Mr. Hector Gonzalez Ramirez reports

CANDELARIA ANNOUNCES COMPLETION OF DISPOSITION OF MINERA APOLO

Candelaria Mining Corp. has fully resolved the enforcement proceedings with Goldgroup Mining Inc. pursuant to the previously announced agreement to suspend enforcement proceedings, dated March 6, 2025, and entered into by the company, Goldgroup and Minera Apolo SA de CV, a wholly owned subsidiary of the company which holds the company's interests in the Pinos project. The enforcement proceedings were related to the default under the medium-term loan facility originally provided by Accendo Banco SA, Institucion de Banca Multiple, which was subsequently transferred to Goldgroup.

Under the terms of the agreement, Candelaria transferred all of the outstanding shares of Apolo to Goldgroup, resulting in a disposition of the company's interests in the Pinos project. The transaction constituted full and final satisfaction of the loan facility, and all claims against Candelaria related to the loan facility have been released. As additional consideration, Goldgroup issued 716,667 shares to the company and provided a cash payment of $89,000 (U.S.). Goldgroup will provide another cash payment of $89,000 (U.S.) to the company within six months after receiving the TSX Venture Exchange's final approval of the transaction, being no later than Jan. 7, 2026.

In connection with the completion of the transaction, the company's listing will be transferred to the NEX board of the TSX-V, and the company's common shares are expected to commence trading on NEX, effective July 9, 2025.

We seek Safe Harbor.