Serabi Gold plc Serabi Gold Plc: Step Out Drilling At Sao Chico Extends Mineralised Zone, With Further Significant Potential ...

 
TIDMSRB 
 
 
   For immediate release 
 
   20 September 2018 
 
   Serabi Gold plc 
 
   ("Serabi" or the "Company") 
 
   Step out drilling at Sao Chico extends mineralised zone, with further 
significant potential identified to the east and west 
 
   Serabi Gold plc (AIM:SRB, TSX:SBI), the Brazilian-focused gold mining 
and development company, is pleased to announce the results from its 
ongoing exploration programme being undertaken in the area around the 
Sao Chico orebody. 
 
 
 
   This news release includes links to images. A full copy of the release 
including the images can be accessed by using the following link - 
Exploration Update WEB Version 
https://www.globenewswire.com/Tracker?data=RQQM4vgpDKXSTJgP2ldXJ7I__5iTZRp_9Oz55jsFGJqKH-ann2h_vLTS6-VUQbv9xmsmoFwJWalFHSiGStNsRoUKdCDv4lRhA6Y1m0y3mx4ojkbbQ2Z7fda1cMxFQI_W4Intd1cBNytr7TfSzSAn139hABJcVB9BQxcSGfNxngiRaAxPK4ApNjMkw-kOj4-9sc8ewc-XMBYUdAeZl2IVFQ== 
 
 
 
 
   Highlights 
 
 
   -- Step out drilling to the west of Sao Chico indicates likely strike 
      continuity of mineralisation of up to 500 metres west of current mining 
      operation, including mineable widths with intersections grading 21.97 
      grammes per tonne ("g/t") and 26.86 g/t (hole 18-SC-124) over widths of 
      0.80m and 1.10m respectively 
 
   -- Underground drilling confirms extension of current Sao Chico ore-body for 
      a further 100 metres below the lowest level of current development with 
      multiple high grade intersections including 99.92 g/t (hole18-SCUD-182) 
      over a width of 1.5m 
 
   -- A terrestrial geophysics Induced Polarisation ("IP") survey has 
      identified a four kilometre long northeast-southwest trending 
      chargeability anomaly (the "Cinderella zone") which is coincidental with 
      a magnetic survey 'high'. This zone lies approximately three kilometres 
      to the east of Sao Chico orebody 
 
 
   Mike Hodgson, CEO of Serabi, commented: 
 
   "This is excellent news for the Company, and for myself, not unexpected. 
We have always held the view that the Sao Chico orebody has had the 
potential to be significantly larger.  The Cinderella zone to the east 
is very interesting, and has seen significant artisanal activity in the 
drainage areas downstream.  The IP and the coincidental magnetic high 
suggests potential mineralisation extending over four kilometres. 
 
   "The current drilling to the west is also very encouraging, this is 
simple step out drilling following the strike of the Sao Chico Main Vein 
and although the drilling is quite broadly spaced, it appears the 
mineralisation can now be traced for a further 500 metres to the west of 
the current mining limit.  This complements the potential parallel 
structures of Lagoa and Crossroads that we have identified to the north 
and south of the current mine.  With these excellent results, we are 
extending our IP surveys to the west and will, if results justify it, 
extend the 'step out' drill programme accordingly. 
 
   "We should also receive, in early October, results of the airborne 
electromagnetic survey undertaken earlier in this quarter, and this 
combined with the ground IP will be key to determining the potential at 
Sao Chico and the further exploration programmes.  Before the end of the 
month, we will be moving our drill rigs across to the Coringa project 
where we have a drill programme planned that we hope will result in a 
significant increase in the current mineral resources of the project." 
 
   SURFACE DRILLING ACTIVITIES 
 
   The Company is currently conducting step-out drill traverses, from 
surface, to the west of its mining operations. Results to date have 
established the likely western continuation of the Sao Chico 
mineralisation for 500 metres from the current mine limit. 
 
   This step out drilling is significant in that it further highlights the 
potential in the Sao Chico area for new discoveries within Serabi's 
tenement portfolio. 
 
   Significant grade intersections include: 
 
 
 
 
                East            West               Depth      Dip/Azm      From     To    Width  Gold Grade 
   Hole      (UTM- WGS84)    (UTM- WGS84)    RL      (m)    (deg/degUTM)    (m)     (m)    (m)    (Au g/t) 
18-SC-119      613579.634     9290499.599  241.52  155.88        -55/018   39.30   43.50   4.20        0.87 
----------  -------------  --------------  ------  ------  -------------  ------  ------  -----  ---------- 
18-SC-120      613567.712     9290455.893  249.27  180.80        -59/019   34.90   35.54   0.64        0.57 
                                                                           62.62   63.30   0.68        0.91 
                                                                          104.04  104.90   0.86        1.09 
----------  -------------  --------------  ------  ------  -------------  ------  ------  -----  ---------- 
18-SC-121      613488.660     9290486.470  244.44  205.80        -59/019           Assays Pending 
----------  -------------  --------------  ------  ------  -------------  --------------------------------- 
18-SC-122      613494.385     9290524.721  238.30  130.45        -56/018           Assays Pending 
----------  -------------  --------------  ------  ------  -------------  --------------------------------- 
18-SC-123      613412.090     9290503.580  240.07  205.35        -60/018   96.20   96.70   0.50        1.14 
                                                                           98.80   99.60   0.73        1.26 
----------  -------------  --------------  ------  ------  -------------  ------  ------  -----  ---------- 
18-SC-124      613422.490     9290547.090  233.28  170.15        -55/018   42.30   43.10   0.73       21.97 
                                                                           48.70   49.80   1.08       26.86 
----------  -------------  --------------  ------  ------  -------------  ------  ------  -----  ---------- 
 
 
   Note: Reported intercepts are calculated based on a minimum weighted 
average grade of 0.5g/t Au using a 0.5g/t Au weighted average lower cut 
and a maximum internal waste interval of 1.2m based on Palito Laboratory 
reported analyses. All assays were completed by Palito Laboratory using 
a 30gm DIBK aqua regia charge with an AAS analysis. Palito Assays are 
NOT CERTIFIED analyses. 
 
   TO VIEW AN IMAGE SHOWING THE LOCATION OF DRILLING AND KEY RESULTS PLEASE 
USE THE FOLLOWING LINK -  SC - West Vein Results 
https://www.globenewswire.com/Tracker?data=DADoj_2bMeeC9KP56SSxh-B7rDmAdw3escM2XiS7vlfLzzjFdBnOJdRnkv-0Y9fZo0_DzHVlE83Lr5vPVNZu1A_iT_t13gN2-qdE77UCcHgLf0aMnoC2rSoBrjgl6atv8A9i4GGbJSYqePc97vtBnTaJsGKi_5NNP9dsynoAcJ8WtSZApYc5Vil-zMa8j1CQHslNDMeu_ZHijUkDdpUiLQ== 
 
 
 
 
   UNDERGROUND DRILLING ACTIVITIES 
 
   The Company has also been undertaking exploration of the current Sao 
Chico orebody from within the current mine workings.  This underground 
exploration drilling has intersected and confirmed mineralisation with 
mineable widths and grades, with continuity for a further 100 metres 
below the current operating levels at the mine and exceptional 
high-grade results returned from the Main zone. 
 
   Significant results include: 
 
 
 
 
                              North                                                                    Gold 
                  East        (UTM-             Mine   Depth      Dip/Azm      From     To    Width    Grade 
    Hole       (UTM- WGS84)   WGS84)    RL      Level    (m)    (deg/degUTM)    (m)     (m)    (m)    (Au g/t) 
18-SCUD-169        613924.3  9290388   33.456      35    98.5        -40/183    87.9    88.2    0.3      24.93 
                                                                                90.8    91.5    0.7        4.4 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-171          613924  9290388    33.67      35   89.46        -37/211    85.3    85.8    0.5       3.24 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-172        613720.1  9290426  222.312     216   67.34       -11 /336    57.6   60.95   3.35      16.15 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-175        613720.2  9290426  221.668     216   69.28        -33/336   16.07   16.27    0.2       4.27 
                                                                                66.6   67.47   0.87      15.09 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-176        613719.5  9290425  222.493     216   109.4         -9/315    8.11    8.46   0.35      11.56 
                                                                                16.7   16.95   0.25       7.11 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-177        614098.2  9290303   11.595       8   89.75        -25/143      62    62.5    0.5       6.68 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-178        614098.2  9290303   11.595       8    84.8        -42/143    76.6   76.85   0.25       3.58 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-179        613719.7  9290425  222.312     216   96.17        -24/317     7.1    7.36   0.26      10.42 
                                                                                41.5    41.7    0.2        2.1 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-180          614098  9290303   11.595       8   61.73        -25/159   44.95   45.53   0.58       2.79 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-182        613720.3  9290426  222.312     216    67.1        -11/354   47.35   48.85    1.5      99.92 

------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-185        614097.9  9290303     11.5       8   83.12        -40/176   58.25    58.6   0.35       3.49 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-186        613993.7  9290398    34.46      35     177        -43/206  139.75  140.15    0.4       9.19 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-187        613846.4  9290387   27.255      26    65.5        -27/178    8.56    8.98   0.42       5.04 
                                                                               14.74    14.9   0.16       2.61 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-189        613846.2  9290388   26.989      26    75.9        -44/198   12.45   13.45      1       2.93 
                                                                                49.5    50.5      1       3.58 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-191        613845.9  9290388   27.093      26   65.75        -29/229   24.35   24.85    0.5       2.84 
                                                                               48.56   49.15   0.59       7.43 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-192        613845.9  9290388    27.01      26    80.5        -20/207    55.4    55.9    0.5       4.32 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-193        613846.1  9290388   26.971      26    94.9        -54/214   69.53    72.5   2.97       23.5 
                                                                                83.5   84.25   0.75       5.68 
                                                                               93.68   94.15   0.47       2.53 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
18-SCUD-194        613846.3  9290388   27.097      26  103.38        -55/193   71.18   72.25   1.07       9.07 
                                                                               90.58   91.52   0.94      17.72 
                                                                               94.61   95.77   1.16      11.28 
                                                                                97.5   98.58   1.08       4.04 
------------  -------------  -------  -------  ------  ------  -------------  ------  ------  -----  --------- 
 
 
   Note: Reported intercepts are calculated based on a minimum weighted 
average grade of 0.5g/t Au using a 0.5g/t Au weighted average lower cut 
and a maximum internal waste interval of 1.2m based on Palito Laboratory 
reported analyses. All assays were completed by Palito Laboratory using 
a 30gm DIBK aqua regia charge with an AAS analysis. Palito Assays are 
NOT CERTIFIED analyses. 
 
   GROUND GEOPHYSICS 
 
   The Company is also continuing with its regional exploration within its 
tenement portfolio.  An IP survey is being conducted along the Sao Chico 
strike, testing extensions to the east and to the west.  Approximately 
110 line kilometres has been completed, covering a strike length 
totalling nine kilometres along the Sao Chico trend. 
 
   This survey has highlighted the exploration potential within the area, 
defining a significant number of IP chargeable anomalies.  The results 
suggest the potential in the west remains very good, and as a result, 
the Company is extending its IP geophysics programme accordingly. 
 
   In addition, the IP survey has also outlined a very significant 
northeast-southwest trending chargeability anomaly which are also 
coincident with a magnetic 'high'. Interest in this is further enhanced 
by the significant artisanal activity that has occurred downstream in 
the streams that drain this zone.  This lineament has been named the 
Cinderella zone. 
 
   TO VIEW AN IMAGE SHOWING THE CURRENT IP RESULTS AND THE LOCATION OF THE 
CINDERELLA ZONE PLEASE USE THE FOLLOWING LINK - IP_SAO CHICO 
https://www.globenewswire.com/Tracker?data=HMkfqdIs9qI6emUaThpxYn5JXfrbwvEMLSzyNuHby-Klg4VnUYrTDuUGBI8vFCvEQmFFvu5e768Yp7eziLiG0MTB607fpHEhuyh5SM-vzHpfO7d8a-cCFWoGGbC8GvICdZWSdsrIy6Al4P4xTa91IYJmlOgQJl6tsSWm0S9E4_zMwHLkEr1lVVOsqh0mej6Q 
 
 
 
 
   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. 
 
   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] 
 
Blytheweigh 
 Public Relations 
Tim Blythe                     Tel: [phone] 
Camilla Horsfall               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. 
 
   GLOSSARY OF TERMS 
 
   The following is a glossary of technical terms: 
 
   "Au" means gold. 
 
   "assay" in economic geology, means to analyse the proportions of metal 
in a rock or overburden sample; to test an ore or mineral for 
composition, purity, weight or other properties of commercial interest. 
 
   "development" - excavations used to establish access to the mineralised 
rock and other workings 
 
   "DNPM" is the Departamento Nacional de Produção Mineral. 
 
   "grade" is the concentration of mineral within the host rock typically 
quoted as grammes per tonne (g/t), parts per million (ppm) or parts per 
billion (ppb). 
 
   "g/t" means grams per tonne. 
 
   "granodiorite" is an igneous intrusive rock similar to granite. 
 
   "igneous" is a rock that has solidified from molten material or magma. 
 
   "Intrusive" is a body of igneous rock that invades older rocks. 
 
   "on-lode development" - Development that is undertaken in and following 
the direction of the Vein 
 
   "mRL" -- depth in metres measured relative to a fixed point -- in the 
case of Palito and Sao Chico this is sea-level.  The mine entrance at 
Palito is at 250mRL. 
 
   "saprolite" is a weathered or decomposed clay--rich rock. 
 
   "stoping blocks" -- a discrete area of mineralised rock established for 
planning and scheduling purposes that will be mined using one of the 
various stoping methods. 
 
   "vein" is a generic term to describe an occurrence of mineralised rock 
within an area of non-mineralised rock. 
 
   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 26 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.S 
 
 
 
   Attachments 
 
 
   -- Exploration Update WEB Version 
      https://prlibrary-eu.nasdaq.com/Resource/Download/87d1ae03-e301-4a06-9dc8-a3559aa6085b 
 
 
   -- SC - West Vein Results 
      https://prlibrary-eu.nasdaq.com/Resource/Download/9dab8158-647f-45e3-aed0-f4514b741ac6 
 
 

   -- IP_SAO CHICO 
      https://prlibrary-eu.nasdaq.com/Resource/Download/aa5f8a1c-eaeb-49bd-be3a-15637723f525 
 
 
 
 
 

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September 20, 2018 02:00 ET (06:00 GMT)

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