Lavras Gold makes new high-grade discovery at LDS Best intercept at Matilde Extension is 10.00 metres grading 13.21 g/t gold, 22.94 g/t silver, and 0.22% copper
News release 2023-1
NEWS RELEASE: Lavras Gold makes new high-grade discovery at LDS (January 25, 2023) 1
Lavras Gold makes new high-grade discovery at LDS
Best intercept at Matilde Extension is 10.00 metres grading 13.21 g/t gold, 22.94 g/t silver,
and 0.22% copper
TORONTO, ONTARIO – January 25, 2023 – The latest results from Lavras Gold Corp.’s (TSXV: LGC) LDS project
confirm that LDS is a mineral system that hosts extremely high-grade gold, silver, and copper in certain areas.
The results are from Matilde Extension, one of 23 known targets at the LDS project in Southern Brazil. Two of
the targets—Butiá and Cerrito—have consolidated NI 43-101 resources of 1 million gold ounces. Two new
discoveries—Zeca Souza and Matilde—were announced in 2022.
“The results from hole 21MT020 are very exciting, and not just because of the extremely high gold grades,”
said Michael Durose, President and CEO of Lavras Gold. “We are also seeing chalcopyrite and bornite, which
are two important copper sulphide minerals that are typically associated with higher temperature fluids and
high-grade gold and silver. These results may be directing us to a possibly higher grade core of mineralization
in the Matilde Extension area.”
Seven holes totalling 3,123 metres were drilled at Matilde Extension, located 675 metres northeast of the
Matilde discovery (see Figures 1 and 2). While mineralization was encountered in all seven holes, 21MT020 is
the best hole. This hole intercepted three intervals of mineralization, with the third intercept being the most
important.
It was characterized by a thick interval of continuous mineralization featuring very high-grade gold, silver,
and copper. It assayed 10.00 metres grading 13.21 g/t gold, 22.94 g/t silver, and 0.22% copper from 345.00
metres, including:
• 5.00 metres grading 23.15 g/t gold, 42.75 g/t silver, and 0.41% copper from 347.00 metres
• a 1.00 metre subzone that yielded grades as high as 63.70 g/t gold, more than 100 g/t silver,
and 0.63% copper from 347.00 metres.
Table 1 highlights the assays from hole 21MT020. Assays for all seven holes are listed in Table 2.
TABLE 1: HIGHLIGHTS OF ASSAY RESULTS FROM DRILL HOLE 21MT020
From
(m)
To
(m)
Interval
(m)
Gold grade
(g/t)
Silver grade
(g/t)
Copper grade
(%) Comment
14.00 16.00 2.00 0.39 0.35 0.02
315.00 316.00 1.00 2.93 5.59 0.33
316.00 318.00 2.00 0.47 0.21 0.03
315.00 318.00 3.00 1.29 2.00 0.13
345.00 346.00 1.00 0.56 1.61 0.04
346.00 347.00 1.00 0.55 0.55 0.02
347.00 348.00 1.00 63.70 >100 0.63 gold, silver, copper
348.00 349.00 1.00 9.12 28.20 0.25 gold, silver, copper
349.00 350.00 1.00 12.00 31.90 0.55 gold, silver, copper
350.00 351.00 1.00 6.03 12.65 0.27 gold, silver, copper
351.00 352.00 1.00 24.90 41.00 0.34 gold, silver, copper
352.00 353.00 1.00 0.09 0.73 0.01
353.00 354.00 1.00 0.19 0.39 0.02
354.00 355.00 1.00 14.90 12.40 0.10 gold, silver, copper
345.00 355.00 10.00 13.21 22.94 0.22 gold, silver
including
347.00 352.00 5.00 23.15 42.75 0.41 Chalcopyrite, bornite, pyrite
Notes:
• Assumes a cut-off grade of 0.25 g/t gold and no top cut
• True widths have not been determined at this time.
News release 2023-1
NEWS RELEASE: Lavras Gold makes new high-grade discovery at LDS (January 25, 2023) 2
The key takeaways from the results to date at Matilde Extension are:
• multiple intercepts of elevated gold mineralization were encountered in all seven holes
• three of seven holes—21MT020, 22MT030, 22MT038—returned high copper grades that correlate to very
high gold and silver grades
• more intense hydrothermal alteration and thicker zones of copper, gold, and silver mineralization appear to
be developing at depth; narrow-scale quartz sulphide veinlets hosting copper with elevated gold values
appear closer to the surface
• a northeast metal zonation vector from low-temperature iron rich pyrite to higher temperature copper rich
chalcopyrite/bornite seems to be developing when moving from Matilde to the Matilde Extension Zone.
This may have important implications for gold grade distribution.
• The current interpretation is that mineralization at Matilde Extension is associated with a northeast
trending structure as defined by aeromagnetic data and oriented core measurements of sulphide-bearing
veinlets
• Matilde Extension remains open along strike and at depth.
Discussion of results
Matilde Extension is a new blind discovery that was made by drill-testing a coincident gold in soil anomaly
overlying the intersection of a northeast-southwest trending structure and an east-west trending structure.
This discovery is 675 metres northeast of the Matilde gold deposit (see Figures 1 and 2). Seven drill holes
totaling 3,123 metres tested Matilde Extension. The drilling is part of a 16,000-metre drilling program. To date,
6,000 metres have been drilled.
All holes intersected multiple intervals of mineralization (see Table 2 and Figure 3). Importantly, high-grade
gold, silver, and copper mineralization has been encountered in three holes, suggesting a metal zonation
vector towards a higher-grade zone of mineralization within the Matilde/Matilde Extension corridor.
MULTIPLE BROAD LOW-GRADE INTERCEPTS
The first hole 21MT018 was drilled from north to south and designed to test a magnetic low feature
interpreted to be an east-west structure overlying a coincident gold in soil anomaly (see Figures 2 and 3).
The hole intercepted multiple narrow gold values within altered granodiorite such as:
• 8.00 metres grading 0.44 g/t gold from 208.00 metres including
o 1.00 metre grading 1.14 g/t gold from 208.00 metres
• 10.00 metres grading 0.41 g/t gold from 257.00 metres including
o 1.00 metre grading 2.17 g/t gold from 263.00 metres.
There were no significant silver or copper values in this hole.
HIGH GRADE CONTINUOUS GOLD-SILVER-COPPER MINERALIZATION
Drillhole 21MT020 was collared 100 metres east of 21MT018 and drilled from north to south. This hole was
designed to test the intersection of an east-west and northeast-southwest structure that underlies a gold in
soil anomaly (see Figures 2 and 3).
The hole intersected one shallow interval of gold followed by two significant intervals of gold, silver, and
copper. Table 1 provides a detailed breakdown of assay results.
The first drill intercept returned 2.00 metres grading 0.39 g/t gold and minor silver and copper from 14.00
metres.
News release 2023-1
NEWS RELEASE: Lavras Gold makes new high-grade discovery at LDS (January 25, 2023) 3
The second intercept returned:
• 3.00 metres grading 1.29 g/t gold, 2.00 g/t silver, and 0.13% copper from 315.0 metres including
o 1.00 metre grading 2.93 g/t gold, 5.59 g/t silver, and 0.33% copper from 315 metres.
The third major intercept consisted of 10 metres grading 13.20 g/t gold, 12.94 g/t silver, and 0.22% copper from
345.00 metres. It included:
• 5.00 metres grading 23.15 g/t gold, 42.75 g/t silver, and 0.41% copper from 347.00 metres.
This zone of mineralization consists of intense hydrothermally altered and brecciated granodiorite consisting
of semi-massive zones and veins of sulphide minerals including bornite, chalcopyrite, and pyrite (see Figure
4).
Petrographic work confirms that this zone consists of a red-brown colour attributed to hydrothermal
potassium feldspar, albite, and carbonate components of the rock. The rock is comprised dominantly of
highly altered medium-grained quartz and feldspar, and relatively coarser-grained white mica
(sericite/muscovite and phengite). The coarse-grained muscovite commonly hosts minute inclusions of
fluorine-apatite. Compositionally, coarse-grained muscovites have no iron and may represent primary
phenocrysts. The finer-grained hydrothermal muscovite has an iron-component making them phengitic.
These results suggest that the mineralization is related to magmatically derived hydrothermal fluids that
were carrying significant amounts of gold, silver, and copper.
NARROW QUARTZ-SULPHIDE VEINLETS HOST HIGH GOLD AND ELEVATED COPPER
IN RELATIVELY FRESH GRANODIORITE CLOSE TO SURFACE
Hole 22MT029 returned multiple elevated gold, silver, and copper values. Generally, narrow millimetre to
centimetre scale quartz-sulphide veinlets cross-cut relatively fresh granodiorite (see Figures 5 and 6).
A weak pink potassic alteration halo is often associated with the quartz-sulphide veinlets. Sulphide
minerals consist primarily of chalcopyrite and trace pyrite.
The best intercept was 8.00 metres grading 1.19 g/t gold from 200.0 metres, including 1.00 metre
grading 5.17 g/t gold from 200.00 metres.
These results suggest that metal-bearing hydrothermal fluids travelled upward towards the surface
through small fractures in the host granodiorite. Metals precipitated out into these fractures. Further
work is required to understand where these fractures and veins may widen out.
DISSEMINATED, BLEBBY, AND VEINS OF SULPHIDES HOSTED WITHIN MODERATELY
HYDROTHERMALLY ALTERED GRANODIORITE BRECCIA
Hole 22MT030 returned 1.05 metres grading 3.19 g/t gold, 14.10 g/t silver, and 0.76% copper from 304.25
metres.
Mineralization is associated with chalcopyrite and trace pyrite disseminations, blebs, and veins floating in a
matrix of medium- to coarse-grained quartz and feldspar (see Figure 7). Dark mafic mineral rimming
sulphide veinlet is interpreted to be dark chlorite. The host granodiorite appears slightly more altered than
rocks at a shallower level, having a more reddish colouration from hematite dustings and potassic alteration.
The higher grade gold, silver, and copper grade is notable.
The higher degree of alteration may be indicating that we are closer to a wider and more intensive zone of
mineralization.
News release 2023-1
NEWS RELEASE: Lavras Gold makes new high-grade discovery at LDS (January 25, 2023) 4
SHALLOW LEVEL MINERALIZED MICROFRACTURES DEVELOPING INTO SEMI-MASSIVE
BLEBBY AND DISSEMINATED SULPHIDE MINERALIZATION IN INTENSELY
HYDROTHERMALLY ALTERED GRANODIORITE AT DEPTH
For hole 22MT038, Figures 8 and 9 show quartz-sulphide (chalcopyrite and trace pyrite) filling microfractures
that display strong potassic alteration selvedges that rim the microfractures. These features were observed
within relatively fresh granodiorite at a depth of 105.00 and 172.00 metres respectively. Assay results include
1.00 metre grading 7.50 g/t gold, 1.57 g.t silver, and 0.13% copper from 105.00 metres.
At a depth of 340 metres, hole 22MT038 intersected a pervasively hydrothermally altered breccia zone
characterized by disseminations and blebs of pyrite chalcopyrite, feldspar minerals being replaced by alkali
feldspar, microcrystalline quartz, and mafic minerals being replaced by dark chlorite.
This interval assayed 6.00 metres grading 0.58 g/t gold, 5.51 g/t silver, and 0.14% copper from 340.00 metres.
Higher-grade subintervals include 1.33 metres grading 2.39 g/t gold, 22.31 g/t silver, and 0.57% copper from
340.00 metres, and 0.74 metres grading 3.95 g/t gold 37.20 g/t silver and 0.92% copper from 344.59 metres.
These subzones are related to chalcopyrite veinlets and blebby disseminations within pervasively altered
granodiorite hydrothermal breccia (see Figures 10 and 11).
The current interpretation is hydrothermal fluids containing metals are leaking out to the surface through a
network of relatively tight microfractures. However, there are more significant gold, silver and copper areas
associated with wider brecciated zones of mineralization at depth. Further work is required.
Next steps
Lavras Gold is continuing with its 16,000-metre drilling program and two drills are on site. Approximately
6,000 metres of the 16,000-metre program have been completed so far. The drills are currently testing targets
at the Matilde and Galvo areas. Immediate drilling plans will also test targets at Zeca Souza and Matilde
Extension. A regional soil survey program is on-going over the Caneleira area. Material future results will be
disclosed when received.
Learn more about these results and the plans for 2023 during January 31 webinar
Join CEO Michael Durose for an exploration webinar on Tuesday, January 31, 2023, at 1:00 PM ET.
Click the following link to register now:
https://my.6ix.com/qiYy1Qzy
Qualified person
Michael Durose, Lavras Gold’s President and CEO, is a qualified person as defined by NI 43 -101. He has
reviewed and approved the scientific and technical information contained in this release.
Quality assurance and quality control
Sample handling, preparation, and analysis are monitored through the implementation of formal chain-of-
custody procedures and quality assurance/quality control programs designed to follow industry best
practices.
All drillhole samples in this drilling program consist of split NQ diamond drill core.
Drill core is logged and sampled in a secure facility located in Lavras do Sul, Rio Grande do Sul State, Brazil.
Drill core samples for gold assay are cut in half using a diamond saw and submitted to ALS Laboratories Inc.
in Goiania, Goiás State, Brazil for preparation by crushing to 70% passing 2.0 mm, riffle splitting to obtain
500 g aliquots, and pulverizing to 85% passing 75 microns.
Pulps are shipped to ALS Laboratories in Lima, Peru and analyzed by a 30 g fire assay and AAS finish. For
assays above 10 ppm gold, a cut of the original pulp was re-assayed with a gravimetric finish.
News release 2023-1
NEWS RELEASE: Lavras Gold makes new high-grade discovery at LDS (January 25, 2023) 5
Certified standards, non-certified blanks and field duplicates are inserted into the sample stream at regular
intervals, so that QA/QC accounted for about 10% of the total samples. Results are routinely evaluated for
accuracy, precision, and contamination.
About Lavras Gold
Lavras Gold (TSXV: LGC) is a Canadian exploration company focused on realizing the potential of a multi-
million-ounce gold district in southern Brazil. Its Lavras do Sul Project is in Rio Grande do Sul State and is
primarily an intrusive hosted gold system of possible alkaline affinity. More than 23 gold prospects centred on
historic gold workings have been identified on the property, which spans more than 22,000 hectares.
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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information is frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “may”, “will”,
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statements, including those on planned exploration activities and goals, are only objectives and predictions.
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. For a description of the risks and uncertainties facing the Company and its business, refer to the Company’s
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News release 2023-1
NEWS RELEASE: Lavras Gold makes new high-grade discovery at LDS (January 25, 2023) 6
FIGURE 1
Location of Matilde Extension discovery
News release 2023-1
NEWS RELEASE: Lavras Gold makes new high-grade discovery at LDS (January 25, 2023) 7
FIGURE 2
Location of Matilde Extension Relative to Matilde Gold Discovery showing implicit 0.25 g /t gold grade shell. Background airborne
magnetic data highlights structural zones (magnetic lows shown in blue).
FIGURE 3
Plan View of Matilde Extension showing location of drillholes with implicit 0.25 g/t gold grade shell. Background airborne
magnetic data highlights structural zones (magnetic lows shown in blue).
News release 2023-1
NEWS RELEASE: Lavras Gold makes new high-grade discovery at LDS (January 25, 2023) 8
FIGURE 4
Drill hole 21MT020: Hydrothermally altered granodiorite hosting semi-massive bornite, chalcopyrite, and pyrite. From 345.00
metres grading 13.20 g/t gold, 12.94 g/t silver and 0.22% copper. Core width is 4.76 centimetres (NQ).