Highlights: Both preliminary (LP) and installation permits (LI) have been granted by the Para State Environmental Agency (SEMAS/PA) for two trial mining licences previously approved by the Brazilian Mining Agency (ANM). The LP and LI permits cover the key MG and Central deposits, as well as the Machichie and PDM discoveries.
The receipt of both the LP and LI permits authorizes trial mining and the installation of all necessary infrastructure and equipment required for trial mining.
An updated resource estimate for the Cuiu Cuiu project is under way, with completion expected in July, 2022. It will include maiden resource estimates for three gold-in-oxide blankets, and is planned to be followed by a preliminary economic assessment study assessing the heap leach potential of that oxide mineralization.
Alan Carter, president and CEO, commented: â€œThe issuance of the LP and LI environmental permits is a giant step forward for the Cuiu Cuiu project. The fact that these permits have been granted on schedule is indicative of the level of support that the project has within the relevant government agencies both in the state of Para and at the federal level in Brazil. All of the main permits are now in place to allow us to proceed with trial mining and gold recovery from the three gold-in-oxide blankets which were only recently identified at Cuiu Cuiu.
â€œThe granting of these key permits comes just days after we received the column leach test results on the gold-in-oxide blanket material. These test results demonstrated excellent recoveries from the recently completed column leach tests, which in turn indicate that heap leach processing of the oxide material at Cuiu Cuiu is viable. We now look forward to the results of the resource update in the coming weeks and ultimately a PEA study assessing the heap leach potential of the oxide mineralization. I would like to thank our team in Brazil and everyone involved in the relevant government agencies in Para and federal agencies elsewhere in Brazil for their support in achieving this exciting milestone.â€
Receipt of all of the necessary mining and environmental permits from the Brazilian Mining Agency (ANM) and the Para State Environmental Agency (SEMAS/PA) allow for trial mining and processing at the Cuiu Cuiu project.
An updated resource estimate for the Cuiu Cuiu project is under way. The NI 43-101 estimate is being carried out by SLR Consulting (Canada) Ltd., and is expected to be completed during July, 2022. It will include maiden resource estimates for all three gold-in-oxide blankets, including PDM, MG and Central.
In view of the recent positive results from column leach tests on material from the MG gold-in-oxide blanket, granting of the LP and LI environmental permits for the trial mining licences, and the imminent global resource update for the Cuiu Cuiu district (which is due in the next few weeks), Cabral plans to commence a preliminary economic assessment (PEA) as soon as possible which will assess the economic viability of the gold-in-oxide blankets.
Two gold deposits have so far been defined at Cuiu Cuiu and contain NI 43-101-compliant Indicated resources of 5.9 million tonnes at 0.90 g/t gold (200,000 ounces) and Inferred resources of 19.5 million tonnes at 1.24 g/t gold (800,000 oz).