JBY releases a new presentation for the Resources Rising Star

Our US gold Investment, James Bay Minerals (ASX: JBY) just released a new presentation for the Resources Rising Stars “Gather Round” conference.

We think newly appointed JBY Executive Director Matthew Hayes gave a clear and powerful overview of what JBY is aiming to achieve with its gold project in Nevada.

Watch the presentation below to get a better grip on why JBY is in a great position, given it sits immediately next door to Barrick and Newmont’s Phoenix mine complex:

(Source)

For a quick bit of context this is where JBY’s project sits in relation to the currently producing Phoenix gold mine complex:

Matt Hayes pointed out Phoenix is “one of the largest and most profitable gold mines in the world.”

Here are our quick notes on what stood out from this JBY presentation:

• Back in the 1990s the Phoenix mine produced 2.3Moz from the same host rock as JBY’s resource of ~1Moz at 6.67g/t,
• Phoenix had nearly identical grade and metallurgical recoveries of 92-96%
• Phoenix has 40 years of operations, $1.5BN in revenue, and $1BN in profit a year currently, total of ~9Moz of total gold production
• Phoenix “makes money at any gold price” and has never ceased production since it was constructed
• Where JBY is currently drilling was never drilled because the previous private owner could afford to build a road to access this area.
• Permitting in Nevada for JBY is very straightforward as JBY’s area is within Newmont and Barrick's “Plan of operations” meaning the pathway towards mine development is
• Infrastructure such as power is readily available and full water rights
• Due to infrastructure and permitting advantages Hayes said “we could be operating within 8-12 months” - while we think that sounds ambitious, it’s also good for companies to set stretch goals to knock down.
• Hayes also said you can mine and process a tonne of rock in this part of Nevada for “less than a cup of coffee”/$5 - a remarkably strong bit of economics that allows NGM to operate at what many think are “low grades”
• Recent appointment of Keith Wood as Strategic Advisor - chief growth geologist of Nevada Gold Mines (NGM) (the Newmont and Barrick JV) that owns and operates the Phoenix mine complex:

• JBY is one of the highest grade early stage developers on the ASX (drilling could make JBY both large and high grade):

What’s next for JBY?

Here’s what we can look forward to from JBY across the rest of this year in a busy program of works:

At a high level:

🔄Drilling for resource growth

🔲More drilling testing high grade outcrops in extensional drilling

🔲Permitting for heap leach processing

🔲Metwork

🔲Scoping Study

In the immediate future we’re looking forward to drilling.

Next round of drilling (starting this quarter) 🔄

We want to see JBY start drilling and extend its near surface gold resource.

We are looking forward to JBY’s drill program because the company will test three different theories:

1. Drilling out the shallow mineralisation currently outside of its resource model (and hopefully bringing it into the model in future resource updates).
2. Drilling in between JBY’s two resources (shallow and deep sections)
3. Drilling extensions to the north and south of the current JORC resource along strike.