Vancouver, British Columbia--(Newsfile Corp. - April 8, 2019) - Bayhorse Silver Inc (TSXV: BHS) ("Bayhorse" or the "Company") has, subject to the approval of the TSX Venture Exchange, executed a Letter of Intent (LOI) to enter into an Option Agreement to acquire an 80% interest in the Brandywine precious metals-rich, volcanogenic massive sulphide deposit located near Squamish, British Columbia from Turnagain Resources of Richmond, British Columbia, Canada.
The readily accessible, 1,432 hectare, brownfield Brandywine deposit has undergone several exploration phases including bulk tonnage shipments to smelters, extensive drilling, and extensive geochemical and geophysical studies.
The Brandywine deposit conceptually falls within a class of high gold-silver volcanogenic massive sulphide deposits that include the Eskay Creek deposit of northern British Columbia; the Green's Creek deposit on Admiralty Island near Juneau, Alaska; the Bawdwin deposit in Myanmar; and the Rosebery deposit of Tasmania. This family of deposits is particularly silver and lead rich with important gold, zinc, copper and other metal values.
Terms of the agreement include a non-refundable deposit of $1,000 followed by payment of C$ 9,000 on signing of the Option Agreement, delivery of 100,000 shares of Bayhorse Silver on signing, and incurring C$ 3,000,000 of work over five years. An issuance of 200,000 shares will occur on the first anniversary; an additional cash payment of $40,000 and a further 300,000 shares will be issued on the second anniversary and 300,000 shares will be issued each on the third through the fifth anniversaries for a total of 1.5 million shares.
Work expenditures will be $500,000 in year one, $500,000 in year two, $500,000 in year three, and $1,500,000 on or before the 5th anniversary.
Initial grab samples have been taken from newly exposed mineralized outcrop and have been submitted to Mineral Solutions LLC, (Minerals) Coeur d Alene, Idaho, for assessment and assay. Additional samples will be submitted for assays in the coming weeks.
A sample from the historic mining stockpile is planned to be shipped to the Company's Bayhorse Silver Mine for assessment through the Company's Ore-Sorter and upgrading circuit, that has recently been re-configured to meet the upgrade and concentration requirements for Mineral's processing of Bayhorse mineralization into refined silver.
The most definitive indications of the nature of the mineralization on the property are two smelter shipments as follows:
- A 50 ton bulk sample in 1967 grading 83.1 g/t gold, 354 g/t silver, 9.9% lead, 7.4% zinc, 0.30% copper per ton to East Helena , Montana, smelter from the Silver Tunnel and Main Zone (Melling, 1994, Walus 2011)
- A 500 ton sample grading 14.2% lead, 12.5% zinc, 339 g/t silver, and 2.57 g/t gold per ton to the Cominco Smelter in Trail in 1977 (Walus, 2011, Melling, 1994).
Several historical resources have been published previously, including 112,000 tonnes reported to average 10 oz Ag/ton;.0.03 oz Au/ton; 0.19% lead and 0.34% zinc.
Additionally, the reports identify the presence of Pyrargyrite (Ruby Silver), as well as the rare silver specimen minerals, diasphorite, fizelyite, (rare silver-lead-antimony Sulfosalt) semseyeyite, miargyrite,(silver, antimony sulphide) and prostilpnite (Ag, Sb, S), all indicative of the presence of high grade silver, as well as the rare mineral hubernite, on the property. Samples of the rare specimen silver minerals can be found in the historic mine dumps.
The Company advises that the information presented is of a historic nature. Historic production estimates and grades reported have not been verified. A qualified person has not done sufficient work to verify the historical estimates nor classify the historic estimates as current mineral resources or mineral reserves, and the Company is not treating the historical estimates as current mineral resources or mineral reserves.
While the various historical tonnage calculations have not been verified by a Qualified Person, the detailed drill data available from extensive work by several exploration groups is preserved, and will serve as a basis for confirmation drilling of the known sulphide mineralization target areas.
Bayhorse CEO Graeme O'Neill comments "Brandywine is an excellent high grade silver and gold project that complements our high grade Bayhorse Silver Mine." "Historic reports are available for viewing on the Company's website at http://www.bayhorsesilver.com/brandywine-project-au-ag/
L. Sookochoff, P.Eng., compiled much of the previous work for an assessment report in October ,2018. Discussions include work undertaken on the Stan pit area, the Silver Tunnel, Zone 4, the Brandywine No. 1 Adit, the Brandywine No.2 Adit, and the Quartz Tunnel.
Bayhorse Silver plans to undertake a re-evaluation of all data available on the project and design an exploration program to confirm previously established mineralized zones, and explore extensively on the property.
This News Release has been prepared on behalf of the Bayhorse Silver Inc. Board of Directors, which accepts full responsibility for its contents. 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
Bayhorse Silver Inc., a junior exploration company, has earned 100% interest in the historic Bayhorse Silver Mine, Oregon, USA. The Company has an experienced management and technical team with extensive exploration and mining expertise.
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.
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