Mr. Joseph van den Elsen reports

PAMPA METALS CLOSES NON-BROKERED PRIVATE PLACEMENT

Pampa Metals Corp. has issued 3.2 million units at a price of five cents per unit under the non-brokered private placement offering detailed in a Sept. 18, 2023, news release for gross proceeds of $160,000. Each unit consists of one fully paid common share and one purchase warrant entitling the holder to acquire an additional common share at a price of 7.5 cents for a period of three years after the closing of the offering.

In connection with the offering, the company paid total cash commissions of $8,680 and issued 173,600 finder's warrants. Each finder's warrant is exercisable into a common share of the company at an exercise price of 7.5 cents for a period of three years from the date of closing of the offering.

Combining the proceeds of the offering, with the proceeds of the private placement detailed in a Sept. 11, 2023, news release, the company has now raised total gross proceeds of $610,000.

Proceeds from the offerings will be primarily used to assess, and potentially acquire, advanced-stage copper projects in the Americas, where the application of the company's technical and commercial expertise in exploration, resource delineation and feasibility studies can be applied to creating value for shareholders. High-quality copper projects in other jurisdictions that meet the company's criteria will be assessed on an opportunistic basis.

Specifically, the company is seeking to acquire a project with the following characteristics: historic ore grade intervals; opportunity to quickly establish a meaningful initial mineral resource estimate; conceptual copper production profile of plus-30,000 tonnes to 50,000 tonnes per annum; and conceptual capex of less than $500-million.

A small number of projects with the potential to meet the above criteria are in the early stages of review.

In order to support its business development efforts, the company has granted 500,000 incentive stock options to a consultant. The incentive options have an exercise price of 7.5 cents and a three-year term.

One director of the company participated in the offering in the amount of $26,000 and in the offerings a total of $71,000. The transaction with the director, who is an insider of the company, constitutes a related party transaction as defined under Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The company is relying on the exemptions under Section 5.5(a) and Section 5.7(1)(a) from the formal valuation and minority shareholder approval requirements of MI 61-101, as the fair market value of the common shares issued to the related party and the consideration paid by the related party under the offering does not exceed 25 per cent of the company's market capitalization, as determined in accordance with MI 61-101. The company did not file a material change report in respect of the related party transaction at least 21 days before the closing of the offering, as the details of the participation by related party of the company were not settled until shortly prior to closing of the offering.

About Pampa Metals Corp.

Pampa Metals is a Canadian company listed on the Canadian Stock Exchange, as well as the Frankfurt Stock Exchange and the over-the-counter (OTC) market. Pampa Metals owns a highly prospective, wholly owned, 47,400-hectare portfolio of seven projects for copper, molybdenum and gold located along proven mineral belts in Chile, one of the world's top mining jurisdictions. The company is actively progressing four of its projects, including completed and planned drill tests, and has two additional projects optioned to Austral Gold Ltd.

The company has a vision to create value for shareholders and all other stakeholders by making a major copper discovery along the prime mineral belts of Chile, using the best geological and technological methods.

We seek Safe Harbor.