SKIPPACK, PA -- (Marketwired) -- 09/10/13 -- North Bay Resources Inc. (OTCQB: NBRI) ("North Bay" or the "Company") is pleased to report that the Company has cleared the last remaining obstacle in the Ruby Tunnel at the 4900 vein and has crossed the Melones Fault to gain access to the Black Channel. This has always been one of the principle goals of the Ruby Tunnel Rehab project, and thus represents another significant milestone in the reopening of the Ruby Mine.
As previously explained in a Company press release dated July 23, 2012, the section of the tunnel that has been undergoing rehabilitation since 2011 is on the west side of the Melones Fault, the principle controlling structure that defines the Motherlode system of Northern California. Having now reached the 4900 vein, we have crossed over to the eastern side of the Melones Fault and into the approach to the Black Channel. It is worth noting that much of the gold produced from vein deposits of the Motherlode has been mined from the eastern side of the Melones Fault, a geological structure that runs through the entire length of the Ruby property.
The economic significance of the Black Channel is documented as being that section of the mine that was in production at the time the Ruby was closed in 1942 by order of the US government pursuant to War Production Board Order L-208. Up to that point, the Black Channel had already produced over 58,000 ounces of gold, including the world-class C.L. Best Collection of Ruby Nuggets currently on display at the Los Angeles County Museum of Natural History. The importance of the Black Channel was highlighted in an April 1987 interview with Lewis Huelsdonk, the Ruby mine manager at the time it was unexpectedly forced to close by the War Board. In the interview Mr. Huelsdonk is quoted as saying, "It seemed like we no sooner got onto the gold when the war broke out and the government closed the mine. We were right in the middle of taking these nuggets, so you can imagine how we felt at the time." The article goes on to explain that after the war the cost of operating the mine rose astronomically, the government froze the price of gold at $35 an ounce to effectively eliminate the free market, and the mine never reopened. A link to the entire article is available at http://www.northbayresources.com/ruby/CA_Mining_Journal_Article.pdf.
The Company notes that additional rehab work to reinforce and retimber the Black Channel workings will need to be done before bulk sampling and test mining can begin in that location. In the meantime, the Company is continuing preparations to begin test mining at the White Channel as previously announced in a Company press release dated August 27, 2013. The initial bulk samples from the White Channel are expected to be extracted and delivered to the mill for processing by the end of the month.
The Company also notes that while the most difficult part of the tunnel rehab has been completed and test mining operations are now beginning, additional rehab work remains to be done further upstream from the Black Channel. There is yet another mile of tunnel leading to the secondary exit at the Lawry Shaft that still needs to be assessed and rehabilitated before the Lawry Shaft can be considered to be reopened. While this continuing rehab is not expected to be nearly as intensive as the work now completed, it is nevertheless just as important. Putting the Lawry back into service opens the mine from stem to stern, and allows access to several more mining targets, including the Pilot Channel, Sally's Alley, and the Mt. Vernon Channel.
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