Serabi Gold plc Miscellaneous

 
TIDMSRB 
 
 
   For immediate release 
 
   4 March 2019 
 
   Serabi Gold plc 
 
   ("Serabi" or the "Company") 
 
   37% increase in Mineral Resources for Coringa Gold Project 
 
   Updated Mineral Resource Statement 
 
   Serabi Gold (AIM:SRB, TSX:SBI), the Brazilian focused gold mining and 
development company, is pleased to announce updated Mineral Resource 
estimates for its Coringa gold project ("Coringa"), prepared in 
accordance with the standard of CIM and Canadian National Instrument 
43-101 with an effective date of March 4, 2019 as outlined below. 
 
   Highlights 
 
 
   -- An Indicated Resource ("Indicated") for Coringa of 216,000 ounces of 
      contained gold (845,000 tonnes at an average in-situ grade of 7.95 g/t). 
 
   -- An additional Inferred Resource ("Inferred") of 298,000 ounces of 
      contained gold (1,436,000 tonnes at an average in-situ grade of 6.46 
      g/t). 
 
   -- This new mineral resource estimate represents a 37% increase over the 
      previously disclosed estimation (as of May 3, 2017) which comprised 
      195,000 ounces of Indicated and 181,000 ounces of Inferred. 
 
   -- The average reported grade of the Indicated has decreased by 5% from 8.36 
      g/t to 7.95g/t. 
 
   -- The average reported grade of the Inferred has increased by 50% from 4.32 
      g/t to 6.46g/t. 
 
   -- The mineral resource estimate incorporates seven of the nine identified 
      gold hosting zones at Coringa.  There is insufficient geological data to 
      include the Domingo and Pista zones as a mineral resource at this time. 
 
   -- Further drilling has been completed and the results from this will be 
      included in the Preliminary Economic Assessment ("PEA"), which is 
      underway and the result of which the Company expects to announce before 
      the end of June 2019. 
 
 
   (Note: All resource figures stated above are both gross and net 
attributable to Serabi.) 
 
   Mike Hodgson, CEO of Serabi, commented: 
 
   "The fourth quarter 2018 resource drilling campaign has resulted in a 
very pleasing 37% increase in total geological resource at Coringa. 
Total resources now exceed 500,000 ounces at over 7 g/t gold, a 
substantial improvement on the previous estimate of 370,000 ounces from 
May 2017. 
 
   "We see Coringa as a Palito Complex look-a-like, where, as is common 
with many narrow vein mines, we have maintained a resource level of 
approximately 500,000 ounces whilst producing over 270,000 ounces of 
gold since that operation began.  I therefore consider a 500,000 ounce 
resource as an excellent starting point for Coringa, certainly enough to 
support a quality, operation of similar size to the Palito Complex. 
 
   "Further drilling is being completed at Coringa which will, hopefully, 
further enhance this resource estimate and will be incorporated into the 
PEA results that we expect to be published before the end of the second 
quarter." 
 
   The mineral resource estimate was prepared by Mr Kevin Gunesch, PE and 
Dr Hamid Samari, QP-MMSA of Global Resource Engineering, Ltd who are 
both Qualified Persons under the Canadian National Instrument 43-101. 
 
   Mineral Resource Estimates 
 
   The current Mineral Resource estimates for the Coringa Mine (Table 1) 
are based on data as at February 11, 2019. 
 
 
 
 
Table 1 - Mineral Resource Statement, Coringa Mine, 
 Para State, Brazil, as of March 4, 2019 
------------------------------------------------------------- 
                 Vein Width  Quantity  Grade  Contained Metal 
---------------  ----------  --------  -----  --------------- 
                                       Gold        Gold 
Classification       m        000't     g/t       000'oz 
---------------  ----------  --------  -----  --------------- 
Underground 
Indicated               0.7       845   7.95              216 
---------------  ----------  --------  -----  --------------- 
Total Indicated 
---------------------------  --------  -----  --------------- 
Underground 
Inferred                0.7     1,436   6.46              298 
---------------  ----------  --------  -----  --------------- 
 
 
   Notes to Table 1: 
 
 
   1. Mineral Resources have been rounded. Mineral Resources are not Mineral 
      Reserves and have not demonstrated economic viability. Mineral Resources 
      are reported inclusive of Mineral Reserves. All figures are rounded to 
      reflect the relative accuracy of the estimates. Underground Mineral 
      Resources are reported within classification domains inclusive of in-situ 
      dilution at a cut-off grade of 2.0g/t gold assuming an underground 
      extraction scenario, a gold price of US$1,500/troy oz, an operating cost 
      of $100/t, and metallurgical recovery of 95%. 
 
   2. Serabi is the operator and owns 100% of the Coringa gold project such 
      that gross and net attributable mineral resources are the same. The 
      mineral resource estimate was prepared by Global Resource Engineering in 
      accordance with the standard of CIM and Canadian National Instrument 
      43-101, with an effective date of March 4, 2019 by Mr Kevin Gunesch and 
      Dr Hamid Samari, who are both Qualified Persons under the Canadian 
      National Instrument 43-101. 
 
 
 
 
   Qualified Persons and Quality Control 
 
   The scientific and technical information contained in this news release 
pertaining to the Coringa gold project has been reviewed and approved by 
the following qualified persons under National Instrument 43-101 -- 
Standards of Disclosure for Mineral Projects ("NI 43-101"): 
 
 
   -- Kevin Gunesch, PE, Global Resource Engineering 
 
 
   -- Hamid Samari, QP-MMSA, Global Resource Engineering 
 
 
 
 
   The qualified persons have verified the information disclosed herein, 
including the sampling, preparation, security and analytical procedures 
underlying the information or opinions contained in this announcement in 
accordance with standards appropriate to their qualifications. 
 
   Technical Report 
 
   A Technical Report is currently being prepared by Global Resource 
Engineering. in accordance with NI 43-101 and will be filed on SEDAR 
(www.sedar.com) and on the Company's website within 45 days of this news 
release. 
 
   Historical Estimates 
 
   Historical resources estimates for the Coringa ore-body are documented 
in the technical reports entitled Coringa Gold Project, Brazil NI 43-101 
Technical Report, dated June 15, 2017 and Coringa Gold Project, Brazil 
Feasibility Study NI 43-101 Technical Report, dated September 8, 2017 
which are filed on the Company's website at 
https://www.globenewswire.com/Tracker?data=1AqeU50lh-MVR9348o4qA37NSv-Hyf-s7UyMhvzno7nsv1EBUykxJnIiFJQUeBuItdPRbJ1eRT3XeZi-gpe5x3VMaffd0eqKPZLoTFOQ5e0= 
www.serabigold.com and SEDAR at www.sedar.com. 
 
   Enquiries: 
 
 
 
 
Serabi Gold plc 
Michael Hodgson                           Tel: [phone] 
Chief Executive                           Mobile: [phone] 
 
Clive Line                                Tel: [phone] 
Finance Director                          Mobile: [phone] 
 
Email: [e-mail] 
---------------------------------------- 
Website: www.serabigold.com 
---------------------------------------- 
 
Beaumont Cornish Limited 
 Nominated Adviser and Financial Adviser 
Roland Cornish                            Tel: [phone] 
Michael Cornish                           Tel: [phone] 
 
Peel Hunt LLP 
 UK Broker 
Ross Allister                             Tel: [phone] 
James Bavister                            Tel: [phone] 
 
 
 
   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. 
 
   This announcement is inside information for the purposes of Article 7 of 
Regulation 596/2014. The person who arranged for the release of this 
announcement on behalf of the Company was Clive Line, Director. 
 
   GLOSSARY OF TERMS 
 
   The following is a glossary of technical terms: 
 
   Note: Mineral resources and reserves were estimated in conformity with 
the widely accepted CIM Estimation of Mineral Resource and Mineral 
Reserves Best Practices Guidelines (the "Guidelines") and are reported 
in accordance with the Canadian Securities Administrators' National 
Instrument 43-101" and the definitions applicable to individual 
categories of reserves and resources are set out in the Guidelines. The 
Glossary below includes only a summary of these definitions and readers 
can access the full definitions at 
https://www.globenewswire.com/Tracker?data=qEMSuIjY21NdDE7HWTCsv1RvpFv3KDUfdCmOoImFfSVdAdlZ6rt6F2PiCEhbcF6e52ax3BvpglJzs8PDwE82kDbQjO9tDdwurIieTDmiH5t61bByzhajzyyqIGEHJEbbpJY7IiQXTz1oiJQlHsStgU_y0sniZ1zvh5tr9SencSnjm1aPfxLocrxfujoOytN6UmdyxPF2sKJDnNb35h4ixw== 
http://web.cim.org/standards/menupage.cfm?sections=177&menu=178 
 
   "Au" means gold. 
 
   "CIM" means Canadian Institute of Mining, Metallurgy and Petroleum. 
 
   "development" - excavations used to establish access to the mineralised 
rock and other workings. 
 
   "grade" is the concentration of mineral within the host rock typically 
quoted as grams per tonne (g/t), parts per million (ppm) or parts per 
billion (ppb). 
 
   "g/t" means grams per tonne. 
 
   "Indicated Mineral Resource" is that part of a Mineral Resource for 
which quantity, grade or quality, densities, shape and physical 
characteristics can be estimated with a level of confidence sufficient 
to allow the appropriate application of technical and economic 
parameters, to support mine planning and evaluation of the economic 
viability of the deposit. The estimate is based on detailed and reliable 
exploration and testing information gathered through appropriate 
techniques from locations such as outcrops, trenches, pits, workings and 
drill holes that are spaced closely enough for geological and grade 
continuity to be reasonably assumed. 
 

   "Inferred Mineral Resource" is that part of a Mineral Resource for which 
quantity and grade or quality can be estimated on the basis of 
geological evidence and limited sampling and reasonably assumed, but not 
verified, geological and grade continuity. The estimate is based on 
limited information and sampling gathered through appropriate techniques 
from locations such as outcrops, trenches, pits, workings and drill 
holes. 
 
   "Measured Mineral Resource" is that part of a Mineral Resource for which 
quantity, grade or quality, densities, shape, and physical 
characteristics are so well established that they can be estimated with 
confidence sufficient to allow the appropriate application of technical 
and economic parameters, to support production planning and evaluation 
of the economic viability of the deposit. The estimate is based on 
detailed and reliable exploration, sampling and testing information 
gathered through appropriate techniques from locations such as outcrops, 
trenches, pits, workings and drill holes that are spaced closely enough 
to confirm both geological and grade continuity. 
 
   "Mineral Resource" is a concentration or occurrence of diamonds, natural 
solid inorganic material, or natural solid fossilized organic material 
including base and precious metals, coal, and industrial minerals in or 
on the Earth's crust in such form and quantity and of such a grade or 
quality that it has reasonable prospects for economic extraction. The 
location, quantity, grade, geological characteristics and continuity of 
a Mineral Resource are known, estimated or interpreted from specific 
geological evidence and knowledge. 
 
   "Mineral Reserve" is the economically mineable part of a Measured or 
Indicated Mineral Resource demonstrated by at least a Preliminary 
Feasibility Study. This Study must include adequate information on 
mining, processing, metallurgical, economic and other relevant factors 
that demonstrate, at the time of reporting, that economic extraction can 
be justified. A Mineral Reserve includes diluting materials and 
allowances for losses that may occur when the material is mined. 
 
   "Probable Mineral Reserve" is the economically mineable part of an 
Indicated and, in some circumstances, a Measured Mineral Resource 
demonstrated by at least a Preliminary Feasibility Study. This Study 
must include adequate information on mining, processing, metallurgical, 
economic, and other relevant factors that demonstrate, at the time of 
reporting, that economic extraction can be justified. 
 
   "Proven Mineral Reserve" is the economically mineable part of a Measured 
Mineral Resource. A Proven Mineral Reserve implies a high degree of 
confidence in the Modifying Factors. 
 
   "t" means tonnes 
 
   "Vein" is a generic term to describe an occurrence of mineralised rock 
within an area of non-mineralised rock. 
 
   AIM 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 identi ed 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 re ect 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. 
 
   Attachment 
 
 
   -- Coringa Mineral Resource Update 
      https://ml-eu.globenewswire.com/Resource/Download/aac2396e-b9c2-44ea-830d-faf113fc0539 
 
 
 
 
 

(END) Dow Jones Newswires

March 04, 2019 02:00 ET (07:00 GMT)

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