Brazil Resources Inc. Provides Exploration Update
VANCOUVER, April 26, 2012 /PRNewswire/ - Brazil Resources Inc. (TSXV:BRI) ("Brazil Resources" or the "Company") is pleased to announce the results from initial gold exploration programs on its Montes Áureos and Trinta Projects located within the Gurupi Belt, Maranhão state, northeast Brazil and its Artulândia property located contiguous with the Company's 247,000 acre Pireneus Project area, Goiás, central Brazil.
Montes Áureos - mineralized zone, typical of greenstone belts in this district. To
date, exploration work has included soil sampling, auger drilling and
diamond drilling. Significant drill intersections from 10 diamond drill
holes returned values of 0.45 to 3.5 g/t gold from intercepts of
between 1m and 17m.
Trinta Project - Brazil Resources' exploration team has identified three gold targets
with seven anomalies within two prospective geophysical corridors. Grab
sample results returned values of up to 60 g/t gold from a local
- Artulândia Property - Thus far, the Company has identified eight target areas with elevated gold, copper, lead and zinc values surrounding a large intrusive granitoid with grab sample results of up to 1.2 g/t gold, 0.7% copper and greater than 2% lead-zinc in separate samples.
Stephen Swatton, President and CEO, stated, "As a result of these initial exploration programs, the Company now has a grasp of the geology and potential of three distinct project areas. However, we are aware that we have far more exploration work to perform to zero-in on the most prospective zones on all three projects. We are encouraged by what has been found to date by the Company's exploration team in what were poorly understood but historically richly endowed gold districts. Concurrent with these exploration programs, we continue to make progress on our strategy to acquire additional projects of merit in Brazil."
Gurupi Belt Projects
The Company's exploration in the Gurupi Belt has progressed with the execution of a diamond drilling program on the Montes Áureos Project and follow-up sampling work on the nearby Trinta Project. Ten drill holes totaling 1,616 meters have been completed on the Montes Áureos Project.
At Montes Áureos, nine drill holes (MADDH-02, 03, 04, 05, 06, 07, 08, 08A and 09) tested the 500-meter northern expression of a 2-km long gold/arsenic soil/auger anomaly identified by the Company. Interval spacing was approximately 40m-50m with a north-south orientation. Each drill hole was drilled at a 60-degree azimuth and at a 60-degree dip from surface. An additional exploratory drill hole (MADDH-01) was completed to test an isolated soil anomaly to the southeast of the main soil anomaly, near a site with artisanal mining activities.
The drill results have confirmed a continuous low-grade 100-130 meter wide gold enrichment zone that hosts several 1-meter to 17-meter intersections with grades between 0.45 and 3.5 g/t gold (see Table 1 below). The remaining 1.5 km of the soil/auger anomaly is open to the south. The Company currently anticipates that a further drill program in 2012 will test the southern extension zone at Monte Áureos. The mineralization is typical of greenstone-hosted bulk low-grade deposits. More drilling will be required along strike to understand the full extent of the mineralization at depth, and Company geologists have already sited additional drill targets for future testing.
TABLE 1 - Drill hole intersections above 0.45 g/t gold at Montes Áureos.
|DRILLHOLE||FROM (m)||TO (m)||INTERVAL (m)||Au (g/t)|
|MADDH-02||25.00||32.00||7.00||0.51||incl. 2.0m @ 0.95 g/t|
|MADDH-02||98.00||104.00||6.00||0.52||incl. 1.0m @ 2.43 g/t|
|MADDH-03||53.00||66.50||13.50||0.46||incl. 4.0m @ 0.75 g/t|
|MADDH-04||88.50||95.00||6.50||0.56||incl. 0.7m @ 2.34 g/t|
|MADDH-05||30.00||33.00||3.00||1.10||incl. 1.1m @ 1.74 g/t|
|MADDH-06||17.00||34.00||17.00||0.49||incl. 1.0m @ 1.34 g/t|
|MADDH-06||68.00||72.00||4.00||1.10||incl. 1.3m @ 1.45 g/t|
|MADDH-06||91.50||98.00||6.50||1.10||incl. 1.0m @ 3.82 g/t|
|MADDH-06||109.00||114.00||5.00||0.58||incl. 1.6m @ 0.90 g/t|
|MADDH-07||1.35||10.00||8.75||0.49||incl. 1.0m @ 0.95 g/t|
|MADDH-07||16.00||28.00||12.00||0.45||incl. 1.0m @ 1.54 g/t|
|MADDH-08A||1.00||6.00||3.00||0.51||incl. 1.0m @ 0.73 g/t|
incl. 1.2m @ 0.94 g/t
Please see Figure 2 - A longitudinal section running north-south shows the lateral continuation of the mineralized upper saprolite mineralization in holes MADDH-02, 03, 04 and 06. The mineralized intersections are not true width and the angle of the holes have been rotated to a vertical projection.
Further detailed technical information on the Montes Áureos Project and the Company's planned work program can be found in the National Instrument 43-101 technical report dated March 16, 2011 authored by Coffey Mining. A copy of the Technical Report is available under the Company's profile on SEDAR at www.sedar.com.
The Trinta Project
At Trinta, located 2 km to the east of the Company's Montes Áureos Project on the southern extension of the Cipoeiro mineralized trend, a property reconnaissance float, stream sediment, soil and trenching program was completed comprising 1,328 samples. As a result, three target areas with gold soil anomalies have been identified. Follow-up work completed in one of the areas confirmed the presence of mineralization associated with quartz veining in a foliated granitoid. Grab samples from quartz float returned high-grade gold results including 20 g/t gold and 12.5 g/t gold with the highest returning 60 g/t gold (see Figure 3 below)
Please see Figure 3 - Trinta target areas and gold anomalies plotted over an airborne magnetic geophysical grid.
The highlights of the recent exploration work at the Trinta Project include:
The Company completed a quartz vein float sampling program (35 samples)
in Area 3. The three highest values returned were 60 g/t gold, 20 g/t
gold and 12 g/t gold.
Gold mineralization was identified in four trenches associated with
quartz veining in foliated granitoid rocks. The highest channel
sampling result yielded 4 meters at 1.0 g/t, including 1 meter at 3.3
- Identified seven discreet gold soil anomalies measuring from 0.5 km up to 1.2 km at a 40-ppb cut-off (background is 5ppb).
The work to date is encouraging and initial mechanized trenching close to the 60g/t gold float has confirmed the presence of high-grade gold in quartz veins (3.0g/t gold over 1 meter).
Government geophysical surveys from the district show the mineralization to be consistent with linear NNW-SSE magnetic highs; these highs will continue to be the focus for follow up exploration in 2012. The western geophysical anomaly (Area 1) extends north-south for approximately 5km, and the eastern anomaly (Areas 2 and 3) extends for approximately 9km.
At the Company's Artulândia property, geological mapping and follow-up sampling programs including stream sediment (62 samples), soil (1,355 samples) and rock (397 samples) sampling have been completed. As a result of this work, eight target areas for copper, lead, zinc, silver and gold have been identified.
Follow-up work completed on target ART-1 confirmed the presence of rock samples with copper values of up to 0.7%, lead-zinc values of greater than 2%, silver grades of up to 183 g/t and gold grades of up to 1.2 g/t gold, plus additional anomalies as shown in Table 4 below. These elevated base metal values are associated with hydrothermally modified metavolcanic rock units distributed around the contact zones of a large intrusive (see Figure 5 below). Preliminary data indicates that the potential target may be a base metal skarn-type deposit.
Highlights thus far include:
Definition of eight copper, lead, zinc, silver (Au-Bi) target areas
using a cut-off of 30 ppb for gold, 200 ppb for copper and 500 ppb for
lead and zinc in soil anomalies (Figure 5), and
- Grab samples from hydrothermally modified metavolcanic rock units and associated weathered material with grades between 0.1%-0.7% copper, 1.32%-4.2% lead, 1.78%-2.35% zinc, 11-147 g/t silver and 0.1-1.2 g/t gold distributed over an area 100 meter wide by 800 meter long, and open in both directions, on target ART-1.
Please see Table 4 - Target ART-1 rock samples with anomalous results for Cu-Pb-Zn, Ag (Au-Bi).
Please see Figure 5 - Artulândia target areas with Au-Cu-Pb-Zn anomalies based on field data and interpretation of satellite images.
Exploration is still at an early stage at the Company's Artulândia property. The Company plans to make further determinations regarding the nature of a follow-up program once remaining results for the current program have been received.
About Brazil Resources Inc.
Brazil Resources is a publicly listed mineral exploration company with a focus on the acquisition and development of projects in emerging producing gold districts in Brazil and other parts of South America. Currently, the Company is advancing its Montes Áureos, Trinta and Maua Gold Projects located in the Gurupi Gold Belt in the state of Maranhão in northeastern Brazil, and its Pireneus Gold Project in Goias State, in central Brazil. Brazil Resources is also seeking to acquire and develop additional gold properties within Brazil and other locations in South America.
Note Regarding Scientific and Technical Information
Paulo Pereira, the Company's Vice President of Exploration has supervised the preparation of and reviewed the technical information contained in this document. Mr. Pereira holds a Bachelor degree in Geology from Universidad Do Amazonas in Brazil, is a qualified person as defined in National Instrument 43-101 and is a member of the Association of Professional Geoscientists of Ontario.
Brazil Resources operates QA/QC controls of sampling and analytical procedures. Drill core is checked, logged for sampling and sawn in half. One half of the NQ core (47.6mm diameter) and HQ core (63.4mm diameter) is maintained for future reference and one half of the core is sent for analysis. Samples are collected at 1m intervals. Samples are transported from the project by road to SGS-Geosol Labs in Vespasiano, Minas Gerais, Brazil in secured and sealed sample bags. Samples are assayed by the lab for gold using a 50 gram fire assay with AAS finish and ICP for 37 elements. Sets of control samples consisting of certified analytical standard, blanks (barren rocks) and duplicates are inserted in the sample batches as part of the QA/QC procedures providing several measures of data quality and in order to ensure the Company that assay data is representative. For non-drilling samples, only duplicates are inserted in the sample batches.
Forward Looking Statements
This document contains certain forward-looking statements that reflect the current views and/or expectations of the Company with respect to its performance, business and future events, including statements regarding the Company's exploration plans in respect of its projects, and its future acquisition strategy. Forward-looking statements are based on the then-current expectations, beliefs, assumptions, estimates and forecasts about the business and the markets in which the Company operates, including that: the current price of and demand for minerals being targeted by the Company will be sustained or will improve; the Company's current exploration programs and objectives can be achieved; financing will be available if and when needed on reasonable terms; and the Company will be able to identify and acquire additional mineral interests on reasonable terms or at all. Investors are cautioned that all forward-looking statements involve risks and uncertainties, including: that the Company has a limited operating history; that resource exploration and development is a speculative business; that the Company may lose or abandon its property interests; that the Company's property is in the exploration stage and is without known bodies of commercial ore; that the Company may not be able to obtain all necessary permits and approvals on any of its properties; that environmental laws and regulations may become more onerous; that the Company may not be able to raise additional funds when necessary; potential defects in title to the Company's properties; fluctuations in currency exchange rates; fluctuating prices of commodities; operating hazards and risks; potential inability to find suitable acquisition opportunities and/or complete the same and other factors listed in the Company's public filings, including its Management's Discussion and Analysis for the year ended November 30, 2011. These risks, as well as others, could cause actual results and events to vary significantly. Accordingly, readers should not place undue reliance on forward-looking statements and information. There can be no assurance that forward-looking information, or the material factors or assumptions used to develop such forward looking information, will prove to be accurate. The Company does not undertake any obligations to release publicly any revisions for updating any voluntary forward-looking statements, except as required by applicable securities law.
Neither the 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 news release.
SOURCE Brazil Resources Inc.
Image with caption: "FIGURE 2 - A longitudinal section running north-south shows the lateral continuation of the mineralized upper saprolite mineralization in holes MADDH-02, 03, 04 and 06. The mineralized intersections are not true width and the angle of the holes have been rotated to a vertical projection. (CNW Group/Brazil Resources Inc.)". Image available at: http://photos.newswire.ca/images/download/20120426_C9523_PHOTO_EN_12765.jpg
Image with caption: "FIGURE 3 - Trinta target areas and gold anomalies plotted over an airborne magnetic geophysical grid. (CNW Group/Brazil Resources Inc.)". Image available at: http://photos.newswire.ca/images/download/20120426_C9523_PHOTO_EN_12766.jpg
PDF with caption: "TABLE 4 - Target ART-1 rock samples with anomalous results for Cu-Pb-Zn, Ag (Au-Bi). ". PDF available at: http://stream1.newswire.ca/media/2012/04/26/20120426_C9523_DOC_EN_12768.pdf
Image with caption: "FIGURE 5 - Artulândia target areas with Au-Cu-Pb-Zn anomalies based on field data and interpretation of satellite images. (CNW Group/Brazil Resources Inc.)". Image available at: http://photos.newswire.ca/images/download/20120426_C9523_PHOTO_EN_12767.jpg