Mr. Teo Dechev reports

MUNDORO ANNOUNCES PHASE I DRILL RESULTS FROM DOS CABEZAS PROJECT, ARIZONA

Mundoro Capital Inc. has released results from the inaugural drilling at the Dos Cabezas project, in Cochise county, Arizona. As of April 12, 2024, Mundoro holds 100 per cent of the project.

Teo Dechev, chief executive officer and president, commented: "Mundoro is pleased with the initial drilling results from the Dos Cabezas project. The first phase of drilling tested four target areas, with scout drill holes in each target. In two of the target areas: Mineral Park and Mescal Canyon, these holes aimed to investigate the presence of a porphyry system, suggested by surface geochemistry, alteration and veining. Both holes confirmed mineralization, supporting the potential for a porphyry-style system and indicating the need for further drilling. Mundoro is progressing in discussions with external parties to potentially option the project."

Project location

The Dos Cabezas project is located in southeast Arizona, approximately 150 kilometres east of the city of Tucson, within the prospective Laramide magmatic arc portion of the southwestern United States cordilleran porphyry belt. The Dos Cabezas project is surrounded by known porphyry districts, including Safford and Morenci to the north, and Tyrone to the east.

Dos Cabezas drill program overview

Exploration to date has identified three target areas with outcropping alteration and mineralization potentially associated with Laramide age porphyry copper systems: Mescal Canyon, Mineral Park and Casey Copper Canyon targets. An additional two undercover target areas were identified: Northwest pediments target and Southeast pediments target, along the apparent WNW (west-northwest) trend of the Apache Pass fault zone which was interpreted to extend below the shallow pediments.

In the fourth quarter of 2023, two drill holes were successfully completed at the project. The first hole, targeting the Mineral Park area, reached a depth of 598 metres and encountered Cu-Au-Mo (copper-gold-molybdenum) mineralization. The second hole, in the Mescal Canyon area, reached a depth of 743.7 metres and intercepted multiple zones of anomalous Cu-Mo-Ag mineralization and logged alteration and veining.

At Casey Copper Canyon, the company has a permitted drill location to test the potential for skarn-style mineralization, as well as deeper porphyry copper mineralization.

The two drill holes designed to explore beneath the pediment cover were completed in Q2 2023, each extending 400 metres for a combined depth of 801.7 metres. Both holes intersected volcanic units located under the pediment cover, without reaching the basement unit. Magnetic susceptibility measurements and inversion modelling suggest that these volcanic units could be responsible for the observed magnetic anomalies, however further evaluation of the geophysics in this area is required.

Geology and mineralization

Mineral Park target

The Mineral Park drill hole, reaching a depth of 600 metres, was designed to evaluate skarns previously mined at Mineral Park. This exploration was guided by magnetic anomalies identified through drone-based surveying and inversion modelling techniques. The deeper exploration target associated with a magnetic low was linked to exposed veining and alteration mapped within the Mineral Park monzonite, situated to the west in an erosional window.

The upper 450 metres of the borehole intersected andesite volcanic rocks that were veined and altered with sericite, chlorite and epidote, exhibiting localized zones of more intense alteration and mineralization. Below 450 metres depth, the drill core revealed more felsic lithologies, including rhyolite and granite, with the presence of granitic breccias containing magnetite-pyrite infill accompanied by increased Cu-Mo-Au values toward the base of the hole. The final 76.7 metres, starting from 521.5 metres downhole, yielded assay results averaging 665.1 parts per million Cu, 26 ppm Mo, 0.92 g/t Ag and increasing Au values. The entire drilled length of 598.2 metres displayed anomalous zones in Cu-Mo-Ag, accompanied by pathfinder geochemistry of Bi-Te-W-Sn-Zn (bismuth-tellurium-tungsten-tin-zinc), characteristic of the upper levels of a porphyry system.

Due to technical challenges and timing constraints, the drilling was terminated at 598.2 metres, with the final 1.8-metre sample returning 0.4 per cent Cu, 0.14 g/t Au, 93 ppm Mo and 2.2 g/t Ag. This deeper mineralized zone warrants further investigation through a steeper drilling angle from a permitted location east of the current hole, as geological and geochemical indicators suggest the potential for a distinct mineral center separate from the Mescal Canyon target.

Mescal Canyon target

At Mescal Canyon, mapping and sampling in the area outlined a zone of pyritic veining with sericitic halos and sericitic fractures consistent with the upper and distal portions of a porphyry system. One drill hole was designed to test the magnetic anomaly directly below the alteration and geochemistry mapped on the surface. The magnetic highs in the inversion model are associated with outcropping volcanics and skarns; with the magnetic low associated with the argillic alteration seen in the Silver Camp monzodiorite.

The entire hole was hosted in the monzodiorite with stockwork veining and sericite-pyrite alteration all the way downhole; and narrow higher-grade zones associated with skarn style alteration near the top of the hole. Elevated copper zones of greater than 0.1 per cent include 92.5 m at 0.11 per cent Cu from 230 m and 101 m at 0.1 per cent Cu from 502.5 m (weighted averages). Highest zone of Mo mineralization was 83.7 m at 57.1 ppm Mo from 335.1 m with these zones typically associated with an increase in vein density and alteration intensity.

The upper zone of skarn style mineralization seen in outcrops and from historical mining close to the collar from 4.9 m with massive magnetite assayed 14.6 m at 64.7 g/t Ag. 0.5 g/t Au, 0.15 per cent Cu (weighted averages) with elevated Bi-Sn-W-Pb. The entire hole showed anomalous Ag-Cu with 738.8 m assaying three g/t Ag and 0.058 per cent Cu with higher grade zones of Cu-Ag-Mo and elevated zones of pathfinder mineralization.

Strong pathfinder geochemistry downhole also suggests that the company is on the edge and/or upper level of a porphyry copper system with additional drilling required to test the extents and core of the system.

The drilling operation achieved a final depth of 743.7 metres, falling short of the targeted 900 metres. The cessation of drilling activities was initially due to the holiday season, followed by an inability to resume operations due to the termination of the Vale earn-in agreement.

Sampling, analysis and quality assurance and quality control (QAQC)

Drill core was transported from the drill platform to the logging facility where it was logged, photographed, processed and split by diamond saw prior to being sampled. Samples were taken approximately every three metres or at lithologic or mineral breaks then bagged, and blanks, duplicates and certified reference materials inserted at intervals of one QAQC sample every 10 samples. Groups of samples were placed in collection bags, sealed with numbered tags in order to maintain a chain of custody, and transported from the logging facility to the ALS preparatory laboratory in Tucson, Ariz.

Sample preparation was carried out at ALS, Tucson. Analytical work for this drill program was carried out by ALS Reno for Au and Vancouver, Canada, for multielement geochemistry. Samples were prepared for analysis according to ALS method PREP 31, individual samples were crushed to 70 per cent less than two millimetres, rotary split off one kilogram, pulverize split to better than 85 per cent passing 75 microns is applied.

Gold in samples were analyzed using ALS method Au AA24 where 50 g split is analyzed with fire assay by Pb collection and AAS finish. Multielement geochemical analysis (48 elements) was performed on all samples using ALS method ME-MS61 where a 50 g split is by four-acid digestion with ICP-MS finish. For samples returned greater than 1 per cent Cu from the ME-MS61 method to be reassayed using four-acid digestion and AAS finish, lab code Cu-OG62. For samples returned greater than 100 ppm Ag from the ME-MS61 method to be reassayed using four-acid digestion and AAS finish, lab code Ag-OG62.

Quality assurance and quality control procedures include the systematic insertion of standards, blanks and duplicates into the sample process. Duplicate core samples are taken every 30 samples and standards or blanks and duplicates are inserted after every 10th sample. All data collected from detailed logging and assay results from the laboratories are verified and entered into a database with any samples failing QAQC reassayed along with samples related to the QAQC sample batch either side.

Qualified person

The scientific and technical information described in this press release has been prepared in accordance with National Instrument 43-101. The scientific and technical information for the United States exploration programs has been reviewed and approved by R. Jemielita, PhD, MIMMM, a qualified person as defined by NI 43-101 and chief geologist to the company, and by T. Dechev, PEng (PEO, APEGBC), a qualified person as defined by NI 43-101, and the company's chief executive officer.

About Mundoro Capital Inc.

Mundoro is a publicly listed company on the TSX Venture Exchange in Canada and OTCQB in the U.S. with a portfolio of mineral properties focused primarily on base metal and precious metals. To drive value for shareholders, Mundoro's asset portfolio generates near-term cash payments to Mundoro and creates royalties attached to each mineral property optioned to partners. The portfolio of mineral properties is currently focused on predominantly copper exploration in two mineral districts: Western Tethyan belt in Eastern Europe and the Laramide belt in Southwest United States.

We seek Safe Harbor.