Disseminated on behalf of: Cabral Gold Inc.
Alan Carter, President, CEO & Director of Cabral Gold Inc. (TSXV: CBR | OTCQX: CBGZF | FSE: C3J), discusses the gold producer’s two-stage development strategy at its Cuiú Cuiú gold district in northern Brazil’s Tapajós region, where at least six known gold deposits and 50 peripheral targets sit within a single district. With its first stage mine now in production, Cabral Gold is positioning itself to fund district-wide exploration from operating cash flow rather than the repeated equity raises many junior gold companies rely on to fund exploration.
Cabral Gold’s two-stage strategy funds Cuiú Cuiú exploration from production
Unlike many peers, Cabral Gold is using a smaller starter mine to pay for exploration across an entire district. The Phase One mine processes near-surface material, while a much larger second-stage project is designed to mine the hard-rock resources beneath it. According to Carter, “In order to explore all of those deposits and the peripheral targets, the company needs a source of cash other than relying on dilutionary equity financings.” This approach aims to limit shareholder dilution while drilling continues across the district’s known deposits and peripheral targets. The company believes this self-funding model gives it a sustainable path to test the full potential of Cuiú Cuiú.
Gold district scale and strategic backing support investor appeal
With six drill rigs currently turning, Cabral Gold is advancing an aggressive exploration program across the Cuiú Cuiú district. Drilling at the Jerimum Cima target returned 9.5 metres at 87.4 grams per tonne gold, a result that highlights the high-grade potential of the district’s hard-rock resources. Alpayana S.A.C., which Carter describes as Peru’s largest private mining company, subscribed for almost 10% of Cabral Gold, a move he called a major vote of confidence in the project. By pairing production with district-scale exploration, the company aims to give investors exposure to both near-term cash flow and discovery upside in one of Brazil’s historic gold regions.
Cuiú Cuiú milestones include first gold pour and first gold sales
Recent milestones include completing construction of the Phase One mine two months ahead of schedule, a first gold pour, and first gold sales of just over 2,400 ounces. Carter says, “Firstly, we expect to achieve commercial production in the next couple of months.” These achievements mark significant progress toward a self-funded growth model. Looking ahead, the company expects to outline plans to expand Phase One throughput from one million to two million tonnes a year, along with plans to complete a preliminary economic assessment on the larger hard-rock project.
Cabral Gold positioned for self-funded gold growth in Brazil
As Cabral Gold continues to build a self-funded path to district-scale growth, it stands at the intersection of gold production and discovery-stage exploration. With its Phase One mine in production and commercial production expected in the coming months, the company is positioned to deliver disciplined growth in Brazil’s Tapajós region.
Transcript
Transcript lightly edited for clarity
Alan Carter: Cabral Gold Inc. is currently pursuing a two-stage development strategy for the Cuiú Cuiú project. The reason for this is that Cuiú Cuiú encompasses an entire district comprising at least six known gold deposits and 50 peripheral targets. In order to explore all of those deposits and the peripheral targets, the company needs a source of cash other than relying on dilutionary equity financings. And we’ve just put into production our Stage One mine.
In the past 12 months, Cabral’s share price has appreciated nearly 200%. There are several reasons for this. The first reason is that we’ve recently successfully completed the construction of our Phase One mine two months ahead of schedule, and we recently announced our first gold pour and our first gold sales of just over 2,400 ounces of gold.
Alpayana S.A.C., Peru’s largest private mining company, recently subscribed for almost 10% of the company. We think that was a major vote of confidence for our project. In addition to that, we have an aggressive exploration program operating with six rigs currently turning, and we recently reported 9.5 metres at 87.4 grams per tonne gold at our Jerimum Cima deposit.
There are a number of important catalysts for Cabral between now and the end of 2026. Firstly, we expect to achieve commercial production in the next couple of months. We will also be outlining our expansion plans for the Phase One mine. We believe that we can grow that operation in the next few months from one million tonnes a year throughput to two million tonnes a year throughput. And finally, we expect to outline our plans for completion of a PEA on the second-stage project. This will be a much larger project designed to mine the hard-rock resources of Cuiú Cuiú. So, it should be a very exciting few months.
The scientific and technical information contained within this article has been reviewed and approved by Brian Arkell, B.S. Geology and M.S. Economic Geology, SME (Registered Member), AusIMM (Fellow) and SEG (Fellow), Cabral Gold’s Vice President, Exploration and Technical Services, and a Qualified Person, as defined under the terms in National Instrument 43-101.
About Cabral Gold Inc.
Cabral Gold Inc. (TSXV: CBR | OTCQX: CBGZF | FSE: C3J) is a junior gold mining company engaged in the exploration, development, and production of gold in Brazil. The company holds a 100% interest in the Cuiú Cuiú gold district in the Tapajós region of Pará State, northern Brazil, historically the largest placer gold area of Brazil’s largest gold rush. Cabral Gold’s Phase 1 gold-in-oxide heap leach operation is expected to reach commercial production in Q4 2026.
Learn more at cabralgold.com.
