An anonymous director reports

BELO SUN ANNOUNCES PRIVATE PLACEMENT FINANCING

Belo Sun Mining Corp. has arranged a non-brokered private placement financing at a price of 43 cents per Belo Sun common share for gross proceeds to the company of up to $30-million (U.S.) ($41,343,000). Closing of the offering remains subject to certain conditions, including the final approval of the Toronto Stock Exchange.

La Mancha Investments Sarl (a subsidiary of La Mancha Resource Fund SCSp), an existing shareholder of the company, has committed to participate in the private placement, subject to receipt of the required shareholder approvals, and, together with other existing shareholders, intends to provide a majority of the funding for the offering.

The company anticipates that, upon completion of the private placement, a new control person (as defined below), La Mancha, will be created, subject to obtaining requisite approval from the shareholders of the company and the Toronto Stock Exchange.

All common shares issued in connection with the private placement will be subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation in Canada. Closing is anticipated to occur on or about Feb. 24, 2026.

The use of proceeds will be for working capital and for other general corporate purposes, including existing commitments to local communities and stakeholders associated with the project. Other than in connection with common shares issued to La Mancha and other existing shareholders, the company may pay finder fees in accordance with the policies of the Toronto Stock Exchange.

Creation of new control person

The Toronto Stock Exchange requires shareholder approval where a transaction creates a shareholder that holds or controls 20 per cent or more of an issuer's shares. The company anticipates that La Mancha's participation in the private placement will create a new control person pursuant to the rules and policies of the Toronto Stock Exchange. To fulfill the requirements of the Toronto Stock Exchange, the company intends to seek approval of a majority of disinterested shareholders to approve the creation of the new control person at the special meeting.

Related party transaction

La Mancha's participation in the private placement constitutes a related party transaction within the meaning of Multilateral Instrument 61-101 -- Protection of Minority Security Holders in Special Transactions. The company relies on exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 on the basis that the fair market value of such participation is less than 25 per cent of Belo Sun's current market capitalization.

About Belo Sun Mining Corp.

Belo Sun is a Canadian-incorporated mining company focused on the development of the Volta Grande gold project in Para state, Brazil. Belo Sun trades on the Toronto Stock Exchange under the symbol BSX and on the OTCQX under the symbol BSXGF.

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