North Bay Resources Inc. (OTC:NBRI) has acquired 100% ownership of the Mt Vernon Mine in Sierra County, California, marking a strategic expansion in the gold mining sector. This undeveloped site near historically productive North American gold mines features a paleoplacer deposit, described by CEO Jared Lazerson as an ancient riverbed with well-defined and relatively shallow gold deposits. Historical findings at the site include reports of high-grade gold nuggets grading as high as 90 ounces, suggesting rich concentrations that could translate to substantial yields once operations commence.
The existing infrastructure and permits at the Mt Vernon Mine allow North Bay Resources to initiate test mining operations immediately, with plans to scale up to processing approximately 100 tons of ore per day. The company will process this ore at their Bishop Gold mill, which has matching capacity. Projections estimate daily gold production of around 80 ounces, potentially generating gross revenues of about $200,000 per day at current gold prices, with net revenues possibly exceeding $100,000 after accounting for costs and partnerships.
Perhaps most significantly, the mine contains nearly a million tonnes of known high-grade feedstock, which at the planned processing rate could sustain operations for approximately 50 years. This provides North Bay Resources with a stable, long-term source of gold production. The timing of this acquisition is particularly notable given gold's traditional role as a stable investment during economic uncertainty, positioning the company to capitalize on the enduring value of this precious metal.
North Bay Resources has expressed intentions for continued development and possible expansion of processing capabilities, suggesting the company views the Mt Vernon Mine acquisition as a cornerstone for future growth. This development signals the company's commitment to expansion and confidence in gold mining's long-term prospects, potentially positioning North Bay Resources as a notable player in the sector for decades. As global demand for gold continues for both industrial applications and as a store of value, operations like the Mt Vernon Mine play a crucial role in meeting this demand while contributing to the broader gold supply chain.
