Mr. Darren Koningen reports

MINERA ALAMOS 2024 OUTLOOK AND 2023 YEAR END FINANCIALS

Minera Alamos Inc. has provided selected financial and operational highlights from its 2023 annual financial statements and MD&A (management's discussion and analysis) filed on SEDAR+ on April 29, 2024.

"As was outlined early in 2023, production at Santana was slowed temporarily while the company awaited some permit modifications to expand operations in an efficient manner. While production was reduced, site preparation work, including the conclusion of prestripping activities, in advance of a transition to the Nicho Main deposit. An updated development plan for the project, which was completed late in 2023, has now been initiated and includes increased mining and stacking activities in 2024/2025, as was outlined in February this year. Decisions made through the temporary reduction in operations allowed the company to maintain a strong overall financial position that can support activities planned for this year," stated Darren Koningen, chief executive officer of Minera Alamos. "Going forward, the operations team aims to return the site to a more normal operations plan, and continue site evaluations aimed at future growth and development for the project. Notwithstanding the primary focus of Minera on its core gold production and development assets, we are also very excited at the prospect of establishing a new copper-focused corporate entity now that we have concluded the recent acquisition of the Suaqui Verde copper project. We see Suaqui Verde as having the potential for a low capex [capital expenditure] development profile, which complements our existing Los Verdes copper-molybdenum deposit and provides sufficient scope for us to consider the development of an independent copper development company. Such a structure provides our existing shareholders with equity exposure in a new copper-focused company at a time when such advanced copper assets are increasingly difficult to find."

Two thousand twenty-four operational outlook:

• At Santana, the company has completed plans to optimize the use of existing installed leach pad capacity to boost production on a go-forward basis. As outlined in a Feb. 22 news release, these plans involve mining and stacking of approximately 25,000 ounces (oz) of gold over a 12-month period that will commence in May, 2024, and should see a significant improvement in gold production, relative to 2023 levels, beginning in Q3 and extending through to into 2025, before an expected normalizing of operations at Santana thereafter.
• Following the conclusion of planning with the company's existing mine contractor, its operating fleet and infrastructure has been updated (mining and crushing) to suit the current mine plans for the Nicho Main pit. Blasthole drilling is under way, with mining operations to follow.
• The Cerro de Oro project permitting process continues, with the company supporting its permit consultants with any follow-up requests from the permit authorities.
• Engineering work continues to progress for Cerro de Oro in order to advance predevelopment activities to coincide with the ultimate receipt of permits and a construction decision for the project. Included in 2024 will be further metallurgical optimization studies, detailed engineering design, and additional exploration drilling aimed at filling in and potentially expanding the areas of know mineralization (as outlined in Cerro de Oro's preliminary economic assessment (PEA) report dated Oct. 3, 2022).
• The recent acquisition of the Suaqui Verde copper project will allow the company to start a series of internal engineering studies aimed at the best path(s) for the development of a regional copper developer/producer focused on low-capital-intensity copper projects. The combination of Los Verdes, Poteritos and Suaqui Verde allows for further consolidation of similar-type assets that could form a regional copper production hub in the area where the company already maintains a significant presence.
• The company continues to advance discussions regarding additional project opportunities that would complement its existing gold production portfolio. Particular emphasis remains on late-stage development projects where the company's experienced technical team can find creative opportunities to fast track a path to production and reduce overall capex requirements.

Operational highlights (2023):

• At Santana, as the year commenced, priority was given to waste removal ahead of a transition to mining activities at the Nicho Main zone. Mining was limited to the completion of the Nicho Norte starter pit in anticipation of the opening up of the Nicho Main pit (see news releases dated Feb. 22, 2024, and April 16, 2024).
• Total gold sold in 2023 was 5,041 ounces from the Santana project, with inventory on the leach pad of an additional 5,944 ounces as at Dec. 31, 2023.
• In Q1 2023, the company announced a program aimed to extract value from its existing copper assets, Los Verdes/Potreritos, which had been the subject of significant activity prior to the acquisition of La Fortuna and the construction of the Santana gold project. As part of these efforts, the company embarked on a number of project reviews of assets, which could be complementary to the development of the Los Verdes/Potreritos deposits. This concluded with the acquisition of the Suaqui Verde copper project (see notes in the above section).
• Final documentation was submitted to the relevant government agencies to formally proceed with the Cerro de Oro permitting process.
• In August, an additional $800,000 (U.S.) property option payment was made toward full ownership of the Cerro de Oro gold project. The final remaining payment of $1-million (U.S.) is due in August, 2024, and the Cerro de Oro project earn-in will have been completed.
• The company released its maiden resource estimate for the Santana project, a first iteration of the project's ultimate gold potential and an important step in highlighting the main Nicho zone resources that are scheduled to be developed in 2024. Total measured and indicated resources were 9.61 million tonnes (Mt) grading 0.65 g/t gold for a contained 198,000 oz. In addition, inferred resources were 5.51 Mt grading 0.58 g/t gold for an additional contained 103,000 oz. This initial resource is sufficient to support the coming years of mine operations at Santana.
• In October, a $25-million (U.S.) financing package was completed with Auramet International Inc. and Auramet Capital Partners LP, for the construction of the planned Cerro de Oro gold mine, comprising a $15-million (U.S.) loan and a $10-million (U.S.) royalty (2.75 per cent with the ability to buy back 2 per cent). The company completed an initial drawdown of $5-million (U.S.) under the loan facility to be used for detailed engineering, exploration purposes, property holding costs and deposits on long-lead-time items for the Cerro de Oro project.
• In December, operational planning was updated to reconfigure the existing pad capacity at the Santana mine to allow for an improvement in operational performance in 2024/2025, while final project permit amendments were concluded.

Selected financial data:

• The following selected financial data are summarized from the company's audited financial statements and related notes thereto for the year ended Dec. 31, 2023, and the management's discussion and analysis for the year ended Dec. 31, 2023. A copy of the financial statements and MD&A is available on SEDAR+.
• Operationally, revenues (not factoring deferred revenue) totalled $13,419,899, with cost of goods sold and depletion amounting to $12,930,025 for gross mine profit of $489,874. Unit costs for the year ended significantly higher than previous periods, due to the fixed costs of operations being spread over fewer ounces, but remained modestly positive.
• Net loss of $2,855,552 for the year, or 0.6 cent per share, compared with a net profit of $5,609,393 in 2022. The net loss was largely attributed to the temporary reduction in gold production in 2023, as well as the option payment for Cerro de Oro and an increase in professional fees which were higher due to the engagement of permitting consultants. In addition, the company incurred more evaluation expense in 2023 reviewing potential opportunities.
• Cash and cash equivalents of $13,754,272 compared with $13,153,828 as at Dec. 31, 2022. Subsequent to Dec. 31, 2023, year-end, the company received an additional 28,138,000 Mexican pesos ($2,239,000) of sales tax (IVA) from the government of Mexico.
• Working capital as of Dec. 31, 2023, stood at $19,968,100 compared with $18,284,236 as at Dec. 31, 2022.

Cautionary statement

The company made its production decision at the Santana gold mine without having completed a feasibility study demonstrating economic and technical viability. As such, there may be increased uncertainty of achieving planned production levels, estimated recovery of gold and the costs associated with such recovery, including increased risks associated with developing a commercially minable deposit. Historically, such projects have a much higher risk of economic and technical failure.

Mr. Koningen, PEng, Minera Alamos's chief executive officer, is the qualified person responsible for the technical content of this press release under National Instrument 43-101.

About Minera Alamos Inc.

Minera Alamos is a gold production and development company undergoing the operational start-up of its first gold mine that produced its first gold in October, 2021. The company has a portfolio of high-quality Mexican assets, including the 100-per-cent-owned Santana open-pit, heap-leach mine in Sonora that is currently going through its operational ramp-up. The 100-per-cent-owned Cerro de Oro oxide gold project in northern Zacatecas has considerable past drilling and metallurgical work completed and has entered the permitting process. The La Fortuna open-pit gold project in Durango (100 per cent owned) has a positive, robust preliminary economic assessment completed, and the main federal permits are in place. Minera Alamos is built around its operating team that together brought three open-pit heap-leach gold mines into successful production in Mexico over the last 13 years.

The company's strategy is to develop very-low-capex assets while expanding the projects' resources and continuing to pursue complementary strategic acquisitions.

We seek Safe Harbor.