Cabral Gold (TSXV:CBR) - 'Undervalued?' Investment Series, with Alan Carter

Apr 1, 2026

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Interview with Alan Carter, President & CEO of Cabral Gold

Our previous interview: https://www.cruxinvestor.com/posts/cabral-gold-tsxvcbr-87-gt-gold-over-95m-mining-permit-granted-9596

Recording date: 26th March 2026

Cabral Gold is approaching one of the most consequential transitions in a junior mining company's lifecycle: the move from developer to producer. With its Phase One oxide heap leach project at Cuiú Cuiú in northern Brazil now 60% complete, on budget, and on schedule for commercial gold production in Q4 2026, the company is within striking distance of generating meaningful cash flow from one of the lowest-cost gold mining methods available.

The Phase One project was prefeasibility-studied at a gold price of $2,500 per ounce. Gold is currently trading around $4,500 per ounce. That gap matters enormously to the investment case. The company expects to produce approximately 25,000 ounces in its first 12 months at an all-in sustaining cost of $1,200–$1,300 per ounce, generating an estimated $60–$65 million in annual cash flow. Against a current market capitalisation of approximately $200 million, Cabral is trading at roughly 3x anticipated cash flow, well below the 7x multiple at which junior gold producers are typically valued once in production. The implied re-rating potential on Phase One alone is substantial.

The permitting picture has also improved materially. Cabral recently received its Licença Prévia (LP) for a full mining license . This removes the 1,500 tonnes per day ceiling imposed by trial mining licenses, clears the path to operating at the full Phase One design capacity of 3,000 tonnes per day, and provides regulatory line-of-sight for the larger Phase Two hard rock operation that sits behind it.

Beyond Phase One, the exploration upside at Cuiú Cuiú is significant and largely unpriced. The district's soil anomaly spans 7 kilometres and remains open, seven times the size of the equivalent anomaly at the adjacent of the third-largest gold mine in Brazil which produced just under 180,000 ounces in 2025. Cuiú Cuiú's historical placer gold production of approximately 2 million ounces dwarfs Tocantinzinho's 200,000-ounce placer endowment, providing a geological proxy for the scale of the hard rock system below. The global resource last updated in September 2022 at 1.2 million ounces has not captured 35,000 metres of subsequent drilling or four new discoveries, including the Jerimum Cima intercept of 9.5 metres at 87.4 g/t gold which is the best result in the project's history.

A $20 million bought deal financing has been announced to fund an accelerated exploration program. CEO Alan Carter, who has invested $2 million of his own capital in the company, is direct about the strategic logic: getting more rigs on site now, ahead of Phase One cash flow, allows the company to grow its resource base and advance the Phase Two economic case faster than a more conservative approach would allow.

For investors focused on the junior gold development sector, Cabral presents a defined production timeline, a widening cash flow margin driven by gold prices, significant resource growth optionality, and a management team with a track record of discovering and building mines in the same district. The re-rating catalysts are multiple, sequential, and near-term.

View Cabral Gold's company profile: https://www.cruxinvestor.com/companies/cabral-gold