Vancouver, British Columbia – February 11, 2020 – Cabral Gold Inc. (“Cabral” or the “Company”) (TSXV: CBR) is pleased to provide initial results from reconnaissance surface sampling within the largely unexplored eastern part of the Cuiú Cuiú Project area which resulted in the identification of a new and previously unknown high-grade target called Alonso.
Twenty-three rock samples collected from surface boulders at the previously unknown Alonso target returned gold values ranging from 11.6 to 200.3 g/t gold and average 91.7 g/t gold (Table 1). The boulders are all angular blocks and are believed to have originated from a nearby source
The Alonso prospect is located 3km SE of the MG gold deposit (Figure 1). It was not previously known and is associated with a pronounced WNW trending magnetic anomaly
Additional blocks/boulders of quartz vein material have also been identified 100 to 950m WSW of the discovery location. In addition, streams draining the area to the west up to 1.5km from the discovery location, are all highly anomalous in gold
Alan Carter, President & CEO stated “These surface results from the new and previously unknown Alonso target located just 3km SE of the MG gold deposit, are truly spectacular and unprecedented in our exploration efforts at Cuiú Cuiú. Whilst I must stress that it is very early days for this target, the fact that we are finding highly anomalous levels of gold in streams up to 1.5km west of the discovery location suggests this target could be very significant. These results, together with our recent drill results from MG and Central, confirm the presence of significant high-grade mineralization at Cuiú Cuiú. I would like to personally congratulate Cabral’s exploration team on the identification of an exciting new target”.
Table 1: Gold values from all rock float samples collected at the Alonso target
The Cuiú Cuiú gold project is a district located within eastern Para that was one of the largest historic producers of placer gold during the Tapajos gold rush which lasted from 1978 to 1995. Cabral has 43-101 compliant resources on the project based on historic drilling completed between 2006 and 2012 over the MG and Central deposits, of 5.9Mt @ 0.90g/t (200,000 oz) and Inferred resources of 19.5Mt @ 1.24g/t (800,000 oz).
Cabral commenced work on the project in early 2018 and completed two drill programs during 2019 which resulted in at least two high-grade discoveries at Machichie (3.4m @ 36.9 g/t gold) and Morro de Lua (2.8m @ 19.5 g/t gold). In addition, recent drilling completed during late 2019 at the MG and Central deposits returned 7.6m @ 18.5 g/t gold and 5.6m @ 13.0 g/t gold and has clearly demonstrated the continuity of high-grade mineralization down-dip and along strike (see press releases dated 7th November 2019 and 20th January 2020).
In parallel with these drilling efforts, Cabral’s exploration team have continued to explore the wider district via a combination of regional soil sampling, shallow auger sampling and basic prospecting of drainages. The focus of this work has been on the determination of a source for coarse angular gold nuggets in the Cilmar area located 9km to the NNE. The identification of the Alonso target 3km SE of the MG deposit (Figure 1) was a direct result of these regional exploration efforts.
Figure 2: Detailed RTP magnetic map showing of the new Alonso target with location of quartz vein boulders and anomalous streams with gold up to 1.5km to the west
The presence of a significant WSW trending magnetic anomaly and the recent identification of placer gold in the main drainage at Alonso drew Cabral’s geologists to the area. The Cabral team identified the presence of extensive angular quartz vein boulder float with visible gold over an interval of 30m beside the drainage. Twenty-three samples of this float material were collected and returned gold values of 11.6 to 200.3 g/t gold. No samples returned less than 11.6 g/t gold. The concentration of angular quartz vein float material with visible gold suggests that the source could be very close by.
Regional soil sampling of this eastern part of the Cuiú Cuiú Project area during 2007 was completed at 1km E-W line spacing and resulted in a single anomalous sample of 25ppb gold approximately 140m west of the discovery occurrence. Follow up sampling has also identified identical boulders of quartz vein float material on surface from 100 to 950m WSW of the Alonso discovery occurrence associated with the pronounced WSW-trending magnetic anomaly (Figure 2). Assay results are pending on these float samples. More recently stream sediment sampling of streams draining the western extension of the magnetic anomaly has resulted in highly anomalous gold counts and coarse gold nuggets in the pan within stream sediments 1 to 1.5km west of the Alonso discovery occurrence, possibly suggesting it could be a significant mineralized structure.
Figure 2: Cuiu Cuiu location map showing the MG and Central deposits and principal targets and the new Alonso target
Cabral’s exploration team is working to determine the size of the footprint of the Alonso target and is engaged in a detailed soil sampling grid over the target as well as more detailed stream sediment sampling. Shallow auger drilling may also be required in advance of drilling in the event that post-mineral cover is identified over the area.
About Cabral Gold Inc.
The Company is a junior resource company and is engaged in the identification, exploration and development of mineral properties, with a primary focus on gold properties located in Brazil. The Company owns the Cuiú Cuiú gold project located in the Tapajós Region within the state of Pará in northern Brazil.
The Tapajós Gold Province is the site of the largest gold rush in Brazil’s history producing an estimated 30 to 50 million ounces of placer gold between 1978 and 1995. Cuiú Cuiú was the largest garimpo in the Tapajós and produced an estimate 2Moz of placer gold historically.
FOR FURTHER INFORMATION PLEASE CONTACT:
President and Chief Executive Officer
Cabral Gold Inc.
Dr Adrian McArthur, B.Sc. Hons, PhD. FAusIMM., a consultant to the Company as well as a Qualified Person as defined by National Instrument 43-101, supervised the preparation of the technical information in this news release.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain forward-looking information and forward-looking statements within the meaning of applicable securities legislation (collectively “forward-looking statements”). The use of the words “will”, “expected” and similar expressions are intended to identify forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Such forward-looking statements should not be unduly relied upon. This news release contains forward-looking statements and assumptions pertaining to the following: strategic plans and future operations, and results of exploration. Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors. The Company believes the expectations reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct.
Gold analysis has been conducted by SGS method FAA505 (fire assay of 50g charge), with higher grade samples checked by FAA525. Analytical quality is monitored by certified references and blanks. Until dispatch, samples are stored in the company’s supervised exploration office. The samples are couriered to the assay laboratory using a commercial contractor. Pulps and rejects are returned to the Company and archived. Drilling results are reported as down-hole length weighted intersections. Gold counts in pan concentrates from drainage samples are derived from a set volume (20 litres) of sands and gravels.