URAGOLD BAY RESOURCES
is a junior exploration company trading on the TSX Venture Exchange under the symbol UBR and Stateside as URAGF . U
ragold's business model focuses on developing low-risk, low-cost gold mining operations while exploring on core properties that hold the potential of discovering world class gold deposits, and more recently, graphite properties. The Company's properties are located in Canada, in the Appalachian region of the province of Quebec. The properties benefit from extensive historical exploration work and from well-established infrastructure thereby helping to reduce exploration risks. UBR
is searching for precious and energy metals. It has the potential to become a mid-tier producer in gold. It owns two gold properties outright, and will option other properties in the southern Quebec region as they become available. It has also recently acquired outright two other properties containing graphite, a new venture for UBR. One of these properties is an historic producer, world class in quality of jumbo flake, and can be mined almost immediately following a quick
NI 43-101 resource upgrade. Like a Rolls Royce, it comes with its own mechanic... the geologist who spent a good part of his career on the project with the Asbury family. Asbury will anchor UBR's venture into graphite; they intend to grow their operation around this jewel. N
ot content with being a small production company, UBR desires to grow. This takes cash to put together, but it can be small cash spent wisely. A typical 2.5M ton graphite property with historic NI 43-101's on it might cost $1.5M, but can be optioned for much less, for about 10% of the total value. These properties, the best ones, can contain upwards of $5B of total resource in varying grades. U
ragold has taken a proactive approach to the problem of finacing a small company to grow it while containing share count: become self sustaining by generating revenues from smaller projects while acquiring and exploring larger prospects. This demonstrates it's potential to larger, institutional investors their ability to absorb and survive financing risk and costs. U
rgaold intends to prove up the 'Flinders quality' Asbury property to 2M tonnes ultra high quality this summer. More graphite miners are now noticing and acquiring properties all around them... Cavan, and most recently Focus Metals have joined the fray. T
heir Beauce Gold mine is moving into production as we speak and will begin to generate revs for the company almost immediately as they bulk sample the tailings, exposing gold bearing bedrock. This is a small mine, but is useful to get them going. T
he big attraction for the two owners of Uragold is the MacDonald and Moe River properties. They are in the firm belief that they have the underpinnings of a world class gold deposit, and will prove it up, starting this summer. T
here is much more to this play than meets the eye... and they intend to bring it forward to investors in the coming next few months. F
or more information, please see: http://www.uragold.com/index.php PRESS RELEASES URAGOLD SIGNS AGREEMENT FOR THE ASBURY GRAPHITE MINE AND THE CANADIAN GRAPHITE PROPERTY
Montreal, Quebec, March 23, 2012: Uragold Bay Resources Inc. (TSX-V: UBR), Uragold is pleased to announce it has signed an agreement with a private vendor regarding the acquisition of 100% interest in two large flake graphite properties, the Asbury Graphite Mine and the Canadian Graphite property. Asbury Graphite Mine
The property, located in Notre-Dame-de-Laus, 60 km south of Mont- Laurier, Quebec consists of two claims, which holds the former Asbury Graphite Mine. The mine was an open pit mine that operated seasonally from 1980 to 1989, and less then 70,000 tons were process during that period. In 1974 a historic estimate of 578,000 tons averaging 10% large flake graphite was reported for the Ashbury Graphite Mine (source is pre 43-101, Resource Naturel et de la Faune du Quebec, report GM36039, FEASIBILITY STUDY ON THE MINING OPERATION OF THE GRAPHITE PROPERTY, Baril 1974, by Canastota Mines) A qualified person has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves; and Uragold is not treating the historical estimate as current mineral resources or mineral reserves.
Additionally, a 1985 drilling program confirmed the presence of graphite beds at the bottom of the pit open at depth, indicating an additional deposit of significant potential. Graphite zones to the north and south of the open pit show the potential of additional ore discoveries.
A qualified person has not verified the relevance and reliability of the 1985 drill results outlined above and should not be relied upon until the Company can confirm them. Past metallurgical tests on bulk samples from the deposit have shown that a graphite concentrate with a recovery of 85% was produced where by 50% of the concentrate fall into the large flake grade with an average carbon content of 90% and a granulometry of 80 plus mesh. 25% fall in the medium flake category with an average carbon content of 80% carbon and a granulometry between minus 80 mesh and plus 200 mesh. The remaining 25% fall in the fine flake category and had an average carbon content of 80% and a granulometr Canadian Graphite Property
The property consists of two mining claims located 13 km east of St-Michel-de-Wentworth in the Laurentian region of Quebec. In 1918, the Canadian Graphite Company identified a graphite historical estimate of 168,000 tons at 6.15% graphite (source is pre 43-101, Canadian Graphite Co., Hitchcock 1918). Recently, a 30498 (Territoire affecté à la villégiature) exploration and mining restriction was imposed on the region. Future exploration activities will require authorization from the municipality of Wentworth Nord.
A qualified person has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves; and Uragold is not treating the historical estimate as current mineral resources or mineral reserves.
Mr. Vivian Stuart-Williams, (SACNASP), a Director of the Company and a Qualified Person as defined by National Instrument 43-101, supervised the preparation of the information in this news release.
Material terms of the agreement are as follows (all amounts are expressed in Canadian dollars). In order to acquire its interest in the claims, the Company shall make the following payments to the vendor.
The Vendor agrees to grant Uragold the exclusive and irrevocable right to earn a one hundred per cent (100%) interest in the Claims, in consideration of 8,000,000 common treasury shares of the Company plus a cash payment of $50,000.00
The transaction is made with a party that is non-related to the Corporation. The acquisition is conditional to the approval of regulatory authorities. Further to the acquisition and its approval, the parties will proceed with the transfer of the titles of the claims to the Corporation.
The price of large-flake graphite has tripled over the last five years due to reductions in supply and increased demand. High grade large-flake graphite sell for up to $3,000 a ton. Lithium ion batteries are composed of 10 to 20 times more graphite than lithium. Focus metals Lake Knife project has a 16% graphite content and is the highest known graphite grade in the world. Other known global deposits are typically in the 2-6% range. At 10% graphite, the Asbury Mine has the potential to be a world class deposit.
Patrick Levasseur, president and COO of Uragold stated. "The Asbury project is similar to our Beauce Placer project, this property benefits from extensive historical exploration work, well-established infrastructure and the real potential of developing a mining operation. I am confident that this major graphite acquisition will add to shareholder value." INVESTOR RELATIONS
Progressive IR Consultants Corp.
440 - 789 West Pender St.
Vancouver BC V6C 1H2
Tel: 604.689.2881 [email protected]
Website: http://www.progressive-ir.com/index.html RECENT PRESS COVERAGE http://finance.mpr.org/about/news/read/21001010/uragold_bay_resources_inc Uragold Bay Resources Inc. (CVE:UBR) (PINK:URAGF) Price Shoots Up After Update On Operations
Uragold Bay Resources Inc. ( CVE:UBR ) (PINK:URAGF) share price jumped when the company published an update on their drilling program. UBR gained another 25% following the lazy uptrend from early February. The accompanying trading volume was 4.3 million, more than ten times heavier than the 90-day average and the heaviest recorded over the past year. Strong end of day price action combined with a news release promise a bullish session ahead. Last Friday, March 30, the company announced they have completed a four hole diamond drill program on Beauce Placer property in Quebec. The drilling revealed a hard rock gold anomaly but further testing will be required. The company only revealed that findings currently confirm their hypothesis about the underlying structure of the property. Sampling and splitting are continued to better define the anomaly. Uragold also got city council approval to conduct a bulk sampling program. Bulk sampling will allow taking large samples and help to define the ore structure more accurately during metallurgical testing. Traders thus have a reason to speculate on the would be findings, but the extend of possible price increases should be limited as nothing new of significant value was found by the company.