SOURCE: North Bay Resources Inc.
NEVADA CITY, CA--(Marketwired - Apr 9, 2014) - Ruby Gold, Inc. ("RGI", or the "Company"), a wholly-owned subsidiary of North Bay Resources Inc. (OTCQB: NBRI) ("North Bay") is pleased to announce that the Company has acquired the Carson Mine (the "Carson") through the staking of new claims adjacent to the northern border of the Ruby Mine property in Sierra County, California. The Company has also staked additional claims near the Ruby Adit to cover in its entirety the Discovery Channel, a new previously unknown channel that was identified as a direct result of a recent gravity survey and geological mapping.
The Carson Mine was formerly owned by Brush Creek Mining and Development Company, Inc. ("BCMD"), who purchased the Carson and the nearby City of Six Mine from Golden Lion Mining Corporation in 1990 for $2,299,000. It consists of a group of quartz and placer claims located along the Eastern Melones Fault, the major controlling structure of the Motherlode, and is believed to be an extension of the same mineralized system followed by the Ruby Mine's Cincinnati Channel placer deposit and 4900 Vein quartz vein structure. The Carson was assessed by Keewatin Engineering for BCMD in 1991. A total of 387 samples from 3 veins located in the underground workings yielded assays as high as 31.903 ounces per ton gold, with an average grade of 0.04 opt after the four highest grade samples were removed. No further work had been done at the Carson by the time BCMD folded due to low metal prices. The abandoned claims encompassing the Carson subsequently lapsed, which thus allowed the Company to acquire them by staking new claims over the Carson.
The immediate importance of the new Carson group of claims is seen as being the location at which the Ruby Mine's Cincinnati Channel is believed to outcrop at the surface. The Cincinnati Channel is one of the primary drilling targets recently announced in a North Bay press release on March 27, 2014. The staking of this ground therefore extends our ownership of the Cincinnati Channel to cover what is believed to be its entire length.
The Company has also staked additional claims to entirely cover an area where a recently completed gravity survey has indicated the presence of a new previously unknown channel. Now known as the Discovery Channel, this new channel is indicated to extend for over 4,000 feet near the Ruby Adit.
The Company acquired the mineral rights to the Carson and the Discovery claims through the General Mining Law of 1872 which allows the Company to locate and stake claims on unpatented federal land and registering the claims with the Bureau of Land Management ("BLM"). A total of 25 new claims covering 500 acres were acquired at a total cost of $5,362, consisting of $4,862 in BLM registration fees and Sierra County recording fees of $500. As a result, the overall size of the Ruby Property has now been expanded to 2,255 contiguous acres.
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 1850's, and is considered to be part of the northern extension of the historic Mother Lode system. The Ruby property covers approximately 2,255 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 55 unpatented claims containing approximately 1,820 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 at http://www.northbayresources.com/ruby/.
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 Ruby Gold, Inc. and its parent company, 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 Ruby Gold, Inc. or any other person that the objective and plans of Ruby Gold, 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 registration statement and subsequent Form 10-K which may be secured from us, or from our website at http://www.sec.gov/edgar.shtml