NBRI - North Bay Resources Announces Acquisition of Copper Island Project with Assays up to 14.7% Cu and Appointment of New CEO
(TheNewswire)
February 15th, 2024 – TheNewswire - Skippack, PA – NorthBay Resources Inc. (the “ Company ” or “ North Bay ”)(OTC:NBRI) is pleased to announce that the Company has entered into anagreement to acquire a 100% interest in the 1056 hectare Copper Island Red-Bed Copper Project (the “ Property ” or the “ Project ”), locatedin British Columbia, Canada, The acquisition agreement (the“ Agreement ”), dated February 14th 2023, is to acquire the CopperIsland Project from Copper Island Mines Ltd. (the “ Vendor ”) for shareand cash payments totalling $550,000 and a minimum work program of$50,000. Recent geochemical exploration (Summer 2023) on theProperty has yielded up to 14.7% Cu (B.C. Assessment Report 41377).
The project is proximate to its Wolf Lake Project whererecent sampling returned copper values up to 3.12% and gold values upto 22 g/t (see Press Release dated December 14 th , 2023).
Project Description
The Copper Island mineral claims are located approximately 15kilometers north of Campbell River, BC. The Copper Island propertyfeatures a cluster of small to medium size copper and silver bearingmineral occurrences that collectively, constitute a large resource ofhigh-grade copper. Cu-Ag bearing mineralization within the property ishosted in basaltic/andesitic volcanic rocks of the Lower-UpperTriassic Karmutsen Formation (volcanic hosted Cu-redbed deposit type).Copper-silver bearing minerals include chalcocite, with minoroccurrences of chalcopyrite, bornite, native copper, cuprite,malachite and azurite.
Historic Exploration and Development Work
Considerable previous work has been performed on the Pomeroy Groupcopper-silver bearing mineralization. The first recorded mining in theproject area was in 1906- 1907. Modern exploration began in 1952-53,when Dodge Copper Limited carried out a detailed exploration programof trenching and diamond drilling. Dodge Copper Mines drilled 145holes totaling 8800 feet on various deposits. The Quadra MiningCompany acquired the property in 1968 and the property saw relativelycontinuous exploration and development under various ownership,largely following the rise and fall of copper prices. In 2011, thePomeroy Group of mineral claims were acquired by Copper Island MinesLtd. A program of geochemical sampling was carried out and identifiedseveral zones of high grade copper located in the Pomeroy 1-4mineralized zones, as well as new showings adjacent to the knownoccurrences.
The known ore deposits occur mainly on the surface and have beandrilled, trenched and sampled by Prince Stewart Mines Ltd.
In 2011, the claims were acquired by Copper Island Mines Ltd, and aprogram of geochemical sampling was carried out on the Pomeroy, Beaverand Colleen Zones. A significant portion of geochemical samplingreturned >2% Cu from numerous new & historic copper-silverbearing mineral occurrences (Betmanis, 2012). In 2020, Copper Islandcarried out geochemical sampling over the Pomeroy 2, 3 & 4 Zones.Results of rock sampling in 2020. Each of the 4 rock chip samples weretaken across a sample interval width of 30 cm (from outcrop). Theresults indicate that high-grade copper values (ranging from5.64-7.64% Cu) with significant silver (19.8-29.4 g/t Ag) values wereobtained from rock chip samples from the Pomeroy 2, 3, & 4 mineralzones. Vanadium content of up to 757 ppm V suggests that vanadiumbearing minerals are present, and likely linked with increased Fe.
Property Geology and MineralOccurrences
Note that historicestimates were completed prior to the implementation of NationalInstrument 43-101and are not compliant with NI 43-101 and, whilecompleted by qualified geologists and/or engineers of their day theyare historical in nature.
The following list describes geology & mineralization of nineBritish Columbia Ministry of Mines, Energy, and Carbon ReductionMINFILE occurrences located within Copper Island mineral claims:
16,500 tons @ 3.67% Cu
POMEROY 2:
PROVEN: 5,000 short tons @ 2.70% Cu
INDICATED: 17,000 tons @ 2.70% Cu
PROVEN: 972,400 short tons @ 1.22% Cu
INDICATED: 472,000 tons @ 1.62%Cu
POMEROY 5:
53,200 tonnes @ 1.00% Cu
19,375 tons @ 1.74% Cu
PROVEN: 5,000 tons @ 3.45% Cu
INDICATED: 50,000 tons @ 2.40% Cu
COPPER BELL 1 + 2: 112,000tons @ 2.55% Cu
*Reserve Estimates - Sheppard, 1974
Transaction Terms
Under the terms of the Agreement, the Company will begranted (the “ Transaction ”) the exclusive right to acquirethe Project in consideration for completion of a series of cashpayments, securities issuances and exploration expenditures, asfollows:
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On signing, issuance of 1,250,000,000 shares at adeemed price of $0.0002 (Feb. 14 th , 2024 closingprice) valued at $250,000.
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On the one year anniversary (February 15 th , 2025)1,250,000,00 shares at a deemed price of $0.0002 (Feb. 14 th , 2024 closingprice) valued at $250,000 and cash payment of $50,000.
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Complete a work program on the Project of $50,000within 2 years of signing inclusive of any and all costs associatedwith the completion of exploration on the Project.
After the completion of the final payment and requiredexploration work the Project will be assigned to the Company subjectto a net smelter royalty of 2% with a buyback of 1% (or 50% of theroyalty) exercisable for a period of sixty months in consideration ofa one-time cash payment of $1,000,000.
The Vendor is a non-arms length private companycontrolled by Jared Lazerson, CEO of the Company. Mr. Lazerson is ashareholder of the Vendor.
All securities issued to the Vendor or its shareholdersin connection with the Transaction will be subject to a restriction onresale in accordance with applicable securities laws andpolicies.
CEO Appointment
The Board of Directors has appointed Jared Lazerson asCEO and a Director of the Company replacing Perry Leopold. Mr. Leopoldremains a Director of the Company. Mr.Lazerson has been involved in the mineral exploration and technologyindustries for 25 years. He is the Founder of MGX Minerals and servedas the Company's CEO from 2014-2020. During his tenure as CEO of MGX,Mr. Lazerson was responsible for raising $60M and oversaw investmentsand acquisitions in strategic, industrial, and precious metals andclean and renewable energy technologies. These included magnesiumoxide, silicon, niobium, lithium, and gold as well as direct lithiumextraction (DLE), lithium-silicon batteries, and zinc-air batterytechnologies. In 2018, Mr. Lazerson accepted the Standard & PoorsGlobal - Platts Metals Award for Leadership in Base and SpecialtyMetals on behalf of MGX. Mr. Lazerson remains an independentDirector of MGX. Mr. Lazerson is the former CEO of Zinc8 EnergySolutions and Margaret Lake Diamonds and a former Director of Zinc8,Margaret Lake Diamonds, Belmont Resources, Arctic Star Exploration andForemost Lithium. Mr. Lazerson is involved in a number of globaladvanced and exploration stage gold, copper, and nickel projects. Mr.Lazerson holds a BA in International Relations from the University ofPennsylvania.
Share Consolidation
A majority of the shareholders of the Company (80%)have approved a share restructuring involving a consolidation ofcommon shares up to 1 new common share for every 500 existing commonshares. The approval provides for management to make the finaldecision on the ratio based on a number of factors including financingand uplisting to the OTXQB/QX or as appropriate NASDAQ exchanges, andregulatory input. The consolidation as approved does not affectpreferred shares or convertible instruments at this time. The shareconsolidation requires regulatory approval.
Employee Incentive Options andCompensation
The Company has approved options under its EmployeeIncentive Option Plan. The CEO has been issued the right to acquireup to 10% of the issued and outstanding shares of the Company at a price of $0.0002 (February 14 th , 2024 closingprice) totaling 496,812,596 share purchase options valid for a periodof 3 years which will vest immediately. Mr. Lazerson’scompensation as CEO/Director is $180,000 per annum with options basedcompensation, using the Black-Scholes model, valued at $64,500. Mr.Lazerson will be paid as a consultant.
QualifiedPerson
Andris Kikauka (P.Geo) is a Qualified Person inaccordance with National Instrument43-101 – Standards of Disclosure for Mineral Projects , and has reviewed and approved the scientific and technicalcontent of this news release.
On behalf of the Board of Directors of
NORTH BAY RESOURCES INC.
Jared Lazerson
CEO
jared@northbay-resources.com
northbay-resources.com
215-661-1100
This news release may containcertain “Forward-Looking Statements” within the meaning of theUnited States Private Securities Litigation Reform Act of 1995 andapplicable Canadian securities laws. When used in this news release,the words “anticipate”, “believe”, “estimate”,“expect”, “target, “plan”, “forecast”, “may”,“schedule” and other similar words or expressions identifyforward-looking statements or information. These forward-lookingstatements or information may relate to the intended development ofthe Project, and other factors or information. Such statementsrepresent the Company’s current views with respect to future eventsand are necessarily based upon a number of assumptions and estimatesthat, while considered reasonable by the Company, are inherentlysubject to significant business, economic, competitive, political andsocial risks, contingencies and uncertainties. Many factors, bothknown and unknown, could cause results, performance, or achievementsto be materially different from the results, performance orachievements that are or may be expressed or implied by suchforward-looking statements. The Company does not intend, and doesnot assume any obligation, to update these forward-looking statementsor information to reflect changes in assumptions or changes incircumstances or any other events affections such statements and information other than asrequired by applicable laws, rules and regulations.
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