Gold Increases Size Of Gold-In-Oxide Blanket At MG Target

VANCOUVER -  Cabral Gold Inc. reported assay results from an additional 17 RC holes at the MG gold-in-oxide blanket at the Cuiu Cuiu gold district in northern Brazil. Results have been received from 17 additional RC drill holes which were designed to test the extent and continuity of the MG gold-in-oxide blanket which overlies the primary MG gold deposit and include 46m @ 1.2 g/t gold, 22m @ 0.7 g/t gold and 14m @ 0.8 g/t gold. Recent RC drilling at the MG gold-in-oxide blanket has increased the surface area of the blanket by a further 50% to 36 hectares. This represents an 80% increase to the initial estimated size of the gold-in-oxide blanket at MG which remains open in several directions. Cabral has signed an agreement with Kappes, Cassiday & Associates, a well-known laboratory based in Reno, Nevada, USA to complete a series of metallurgical tests on mineralized samples from the gold-in-oxide blanket at MG. Five diamond holes have been completed with the specific objective of collecting samples for metallurgical test work and will be shipped this month.

Alan Carter, President and CEO, said, "These RC drill results suggest that the recently identified gold-in-oxide blanket at MG is at least 50% larger (36 hectares) than we envisaged just three weeks ago. The blanket at MG remains open in several directions, particularly to the west, where the most westerly hole drilled to date returned 14m @ 0.8 g/t and 18m @ 0.5 g/t gold in unconsolidated near surface oxide material. Furthermore, the metallurgical test work that we are conducting on large samples of the gold-in-oxide material is obviously key to demonstrating the economic viability of this near surface gold-in-oxide mineralization, and will be an important milestone for the Company in the coming months."