PDM Target Recently Identified Gold In Oxide Blanket

VANCOUVER - Alan Carter, Cabral Gold Inc., President and CEO said, "The latest RC results from the PDM oxide blanket within the Cuiu Cuiu Gold District, northern Brazil, are important for two reasons. Firstly, they further demonstrate the presence of a higher-grade core within the unconsolidated oxide blanket. Secondly, they lend further support to the presence of a second primary mineralized zone in the underlying basement granitic rocks at least 250m in length and sub-parallel to the initial zone of primary basement gold mineralization below the oxide blanket. Whilst we currently have no idea how large the primary gold deposit is at PDM, these results confirm the presence of a second primary zone of gold mineralization in basement granitic rocks underlying the oxide blanket at PDM. Both the gold-in-oxide blanket and the two zones in the primary basement rocks are open to the north and may extend under an area of historic artisanal workings."

The PDM (Pau de Merenda) target is located 2.5km northwest of the Central gold deposit at Cuiu Cuiu within a prominent northwest-trending gold-in-soil anomaly, which has been traced for more than 5km along strike. Within this anomaly lie the Central gold deposit, Central SE target, Central North target, PDM target and Mutum target. The gold-in-oxide blanket at PDM was initially identified in August 2021 (see press release dated August 10, 2021), and a program of diamond drilling, initiated in late 2021, subsequently identified an underlying zone of primary gold mineralization in the unweathered granitic basement rocks similar to that at MG and Central.

Results from the initial diamond-drill holes in granitic basement rocks below the gold-in-oxide blanket at PDM included: 22.4m @ 4.8 g/t, including: 1.35m @ 62.0 g/t gold in DDH238: and 11.9m @ 3.3 g/t gold, including 0.5m @ 16.1 g/t gold, and 1.2m @ 16.0 g/t gold in DDH239; and 18.0m @ 2.5 g/t gold from 92.0m, including 3.0m @ 10.5 g/t gold, in DDH275. These diamond-drill results defined an initial zone of primary gold mineralization trending northwest in the granitic rocks underlying the PDM oxide blanket.

The current RC drilling program at PDM was designed to further define the limits to the high-grade core within the overlying gold-in-oxide blanket, and has confirmed the presence of a high-grade core area.

RC0327 returned 15m @ 1.5 g/t gold, including 1m @ 19.1 g/t gold, from 40m depth in oxidized and weathered material. This hole is located approximately 250m northwest of RC0310 which previously returned 13.0m @ 4.6 g/t gold from 25.0m in oxide material, including 1.0m @ 49.2 g/t gold from 34.0m. Similarly hole RC0333 returned 32m @ 0.5 g/t gold and is located between RC0310 and RC0327. These holes lend further support to the existing evidence suggesting the presence of a larger high-grade core to the blanket and a possible additional mineralized structure in the underlying granitic rocks which may be parallel to the main mineralized zone. Diamond drilling of the basement mineralization, which has been undertaken to date at PDM, has not tested this far north.

RC0327 is also located just 40m south of extensive historic artisanal placer gold workings. These are approximately 200m wide and are reported to have been very rich at this location, suggesting the primary mineralization, and possibly the oxide blanket, could extend beneath the historic workings to the north.

RC0324 was drilled on the northwest end of the PDM oxide blanket and approximately 200m northwest of the most northerly diamond-drill intercept (DDH275 returned 18m @ 2.5 g/t gold) that has tested the initial primary basement discovery. The higher grades from hole RC324, (11.0m @ 3.1 g/t gold from surface in oxidized and weathered material, including 3.0m @ 10.5 g/t gold) suggest that the initial primary zone could extend at 200m, or more, further to the northwest than indicated thus far from current diamond drilling. Whilst this requires confirmation through additional diamond drilling, current drill results suggest that the initial primary zone at PDM could be over 400m in strike length and remains open to the southeast and the northwest.