James Bay Minerals (ASX:JBY) has described as “transformational” its purchase of a gold project in Nevada, USA – marking yet another lithium explorer to pivot into other metals following the lithium price crash.

James Bay was formerly a lithium explorer focusing on a region of Canada after which it was named, and one that saw a lot of Australian companies set up shop.

That was before interest rate rises, and, while lithium prices were still hot in the early 2020’s.

A few years later and James Bay reported on Monday its execution of a definitive term-sheet underpinning an earn-in deal to stage up to 100% ownership of the Independence Gold Project, located at Battle Mountain in Nevada, USA.

The project is ultimately estimated to push out 796Koz of gold with “significant opportunity for growth” of the existing resource.

A recent drill hit outside the known resource area came in at 24.5m @ 9.10g/t gold and for 25g/t of silver with a 9m section at 23g/t gold.

Previous intercepts, all described as “near surface,” include 44.2m @ 4.19g/t gold and 47m @ 1.3g/t gold.

JBY will be launching a $1.5M placement to cover the initial earn-in costs.

“The combination of existing high-grade resources, significant growth potential at both the near-surface and skarn deposits, and a location in one of the best mining districts globally presents a huge opportunity for the Company,” JBY ED Andrew Dornan said.

“This gives us the opportunity to enhance our existing asset base in North America with a substantial high-grade gold asset with immediate growth potential.”

JBY last traded at 20cps.

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