TORONTO - Lavras Gold Corp. (TSX-V:LGC, OTCQX:LGCFF) ('Lavras' or the 'Company') is pleased to release the results from nine (9) new drill holes testing the Butia Gold Deposit, located at the western edge of the LDS project in southern Brazil.
Gold mineralization was intersected in all nine holes at the Butia Deposit, which hosts a NI43-101 compliant measured, indicated and inferred gold resource of approximately 0.5 million ounces. Several of these new holes were designed to increase the confidence in the Butia resource (converting the Inferred Resource into the Measured & Indicated categories) and others to potentially increase the gold endowment as explained below. These new results continue to move Lavras Gold toward its short-term corporate goal of defining an economically feasible gold resource on the LDS Project, focused on the Butia gold deposit and the adjacent Fazenda do Posto gold target.
HIGHLIGHTS
Drilling
Hole 23BT016 returned: 154.0 metres grading 1.1 g/t gold from surface and including: o 109.00 metres grading 1.4 g/t gold from surface, o 29.0 metres grading 2.9 g/t gold from 25.0 metres, and o 5.0 metres grading 4.7 g/t gold from 29.0 metres, o 18.0 metres grading 3.2 g/t gold from 30.0 metres, and 16.00 metres grading 1.0 g/t gold from 208.00 metres and including: o 6.00 metres grading 2.1 g/t gold from 208.00 metres.
Regional Exploration Program - Soil Survey Results
Three significant gold-in-soils anomalies at the following targets: A 3.8 km by 3.2 km anomaly centered over the Matilde and Matilde Extension targets in the southern portion of the property,
A 4.6 km by 4.8 km anomaly overlying historical gold workings including Galvao, Zeca Souza and Caneleira, along the western and central western portion of the Lavras do Sul Intrusive Complex,
A more scattered anomaly centred along the eastern flank of the Lavras do Sul Intrusive Complex and overlying volcanic rocks (roughly 4 km by 3.7 km)
'The new drilling results demonstrate the excellent near-surface gold grade and continuity of the Butia gold deposit. Results like these have the potential to materially enhance the economics of a near-surface bulk tonnage open-pit type of gold project,' commented Lavras Gold President & CEO Michael Durose. 'We are also working to increase the gold endowment at Butia by relogging and selectively re-assaying the 78 historic drill holes (20,000 metres). The purpose of this initiative is to reinterpret historical results and standardize the geological interpretation and assay results of the data, consistent with new information and geological observations from the adjacent Fazenda do Posto gold discovery. In this way possible new extensions to known gold mineralization can be tested. The results from the regional geochemical (soil) surveys and airborne magnetic survey programs, combined with surface exploration work, will help us select and prioritize future drilling targets as we strive to unlock the full exploration potential of the LDS Property.
'An update of drilling results for the recently discovered Fazenda do Posto target is expected as soon as final assay results are received and the geological interpretation is completed. Drilling is on-going in this area.'
Discussion of Drill Results - Butia Deposit
Butia is the most advanced gold deposit on the LDS property consisting of approximately 0.5 million ounces of gold, located 150 metres east of the recent Fazenda do Posto gold discovery. The purpose of the current drilling program at Butia is to increase the geological confidence of the existing gold resource by converting a significant portion of inferred geological resources into the measured and indicated categories and to increase the gold endowment of the existing gold resource. Approximately 23.3% of the existing resource estimate is in the Inferred category and the remaining 76.7% in the measured and indicated categories.
Since 2005, a total of 78 drill holes for 20,000 meters have been completed at the Butia gold deposit. An additional nine new drill holes totalling 2,500 metres bring the total number of holes drilled at Butia to 87 (22,500 metres of drilling). Drill hole lengths from the current program typically range from 160.0 metres to 360.0 metres and have been completed as part of a program of 16 drill holes planned for this area.
The near-term priority is to develop new drilling targets using the regional soil and geophysics program as a guide to ground follow-up. Ground follow-up will include detailed geological mapping, sampling, trenching and selective augur drilling of favourable targets. The initial priority area will be in the region of the large gold in soil anomaly along the central western portion of the LDS property north of Fazenda do Posto and Butia.
These extensive gold-in-soil anomalies, when superimposed on regional magnetics, point to a complex structural setting where gold anomalies and historical workings appear to be centred on magnetic low structures. This is certainly the case at the Caneleira gold target, where a kilometer-scale east-west gold-bearing structure has been defined in previous drilling. The best historical drill hole intersection was 1.4 g/t gold over 36.1 metres approximately 70 metres down the drill core. These regional surveys, combined with surface exploration work, will inform the selection and priority order for future exploration drilling targets as the Lavras team strives to unlock the full exploration potential of the LDS Property.
2024 Exploration Program Overview & Objectives
Lavras Gold's short-term corporate objective is to define an economic gold resource on the LDS Project with a focus on the Butia gold deposit and adjacent Fazenda do Posto gold target. A 25,000-metre diamond drilling contract has been signed with GeoSol, a Brazilian drilling company. The current drilling program consists of two diamond drill rigs that are now on site and designed to test exploration targets continuously from now until the first half of 2025. This drilling program is in addition to the 20,000 metres of drilling completed by the company since it went public in April 2022, and the more than 60,000 metres of historical drilling on the property by previous operators. Approximately 10,000 metres of drilling have currently been budgeted to test Butia and Fazenda do Posto. Further drilling of these targets may happen as results warrant. Drilling of other exploration targets is anticipated in the second half of 2024 with the objective of discovering new economic gold deposits on the LDS property.
About the LDS Project
The LDS Project is centred on the town of Lavras do Sul in Rio Grande do Sul, Brazil. It is approximately 320 kilometres, or a 4.5-hour drive, from the state capital of Porto Alegre. The Company, through its subsidiary, holds directly or indirectly, contractual interests over 29 mineral rights covering 22,000 hectares.
The LDS intrusive complex is a multiphase intrusive centre that is surrounded by coeval volcanic rocks to the east. Geologically, LDS is in the far south of the Neoproterozoic Mantiqueira Province, a 2,700-kilometre-long belt of tectonically and magmatically accreted terrains that stretch as far south as the coastline of central Uruguay and north into southern Bahia State in Brazil. The most advanced targets are the Butia and Cerrito gold deposits, which have consolidated NI 43-101 resources of approximately 1 million ounces.
About Lavras Gold Corp.
Lavras Gold Corp. (TSXV: LGC, OTCQX: LGCFF) is a Canadian exploration company focused on realizing the potential of a multi-million-ounce gold district in southern Brazil. Its Lavras do Sul Project is located in Rio Grande do Sul State and is primarily an intrusive hosted gold system of possible alkaline affinity. More than 24 gold prospects centred on historic gold workings have been identified on the property, which spans more than 22,000 hectares. Follow Lavras Gold on www.lavrasgold.com, as well as on LinkedIn, Twitter, and YouTube.
Contact:
Michael Durose
President
Tel: +1-289-624-1343 or +1-289-624-1377
Email: investor@lavrasgold.com
Web: www.lavrasgold.com
All drill hole samples in this drilling program consist of split NQ diamond drill core. Drill core is logged and sampled in a secure facility located in Lavras do Sul, Rio Grande do Sul State, Brazil. Drill core samples for gold assay are cut in half using a diamond saw and submitted to ALS Laboratories Inc. in Goiania, Goias State, Brazil for preparation by crushing to 85% passing 1.0 mm, riffle splitting to obtain 500 g aliquots, and pulverizing to 85% passing 75 microns.
Pulps are shipped to ALS Laboratories Inc. in Lima, Peru and analyzed by a 50g fire assay and AAS finish. Three 50g aliquots are taken for samples in the mineralized zone and one aliquot is taken in fresh rocks. The average grade of the three aliquots is used to determine the final grade of the mineralized sample.
Certified standards, non-certified blanks and field duplicates are inserted into the sample stream at regular intervals, so that QA/QC accounted for about 10% of the total samples. Results are routinely evaluated for accuracy, precision, and contamination.
Lavras Gold has been targeting larger intersections of greater than 0.25 g/t gold. Intersections that are lower than this threshold may provide exploration insight and may therefore be disclosed. The Company maintains a robust QAQC program that includes the collection and analysis of duplicate samples and the insertion of blanks and standards (certified reference material).
Forward looking statements
This news release includes certain 'forward-looking information' within the meaning of Canadian securities legislation and 'forward-looking statements' within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively 'forward looking statements'). Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as 'seek', 'anticipate', 'believe', 'plan', 'estimate', 'forecast', 'expect', 'potential', 'project', 'target', 'schedule', 'budget' and 'intend' and statements that an event or result 'may', 'will', 'should', 'could' or 'might' occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the Company's further 2024 drill plans and future results at the LDS Project are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Company's expectations include actual exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward-looking statements, there may be other factors that cause such actions, events or results to differ materially from those anticipated. There can be no assurance that forward-looking statements will prove to be accurate and accordingly readers are cautioned not to place undue reliance on forward-looking statements.
LAVRAS GOLD CORP. 
