Cabral Gold: Cash Flow Q4 2026 + District-Scale Exploration

Alan Carter, President and CEO of Cabral Gold, provides a detailed update on the company’s Cuiú Cuiú gold project in Brazil, which has rapidly progressed from a greenfield district-scale exploration asset to a heap-leach mine on track for first commercial production in Q4 2026. He explains the two-stage development approach, using low-cost Phase 1 oxide material to generate cash flow that funds aggressive exploration across six known deposits and 50 high-grade targets, the very strong economics of Phase 1 at current gold prices, parallel drilling with six rigs, the substantial scale potential of the hard-rock resources (compared to the neighbouring Tocantinzinho mine), and his long-term goal of building a major gold producer rather than selling the asset.

• Phase 1 is a low-cost heap-leach operation mining ~60 m of free-digging weathered saprolite/mud (no drilling or blasting required, no crushing or grinding, stripping ratio ~0.8:1). The 3,000 tpd plant is expected to produce ~25,000 oz per year at an AISC of ~$1,200/oz. The July PFS (using a conservative $2,500/oz gold price) delivered a 78% post-tax IRR; at current gold prices the IRR rises to approximately 150% with a ~6-month payback and strong margins of around $3,000 per ounce.
• First commercial gold production is scheduled for Q4 2026, with commissioning expected to begin in Q3 2026. Construction is on schedule and on budget (recently reported at ~70% complete and now slightly ahead). The project is fully funded. The modular ADR plant has been commissioned in Australia and is being shipped to site, with built-in capacity for future expansion.
• On-off (temporary) heap-leach pads with a 120-day cycle per pad are being used instead of permanent pads, providing operational flexibility to adjust parameters (cement dosage, stack height, etc.) if needed. Metallurgical column testwork returned recoveries in the high 80s to low 90% range (PFS conservatively assumed 87%).
• Exploration is running aggressively in parallel with construction using six drill rigs focused on resource expansion. A recent highlight was 107 m at 2.5 g/t. There are 50 high-quality untested targets outside the six known deposits. A global resource update incorporating all six deposits is planned for the end of 2026 (the previous 2022 estimate was 1.2 Moz on three deposits).
• The hard-rock (Phase 2) deposits are mineralogically and structurally similar to the nearby Tocantinzinho mine (2 Moz resource). They feature high-grade vein cores surrounded by lower-grade stockwork halos. Metallurgical testwork shows excellent recoveries of 96–98% (~50% gravity recoverable gold + CIL). Based on placer-to-hard-rock ratios observed at Tocantinzinho, Cuiú Cuiú has district-scale potential in the 5–20 Moz range.
• Cabral Gold’s strategy is to use non-dilutive cash flow from Phase 1 to fund aggressive exploration and potential expansion of Phase 1, then advance a Phase 2 PFS once the hard-rock resource reaches sufficient scale (G Mining’s Tocantinzinho was developed on just over 2 Moz). CEO Alan Carter is strongly aligned with shareholders through significant personal cash investment and has stated his goal is to build a major gold company rather than sell the project.