Mr. Jamie Beck reports

FILO DRILLS 822M AT 1.02% CUEQ AND 1,226M AT 0.67% CUEQ

Filo Corp. has released assay results from two holes testing the Aurora and Filo zones at the Filo del Sol project in San Juan, Argentina. Highlights and detailed results are shown herein.

• Drill hole FSDH072 in the Aurora zone intersected 1,228 metres at 0.83 per cent CuEq (copper equivalent) from 484 m, including:
  • 822 m at 1.02 per cent CuEq from 650 m;
  • 330 m at 1.35 per cent CuEq from 998 m.
• Drill hole FSDH080 in the Filo zone intersected 1,226 m at 0.67 per cent CuEq from 122 m, including:
  • 936 m at 0.77 per cent CuEq from 122 m;
  • 94 m at 1.38 per cent CuEq from 122 m;
  • 388 m at 0.83 per cent CuEq from 494 m.

Commenting on the release, Jamie Beck, president and chief executive officer, stated: "The holes released here are over 1km apart and continue to demonstrate both the size of the Filo del Sol deposit and the tremendous amount of room we have left to explore. The closest hole to FSDH080 is 350 m away with lots of high-potential ground to drill in the area surrounding it." Mr. Beck continued, "Additionally, I'm pleased to announce the release of our inaugural sustainability summary report, summarizing our ongoing commitment to responsible exploration."

Mineralized zones within the mineralized zones at Filo del Sol are bulk porphyry-style zones and drilled widths are interpreted to be very close to true widths.

FSDH072 was collared 1,100 m north of hole FSDH080 on the west side of the Filo ridge on section 09400N and drilled toward the east at negative 68 degrees.

The hole intersected rhyolite country rocks to a depth of 518 m where it encountered the main mineralized breccia. The breccia continues to 1,253 m where the first of a series of porphyry sections is seen. This initial porphyry interval is comprised of an unusually high-grade porphyry phase with 1,253 m to 1,358 m returning a 105 m section of porphyry intrusive grading 1.11 per cent CuEq (0.71 per cent Cu, 0.52 grams per tonne Au, 2.2 g/t Ag). From 1,358 m to the end of the hole at 1,787.4 m the hole passes through the main breccia cut by a series of different porphyry phases with different grade characteristics, finally ending at 1,686 m.

FSDH080 was collared Section 08300N and drilled to the west at negative 70 degrees. It was drilled in the middle of a 700 m gap between hole FSDH063 to the south (532 m at 0.66 per cent CuEq (0.35 per cent Cu, 0.32 g/t Au, 9.0 g/t Ag)) and FSDH034 to the north (1,034 m at 0.68 per cent CuEq (0.42 per cent Cu, 0.32 g/t Au, 3.4 g/t Ag), successfully demonstrating continuity of mineralization across this area.

The hole intersected the current resource to a depth of 360 m, including a high-grade copper-gold oxide section from 122 m to 216 m which averaged 1.02 per cent Cu and included a 22 m section of 2.25 per cent Cu oxide from 126 m.

An unusually large section of microdiorite was intersected down to 740 m, interspersed with sections of breccia. From 740 m to 1,310 m the hole encountered various porphyry phases, again with remnant sections of breccia interspersed throughout. Granite country rock was finally cut from 1,310 m to the end of the hole at 1,347.5 m.

This is the only deep hole in this 700 m gap and significant additional drilling is required to fully understand the geology and grade distribution in this area of the deposit.

Sustainability summary

The company's inaugural sustainability summary report was published on June 19, 2023, and is now available on the company's website. The report outlines Filo's sustainability framework and commitments to guide the company moving forward, discloses Filo's baseline data and provides transparency to the company's stakeholders. The report also highlights the positive work and activities the company has already undertaken on the company's sustainability journey.

Outlook

Drilling is continuing with nine rigs active on the project, focusing on Aurora infill and the Aurora-Bonita gap. Assay results for completed holes will be released as they are received, analyzed and confirmed by the company. Three holes are under way in the Aurora-Bonita gap, five holes are working on Aurora and Filo infill, and one rig is completing the last of a series of geotechnical holes to examine a potential future underground exploration adit.

About Filo del Sol

Filo del Sol is a high-sulphidation epithermal copper-gold-silver deposit associated with one or more large porphyry copper-gold systems. Overlapping mineralizing events combined with weathering effects, including supergene enrichment, have created several different styles of mineralization, including structurally controlled and breccia-hosted gold, manto-style high-grade silver (plus/minus copper) and high-grade supergene-enriched copper within a broader envelope of disseminated, stockwork and breccia-hosted sulphide copper and gold mineralization. This complex geological history has created a heterogeneous orebody which is characterized by zones of very high-grade copper plus/minus gold plus/minus silver mineralization within a large envelope of more homogeneous, lower-grade mineralization.

Qualified persons and technical notes

The scientific and technical disclosure for the Filo del Sol project included in this news release has been reviewed and approved by Bob Carmichael, BASc, PEng, who is the qualified person as defined by National Instrument 43-101. Mr. Carmichael is vice-president, exploration, for the company. Samples were cut at Filo Mining's operations base near the town of Guanizuil, Argentina, by company personnel. Diamond drill core was sampled in two-metre intervals (except where shortened by geological contacts) using a rock saw for sulphide mineralization. Oxide mineralization was cut with a core splitter to prevent dissolution of water-soluble copper minerals during the wet sawing process. Core diameter is a mix of PQ, HQ and NQ depending on the depth of the drill hole. Reverse circulation samples were collected at the drill site by company personnel with splitting carried out at the company's field camp near the drill sites. Individual samples represent final splits from two-metre intervals down the hole. Samples were bagged, tagged and packaged for shipment by truck to the ALS preparation laboratory in Mendoza, Argentina, where they were crushed and a 500-gram split was pulverized to 85 per cent passing 200 mesh. The prepared samples were sent to the ALS assay laboratories in either Lima, Peru, or Santiago, Chile, for copper, gold and silver assays and multielement ICP and sequential copper analyses. ALS is an accredited laboratory which is independent of the company. Gold assays were by fire assay fusion with AAS finish on a 30-gram sample. Copper and silver were assayed by atomic absorption following a four-acid digestion. Samples were also analyzed for a suite of 36 elements with ICP-ES, and a sequential copper leach analysis was completed on each sample with copper greater than 500 parts per million (0.05 per cent). Copper and gold standards, as well as blanks and duplicates (field, preparation and analysis), were randomly inserted into the sampling sequence for quality control. On average, 9 per cent of the submitted samples are quality control samples. No data quality problems were indicated by the quality assurance/quality control program.

Mineralized zones within the Filo del Sol deposit are typically flat-lying, or bulk porphyry-style zones and drilled widths are interpreted to be very close to true widths.

About Filo Corp.

Filo is a Canadian exploration and development company focused on advancing its 100-per-cent-owned Filo del Sol copper-gold-silver deposit located in San Juan province, Argentina, and adjacent Region III, Chile. The company's shares are listed on the Toronto Stock Exchange and Nasdaq First North Growth Market under the trading symbol FIL, and on the OTCQX under the symbol FLMMF. Filo is a member of the Lundin Group of Companies.

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