SKIPPACK, PA - March 7, 2014 - North Bay Resources Inc. (OTCQB: NBRI) ("North Bay" or the "Company") reports that after a thorough review by new management of the Ruby Gold project in Sierra County, California, the following changes are being implemented by Mine Manager and Ruby Gold, Inc. Chief Operating Officer, William S. Watters, P.Eng., effective immediately:
- The work to complete the Big Bend Raise into the Black Channel will be accelerated to complete this task within the next 6-8 weeks if not sooner.
- A drilling program to test the accessible targets recently identified as possible new channels will be mobilized immediately.
- Additional steel pipe will be installed next week to increase our compressed air capacity and provide for more efficient work performance in multiple headings simultaneously.
- Mining in the White Channel will be discontinued for the immediate future.
The goal of these changes is to streamline the operation to make more efficient use of our available resources, both in terms of our operating budget and manpower.
The completion of the Big Bend Raise remains our highest priority, as it opens up access to many of the known mining targets upstream between the Black Channel and the Lawry Shaft. The Big Bend section of the Black Channel is on the eastern side of the Melones Fault, the principle controlling structure that defines the Motherlode system of Northern California and which runs directly through the Ruby property. It is significant as being that location within the Ruby Mine where the world-class C.L. Best Collection of Ruby Nuggets currently on display at the Los Angeles County Museum of Natural History were extracted just before the mine was ordered closed by the US Government during World War II. Over 58,000 ounces of gold had been produced from that location prior to closure, and the Ruby has not been in full production since that time. This has always been our primary mining target, and we will now proceed forward to it without delay. Toward that end the plan for the raise has been revised to now take a shorter path to the Big Bend through a crosscut further upstream in the Ruby Tunnel, and should therefore take less time to complete.
The new airline for compressed air is expected to allow work to proceed more efficiently. The distance from the Ruby Portal to the Big Bend is over 5,000 feet, and the existing compressed airline used to power our drills and other equipment was deemed to be insufficient for the many tasks being performed, especially when the same compressed air pipe was being used to power equipment at the White Channel and other locations downstream from the Big Bend. The new airline should therefore significantly increase worker productivity and overall project efficiency.
The drill program that was planned to test the new targets immediately accessible has now been given a much higher priority. In a Company press release dated November 25, 2013, it was previously announced that new channel targets had been discovered upstream near the Black Channel. Since that time, additional locations with possible new channels have been identified further downstream closer to the Ruby Portal in areas that are fully accessible and available for mining. A drilling program to test these targets was planned, but could not begin while work was ongoing to both mine the White Channel and build the Big Bend raise. Thus the decision to suspend mining in the White Channel has been made so that crew can be redeployed to these higher priority tasks.
The mining of the White Channel has served a useful purpose in providing development material to put through the mill and test our recovery procedures. It was expected at the outset that the White Channel was a low-grade resource, and in that respect it did not disappoint. The gold recovered from the first sample weighed in at 0.104 ounces. The gold consists of small flattened flakes, which is unlike any of the gold previously recovered, and can be seen at http://www.northbayresources.com/ruby/wcgold.jpg. This is referred to as "float gold" -- gold that is so light that it is carried on the surface of the water. This type of gold is what would be expected to be found on the outer banks of a river, away from where the coarse gold we seek is deposited by gravity at the bottom of the river channel. While another 60 tons of White Channel material has been stockpiled and will be processed shortly, management has concluded that we are now better served to defer a more thorough evaluation of the White Channel by redirecting our resources to the exploitation of other areas within the Ruby that have a greater potential for significant immediate returns.
About Ruby Gold, Inc.
Ruby Gold, Inc., a wholly-owned subsidiary of North Bay Resources Inc. (OTCQB: NBRI), is the owner and operator of the Ruby Mine (the "Ruby"), a fully-permitted underground placer and lode mine located near Downieville in Sierra County, California. The Ruby is known to have produced over 350,000 ounces of gold since the 1850s, and is considered to be part of the northern extension of the historic Mother Lode system. The Ruby property covers approximately 1,755 acres, only a small portion of which has been explored to date. The property consists of the subsurface mineral rights of two patented claims totaling approximately 435 acres and 30 unpatented claims containing approximately 1,320 acres. The equipment, fixed assets, and infrastructure in place include a 1,000 yard per day placer wash plant, 50-ton per day quartz mill, 6,000 feet of tracked haulage, and related support equipment needed for underground mining operations. The property also features an excellent system of roads, is accessible via paved highway from Reno or Sacramento, has abundant water and timber available for mining purposes, and has PG&E power available on-site. For further information on the Ruby Mine, please visit the Ruby web page athttp://www.northbayresources.com/ruby/.
About North Bay Resources Inc.
North Bay Resources Inc. (OTCQB: NBRI) is a fully-reporting junior mining company with current operations in the US and Canada.
In the US, the Company's subsidiary, Ruby Gold, Inc., owns and operates the Ruby Mine in Sierra County, California. The Ruby Mine is a fully-permitted underground placer and lode mine located in the northern extension of the historic Mother Lode system. The Ruby is known to have produced over 350,000 ounces of gold since the 1850s, including some of the most spectacular gold nuggets on record. The Ruby Property covers approximately 1,755 acres, only a small portion of which has been explored to date.
In British Columbia, the Company holds 100% ownership of a multitude of significant mining properties. These include two gold-platinum placers, the Fraser River Project and the Monte Cristo, and lode projects such as the advanced-stage Mount Washington Project on Vancouver Island, the Brett West/Bouleau Creek Gold project near Vernon BC, the Coronation Gold project in the historic Slocan Mining district, and the Tulameen Platinum Project near Princeton, BC. In addition to its many precious metal projects, the Company also owns additional prospective projects that host strategic mineral resources such as Vanadium, Crystalline Flake Graphite, Olivine, and Rare Earth Elements (REE).
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.
Additional information on the Company's many properties and ongoing projects is available at the Company website at http://www.northbayresources.com.
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 Form 10-K which may be secured from us, or from our website at http://www.sec.gov/edgar.shtml
North Bay Resources Inc.
SOURCE: North Bay Resources Inc.