SOURCE: North Bay Resources Inc.

March 08, 2010 09:00 ET

North Bay Resources Inc.: NI 43-101 Resource Estimate on Capoose Property Announced

SKIPPACK, PA--(Marketwire - March 8, 2010) - North Bay Resources Inc. (PINKSHEETS: NBRI) ("North Bay" or the "Company") is pleased to report that Silver Quest Resources Ltd. ("Silver Quest"), the Company's JV partner on the Fawn-Buck property, has released a National Instrument ("NI") 43-101 inferred resource estimate on Silver Quest's Capoose deposit in central British Columbia. The North Bay-Silver Quest JV on the Fawn-Buck property is now encompassed by and considered part of the Capoose project. As indicated by Silver Quest in its report, the deposit is open in all directions, and has a base estimate of 699,032 ounces of gold and 41,119,662 ounces of silver. 

The following highlights are from the announcement made by Silver Quest on March 4, 2010.

"The 2010 mineral resource estimate is based on 98 drill holes and more than 5,000 assay values. All current resources are categorized as inferred as defined by the CIM guidelines for resource reporting. Inferred mineral resources do not demonstrate economic viability, and there is no certainty that these inferred mineral resources will be converted into mineable reserves once economic considerations are applied.

The base case for reporting the mineral resource estimate used a gold equivalent ("AuEq") cut-off grade of 0.40 grams per tonne ("g/t"). The resource estimate at a 0.40 g/t AuEq cut-off is 53.45 million tonnes grading 0.41 g/t gold and 23.93 g/t silver for 699,000 contained ounces of gold and 41,120,000 contained ounces of silver. Results at various gold equivalent cut-off grades are tabulated below.

Inferred Mineral Resource Estimate for Capoose Deposit versus Gold Equivalent (AuEq) (i) Cut-off              

AuEq Cut-off (g/t)

Tonnes
Gold
Grade
(g/t)
Contained
Gold
(oz)
 Silver
Grade
(g/t)
 Contained
 Silver
(oz)
AuEq
Grade
(g/t)
 Contained
AuEq
(oz)
0.1g/t 96,785,363 0.28 871,666 17.59 54,755,024 0.54 1,693,659
0.2g/t 88,164,480 0.30 850,272 18.77 53,206,709 0.58 1,648,978
0.3g/t 69,510,922 0.35 784,945 21.22 47,424,322 0.67 1,496,788
0.4g/t 53,450,298 0.41 699,032 23.93 41,119,662 0.77 1,316,190
0.5g/t 41,446,345 0.46 612,969 26.49 35,300,905 0.86 1,142,756
1.0g/t 10,571,828 0.86 293,796 34.24 11,640,233 1.38 468,465
 (i) Gold equivalent (AuEq) is calculated as the sum of the gold content plus 0.015 times the silver content, based upon prices of US$10.25/oz. for gold and US$15.50/oz. for silver, which approximate the average prices for these metals over the last two years. (Note: total contained AuEq values may not add exactly because of rounding).            

The inferred mineral resource estimate has been prepared in compliance with the standards of NI 43-101 by Dr A. Armitage, Ph.D., P. Geol., and J. Campbell, B.Sc., P. Geo., of GeoVector. GeoVector is an Ottawa, Ontario consulting firm specializing in resource estimation, project assessment and project management.

Mineralization remains open at depth and along strike within and adjacent to the intrusive rhyolite units. GeoVector recommends additional drilling to increase the overall global resource at Capoose. Based on the significant potential to increase global resources and to improve the resource confidence level, Silver Quest is planning a major diamond drilling program at Capoose this summer."

Shareholders are encouraged to monitor Silver Quest's news releases at www.silverquest.ca for further details and updates on the Capoose project, including the upcoming Fawn-Buck work program.

About the Capoose Project

The Capoose property has been actively explored and drilled since the 1970s. Silver Quest completed 24 drill holes (3,212 m) in 2008 and 2009. The property has also received extensive soil geochemistry and various geophysical surveys. As a result of recent staking by Silver Quest of 15,754 hectares of mineral claims, the optioning of additional mineral claims, and the joint-venture with North Bay on the Fawn-Buck claims, the Capoose Project currently forms one contiguous block consisting of 70 claims and totaling more than 30,000 hectares (74,100 acres).

About Silver Quest Resources Ltd.

Silver Quest Resources Ltd. is a mineral exploration company listed on the TSX Venture Exchange. With current projects located across Canada, and a portfolio of projects that range from early stage grassroots exploration to advanced-stage resource expansion, the Company is positioned to add shareholder value through systematic project advancement. Silver Quest is currently focused on silver and gold exploration in the Yukon and on the Nechako Plateau of central British Columbia, with its primary assets being the Capoose, Davidson and 3 T's projects.

About North Bay Resources Inc.

North Bay Resources Inc. (PINKSHEETS: NBRI) is a junior mining company with over 150 mineral and placer claims encompassing approximately 60,000 acres throughout British Columbia, Canada. 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.

The Company has recently filed registration documents with the SEC to become a fully-reporting company. Once the registration is effective, the Company will then be eligible to have its stock listed on the OTCBB.

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.

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