TIDMSRB 
 
 
   For immediate release 
 
   12 February 2021 
 
   Serabi Gold plc 
 
   ("Serabi" or the "Company") 
 
   Palito Near-Mine Exploration Success 
 
   Serabi Gold plc (AIM:SRB, TSX:SBI), the Brazilian-focused gold mining 
and development company, is pleased to announce further positive results 
from its ongoing regional exploration activity at its Calico target, 
which is located just 5km from the Palito Operation and Processing 
plant.  In addition, initial regional soil geochemistry on the Sao 
Chico/Sao Domingos trend has recorded multiple significant gold and 
multi-element anomalies within this highly prospective mineralised 
corridor. 
 
   A PDF version of this release including all images can be accessed using 
the following link 
 
   https://bit.ly/2Z9WGat 
 
   Highlights 
 
 
   -- Identification of significant geochemical gold-in-soil anomalies at 
      Calico, Juca and Forquilha, of which Calico is now very significant over 
      a two kilometre by two kilometre area.  Values as high as 0.8g/t gold 
      have been recorded, better than have been seen in any soils over the 
      Palito orebody. 
 
   -- Subsequent terrestrial geophysics survey using Induced Polarisation 
      ("IP") covering the Calico soil anomaly has identified multiple 
      chargeability anomalies. 
 
   -- Both results are very comparable in terms of scale and signature to the 
      Palito orebody, a 600,000 ounce resource, being mined today. 
 
   -- First pass drill-testing of the Calico prospect is planned in the coming 
      months. 
 
   -- Multi-element soil anomalies confirm strike extension of known gold 
      occurrences at the Fofoca prospect on the Sao Chico/ Sao Domingos trend. 
 
 
 
 
 
 
   Mike Hodgson CEO commented: 
 
   "These positive results from the regional programmes at Calico and 
Fofoca are very encouraging.  After the interruptions to the exploration 
campaign of 2020 due to the pandemic, this year we are embarking on the 
most substantial exploration effort seen by Serabi to date.  Whilst a 
key focus will be targeting resource growth at the existing Palito and 
Sao Chico orebodies, a significant part of the exploration programme is 
more regionally focussed whilst still within 20 kilometres of these 
producing orebodies.  Both Calico and Fofoca fall into this category. 
 
   "At Calico the results to date are very compelling and, even at this 
early stage, lead us to start drawing positive comparisons with the 
Palito orebody.  The Calico location was first observed as a significant 
electromagnetic anomaly from the airborne survey completed in 2018.  In 
the Tapajos, such electromagnetic highs are typically indicators of 
sulphide bodies, which, as we see at Palito and Sao Chico and elsewhere, 
can often be gold-bearing. 
 
   "Calico is located just five kilometres from Palito, and in the past 
months we have completed follow-up terrestrial geophysical and 
geochemical surveys.  The soil geochemistry programme defined several 
highly interesting anomalies, namely Calico, Juca and Forquilha, of 
which Calico is the most significant.  Measuring two kilometres by two 
kilometres and with soil assays as high as 0.8g/t, this anomaly is 
comparable to the geochemical anomaly over the Palito orebody.  This 
geochemical survey has now been complemented by IP which has proven to 
be very effective at Palito.  The IP has highlighted a series of NW-SE 
anomalies, some sited within the bounding gold soil anomaly at depth and 
some adjacent to the soil anomalies.  The orientation of these IP 
anomalies is consistent with broader regional structural fabric and the 
trend of the veins at Palito, just five kilometres away.  Given its 
proximity to Palito and the fact that it shares many similar 
characteristics including what seems to be a similar geochemical and 
geophysical signature, we plan to conduct some initial first pass 
drilling during the coming months. 
 
   "The geochemical survey at Fofoca, located in the eastern part of the 
Sao Domingos tenement acquired by the Company in late 2020, is still in 
progress.  The initial results have defined a number of new geochemical 
anomalies outside the multiple past and present artisanal mining areas. 
The survey will continue with a follow-up drill programme to be 
undertaken once this is completed." 
 
   Figure 1 -- Regional Exploration at Palito Complex, showing Palito and 
Sao Chico, and the Calico and Fofoca prospects. 
 
   To access this image please use the following link 
https://www.globenewswire.com/Tracker?data=_J1MEJSDqNz3HgW_o54CQ9s6KUIpjb2qv1cxaDLvAiRq2_NkedUscMXrvXbuGPtno38bogUr2YbXJZ1UZAG0O4e9hMXC0fXUzbrB03iWMKM= 
https://bit.ly/3rMAlvR 
 
 
 
   Figure 2 -- Detailed Image of the Calico/Forquilha/Juca area showing 
local geology as well as multiple gold and copper geochemical anomalies 
 
   To access this image please use the following link 
https://www.globenewswire.com/Tracker?data=_J1MEJSDqNz3HgW_o54CQ80hLN6ddAVE6al-SyxhZoAQWwp7mr2xhLa1blUTSuylpoEpWX86sipf76dhdX0JpNQ07aAQOvTe-9xQn5T59Fc= 
https://bit.ly/3rFWbkQ 
 
 
 
   Figure 3 -- Detailed image of Calico showing local Geology, Gold and 
Copper Geochemistry as well as terrestrial geophysics -- IP anomalies 
 
   To access this image please use the following link 
https://www.globenewswire.com/Tracker?data=_J1MEJSDqNz3HgW_o54CQwHPidUxZaPNQQspElad9WYWWMgGa2RCj-fZ5eBv2pt93S24kXfOCvPo73kKxt4N8xRReLnK5nz-FdQQVwrz8WA= 
https://bit.ly/2Z6eu6r 
 
   RESULTS 
 
   The Calico prospect and neighbouring Forquila and Juca prospects were 
initially identified from the interpretation of an airborne 
electromagnetic survey completed in 2018.  These areas were initially 
selected where multiple electromagnetic anomalies (typically indicators 
of massive sulphides in the Tapajos), coincided with an ESE-WNW trending 
regional structure, known as Mato Cobra, a structure displaying strong 
magnetic and radiometric anomalism. 
 
   Reconnaissance field mapping identified alteration (potassic, haematitic 
and silicic) and evidence of weathered and primary sulphides in limited 
outcrop associated with felsic intrusive and volcanic rocks. 
 
   Systematic grid soil sampling subsequently identified a number of 
cohesive multi-element geochemical anomalies of which the most 
significant was the Calico prospect. 
 
   The Calico prospect is highlighted by a central potassically altered 
dacite porphyry intrusive with coincident higher temperature soil 
geochemistry multi-element signature of Mo-Bi-As-Te-W-Sn.  This dacite 
porphyry intruding into a monzogranite was bounded by a broad 2km by 2km 
high gold/low antimony halo to the NW and anomalous copper wrapping 
around the southern part of the intrusive core. 
 
   The 50 metre by 200 metre grid soil sampling defined a broadly arcuate 
shaped two kilometre by two kilometre gold in soil anomaly defined by 
1,532 soil samples, with a maximum of 0.8g/t Au, with 260 samples 
reporting analytical results between 0.03g/t and 0.8g/t Au.  This gold 
anomaly is supported by a suite of multi-elements suggesting an 
intrusion related mineralising system (porphyry or intrusion related 
gold system model). 
 
   In 2020 Serabi completed a 44.5 line kilometre IP survey covering the 
gold in soil anomaly at Calico. The survey was completed on 200 metre 
spaced, north south orientated traverses, with an array designed to 
penetrate to at least 250 metres vertical depth. 
 
   The result of this survey has further refined the interpretation of the 
Calico prospect.  The IP highlighted a series of NW-SE anomalies, as 
seen at Palito.  These IP anomalies bound the gold soil anomaly and are 
adjacent to the dacite porphyry intrusive. Between these structures a 
series of transverse (NE-SW) and NNW-SSE structures (second and third 
order faults) have been identified which correlate with the peaks of the 
gold in soil assays. 
 
   With favourable geological mapping, coincidental IP anomalies and gold 
geochemical anomalies, the Company will be focussing on first pass drill 
testing of these targets in the coming months. 
 
   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: +44 (0)20 7246 6830 
Chief Executive                                     Mobile: +44 (0)7799 473621 
 
Clive Line                                          Tel: +44 (0)20 7246 6830 
Finance Director                                    Mobile: +44 (0)7710 151692 
 
Email: mailto:contact@serabigold.com 
contact@serabigold.com 
-------------------------------------------------- 
Website: http://www.serabigold.com 
www.serabigold.com 
-------------------------------------------------- 
 
Beaumont Cornish Limited 
 Nominated Adviser and Financial Adviser 
Roland Cornish                                      Tel: +44 (0)20 7628 3396 
Michael Cornish                                     Tel: +44 (0)20 7628 3396 
 
Peel Hunt LLP 
 UK Broker 
Ross Allister                                       Tel: +44 (0)20 7418 8900 
 
 
 
 
   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: 
 
 
 
 
"Ag"                means silver. 
------------------  ------------------------------------------------------------ 
"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. 
------------------  ------------------------------------------------------------ 
"CIM"               means the Canadian Institute of Mining, Metallurgy 
                     and Petroleum. 
------------------  ------------------------------------------------------------ 
"chalcopyrite"      is a sulphide of copper and iron. 
------------------  ------------------------------------------------------------ 
"Cu"                means copper. 
------------------  ------------------------------------------------------------ 
"cut-off grade"     the lowest grade of mineralised material that qualifies 
                     as ore in a given deposit; rock of the lowest assay 
                     included in an ore estimate. 
------------------  ------------------------------------------------------------ 
"dacite porphyry    a silica-rich igneous rock with larger phenocrysts 
intrusive"           (crystals) within a fine-grained matrix 
------------------  ------------------------------------------------------------ 
"deposit"           is a mineralised body which has been physically delineated 
                     by sufficient drilling, trenching, and/or underground 
                     work, and found to contain a sufficient average grade 
                     of metal or metals to warrant further exploration 
                     and/or development expenditures; such a deposit does 
                     not qualify as a commercially mineable ore body or 
                     as containing ore reserves, until final legal, technical, 
                     and economic factors have been resolved. 
------------------  ------------------------------------------------------------ 
"electromagnetics"  is a geophysical technique tool measuring the magnetic 
                     field generated by subjecting the sub-surface to electrical 
                     currents. 
------------------  ------------------------------------------------------------ 
"garimpo"           is a local artisanal mining operation 
------------------  ------------------------------------------------------------ 
"garimpeiro"        is a local artisanal miner. 
------------------  ------------------------------------------------------------ 
"geochemical"       refers to geological information using measurements 
                     derived from chemical analysis. 
------------------  ------------------------------------------------------------ 
"geophysical"       refers to geological information using measurements 
                     derived from the use of magnetic and electrical readings. 
------------------  ------------------------------------------------------------ 
"geophysical        include the exploration of an area by exploiting differences 
techniques"          in physical properties of different rock types. Geophysical 
                     methods include seismic, magnetic, gravity, induced 
                     polarisation and other techniques; geophysical surveys 
                     can be undertaken from the ground or from the air. 
------------------  ------------------------------------------------------------ 
"gossan"            is an iron-bearing weathered product that overlies 
                     a sulphide deposit. 
------------------  ------------------------------------------------------------ 
"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. 
------------------  ------------------------------------------------------------ 
"granodiorite"      is an igneous intrusive rock similar to granite. 
------------------  ------------------------------------------------------------ 
"hectare" or a      is a unit of measurement equal to 10,000 square metres. 
"ha" 
------------------  ------------------------------------------------------------ 
"igneous"           is a rock that has solidified from molten material 
                     or magma. 
------------------  ------------------------------------------------------------ 
"IP"                refers to induced polarisation, a geophysical technique 
                     whereby an electric current is induced into the sub-surface 
                     and the conductivity of the sub-surface is recorded. 
------------------  ------------------------------------------------------------ 
"intrusive"         is a body of rock that invades older rocks. 
------------------  ------------------------------------------------------------ 
"mineralisation"    the concentration of metals and their chemical compounds 
                     within a body of rock. 
------------------  ------------------------------------------------------------ 
"mineralised"       refers to rock which contains minerals e.g. iron, 
                     copper, gold. 
------------------  ------------------------------------------------------------ 
"Mo-Bi-As-Te-W-Sn"  Molybdenum-Bismuth-Arsenic-Tellurium-Tungsten-Tin 
------------------  ------------------------------------------------------------ 
"monzogranite"      a biotite rich granite, often part of the later-stage 
                     emplacement of a larger granite body. 
------------------  ------------------------------------------------------------ 
"mt"                means million tonnes. 
------------------  ------------------------------------------------------------ 
"ore"               means a metal or mineral or a combination of these 
                     of sufficient value as to quality and quantity to 
                     enable it to be mined at a profit. 
------------------  ------------------------------------------------------------ 
"oxides"            are near surface bed-rock which has been weathered 
                     and oxidised by long term exposure to the effects 
                     of water and air. 
------------------  ------------------------------------------------------------ 
"ppm"               means parts per million. 
------------------  ------------------------------------------------------------ 
"saprolite"         is a weathered or decomposed clay-rich rock. 
------------------  ------------------------------------------------------------ 
"sulphide"          refers to minerals consisting of a chemical combination 
                     of sulphur with a metal. 
------------------  ------------------------------------------------------------ 
"vein"              is a generic term to describe an occurrence of mineralised 
                     rock within an area of non-mineralised rock. 
------------------  ------------------------------------------------------------ 
"VTEM"              refers to versa time domain electromagnetic, a particular 
                     variant of time-domain electromagnetic geophysical 
                     survey to prospect for conductive bodies below surface. 
------------------  ------------------------------------------------------------ 
 
   Assay Results 
 
   The assay results reported within this release are those provided by the 
Company's own on-site laboratory facilities at Palito and have not been 
independently verified.  Serabi closely monitors the performance of its 
own facility against results from independent laboratory analysis for 
quality control purpose.  As a matter of normal practice the Company 
sends duplicate samples derived from a variety of the Company's 
activities to accredited laboratory facilities for independent 
verification. Based on the results of this work, the Company's 
management are satisfied that the Company's own facility shows good 
correlation with independent laboratory facilities. The Company would 
expect that in the preparation of any future independent 
Reserve/Resource statement undertaken in compliance with a recognised 
standard, the independent authors of such a statement would not use 
Palito assay results but only use assay results reported by an 
appropriately certificated laboratory. 
 
   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. 
 
   ENDS 
 
 
 
   Attachment 
 
 
   -- Palito Near-Mine Exploration Success 
      https://ml-eu.globenewswire.com/Resource/Download/db3954e1-dce5-4326-8a99-e84736b21e23 
 
 
 
 
 
 
 

(END) Dow Jones Newswires

February 12, 2021 02:00 ET (07:00 GMT)

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