Cabral Gold drills 1.1 g/t gold over 23 metres at Machichie, Brazil

Cabral Gold Inc. [TSXV-CBR; OTC-CBGZF; FSE-C3J] has released drill results from an initial nine RC (reverse circulation) holes testing the near-surface oxide material at the Machichie gold discovery in the Cuiu Cuiu gold district in northern Brazil. These holes are part of a drill program to better define the gold-in-oxide mineralization at the Machichie target, which is located 500 metres northwest of the MG gold deposit and could have an impact on the current plans for trial-mining of the oxide material.

Highlights: RC399 returned 23m at 1.1 g/t gold from surface in mineralized saprolite. RC402 returned 23m at 0.5 g/t gold from surface in mineralized saprolite, including 1m at 6.6 g/t gold from 9m downhole. The hole also intersected 7m at 2.5 g/t gold from 30m downhole in mineralized saprolite. Hole RC403 drilled on the same section returned 13m at 0.4 g/t gold from surface in mineralized saprolite. RC407 drilled returned 10m at 0.6 g/t gold from surface in mineralized saprolite.

Drill results are pending on an additional 13 RC holes from Central and nine shallow power-auger holes at MG as well as 12 RC holes from the Machichie target.

Alan Carter, President and CEO, commented, “These initial RC drill results from the Machichie target at Cuiu Cuiu lend further credence to our belief that a significant zone of near surface gold-in-oxide mineralization overlies the Machichie gold discovery located just 500m northwest of the MG gold deposit. Neither the underlying hard-rock discovery or the weathered gold-in-oxide mineralized material at Machichie yet comprise a resource as both zones require additional drilling. However, this initial batch of RC drill results from Machichie suggests the presence of additional gold-in-oxide mineralization within close proximity to the existing MG gold deposit, which obviously has significant implications for the ongoing PFS aimed at trial mining and heap-leach processing of the near surface gold-in-oxide resources at Cuiu Cuiu.”

The Machichie target is located 500m northwest of the MG gold deposit. Previous diamond drilling at the Machichie Main zone identified a persistent mineralized zone which is east-trending and dips steeply to the north. This main zone consists of parallel high-grade core zones surrounded by a low-grade alteration envelope and is believed to extend E-W for at least 900m. The discovery is similar in style to the bedrock gold deposits at MG and Central as well as the PDM basement discovery.

As with Central, MG and PDM, the upper portion of the mineralized zone at Machichie has weathered over millions of years creating a layer of soil and saprolite (weathered bedrock) which also appears to contain gold. Whilst previous diamond drilling has largely been focused on the underlying hard rock potential at Machichie, several previous holes indicate the presence of gold-in-oxide weathered material above the primary basement mineralization.

The current RC drill program at Machichie is designed to identify and better define higher-grade zones within the gold-in-oxide material that could add to the current gold-in-oxide resource at Cuiu Cuiu and could have an impact on plans for trial mining.

Results from RC408, which is designed to test the southern zone are pending.

These drill results from Machichie confirm the presence of gold-in-oxide in basement saprolite containing zones of higher-grade mineralization. Machichie is located just 500m north of the MG deposit. The thickness, depth of weathering profile, and lateral extent of this zone at Machichie have not yet been well defined. However, based on limited drilling and trenching further west and in the area of the Machichie West target, its aerial extent could be signicant.

As Machichie is so close to the MG resource, the identification of this higher-grade gold-in-oxide material at Machichie could have significant positive implications for the ongoing PFS aimed at trial mining and heap-leach processing of the near surface gold-in-oxide resources at Cuiu Cuiu.

Results still pending on 13 RC holes from Central and nine shallower power-auger holes at MG. Results are also pending on 12 RC holes from Machichie.

The company has a 100% interest in the Cuiu Cuiu gold district located in the Tapajos Region, within the state of Para in northern Brazil. Two main gold deposits have so far been defined at the Cuiu Cuiu project which contains NI 43-101 compliant Indicated resources of 21.6Mt at 0.87 g/t gold (604,000 oz) and Inferred resources of 19.8Mt at 0.84 g/t gold (534,500 oz) as per the 43-101 technical report dated October 12, 2022.

Cuiu Cuiu was the largest area of placer workings in the Tapajos and produced an estimated 2Moz of placer gold historically.