U.S.Report Biron Bay busy on U.S. gold bet

Toronto-based Biron Bay Resources (TSE) is planning additional drilling work this year on its Summit gold joint venture with NovaGold Resources (TSE) in the Steeple Rock mining district of New Mexico. Earlier this year Biron Bay completed a $650,000 private placement at $1 per share and President Leonard Taylor provided $317,600 to the company as working capital by exercising his stock option for $197,000 and advancing $120,000 as a director’s loan.

Previous work by NovaGold on the property outlined a preliminary reserve estimate of 1.28 million tons grading 0.20 oz. gold and 19.7 oz. silver per ton. The main zone is reported to have a strike length of 3,200 ft. along the Summit vein and a downdip extent of at least 1,400 ft. below surface.

Recent drilling, designed to test the main shoot at 200-ft. intervals, has already outlined a drill-inferred reserve of at least 800,000 tons with an average uncut grade of 0.18 oz. gold and 11.17 oz. silver. That block of material lies about 200 ft. below the previously interpreted bottom of the mineralization which remains open at depth.

In addition, hole 90-3 yielded a 20-ft. intersection grading 0.24 oz. gold per ton immediately beyond the footwall limit of the Summit vein where most of the reserves have been outlined to date. Also enhancing the potential of the project is a northern extension of the Summit vein known as the Bilali-Norman King vein which has yielded assays up to 0.24 oz. gold and 12.1 oz. silver over a 12-ft. sample width.