The 40-year-old Hero Motorsports rider, taking part in his 13th Dakar Rally since making his debut in 2006, suffered fatal injuries after a fall 276km into Sunday's special stage from Riyadh to Wadi Al Dawasir.
"The organisers received an alert at 10:08 and dispatched a medical helicopter that reached the biker at 10:16 and found him unconscious after going into cardiac arrest," organisers said in a statement https://www.dakar.com/en/news/2020/portuguese-rider-paulo-goncalves-passed-away-1/165577.
"Following resuscitation efforts in situ, the competitor was taken by helicopter to Layla Hospital, where he was sadly pronounced dead.
"The entire Dakar caravan would like to extend its sincere condolences to his friends and family."
Goncalves finished in the top 10 at the Dakar Rally four times and was runner-up to Marc Coma in 2015. He was 46th overall after the sixth stage on Friday. (Reporting by Shrivathsa Sridhar in Bengaluru, editing by Ed Osmond)