Mr. Jamie Beck reports

FILO DRILLS 1,298M AT 1.01% CUEQ AND 1,449M AT 0.61% CUEQ AT FILO DEL SOL

Filo Corp. has released assay results from holes FSDH093 and FSDH094 from the Filo del Sol project in San Juan, Argentina. Highlights and detailed results are shown herein:

• Drill hole FSDH093 intersected 1,449.2 metres at 0.61 per cent copper equivalent from 338.8 m, including:
  • 652.0 m at 0.81 per cent CuEq from 492.0 m;
  • 276.0 m at 0.95 per cent CuEq from 804.0 m;
  • 76.0 m at 0.84 per cent CuEq from 1,674.0 m;
  • The latter intersection is interpreted to be a continuation of the high-grade sheeted vein mineralization first intersected in FSDH086 and is located 130 m northeast and 300 m below that intersection;
• Drill hole FSDH094 intersected 1,298.0 m at 1.01 per cent CuEq from 192.0 m, including:
  • 52.0 m at 252.4 grams per tonne silver from 364.0 m in the silver zone;
  • 304.0 m at 1.30 per cent CuEq from 444.0 m.

Commenting on the release, Jamie Beck, president and chief executive officer, stated: "Holes 93 and 94 highlight the exceptional potential we have to grow the deposit. Collared over 500 m apart, these holes fill critical high-grade gaps in our interpretation, as well as extending Aurora to the northeast. The high-grade porphyry zone at depth in hole 93 is similar to, and over 300 m away from, the recent intersection in hole 86 defining a zone which continues to intrigue our geologists and to suggest that we may still be missing an important part of the system. With the onset of summer, we have moved the drills into frontier exploration areas while continuing to dedicate some metres to Aurora zone expansion. This mix of targets will allow us to systematically advance the project and evaluate the entire property. We finished 2023 having completed the largest exploration program at Filo to date, and I'm excited about our 2024 plans, which build on that success with our most ambitious program ever."

FSDH093 was collared on Section 9400N, 500 m east of FSDH086, and drilled to the west at minus 70 degrees. The hole intersected rhyolite country rock cut by a mafic sill to a depth of 619 m, where it entered the main mineralized breccia phase. The breccia is cut by a porphyry interval from 1,061 m to 1,270 m, and transitions again to porphyry at 1,594 m to the end of the hole at 1,886.6 m. The porphyry intervals are composed of different phases, which can be difficult to distinguish visually but typically show different vein densities and grade characteristics.

In particular, the section from 1,674 m to 1,750 m contains elevated grades compared with the adjacent porphyry intervals, contains distinct sheeted quartz plus or minus sulphide veins, and is correlated with a similar section in hole FSDH086 between 1,370 m and 1,414 m. This section in hole FSDH093 is actually composed of two intervals cut by a later, lower-grade porphyry phase, and can be broken down into 37.5 m at 1.08 per cent CuEq (0.79 per cent Cu, 0.36 g/t Au, 3.1 g/t Ag) and 12.0 m at 1.30 per cent CuEq (1.01 per cent copper, 0.36 g/t gold and 3.5 g/t silver). This high-grade porphyry phase is open in all directions and remains a compelling exploration target.

The hole was stopped in a low-grade porphyry phase at 1,886.6 m and is the deepest hole drilled to date at Filo del Sol.

FSDH094 was collared on Section 9100N and drilled to the west at minus 70 degrees. It intersected strongly leached rhyolite volcaniclastics to a depth of 295 m, where a complex sequence of phreatic and magmatic-hydrothermal breccias was encountered and continued to 474 m. This breccia contains abundant clasts of the mafic sill and includes the high-grade silver zone intersection from 364 m to 416 m. The main breccia phase continues from 474 m to 655 m, where it is cut by a porphyry intrusive to 960 m, with breccia then continuing to the end of the hole.

The hole ended in mineralization due to the capacity of the drill rig, with the last 20 m averaging 0.45 per cent CuEq (0.30 per cent Cu, 0.20 g/t Au and 0.7 g/t Ag).

Outlook

Drilling is continuing with nine rigs active on the project. Drill productivity is improving with the onset of summer supported by a number of initiatives directed at improving drill efficiency and productivity. December was the most productive month last year with 4,750 m drilled, leading to a total of 38,785 m of drilling in 2023.

Drill holes FSDH092, FSDH096 and FSDH099 were suspended at depths of 370 m, 262 m and 179 m, respectively, to take advantage of the summer season, and those drills have been moved to more distal frontier exploration areas. No significant assay results were encountered in any of the holes as they were ended above expected mineralized depths.

Drill holes FSDH097 (1,445 m), FSDH098 (1,364 m), FSDH100 (887 m), FSDH101 (1,380 m) and FSDH104 (1,447 m) are now complete with assays pending. Assay results for completed holes will be released as they are received, analyzed and confirmed by the company. Drill holes FSDH102 through FSDH111 are under way.

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 or 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 or minus gold plus or minus silver mineralization within a large envelope of more homogeneous, lower-grade mineralization.

Qualified person 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. 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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