Cabral Gold Announces $2 Million Funding to Advance Cuiú Cuiú Gold Project

• Cabral Gold Inc. is conducting a non-brokered private placement of up to 12,500,000 units at $0.16 per unit to raise up to $2,000,000.
• Each unit consists of one common share and one-half warrant, with each full warrant exercisable at $0.24 for two years.
• Proceeds will be used for general corporate purposes and to advance the pre-feasibility study on oxide gold material at the Cuiú Cuiú district.
• Cuiú Cuiú hosts NI 43-101 compliant Indicated resources of 604,000 oz Au at 0.87 g/t and Inferred resources of 534,500 oz Au at 0.84 g/t.
• The Cuiú Cuiú district is located in the Tapajós region of Brazil, historically the largest gold producing area in the country.

About Cabral Gold Inc.

Cabral Gold Inc. (TSXV: CBR) (OTC PINK: CBGZF) is a Vancouver-based junior gold exploration and development company focused on advancing its flagship Cuiú Cuiú gold project in Brazil. The company owns 100% of the Cuiú Cuiú district, located in the prolific Tapajós region of Pará State in northern Brazil.

The Tapajós Gold Province is known for hosting the largest gold rush in Brazil's history, producing an estimated 30-50 million ounces of placer gold between 1978 and 1995. Notably, the Cuiú Cuiú area was the largest garimpo (artisanal mining site) in the Tapajós region during this period and produced approximately 2 million ounces of the placer gold rush total.

Cabral has defined two primary gold deposits at Cuiú Cuiú that contain National Instrument 43-101 compliant Indicated resources of 21.6 million tonnes grading 0.87 grams per tonne (g/t) gold (604,000 ounces) and Inferred resources of 19.8 million tonnes grading 0.84 g/t gold (534,500 ounces). The company aims to expand these oxide resources and advance the project towards development.

Private Placement Details

Cabral Gold announced on April 9, 2024 a non-brokered private placement financing to raise up to $2,000,000. The company plans to issue up to 12,500,000 units at a price of $0.16 per unit. Each unit will consist of one common share of Cabral and one-half of a common share purchase warrant, with each full warrant entitling the holder to acquire one additional common share at an exercise price of $0.24 for a period of two years from closing.

Cabral may engage finders to assist in placing a portion of the financing and will pay fees of up to 6% cash commission on the gross proceeds raised. The private placement and payment of finders fees is subject to approval by the TSX Venture Exchange. All securities issued in the financing will be subject to a statutory four month hold period.

The proceeds of the financing are intended to be used for general corporate purposes and to fund ongoing work on the pre-feasibility study evaluating the potential for developing the near-surface oxide gold mineralization at Cuiú Cuiú.

Resource Potential & Exploration Upside

Cabral's current NI 43-101 compliant mineral resource estimate, prepared by Micon International Limited, outlines an Indicated resource of 21.6 million tonnes grading 0.87 g/t gold (604,000 ounces) and an Inferred resource of 19.8 million tonnes grading 0.84 g/t gold (534,500 ounces) at Cuiú Cuiú. The resources are contained within two main deposits, the Central and MG deposits, both of which remain open along strike and at depth.

In addition to the defined resources, Cabral has identified numerous untested gold-in-soil anomalies and high-grade drill intercepts peripheral to the known deposits which require follow-up. The oxide resource also represents just a portion of the gold endowment at Cuiú Cuiú, as most drilling to date has been relatively shallow (<150 meters). Deeper drilling in the sulfide mineralization below the weathered oxide layer has returned high-grade intercepts including 137.5 meters grading 2.5 g/t gold.

Given the extensive placer gold production from the district and the number of under-explored gold occurrences, Cabral believes there is good potential to expand the existing resources and make new discoveries at Cuiú Cuiú through additional exploration. The upcoming pre-feasibility study will evaluate an oxide-only mining scenario, however the company sees strong potential to define a larger sulfide resource that could support a larger scale operation in the future.

Strong Shareholder Base & Experienced Team

Cabral benefits from a strong shareholder base which includes several prominent resource-focused funds as well as a strategic investment by the largest gold miner in Brazil. Approximately 40% of the outstanding shares are held by these long-term supportive shareholders, providing a solid foundation for the company.The management team, board of directors and advisory board have extensive experience in exploration, development and mining, with a history of success in the industry. Led by President & CEO Alan Carter, the team has a track record of discoveries and value creation for shareholders. The company also benefits from a strong operational team in Brazil with deep experience in the Tapajós region and the Cuiú Cuiú district.

Attractive Valuation & Upcoming Catalysts

Cabral's current market capitalization of approximately C$15 million represents an attractive valuation relative to the company's defined gold resource base of over 1.1 million ounces.

Furthermore, Cabral has several anticipated catalysts on the horizon that could provide potential re-rating opportunities. These include:

• Results from ongoing drilling targeting resource expansion at the MG and Central deposits
• Initial drill testing of newly identified gold-in-soil anomalies and high-grade gold targets
• Results from preliminary metallurgical test work on the oxide mineralization
• Completion of the oxide-only pre-feasibility study in H2 2024

The company is well funded to advance Cuiú Cuiú through the pre-feasibility study following the current financing and continues to evaluate opportunities to expand its funding base to accelerate exploration and development.

Conclusion

Cabral Gold offers investors exposure to an emerging gold district in Brazil with significant history of gold production, a substantial resource base, and considerable exploration upside. With a strategic land position in the Tapajós region, a strong shareholder base, and an experienced management and technical team, the company is well positioned to advance the Cuiú Cuiú project.

The current financing will provide funds to complete the oxide pre-feasibility study, a key milestone for the company. Positive results would demonstrate robust project economics that could support a near-term development decision and serve as a catalyst for share price appreciation. The extensive placer gold production and limited exploration to date suggest potential for delineating a much larger resource with additional drilling.

At its current market valuation, Cabral represents a compelling investment opportunity with a favorable risk-reward profile. Successful exploration results, resource growth, and a positive pre-feasibility study could all drive a significant re-rating of the stock. For investors seeking exposure to gold in a mining-friendly jurisdiction with near-term development potential and exploration upside, Cabral Gold warrants further consideration.