Mr. Luis Tondo reports

JAGUAR MINING REPORTS COMMENCEMENT OF DIRECTIONAL DRILLING PROGRAM AT PILAR GOLD MINE, MINAS GERAIS, BRAZIL

The planned directional drilling program at Jaguar Mining Inc.'s Pilar gold mine began earlier this week. The 5,000 metres of specialized drilling will explore three mineralized zones below the current Pilar mine workings which now extend to a depth of 1,100 metres (1.1 kilometres).

Drilling to be conducted across three zones, identified at the BA zone, the LPA zone and the BF zone, will be completed in three phases. This program is part of the 227,200-metre, five-year exploration drilling program the company announced last month (see Jaguar Mining press release dated June 10, 2026), engaging both Geosol and Major Drilling companies, to focus on both green and brown field exploration. The Pilar drill program is expected to continue for the next 10 to 12 months.

"The objective of Pilar's directional drilling program is to significantly extend the mineral resource potential at depth, thereby extending the life-of-mine beyond the current eight years," commented chief executive officer Luis Albano Tondo. "The Pilar mine is the steady 'workhorse' of Jaguar's gold production, producing over 40,000 ounces in 2025 with similar production anticipated for 2026.

"Jaguar's overall strategic plan is defined as three pillars of growth. The first pillar focuses on maximizing the company's core assets and resources, meaning we want to utilize the operating mills which all have excess capacity. To that end, we have the second pillar that encompasses both green and brown field exploration, under which this drill program at the Pilar mine falls. The third pillar targets accretive acquisition opportunities," continued Mr. Tondo. "While each of these growth pillars is important, extending Pilar's mine life is one of the key components in achieving longer-term success of this strategy and allowing Jaguar to reach its ultimate goal of becoming a major gold producer in Brazil's Iron Quadrangle where we operate."

Grade increasing at depth in Pilar mine

Both current mining and conventional drilling at the Pilar mine have proven that both grade and mineralization widths have been increasing at depth. Recent drilling results (see Jaguar Mining press release dated June 15, 2026) successfully targeted the down-plunge extensions of the BA zone within the Pilar mine, demonstrating that high-grade mineralization remains robust and predictably continuous at depth. These results support a key component of the company's strategy to derisk and convert its current exploration targets into formal mineral resources.

"Currently, the geometry of the BA, LPA and BF orebodies at the Pilar mine exhibits an east-west (E-W) elongation trend. As a result, the tight folds observed in the upper levels progressively transition into more open fold geometries at depth, leading to an increase in the mineralized area. In addition, the mineralized horizons show a noticeable thickening associated with a reduction in structural constriction," explained Massacatto. "With respect to grade distribution, both mining exposures and drilling data indicate an overall increase in grade at depth when compared to the upper levels of the deposit. A direct consequence of this elongation is the geometry of additional mineralized lenses and a corresponding increase in grade variability. However, when both the mineralized area and grade are considered together, the ounces per vertical metre (oz/vm) ratio continues to increase, indicating gains in both mineralized mass and grade tenor at depth."

Directional drilling versus conventional drilling

While conventional drilling pushes straight down in a single vertical path, frequently requiring multiple drill rigs and a larger drill area footprint to access a large target, directional drilling intentionally steers the drill bit, allowing operators to curve, angle and branch multiple boreholes from a single surface location to precisely intercept complex ore bodies.

Cautionary disclosure

The company believes that the property has the potential for additional ounces below the extent of the current active underground workings. This is based on previous exploration on the property, including over 2,873 historic drill holes. The exploration target potential was derived by modelling the identified vein systems, and their surrounding halo mineralization, as evidenced by drill intercepts in the exploration target area, across vertical long sections of the mine area. There has been insufficient exploration to define a mineral resource with respect to the exploration target, and the company cautions that there is a risk further exploration will not result in the delineation of a mineral resource.

About the Iron Quadrangle (Quadrilatero Ferrifero)

The Pilar mine is located in the Iron Quadrangle (Quadrilatero Ferrifero), a world-class, prolific greenstone belt in the state of Minas Gerais, Brazil. This region is renowned for its significant iron and gold deposits, hosted within Archean and Paleoproterozoic sequences. Jaguar's strategic land package in this district continues to offer substantial exploration upside.

Qualified person

The scientific and technical information contained in this news release has been reviewed and approved by Armando Jose Massucatto, geologist, PhD, general manager of exploration for Jaguar Mining, and a qualified person as defined by National Instrument 43-101.

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 MTL complex (Turmalina mine and plant) and Caete complex (Pilar and Roca Grande mines, and Caete plant). The Roca Grande mine has been on temporary care and maintenance since April, 2019. The company also owns the Paciencia complex (Santa Isabel mine), which had been on care and maintenance since 2012 and is now undergoing development work to restart in 2026.

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