Bayhorse Silver Reports 21.65 Ounce Silver in 43-101
Bayhorse Silver released a maiden 43-101 on September 24th showing an inferred silver resource of 6.3 million ounces Ag at a grade of 21.65 ounces to the ton. The company is proceeding with plans to reopen the mine and start production.
The team at the Bayhorse Silver Mine has opened the adit and is about to blast and muck the first 1,000-ton block. The company can process 100 TPD and are adding capacity to process 200 TPD. That expansion will be complete in about six months.
Bayhorse runs the mucked material through a Steinert sorting machine and can upgrade the grade of the ore by 2.5 times. By increasing the crush they can get another ten percent upgrade. For now shipping to the smelter is the biggest single expense.
Bayhorse obviously needs cash to gear up. Much will come from operations but they have 26 million warrants at an average exercise price of $.27. It wouldn’t take all that much for the company to be able to raise the money needed just through warrants being exercised.
Obviously the 43-101 is outstanding news from the company. It should put a floor under the stock price and provides investors with a cheap call on the price of silver.
I have bought shares in the open market and participated in the debentures. Bayhorse is an advertiser and as such I am biased. Do your own due diligence.