Mr. Jason Simpson reports

ORLA MINING DRILLS OXIDE MINERALIZATION OUTSIDE PROJECTED OPEN PITS AT SOUTH RAILROAD PROJECT IN NEVADA

Orla Mining Ltd. has provided an update on its exploration activities at the South Railroad project in the second half of 2023. This news release presents the first of two updates from the 2023 infill and extension drilling, totalling seven drill holes and representing 2,508 metres. Drilling at South Railroad in 2023 totalled 14,695 metres and additional results from other exploration targets will be shared in a subsequent update.

Highlights:

• Potential expansion of resources at Pinion and Dark Star deposits through new oxide intersections in stepout drilling:
  • Pinion: 0.72 gram per tonne gold over 112.7 metres (oxide);
  • Dark Star: 3.53 g/t Au over 36.6 metres (oxide).
• Successful infilling and metallurgical drilling with confirmation of modelled grade, continuity of mineralization via infill drill program:
  • Intersection includes 2.20 g/t Au over 163.1 metres (oxide) and 2.50 g/t Au over 88.1 metres (oxide).

"Since acquiring the South Railroad project in August, 2022, Orla has made substantial progress in near-deposit exploration, satellite deposit testing and expanding our land position along the Carlin trend. The recent positive drill results outside the projected open pits highlight the project's low exploration maturity and significant growth potential. In 2024, we will focus on expanding resources at existing deposits and continuing exploration across the property, which could soon be expanded to include Pony Creek," said Sylvain Guerard, Orla's senior vice-president, exploration.

2023 Pinion and Dark Star exploration highlights

In 2023, Orla extended oxide-hosted gold mineralization at the Pinion and Dark Star deposits, with highly positive drill intersections outside of the projected open pits. Meanwhile, infill drill results met expectations, confirming robust oxide mineralization within projected pits, while supplying material for new metallurgical column test work to further optimize the planned development project.

Pinion SE extension drilling

At the Pinion deposit, a review of available geological data suggested gold mineralization may be continuous in the southeastern part of the deposit over the Pinion SE target area, where faulting had been previously interpreted as limiting or displacing extension of the mineralization. To test the continuity of gold mineralization, three drill holes totalling 822 metres were completed. All three drill holes intercepted significant oxide-hosted gold mineralization, including 0.72 g/t Au over 112.7 metres (oxide) confirming the continuity of gold mineralization to the southeast without fault displacement interference. These results, combined with historical drill intersections, indicate geological continuity and suggest gold mineralization extends to at least 350 metres outside of the projected open pit.

Dark Star exploration drilling (project open-pit extension and geophysical target)

Exploration drilling at the Dark Star deposit consisted of 1,112 metres in two drill holes. Results from these two exploration drill holes identified the potential to extend oxide mineralization beyond the currently defined mineral resources and explained a seismic anomaly identified below the Dark Star deposit.

Drill hole DR23-01 targeted the potential extension of high-grade mineralization east of the currently designed open-pit limit, returning wider and higher-grade oxide-hosted gold mineralization than nearby drill holes and average resources grade, including 3.53 g/t Au over 36.6 metres (oxide), 5.23 g/t Au over 19.8 metres approximately 50 metres outside of the projected open-pit limit. The exceptional results from this extension drilling suggest the potential to define additional oxide mineralization, possibly associated with a previously unknown feeder structure for the Dark Star deposit. Additional drilling is planned for 2024 to follow up on these highly encouraging results, testing the feeder structure model and defining the potential to grow resources and expand the projected open pit.

Drill hole DC23-01 was drilled in the northern part of the Dark Star deposit to test the potential extension of mineralization and was extended to investigate an anisotropic, antiformal seismic anomaly approximately 400 metres below the Dark Star deposit. Assay results from the upper part of the hole returned low-grade Au (1.66 g/t Au over 12.5 metres (sulphide) from 256.5 metres) approximately 30 metres outside the currently defined open pit at Dark Star. Drilling also intercepted unmineralized Tonka formation conglomerate at depth, explaining and validating the seismic target.

Dark Star infill and metallurgical drilling

One reverse circulation and one core drill hole were completed within the northern pit at the Dark Star deposit to support continuing project development work.

The reverse circulation hole, DR23-02, was drilled to confirm continuity of high-grade Au in oxide mineralization at the base of the designed open pit. Highly positive assay results, 2.20 g/t Au over 163.1 metres (oxide), including 3.97 g/t Au over 30.5 metres, confirmed the modelled grade, limits of gold mineralization and continuity of high-grade mineralization at the base of the designed open pit.

The core drill hole, DSC23-02, was drilled to provide material for run-of-mine column test work. The strong assay results, 2.50 g/t Au over 88.1 metres (oxide), including 5.69 g/t Au over 30.5 metres, from hole DSC23-02 are consistent with historical drill data and the mineral resource estimate block model. The run-of-mine column test work is expected to be undertaken in 2024.

2024 Pinion and Dark Star planned exploration

Orla is committed to growing the Pinion and Dark Star deposits through exploration in 2024. As part of the broader South Railroad exploration program totalling approximately 14,000 metres, Orla plans to drill 4,400 metres across 16 holes, with a focus on exploration near the Pinion and Dark Star deposits. Near-deposit exploration in 2024 will seek to define the extension of oxide mineralization beyond the currently defined open-pit extents, building on the drill success from 2023, and supporting resources expansion efforts.

The 2024 exploration program at South Railroad is planned to commence in the spring of 2024 and is expected to continue through October, 2024.

South Railroad project resources and reserves and Pinion and Dark Star geological setting

The South Railroad project covers a strike length of over 25 kilometres along the southern part of the prolific Carlin gold trend, Nevada. Gold mineralization at South Railroad occurs mainly as disseminated Carlin-type ore-stage pyrite in stratiform breccia and stratigraphic horizons within a complex fault network. The property hosts multiple zones of oxide, transition and sulphide mineralization, throughout the entire land package, with current oxide measured and indicated mineral resources of 1.8 million ounces (75.3 million tonnes at 0.74 g/t Au) inclusive of proven and probable mineral reserves of 1.6 Moz (65.2 Mt at 0.77 g/t Au) at the Pinion and Dark Star deposits.

Qualified person statement

The scientific and technical information in this news release has been reviewed and approved by Mr. Guerard, PGeo, senior vice-president, exploration, of the company, who is the qualified person as defined under the definitions of National Instrument 43-101.

To verify the information related to the 2023 drilling programs at the South Railroad property, Mr. Guerard has visited the property in the past year; discussed logging, sampling and sample shipping processes with responsible site staff; discussed and reviewed assay and quality assurance/quality control results with responsible personnel; and reviewed supporting documentation, including drill hole location and orientation and significant assay interval calculations.

Quality assurance/quality control -- 2023 drill program

All gold results at South Railroad were obtained by fire assay fusion and optical emission finish (FA-PB30-ICP) at American Assay Labs in Sparks, Nev., United States. Overlimit gold assays were determined using fire assay fusion with gravimetric finish (GRAVAu-30). Gold cyanide extraction was determined using a two-hour cyanide leach (AuCN30). All other elements were determined by four-acid and boric acid dissolution with inductively coupled plasma optical emission spectroscopy plus mass spectrometry method (ICP-2AM50). Quality assurance/quality control and interpretation of results were performed by qualified persons employing a quality assurance/quality control program consistent with NI 43-101 and industry best practices. Certified reference material (standards), blanks or rig duplicates were inserted approximately every 10th sample for quality assurance/quality control purposes by the company. American Assay Labs is independent of Orla. There are no known drilling, sampling, recovery or other factors that could materially affect the accuracy or reliability of the drilling data at South Railroad.

For additional information on the company's previously reported drill results, see the company's press release dated Feb. 8, 2023 (Orla Mining Drills Significant Gold Intersections at Multiple Oxide Targets upon Reactivation of Exploration at South Railroad Project, Nevada).

The mineral reserve estimate for the South Railroad project consists of 333,000 oz of proven gold reserves (8.96 million tonnes at 1.17 g/t gold) and 1,271,000 oz of probable gold reserves (56,239,000 tonnes at 0.72 g/t gold). The open-pit mineral resource estimate for the South Railroad project consists of 343,000 oz of measured gold resources (9,561,000 tonnes at 1.13 g/t gold), 1.41 million oz of indicated gold resources (65.45 million tonnes at 0.68 g/t gold) and 653,000 oz of inferred gold resources (21,805,000 tonnes at 0.93 g/t gold). The underground mineral resource estimate consists of 66,000 oz of inferred gold resources (457,000 tonnes at 4.49 g/t gold). For additional detail, see the South Railroad report (as defined below). Mineral resources are inclusive of mineral reserves.

About Orla Mining Ltd.

Orla is operating the Camino Rojo oxide gold mine, a gold and silver open-pit and heap-leach mine, located in Zacatecas state, Mexico. The property is 100 per cent owned by Orla and covers over 160,000 hectares. The technical report for the 2021 feasibility study on the Camino Rojo oxide gold project, entitled "Unconstrained Feasibility Study NI 43-101 Technical Report on the Camino Rojo Gold Project -- Municipality of Mazapil, Zacatecas, Mexico," dated Jan. 11, 2021, is available on SEDAR+ and EDGAR under the company's profile. Orla also owns 100 per cent of Cerro Quema located in Panama which includes a gold production scenario and various exploration targets. Cerro Quema is a proposed open-pit mine and gold heap-leach operation. The technical report for the prefeasibility study on the Cerro Quema oxide gold project, entitled "Project Pre-Feasibility Updated NI 43-101 Technical Report on the Cerro Quema Project, Province of Los Santos, Panama," dated Jan. 18, 2022, is available on SEDAR+ and EDGAR under the company's profile. Orla also owns 100 per cent of the South Railroad project, a feasibility-stage, open-pit, heap-leach project located on the Carlin trend in Nevada. The technical report for the 2022 feasibility study, entitled "South Railroad Project, Form 43-101F1 Technical Report Feasibility Study, Elko County, Nevada," dated March 23, 2022, is available on SEDAR+ and EDGAR under the company's profile.

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