Mr. Brett Matich reports

MAX RESOURCE SECURES 12 NEW MINERAL TENURES AT ITS CESAR PROJECT AND BUYS BACK ROYALTY INTERESTS

Max Resource Corp. has secured 12 additional applications for mining concessions covering over 132 square kilometres. The company's wholly owned Cesar copper project in northeastern Colombia now spans over 120 kilometres (previously 90 kilometres) along strike in a north-northeast/south-southwest direction.

In addition, Max has acquired the underlying royalties associated with 19 mining concessions and 31 mining concession applications of the Cesar project.

"We continue to strategically increase our land position in the Cesar basin as a result of our field crew's successes in locating new copper and silver outcrops. The technical team continues to develop our geological and mineralization models as new geological and geophysical data is acquired," commented Brett Matich, chief executive officer of Max.

"Acquiring the underlying royalties on 19 of the 20 mining concessions and 31 applications significantly enhances the value of the Cesar project. In addition, the 12 new mining concession applications significantly expand the footprint by 15 per cent. Our 10,000-line-kilometre airborne magnetic and radiometric survey is nearing completion as the company continues to unlock the value of the Cesar basin," he concluded.

Max acquires underlying royalty

Max has executed a share exchange agreement pursuant to acquiring all the issued and outstanding shares of Bay Street Mineral Corp., an arm's-length Canadian corporation, in exchange for 14 million common shares in the capital of Max. In determining the purchase price for the royalty purchase, Max obtained an independent valuation report.

Bay Street holds an underlying 3-per-cent net smelter royalty to Dec. 31, 2021, over 19 mining concessions covering 184 square kilometres and 31 mining concession applications covering 796 square kilometres of the company's wholly owned Cesar copper-silver project.

The shares issued in exchange for the royalty purchase will be subject to escrow and be released over a 36-month period. The acquisition of the royalty remains subject to TSX Venture Exchange approval.

Background

The Cesar copper-silver project comprises three districts: AM, Conejo and URU. Collectively, the three contiguous districts stretch over 120 kilometres of strike in a north-northeast/south-southwest direction.

This region provides access to major infrastructure from oil and gas and mining operations, including Cerrejon, the largest coal mine in South America, held by global miner Glencore. Max's 20 mining concessions collectively span over 188 square kilometres.

In 2022, Max executed a two-year co-operation agreement with Endeavour Silver Corp., which assists to expand its wholly owned mineral tenures. Endeavour will hold an underlying 0.5-per-cent NSR as from March 18, 2022.

AM district

Starting in the far north of the Jurassic basin, classic stacked red bed outcrops with extensive lateral continuity have been rock sampled over many kilometres within the AM district. Highlight values of 34.4 per cent copper and 305 grams per tonne silver have been documented in the sedimentary red bed sequences.

The company confirmed that stratiform mineralization continues at depth with two scout drill holes completed earlier this year (Max news release dated April 4, 2023). In addition, Colombian field crews continue to discover and sample new mineralized outcrops including at the recently identified AM-7 target (Max news release dated May 25, 2023, and Max news release dated June 22, 2023).

Conejo district

Midway south, the Conejo district is the most recent to be recognized, and is characterized by structurally controlled mineralization hosted in intermediate and felsic volcanic rocks. Numerous mineralized outcrops have been discovered over 3.7 kilometres at the primary target in the district with surface samples averaging 4.9 per cent copper (2-per-cent cut-off). No drilling has been conducted at Conejo, but it has emerged as an area of focus for the company.

URU district

Mineralization within the URU district is hosted in intermediate volcanic rocks and is structurally controlled, similar to deposits in the Central African copper belt. At URU-C, a surface discovery of 9.0 metres of 7.0 per cent copper and 115 g/t silver was confirmed at depth by drill hole URU-12, which intersected 10.6 m of 3.4 per cent copper and 48 g/t silver. At the URU-CE target, 750 m to the east, 19.0 m of 1.3 per cent copper discovered in outcrop was confirmed by drill hole URU-9, which intersected a broad zone of copper oxide returning 33.0 m of 0.3 per cent copper from 4.0 m, including 16.5 m of 0.5 per cent copper (Max news release dated Jan. 24, 2023). (Note: All drill intersections are downhole widths, not true width, which remains unknown at this time).

Cesar target evaluation

Max has identified and is evaluating 22 targets along the Cesar 90-kilometre-long belt for potential drill testing. The company is focused on expanding, refining and prioritizing these targets in preparation for a drill program. Initial efforts have been concentrated on those targets with the greatest size potential with work that includes the following field activities:

• Systematic chip and channel sampling of the mineralized outcrops;
• Detailed geological and structural mapping of each showing;
• Target scale prospecting and soil sampling;
• Airborne magnetic/radiometric surveys.

Regional exploration

Max has demonstrated that the Cesar basin is fertile for copper-silver mineralization over a large area; however, only a fraction of the basin has been explored. As a result, Max has dedicated its geological teams to regional exploration with the goal of discovering additional copper-silver prospects over 1,000 square kilometres.

Qualified person

The company's disclosure of a technical or scientific nature in this news release was reviewed and approved by Tim Henneberry, PGeo (British Columbia), a member of the Max advisory board, who serves as a qualified person under the definition of National Instrument 43-101.

About Max Resource Corp.

Max (TSX Venture Exchange: MAX) is a mineral exploration company, advancing the newly discovered district-scale Cesar copper-silver project. The wholly owned Cesar project sits along the Colombian portion of the world's largest producing copper belt (Andean belt), with world-class infrastructure and the presence of global majors (Glencore and Chevron). In addition, Max controls the RT gold project (100-per-cent earn-in) in Peru, encompassing a bulk tonnage primary gold porphyry zone and, three kilometres to the northwest, a gold-bearing massive sulphide zone. Historic drilling in 2001 returned values ranging from 3.1 to 118.1 g/t gold over core lengths ranging from 2.2 to 36.0 m.

Max is pro-active, with the corporate goal of transitioning the Cesar basin toward the mining of copper, the key metal for Colombia's transition to clean energy. The safety of its people and the communities where it operates are most important. It conducts exploration in a manner which supports protection of ecosystems through responsible environmental stewardship.

We seek Safe Harbor.