Mr. Eric Caba reports

BEAR CREEK MINING ANNOUNCES Q4 2024 AND FULL YEAR MERCEDES MINE PRODUCTION RESULTS

Bear Creek Mining Corp. produced 7,937 ounces of gold and 55,803 ounces of silver from the Mercedes mine during the three months ended Dec. 31, 2024.

Eric Caba, president and chief executive officer of Bear Creek, stated: "Production from Mercedes decreased during Q4 2024 as we continued the transition from mining at San Martin, a bulk-minable deposit and the biggest contributor to production during 2024, into other areas of the Mercedes operation. This transition requires extensive development work, adaptations to new narrow-vein mining methods, and the deployment of rightsized equipment and specialized supplies, which have taken longer than expected to procure. Our ongoing efforts to improve efficiency, contain costs, apply operational discipline and reduce dilution, combined with completion of the transition to narrow-vein mining methods appropriate for future production from the Marianas deposit, are focused on benefitting Mercedes's performance in 2025."

Q4 2024 production

Production and development results for the quarter and year ended Dec. 31, 2024, are as follows.

The tonnage of ore mined and processed was impacted during Q4 2024 by delays experienced in obtaining certain equipment and supplies necessary to transition from the bulk-mining methods used at the San Martin deposit to narrow-vein mining methods required to effectively mine at the Marianas deposit and delays related to unplanned remediation of ground conditions. While as a result the final quarter of the year saw lower-than-anticipated gold and silver production, the company is working to resolve both of these underlying factors and improve production accordingly. The average Q4 2024 gold grade of processed ore was impacted by lower-than-expected grades of ore mined from the Diluvio and Lupita deposits. Development activity originally planned for earlier quarters occurred in the final quarter of the year, leading to the substantially higher development metres achieved in Q4 2024.

In summary, unforeseen delays related to the transition of mining methods and contractors during the quarter negatively impacted production results for Q4 2024. However, the majority of this shortfall is expected to be made up in the course of 2025 concurrent with anticipated reductions in dilution that stem from using experienced narrow-vein miners and rightsized equipment.

Bear Creek is planning an aggressive exploration program for 2025 to test high-quality, near-mine brownfield targets identified in late 2024 through a study that integrated new information obtained from reprocessing historic aeromagnetic survey data, with ground-based geochemistry, new geological field observations and a reinterpretation of structural controls on Mercedes mineralization. The 69,284-hectare Mercedes property is located at the convergence of discrete porphyry, epithermal and orogenic belts and represents a highly prospective environment that is largely unexplored outside of the Mercedes mine deposits. The company's 2025 exploration plans will be announced in an exploration update news release in the coming days.

Shipping alternatives

Bear Creek, through its Mercedes operating entity, currently ships ore from the Mercedes mine to refining facilities in the United States pursuant to a contract with Asahi Refining. The company has confirmed that alternative ore shipping arrangements to Asahi's facilities in Canada are available to it and will avail itself of these alternatives in the event precious metal shipments from Mexico to the United States become subject to punitive tariffs. Should this occur, the net effect of the change for the company would be a moderate increase in the transportation costs for the production from Mercedes.

National Instrument 43-101 disclosure

Unless otherwise indicated, scientific and technical information in this news release is based on work programs and initiatives conducted by or under the supervision of and/or has been reviewed and approved by Donald Mc Iver, a fellow of SEG (the Society of Economic Geologists) and a fellow of AusIMM (the Australasian Institute of Mining and Metallurgy), vice-president, exploration and geology, of Bear Creek Mining, who is a qualified person as defined in NI 43-101, Standards of Disclosure for Mineral Projects.

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