For immediate release

17 August 2022

Serabi Gold plc
(“Serabi” or the “Company”)

Operational Update

Serabi Gold plc (AIM:SRB, TSX:SBI), the Brazilian-focused gold mining and development company, is pleased to provide an update from its operations in the Tapajos region of Para State, Northern Brazil.

Highlights

• Total production for the month of July of 2,703 ounces, including contribution of 241 ounces from the Coringa project.

• Serabi remains on course to meet its production guidance of 30,000 ounces for 2022.

• Coringa on-lode development extended to 494 metres with further excellent channel samples including:

  • 0.63 metres @ 108.34g/t Au (SRR-320-069 - development 320_V1N)

  • 0.33 metres @ 171.67g/t Au (SRR-320-073 - development 320_V3S)

  • 0.63 metres @ 93.80g/t Au (SRR-320-102 - development 320_V3S)

  • 0.94 metres @ 57.94g/t Au (SRR-320-103 - development 320_V3N)

  • 0.32 metres @ 179.00g/t Au (SRR-340-073 - development 340_V3S)

  • 0.25 metres @ 302.37g/t Au (SRR-320-109 - development 320_V3S)
    
    

Mike Hodgson CEO said

“The Palito Complex continues to deliver steady production with 2,462 ounces of gold produced during July, supplemented by an additional 241 ounces from Coringa, which were processed at the existing Palito plant. With the successful implementation, earlier this year, of measures to reduce dilution, we remain on course to meet our 2022 guidance of 30,000 ounces. Given the stabilised production levels, we intend to revert to reporting gold production on a quarterly basis going forward.

“Development at Coringa is also progressing extremely well with close to 500 metres of on-lode development completed and further excellent channel sample results. We continue to split blast, ensuring a high-grade product is extracted from the development and we will be preparing the mine for initial stoping over the coming months. This will enable us to increase our production rate and continue to minimise dilution.”

RESULTS

Production Update

The Palito Complex produced a total of 2,462 ounces during July, from the processing of 13,961 tonnes grading at 5.84 g/t gold. Total mined tonnage from the Palito Complex for the month was 15,620 tonnes at 6.05 g/t gold. The Coringa Project produced a total of 241 ounces during July, from the processing of 1,057 tonnes grading at 7.25 g/t gold. Total mined tonnage from the Coringa Project for the month was 1,492 tonnes at 8.41 g/t gold.

Coringa Mine Development 

Total on-lode development extended to 494 metres of the Serra orebody as illustrated in Figures 1 and 2 with split-blasting employed to minimize waste and ensure a high-grade product is extracted. Geological mapping and channel sampling is undertaken along this development with channel sample results from the V1 and V3 veins, assayed at Serabi’s in-house laboratory, set out in the table below.

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018.

The person who arranged for the release of this announcement on behalf of the Company was Clive Line, Director.

Enquiries:

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.

See www.serabigold.com for more information and follow us on twitter @Serabi_Gold

GLOSSARY OF TERMS

Assay Results
Assay results reported within this release include those provided by the Company's own on-site laboratory facilities at Palito and these will not have 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. Since mid-2019, over 10,000 exploration drill core samples have been assayed at both the Palito laboratory and certified external laboratory, in most cases the ALS laboratory in Belo Horizonte, Brazil. When comparing significant assays with grades exceeding 1 g/t gold, comparison between Palito versus external results record an average over-estimation by the Palito laboratory of 6.7% over this period. Based on the results of this work, the Company's management are satisfied that the Company's own facility shows sufficiently good correlation with independent laboratory facilities for exploration drill samples. 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

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 identified 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 reflect 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

• Operational update - Aug 2022 WEB vFINAL