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Altiplano Receives Approval for Industry Leading Water Recovery Circuit and Iron Separation at the El Peñón Processing Facility

Mine Development & Operations Permits & Approvals Metallurgy & Processing

Altiplano Receives Approval for Industry

Leading Water Recovery Circuit and Iron

Separation at the El Peñón Processing Facility

Edmonton, Alberta--(Newsfile Corp. - December 16, 2021) -

Altiplano Metals Inc

. (TSXV: APN) (WKN:

A2JNFG) ("

Altiplano

" or the "Company") is pleased to provide an update on the construction phase at

the El Peñón processing facility to support the Farellon Iron-Oxide-Copper-Gold (Cu-Au) mine located

near La Serena, Chile.

The Company is pleased to report the application to incorporate an iron separator (designed to recover

high value iron oxide) and a high efficiency water recovery circuit (designed to produce dry tailings), has

been approved by the Chilean mining authority. Addition of this equipment into the processing circuit

provides the opportunity to capture high value iron which can be sold to generate a secondary income

and, with the removal of the iron, reduce the overall tailings output by 50%. The dewatering stack will

generate a dry tailings product that can be moved and stored in an environmentally efficient manner

which replaces the need for a conventional tailings dam system. In addition, the de-watering stack circuit

will reduce the overall freshwater consumption needed at the plant by approximately 75%. The

equipment has been newly manufactured and will be delivered from storage in Chile to the site next

week. Civil work such as pad levelling, electrical, and plumbing is underway in preparation to install the

equipment.

CEO Alastair McIntyre comments "We are pleased to receive this important approval as the next step in

completing our processing facility. With our processing design, APN will be one of the first companies in

the Chilean small mining sector to implement an industry-leading environmental process focussed on

water conservation and waste reduction. Water is an important resource in Chile and our process is

designed to preserve this precious resource. I believe our best practice approach to sustainable mining

and environmentally friendly processing will minimize our footprint and establish APN as a leader in the

Chilean small mining sector."

Plant Description

The APN processing facility will employ modern high efficiency flotation circuits that focus on the

recovery of copper and gold while also utilizing a magnetic separation system for the recovery of

magnetite and other iron minerals (Figure 1). The circuit will use a filter press system for copper

concentrate and tails and a disc filter for the iron concentrate. All systems are designed to focus on water

conservation and reducing total tails output. The combined process is designed to reduce the total

material reporting to tailings by up to 50%, compared to the standard practice of copper processing

plants treating iron oxide copper gold (IOCG) deposits.

Water will be recovered and recycled thus

ensuring water is reused efficiently, with an expected reduction in freshwater consumption by

approximately 75% over conventional systems.

Typically, standard plant configurations for small mining

are limited to recovery by flotation without efficient water recovery systems. In addition, moisture content

in the tailings will be reduced to approximately 10% to 15% through the filter press system and placed in

a dry stack tailings facility. This additional process will significantly reduce water loss to evaporation

compared to conventional tailings dam. The processing facilty completion date is scheduled for Q1

2022.

Figure 1. Processing Plant Flow Sheet.

To view an enhanced version of Figure 1, please visit:

https://orders.newsfilecorp.com/files/4303/107781_a836b1cff4e9c8c9_001full.jpg

In addition to the conservation of water, magnetic separation can recover up to half of the plant feed as a

saleable iron concentrate. A total of 1,850 tonnes of iron oxide is expected to be recovered per month

and can represent a significant portion of revenue combined with the sale of the copper-gold

concentrate.

The circuit takes advantage of magnetic properties of the iron mineralization in the mill feed and does

not require additional grinding or dewatering as the feed to magnetic separators is tailings or rejects of

the flotation circuit.

This process greatly reduces the quantity of tailings that needs disposal in a tailings

storage facility while maximizing the recovery of all minerals in mill feed, thus reducing the overall

environmental footprint of the mining process.

Figure 2. Schematic Illustration of the Magnetic and Drying Facilities.

If you cannot view Figure 2 above, please visit:

https://orders.newsfilecorp.com/files/4303/107781_rfigure2.jpg

A schematic video illustration of the mill operation can be viewed through the following link:

https://www.youtube.com/watch?v=CtbQcP0zqUs

Cannot view this video?

Visit:

https://www.youtube.com/watch?v=CtbQcP0zqUs

Altiplano has generated greater than US$7.2 million from the recovery and sale of approximately 3.6

million pounds of copper with an average grade of 1.74% Cu (2018 Q1-2021 Q3). Cash flow has been

re-invested into equipment, underground drilling, expanding underground development, enhancing

ventilation to increase productivity and capacity, and the commencement of the permitted El Peñón fit-

for-purpose mill and flotation plant located 15 km from the Farellon site.

About Altiplano

Altiplano Metals is a growing gold, silver, and copper company focused on the Americas. The Company

has a diversified portfolio of assets that include an operating copper-gold-iron mine, development near

term producing gold-copper projects, and exploration land packages with district-scale potential.

Altiplano is focused on creating long-term stakeholder value through developing safe and sustainable

production, reinvesting into exploration, and pursuing acquisition opportunities to complement its

existing portfolio. Management has a substantial record of success in capitalizing on opportunity,

overcoming challenges and building shareholder value. Altiplano trades on the Toronto Venture

Exchange trading under the symbol APN and the Frankfurt Exchange under the symbol A2JNFG.

John Williamson, B.Sc., P.Geol., a Qualified Person as defined by NI 43-101, has reviewed, and

approved the technical contents of this document.

Altiplano is part of the Metals Group of companies, managed by an award-winning team of professionals

who stand for technical excellence, painstaking project selection and uncompromising corporate

governance, with a proven ability to capitalize on investment opportunities and deliver shareholder

returns.

www.metalsgroup.com

ON BEHALF OF THE BOARD

/s/ "John Williamson"

Chairman

For further information, please contact:

Alastair McIntyre, President and CEO.

[email protected]

Tel: (416) 434-3799

Jeremy Yaseniuk, Director

[email protected]

Tel: (604) 773-1467

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the

policies of the (TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this

release.

This release includes certain statements that may be deemed "forward-looking statements". All

statements in this release, other than statements of historical facts, that address exploration drilling,

exploitation activities and events or developments that the Company expects are forward-looking

statements. A qualified person has not done sufficient work to classify any historical estimates as

current mineral resources or mineral reserves and the issuer is not treating the historical estimates as

current mineral resources or mineral reserves. The Farellon mine was previously in production dating

back to the 1970's with a reported historical production (to a depth of 70 m) yielding approximately

300,000 tonnes at an average grade of 2.5% copper and 0.5g/t gold. This material was processed

locally and sold to ENAMI. Altiplano is relying upon past production records, underground sampling

and related activities and current diamond drilling to estimate grade and widths of the mineralization

to reactivate production. The decision to commence production on the Farellon deposit is not based

on a feasibility study of mineral reserves demonstrating economic and technical viability and there is

increased uncertainty and economic and technical risks of failure associated with any production

decision. Although the Company believes the expectations expressed in such forward-looking

statements are based on reasonable assumptions, such statements are not guarantees of future

performance and actual results or developments may differ materially from those in the forward-

looking statements. Factors that could cause actual results to differ materially from those in forward-

looking statements include market prices, exploitation and exploration successes, continuity of

mineralization, uncertainties related to the ability to obtain necessary permits, licenses and title and

delays due to third party opposition, changes in government policies regarding mining and natural

resource exploration and exploitation, and continued availability of capital and financing, and general

economic, market or business conditions. Investors are cautioned that any such statements are not

guarantees of future performance and actual results or developments may differ materially from those

projected in the forward-looking statements. For more information on the Company, investors should

review the Company's continuous disclosure filings that are available at

www.sedar.com

.

To view the source version of this press release, please visit

https://www.newsfilecorp.com/release/107781