Mr. Vernon Baker reports

JAGUAR MINING RECEIVES FINE RELATED TO THE PREVIOUSLY ANNOUNCED INCIDENT AT THE SATINOCO DRY-STACKED PILE

Jaguar Mining Inc.'s subsidiary, Mineracao Serras do Oeste, has received a notice of infraction and resulting civil liability fine from the State Secretariat for the Environment and Sustainable Development (SEMAD) of Minas Gerais, Brazil, in connection with the previously announced slump that occurred in the north wall of the Satinoco dry-stacked pile at the company's Turmalina mine (see the news releases issued by Jaguar on Dec. 9, 2024, and Dec. 30, 2024, respectively). Operations at the Turmalina mine remain temporarily suspended following the incident. The Turmalina mine is part of the company's MTL mining complex, located in the state of Minas Gerais, Brazil, approximately 130 kilometres northwest of the city of Belo Horizonte. The company's Pilar mine in Brazil remains operational.

The face value of the fine amounts to approximately 320 million Brazilian reais ($52.5-million (U.S.)). The company considers the amount of the fine to be disproportionate to the scale of the event, as well as the actual impact caused by the incident. As a result, the company plans to appeal the fine through a formal administrative process conducted by SEMAD.

The company has 20 days from the date of the aforementioned notice of infraction to accept the fine (which can be paid in up to 60 monthly instalments) or present a defence to SEMAD, during which the repayment obligation would be suspended until a final decision is rendered.

As remediation efforts remain continuing and notable progress continues to be made in this regard, the company reaffirms its commitment to resolving the issues arising from the dry-stacked slump and assisting the employees and families impacted by this incident. Jaguar will continue to cooperate with local authorities to resolve the issue in a fair and transparent manner. Jaguar is also committed to restarting the Turmalina mine as soon as it becomes possible and to operate it safely and profitably in the future.

The Iron Quadrangle

The Iron Quadrangle has been an area of mineral exploration dating back to the 16th century. The discovery in 1699 to 1701 of gold contaminated with iron and platinum group metals in the southeastern corner of the Iron Quadrangle gave rise to the name of the town Ouro Preto (Black Gold). The Iron Quadrangle contains world-class multimillion-ounce gold deposits such as Morro Velho, Cuiaba and Sao Bento. Jaguar holds the second-largest gold land position in the Iron Quadrangle with over 41,000 hectares.

About Jaguar Mining Inc.

Jaguar is a Canadian-listed junior gold mining, development and exploration company operating in Brazil, with three gold mining complexes and a large land package with significant upside exploration potential from mineral claims. The company's principal operating assets are located in the Iron Quadrangle, a prolific greenstone belt in the state of Minas Gerais, and include the MTL mining complex (Turmalina mine and plant) and Caete mining complex (Pilar and Roca Grande mines, and Caete plant). The Roca Grande mine has been on temporary care and maintenance since April, 2019. The company also owns the Paciencia mining complex (Santa Isabel mine and plant), which had been on care and maintenance since 2012, and is planned to restart in early 2025. Additional information is available on the company's website.

We seek Safe Harbor.