Hole 24FP020 intersected:

• 120.0 metres grading 0.9 g/t gold from 145.0 m and including:

  • 25.0 metres grading 1.1 g/t gold from 163.0 metres, and including

  • 10.0 metres grading 1.5 g/t gold from 178.0 metres and including

  • 2.0 metres grading 2.7 g/t gold from 181.0 metres and including

  • 19.0 metres grading 1.4 g/t gold from 194.0 metres and including

  • 13.0 metres grading 1.7 g/t gold from 194.0 metres and including

  • 11.0 metres grading 2.2 g/t gold from 250 metres and including

  • 3.0 metres grading 4.2 g/t gold from 250 metres and including

  • 1.0 metre grading 10.2 g/t gold from 251 metres.

"We are extremely pleased with these results from Fazenda do Posto. These findings are consistent with previous drilling results where we see very long intervals of moderate grade disseminated gold mineralization over hundreds of metres within episyenite host rock beginning at or near surface, highlighted by significantly higher-grade subintervals," commented Lavras CEO Michael Durose. "Long continuous intervals of gold mineralization over more than 200 metres depth beginning at surface confirm the bulk-tonnage nature of Fazenda do Posto.

"The higher-grade zone of 59 metres grading 2.9 g/t gold in hole 24FP016 is significant, demonstrating that higher grade sweet spots exist within the episyenite style of mineralization. Importantly, this high-grade type of mineralization is associated with disseminated sulphides including pyrite and galena within the episyenite host rock, opening up the possibility of wider zones of high-grade mineralization. Our understanding of the geological controls to gold mineralization is greatly improving as the drilling program progresses. The possible presence of parallel northeast trending structures opens important exploration targets that remain to be tested."

Click here for commentary from CEO Michael Durose on today's drilling results.

[* Footnote: Butiá hosts an NI 43-101 compliant near-surface gold resource of about 500,000 ounces, as detailed in the NI 43-101 Technical Report Mineral Resource for Butiá Gold Prospect dated and effective January 25, 2022. The report was prepared by VMG Consultoria e Solu??es Ltda. for Lavras Gold Corp. and is available on the Company's website and www.sedar.com under Lavras Gold's issuer profile.]

Discussion of Drill Results - Fazenda do Posto

Figure 1 indicates the location of the mineral showings on the LDS Project. Fazenda do Posto is situated approximately 150 metres west of Butiá - the most advanced gold deposit on the LDS Project consisting of approximately 500,000 ounces of gold. The purpose of the current drilling program at Fazenda do Posto is to better understand the geometry and grade distribution of the target, and to gain insight into the geological controls of gold mineralization. Furthermore, the drilling program is designed to test for extensions to know mineralization and prepare this discovery for an eventual gold resource estimate. Recent drilling results from Fazenda do Posto were disclosed in the Lavras Gold News Release dated February 29, 2024.

A total of 7,060 metres of drilling in 24 drillholes has tested the Fazenda gold target in the last 12 months. The locations of the drillholes are shown in Figure 2. A cross-section looking northwest is shown in Figure 3. Figure 4 shows a cross-section looking south. Table 1 summarizes assay results including newly disclosed results (drillholes 23FP013 to 24FP024) in this press release, and results disclosed previously. Table 2 tabulates drillhole information including collar coordinates and drillhole depths. Note that the collar coordinates for Fazenda do Posto have been updated to reflect a recently completed detailed land survey of all drill collars versus the GPS coordinates previously disclosed.

Drillhole 24FP016 was collared 60 metres northwest of the trace of drillhole 23FP002 and drilled vertically. The purpose of this hole was to test the lateral continuity of gold mineralization northwest of 23FP002 and to understand the depth, thickness and gold grade in this area. The hole confirmed a thick continuous zone of disseminated high-grade gold hosted within white, bleached episyenite starting at a vertical depth of 233.0 metres. Highlights of the hole are shown below.

• 59.0 metres grading 2.9 g/t gold from 233.0 metres, and including:

  • 50.0 metres grading 3.2 g/t gold from 238.0 metres, and including

  • 32.0 metres grading 4.3 g/t gold from 240.0 metres, and including

  • 3.0 metres grading 17.6 g/t gold from 253.0 metres, and including

  • 1.0 metre grading 9.6 g/t gold from 253.0 metres, and including

  • 1.0 metre grading 23.3 g/t gold from 254.0 metres, and including

  • 1.0 metre grading 30.3 g/t gold from 255.0 metres.

Figure 5 shows a photo of this mineralized zone. The episyenite host rock is bleached pink-white and consists of 1-2 disseminated sulphides in the matrix to potassium feldspar phenocrysts. The sulphide minerals include pyrite, +- arsenian pyrite, and galena. The high-grade nature of the gold mineralization including up to 30.3 g/t gold is associated with the disseminated style of mineralization.

Drillhole 24FP017 was collared in the middle of the trace of drillhole 23FP002 in the north-central portion of the Fazenda do Posto Gold Target (see Figure 2). The hole was drilled vertically and designed to test the vertical continuity of gold mineralization encountered in hole 23BT002 that included 340.0 metres grading 1.10 g/t gold from a vertical depth of about 100 metres. 23BT017 was drilled vertically (see Figure 3) for the purpose of characterizing the vertical continuity of mineralization and defining the mineral deposit at depth. A long interval of continuous bulk-tonnage disseminated gold mineralization was encountered from surface to a depth of 301.0 metres within mineralized episyenite with minor subintervals of perthitic granite as detailed below. Multiple higher-grade subintervals were encountered throughout the hole.

• 301.0 metres grading 0.7 g/t gold from surface (0.0 metres) and including:

  • 261.0 metres grading 0.8 g/t gold from 3.0 metres, and including

  • 27.0 metres grading 1.3 g/t gold from 50.0 metres, and

  • 19.0 metres grading 1.1 g/t gold from 84.0 metres, and including

  • 7.0 metres grading 1.4 g/t gold from 84.0 metres, and

  • 3.0 metres grading 1.4 g/t gold from 123.0 metres, and

  • 14.00 metres grading 1.7 g/t gold from 144.00 metres, and

  • 61.00 metres grading 1.4 g/t gold from 192.0 metres, and including

  • 22.00 metres grading 1.9 g/t gold from 192.0 metres

Drillhole 24FP018 was collared along the axis of drillhole 23FP002 and drilled on an azimuth of 020 degrees and a dip of 60 degrees in the central portion of the Fazenda Gold Target (see Figures 2, 3 & 4). The hole tested a zone southwest and down dip from hole 23FP007. The purpose of this hole was to better understand the nature, grade and continuity of gold mineralization in this portion of the deposit. Continuous gold mineralization was encountered over long intervals in episyenite and mineralized perthitic granite. Higher-grade subintervals were observed within zones of episyenite hosting pyrite +/-arsenian pyrite. A zone of intense hydrothermal breccia was intersected at 101.0 metres (see Figure 6) characterized by a hematite-rich scarlet red matrix and angular to subangular k-feldspar phenocrysts. A summary of assay composites is as follows:

• 75.00 metres grading 1.1 g/t gold from 68.0 metres and including:

  • 32.0 metres grading 1.8 g/t gold from 75.0 metres, and including

  • 21.00 metres grading 2.4 g/t gold from 86.0 metres, and including

  • 9.00 metres grading 4.2 g/t gold from 86.0 metres, and

  • 1.00 metre grading 8.9 g/t gold from 97.0 metres.

Hole 24FP019 was collared about 45 metres east of 24FP017 and was drilled vertically to test the continuity of mineralization. The hole intersected mineralization as follows:

• 25.0 metres grading 1.2 g/t gold from surface (0.0 metres), and including

  • 12.0 metres grading 2.4 g/t gold from 11.0 metres, and including

  • 1.0 metre grading 26.4 g/t gold from 15.0 metres; and including

  • 1.0 metre grading 0.5 g/t gold from 38.0 metres

  • 2.0 metre grading 0.41 g/t gold from 59.0 metres.

The high-grade interval at 15.0 metres skews the overall grade of this interval. If the high grade 26.4 g/t interval is cut to 10 g/t gold, the overall interval becomes 0.6 g/t gold over 25.0 metres from surface.

Drillhole 24FP020 was positioned 50 metres northwest of 23FP003 and drilled vertically (see Figures 2-4). The purpose of this hole was to better grasp the nature of the geology and mineralization vertically in this portion of the deposit. A continuous bulk-tonnage and disseminated style of mineralization consisting mainly of disseminated pyrite +/- arsenian pyrite within episyenite +/- perthitic granite (see Figure 7) occurred from 145.0 metres to a depth of 265.0 metres having an average grade of 0.9 g/t gold. This included several higher-grade subintervals as detailed below:

• 120.0 metres grading 0.9 g/t gold from 145.0 metres and including:

  • 25.0 metres grading 1.1 g/t gold from 163.0 metres, and including

  • 4.0 metres grading 1.4 g/t gold from 168.0 metres,

  • 10.0 metres grading 1.5 g/t gold from 178.0 metres, and including

  • 2.0 metres grading 2.7 g/t gold from 181.0 metres,

  • 19.0 metres grading 1.4 g/t gold from 194.0 metres, and including

  • 13.0 metres grading 1.7 g/t gold from 194.0 metres,

  • 11.0 metres grading 1.2 g/t gold from 223.0 metres, and including

  • 2.0 metres grading 1.8 g/t gold from 232.0 metres

  • 11.0 metres grading 2.2 g/t gold from 250.0 metres, and including

  • 3.00 metres grading 4.2 g/t gold from 250.0 metres, and including

  • 1.00 metre grading 10.2 g/t gold from 251.0 metres

Gold mineralization occurs within mineralized episyenite and perthitic granite. Higher grade subintervals are associated with elevated concentrations of sulphide minerals.

Drillhole 24FP021 was collared 50 metres southeast of drillhole 23FP003. The hole was drilled vertically and designed to test the mineralized footprint between Fazenda do Posto and Butiá to the east (see Figures 2-4). The hole encountered continuous mineralized episyenite and perthitic granite over an interval of 130.0 metres from surface having an average grade of 0.5 g/t gold. The hole contains numerous higher-grade subintervals. Details of this hole are shown below:

• 130.0 metres grading 0.5 g/t gold from surface (0.0 metres), and including:

  • 6.0 metres grading 1.1 g/t gold from 13.0 metres, and including

  • 1.0 metre grading 4.4 g/t gold from 16.0 metres

  • 10.0 metres grading 1.1 g/t gold from 32.0 metres, and including

  • 5.0 metres grading 1.5 g/t gold from 32.0 metres

  • 9.0 metres grading 1.5 g/t gold from 90.0 metres, and including

  • 3.0 metres grading 3.1 g/t gold from 96.0 metres,

  • 1.0 metres grading 1.1 g/t gold from 118.0 metres.

Drillhole 24FP022 was positioned 70 metres northwest of the drill collar for hole 23FP002 and drilled vertically (see Figures 2-4). The hole encountered sporadic intervals of gold mineralization beginning at 167 metres depth within predominantly perthitic gold granite host rock. Highlights are shown below:

• 1.00 metre grading 0.5 g/t gold from 167.0 metres,

• 11.00 metres grading 0.3 g/t gold from 176.0 metres, and including:

  • 2.00 metres grading 0.8 g/t gold from 176.0 metres;

  • 2.00 metres grading 0.5 g/t gold from 184.0 metres.

Drillhole 24FP023 was step out hole to the southwest designed to test for the possible extension of metasomatic alteration and gold mineralization to the southwest of the Fazenda do Posto gold discovery. The hole was collared southwest of Fazenda do Posto and drilled on an azimuth of 065 degrees and a dip of 60 degrees. Relatively fresh granodiorite was encountered in the upper parts of the hole for the first 147.0 metres and then transitions into altered perthitic granite characterized by metasomatic alteration. A minor interval consisting of 1.0 metres grading 0.3 g/t gold was found at 274.0 metres in perthitic granite. The hole is interpreted to have been stopped short of the main mineralized zone.

Drillhole 23FP024 was collared 70 metres northeast of 23FP002 and drilled vertically to test for gold mineralization between Fazenda do Posto and Butiá along the northwestern edge of Butiá (see Figures 2-4). The hole encountered 56.0 metres grading 0.3 g/t gold in mineralized perthitic granite from 80.0 metres. This included several higher-grade subintervals as detailed below.

• 56.0 metres grading 0.3 g/t gold from 58.0 metres including:

  • 6.0 metres grading 0.4 g/t gold from 58.0 metres, and including

  • 1.0 metre grading 0.8 g/t gold from 61.0 metres

  • 1.0 metre grading 0.9 g/t gold from 70.0 metres

  • 7.0 metres grading 0.5 g/t gold from 89.0 metres; and including

  • 1.0 metre grading 0.8 g/t gold from 91.0 metres.

Interpretation and Next Steps

The latest drilling results confirm the continuous disseminated style of gold mineralization found at Fazenda do Posto. Generally, a higher-grade core of gold mineralization hosted within episyenite is enveloped by a lower-grade halo of gold within metasomatically derived perthitic granite. There are zones of very high grade episyenite as defined by drillhole 24FP016 that returned 59.0 metres grading 2.9 g/t gold. So far, gold mineralization has been found beginning at surface and traced down to a vertical depth of about 400 metres and an areal extent of about 200 metres. The mineralized zone appears to be an irregular shaped pipe-like feature plunging to the northwest. There is a strong structural control to gold mineralization. Specifically, northeast trending structures are thought to play an important role in localizing and focusing gold mineralization. The current thinking is that that there may be several parallel northeast trending structures to the northwest that are important exploration targets that remain untested. Drilling between Fazenda do Posto and the adjacent Butiá Gold Deposit to the east intersected important intervals of low-grade gold mineralization in drill holes 24FP021 and 24FP024, potentially connecting these two zones between a northeast trending fault.

Approximately 10,000 metres of a 25,000-metre drilling budget has been completed on the LDS project since the beginning of 2024. Most of the drilling has focused on Butiá and Fazenda do Posto. Drilling is on-going at both targets with two drills. Fazenda do Posto remains open to the west, north and northwest, south and at depth. The Butiá Deposit is 150 metres to the east of Fazenda do Posto.

Surface exploration work in the area has identified several targets that require drill-testing soon as the exploration program evolves. This includes several zones of recessive topography (lower areas) that have been identified in the field, and some surface areas that are displaying rocks with hydrothermal alteration features.

A third drill has been mobilized to the Caneleira concession to the north of Fazenda do Posto where numerous exploration targets have been defined through surface exploration work including soil geochemistry, favourable structural patterns identified by drone a magnetic survey and air photo interpretation, and old workings including trenches and pits that have been sampled.

The targets on the Caneleira concession are interpreted to be structurally controlled cataclastic gold systems associated with important northeast trending structures. Typical alteration minerals include hematite, sericite and intense silicification. Gold appears to be associated with fine grained disseminated pyrite. Drilling is currently testing the Orlaria target to the northeast of Fazenda do Posto and Butiá (see Figure 1). Historical drillhole LDH-105 completed in 2007 by Lavras Gold's predecessor company, Amarillo Gold, tested the Orlaria target and returned multiple intervals of gold mineralization across an interpreted northeast trending structure as follows:

• 12.0 metres grading 4.5 g/t gold from 26.0 metres

• 3.0 metres grading 1.2 g/t gold from 68.0 metres

• 2.0 metres grading 0.4 g/t gold from 79.5 metres

• 3.0 metres grading 0.7 g/t gold from 108.0 metres

• 5.0 metres grading 0.5 g/t gold from 114.0 metres

• 2.0 metres grading 1.0 g/t gold from 135.0 metres

• 1.0 metres grading 0.5 g/t gold from 148.0 metres

• 2.0 metres grading 0.5 g/t gold from 152.0 metres

• 3.0 metres grading 2.7 g/t gold from 160.0 metres

Lavras Gold geologists have reviewed this drill core that is stored on site and confirm that the gold intervals referenced above correspond visually to zones of mineralization and alteration.

In addition to drilling activities, the geology team is completing on-going field related activities including prospecting, geological mapping, and rock sampling with the goal of defining further future drill targets.

Table 1. Summary of Drillhole Composites from the Fazenda do Posto Gold Target

 

• Assumes 0.25 g/t gold cut-off grade, no top cut.

• The Company has been targeting larger intersections of greater than 0.25 g/t gold. Intersections lower than this threshold may provide exploration insight and may therefore be disclosed.

• Intervals represent drill core interval; true widths have not been determined at this time.

Table 2. Fazenda do Posto Drillhole Coordinates

 

Figure 1. Regional Soil Geochemistry Anomalies versus Geology of the Lavras do Sul Intrusive Complex and Known Mineral Showings.

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https://images.newsfilecorp.com/files/10429/222614_87a7f6b7a4de0870_002full.jpg

Figure 2. Plan View of 2023 and 2024 Fazenda do Posto Drillholes. (Several drillholes are collared in the same location - refer to Table 2 for details)

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https://images.newsfilecorp.com/files/10429/222614_87a7f6b7a4de0870_003full.jpg

Figure 3. Cross-Section Looking Northwest of 2023 and 2024 Fazenda do Posto Drillholes showing Lithology and Gold Assay Grades.

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https://images.newsfilecorp.com/files/10429/222614_87a7f6b7a4de0870_004full.jpg

Figure 4. Cross-Section Looking South of 2023 and 2024 Fazenda do Posto Drillholes showing Lithology and Gold Assay Grade.

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https://images.newsfilecorp.com/files/10429/222614_87a7f6b7a4de0870_005full.jpg

Figure 5. Episyenite from Drillhole 24FP016 showing Bleached Pinkish-White Colouration Reflecting Intense Na Alteration with 1-2% Disseminated Pyrite +- Arsenian Pyrite (yellow-bronze) and Galena (gray) with Iron-rich Chlorite (dark greenish-black). This Sample from Drillhole 24FP016 Spans the Interval 254.0 m to 255.0 m and Grades 23.267 g/t Gold.

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https://images.newsfilecorp.com/files/10429/222614_87a7f6b7a4de0870_006full.jpg

Figure 6. Episyenite - Brecciated with Red Hematite-Rich Matrix with Disseminated Sulphides. The typical Dark Green Chlorite Matrix with Sulphides Usually Found in Episyenite Appears to have been replaced by Scarlett Red Hematite in the Matrix. The Pink Feldspar Phenocrysts are Angular to Subangular Reflecting Intense Physical Reworking. This Sample is from Drillhole 24FP018 from 101.00 metres to 102.00 metres and grades 1.427 g/t Gold.

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Figure 7. Dark Pink K-Spar Phenocrysts Enveloped by Black-Dark Green Chlorite in the Episyenite with 2-3% Disseminated Sulphides (Pyrite +- Arsenian Pyrite) and 1% Grey Carbonate Create a Leopard Skin Texture. This sample from Drillhole 24FP020 is from Interval 258.0 m to 259.0 m and grades 2.350 g/t gold

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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 37 mineral rights covering 23,000 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 Butiá 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, Instagram, Twitter and YouTube.

Michael Durose, President & CEO for Lavras Gold Corp., is the qualified person ("QP") as defined by Canadian National Instrument 43-101 and has reviewed and approved the technical information contained in this release.

On Behalf of Lavras Gold Corp.

"Michael Durose"

President & CEO

For further information, please visit the Lavras Gold Corp. website at www.lavrasgold.com, or contact:

Michael Durose, President & CEO
or
Naomi Nemeth, VP Investor Relations

Phone: +1-289-624-1343 or +1-289-624-1377
Email: [email protected]
Instagram: lavrasgold
Website: www.lavrasgold.com
X (Twitter): @LavrasGold

Additional Technical Notes:

Quality Assurance & Quality Control: For the Fazenda do Posto Gold Deposit, sample handling, preparation, and analysis are monitored through the implementation of formal chain-of-custody procedures and quality assurance/quality control programs designed to follow industry best practices.

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, Goiás 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).

Disclaimer: Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/222614