Cabral Gold Zeroes in on Source of Gold Nuggets at Cilmar Target and Provides Exploration Update at Cuiu Cuiu
Cabral Gold Zeroes in on Source of Gold
Nuggets at Cilmar Target and Provides
Exploration Update at Cuiu Cuiu
Vancouver, British Columbia--(Newsfile Corp. - July 23, 2020) -
Cabral Gold Inc. (TSXV:
CBR)
("Cabral" or the "Company")
is pleased to announce the results from a series of surface rock and soil
samples at the Cilmar target area and provide an exploration update of the Cuiú Cuiú gold project in
Brazil. Numerous coarse nuggets have been recovered from drainages in the Cilmar area, which is
located 7km NE of the MG gold deposit, and has never been previously explored or drill tested.
Highlights
Surface sampling aimed at identifying the source of numerous coarse angular gold nuggets in
streams, has identified a number of drill targets in the Cilmar area
Quartz-sulphide float boulders have been located in drainages 350m WSW of the Cilmar nugget
field, wherein 13 float samples ranged from
1.4 to 12.3 g/t gold (averaging 4.5 g/t gold)
. This
area is coincident with a major structural intersection evident in the regional magnetic data
A significant gold-in-soil anomaly has also been outlined immediately south of the nugget field and
extends over at least 1.8km in a NE direction
This work brings the number of new drill targets recently identified in the
eastern part
of the Cuiú
Cuiú project area to three. Eight other targets outside the existing resource base already have
high-grade drill intercepts including 3.4m @ 36.9 g/t, 2.8m @ 19.5 g/t, 27m @ 6.9 g/t and 39m @
5.1 g/t gold
Reconnaissance RC drilling is expected to commence during early August
Alan Carter, President & CEO stated
"the identification of the potential source of coarse gold nuggets
recently recovered from streams in the Cilmar area has not been straightforward due to the presence
of thick post-mineral cover. However, recent sampling has resulted in a number of good gold values in
surface rock samples, which has consequently narrowed the search down to the point where we now
have drill targets at Cilmar. The eastern part of the project area is turning out to be very prolific in
terms of new high-grade targets and continues to support our belief that Cuiú Cuiú is an emerging
district which contains multiple gold deposits. We look forward to the commencement of RC drilling on
this target and other recently identified high grade targets in the next few weeks."
Cilmar Target
The Cilmar target at Cuiú Cuiú is located in the northeastern part of the concession area approximately
7km NE of the MG gold deposit and 10km ENE of the Central gold deposit and 8km N of the recently
identified Alonso target where surface sampling returned gold values ranging from 11.6 - 200.3g/t gold
(see news release dated April 1, 2020).
The target area has never been previously explored. Numerous coarse angular gold nuggets (Figure 1)
were recovered in 2019 from a 200m interval within a N-S trending drainage. Efforts to locate the source
of these nuggets have been hampered by thick overburden and post-mineral lake sediments up to 20m
thick.
Figure 1: Coarse angular gold nuggets recovered from the main drainage at Cilmar
To view an enhanced version of Figure 1, please visit:
https://orders.newsfilecorp.com/files/3900/60324_71daac28c471cbef_002full.jpg
During the last few months Cabral has reprocessed the airborne magnetic data from this part of the Cuiú
Cuiú concession area, and recently received results from reconnaissance soil sampling, shallow auger
sampling and rock float sampling completed during Q1 2020. This work has revealed that the Cilmar
nugget field is located at the intersection of two major regional structures, an ENE trending structure and
a NW feature (Figures 2 and 3). The latter is parallel to the main TZ regional structural zone which
controls all of the known deposits in the region.
Of even greater significance is the fact that quartz-sulphide boulders have been identified 350m WSW of
the nugget field indicating the presence of an ENE trending mineralized structure that would explain the
numerous gold nuggets in the stream. (Figure 3). A shallow auger hole completed 250m SW of the float
samples intersected quartz veining and a value of 3.2 g/t gold from saprolitized bedrock. This is highly
anomalous for an auger sample and further supports the presence of a concealed mineralized structure.
Both the auger hole and the quartz-sulphide boulders occur within a coherent, low-level NE trending gold-
in-soil anomaly extending over at least 1.8km.
Figure 2: Regional 1VD magnetic map showing location of the Cilmar target relative to the existing
deposits at MG and Central and recently identified high-grade undrilled targets at Alonso and
Medusa, and targets with high-grade drill intercepts
To view an enhanced version of Figure 2, please visit:
https://orders.newsfilecorp.com/files/3900/60324_71daac28c471cbef_003full.jpg
Figure 3: Detailed 1VD magnetic map of the Cilmar target showing soil sampling and location of
mineralized float samples and auger hole with quartz veining
To view an enhanced version of Figure 3, please visit:
https://orders.newsfilecorp.com/files/3900/60324_71daac28c471cbef_004full.jpg
This initial reconnaissance work suggests the presence of at least one concealed mineralized structure
trending ENE and is considered to be a compelling drill target, and the potential source of the coarse
angular gold nuggets in the stream. The Company expects to test this target, along with the recently
identified Alonso and Medusa targets from early August 2020.
Exploration and Covid-19 Update
The Company has recommenced field work at the Cuiú Cuiú project following the suspension of
activities on April 1, 2020 due to the Covid-19 pandemic.
A number of protocols have been initiated concerning Covid-19, including the advance testing of all
employees, and the Company continues to provide medical support and supplies (including masks and
test-kits) to the community of Cuiú Cuiú.
Drilling using the recently acquired ASV ST-50 reverse circulation drill rig is expected to commence
during early August and will initially focus on the recently identified high-grade Alonso and Medusa
targets, then Cilmar, followed by other targets. The Company expects to provide additional details in
advance of the commencement of the planned drill program.
Issuance of stock options
Cabral's Board of Directors has approved the granting of stock options to various employees, directors
and consultants pursuant to the Company's stock option plan.
The stock options entitle the holders to
purchase a total of 3,405,000 common shares in the capital stock of the Company at a price of $0.27
per common share.
The stock options are exercisable for five years and are subject to vesting over 24
months.
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:
"Alan Carter"
President and Chief Executive Officer
Cabral Gold Inc.
Tel: 604.676.5660
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.
Forward-looking Statements
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.
Notes
Gold assays at the Cilmar target have been determined by SGS method FAA505 (fire assay; 50
charge). 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.
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https://www.newsfilecorp.com/release/60324