Lavras Gold announces mineral resource estimate for Cerrito Prospect Resource estimates for two targets at LDS—Cerrito and Butiá—have now been completed; consolidated gold resources have reached initial million ounce milestone.
News release 2022-9
NEWS RELEASE (June 6, 2022): Lavras Gold announces mineral resource estimate for Cerrito Prospect 1
Lavras Gold announces mineral resource estimate for
Cerrito Prospect
Resource estimates for two targets at LDS—Cerrito and Butiá—have now been
completed; consolidated gold resources have reached initial million ounce milestone.
TORONTO, ONTARIO – June 6, 2022 – Lavras Gold Corp. (TSXV: LGC) has achieved its
first short-term goal for 2022. An NI 43-101 compliant mineral resource estimate has
been completed for the Cerrito Gold Project at its LDS Project in Brazil. The resource
shows that Cerrito has an indicated gold resource of 187,650 ounces and an inferred
gold resource of 293,468 ounces.
“Combining this gold resource estimate for the Cerrito Gold Prospect with the
previously announced 500,000 ounces from our Butiá Gold Prospect moves us to our
first million ounce milestone at LDS,” said Michael Durose, the Company’s President
and Chief Executive Officer. “This is a major step toward unlocking the potential gold
mineral endowment of LDS, which we have only just begun to understand. We look
forward to releasing results of active drilling at the Zeca Souza, Matilde, and Matilde
Extension prospects soon.”
NI 43-101 MINERAL RESOURCE ESTIMATE FOR CERRITO GOLD PROSPECT
Uncapped Capped
Class Type Tonnes Gold (g/t) Gold (oz) Gold (g/t) Gold (oz)
Indicated Saprolite 474,461 0.87 13,327 0.78 11,858
Hard rock 7,774,763 0.78 195,759 0.70 175,792
Inferred Saprolite 286,235 0.80 7,338 0.66 6,094
Hard rock 12,871,242 0.76 314,329 0.69 287,374
Notes
• Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no
certainty that all or any part of the mineral resources estimated will be converted into mineral reserves
• Assumes a gold cut-off grade of 0.3 grams per tonne (g/t)
• High grade samples were capped at a grade of 3.07 g/t for the capped resource estimate
• Numbers may not sum due to rounding
• The qualified person for the resource estimate is Dr. Volodymyr Myadzel of VMG Consultoria e Soluções
Ltda.
• This estimate should be read in conjunction with the full report, NI 43-101 Technical Report for the Cerrito
Gold Prospect, Rio Grande do Sul, Brasil. The report is authored by Volodymyr Myadzel, MAIG, and Frank
Richard Baker, MIMMM, MAusIMM, and is dated and effective May 31, 2022. It will be filed on
www.sedar.com under the company’s profile within 45 days.
Methodology for estimate
The gold resource for the Cerrito Prospect has been estimated according to standards
set out in National Instrument 43-101 – Standards of Disclosure for Mineral Projects
(NI 43-101).
The Cerrito gold resource calculation is based on a drilling database of 92 diamond
drill holes totaling 14,593 metres of drilling. Distances between drill holes varied from
25 and 100 meters from which 24 vertical sections were created having a north-south
orientation and an average distance of 50 meters between sections.
News release 2022-9
NEWS RELEASE (June 6, 2022): Lavras Gold announces mineral resource estimate for Cerrito Prospect 2
Composite samples averaged 1.0 metre in length. The block model was generated
from the discretization of three-dimensional solids into blocks of defined dimensions.
The process of discretization of the solid included the sub-blocking process.
Initially, the model was filled with blocks measuring 10 (X) by 10 (Y) by 10 (Z) metres,
which were divided into subunits of smaller size, with a factor for size subdivision of 10
by 10 by 10 in contact with the surrounding three-dimensional solids.
As a result, at the limit with solids, the size of the blocks became 1.0 (X) by 1.0 (Y) by 1.0
(Z) metres. The initial size of the blocks was chosen based on the morphology of the
mineralized geological bodies and the size of the exploration grid at 1/2 of the main
grid. The model contains 253,197 blocks.
The solid was used to create a block model within the mineralized geological body
and encode the respective blocks. A digital model of the topographic surface was
used to restrict the block model along the vertical axis. The blocks were generated
with faces parallel to the north/south and east/west axes.
A capping grade of 3.07 g/t gold was applied to minimize the impact of high-grade
gold assay results on the overall resource calculation. An uncapped and capped gold
resource was calculated to show the impact of capping on the overall gold resource
model.
The disclosed resource is based on a block model interpolated by the Ordinary Kriging
method. A 0.3 g/t gold cutoff grade is assumed based on the near and at surface
nature of the Cerrito mineral deposit. The sensitivity of the gold resource estimate to
cut-off grade varying from 0.0 g/t gold to 5.0 g/t gold is shown in the full report.
This estimate should be read in conjunction with the full report, which will be filed on
www.sedar.com under the company’s profile within 45 calendar days.
Classification of resources
The classification of resources was carried out in accordance with NI 43-101 guidelines.
The resources were classified as Indicated and Inferred according to the degree of
reliability of the different iterations and data used for the interpolation of the block
model. Solids were created and were used to stamp the inner blocks to each of these
reliability zones.
For the indicated resource, a solid that encompasses an area with a 50-meter regular
drilling grid was created for areas in which more than 90% of the blocks were
stamped in the first to third iterations corresponding to 2 of the search radius. For
interpolation, a minimum of 1 hole and 2 composite samples were used and the
average distance of interpolation between samples is 50 meters.
All other blocks were classified as inferred resources.
News release 2022-9
NEWS RELEASE (June 6, 2022): Lavras Gold announces mineral resource estimate for Cerrito Prospect 3
Qualified person
Dr. Volodymyr Myadzel of VMG Consultoria e Soluções Ltda., a qualified person as
defined by NI 43-101, has reviewed and approved the scientific and technical
information contained in this release.
Learn more about LDS Project in our webinar tomorrow at 11 AM ET
Join CEO Michael Durose for a webinar on the Cerrito and Butiá mineral resource
estimates, as well as the potential of the LDS Gold Project, on June 7 at 11:00 AM
Toronto time.
Click the following link to register now:
https://6ix.com/event/get-to-know-lavras-gold-and-its-exploration-results/
Lavras Gold: Exploring to realize the potential of a multi-million
ounce district in southern Brazil
Lavras Gold (TSXV: LGC) is a Canadian exploration company focused on realizing the
potential of the Lavras do Sul gold project (LDS Project) in Brazil. Located in the state of
Rio Grande do Sul, the LDS Project is believed to host an alkaline porphyry gold-copper
system. More than 23 gold prospects centred on historic gold workings have been
identified on the property, which spans more than 22,000 hectares.
The Company’s vision is to maximize shareholder value by applying a sustained
systematic and technically-based exploration program to the LDS Project and any
other opportunities that may arise.
Follow Lavras Gold on www.lavrasgold.com, as well as on LinkedIn, Twitter, and
YouTube.
Contact information
Michael Durose Annemarie Brissenden
President & CEO Investor Relations
416-844-6284 416-844-6284
[email protected] [email protected]
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FORWARD-LOOKING INFORMATION
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“project”, “intend”, “believe”, “anticipate”, “estimate”, “may”, “will”, “would”, “potential”, “proposed” and other
similar words, or statements that certain events or conditions “may” or “will” occur. These statements,
including statements with respect to planned exploration activities and goals, the proposed Consolidation
and the timing thereof, are only objectives and predictions.
News release 2022-9
NEWS RELEASE (June 6, 2022): Lavras Gold announces mineral resource estimate for Cerrito Prospect 4
Forward-looking information is based on the opinions and estimates of management at the date the
information is provided, and is subject to a variety of risks and uncertainties and other factors that could
cause actual events or results to differ materially from those projected in the forward-looking information,
including the risks and factors that generally affect exploration and the uncertainty of exploration results
and the ability to obtain regulatory approval for the Consolidation. For a description of the risks and
uncertainties facing the Company and its business and affairs, readers should refer to the Company’s
Management’s Discussion and Analysis and Listing Statement recently filed under the Company’s profile
on www.sedar.com. The Company undertakes no obligation to update forward-looking information if
circumstances or management’s estimates or opinions should change, unless required by law. The reader is
cautioned not to place undue reliance on forward-looking information.