Mr. Mark Brennan reports

CERRADO GOLD MAKES FINAL PAYMENT FOR THE ACQUISITION OF ITS MINERA DON NICOLAS GOLD MINE IN SANTA CRUZ, ARGENTINA

Cerrado Gold Inc. has paid the final $5-million (U.S.) instalment of the purchase price to the vendors of the Minera Don Nicolas (MDN) gold mine in Argentina (see news release dated March 17, 2020). In aggregate, the purchase price for the acquisition of MDN totalled $47-million (U.S.).

Mark Brennan, chairman and chief executive officer, commented: "We are very pleased to have satisfied the payment terms for the acquisition of MDN. MDN's growing production, along with record high gold prices, continues to support the deleveraging of Cerrado's balance sheet and building a healthy financial position. MDN's cash flow generation will enable Cerrado to pursue a rigorous exploration program to expand its resources. We are convinced that MDN continues to be at the early stages of its development cycle, and we are optimistic that MDN has the potential to rival the long-established operations on the Deseado massif."

Since closing the acquisition of MDN in April, 2020, Cerrado has significantly grown the production profile from approximately 22,000 ounces to 55,000 ounces per annum and has produced more than 200,000 cumulative GEOs (gold equivalent ounces) to year-end 2024 with all-in sustaining costs in line or below many of the larger operations in the Deseado massif. Las Calandrias, MDN's heap leach operation, continues to perform well and is anticipated to further support Cerrado's production base through the development of an underground operation at Paloma anticipated to begin production in Q3 2025. The company is currently preparing a robust exploration campaign for the balance of the year, targeting mine life extension from open-pit, underground and heap leach resource expansion.

Assuming the completion of the acquisition of Ascendant Resources Inc., which is anticipated to close on or about May 12, 2025, and is subject to certain closing conditions, the company's healthy financial position is expected to support development of the Lagoa Salgada project in Portugal, which anticipates a construction decision by the end of 2025.

Investor relations services and marketing agreement

The company has entered into an engagement with The Korelin Economics Report for strategic marketing and investor relations services to raise Cerrado's investor profile.

The KE Report will assist with investor awareness as a third party content creator through podcasts, management interviews and news amplification through its platform and YouTube channel as well as investor presentations. The KE Report engagement is for a term of six months, with the opportunity to extend based on a successful outcome, for a fee of $15,000 for the six-month term.

No bonus fees or stock options will be paid to any of the consultants. The KE Report is arm's length to the company.

About Cerrado Gold Inc.

Cerrado Gold 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. In Canada, Cerrado Gold 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 growing 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 massif.

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 SDGs (sustainable development goals).

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