Vancouver, British Columbia--(Newsfile Corp. - March 2, 2022) - Bayhorse Silver Inc, (TSXV: BHS) (OTCQB: BHSIF) (FSE: 7KXN) (the "Company" or "Bayhorse") reports it has intersected 0.9 meters (3ft) of 1.71 g/t of gold at the Bayhorse Silver Mine, Oregon, USA.
Drill hole BHDD-019 intersected 2.9 meters (9.5 feet) of anomalous gold up hole from 30.5 feet to 40 feet (9.3 - 12.2 meters) including the 1.71 ppm Au sample from 37 to 40 ft. (11.3 - 12.2 meters).
The gold intersection is located in the upper Goldilocks Zone at the extreme western end of the Mine development, where, 100 feet (30 meters) to the east, during its 1984 mining operations, Silver King Mines reported silver grades in mined rounds (between 50 and 70 tons) of 100 ounces per ton.
While Silver King reported mining gold grades of up to 10 g/t, the historic records did not identify in which part of the workings the gold was mined, this gold intersection indicates it was probably in this section of the mine.
Bayhorse CEO, Graeme O'Neill, comments, "with this initial gold intersection the Company is very pleased it has confirmed the historic reports of gold being present at the Bayhorse Mine, and believes it further enhances the Company's prospects at the Bayhorse." He further comments, "The Bayhorse mineralization is considered an epithermal style deposit (G.E. Ray, 2014) with silver rich mineralization at the top of the system. This raises the exciting possibility that with increasing depth, the high grade silver mineralization at the Mine may pass down into gold-rich mineralization."
As well as extending the area of known silver mineralization, the Company will extend the underground diamond drilling program in this area of the mine to follow up this gold intersection, and test the mines, at depth potential. for economic gold mineralization.. BHDDH-019 was drilled at an azimuth of 345 degrees and a +30 degree dip.
As reported in the Company's news release, BHS2022-03, the Company has begun rehabilitating the historic 24.5 meter (80 foot) raise deep inside the mine, where a new drill station will be established to permit additional drilling both up dip to further determine the extent of the silver mineralization, and down dip to follow up this gold intersection. Milling operations are ongoing.
The Company announces subject to TSX-V Exchange approval, a non-brokered private placement for up to 10,000,000 Units at $0.08 cents per Unit for gross proceeds of $800,000. Each C$0.08 cent Unit will consist of one (1) common share and one (1) transferable common share purchase warrant, with each warrant exercisable into one (1) common share of the Company at an exercise price of $0.15 cents, exercisable for a period of 24 months from the date of issuance.
In addition to any other exemption available to the Company, participation in the non-brokered financing is also open to all existing shareholders, even if not accredited investors, under the "existing shareholder" exemption of National Instrument 45-106 as promulgated in Multilateral CSA notice 45-313 in participating jurisdictions.
The proceeds of the financing is for expanded drilling in the area of the recent gold discovery at the Bayhorse Silver Mine, for Mill operations working capital, and general and administrative expenses.
Finder fees may be payable on a portion of the financing not taken down by insiders according to the policies of the TSX-V.
The Company is not basing any decision to produce on a feasibility study of mineral reserves demonstrating economic and technical viability and advises there is an increased uncertainty and specific economic and technical risk of failure with any production decision. These risks include, but are not limited to, (i) a drop in price of commodities produced, namely silver, copper, lead and zinc, from the pricing used to make a production decision; (ii) failure of grades of the produced material to fall within the parameters used to make the production decision; (iii) an increase in mining costs due to changes within the mine during development and mining procedures; and (iv) metallurgical recovery changes that cannot be anticipated at the time of production.
This News Release has been prepared on behalf of the Bayhorse Silver Inc. Board of Directors, which accepts full responsibility for its content. Dr. Stewart Jackson, P.Geo., a Qualified Person and Consultant to the Company has prepared, supervised the preparation of, and approved the technical content of this press release.
On Behalf of the Board.
Graeme O'Neill, CEO
About Bayhorse Silver Inc.
Bayhorse Silver Inc. is an exploration and production company with a 100% interest in the historic Bayhorse Silver Mine located in Oregon, USA. With state of the art Steinert Ore-Sorting technology reducing waste rock entering the processing stream by up to 85%, we have created a minimum environmental impact facility capable of mining 200 tons of mineralization per day and the ability to process and supply 3,600 tons per year of silver/copper concentrate ranging between 7,500 to 15,000 g/t using standard flotation processing at its milling facility in nearby Payette County, Idaho, USA, with an offtake agreement in place with Ocean Partners UK Limited. The Company also has an option to acquire an 80% interest in the Brandywine high grade silver/gold property located in B.C. Canada. The Company has an experienced management and technical team with extensive mining expertise in both exploration and building mines.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/115378