Bayhorse Silver Renews Silver Concentrate Offtake Agreement with Ocean Partners, Increases Proposed Shipping Volume To 400 Tons

Executive Summary

• Bayhorse Silver Inc. renewed its silver‑copper concentrate offtake agreement with Ocean Partners UK Ltd and increased the minimum shipping volume to ≥ 400 tons.
• The company will now source third‑party mineralized material for processing at its 50 t/d flotation facility in Payette, Idaho, and outlined detailed metallurgical test results indicating high‑grade concentrate production.
• New underground drilling has identified a high‑grade silver zone (average ≈ 1,100 g/t Ag) prompting a revised mine plan that includes a new decline to access additional prospective zones and support a planned 200 t/d operation.

Key Details

• Offtake Agreement: Renewal with Ocean Partners UK Ltd; minimum concentrate shipment raised from prior level to ≥ 400 tons of silver/copper concentrate.
• Third‑Party Feed: Company will supplement feedstock with third‑party mineralized material processed at its 50 t/d flotation plant in Payette, Idaho.
• Flotation Test Results (BHS2020‑12): Expected production ≥ 2 t/d of concentrate containing up to 10 % Cu, 12 % Sb, 18 % Zn, plus silver.
• Ore‑Sorter Performance: KSS100 sorter can upgrade mined tonnage ≥ 4× by removing > 75 % waste, delivering a pre‑concentrate of 20–50 t/d for mill feed.
• Sample Assay (BHS2204‑04): 5 kg Ore‑Sorter sample from 200 kg mined material showed head grade 985 g/t Ag (28.8 oz/t), 1.16 % Cu, 1.87 % Zn; flotation recoveries 86.7 %, resulting concentrate grade 9,700 g/t Ag.
• New Mineralized Zone: Drilling intersected a 140‑ft long west‑east zone (≈ 70–80 ft wide, 35‑ft thick) with assays:
• 10 ft interval: 1,103 g/t Ag (35.46 oz/t) and 0.61 % Cu (BHS2025‑16).
• 5‑ft interval: 23.12 g/t Ag; average over 3 m (≈ 10 ft) 911 g/t Ag (29.29 oz/t).
• Planned Decline: New decline up to 65 ft long will intersect the above zone and provide access to two additional prospective targets extending 250 ft north, enabling up to three working faces for a 200 t/d operation.
• Mining Cost Review: Company updates mining cost benchmarks quarterly against peer mines to ensure economic viability of the revised plan.

Notable Quotes

“The Bayhorse Silver Mine is planned for an up to 200 tons/day mining rate… The KSS100 Ore‑Sorter can upgrade the mined tonnage silver content a minimum four times…” – Graeme O’Neill, CEO

All forward‑looking statements are subject to risks and uncertainties as described in the release.