc. A 43 centimetre section of core assayed 2.78 grams per tonne gold, 6.86 grams per tonne silver, and 0.07% copper. A more recent report from 2008 (Assessment Report 30010) discusses the Oyster at length, and documents that it has been delineated by outcrop and trench mapping and sampling, and 9 drill holes. The highest assays reported in AR 30010 are 13.2 grams per tonne gold, 626 grams per tonne silver, and 2.67% copper.
The Murex deposit is approximately 3 km due east of Mt. Washington. As summarized in BC MINFILE 092F 206, "The Murex zone represents an area of roughly 700 by 700 metres. The mineralization is thought to be the result of replacement but also has characteristics in common with porphyry-type deposits. The zone has been tested by a number of diamond-drill holes. One hole drilled in 1989 cut strong breccias with pyrrhotite-chalcopyrite mineralization about 30 metres below the surface. A 4 metre section of core assayed 4.08 per cent copper, 32.91 grams per tonne silver and 6.31 grams per tonne gold (George Cross News Letter #5, January 8, 1990)."
A National Instrument 43-101 Technical Report (AR 30010) filed with the Ministry of Mines in 2008 documents extensive drilling and development on the Mt. Washington project over the course of several decades until 1992, when the bottom fell out of the metals market and mine development in the area came to virtual halt. Included in the report is an exhaustive history of development at the Murex and Oyster zones, delineated by outcrop and trench mapping and sampling, and as many as 45 drill holes. A total of five zones have been identified within the Murex deposit, labeled Zones A, B, C, D, and E. Noteworthy examples from the report show diamond drilling on the Murex by Noranda in 1988 yielded significant intercepts, as follows:
- NMX-88-17 yielded 0.25m. @ 3.7 g/t gold, 46 g/t silver and 9.7% copper from 196.5 to 197.21 m. from a massive sulphide vein in Zone A
Later drilling yielded two significant intercepts 100 metres apart stepping out 100-200 metres east of a 1986 drill hole cluster in the D Zone, as follows:
- NMX-89-25 yielded 4.0 m. @ 6.5 g/t gold, 30 g/t silver and 4.1% copper from 29 to 33m., including: 1.0 m. @ 21 g/t gold, 71 g/t silver and 9.3% copper from 29 to 30 m. in a massive sulphide vein in basalt with pyrrhotite, chalcopyrite and pyrite
- NMX-89-26 yielded 6.5 m. @ 0.23 g/t gold, 7.3 g/t silver and 1.1% copper from 16.2 to 22.7 m. in a siliceous basaltic breccia with pyrrhotite and chalcopyrite
Overall, the best assays from the Murex as documented in AR 30010 shows 21 grams per tonne gold, 161 grams per tonne silver, 9.7% copper, 6.4% zinc, and 0.14% molybdenum.
The size of the Murex deposit in terms of sheer volume appears to be very large. Two zones, Zone A and Zone D, are each described as 750 metres in length, and 175 metres deep. Combined with the dimensions of the Oyster deposit and the other 3 Murex zones, it is possible that the resource could exceed 100 million tonnes. While the Company is very much encouraged by these new developments and the important prospects they portend going forward, investors are cautioned not to rely on these numbers, as further drilling will be required to determine the actual volume and average grade before a reliable resource estimate compliant with National Instrument 43-101 and SEC Industry Guide 7 can be established.
A link to the aforementioned NI 43-101 Technical Report (AR 30010) is available on the Connie Hill page at our website, at http://www.northbayresources.com/conniehill.html.
About North Bay Resources Inc.
North Bay Resources Inc. (OTCBB: NBRI) is a fully-reporting junior mining company with over 150 mineral and placer claims encompassing approximately 60,000 acres throughout British Columbia, Canada.
In the US, the Company owns the Ruby Gold Mine in Sierra County, California, and is presently planning to acquire additional operating mines in the western US.
The Company's mission is to build a portfolio of viable mining prospects throughout the world and developing them through subsidiaries and JV partners to their full economic potential. North Bay's business plan is based on the Generative Business Model, which is designed to leverage its properties into near-term revenue streams even during the earliest stages of exploration and development. This provides shareholders with multiple opportunities to profit from discoveries while preserving capital and minimizing the risk involved in exploration and development.
SAFE HARBOR FOR FORWARD-LOOKING STATEMENTS
This press release may contain certain forward-looking statements within the meaning of Section 27A of the Securities and Exchange Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby. Investors are cautioned that all forward-looking statements involve risks and uncertainties. Although North Bay Resources Inc. believes that the assumptions underlying the forward-looking statements contained herein are reasonable, any assumption could be inaccurate, and therefore, there can be no assurance that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion should not be regarded as a representation by North Bay Resources Inc. or any other person that the objective and plans of North Bay Resources Inc. will be achieved.
Cautionary Note to U.S. Investors -The United States Securities and Exchange Commission permits U.S. mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We use certain terms on our website (or press releases), such as "measured," "indicated," and "inferred" "resources," which the SEC guidelines strictly prohibit U.S. registered companies from including in their filings with the SEC. U.S. Investors are urged to consider closely the disclosure in our Form S-1 and subsequent Form 10-K which may be secured from us, or from our website at http://www.sec.gov/edgar.shtml