Mr. Vern Baker reports

JAGUAR MINING REPORTS FINANCIAL RESULTS FOR THE FIRST QUARTER 2023

Jaguar Mining Inc. has released financial results for the first quarter (Q1 2023) ended March 31, 2023. All figures are in United States dollars, unless otherwise expressed.

First quarter highlights:

• Revenue increased 17 per cent to $35.8-million compared with $30.6-million in the first quarter of 2022, due to an increase in ounces produced, which resulted in higher ounces sold of 19,008 ounces as compared with 16,507 ounces in the first quarter of 2022, combined with an increase in the average realized gold price of $1,886 per ounce compared with $1,855 per ounce in the first quarter of 2022.
• Gold production increased by 9 per cent to 18,156 ounces, compared with 16,663 ounces in the first quarter of 2022, reflecting an increase of 12 per cent in tonnes of ore processed, partially offset by 3-per-cent decrease in the average recovery rate.
• Operating costs totalled $20.6-million, an increase of 5 per cent compared with $19.6-million in the first quarter of 2022. The increase in operating costs were predominantly the result of the increase in ounces of gold produced compared with the first quarter of 2022.
• Cash operating costs decreased 9 per cent to $1,084 per ounce of gold sold compared with $1,188 per ounce of gold sold in the first quarter of 2022, due to the increase in ounces of gold sold, partially offset by 5-per-cent increase in operating costs.
• All-in sustaining costs decreased to $1,575 per ounce of gold sold, compared with $1,680 in the first quarter of 2022, due to the cash cost decrease as explained above, partially offset by higher sustaining capital expenditures resulting from a 41-per-cent increase in primary development in the quarter of 1,259 metres, compared with 895 metres in the first quarter of 2022.
• Net income for Q1 2023 increased to $2.5-million, compared with a net loss of $6-million in Q1 2022. Major variances included a $5.2-million increase in revenue, a $3.6-million reduction on foreign exchange loss, a $500,000 income tax expense reduction and a $200,000 reduction on other operating expenses, offset by $1-million increase in operating costs.
• Free cash flow in the first quarter of 2023 was $3.3-million and was based on operating cash flow plus asset retirement obligation expenditures less capital expenditures, compared with $2.7-million in the first quarter of 2022. Free cash flow was $176 per ounce of gold sold compared with $161 in the first quarter of 2022.

Cash position and working capital:

• As of March 31, 2023, the company had a cash and cash equivalents position of $25.8-million, compared with $25.2-million on Dec. 31, 2022.
• As of March 31, 2023, working capital was $20.7-million, compared with $19.5-million on Dec. 31, 2022, which includes $3-million in short-term loans from Brazilian banks.

Vern Baker, president and chief executive officer of Jaguar Mining, stated: "We are pleased to report our first quarter production results, which improved year-over-year, as did our financial performance. Both the Pilar and Turmalina mines produced more ounces this quarter compared with the first quarter of 2022. The increase in production at Pilar was the result of an improvement in head grade with the same tonnage. The increase in production at Turmalina was the result of a significant increase in tonnes (plus 25 per cent) while experiencing a lower grade cycle within the mine. We were also able to lower our all-in sustaining costs per ounce despite the additional tonnage and increased development work.

"During the quarter, development efforts increased at both mines. At Turmalina, we completed 1,780 metres of (an increase of 11 per cent) and, at Pilar, we completed 1,100 metres (an increase of 8 per cent). Development at our Faina project continued throughout the quarter with ongoing work on engineering and planning. We expect to access the Faina resource zone by the fourth quarter, and to see development within the resource towards the end of the year and for the full year in 2024.

"Although our first quarter was challenging, we are maintaining our production and cost guidance for the year."

About Jaguar Mining Inc.

Jaguar Mining is a Canadian-listed junior gold mining, development and exploration company operating in Brazil with three gold mining complexes, and a large land package with significant upside exploration potential from mineral claims. The company's principal operating assets are located in the Iron Quadrangle, a prolific greenstone belt in the state of Minas Gerais, and include the Turmalina gold mine complex and Caete mining complex (Pilar and Roca Grande mines, and Caete plant). The company also owns the Paciencia gold mine complex, which has been on care and maintenance since 2012. The Roca Grande mine has been on temporary care and maintenance since April, 2019.

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