Mr. Darren Hazelwood reports

MANTARO PRECIOUS METALS CORP. ANNOUNCES MAIDEN MINERAL RESOURCE ESTIMATE AT GOLDEN HILL PROPERTY

Mantaro Precious Metals Corp. has released a mineral resource estimate for its Golden Hill property, Bolivia. The mineral resource estimate was prepared by P&E Mining Consultants Inc. on behalf of the company.

Highlights:

• Inferred mineral resource estimate of 857,000 tonnes at 4.4 grams per tonne gold for 121,000 ounces of gold at a 1.5 g/t gold cut-off;
• Estimate is based on 14 diamond drill holes totalling 2,405 metres equivalent to an inferred mineral resource of 50.21 ounces of gold for every metre drilled;
• Mineral resource estimate covers a strike length of only 400 m from surface to a vertical depth generally less than 90 m -- a small portion of the exploration footprint of Golden Hill;
• Significant exploration potential at depth and across over six kilometres of untested vein swarms at Golden Hill;
• As a permitted mining concession, the company has mining and development optionality and is planning to commence a preliminary economic assessment.

Darren Hazelwood, chief executive officer of the company, states: "We are incredibly pleased to have defined a maiden high-grade gold mineral resource estimate at Golden Hill. Since optioning Golden Hill in August, 2021, our technical team completed a very successful diamond drill program, received excellent recovery results from metallurgical test work and carried out a petrographic study confirming high-grade primary gold deposition that is not a result of supergene enrichment. The mineral resource estimate is open in all directions and represents an important first benchmark that allows Mantaro shareholders and other stakeholders to realize the current production potential and exceptional exploration upside of Golden Hill."

Maiden mineral resource estimate

Gold mineralization at Golden Hill is of an orogenic- or greenstone-hosted style. This style of mineralization has been a major source of the world's gold production over the past 100-plus years as illustrated by prolific production from such deposits in the Abitibi of Canada, the West Africa Shield and Western Australia. A common theme links orogenic deposits: multiple large deposits form along crustal-scale to regionally extensive gold mineralized structures. Individual deposits typically comprise multiple high-grade shoots within a lower-grade gold mineralized envelope that extend over several kilometres of strike to depths that often exceed over 1,000 metres.

Mantaro completed 3,010 m of angled diamond drilling, of which 14 drill holes totalling 2,405 m focused on the near-surface depth extension of mineralization in La Escarcha open pit to depths of generally less than 90 vertical metres. The maiden mineral resource estimate is hosted within several closely spaced, subvertical to vertical, gold-mineralized shear zones with true widths of up to 13 m.

Mineralization at La Escarcha is open in all directions and Mantaro has a number of high-reward, relatively shallow stepback and stepout drill holes around the mineral resource estimate. The deep potential at La Escarcha is also highly prospective; there are multiple quartz vein targets hosted along the main controlling structure that are yet to be drill tested, and an additional six kilometres of the regional structure shedding alluvial gold that are yet to be mapped and sampled.

Dr. Christopher Wilson, PhD, FAusIMM (CP), FSEG, FGS, principal consultant to the company, comments: "That Mantaro was able to define a maiden mineral resource estimate after only 2,405 m of angled diamond drilling, is a testament to the technical team's understanding of the mineralized system and deposit, their ability to generate high-reward, near-surface drill targets, and the exceptional calibre of the deposit -- all of which contributed to the maiden drill success. Significantly, with true widths of up to 13 m and near-surface nature of subvertical to vertical mineralized lodes, demonstrated metallurgy, and the fact that Golden Hill is a permitted mining concession with immediate optionality -- underscores that the mineral resource estimate is based on a robust cut-off grade of 1.5 g/t Au. It is also worth noting that at a higher cut-off of two g/t Au, the inferred mineral resource estimate only decreases by approximately 4,000 ounces to 117,000 at 4.71 g/t Au, further underscoring the robust nature of the mineral resource estimate and style of mineralization at La Escarcha."

The company will file the National Instrument 43-101 technical report that supports the disclosure of the mineral resource estimate within 45 days of this news release.

Golden Hill: key benchmarks

The Golden Hill property is a fully permitted 5,976-hectare mining concession. Gold mineralization is of an orogenic- or greenstone-hosted type, controlled by a regional structure that hosts at least six other gold deposits along a 25 km strike length, which have all been mined by open pit to shallow levels.

Since the company's option of Golden Hill in August, 2021, it has acquired remote sensing data as a foundation for geological and structural mapping, completed a focused geochemical sampling program for input into drill targeting, collected a 10-tonne underground bulk sample for metallurgical testing, and completed a detailed petrographic study to assist with deposit modelling, drill targeting and input to process metallurgy.

As the initial step, the company took a 10-tonne bulk sample from the minus-45-metre level of the C3 vein at La Escarcha providing a 170-kilogram subsample which was sent to SGS Lakefield (Canada) for metallurgical test work. Test work confirmed a head grade of 5.53 g/t gold by 50-gram fire assay and 5.96 g/t gold by cyanide leach bottle roll, and demonstrated that unoptimized recoveries of 73.6 per cent gold are achievable by gravity separation and 94 per cent gold by cyanidation. These results provided insight into gold grade and distribution at La Escarcha ahead of the maiden diamond drill program. See news release dated Dec. 2, 2021, for complete results from of the metallurgical test work.

In 2022, the company completed the next phase of its targeted approach with a maiden 21-hole diamond drill program totalling 3,010 m at Golden Hill, of which 14 drill holes totalling 2,405 m were drilled at La Escarcha. Results from the maiden program at La Escarcha included:

• 3.57 g/t gold over 14 m (including 4.91 g/t gold over 8.80 m) from 105 m in GH0005;
• 8.27 g/t gold over 3.40 m (including 11.82 g/t gold over 2.02 m) from 67.60 m in GH0005;
• 7.57 g/t gold over five m (including 10.16 g/t gold over 3.66 m) from 87 m in GH0005;
• 2.70 g/t gold over 15.02 m (including 8.47 g/t gold over 3.10 m) from 64.53 m in GH0008;
• 6.46 g/t gold over four m (including 12.73 g/t gold over two m) from 76 m in GH0006.

See news release dated Jan. 12, 2023, for complete results from the maiden drill program.

The maiden drill program demonstrated the presence of high-grade gold mineralized shoots within broader gold mineralized halos which define gold mineralized shear zones -- typical of peer group deposits worldwide.

As a final step in the company's initial exploration plan, a detailed petrographic study was carried out on the drill core. The petrographic study noted the absence of near-surface supergene enrichment and confirmed the gold grades are primary or hypogene.

Dr. Wilson comments: "Understanding that gold grades intercepted in the maiden drill program are primary or hypogene in nature, allows the technical team to confidently plan high-reward stepback holes to target the immediate depth extensions of the maiden mineral resource at La Escarcha. It also bodes extremely well for much deeper exploration (greater than 500 vertical metres) in the future. Petrology has demonstrated that gold mineralization is similar to peer systems worldwide."

Exploration potential and coming programs at Golden Hill

Mantaro allocated 14 drill holes of the 21-hole 3,010 m maiden diamond drill program to test a small panel beneath the La Escarcha open pit. Drill holes were completed in a series of fences over a strike length of only 400 m to vertical depths of generally less than 90 m. Mineralization is open in all directions at La Escarcha and the maiden mineral resource estimate is proof of concept. In addition there are multiple high-reward targets beneath surface quartz veins and a larger untested regional trend. Specifically:

• High-reward stepback and stepout drilling around the maiden resource at La Escarcha is a priority. Mantaro is presently designing a 5,000 m phase 2 angled diamond drill program to test the along-strike extension and deeper extension of mineralization to depths of approximately 300 m vertical. The depth potential below 300 m is extremely robust and will be the focus of subsequent drill programs.
• Five scout diamond drill holes were completed at Gabby (for 473 m). Gabby is located approximately 500 m to the south of La Escarcha and is characterized by a number of gold-bearing quartz veins in outcrop. The veins extend a further two kilometres to the brownfield target where one drill hole was completed. There are over two kilometres of auriferous quartz veins approximately 500 m to the west of La Escarcha and Gabby which have only been tested by a single shallow drill hole. The exploration potential of Gabby, Brownfields and Westfield is extremely robust and warrants significant further drilling.
• In addition to the known prospects, there are over six km of unmapped regional structures that have shed alluvial gold into drainages either side. Significantly, the main controlling structure runs northward from La Escarcha, before hosting the Puqui Norte deposit one km to the north of the concession boundary. The exploration potential of this structure is robust and will be the near-term focus of mapping and sampling by Mantaro.

Since Golden Hill is a permitted mining concession, the company is able to commence these activities without the need of further permits.

Mining optionality and preliminary economic assessment

The maiden mineral resource estimate at La Escarcha has provided a foundational framework on which to scope mining optionality through the commencement of a preliminary economic assessment (PEA). Mantaro will provide an update on its plans for a PEA in due course. Significantly, a number of input parameters for a PEA have already been completed.

The company has data from previous underground mining for input into geotechnical and hydrological studies; bench-scale metallurgy has been completed on a meaningful underground bulk sample and demonstrates robust metallurgical recoveries and optionality of flow path; petrology has defined the physical characteristics and deportment of native gold and confirms its amenability to both gravity and cyanide recovery; petrology has demonstrated that deleterious minerals are not an issue, that the system is overall sulphide poor and that abundant carbonate minerals in waste rock are acid neutralizing.

The fact that Golden Hill is a permitted mining concession will significantly shorten the timeline to completion of a PEA.

Mineral resource estimate assumptions

The mineral resource estimate was generated using inverse distance cubed for gold for grade interpolation within a 3-D model, constrained by mineralized zones defined by wireframes solid models. The bulk density values used in the mineral resource estimate were derived from a regression equation based on data measured from samples collected from reassayed drill core completed by the company.

The database for the mineral resource estimate consisted of 14 drill holes totalling 2,405 m.

Qualified persons

The contents of this news release have been reviewed and approved by Dr. Wilson, BSc (honours), PhD, FAusIMM (CP), FSEG, a geological consultant of Mantaro, and by Eugene Puritch, PEng, FEC, CET, president of P&E Mining Consultants Inc., who is independent of the company. Dr. Wilson and Mr. Puritch are qualified persons as defined by National Instrument 43-101. Dr. Wilson is the qualified person for all technical information in this news release, excluding the mineral resource estimate.

About Mantaro Precious Metals Corp.

Mantaro Precious Metals is a British Columbia company that holds a diversified portfolio of gold- and silver-focused mineral properties in Bolivia and Peru. The company holds an option to acquire up to an 80-per-cent interest in the advanced Golden Hill orogenic gold property, located in the underexplored Precambrian Shield, Bolivia. Mantaro announced an Inferred mineral resource estimate at Golden Hill of 857,000 tonnes at 4.4 g/t gold for 121,000 ounces of gold at a 1.5 g/t gold cut-off.

In Peru, the company has a 100-per-cent interest in the high-grade Santas Gloria silver property.

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