Multiple High-Grade Gold Intercepts Over Broad Zones Of Mineralization At Monte Do Carmo Gold Project


TORONTO - Cerrado Gold Inc. reported additional drill results from a further 19 drill holes from its completed Phase I (18,998 meters) definition drilling program at the Serra Alta deposit at its Monte do Carmo (MDC) open pit gold Project located in Tocantins State, Brazil.

Mark Brennan, Co-Chairman and CEO, said, "We are very pleased to see continued positive results from the completed Phase I drill program at the Serra Alta deposit which supports our robust outlook and highlights the longer term potential offered in the region. The reported results provide us with great confidence that our anticipated projections will be met. In addition, we are excited by the prospects of the regional drilling which is being initiated in the current Phase 2 drill program, to demonstrate the larger regional potential of the Monte Do Carmo district."

The drill results represent complete results for FSA-115 and 116, FSA-118 and 119, FSA-121 and 122, and FSA-125, FSA-132, FSA-134 thru 139 and FSA-141 thru 145. Including the assays for holes reported. Cerrado has reported assay results for 49 of 55 holes drilled in the Phase I program. The results for the remaining 6 holes are expected by June 2, 2021. The results indicate that the current drill program has been very successful in confirming and expanding the mineralization. Numerous drill holes have intersected multiple zones of mineralization.

The current drill holes intersected broad zones of hydrothermal alteration. Within these zones are multiple higher grade intersections with abundant points of visible gold. The alteration is typical for the Serra Alta deposit, including the abundance of quartz veinlets, potassic and chloritic assemblages, and sulphides (pyrite, sphalerite, and galena) with visible gold. To date, the bulk of the drill results reported fall within the pit boundary as outlined in the Preliminary Economic Assessment ("PEA") of the current resources defined at the Serra Alta deposit at its Monte Do Carmo gold project in Tocantins State, Brazil.

The first phase of the current drill program at Serra Alta, follows the success of the 2018 drill program which resulted in a maiden NI 43-101 compliant resource estimate of an Inferred resource totaling 813,000 oz of gold contained within 13,639,000 tonnes grading 1.85 g/t Au. The Phase I program consisted of 18,998 meters of drilling; mainly step-out and downdip to define additional ounces and a modest amount of infill drilling to upgrade a portion of the resource base to the Measured and Indicated resource categories focusing on the known Serra Alta deposit. This deposit is 1.5 kilometers long, 400m wide, and remains open along strike and at depth and represents only the first of 4 known zones which are being targeted to grow the resource on the overall Monte Do Carmo project land package.