Mr. Christopher van Tienhoven reports

PATAGONIA GOLD ANNOUNCES FURTHER ADVANCES IN CALCATREU PERMITTING

Patagonia Gold Corp. has progressed the Calcatreu permitting process.

The Calcatreu permitting process continues to advance positively and has reached the final stage of approval. Following positive recommendations from the Secretariat of Mining and the Secretariat of Environment and Climate Change of Rio Negro and overwhelming support from the closest neighbouring native community, the multidisciplinary environmental council (COPEAM), consisting of various stakeholders within the Rio Negro province, has issued a unanimous decision in favour of the development of Calcatreu.

A non-binding public hearing was subsequently held on Aug. 30, 2024 in Ingeniero Jacobacci, the closest city to Calcatreu. At the public hearing, representatives from the company presented the Calcatreu project together with GT Ingenieria SA, the consulting firm that prepared the environment impact assessment report in respect of the project. Following these presentations, various bureaus and stakeholders made presentations and more than 200 individuals from the Rio Negro province expressed their position regarding the mining industry and the Calcatreu project. The public hearing lasted just under 12 hours and the general consensus is that the public hearing was a success, considering the strong support expressed by the majority of the stakeholders.

The next step in the approval process (which is also the last) is a final resolution to be issued by the Secretariat of Environment and Climate Change of the province of Rio Negro, formally granting the permit to construct and develop Calcatreu. This final resolution is expected to be issued within the next two months.

Calcatreu is the Companys flagship project and is located in the southern portion of the Rio Negro province, 85 kilometres (km) south of the community of Ingeniero Jacobacci. The project is centred on a low-sulphidation, epithermal gold and silver system with mineralization outcropping at the surface. The total measured and indicated mineral resources are estimated at 9.84 million tonnes at an average grade of 2.11 grams per tonne (g/t) gold (Au) and 19.8 g/t silver (Ag) (2.36 g/t gold equivalent) and 8.08 million tonnes of inferred mineral resources grading 1.34 g/t Au and 13.1 g/t Ag (1.5 g/t gold equivalent), as disclosed in the technical report (as defined below).

Once the final resolution has been issued, the company expects to conduct further studies to determine the project's mineral reserves, which may lead to development of a heap leach operation to produce gold and silver dore at Calcatreu. The company has ample experience with heap leach operations, having put two heap leach operations into production over the last decade.

Qualified person's statement

Donald J. Birak, an independent consulting geologist, registered member of SME, fellow of AusIMM, and qualified person as defined by National Instrument 43-101, has reviewed and approved the scientific and technical information in this news release.

About Patagonia Gold Corp.

Patagonia Gold is a South America-focused, publicly traded, mining company listed on the TSX Venture Exchange. The company seeks to grow shareholder value through exploration and development of gold and silver projects in the Patagonia region of Argentina.

We seek Safe Harbor.