Cabral Gold Achieves 88-96% Gold Recovery at Machichie, Expands Drilling Operations

• Cabral Gold reported gold recoveries of 88-96% from metallurgical testing at the Machichie deposit, with results achieved within 22-35 days of column leaching and low sodium cyanide consumption of 0.33-0.49 kg/t.
• The company has doubled its drilling capacity by adding two diamond drill rigs, bringing total on-site operations to four rigs focused on expanding global Indicated and Inferred resources at Central and MG deposits.
• Updated mine plans have been completed for Central, MG, and Machichie deposits, with the company progressing toward an updated prefeasibility study expected in Q3 2025.
• Current resources stand at 12.29Mt @ 1.14 g/t gold (450,200oz) in fresh basement material and 11.11Mt @ 0.48 g/t gold (171,883oz) in oxide material for Indicated resources.
• The drilling program will prioritize defining maiden resources at PDM discovery and expanding resources at existing deposits, while testing previously untested targets including Mutum.

Cabral Gold Inc. (TSXV:CBR) is a junior resource company focused on gold exploration and development in Brazil's prolific Tapajós Gold Province. The company maintains a 100% interest in the Cuiú Cuiú gold district, located in Pará state, northern Brazil. The Tapajós region produced an estimated 30-50 million ounces of placer gold between 1978 and 1995, with Cuiú Cuiú being the largest area of placer gold workings, historically producing approximately 2 million ounces.

Metallurgical Testing Confirms Processing Viability

The latest metallurgical results from Machichie represent a significant validation of Cabral Gold's heap leach processing strategy. Four composite samples from the Machichie gold-in-oxide zone demonstrated consistently high recovery rates, with testing conducted by Kappes, Cassiday & Associates in Reno, Nevada.

The testing involved two material types: one composite from the colluvial blanket zone (soils and sediments) and three composites from the saprolite zone (weathered mineralized intrusive material). Samples were crushed to minus 25 millimeters and agglomerated with 15 kg/t of cement before column leaching with dilute cyanide solution.

According to the company news release, the results showed remarkable consistency across all samples, with gold recoveries ranging from 88% to 96%. Notably, greater than 80% gold recovery was achieved within 20 days for all samples. Sodium cyanide consumption remained low, ranging from 0.33 kg/t to 0.49 kg/t NaCN, indicating efficient processing economics.

"The recent metallurgical results from Machichie confirm that the gold-in-oxide material is amenable to heap leach processing with excellent gold recoveries from the column leach tests," commented Alan Carter, Cabral's President and CEO. "These are comparable to those that we received from both the MG and Central gold deposits."

These recovery rates align with previous testing from the MG gold deposit, which achieved 92-93% gold recoveries after 68-112 days of column leaching, as reported in July 2024. The superior performance at Machichie, achieving comparable results in significantly shorter timeframes, suggests enhanced processing efficiency.

Expanded Drilling Campaign Targets Resource Growth

Cabral Gold has significantly enhanced its exploration capabilities with the arrival of two additional diamond drill rigs, quadrupling on-site drilling capacity. This expansion represents a strategic commitment to accelerating resource definition across multiple targets within the Cuiú Cuiú district.

The drilling program prioritizes several key objectives. Primary focus will be placed on defining maiden resources at the PDM discovery, located 1.5 kilometers northwest of the Central gold deposit. Previous drilling at PDM has returned promising results, positioning it as a potential addition to the company's resource inventory.

"The arrival of two diamond drill rigs on site will also allow us to significantly expand our exploration program which is aimed at adding resources to the global resource inventory, particularly at Central and MG, and establishing maiden resource estimates at Machichie NE, Machichie Main and PDM," Carter explained.

The program will also test the Mutum target, which has never been drill-tested despite surface trenches returning results averaging 0.9-1.0 g/t over intervals up to 32 meters in quartz stockworks. This represents an entirely new exploration front that could contribute additional resources to the project.

High-grade drilling at Machichie NE has produced exceptional results, including 11m @ 33.0 g/t gold, 12m @ 27.7g/t gold, and 5m @ 24.5g/t gold. These results indicate potential for significant high-grade mineralization that may require alternative processing methods beyond heap leaching.

Infrastructure Development and Technical Progress

The updated prefeasibility study timeline has been adjusted to Q3 2025, primarily due to the discovery of high-grade material at Machichie NE that requires reassessment of optimal processing methods.

"The recent high-grade drill results from the Machichie NE target mean this material is too high-grade to be amenable to heap leaching which has led to a broader reassessment of the Machichie mine plan and the optimal processing method for this high-grade material," the company stated.

Supporting the advancement toward production, Cabral Gold has completed several infrastructure and technical milestones. Updated mine plans have been finalized for the MG, Central, and Machichie deposits, incorporating drill results received since the original PFS release in October 2024.

Geotechnical drilling is progressing to understand ground conditions for proposed plant facilities and heap leach pad construction. Twenty-one diamond drill geotechnical holes totaling 882 meters have been completed, with an additional 16 holes planned. The company has also completed sterilization drilling to ensure proposed mine infrastructure avoids mineralized zones. Twelve RC holes totaling 887 meters have been finished, providing confidence in site planning and development.

Access road improvements are underway, with widening and enhancement work in progress to support future operations. These infrastructure developments position the project for efficient construction and operation phases.

Investment Considerations

For investors evaluating Cabral Gold, several factors merit consideration. The metallurgical testing success at Machichie validates the heap leach processing approach across multiple deposits within the district, potentially reducing technical risk and supporting processing economics.

The expanded drilling program represents significant near-term catalysts for resource growth, with multiple targets offering potential for resource additions. The combination of established resources and exploration upside provides a balanced risk-return profile.

However, the PFS delay to Q3 2025, while justified by high-grade discoveries requiring processing reassessment, extends the timeline to key development milestones. The discovery of high-grade material at Machichie NE, while positive for resource quality, introduces complexity in processing optimization that must be resolved.

The company's 100% ownership of the Cuiú Cuiú district provides full exposure to exploration success and development upside, while the location in Brazil's established Tapajós Gold Province offers favorable mining jurisdiction advantages.