Business · Energy & Commodities · 3 hrs ago
Cabral Gold starts production at Brazil’s Cuiú Cuiú mine
Cabral Gold has started production at its Phase One mine at the Cuiú Cuiú gold district in Brazil’s Tapajós region.
The company says the district contains at least six known gold deposits and 50 other targets.
The starter mine processes near-surface material, while a planned second stage would mine harder rock beneath it.
Cabral aims to use mine revenue to fund exploration, reducing its reliance on share sales that can dilute existing shareholders.
It has poured its first gold and made first sales of just over 2,400 ounces, and six drill rigs are working across the district.
The company expects commercial production in the coming months and plans to outline an expansion of Phase One capacity and assess the larger hard-rock project.
Cabral Gold says its Phase One mine at the Cuiú Cuiú gold district in northern Brazil has entered production.
The company plans to use cash from the starter mine to fund exploration across the district.
Cuiú Cuiú contains at least six known gold deposits and 50 peripheral targets.
Cabral says construction of the Phase One mine finished two months ahead of schedule, and it has made its first gold sales of just over 2,400 ounces.
The company expects commercial production in the next couple of months and plans to outline a possible increase in throughput.
- Who
- Cabral Gold Inc., led by President, CEO and Director Alan Carter.
- What
- The company says its Phase One mine has entered production. It plans to use operating cash flow to fund exploration.
- When
- Not stated.
- Where
- The Cuiú Cuiú gold district in northern Brazil’s Tapajós region.
- Why
- Cabral aims to fund district-wide exploration from production rather than relying on equity financings that can dilute shareholders.
This story does not have two clearly opposing sides.
Cabral completed construction of the Phase One mine.
The company made its first gold pour.
Cabral reported first gold sales of just over 2,400 ounces.
The Phase One mine is in production.
- Known deposits
- At least 6
- Peripheral targets
- 50
- Drill rigs
- 6 currently operating
- Jerimum Cima drilling
- 9.5 metres at 87.4 grams per tonne gold
- First gold sales
- Just over 2,400 ounces
- Phase One throughput
- 1 million tonnes a year; Cabral expects to outline plans to increase it to 2 million tonnes a year
What people are saying
In order to explore all of those deposits and the peripheral targets, the company needs a source of cash other than relying on dilutionary equity financings.
Firstly, we expect to achieve commercial production in the next couple of months.