Mr. Jamie Beck reports

FILO FILLS THE GAP BETWEEN AURORA AND BONITA - REPORTS 1,430M AT 0.55% CUEQ

Filo Corp. has released assay results from holes FSDH078 testing the Aurora zone, and FSDH087 testing the 1.3-kilometre gap between the Aurora and Bonita zones at the Filo del Sol project in San Juan, Argentina. Highlights and detailed results are shown herein.

• Drill hole FSDH078 was abandoned prior to reaching target depth and intersected:
  • 14 metres at 2.10 per cent copper equivalent from 334 metres;
  • 63 m at 1.59 per cent CuEq from 516 m;
  • The hole ended in strong mineralization at 579 m and is being reattempted as drill hole FSDH096;
• Drill hole FSDH087 intersected 1,430 m at 0.55 per cent CuEq from a depth of 42 m, including:
  • 1,180 m at 0.61 per cent CuEq from 292 m;
  • 16 m at 4.73 per cent CuEq from 350 m;
  • Collared 470 m northeast of FSDH061 and 800 m southwest of FSDH075.

Commenting on the release, Jamie Beck, president and chief executive officer, stated: "Hole 87 is an incredible result as it supports the idea of continuous mineralization across the 1.3-kilometre distance between the Aurora and Bonita zones. If holes 90 and 91, which are currently under way, continue to intersect these kinds of grades and widths, we will have discovered a continuously mineralized length of at least five kilometres from Tamberias in the south to Bonita in the north. Hole 78 is located the heart of the Aurora zone, and while the intense hydrothermal alteration in this area created some great mineralization, it also created very challenging drilling conditions. It is exciting that this hole encountered such strong mineralization relatively shallow in the hole and bodes well for extending the high-grade mineralization towards surface as we redrill at this location."

FSDH078 was collared on Section 9200N, 100 m west of FSDH041 and drilled to the west at minus 70 degrees. The hole intersected strongly altered and well-mineralized rock typical of this area of the deposit, including the final 63 m of the hole at 1.59 per cent CuEq. The hole was abandoned at 579 m, and hole FSDH096 is planned in the same location to test this important area.

FSDH087 was collared on Section 10300N, 470 m northeast of FSDH061 and 800 m southwest of FSDH075, and drilled toward the west at an angle of minus 70 degrees. Holes FSDH061 and FSDH075 are the closest holes to FSDH087. In addition to the disseminated and veinlet-hosted mineralization typical of most of the deposit drilled to date, hole 87 intersected several high-grade veins in the upper part of the hole. These veins comprise the narrower intersections between 190 m and 440 m in the attached table and are similar in style to both the Maranceles veins outcropping on surface two km to the northeast and to a high-grade vein intersected at the top of FSDH085 (eight m of 7.09 per cent CuEq -- see news release dated July 11, 2023).

These veins are a new style of mineralization at Filo and add a compelling new exploration target to the deposit. The style of veining is similar to NGEx's new Lunahuasi discovery located seven kilometres to the northeast and has similarities with the El Indio system located 150 kilometres to the south.

Outlook

Drilling is continuing with nine rigs active on the project, focusing on Aurora infill and the Aurora-Bonita gap. The drilling productivity this Austral winter has been remarkably better compared with last winter due to milder weather conditions and improvements in operational protocols. Holes FSDH088 and FSDH090 are complete to depths of 1,052 m and 1,619 m, respectively, with assays pending. Assay results for completed holes will be released as they are received, analyzed and confirmed by the company.

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'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 3, Chile. The company's shares are listed on the Toronto Stock Exchange and the 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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