Mr. Mark Brennan reports

CERRADO INTERCEPTS BONANZA GOLD GRADES OF 122.2 G/T AU OVER 12 METERS AT ITS MINERA DON NICOLAS PROJECT

Cerrado Gold Inc. has received the highest-grade intercept ever reported at its Minera Don Nicolas operation in Santa Cruz, Argentina (MDN). Reverse circulation hole PA-RC23-123 intercepted outstanding results from 109 metres of 12 metres (apparent width) at 122.2 grams per tonne gold, including three m at 429.1 g/t from 109 m. This intercept ranks within the best metal content in MDN's all-time exploration drilling results. Additionally, three other relevant intercepts at 126 m (two m at 2.9 g/t Au), 132 m (one m at 2.4 g/t Au) and 142 m (two m at 4.2 g/t Au) are interpreted as high-grade cores along parallel structures.

Hole PA-RC23-123 was collared approximately 150 m to the west of MDN's operating high-grade Chulengo pit. The hole was collared to target the extension of Chulengo's first-order controlling structure. This west/southwest trend can be traced on surface following intense hydrothermal alteration along a strike length of over 650 m. The Chulengo high-grade pit is located on the eastern edge of the trend, and the Baritina high-grade pit sits 200 m north of the western edge of the trend. The company is immediately following up with additional holes in the area.

Mark Brennan, chief executive officer and chairman, commented: "Exceptional results like this validate the team's view that MDN is still in the discovery stage, and like other projects in the Deseado massif, we see substantial potential to grow resources at depth and unlock additional high-grade ounces as exploration continues. We are also pleased with the ongoing development of the various projects at MDN as this supports our longer-term goal of unlocking the full potential at MDN."

The outstanding results from hole PA-RC23-123 are detailed in the attached table metre by metre from 109 m, where the hole intercepted the mineralized zone. Following the Chulengo empirical model, besides the steep dipping structures, this area is permissive also to host subhorizontal shoots.

From 109 m to 144 m, hole PA-RC23-123 intersected pervasive silicification on a rhyodacitic ignimbrite flow. The alteration/mineralization assemblage includes dickite, abundant sulphides and possible presence of gold telluride (aligned with ICP analysis). All these three mineralogical/geochemical features are diagnostic of the high-grade mineralization in Chulengo, providing additional confidence in this new discovery zone. Cerrado has mobilized a diamond rig to the target and will follow up aggressively to test shallower expression of this intersection, understand the geometry and outline the continuity of the newly discovered zone.

Additionally, the company is pleased to provide an update on progress of its development projects and the MDN Minera Don Nicolas operation in Santa Cruz, Argentina.

The company has contracted a Chilean company, B Mining Ltda, to complete studies and engineering designs for three additional development opportunities, namely:

• Calandrias Norte open pit and the Calandrias Norte underground project, located adjacent to the company's operating heap leach operation in the north of the MDN property;
• Reviewing the Paloma Sur underground potential, representing the continuation at depth of the high-grade Paloma open-pit deposit.

The Argentine team has completed and submitted the necessary documents for an environmental impact assessment for the Paloma Sur underground project. The final approval is expected to be awarded within the coming months.

At the nearby Calandrias Norte deposit, waste stripping is accelerating, opening up a new source of high-grade ore to feed the carbon-in-leach plant. Stripping is expected to be completed toward the end of October.

Exploration work to upgrade and expand the underground mineral inventory is under way at both Paloma Sur and Calandrias Norte, and preliminary results are encouraging. Contractors have been invited to tender development proposals, and, most likely, the company will outsource all underground activities.

At the new Calandrias heap leach project, mining and ore placement on the heap leach pad continue to ramp up to full capacity. To date, over 280,000 tonnes of ore have been placed on the pad, and irrigation capacity continues to expand as the pad is developed. This is expected to result in a steady ramp-up of gold production over the coming months. Despite some early operating challenges due to weather, the heap leach is currently producing at a rate of 25 ounces per day and is expected to ramp up to 100 ounces per day by October.

Quality assurance and quality control

Analytical work was carried out by Alex Stewart International Argentina S.A. Labs (ASI). The facilities of the prep lab and assay lab are in San Julian, 184 kilometres from the MDN mine operations. MDN sends out routinely samples to check at ALS international labs (ALS) with the prep lab located in Mendoza and assay labs in Lima, Peru, and Vancouver, Canada. In the main laboratory ASI (Mendoza), the samples are systematically analyzed for gold (parts per million) and silver (ppm) by fire assay, (Au4-50 plus AgICP-AR-39) and regarding the overlimits, with fire assay results greater than 10 ppm gold, a second assay is applied, including gravimetric finishing (FA50GRAV), and with respect to silver, analyses greater than 200 ppm are carried out by AgFA50GRAV.

ASI has routine quality control procedures which ensure that every batch of samples includes three sample repeats, two commercial standards and blanks. Cerrado used standard QA/QC procedures, when inserting reference standards and blanks, for the drilling program. The reference material used are from CDN Resource Laboratories Ltd. The batches followed MDN internal protocols.

Review of technical information

The scientific and technical information in this press release has been reviewed and approved by Sergio Gelcich, PGeo, vice-president, exploration, for Cerrado, who is a qualified person as defined in National Instrument 43-101.

About Cerrado Gold Inc.

Cerrado is a Toronto-based gold production, development and exploration company focused on gold projects in South America. The company is the 100-per-cent owner of both the producing Minera Don Nicolas and Las Calandrias mine in Santa Cruz province, Argentina, and the highly prospective Monte Do Carmo development project, located in Tocantins state, Brazil. In Canada, Cerrado is developing its 100-per-cent-owned Mont Sorcier iron ore and vanadium project located outside of Chibougamou, Que.

In Argentina, Cerrado is maximizing asset value at its Minera Don Nicolas operation through continued operational optimization and is increasing production through its operations at the Las Calandrias heap leach project. An extensive campaign of exploration is continuing to further unlock potential resources in its highly prospective land package in the heart of the Deseado masiff.

In Brazil, Cerrado is rapidly advancing the Serra Alta deposit at its Monte Do Carmo project through feasibility and into production. Serra Alta is expected to be a high-margin and high-return project with significant exploration potential on an extensive and highly prospective 82,542-hectare land package.

In Canada, Cerrado holds a 100-per-cent interest in the Mont Sorcier iron ore and vanadium project, which has the potential to produce a premium iron ore concentrate over a long mine life at low operating costs and low capital intensity. Furthermore, its high-grade and high-purity product facilitates the migration of steel producers from blast furnaces to electric arc furnaces contributing to the decarbonization of the industry and the achievement of SDG goals.

We seek Safe Harbor.