Cerrado GOLD Reports Final Assays from Infill Drill Program at Its Monte Do Carmo Project IN Brazil
February 27, 2023 www.cerradogold.com
CERRADO GOLD REPORTS FINAL ASSAYS FROM INFILL DRILL PROGRAM AT ITS MONTE DO
CARMO PROJECT IN BRAZIL
• Final assays received from Infill campaign; highlights include:
• FSA-290: 15m at 5.79 Au g/t from 309m; and
• FSA-314: 17m at 2.87 g/t Au from 105m and 14m at 3.41 g/t Au from 130m
• 2023 Exploration Campaign Underway - Initial exploration hole; FNE-01, intersects
visible gold 500m northeast of known mineralization at Serra Alta
TORONTO, ONTARIO - Cerrado Gold Inc. [TSX.V: CERT][OTCQX:CRDOF] ("Cerrado" or the
"Company”) is pleased to announce the final assay results from the 2022 infill/extensional drill
program completed earlier this year at the Serra Alta deposit at its Monte do Carmo Project located
in Tocantins State, Brazil (“MDC”).
The 2022 drill program aimed to upgrade resources at the Serra Alta deposit into the Measured and
Indicated categories, target new satellites & extensional zones, condemn areas of project
infrastructure and support the ongoing F easibility Study. The full d rilling results are being
incorporated into the geological model and will be integrated in the resource update to be
completed with the Feasibility Study in 2Q 2023 . The 2022 program consisted of 193 drill holes,
totaling 48,842 m; including 157 holes at Serra Alta and 36 holes in satellite exploration areas.
The Company is currently reporting assay results from 9 drill holes, totaling 2,882m (see Tables 1 &
2) completed in Q4 2022. Results reported today , complete the full program assays with the
exception of two holes which are being re-assayed for QAQC purposes.
Additionally, the company is pleased to report that the first exploration step out drillhole, FNE-01,
of the 2023 exploration campaign has been completed with evidence of visible gold mineralization;
assays are pending. The hole targeted a permissive structural zone located more than 500m to the
northeast of the current resource outline . The area is belie ved to replicate the main elements
controlling gold mineralization in the different sectors at Serra Alta.
Drill Hole Highlights (All composites are reported as true thickness):
FSA-290
• 15m at 5.79 Au g/t from 309m
• Including 2m at 28.66 Au g/t from 310m
• 33m at 1.35g/t Au from 363m
• Including 2m at 7.70 g/t Au from 367m
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FSA-314
• 17m at 2.87 g/t Au from 105m
• 14m at 3.41 g/t Au from 130m
FSA-323
• 25m at 1.60 g/t Au from 149m
• Including 2m at 9.91 g/t Au from 149m
Mark Brennan, CEO and Co -Chairman commented “After a successful Infill drill campaign we are
pleased to be back in exploration mode to target the greater resource potential we see on the larger
Monte do Carmo property. As we are still in the Discovery Stage at Monte do Carmo, we are confident
that the potential for additional Serra Alta style discoveries remains strong as we continue to explore
the largely undrilled land package.”
New Exploratory Zone: Northeast
Detailed analysis of recently reprocessed airborne magnetic data suggests that the dominant shear
zone (Dk 2), considered one of the main structural controls in Serra Alta, extends to the Northeast.
As shown in Figure 1. below.
Figure 1. Magnetics and Dk2 shear zone
As part of the Company’s 2023 exploration program at Monte Do Carmo, Cerrado has commenced
a program targeting several new areas outside Serra Alta. The first hole was collared more than 500
m from the current resource outline at Serra Alta.
The target is blind, covered by both sedimentary and volcanic cover. As of February 18th, 2023, the
first hole (FNE-01) was terminated at a depth of 711.6 m and had reached the permissive granites.
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The granite resembles Serra Alta main mineralization host and exhibits both potassic alteration and
quartz veins. Notably, 3 occurrences of Visible Gold (traditionally a proxy of high grade at Serra Alta)
have been recorded in the first few meters of the altered granite. The full program in the New
Exploratory Zone encompasses an additional 4 to 5 holes aiming to understand vectors towards
more intense and continuous mineralization.
Figure 2. Northeast Exploration Target
Infill Drill Campaign
East Zone
Drill holes FSA-290, FSA -321, and FSA-322 were collared in the East Zone. The b est reported
intercepts in the East Zone correspond to holes FSA-290 that intercepted several relevant intervals
proximal to the granite/felsic contact zone, totalling a cumulative width of more than 140 m through
hole extent. The best single interval encompassed 15m at 5.79 Au g/t from 309m, including 2m@
28.66 Au g/t from 310m.
Pit Norte
Drill Holes FSA-297, FSA-314, FSA-323 and FSA 326 were collared in Pit Norte.
Hole FSA -314 collared in the northern part of the zone , produced outstanding results, partially
extending laterally the high-grade Doman . Highlights include 17m at 2.87 g/t Au from 105m, and
14m at 3.41 g/t Au from 130m.
East 3 (E3)
Drill Holes FSA-324 targeted the E3 domain. Mineralization in E3 relates to the occurrence of granitic
porphyry dyke with a general West/Northwest direction, that provides a permissive host rock and
fluid conduits to upper stratigraphic levels. The hole failed to cross the most endowed area but
proved that upper felsic volcanics are mineralized in this area producing 4 m at 0.67 g/t at 356m.
This hole will allow a better outline of this domain.
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Figure 3. Reported and Ongoing Drill Hole Locations
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Figure 4. Select Highlighted Cross Sections of Reported Holes
East Zone
Pit Norte
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*Scales vary by section
Table 1. Drill Hole Composites
DDH From To LENGTH
(m)
Width
(m) Au (g/t)
East Zone
FSA-290 and 41.85 56.69 14.84 14.64 0.99
FSA-290 and 62.42 78.53 16.11 15.89 0.98
FSA-290 and 100.85 104.06 3.21 3.17 1.47
FSA-290 and 111.00 114.29 3.29 3.25 3.14
FSA-290 and 130.55 150.83 20.28 20.01 1.26
FSA-290 includes 147.74 149.78 2.04 2.01 8.44
FSA-290 and 153.22 159.78 6.56 6.47 1.02
FSA-290 and 193.68 195.95 2.27 2.24 0.84
FSA-290 and 209.07 211.37 2.30 2.27 0.53
FSA-290 and 223.30 228.83 5.53 5.46 0.92
FSA-290 and 308.98 324.33 15.35 15.14 5.79
FSA-290 includes 309.94 311.96 2.02 1.99 28.66
FSA-290 includes 322.15 324.33 2.18 2.15 13.26
FSA-290 and 362.63 395.96 33.33 32.88 1.35
FSA-290 includes 362.63 364.77 2.14 2.11 7.70
FSA-290 includes 367.98 371.10 3.12 3.08 4.56
FSA-290 and 528.45 530.41 1.96 1.93 0.36
FSA-321 and 149.75 170.03 20.28 18.40 0.80
FSA-321 includes 158.17 159.96 1.79 1.62 1.95
FSA-321 and 221.72 223.80 2.08 1.89 0.54
E3
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FSA-322 No significant
values
Pit Norte
FSA-297 and 128.08 136.48 8.40 8.38 0.43
FSA-314 and 91.47 100.30 8.83 8.60 0.73
FSA-314 and 105.3 122.7 17.4 17.0 2.87
FSA-314 and 129.5 144.2 14.7 14.3 3.41
FSA-314 and 156.00 157.97 1.97 1.92 3.38
FSA-314 and 171.50 177.70 6.20 6.04 0.32
FSA-323 and 60.0 64.0 4.0 3.2 1.08
FSA-323 and 74.0 77.4 3.4 2.8 2.37
FSA-323 and 108.4 110.5 2.1 1.7 1.39
FSA-323 and 129.3 140.9 11.7 9.5 1.17
FSA-323 includes 129.3 131.5 2.2 1.8 3.37
FSA-323 and 149.3 179.9 30.6 24.8 1.60
FSA-323 includes 149.3 151.1 1.8 1.5 9.91
FSA-323 includes 167.3 169.5 2.2 1.8 7.11
FSA-326 and 96.87 101.00 4.13 4.05 1.91
FSA-326 includes 98.82 99.89 1.07 1.05 6.11
FSA-326 and 106.54 109.90 3.36 3.30 1.05
FSA-326 and 134 159.76 25.02 24.55 1.25
FSA-326 Includes 147.74 150.03 2.29 2.25 5.67
E 3 FSA-324 and 356.14 360.12 3.98 3.73 0.67
Gogó
Onça
FGO-032 and 34.87 36.64 1.77 0.87 0.93
FGO-032 and 189.70 203.76 14.06 6.89 0.44
FGO-032 and 219.70 222.06 2.36 1.16 1.64
>10m x g/t >30m x g/t
Table 2. Drill Hole Collar Table
Sector Hole
number
UTM N
m
UTM E
m
Elevation
m
Depth
m Azimuth Dip
Gogo
FGO-
032 8811022 820555 538 269.8 160 -24
East 3 FSA-324 8810424 820895 659 537.8 84 -56
East Zone FSA-290 8810326 820601 579 533.5 98 -27
East Zone FSA-321 8810516 820631 667 260.1 106 -49
East Zone FSA-322 8810259 820323 505 210.5 139 -46
Pit Norte FSA-297 8809987 820477 477 195.0 120 -26
Pit Norte FSA-314 8810070 820502 505 381.6 110 -39
Pit Norte FSA-323 8810068 820502 505 250.0 122 -40
Pit Norte FSA-326 8810090 820509 500 243.8 105 -38
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*Collar coordinates by GNSS TP-20 UTM Coordinates, Datum: SAD69 / zone 22S.
*Azimuth Set by compass
*Dip and drill hole trajectory by SPT (Stockholm Precision Tools) GyroMaster™
Quality Assurance and Quality Control
Analytical work was carried out by ALS international lab (ALS). MDC send half core samples for
sample preparation to the lab. The facilities of the prep lab are located in Goiânia, Brazil 835 km
from the MDC project and alternatively in Belo Horizonte, Brazil 1,110 Km from the MDC project.
MDC sends out samples to ALS international labs (ALS) with the prep lab located in Goiânia or
alternatively in Belo Horizonte. ALS lab sends the prepared aliquots for analytical assay to their lab
in Lima, Peru where the prepared samples are systematically analyzed for gold (ppm) by fire assay
(Au-AA24) or gold (ppm) by metallic screen (Au-SCR24). Randomly the ICP (Inductively coupled
plasma mass spectrometry) is done for trace elements in 4 acids (hydrofluoric, perchloric, nitric
and hydrochloric) digestion (ME-MS-61). ALS has routine quality control procedures which ensure
that every batch of samples includes three sample repeats and at least two commercial standards
and two blanks. Cerrado uses standard QA/QC procedures, inserting reference standards and
blanks, for the drilling program. The Reference material used are from CDN Resource Laboratories
Ltd., ITAK (Instituto de Tecnologia August Kekulé Ltda. and OREAS).
Review of Technical Information
The scientific and technical information in this press release has been reviewed and approved by
Sergio Gelcich, P.Geo., Vice President, Exploration for Cerrado Gold Inc., who is a Qualified Person
as defined in National Instrument 43-101.
Mark Brennan David Ball
CEO and Co Chairman Vice President, Corporate Development
Tel: +1-647-796-0023 Tel: +1-647-796-0068
[email protected] [email protected]
About Cerrado
Cerrado is a Toronto based gold production, development and exploration company focused on
gold projects in the Americas. The Company is the 100% owner of both the producing Minera Don
Nicolás mine in Santa Cruz province, Argentina, and the highly prospective development project,
Monte Do Carmo located in Tocantins State, Brazil.
At Minera Don Nicolas, Cerrado is maximising asset value through further operation optimization
and continued production growth. An extensive campaign of exploration is ongoing to further
unlock potential resources in our highly prospective land package.
At Monte Do Carmo, Cerrado is rapidly advancing the Serra Alta deposit through Feasibility and
production. The Serra Alta deposit Indicated Resources of 541 kozs of contained gold and Inferred
Resources of 780 kozs of contained gold. The Preliminary Economic Assessment demonstrates
robust economics as well as the potential to be one of the industry’s lowest cost producers.
Cerrado also holds an extensive and highly prospective 82,542 ha land package at Monte Do
Carmo.