Mr. Jason Simpson reports

ORLA MINING PROVIDES UPDATE ON PANAMA AND THE CERRO QUEMA PROJECT

The Panamanian Ministry of Commerce and Industry (MICI) has rejected Orla Mining Ltd.'s requests for extensions for the three mining concessions comprising the company's Cerro Quema project, declared the concessions cancelled and declared the area comprising the concessions to be a reserve area.

While the company regrets this decision by the Panamanian government, the company will continue to monitor developments in Panama, which remain uncertain and quickly evolving. However, until the company has greater certainty with respect to the mining concessions, as well as fiscal and legal stability in Panama, the company will not consider additional spending toward the development of the Cerro Quema project. The company will explore all legal remedies available to protect historical investments and potentially unlock additional value for its stakeholders, including taking measures to protect its rights under international law.

The Cerro Quema project is located on the Azuero Peninsula in the Los Santos province of southwestern Panama, about 45 kilometres southwest of the city of Chitre. The project includes a prefeasibility-stage, open-pit, heap-leach gold project, a copper-gold sulphide resource and various exploration targets. The company believes that the Cerro Quema project could be an important social and economic contributor to the host communities. To date, the company has invested over $120-million (U.S.) in Panama and, if constructed, the Cerro Quema project is expected to create employment and skills development opportunities, and contribute tax, royalty and other fiscal benefits to the host communities and governments.

On Nov. 3, 2023, the National Assembly of Panama passed Law 407, which instituted a moratorium on granting, renewing or extending concessions for the exploration, extraction, transportation or exploitation of metal mining in Panama. The company continued to monitor the impact of Law 407 and other developments in Panama on the Cerro Quema project. On Dec. 15, 2023, Minera Cerro Quema SA, the company's subsidiary, received three resolutions from MICI. The resolutions rejected the request for extension for the concessions, declared the concessions cancelled due to expiration and declared the area comprising the concessions to be a reserve area under the Panamanian mining code. Under the Panamanian mining code, MICI is prohibited from granting mining concessions for exploration or extraction on a reserve area.

About Orla Mining Ltd.

Orla's corporate strategy is to acquire, develop and operate mineral properties where the company's expertise can substantially increase stakeholder value. The company has three material gold projects: (1) Camino Rojo, located in Zacatecas state, Mexico; (2) South Railroad, located in Nevada, United States; and (3) Cerro Quema, located in Los Santos province, Panama. Orla is operating the Camino Rojo oxide gold mine, a gold and silver open-pit and heap leach mine. The property is 100 per cent owned by Orla and covers over 160,000 hectares containing a large oxide and sulphide mineral resource. Orla also owns 100 per cent of Cerro Quema located in Panama which includes a prefeasibility-stage, open-pit, heap leach gold project, a copper-gold sulphide resource and various exploration targets. Orla also owns 100 per cent of the South Railroad project, a feasibility-stage, open-pit, heap leach gold project located on the Carlin trend in Nevada. The technical reports for the company's material projects are available on Orla's website, and under the company's profile on SEDAR+ and EDGAR.

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