Mr. Javier Cordova reports

SOMA GOLD REPORTS RECORD FULL-YEAR 2022 FINANCIAL AND OPERATING HIGHLIGHTS

Soma Gold Corp. has released financial and operating results for the three and 12 months ended Dec. 31, 2022 (Q4 2022 and fiscal year 2022). Gold equivalent ounces produced during the year from its 100-per-cent-owned El Bagre, Colombia, operation were 23,115 ounces and 22,952 ounces were sold -- a 30-per-cent increase from the previous year. The company's financial statements and management's discussion and analysis have been filed on SEDAR.

Soma's chief executive officer, Javier Cordova, states: "Soma Gold successfully completed the construction of the Cordero mine, with commercial production being declared effective Jan. 1, 2023. Soma also achieved its goal for gold ounces produced, setting another record for the El Bagre gold complex in Colombia. The second tranche of the Nuevo Granada gold loan was completed in January, 2023, leaving only the 1-per-cent NSR tail as the remaining obligation. The company is generating free cash flow from operations with aggressive development and exploration projects under way to ensure a long mine life. During 2022, our business generated $17.3-million of adjusted EBITDA, a 53-per-cent increase from the prior year. Free cash flow from current operations substantially funded our long-term growth investments. It includes the construction of the Cordero mine and a new tailings disposal facility ($9.7-million), the down payment for the underground mining fleet ($1.1-million), exploration programs ($1.1-million), and the commencement of final permitting and engineering and design work for the Nechi mine."

2023 guidance

Mr. Cordova further states: "Looking forward, we expect to produce between 35,000 and 37,000 ounces of gold during 2023. We are also continuing to develop our partnerships with artisanal and small-scale miners to align with the Colombian government's focus on enabling small miners to operate in compliance with the country's environmental policy."

2022 highlights

Operational:

• Produced a record 23,115 gold equivalent ounces;
• Sold 22,952 gold equivalent ounces at an average realized price of $1,813 (U.S.) per ounce;
• Total cash cost per ounce of gold sold of $1,002 (U.S.) compared with $1,084 (U.S.) per ounce in 2021;
• Updated National Instrument 43-101 technical report increased the company's Colombia indicated gold resources to 665,000 tonnes at 5.9 grams per tonne (127,000 contained ounces) and its inferred gold resources to 1,165,000 tonnes at 7.4 g/t (277,000 contained ounces);
• Optioned the Tucuma project in Brazil to Ero Copper. Option terms include staged cash payments of $450,000 (U.S.) and exploration expenditures of $1.7-million (U.S.) with a final option payment of up to $6-million (U.S.) in cash or Ero shares (see news release dated March 15, 2022).

Financial and growth investments:

• Revenue from mining operations increased 33 per cent to $53-million;
• Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) increased 53 per cent from last year to $17.3-million;
• Significant capital and growth initiatives were financed out of cash flow:
  • Construction of Cordero mine and new tailings disposal facility -- $9.7-million;
  • Down payment for the underground mining fleet -- $1.1-million;
  • Exploration programs -- $1.1-million.
• Net income of $258,000 compared with a loss of $1.2-million in 2021.

Environmental, social and governance:

• Awarded the Sello de Sostenibilidad by the State of Antioquia for the second year in a row. This award is given to companies that exceed the environmental guidelines and requirements of the state;
• Entered into a mutual collaboration agreement with Corantioquia, the province of Antioquia's environmental authority, to advance environmental voluntary activities in Zaragoza and El Bagre, Antioquia;
• Introduced a safety-first program resulting in a 48.3-per-cent reduction in lost-time accidents compared with 2021.

Q4 2022 and year-end financial and operating highlights

The key operating and financial data for the three and 12 months ended Dec. 31, 2022, and 2021, are as noted herein.

The company also announces, subject to regulatory approval, the grant of a total of 300,000 stock options to employees of the company to purchase common shares of the company in accordance with its equity incentive plan. The options will vest immediately and be priced at the company's market price after expiration of the current trading blackout period associated with the release of its annual financial results. The options expire five years from the date of issuance.

About Soma Gold Corp.

Soma Gold is a mining company focused on gold production and exploration. The company owns two adjacent mining properties in Antioquia, Colombia, with a combined milling capacity of 675 tonnes per day (permitted for 1,400 tpd). The El Bagre mill is currently operating and producing. Internally generated funds are being used to finance a regional exploration program.

We seek Safe Harbor.