James Bay Minerals Gold-Silver Discovery Extends Beyond Nevada Resource Boundaries

James Bay Minerals Extends Gold-Silver Discovery Beyond Resource Limits at Nevada's Independence Project

James Bay Minerals (ASX: JBY) has delivered impressive drill results from South Hill that extend known gold-silver mineralisation well beyond the current Mineral Resource Estimate (MRE) boundaries at the Independence Project in Nevada. The latest reverse circulation drilling has returned 25.9m @ 0.6g/t AuEq from 161.5m in hole JBRC011, including a high-grade section of 4.6m @ 1.3g/t AuEq from 182.9m, demonstrating significant expansion opportunity for the resource base.

The results build on historic intercepts outside the MRE, including a standout 39.6m @ 2.1g/t AuEq from hole AGEI-28, with 19.8m @ 3.8g/t AuEq within that intersection. These findings reinforce the company's strategy to target extensions of mineralisation outside the current resource envelope whilst advancing development pathways during a favourable gold price environment.

Furthermore, the James Bay Minerals gold-silver discovery continues to expand through systematic exploration targeting areas outside the current resource estimate. The exploration programme focuses on identifying demonstrated mineralisation extensions that could significantly enhance the project's economic profile.

Management Commentary

"Drilling continues to provide extensions to gold-silver mineralisation outside the current MRE. At South Hill we've proved the system continues down dip and hit from surface mineralisation. With Rebel Peak earthworks complete, we will start drilling next week beneath high grade rock chips to 16.6 g/t Au. The goal is to add ounces fast by targeting extensions to mineralisation well outside the MRE." – Dennis Lindgren, CEO

Recent Drilling Delivers Consistent Mineralisation Extensions

The latest drilling campaign at South Hill has successfully demonstrated continuity of mineralisation beyond the established resource boundaries. In addition, the systematic approach has identified multiple zones where mineralisation extends well beyond current resource constraints.

Key intercepts from the recent programme include:

The JBRC011 intercept represents a 40m step down-dip extension of the southern portion of the near-surface mineral resource and is located 70m south along strike of the significant historic intercept in AGEI-28. This demonstrates the potential for substantial resource growth through systematic step-out drilling.

The drilling has confirmed that 520m of strike length at South Hill remains a high-priority target for testing additional mineralised structures beneath the current pit optimisation. Historic drilling had been limited by set depths rather than geological boundaries, creating opportunities for deeper exploration.

Understanding Gold Equivalent Calculations in Resource Evaluation

Gold equivalent (AuEq) grades provide a standardised method for evaluating deposits containing multiple precious metals where both gold and silver contribute to economic value. At Independence Project, AuEq calculations incorporate metal prices of US$2,412.50/oz for gold and US$28.40/oz for silver, along with expected processing recovery factors.

The recovery assumptions reflect the deposit's material characteristics across different oxidation states. Gold recovery rates vary from 79% in oxidised material to 50% in transitional zones and 22% in fresh rock.

Silver recovery remains consistent at 27% across all material types. This approach ensures reported grades accurately reflect the economic potential of drill intercepts, accounting for both metal content and expected processing performance.

For investors, AuEq grades provide a standardised way to compare the value of different intercepts across the deposit. This is particularly important when evaluating exploration targets and resource expansion potential.

The calculation formula used is: AuEq (g/t) = Au (g/t) + (Ag (g/t) × (28.4 × 0.27) / (2,412.5 × Au Recovery)). This methodology enables meaningful comparison of intercepts containing varying gold-to-silver ratios whilst incorporating realistic processing expectations.

What Makes Rebel Peak the Priority Drilling Target?

With road construction now complete to Rebel Peak, James Bay Minerals is positioned to begin drilling its most promising exploration target outside the current resource boundaries. The area has been prioritised based on high-grade surface rock chip samples up to 16.6g/t Au, located where the Rebel Fault and intrusions intersect the main epithermal gold mineralisation trends.

Previous geological observations indicate the highest-grade intercepts occur where major fault structures and intrusions cross-cut chert-hosted epithermal mineralisation. Consequently, Rebel Peak represents a priority target for high-grade surface rock chip samples discovery.

Upcoming Development Milestones

• Immediate: Rebel Peak drilling commencement targeting high-grade surface mineralisation
• Near-term: Additional South Hill drilling to test stacked mineralisation below existing resource
• Medium-term: Resource update incorporating extension drilling results

The area represents untested potential outside the current MRE with geological characteristics similar to the project's most successful historic intercepts. However, the strategic focus on heap-leach suitable mineralisation aligns with successful operations throughout Nevada's epithermal deposits.

The adjacent Nevada Gold Mine's Phoenix complex and SSR's Marigold operation operated between 0.13 – 0.36 g/t Au in 2024, demonstrating the viability of similar grade material in the district.

Investment Thesis: Strategic Position in Tier-1 Nevada Jurisdiction

James Bay Minerals has assembled a compelling investment proposition centred on the Independence Project's expansion potential beyond current resource boundaries. The James Bay Minerals gold-silver discovery benefits from multiple operational and strategic advantages that position the company for significant value creation.

Operational Advantages

The project enjoys several key operational benefits:

• Location adjacent to Nevada Gold Mine's active Phoenix operation
• Existing infrastructure and supportive regulatory environment
• 1,861 acres of claims plus 470 acres of private surface land with exclusive water rights
• Proven heap-leach processing characteristics suitable for Nevada's established infrastructure

Resource Growth Potential

Multiple factors support significant resource expansion potential:

• Current JORC 2012 resource of 415,000 AuEq ounces in near-surface material
• Systematic drilling targeting extensions outside current resource envelope
• Multiple high-grade zones identified through recent exploration programmes
• 520m of untested strike length at South Hill alone represents significant expansion opportunity

Furthermore, the systematic exploration targeting areas outside established resources has identified multiple priority zones for follow-up drilling campaigns.

Strategic Portfolio Diversification

The company's asset portfolio provides balanced exposure across multiple commodities:

• Shafter Silver Project in Texas with historic 17.57 million ounce foreign resource estimate
• Quebec lithium assets covering 41,572 hectares in the James Bay region
• Balanced exposure to gold, silver, and battery metals markets

Nevada's established mining infrastructure and supportive regulatory framework provide an optimal environment for resource development. The state consistently ranks amongst the Fraser Institute's top mining jurisdictions globally, offering predictable permitting processes and experienced workforce availability.

Why Should Investors Track This Emerging Nevada Producer?

James Bay Minerals represents a unique opportunity to gain exposure to resource expansion potential in one of the world's premier mining jurisdictions. The Independence Project's strategic location adjacent to major producing operations, combined with demonstrated mineralisation extensions beyond current resource boundaries, creates multiple catalysts for value appreciation.

The company's multi-asset portfolio provides diversification across precious metals and battery minerals whilst maintaining focus on advanced-stage projects with established geological potential. Moreover, the ongoing exploration programme continues to demonstrate expansion potential through drilling programmes actively targeting resource growth and new discovery zones.

Key Investment Drivers

• Resource Expansion: Systematic drilling targeting extensions outside current MRE boundaries
• Strategic Location: Adjacent to active Nevada Gold Mine operations with shared infrastructure benefits
• Diversified Portfolio: Balanced exposure to gold, silver, and lithium across multiple stable jurisdictions
• Experienced Management: Proven track record in Nevada operations and resource development
• Market Timing: Advancing projects during historically elevated gold price environment

The combination of proven mineralisation continuity, successful extension drilling, and strategic positioning in Nevada's Battle Mountain district creates a compelling investment opportunity. However, investors should note that resource expansion drilling carries inherent risks, and future results may vary from current expectations.

The James Bay Minerals gold-silver discovery strategy of targeting high-priority areas outside existing resource boundaries, combined with Nevada's mining-friendly jurisdiction and established infrastructure, positions the company for potential significant value creation. This is particularly relevant as gold prices remain at historically elevated levels and the company continues to identify demonstrated mineralisation extensions beyond current resource estimates.

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