An anonymous director reports

BELO SUN MINING ANNOUNCES FEDERAL COURT RULING ON INCRA AGREEMENT

The Federal Court of Altamira has ruled on a case filed by the Federal Public Defender's Office (DPU) and the Public Defender's Office of the State of Para (DPE) in 2022 contesting the agreement made between Belo Sun Mining Corp. and the Brazilian National Institute of Colonization and Agrarian Reform (INCRA) in November, 2021 (INCRA agreement). The judge has declared the INCRA agreement null and void on procedural grounds. The ruling stated that INCRA had not completed an ordinance required to announce the measure taken by the government on the declassification of the area from agrarian reform. However, the judge rejected the DPU's request to annul the Volta Grande (PVG) environmental licensing process and as requested by the company excluded the DPE from the lawsuit. The company will be evaluating all legal options, including a potential appeal of the decision and continuing to work with INCRA.

Commenting on the Federal Court of Altamira ruling, Ayesha Hira, interim president and chief executive officer of Belo Sun, said: "We look forward to working with INCRA on the next steps following the ruling by the federal court in Altamira. We will also be evaluating all the legal options available to the company. We believe PVG is well positioned to bring benefits to the surrounding communities, local farmers, landholders and the municipality. We continue to work to benefit the region and all stakeholders as we look to advance PVG."

INCRA agreement

A small portion of INCRA designated land in the PVG vicinity overlaps the company's mining concessions and will be affected by the mining operations of PVG (impacted area). The company entered into the INCRA agreement on Nov. 26, 2021, under which INCRA was to provide the company access to the impacted area for mining activities. Further details on the INCRA agreement can be found in the company's management, discussion and analysis filed on Nov. 6, 2024.

About Belo Sun Mining Corp.

Belo Sun Mining is a mineral exploration and development company with gold-focused properties in Brazil. Belo Sun's primary focus is advancing and expanding its 100-per-cent-owned Volta Grande gold project in Para state, Brazil. Belo Sun trades on the Toronto Stock Exchange under the symbol BSX and on the OTCQB under the symbol BSXGF.

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