Mr. Daniel Limpitlaw reports

PASOFINO GOLD ANNOUNCES COMMENCEMENT OF GEOPHYSICAL WORK, MOBILISATION OF DRILL-RIG TO 'BUKON JEDEH' AT THE DUGBE PROJECT LIBERIA

Pasofino Gold Ltd. has started exploration at Bukon Jedeh, a target area at the company's Dugbe gold project, with the commencement of fieldwork and the mobilization of the drilling rig, with drilling expected to commence in March, 2024.

Highlights:

• Bukon Jedeh is 10 kilometres southeast of the company's Dugbe gold project (3.3 million ounces measured and indicated mineral resource estimate). It is located on a 4.1 km trend of highly productive artisanal gold mining. Presently there are over 10 small-scale operations with gold being extracted from bedrock up to 60 metres below surface.
• Despite the abundance of gold and a long history of production, the geology and the potential of the area are not well understood. The area was incorporated into Pasofino's mineral development agreement (MDA) in November, 2020.
• Reverse circulation (RC) drill holes drilled in 2012 and 2013 intersections included some high-grade intervals but were not followed up, with focus placed on the Tuzon and Dugbe F gold deposits. In August, 2022, Pasofino revisited the area and collected rock samples which returned up to 31 grams per tonne gold.
• Pasofino will carry out diamond core drilling to:
  • Test a selection of the hard-rock pits;
  • Twin some of the previous RC drill holes;
  • Test the fold-hinge target.
• The community leaders in the area have welcomed Pasofino's commencement of work. Since early February, Pasofino has completed extensive repairs to the road and bridges leading to the area.

Daniel Limpitlaw, chief executive officer, commented:

"The Bukon Jedeh area is one of the best known gold mining areas in Liberia and provides an excellent opportunity to discover new gold deposits. Based on the historical drilling and the small-scale mining, it appears that relatively high-grade material is present which, if in sufficient quantity, could provide an additional source of ore for the Dugbe project less than 10 km away. The company completed a feasibility study for Dugbe in 2022."

Key targets

The previously conducted 2011/2012 RC drilling campaign included some excellent intersections, though Pasofino believes that most holes missed the main mineralized zones as holes were positioned on a grid without a better understanding of the underlying geology. Pasofino's drilling will be core drilling and the holes carefully planned, aided by geological mapping and high-resolution ground magnetic survey data. Pasofino provisionally interprets a large fold structure with two east-west-oriented limbs along which the main gold pits are located -- this interpretation will be further assessed by the ground magnetic surveying and geological mapping, work that will take place between now and the commencement of drilling.

Mobilization and exploration work

The drill rig has been mobilized from Monrovia to Greenville, a coastal town located approximately 70 km from Bukon Jedeh, and remains there while current preparation of the access roads and drill sites is completed. During this time a 125 to 150 line km ground magnetic survey will be completed by SEMS Exploration of Ghana. This will assist in the positioning of drill holes and the interpretation of results.

The drilling is planned to commence during March and comprises approximately 1,400 m of coring, across approximately 15 drill holes. The plan is summarized as follows:

1. Test a selection of the small-scale miners hard-rock pits by drilling one to two holes underneath them, to potentially intersect the material the gold mineralized gneissic rock the miners are extracting, which has been observed to contain coarse visible gold. Provisionally the following pits will be tested:
   • 99 Steps pit -- the largest pit but none of the 2011/2012 RC holes were drilled here;
   • Tubman Hill Disco pit -- 12 of the company's 2022 rock-chip samples were from here and averaged 3.2 g/t Au and up to 11 g/t Au. Only a single 2011/12 RC hole was drilled here and it collared in the mineralization (oxide) intersecting four m at five g/t -- need to step back from this collar to intersect the mineralization in fresh rock;
   • S/SPMC pit - no 2011/2012 drilling here despite there being visible gold. The company's 2022 rock-chip samples from this pit returned up to 20 g/t Au.
2. Twin a number of the 2011/2012 RC drill holes to reproduce and possibly better these intersections, taking care to position and orientate the holes. The following historic RC holes have been identified for twinning:
   • BRC050: two m at 61.80 g/t Au from 74 m;
   • BRC019: seven m at 5.69 g/t Au from 10 m;
   • BRC037: 10 m at 6.20 g/t Au from 11 m;
   • BRC044: 23 m at 1.06 g/t Au from 57 m ended in mineralization;
   • BRC011: two m at 9.7 g/t Au from 44 m.
3. Test the fold hinge target at the west end of the area. It is anticipated that the ground magnetic survey will firm up on the interpretation of this hinge target. At the company's Tuzon deposit the thickness of the mineralization is several times thicker around fold hinges, indicating that this could potentially be similar at Bukon Jedeh.

Qualified person statement

Scientific or technical information in this disclosure that relates to exploration results was prepared and approved by Andrew Pedley. Mr. Pedley is a consultant of Pasofino Gold's wholly owned subsidiary ARX Resources Ltd. He is a member in good standing with the South African Council for Natural Scientific Professions (SACNASP) and is as a qualified person under National Instrument 43-101.

About the Dugbe gold project

The 2,559 square km Dugbe gold project is in southern Liberia and situated within the southwestern corner of the Birimian supergroup which is host to most West African gold deposits. To date, two deposits have been identified on the project: Dugbe F and Tuzon, discovered by Hummingbird in 2009 and 2011, respectively. The deposits are located within four km of the Dugbe shear zone, which is thought to have played a role in large-scale gold mineralization in the area.

A significant amount of exploration in the area was conducted by Hummingbird up until 2012, including 74,497 m of diamond coring. Pasofino drilled an additional 14,584 m at Tuzon and Dugbe during 2021. Both deposits have mineral resource estimates dated Nov. 17, 2021, with total measured and indicated of 3.3 Moz with an average grade of 1.37 g/t Au, and 600,000 oz in inferred. Following the completion of the definitive feasibility study in June, 2022, a mineral reserve estimate was declared, based on the open-pit mining of both deposits over a 14-year life of Mine. A technical report for the Dugbe gold project was prepared in accordance with National Instrument 43-101 and filed on SEDAR+ and on the company's website.

In addition to the existing deposits there are many gold prospects within the project, including the Bukon Jedeh area and the DSZ target on the Tuzon-Sackor trend where Pasofino has discovered a broad zone of surface gold mineralization in trench and outcrop along strike from Tuzon. At this and several of the other prospects no drilling has been carried out to date.

In 2019, Hummingbird signed a 25-year mineral development agreement (MDA) with the government of Liberia providing the necessary long-term framework and stabilization of taxes and duties. Under the terms of the MDA, the royalty rate on gold production is 3 per cent, the income tax rate payable is 25 per cent (with credit given for historic exploration expenditures), the fuel duty is reduced by 50 per cent and the government of Liberia is granted a free carried interest of 10 per cent in the project.

About Pasofino Gold Ltd.

Pasofino Gold is a Canadian-based mineral exploration company listed on the TSX Venture Exchange (VEIN).

Pasofino, through its wholly owned subsidiary, owns 100 per cent of the Dugbe gold project (prior to the issuance of the government of Liberia's 10-per-cent carried interest).

We seek Safe Harbor.