Lavras Gold Corp. Intersects 1.1 g/t Gold Over 154 Metres from Surface at Butiá Gold Deposit, LDS Project, Southern Brazil & Provides an Exploration Update Drilling intersection includes 1.4 g/t gold over 109 meters, including 3.2 g/t gold over 18 metres
Lavras Gold Corp. Intersects 1.1 g/t Gold Over 154 Metres from Surface at
Butiá Gold Deposit, LDS Project, Southern Brazil & Provides an Exploration
Update
Drilling intersection includes 1.4 g/t gold over 109 meters, including 3.2 g/t gold over 18 metres
TORONTO, Feb. 06, 2024 -- Lavras Gold Corp. (TSX-V:LGC, OTCQX:LGCFF) (“Lavras” or the “Company”) is pleased to
release the results from nine (9) new drill holes testing the Butiá Gold Deposit, located at the western edge of the LDS project
in southern Brazil. Gold mineralization was intersected in all nine holes at the Butiá Deposit, which hosts a NI43-101
compliant measured, indicated and inferred gold resource of approximately 0.5 million ounces. Several of these new holes
were designed to increase the confidence in the Butiá resource (converting the Inferred Resource into the Measured &
Indicated categories) and others to potentially increase the gold endowment as explained below. These new results continue
to move Lavras Gold toward its short-term corporate goal of defining an economically feasible gold resource on the LDS
Project, focused on the Butiá gold deposit and the adjacent Fazenda do Posto gold target.
HIGHLIGHTS
Drilling
Hole 23BT016 returned:
• 154.0 metres grading 1.1 g/t gold from surface and including:
◦ 109.00 metres grading 1.4 g/t gold from surface,
◦ 29.0 metres grading 2.9 g/t gold from 25.0 metres, and
◦ 5.0 metres grading 4.7 g/t gold from 29.0 metres,
◦ 18.0 metres grading 3.2 g/t gold from 30.0 metres, and
• 16.00 metres grading 1.0 g/t gold from 208.00 metres and including:
◦ 6.00 metres grading 2.1 g/t gold from 208.00 metres.
Regional Exploration Program - Soil Survey Results
Three significant gold-in-soils anomalies at the following targets:
• A 3.8 km by 3.2 km anomaly centered over the Matilde and Matilde Extension targets in the southern portion of the
property,
• A 4.6 km by 4.8 km anomaly overlying historical gold workings including Galvao, Zeca Souza and Caneleira, along the
western and central western portion of the Lavras do Sul Intrusive Complex,
• A more scattered anomaly centred along the eastern flank of the Lavras do Sul Intrusive Complex and overlying volcanic
rocks (roughly 4 km by 3.7 km)
“The new drilling results demonstrate the excellent near-surface gold grade and continuity of the Butiá gold deposit. Results
like these have the potential to materially enhance the economics of a near-surface bulk tonnage open-pit type of gold project,”
commented Lavras Gold President & CEO Michael Durose. “We are also working to increase the gold endowment at Butiá by
relogging and selectively re-assaying the 78 historic drill holes (20,000 metres). The purpose of this initiative is to reinterpret
historical results and standardize the geological interpretation and assay results of the data, consistent with new information
and geological observations from the adjacent Fazenda do Posto gold discovery. In this way possible new extensions to
known gold mineralization can be tested. The results from the regional geochemical (soil) surveys and airborne magnetic
survey programs, combined with surface exploration work, will help us select and prioritize future drilling targets as we strive to
unlock the full exploration potential of the LDS Property.
“An update of drilling results for the recently discovered Fazenda do Posto target is expected as soon as final assay results
are received and the geological interpretation is completed. Drilling is on-going in this area.”
For additional information, CLICK HERE for comments on today’s news from CEO Michael Durose.
[* Footnote: Butiá hosts an NI 43-101 compliant near-surface gold resource of about 500,000 ounces, as detailed in the NI 43-
101 Technical Report Mineral Resource for Butiá Gold Prospect dated and effective January 25, 2022 . The report was
prepared by VMG Consultoria e Soluções Ltda. for Lavras Gold Corp. and is available on the Company’s website and
www.sedar.com under Lavras Gold’s issuer profile.]
Discussion of Drill Results – Butiá Deposit
Butiá is the most advanced gold deposit on the LDS property consisting of approximately 0.5 million ounces of gold, located
150 metres east of the recent Fazenda do Posto gold discovery. The purpose of the current drilling program at Butiá is to
increase the geological confidence of the existing gold resource by converting a significant portion of inferred geological
resources into the measured and indicated categories and to increase the gold endowment of the existing gold resource.
Approximately 23.3% of the existing resource estimate is in the Inferred category and the remaining 76.7% in the measured
and indicated categories.
Since 2005, a total of 78 drill holes for 20,000 meters have been completed at the Butiá gold deposit. An additional nine new
drill holes totalling 2,500 metres bring the total number of holes drilled at Butiá to 87 (22,500 metres of drilling). Drill hole
lengths from the current program typically range from 160.0 metres to 360.0 metres and have been completed as part of a
program of 16 drill holes planned for this area. Details of the locations of the new drill holes relative to existing resource
categories can be found in the plan view in Figure 1. A cross-section facing west is shown in Figure 2. Table 1 summarizes
assay results. Table 2 tabulates drill hole information including collar coordinates and drill hole depths.
Drilling has defined the Butiá gold mineralization over a northwest-southeast strike length of approximately 375 metres, a
northeast-southwest strike length of 345 metres and from surface to a depth of 350 metres. The deposit is open to possible
expansion in several directions. Generally, long continuous intervals of gold mineralization containing higher-grade subintervals
were encountered. The host rocks are extensively hydrothermally altered, and gold is typically hosted in disseminated
sulphide minerals (pyrite +- arsenian pyrite) within episyenite host rock or mineralized perthitic granite. Occasional visible gold
has been observed associated with sulphide minerals (galena, pyrite) (See Figure 3). The mineralization is bulk tonnage in its
nature.
Drill hole 23BT016 was collared in the central portion of the Butiá gold deposit slightly southwest of the measured portion of
the gold resource (see Figure 1). The hole was drilled at an inclined angle of 60 degrees on an azimuth of 200 degrees. The
purpose was to provide a scissor hole to 23BT012 and to test for gold grade continuity through this portion of the deposit. The
hole was also designed to extend the measured category of the mineral resource to the southwest. A long interval of
continuous bulk-tonnage disseminated gold mineralization was encountered from surface to a depth of 154.0 metres within
mineralized episyenite as detailed below.
• Intersected 154.0 metres grading 1.1 g/t gold from surface (0.0 metres) and including:
◦ 109.00 metres grading 1.4 g/t gold from surface (0.0 metres)
◦ 29.0 metres grading 2.9 g/t gold from 25.0 metres, and
◦ 5.0 metres grading 4.7 g/t gold from 29.0 metres
◦ 18.0 metres grading 3.2 g/t gold from 30.0 metres, and
• 16.00 metres grading 1.0 g/t gold from 208.00 metres and including:
◦ 6.00 metres grading 2.1 g/t gold from 208.00 metres
Drillhole 23BT012 was collared in the southwest portion of the Butiá gold deposit and drilled on an azimuth of 020 degrees at
an inclined angle of 60 degrees (see Figure 1). The purpose was to better understand the nature and continuity of gold
mineralization in this portion of the deposit. Continuous gold mineralization was encountered over long intervals in episyenite
and mineralized perthitic granite. Higher-grade intervals have been observed within zones of episyenite hosting galena, pyrite
and arsenian pyrite (see Figure 4 ). A summary of assay composites is as follows:
• 110.0 metres grading 0.7 g/t gold from 136.0 metres including:
◦ 5.0 metres grading 1.3 g/t gold from 142.0 metres
◦ 2.0 metres grading 2.7 g/t gold from 142.0 metres
◦ 20.0 metres grading 1.6 g/t gold from 154.0 metres
◦ 3.0 metres grading 4.2 g/t gold from 154.0 metres
◦ 3.0 metres grading 6.1 g/t gold from 163.0 metres
◦ 3.0 metres grading 2.8 g/t gold from 179.0 metres
◦ 2.0 metres grading 4.1 g/t gold from 191.0 metres
Drillhole 23BT013 was positioned in the central portion of the Butiá gold deposit, slightly south of the currently interpreted
measured portion of the gold resource and drilled vertically (see Figure 1 & Figure 2). The purpose was to better understand
the nature of the geology and mineralization in this portion of the deposit. A continuous bulk-tonnage and disseminated style
of mineralization consisting mainly of disseminated pyrite +- arsenian pyrite within episyenite occurred from 119.0 metres over
a length of 73.0 metres. This included several higher-grade subintervals as detailed below:
• 73.0 metres grading 0.7 g/t gold from 119.0 metres including:
◦ 35.0 metres grading 1.2 g/t gold from 136.0 metres
◦ 12.0 metres grading 1.6 g/t gold from 146.0 metres
◦ 3.0 metres grading 2.2 g/t gold from 146.0 metres
Drillhole 23BT009 was collared along the southwest edge of the Butiá mineralized footprint and drilled on an azimuth of 020
degrees and inclined 60 degrees (see Figure 1). The purpose was to test the southwestern extension of the deposit. Several
long intervals of disseminated moderate grade gold mineralization were encountered and including multiple higher-grade
subintervals as follows:
• 16.0 metres grading 0.6 g/t gold from 73.0 metres including:
◦ 7.0 metres grading 1.1 g/t gold from 74.0 metres
• 65.0 metres grading 0.5 g/t gold from 121.0 metres and including:
◦ 18.2 metres grading 1.0 g/t gold from 141.0 metres and
◦ 8.0 metres grading 1.5 g/t gold from 141.0 metres, and
◦ 3.0 metres grading 2.1 g/t gold from 142.0 metres, and
◦ 4.0 metres grading 1.3 g/t gold from 168.0 metres
◦ 2.0 metres grading 1.2 g/t gold from 208.0 metres
◦ 5.0 metres grading 1.5 g/t gold from 214.0 metres
Regional Exploration Targeting Program
The regional exploration potential on the property is significant as evidenced by recent results generated by the regional soil
geochemistry and airborne drone magnetics surveys (see Figure 5 & Figure 6 ). There are at least 24 known significant gold
and gold-copper showings scattered throughout the 22,000-hectare LDS property. Figure 5 highlights that at least three
substantial gold-in-soil anomalies have recently been outlined by the regional soil survey program including:
1. A 3.8 km east-west by 3.2 km north-south gold in soil anomaly centered over the Matilde and Matilde Extension targets
in the southern portion of the property.
2. A 4.6 km northeast-southwest by 4.8 km northwest-southeast gold-in-soil anomaly overlying historical gold workings
along the central western portion of the property that covers several gold targets and showings including Butiá, Galvao,
Caneleira, Zeca Souza, Caneleira Norte and Paredão among others.
3. A more scattered gold-in-soil anomaly centred along the eastern portion of the property area along the flank of the
Lavras do Sul Intrusive Complex and overlying volcanic rocks measuring about 4 km in a north south direction, and up
to 3.7 km in a southeast-northwest direction. Several gold and gold copper showings exist in this area including
Dourada, Aurora, Cerro Rico and Mato Feio among others.
The near-term priority is to develop new drilling targets using the regional soil and geophysics program as a guide to ground
follow-up. Ground follow-up will include detailed geological mapping, sampling, trenching and selective augur drilling of
favourable targets. The initial priority area will be in the region of the large gold in soil anomaly along the central western
portion of the LDS property north of Fazenda do Posto and Butiá.
These extensive gold-in-soil anomalies, when superimposed on regional magnetics (See Figure 6 ), point to a complex
structural setting where gold anomalies and historical workings appear to be centred on magnetic low structures. This is
certainly the case at the Caneleira gold target, where a kilometer-scale east-west gold-bearing structure has been defined in
previous drilling. The best historical drill hole intersection was 1.4 g/t gold over 36.1 metres approximately 70 metres down the
drill core. These regional surveys, combined with surface exploration work, will inform the selection and priority order for future
exploration drilling targets as the Lavras team strives to unlock the full exploration potential of the LDS Property.
2024 Exploration Program Overview & Objectives
Lavras Gold’s short-term corporate objective is to define an economic gold resource on the LDS Project with a focus on the
Butiá gold deposit and adjacent Fazenda do Posto gold target. A 25,000-metre diamond drilling contract has been signed with
GeoSol, a Brazilian drilling company. The current drilling program consists of two diamond drill rigs that are now on site and
designed to test exploration targets continuously from now until the first half of 2025. This drilling program is in addition to the
20,000 metres of drilling completed by the company since it went public in April 2022, and the more than 60,000 metres of
historical drilling on the property by previous operators. Approximately 10,000 metres of drilling have currently been
budgeted to test Butiá and Fazenda do Posto. Further drilling of these targets may happen as results warrant. Drilling of
other exploration targets is anticipated in the second half of 2024 with the objective of discovering new economic gold deposits
on the LDS property.
Table 1. Summary of Drill Hole Composites from Butiá Gold Deposit
Drill Hole From To Interval Gold grade Comment
(metres) (metres) (metres) (grams/tonne)
23BT005 0.00 37.00 37.00 0.74 Episyenite/Perthitic Granite
including 4.00 23.00 19.00 1.17 Saprolite
97.00 99.00 2.00 0.32 Perthitic Granite
101.00 103.00 2.00 0.27 Perthitic Granite
23BT009 54.00 58.00 4.00 0.61 Episyenite
73.00 89.00 16.00 0.63 Episyenite
including 74.00 81.00 7.00 1.14 Episyenite
121.00 186.00 65.00 0.51 Episyenite/Perthitic Granite
141.00 159.16 18.16 0.99 Episyenite
including 127.00 131.00 4.00 0.80 Episyenite
including 141.00 149.00 8.00 1.49 Episyenite
including 142.00 145.00 3.00 2.10 Episyenite
including 168.00 172.00 4.00 1.29 Perthitic Granite
including 177.00 178.00 1.00 0.76 Perthitic Granite/Episyenite
including 182.00 186.00 4.00 0.65 Episyenite/Perthitic Granite
208.00 220.00 12.00 0.89 Perthitic Granite
including 208.00 210.00 2.00 1.22 Perthitic Granite
including 214.00 219.00 5.00 1.50 Perthitic Granite
239.00 242.00 3.00 0.45 Perthitic Granite
including 239.00 240.00 1.00 0.81 Perthitic Granite
23BT010 0.00 46.00 46.00 0.48 Episyenite
Including 0.00 9.00 9.00 1.15 Episyenite
Including 17.00 19.00 2.00 1.18 Episyenite
40.00 42.00 2.00 0.58 Perthitic Granite
45.00 46.00 1.00 0.81 Perthitic Granite
61.00 63.00 2.00 0.44 Perthitic Granite
68.00 73.00 5.00 0.30 Perthitic Granite
96.00 100.00 4.00 0.46 Perthitic Granite
including 96.00 97.00 1.00 1.23 Perthitic Granite
110.00 111.00 1.00 0.51 Episyenite
Drill Hole From To Interval Gold grade Comment
(metres) (metres) (metres) (grams/tonne)
23BT011 12.00 22.00 10.00 0.76 Perthitic Granite
including 13.00 15.00 2.00 2.64 Perthitic Granite
23BT012 67.00 74.00 7.00 0.51 Episyenite
136.00 246.00 110.00 0.71 Episyenite
Including 142.00 147.00 5.00 1.27 Episyenite
Including 142.00 144.00 2.00 2.68 Episyenite
Including 154.00 174.00 20.00 1.59 Episyenite
Including 154.00 157.00 3.00 4.20 Episyenite
Including 163.00 166.00 3.00 6.06 Episyenite
Including 179.00 182.00 3.00 2.77 Episyenite
Including 191.00 193.00 2.00 4.08 Episyenite
Including 205.00 206.00 1.00 0.90 Episyenite
Including 218.00 220.69 2.69 1.12 Episyenite
Including 227.00 229.00 2.00 0.83 Episyenite
Including 231.50 233.51 2.01 0.80 Episyenite
Including 240.18 242.02 1.84 1.27 Episyenite
Including 243.30 244.00 0.70 1.11 Episyenite
253.53 255.37 1.84 1.59 Perthitic Granite
313.00 332.00 19.00 0.60 Perthitic Granite
Including 325.00 327.00 2.00 1.73 Perthitic Granite
Including 329.00 331.00 2.00 1.43 Perthitic Granite
23BT013 4.00 5.00 1.00 0.44 Perthitic granite
15.00 19.00 4.00 0.30 Perthitic granite
53.00 55.00 2.00 0.35 Perthitic granite
56.00 57.00 1.00 0.26 Perthitic granite
61.00 62.00 1.00 0.44 Perthitic granite
71.00 72.00 1.00 0.60 Perthitic granite
107.00 109.00 2.00 0.34 Perthitic granite
119.00 192.00 73.00 0.74 Episyenite
including 136.00 171.00 35.00 1.18 Episyenite
including 136.00 139.00 3.00 1.00 Episyenite
including 146.00 158.00 12.00 1.54 Episyenite
including 146.00 149.00 3.00 2.21 Episyenite
200.00 201.00 1.00 0.91 Episyenite
202.00 203.00 1.00 0.32 Episyenite
207.00 210.00 3.00 0.59 Episyenite
Drill Hole From To Interval Gold grade Comment
(metres) (metres) (metres) (grams/tonne)
215.00 217.00 2.00 0.34 Episyenite
218.00 221.00 3.00 1.88 Perthitic granite
225.00 228.00 3.00 0.46 Perthitic granite
231.00 233.00 2.00 0.40 Perthitic granite
236.00 237.00 1.00 0.25 Perthitic granite
245.00 246.00 1.00 0.25 Perthitic granite
248.00 249.00 1.00 0.34 Perthitic granite
257.00 258.00 1.00 0.35 Perthitic granite
23BT014 43.00 47.00 4.00 0.45 Perthitic granite
84.00 85.00 1.00 0.32 Perthitic granite
182.62 185.00 2.38 0.72 Perthitic granite
215.00 216.00 1.00 0.36 Perthitic granite
250.00 260.00 10.00 1.45 Episyenite, vg, gln
23BT015 161.33 162.45 1.12 0.27 Perthitic Granite
182.00 184.00 2.00 0.29 Perthitic Granite
242.00 243.00 1.00 0.24 Perthitic Granite
269.00 274.00 5.00 0.62 Perthitic Granite
including 272.00 273.00 1.00 1.73 Perthitic Granite
23BT016 0.00 160.00 160.00 1.04 Episyenite
including 0.00 109.00 109.00 1.36 Episyenite
including 25.00 54.00 29.00 2.90 Episyenite
including 29.00 34.00 5.00 4.65 Episyenite
including 30.00 48.00 18.00 3.22 Episyenite
183.00 187.00 4.00 0.34
208.00 224.00 16.00 1.03 Episyenite
including 208.00 214.00 6.00 2.06 Episyenite
256.00 257.00 1.00 0.25 Episyenite
263.00 264.00 1.00 0.29 Episyenite
266.00 267.00 1.00 0.28 Episyenite
270.00 287.00 17.00 0.43 Episyenite
292.00 293.00 1.00 0.28 Episyenite
316.00 323.00 7.00 0.35 Episyenite
• Assumes 0.25 g/t gold cut-off grade, no top cut.
• The Company has been targeting larger intersections of greater than 0.25 g/t gold. Intersections lower than this
threshold may provide exploration insight and may therefore be disclosed.
• Intervals represent drill core interval; true widths have not been determined at this time.
Table 2. Butiá Drill Hole Coordinates
Drill
Hole Easting Northing Elevation (m) Azimuth (Degrees) Dip (degrees) Start Depth (metres)
Final Depth
(metres)
23BT005 217986 6586491 374 020 -60 0 230.19
23BT009 218120 6586236 387 020 -60 0 252.95
23BT010 217988 6586484 377 200 -60 0 159.79
23BT011 218018 6586572 371 020 -60 0 200.55
23BT012 218043 6586241 399 020 -60 0 358.13
23BT013 218091 6586395 395 0 -90 0 317.87
23BT014 218001 6586253 403 020 -60 0 331.33
23BT015 218128 6586206 416 020 -60 0 294.37
23BT016 218153 6586455 384 200 -60 0 357.66
Figure 1. Plan View of 2023 Butiá Drill Holes Relative to Resource Categories
Figure 2. Cross Section of 2023 Butiá Drill Holes (Looking West) Relative to Resource Categories
Figures 3-5. Visible Gold (Red Circles) Associated with Pyrite and Galena Veinlets and Disseminations within
Episyenite Host Rock at Butiã Gold Deposit. This sample from drillhole 23BT014 spans the interval 245.0 m to 246.0
m and grades 8.4 g/t gold.
Figure 4. Example of Gold Mineralized Episyenite Host Rock at Butiã Gold Deposit Showing Disseminated Galena,
Pyrite and Arsenian Pyrite. Dark Iron-Rich Chlorite and White Carbonate (Calcite) fills the Vuggy Areas. This
sample from drillhole 23BT012 is from interval 163.0 m to 164.0 m and grades 7.3 g/t gold.
Figure 5. Regional Soil Geochemistry Anomalies versus Geology of the Lavras do Sul Intrusive Complex and
Known Mineral Showings
Figure 6. Regional Drone Magnetics of the Lavras do Sul Intrusive Complex and Location of Known Mineral
Showings