Cabral Gold Drills 11m @ 3.1 g/t gold including 3m @ 10.5 g/t gold within Gold-in-oxide Blanket at the PDM Target, Cuiú Cuiú District

Vancouver, August 18, 2022 - Cabral Gold Inc. (TSXV: CBR) (OTC PINK: CBGZF) ("Cabral" or the "Company") is pleased to provide assay results from twenty-one RC holes drilled in the recently identified gold-in-oxide blanket of the PDM target within the Cuiú Cuiú Gold District, northern Brazil.

Highlights are as follows:

• RC0324 returned the following mineralized intervals:
  • 11.0m @ 3.1 g/t gold from surface in oxidized and weathered material, including 3.0m @ 10.5 g/t gold from 5.0m

• RC0327 returned the following mineralized intervals:
  • 10.0m @ 0.4 g/t gold from surface in oxidized and weathered material and
  • 15.0m @ 1.5 g/t gold from 40.0m in oxidized material, including 1.0m @ 19.1 g/t gold

• Other significant drill results from oxidized and weathered material at PDM include;
  • RC0333: 32.0m @ 0.5 g/t gold from surface
  • RC0329: 21.0m @ 0.5 g/t gold from surface
  • RC0317: 14.0m @ 0.7 g/t gold from surface
  • RC0322: 9.0m @ 0.6 g/t gold from surface
  • RC0320: 11.0m @ 0.4 g/t gold from surface

• These drill results suggest that the blanket at PDM remains open to the north. Furthermore, the results lend further support to the existing evidence that suggests there are at least two parallel zones of mineralization in the underlying primary basement rocks which remain open to the north and south

Alan Carter, Cabral's President and CEO commented, "These latest RC results from the PDM oxide blanket are important for two reasons. Firstly, they further demonstrate the presence of a higher-grade core within the unconsolidated oxide blanket. Secondly, they lend further support to the presence of a second primary mineralized zone in the underlying basement granitic rocks at least 250m in length and sub-parallel to the initial zone of primary basement gold mineralization below the oxide blanket. Whilst we currently have no idea how large the primary gold deposit is at PDM, these results confirm the presence of a second primary zone of gold mineralization in basement granitic rocks underlying the oxide blanket at PDM. Both the gold-in-oxide blanket and the two zones in the primary basement rocks are open to the north and may extend under an area of historic artisanal workings."

PDM RC-Drill Results

The PDM (Pau de Merenda) target is located 2.5km northwest of the Central gold deposit at Cuiú Cuiú (Figure 1) within a prominent northwest-trending gold-in-soil anomaly, which has been traced for more than 5km along strike. Within this anomaly lie the Central gold deposit, Central SE target, Central North target, PDM target and Mutum target.

Figure 1: Map showing the location of the Central and MG gold deposits, the PDM (Pau de Merenda) and Machichie gold targets, and other key gold targets (yellow circles) within the central portion of the Cuiú Cuiú district

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/3900/134214_3a70526a8402bb7c_002full.jpg

The gold-in-oxide blanket at PDM was initially identified in August 2021 (see press release dated August 10, 2021), and a program of diamond drilling, initiated in late 2021, subsequently identified an underlying zone of primary gold mineralization in the unweathered granitic basement rocks similar to that at MG and Central.

Results from the initial diamond-drill holes in granitic basement rocks below the gold-in-oxide blanket at PDM included: 22.4m @ 4.8 g/t, including: 1.35m @ 62.0 g/t gold in DDH238: and 11.9m @ 3.3 g/t gold, including 0.5m @ 16.1 g/t gold, and 1.2m @ 16.0 g/t gold in DDH239; and 18.0m @ 2.5 g/t gold from 92.0m, including 3.0m @ 10.5 g/t gold, in DDH275. (see press releases dated December 15, 2021, January 12, 2022 and April 28, 2022). These diamond-drill results defined an initial zone of primary gold mineralization trending northwest in the granitic rocks underlying the PDM oxide blanket.

The current RC drilling program at PDM was designed to further define the limits to the high-grade core within the overlying gold-in-oxide blanket, and has confirmed the presence of a high-grade core area.

RC0327 returned 15m @ 1.5 g/t gold, including 1m @ 19.1 g/t gold, from 40m depth in oxidized and weathered material. This hole is located approximately 250m northwest of RC0310 which previously returned 13.0m @ 4.6 g/t gold from 25.0m in oxide material, including 1.0m @ 49.2 g/t gold from 34.0m (Figure 2). Similarly hole RC0333 returned 32m @ 0.5 g/t gold and is located between RC0310 and RC0327. These holes lend further support to the existing evidence suggesting the presence of a larger high-grade core to the blanket and a possible additional mineralized structure in the underlying granitic rocks which may be parallel to the main mineralized zone. Diamond drilling of the basement mineralization, which has been undertaken to date at PDM, has not tested this far north.

RC0327 is also located just 40m south of extensive historic artisanal placer gold workings. These are approximately 200m wide and are reported to have been very rich at this location, suggesting the primary mineralization, and possibly the oxide blanket, could extend beneath the historic workings to the north.

RC0324 was drilled on the northwest end of the PDM oxide blanket and approximately 200m northwest of the most northerly diamond-drill intercept (DDH275 returned 18m @ 2.5 g/t gold) that has tested the initial primary basement discovery. The higher grades from hole RC324, (11.0m @ 3.1 g/t gold from surface in oxidized and weathered material, including 3.0m @ 10.5 g/t gold) suggest that the initial primary zone could extend at 200m, or more, further to the northwest than indicated thus far from current diamond drilling. Whilst this requires confirmation through additional diamond drilling, current drill results suggest that the initial primary zone at PDM could be over 400m in strike length and remains open to the southeast and the northwest.

Other significant drill results which further define the higher-grade core to the gold-in-oxide blanket at PDM (Figure 2, Table 1) include;

• RC0329: 21.0m @ 0.5 g/t gold from surface
• RC0317: 14.0m @ 0.7 g/t gold from surface
• RC0322: 9.0m @ 0.6 g/t gold from surface
• RC0320: 11.0m @ 0.4 g/t gold from surface

Figure 2: Map showing the PDM target. The results of the recently completed RC holes (RC0316 to RC0336) are shown together with the outline of the higher-grade core to the gold-in-oxide blanket and the interpreted extent of the primary mineralization in the underlying granitic rocks (pale yellow). Note that the results from holes RC324 and RC0327 suggest the primary mineralized zones are open to the north and extend under the historic placer workings immediately to the north

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Table 1 showing the assay results from RC holes RC315 to RC336. Oxide mineralization is denoted with grey highlights.

Drilling and Trenching Update

Results are pending on 12 diamond-drill holes at MG.

Results are pending on 14 diamond-drill holes at Machichie.

Results are pending on six diamond-drill holes at the Indio target and additional drilling is planned.

The preparation of an updated resource estimate for the Cuiú Cuiú project is in progress. The NI 43-101 estimate is being carried out by SLR Consulting (Canada) Ltd. and is expected to be completed during August.

About Cabral Gold Inc.

The Company is a junior resource company engaged in the identification, exploration and development of mineral properties, with a primary focus on gold properties located in Brazil. The Company has a 100% interest in the Cuiú Cuiú gold district located in the Tapajós Region, within the state of Pará in northern Brazil. Two gold deposits have so far been defined at Cuiú Cuiú and contain 43-101 compliant Indicated resources of 5.9Mt @ 0.90 g/t (200,000 oz) and Inferred resources of 19.5Mt @ 1.24 g/t (800,000 oz).

The Tapajós Gold Province is the site of the largest gold rush in Brazil's history producing an estimated 30 to 50 million ounces of placer gold between 1978 and 1995. Cuiú Cuiú was the largest area of placer workings in the Tapajós and produced an estimated 2Moz of placer gold historically.

FOR FURTHER INFORMATION PLEASE CONTACT:

"Alan Carter"

President and Chief Executive Officer
Cabral Gold Inc.

Tel: 604.676.5660

Guillermo Hughes, MAusIMM and FAIG., a consultant to the Company as well as a Qualified Person as defined by National Instrument 43-101, supervised the preparation of the technical information in this news release.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as such 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 contains certain forward-looking information and forward-looking statements within the meaning of applicable securities legislation (collectively "forward-looking statements"). The use of the words "will", "expected" and similar expressions are intended to identify forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Such forward-looking statements should not be unduly relied upon. This news release contains forward-looking statements and assumptions pertaining to the following: strategic plans and future operations, and results of exploration. Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors. The Company believes the expectations reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct.

Notes

Gold analysis has been conducted by SGS method FAA505 (fire assay of 50g charge), with higher grade samples checked by FAA525. Analytical quality is monitored by certified references and blanks. Until dispatch, samples are stored under the supervision the Company's exploration office. The samples are couriered to the assay laboratory using a commercial contractor. Pulps are returned to the Company and archived. Drill holes results are quoted as down-hole length weighted intersections.

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