The Sao Vicente deposit is a shear-hosted and structurally controlled lode gold deposit, hosted in the meta-arenites of the Fortuna Formation, the basal unit of the mid-Proterozoic Aguapei Group. Gold mineralization occurs for more than 1,000 metres in two parallel northwest trending zones along the flanks of an anticline (convex-upward fold). Free gold is common and is visible as fine to coarse grains up to 10 millimetres in diameter. Fine gold also occurs in sericite, sulphides and silicates.

From 1990 to 2005, exploration activities conducted at Sao Vicente included 288 diamond drill holes and two reverse circulation holes, totalling 43,156 metres and 318 metres, respectively. In 2005, 763 metres of underground openings were developed to allow mapping and sampling of a deeper portion of the ore body. Additional drilling in 2010 helped to define parallel shear zones adjacent to the Sao Vicente pit.

In 2010 and 2011, the Company drilled 13,315 metres of core in 94 holes and maintained the previous QA/QC protocol and continued the regular insertion of blanks, standards and duplicates into the sample stream. Analysis showed that standards behaved well throughout the campaign. Also, the Company used twin sample assays and pulp check assays to confirm the reliability of the assays. Twin samples are samples of half of the drill core that was quartered and sent for assay. Pulp check assays are an analysis of the fine mesh portion by two laboratories (SGS and ALS). The results showed acceptable correlation between them.