SOURCE: North Bay Resources Inc.
SKIPPACK, PA--(Marketwire - Feb 6, 2013) - North Bay Resources Inc. (OTCBB: NBRI) (OTCQB: NBRI) ("North Bay" or the "Company") is pleased to announce that it has executed an amendment (the "Amendment") to the terms of the Company's existing equity line of credit with Tangiers Investors, LP ("Tangiers") which renews the term by another 3 years and doubles the commitment amount from $5 million to $10 million.
As set forth in the Company's Current Report on Form 8-K filed with the United States Securities and Exchange Commission on February 5, 2013, the Amendment to the Securities Purchase Agreement dated October 7, 2009 with Tangiers provides North Bay with the right, but not the obligation, to draw down on the equity line of credit by selling to Tangiers shares of the Company's common stock for a total aggregate purchase price of up to $10 Million over a five year period from the Effective Date of January 24, 2011. The dollar amount of each Advance is based upon the average daily trading volume in dollar amount during the ten (10) trading days preceding the Advance Note date (the "Base Amount"). Tangiers will pay the Company 90% of the lowest volume weighted average price of the Company's common stock during the 5 day pricing period following each advance notice as quoted by Bloomberg, LP on the OTCBB/OTCQB (the "Market Price"). Pursuant to the Amendment, no Advance will be made in an amount lower than the Minimum Advance Amount of Ten Thousand Dollars ($10,000) or higher than the Maximum Advance Amount of Two Hundred and Fifty Thousand Dollars ($250,000) per 10 consecutive trading days after each advance notice is provided by the Company to Tangiers. The Amendment also provides that any advance notice that exceeds the Base Amount by up to 200% will be further discounted by 7.5% (or 82.5% of the Market Price), and any advance notice in excess of 200% of the Base Amount will be further discounted by an additional 7.5% (or 75% of the Market Price). Any advance notice in excess of 300% of the Base Amount is subject to the approval of Tangiers.
North Bay CEO Perry Leopold commented, "We are extremely pleased to have extended and enhanced our equity credit line with Tangiers, and we are grateful for their continued and unwavering support of our business plan as we proceed forward with our transition from an exploration company to a gold producer. At a time when we are still waiting for our prospective EB-5 funding for the Ruby Mine to be completed, this facility provides us with the financing required to resume operations this spring and move forward, with or without EB-5."
About Tangiers Investors, LP
Founded in 2007, Tangiers Investors, LP is a Southern California based fund that makes direct investments into domestic private and public small and micro-cap companies.
About North Bay Resources Inc.
North Bay Resources Inc. (OTCBB: NBRI) is a fully-reporting junior mining company with more than150 mineral and placer claims encompassing approximately 60,000 acres throughout British Columbia, Canada.
In the U.S., 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