Bayhorse Corporate Update
June 1, 2023 BHS2023-03
BAYHORSE CORPORATE UPDATE
Bayhorse Silver Inc, (BHS: TSX-V , BHSIF: OTCQB, 7KXN: FRANKFURT ) (the “Company”
or “Bayhorse”) is pleased to provide a Corporate Update on the Company’s progress on its Bayhorse
Silver Mine Operations, ongoing permitting, as well as other corporate activities.
Bayhorse Mine
In March, 2023, the Company recei ved a comprehensive structural analysis of the Bayhorse Silver
Mine from its long time geological consultant, Dr. Clay Conway, P.Geol. The Company was finally
able to access all the historic underground workings in 2022 an d this allowed Dr. Conway to better
understand the complexity of the geological structure and poten tial trends of the high grade
mineralization.
Subsequent to the analysis, and reviewing the Big Dog mineraliz ation evident in the 2021-2022 drill
program, and surface sampling of rock faces in the exposed unde rground mineralized zones, the
Company now believes it has identified a strike length of the B ig Dog mineralized zone of between
250 – 300 ft, (75- 90 meters) with widths varying between 2.5 ft (0.7 meters) to 20 ft (6 meters) and a
vertical extent of 40 ft (12 meters).
Subject to financing, the Compa ny intends to do confirmation dr illing both from the south and north
across and down dip of the mineralized zone with the objective of better determining the strike length,
the grades and vertical extent of the Big Dog Zone.
The Company is now able to safely access the southern area of t he Big Dog mineralized zone that
appears to be trending more westerly than the historic workings would indicate. This will allow for an
underground drill program to drill to the north across the zone , and down dip, with the intent of
extending the vertical extent and to confirm the continuity of grades along strike. Structural analysis is
ongoing and will be reviewed when further drill data is available.
Safe access to the historic workings in the Big Dog Zone was completed in 2022. Panel samples taken
by the Company at the eastern end of the exposed hanging wall o f the Zone ranged from 91.7 oz/t
(2,836.63 g/t) to 184.2 oz/t oz/t 5791.47 g/t ) silver, (see BHS2018-34 News Release) The strike length
of the Zone t was only confirmed after a drill intersection, 300 feet (90 meters) along strike, returned
20 ft (6 meters) of silver with an average grade of 210 g/t (6.75 oz/t), including a 0.6 meter intersection
(2 ft) grading 668g/t (21.48 oz/t) (see BHS2022-08 News Release).
During development of the interme diate drill station, approxima tely midway between the exposed
eastern end of the Big Dog Zone, and the drill intersection as described in BHS2022-08, the Company
took panel samples across and down an exposed 2.5 ft wide and 1 0 ft vertical face, that returned
combined silver assays of 1,642 g/t (54.8 oz/t). Two prior face s sampled before safety blasting was
conducted returned 549 g/t (17.65 oz/t) and 112.6 g/t (3.63 oz/t) respectively.(BHS2022-05)
Ongoing Operations Permitting
In February 2023 the Company was notified by Oregon’s Departmen t of Geology and Mining
Industries (“DOGAMI”) that there were deficiencies in its Opera ting Permit Application, and the
Company has been working towards remedying those deficiencies. The major concern was the
confirmation of baseline data in support of the Application.
The Company has engaged Mark Abrams, CPG, an Oregon Licensed Professional Geologist, who has
experience in permitting Oregon mines, to assist in reviewing the supporting baseline data submissions
and the geological reports, and eliminating the deficiencies for the full Operating Permit documentation
with DOGAMI.
The Company has access to the substantial availability of basel ine data by Idaho Power Corporation
on the Brownlee Reservoir, where the mine is located, that was developed by Idaho Power through its
relicensing of the Brownlee Dam and Reservoir. Additionally, w ith the availability of current data
from air quality monitoring stations maintained by Idaho and Oregon DEQ in the immediate area, and
water quality stations maintained by Idaho Power on the Brownlee Reservoir, we anticipate completing
the deficiencies for resubmissi on to DOGAMI in the third quarte r of this year. Approval of the
Operating Permit will allow the Company to recommence full mining and processing operations.
Bayhorse Mill.
Preliminary discussions have been held to process silver and go ld mineralization from a nearby third
party Idaho gold/silver mine that is in the process of reopening. The Company will provide an update
as more information becomes available.
Reclamation Bond.
The Company’s prior project, the Flagstaff Project, has a recla mation bond of US$140,000 with the
US Bureau of Land Management, that is being held subject to com pletion of the reclamation on the
Flagstaff property. Reclamation commenced in late October 2022, however, an early snowfall, and late
Spring thaw, made the property inaccessible to complete the reclamation. The Company estimates with
a week’s work, the balance of the reclamation will be complete. Subject to availability of equipment,
the Company intends to complete this work by mid July 2023. The Flagstaff Mine, at Northport,
Washington, was operated by the Company prior to the acquisition of the Bayhorse Silver Mine. Once
the reclamation work is approved by the US Bureau of Land Manag ement, the reclamation bond will
be refunded to the Company.
Brandywine
The Brandywine high grade gold silver project fully permitted d rilling program is on hold as the
Company is prioritizing permit completion at the Bayhorse Silver Mine.
Dr. Stewart Jackson
Bayhorse CEO, Graeme O’Neill, regrets to announce that Dr. Stew art Jackson, P.Geol., a long time
and highly valued geological consultant to the Company, and a g ood friend, passed away in April of
this year, after a short illness.
This News Release has been prepared on behalf of the Bayhorse Silver Inc. Board of Directors, which
accepts full responsibility for its content. Dr. G.E Ray, P.Geo., a Qualified Person and Consultant to
the Company has prepared, superv ised the preparation of, and ap proved the geo-technical content of
this press release.
On Behalf of the Board.
Graeme O'Neill, CEO
866-399-6539, 604-684-3394
About Bayhorse Silver Inc.
Bayhorse Silver Inc. is an exploration and production company w ith a 100% interest in the historic
Bayhorse Silver Mine located in Oregon, USA. With state of the art Steinert Ore-Sorting technology
reducing waste rock entering the processing stream by up to 85% , we have created a minimum
environmental impact facility capable of mining 200 tons of min eralization per day and the ability to
process and supply 3,600 tons p er year of silver/copper concent rate ranging between 7,500 to 15,000
g/t using standard flotation pro cessing at its milling facility in nearby Payette County, Idaho, USA,
with an offtake agreement in place with Ocean Partners UK Limited. The Company also has an option
to acquire an 80% interest in the Brandywine high grade silver/ gold property located in B.C. Canada.
The Company has an experienced management and technical team with extensive mining expertise in
both exploration and building mines.
The Company is not basing any decision to produce on a feasibil ity study of mineral reserves
demonstrating economic and techni cal viability and advises ther e is an increased uncertainty and
specific economic and technical risk of failure with any produc tion decision. These risks include, but
are not limited to, (i) a drop in price of commodities produced , namely silver, gold, copper, lead and
zinc, from the pricing used to make a production decision; (ii) failure of grades of the produced material
to fall within the parameters used to make the production decision; (iii) an increase in mining costs due
to changes within the mine during development and mining procedures; and (iv) metallurgical recovery
changes that cannot be anticipated at the time of production.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts res ponsibility for the adequacy or accuracy of this
release.