Mr. Joseph van den Elsen reports

PAMPA METALS INTERSECTS WIDE INTERVAL OF COPPER MINERALIZATION AT PIUQUENES, ARGENTINA

Pampa Metals Corp. has completed diamond drill hole PIU-01 to a downhole depth of 867 metres. First assay results are expected shortly. Drill hole PIU-02, the second hole of the current program, has commenced.

Hole PIU-01, designed to extend copper-gold mineralization to depth on the southwestern margin of the Piuquenes Central porphyry, intersected a 160-metre zone of supergene copper enrichment between 220 metres and 380 metres downhole, coincident and overlapping with primary mineralization from 350 metres. Strong primary mineralization associated with intense porphyry A-type quartz stockwork veining is evident from 350 metres to approximately 650 metres. From 650 metres to the end of hole at 867 metres, quartz veining and mineralization continue, becoming progressively less intense with depth. From 830 metres, disseminated hematite/specularite-pyrite-chalcopyrite mineralization is hosted in volcanic host rocks outside the porphyry intrusive and remains open at depth.

PIU-02, the second hole of the current program, is oriented on an east-west section proximal to two historical holes drilled by Inmet Mining Corp., which reported 413.5 metres at 0.47 per cent copper and 0.52 gram per tonne gold and 67.5 metres at 0.63 per cent copper and 0.51 gram per tonne gold, respectively. PIU-02 is designed to test the lateral extent of the Piuquenes Central porphyry mineralization along the western margin of the deposit.

Joseph van den Elsen, president and chief executive officer of Pampa Metals, commented: "We are very pleased to have intersected wide intervals of both supergene enrichment and primary copper mineralization on the first hole of our maiden drill campaign at the Piuquenes project and now eagerly await first assay results. Excellent progress was made to reach target depth on our first hole, and we look forward to completing an additional two and possibly three holes to further test the depth and lateral extensions of the previously reported high-grade copper-gold intervals at Piuquenes Central. Subsequent drill programs will also test the undrilled Piuquenes East porphyry target and other nearby targets identified on the property. "

Geology and mineralization -- diamond drill hole PIU-01

Moderate porphyry A-type quartz stockworks are present from approximately 150 metres downhole, increasing in intensity from 220-metre depth. Supergene copper enrichment is evident from 220-metre to 380-metre depth, partially coincident (from 288-metre depth) with increasing intensity of porphyry A-type quartz vein stockworks and evidence of intermineral potassic alteration. A narrow zone of copper oxides is observed from 220 metres to 229 metres downhole.

Dense porphyry A-type quartz vein stockwork with chalcopyrite and traces of disseminated bornite mineralization hosted in potassic altered diorite porphyry was intersected from 350 metres to approximately 650 metres. From 650 metres to approximately 740 metres downhole, a zone of moderate-intensity quartz veining was intersected prior to a zone of sporadic quartz veining, which remains open at 867 metres (end of hole). From 730 metres, intermediate argillic alteration is present, and molybdenite, sphalerite and hematite/specularite are associated with grey sericite-chlorite veining and fine-grained disseminated chalcopyrite-bornite. From 830 metres, the host rock is volcanic, superimposed by sericite-chlorite alteration and disseminated hematite/specularite-pyrite-chalcopyrite mineralization, veining and breccias.

About Pampa Metals Corp.

Pampa Metals is a copper-gold-silver-molybdenum porphyry exploration company listed on the Canadian Securities Exchange, the Frankfurt Stock Exchange and the OTCQB.

In November, 2023, the company announced it had entered into an option and joint venture agreement for the acquisition of an 80-per-cent interest in the Piuquenes copper-gold porphyry project in San Juan province, Argentina.

Previous intervals of significant copper and gold mineralization at Piuquenes Central (refer to Dec. 5, 2023, news release) include:

• 413.5 metres (167 metres to 580.5 metres) of 0.47 per cent copper and 0.52 gram per tonne gold (0.87 per cent copper equivalent);
• 558.2 metres (362 metres to 920.2 metres end of hole) of 0.38 per cent copper, 0.42 gram per tonne gold and 2.4 grams per tonne silver (0.73 per cent copper equivalent):
  • Including 130 metres (362 to 492 metres) of 0.81 per cent copper, 0.6 gram per tonne gold and four grams per tonne silver (1.31 per cent copper equivalent).

Qualified person

Technical information in this news release has been approved by Mario Orrego. Mr. Orrego is a geologist, a registered member of the Chilean Mining Commission and a qualified person as defined by National Instrument 43-101. Mr. Orrego is a consultant to the company.

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