Mr. Vernon Baker reports

JAGUAR MINING REPORTS THIRD QUARTER 2023 PRODUCTION RESULTS

Jaguar Mining Inc. has released preliminary production results for the third quarter of 2023. Full financial results for the quarter will be reported and filed on SEDAR+ on or before Nov. 9, 2023. All figures are in United States dollars, unless otherwise expressed.

Third quarter operating highlights

After a challenging second quarter, the third quarter showed modest improvement in ounces produced (plus 3 per cent) as the company continued to focus on implementation of significant changes that are expected to improve its fourth quarter and future production. During the quarter, the company closed on the purchase of Iamgold's Brazilian assets, which includes the Pitangui project. Development at Faina reached the edge of the resource area. Changes in mining systems and cost structure were also initiated. Finally, the company brought on board an experienced chief financial officer. All of these steps are setting Jaguar up for improving performance well into the future:

• Consolidated gold production of 17,316 ounces was 19 per cent below the 21,161 ounces reported in the third quarter of 2022. Tonnes milled decreased to 208,000 tonnes compared with 216,000 in the third quarter of 2022.
• Pilar gold production of 8,787 ounces was 22 per cent below the 11,195 ounces reported in the third quarter of 2022.
• Turmalina gold production of 8,529 ounces was 14 per cent below the 9,966 ounces reported in the third quarter of 2022.
• Total development metres completed in the quarter were 2,967 metres, roughly in line with the 3,000 metres developed in the same period of 2022.
• Total definition, infill and exploration drilling in the quarter was 13,221 metres, a decrease of 33 per cent compared with 19,584 metres drilled in the same period of 2022, when a major infill drilling program was conducted on the Faina resource.
• The company ended the third quarter with a cash and equivalents position of $19.9-million.

Vern Baker, president and chief executive officer of Jaguar, stated: "Implementation of change at both of our mines was the main challenge in the third quarter and is expected to lead to further improvement in the fourth quarter. Production of 17,316 ounces was an increase of 565 ounces from a low in the second quarter.

"The Turmalina mine is adapting several new tools to improve grade and consistency of performance. Adapting to the current ore variability has included the implementation of increased geologic mapping, modifying diamond drill patterns, sampling of production drill holes, reduction of mining block heights and the utilization of in-hole cameras for identifying structural contacts. As a result of these steps, towards the end of the quarter, grade reconciliations were returning to levels considered to be within acceptable limits.

"At our Pilar mine, changes in dip and ore thickness within Panel 15 for much of 2023 limited the minable blocks and grade coming from our main production panel. To counter this change, the mine started the implementation of cut-and-fill mining method, which should increase the percentage utilization of the resource base in the panels below 15. The process of changing mining methods started during the quarter, and we should expect to see improvement with the start of production contributions from Panel 16 during the fourth quarter. Additional grade-control steps, similar to those taken at Turmalina, are also being implemented.

"Concurrently, both mines have been implementing steps to increase productivity, which should in turn lower operating costs. We expect to reduce both our all-in sustaining costs and our total expenditures in the fourth quarter.

"Development toward the Faina deposit continued and is expected to reach the better portions of the resource in the fourth quarter. Faina will begin augmenting ounce production with modest contributions from development expected in 2024. Work in 2024 will target establishing an internal ramp and infrastructure with multiple production levels to allow a smooth transition to full-scale mining in 2025.

"During the quarter, the company successfully completed the acquisition of Iamgold's Brazilian assets, which includes a 100-per-cent interest in the Pitangui project and remaining interest in the Acurui project. The transaction increases our resource base and furthers our corporate strategy to leverage extensive existing infrastructure to drive production growth through increased plant throughput. We expect to include the Pitangui resource in our MRMR [mineral reserves and mineral resources] update for the end of the year. This project and its contribution of ounces to our Turmalina property will provide continuing growth at Turmalina following the addition of mining at the Faina resource.

"We continue to have a strong financial position, with only $3-million in debt and a cash balance at quarter-end of $19.9-million.

"Going forward, adjustments to mining systems in our existing mines, additional new production from Faina, a clear view of the path to production at the Pitangui project, and several opportunities for contributions from other existing resources all are positioning us for sustainable production and increases in our levels of ounce production. It is both an exciting time and a difficult one as investing in growth reduces our cash balance at the same time as we work on getting our mines at consistent and stable levels. I would like to thank our team in Brazil for their continued efforts and commitment to making this company great. I would also like to thank our shareholders that have continued to support our advancement towards a very bright future. Finally, I am pleased to officially welcome our new chief financial officer, Alfred Colas, to the executive team. In his short time with us, Alfred has brought a wealth of experience and knowledge to help leverage our potential as we move this company forward."

Qualified person

Scientific and technical information contained in this press release has been reviewed and approved by Jonathan Victor Hill, BSc (honours) (economic geology -- UCT), FAUSIMM, vice-president of geology and exploration, who is an employee of Jaguar Mining and is a qualified person as defined by National Instrument 43-101 -- Standards of Disclosure for Mineral Projects (NI 43-101).

The Iron Quadrangle

The Iron Quadrangle has been an area of mineral exploration dating back to the 16th century. The discovery in 1699 to 1701 of gold contaminated with iron and platinum group metals in the southeastern corner of the Iron Quadrangle gave rise to the name of the town Ouro Preto (black gold). The Iron Quadrangle contains world-class multimillion-ounce gold deposits such as Morro Velho, Cuiaba and Sao Bento. Jaguar holds the third-largest gold land position in the Iron Quadrangle with over 50,000 hectares.

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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