Sao Domingos Exploration Confirms Depth and Strike Continuity of Mineralisation

For immediate release

8


June


2021

Serabi Gold plc



(“Serabi” or the “Company”)

Sao Domingos Exploration


Confirms Depth and Strike Continuity


of


Mineralisation

Serabi Gold plc (AIM:SRB, TSX:SBI), the Brazilian-focused gold mining and development company, is pleased to update the market on exploration drilling results from the Toucano Zone at the Sao Domingos project. Sao Domingos lies to the west and along strike of Serabi’s Sao Chico deposit.

A PDF version of this announcement, including all images, can be accessed using the following link



https://bit.ly/3cl6l4X

Highlights

• Drilling on the Toucano Zone has continued to successfully confirm depth and strike continuity of several of the high-grade lodes previously reported on 7 April 2021.
• Hole 21-SD-012 is the deepest hole drilled yet under the Toucano pit and it confirmed the broad alteration zone continues a further 50 metres below the previously reported high-grade intercepts from drill hole 21-SD-010 (news release dated 7 April 2021).
• Significant results in 21-SD-012 include,
  • 21-SD-012 –
    
    3.25
    
    
    m @
    
    
    2.91
    
    
    g/t Au
    
    from 192.75m
  • 21-SD-012 –
    
    3.75m @ 7.95 g/t Au
    
    from 208.80m
  • 21-SD-012 –
    
    0.70m @ 6.63 g/t Au
    
    from 222.30m
  • 21-SD-012 –
    
    0.80m @ 7.00 g/t Au
    
    from 236.30m

• Holes 21-SD-013, 014 and 015 were all drilled 250 metres further north, and continued to intersect a broad 40 metre wide alteration zone containing multiple vein lode structures along strike. These holes are all below the Raimundo artisanal pit, 250 metres to the north-east of the Toucano artisanal pit. These holes also intersected additional parallel structures, north and south of the alteration halo.

With the initial phase of drilling at the Toucano Zone complete, the drill rig has been mobilised to assess the Atacadão prospect where historic exploration around significant artisanal activity identified a series of highly prospective targets worthy of follow-up. While the Atacadão Phase One drilling is being undertaken, access and drill pads will be prepared for infill and step-out drilling on the Toucano Zone.

Mike Hodgson, CEO of Serabi, commented:

“It is very pleasing that the drilling at the Toucano Zone continues to demonstrate the potential for the target and in particular the continuity of mineralisation at depth as we seek to realise the opportunity in the district surrounding Sao Chico.   The current drilling below the Toucano pit, with intercepts including 3.75m @ 7.95 g/t Au, extends the mineralisation a further 50 metres below the previous high-grade intercept of 7.15m @ 258.24g/t Au.

“Drilling beneath the Raimundo pit confirms the continuity of mineralisation along strike and has also identified parallel mineralised structures that warrant further follow-up.

“With the initial drill programme at the Toucano Zone now complete, the drill rig is being relocated to the Atacadão prospect. This area has seen extensive artisanal activity and generated some high-grade results from both surface sampling by Serabi and drilling by the previous tenement holder. We believe this prospect is a series of parallel mineralised structures and plan to drill a fence of holes across it to provide a greater geological understanding and aid future drill planning.

“Elsewhere within our broader tenement area, we continue to drill close to the Sao Chico and Palito mines and have a fourth rig due to arrive at site later this month.

“We look forward to updating the market as we generate further results.”

TABLE OF RECENT DRILL RESULTS

REVIEW OF


RESULTS

To view the image of the


Toucano


Zone drill intersections


, please click on this link –


https://bit.ly/3uZuMM2

Toucano




Zone




drill intersections in plan.

The drilling has established a broad 50 metre wide zone of alteration containing multiple high-grade vein-lode structures extending at least over a 400 metre strike and to a depth of at least 200 metre vertical. Additionally, the drilling has intersected narrow vein-lode structures to the north and south of the principal trend. The drill programme along the Toucano Zone at Sao Domingos is now complete although final assay results from several of drill holes are yet to be received.

To view the image of the


Toucano


Zone drill


section 1


, please click on this link –


https://bit.ly/3v5bkh2

Toucano




Zone




drill section 1




.

To view the image of the


Toucano


Zone drill section


2


, please click on this link –


https://bit.ly/3cqgKwx

Toucano




Zone drill section 2.

Ata


cadao

Following this initial success on the Toucano Zone, Serabi has mobilised the drilling rig to the Atacadão prospect, 2km to the south of the Toucano Zone. The Atacadão prospect is characterised by the presence of several large artisanal open pits and a series of shafts and adits. Mineralisation relates to quartz vein-lode type structures in a similar orientation to that of the Toucano Zone further north.

Since acquiring the property Serabi geologists have collected rock chip samples along this trend grading up to 204.77g/t Au (news release dated 22 January 2021) and mapped several intersecting structural lineaments in the area. The location and results of the rock chips programme are shown below:

To view the image


of the Proposed Drill Traverse across the


Atacadão


prospect, please


click on this link –


https://bit.ly/2T6gAmY

Proposed Drill Traverse across the




Atacadão




prospect




.

In-situ rock chip samples taken by Serabi over the Atacadão prospect are set out in the table below:

Following this mapping and the successful surface rock chip programme, Serabi has commenced a “top-to-tail” drill traverse across the Atacadão trend to provide a baseline geological context to the trend and to facilitate a comprehensive assessment of the potential of this prospect. The drill traverse will comprise approximately 11 drill holes and complete a ~600m section across the trend.

This programme will also go some way to confirming the eleven holes drilled in 2006 on the Atacadão prospect, which covered an 800 metre strike length and was undertaken by the previous operator, Aurora Gold Corporation. This drilling intersected a number of narrow but high-grade veins within a broader structural trend. Although Serabi has not verified nor validated the results reported, drill intersected grades up to 59.97g/t are recorded. The table below is an extract from the Aurora Gold Database recording the 11 holes. Serabi does not have access to the physical core nor pulps for re-assay and therefore cannot validate these results.

Drill intercepts reported by the previous tenement holder, Aurora Gold Corporation, were :

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018.

The person who arranged for the release of this announcement on behalf of the Company was Clive Line, Director.

Enquiries:

Copies of this announcement are available from the Company’s website at

www.serabigold.com

.

Neither the Toronto Stock Exchange, nor any other securities regulatory authority, has approved or disapproved of the contents of this announcement.

See



www.serabigold.com



for more information and follow us on twitter @Serabi_Gold

GLOSSARY OF TERMS

Qualified Persons Statement


The scientific and technical information contained within this announcement has been reviewed and approved by Michael Hodgson, a Director of the Company. Mr Hodgson is an Economic Geologist by training with over 30 years’ experience in the mining industry. He holds a BSc (Hons) Geology, University of London, a MSc Mining Geology, University of Leicester and is a Fellow of the Institute of Materials, Minerals and Mining and a Chartered Engineer of the Engineering Council of UK, recognising him as both a Qualified Person for the purposes of Canadian National Instrument 43-101 and by the AIM Guidance Note on Mining and Oil & Gas Companies dated June 2009.

Forward Looking Statements


Certain statements in this announcement are, or may be deemed to be, forward looking statements. Forward looking statements are identified by their use of terms and phrases such as ‘‘believe’’, ‘‘could’’, “should” ‘‘envisage’’, ‘‘estimate’’, ‘‘intend’’, ‘‘may’’, ‘‘plan’’, ‘‘will’’ or the negative of those, variations or comparable expressions, including references to assumptions. These forward looking statements are not based on historical facts but rather on the Directors’ current expectations and assumptions regarding the Company’s future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Such forward looking statements reflect the Directors’ current beliefs and assumptions and are based on information currently available to the Directors. A number of factors could cause actual results to differ materially from the results discussed in the forward looking statements including risks associated with vulnerability to general economic and business conditions, competition, environmental and other regulatory changes, actions by governmental authorities, the availability of capital markets, reliance on key personnel, uninsured and underinsured losses and other factors, many of which are beyond the control of the Company. Although any forward looking statements contained in this announcement are based upon what the Directors believe to be reasonable assumptions, the Company cannot assure investors that actual results will be consistent with such forward looking statements.

ENDS

Attachment

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  Sao Domingos Exploration Update June 21 WEB FINAL