Cerrado GOLD Achieves Record Cashflow and Low Operating Costs at Its Minera Don Nicolas MINE IN the Fourth Quarter 2021

April 18, 2022 www.cerradogold.com

CERRADO GOLD ACHIEVES RECORD CASHFLOW AND LOW OPERATING COSTS AT ITS MINERA

DON NICOLAS MINE IN THE FOURTH QUARTER 2021

• Record Q4 Gold Production of 15,008 ounces

• Record Q4 Adjusted EBITDA of $8.3 million

• Record low Q4 AISC of $995 ounces

TORONTO, ONTARIO - Cerrado Gold Inc. (TSX.V: CERT) (OTCQX: CRDOF ) ("Cerrado" or the

"Company”) is pleased to announce its operational and financial results for the fourth quarter of

2021 (“Q4/21”). The fourth quarter represents the first quarter of post completion of operational

restructuring at its Minera Don Nicolas (“MDN”) Mine in Argentina. The Company’s annual financial

results are reported and available on SEDAR as well as on the C ompany’s website

(www.cerradogold.com).

(All numbers reported in US dollars)

Q4 2021 Minera Don Nicolas (“MDN”) Operational Highlights:

• Record gold production of 15,008 ounces in Q4/21, a 48% improvement year-on-year (“yoy”)

Annual 2021 production of 42,267 ounces, a 155% improvement yoy

• Strong operating margin of $8.1 million and operating cash flows of $4.7 million in the fourth

quarter

• AISC of $995 per ounce, a record low since the Cerrado acquisition and the fifth consecutive

quarter of improvement

Mark Brennan, CEO and Co -Chairman stated: “It has been extremely gratifying to see the strong

operating performance delivered by Cerrado’s Argentinian team translating into strong cashflow

generation during the fourth quarter. With the improved operating performance, w e expect our

Argentinian operations to continue to be self-supporting as we pivot to the next stage of growth at

MDN and develop and grow our assets in Brazil.”

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Corporate Highlights

• On March 14, 2022, Cerrado announced the closing of a $20 million stream financing

agreement with Sprott Resource Streaming and Royalty to fund to construction the Monte

de Carmo gold project in Brazil.

Fourth Quarter 2021 Operational and Financial Performance

The Company produced 15,008 ounces of gold and 27,579 ounces of silver during the three months

ended December 31, 2021, as compared to 5,168 ounces of gold and 14,043 ounces of silver in the

three months ended December 31, 2020. Production was 132% higher in the three months ended

December 31, 2021 due to higher mining rates, throughput and higher grade. Production of 12,864

ounces of gold in the fourt h quarter 2021 als o represented a 27% improvement over the 10,1 68

ounces of gold produced in the third quarter of 2021.

The average gold head grade of 4.77 g/t was the highest recorded since the Cerrado acquisition and

represents a 34% increase as compared to the average head grade of 2.38 recorded in the fourth

Key Operating Information Unit 2021 2020 2021 2020

Operating Data

Ore Mined ktonnes 120.50 59.80 411.64 185.20

Waste Mined ktonnes 1,061.13 850.69 5,113.87 2,679.77

Total Mined ktonnes 1,224.66 925.50 5,738.04 2,899.12

Strip Ratio waste/ore 8.81 14.23 12.42 14.47

Mining rate ktpd 13.31 12.18 15.98 10.78

Ore Milled ktonnes 109.89 78.52 413.50 245.04

Head Grade Au g/t 4.77 2.38 3.51 2.36

Head Grade Ag g/t 17.94 9.22 12.63 7.69

Recovery Au % 89% 89% 89% 89%

Recovery Ag % 57% 64% 59% 63%

Mill Throughput tpd 1,194 1,033 1,152 911

Gold Ounces Produced oz 15,008 5,168 42,267 16,545

Silver Ounces Produced oz 27,579 14,043 94,092 36,780

Gold Ounces Sold oz 12,864 5,552 38,839 17,673

Silver Ounces Sold oz 26,268 15,369 88,093 38,767

Average realized price and Average realized margin

Metal Sales $ 000's 23,100 10,267 70,051 32,194

Cost of Sales $ 000's 14,984 11,945 56,350 31,451

Gross Margin from Mining Operations $ 000's 8,116 (1,678) 13,701 743

Average realized price per gold ounce sold (1) $/oz 1,748 1,783 1,747 1,779

Total Cash Cost per gold ounce sold (1) $/oz 764 1,660 1,057 1,364

Average realized margin per gold ounce sold (1) $/oz 984 123 690 415

Total Cash Costs (1) $ 000's $9,826 9,218 $41,048 $24,011

Total cash costs per ounce sold (1) $/oz $764 1,660 $1,057 $1,359

AISC - Minera Don Nicolas (1) $/oz $995 2,016 $1,356 $1,734

F inancial

Total revenue $ 000's 23,100 10,267 70,051 32,194

Mine operating expenses $ 000's 14,984 11,945 56,350 31,451

Income (loss) from mining operations $ 000's 8,116 (1,678) 13,701 743

Net income (loss) $ 000's 2,539 (5,171) (6,299) (12,569)

Adjusted EBITDA (1) $ 000's 8,286 (2,247) 11,754 (2,084)

Operating cash flow before movements in working capital (1) $ 000's 8,295 (3,229) 9,035 10,926

Operating cash flow $ 000's 4,686 (2,140) 6,618 16,196

Cash and cash equivalents $ 000's 1,726 6,638 1,726 6,638

Working capital surplus (deficiency) $ 000's (13,543) (1,983) (13,543) (1,983)

Capital Expenditures $ 000's 1,275 660 8,229 4,334

(1) This is a non-IFRS performance measure, see non-IFRS Performance Measures

(*) Does not include key operating information and statistics for the period from March 16, 2020 to March 31, 2020 at Minera Don Nicolas

Three Months Ended December 31 Year Ended December 31

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quarter of 2020. The fourth quarter gold head grade of 4.77 g/t also represents a 34% improvement

over the 3.57 gold head grade recorded in Q3 2021, Cerrado’s previous high for gold head grade.

Mill throughput of 109,890 tonnes of ore represents a 40% increase in throughput as compared to

the fourth quarter of 2020. Fourth quarter 2021 mill throughput also represents a 7% increase as

compared to the third quarter of 2021.

The Company generated revenue of $23.1 million for the three months ended December 31, 2021,

from the sale of 12,864 ounces of gold and 26,268 ounces of silver at an average realized price per

gold ounce sold of $1,7 48 and price per silver ounce sold of $23.48 For the three months ended

December 31, 2021, the Company generated revenue of $10.3 million from the sale of 5,552 ounces

of gold and 15,369 ounces of silver. Revenue from sales of gold and silver for the current period was

124% higher than the three months ended December 31, 2020, due the higher gold sales des pite

the lower realized price in the current period as compared to the three months ended December

31, 2020 $23.84.

Cash operating costs per ounce sold was $764 per ounce in the three months ended December 31,

2021, which is the lowest achieved during Cerrado’s ownership and fifth consecutive quarter of

improvement. Fourth quarter 2021 cash operating costs per ounce sold represents a 29% reduction

compared to Q3 2021 $1,075/oz and a 54% reduction compared to Q4 2020 $1,660/oz

Net income for the three months ended December 31, 2021, was $2.5 million as compared to a $5.2

million net loss for the three months ended December 31, 2020, an improvement of $ 7.7 million.

The increase in net income is primarily a result of a mine operating margin of $3.5 million (an

increase of $2.6 million) offset by an increase in general and administrative expenses of $0.8 million

and an increase of other expense by $ 1.0 million. Net income in the fourth quarter of 2021 also

represented a $3.9 improvement as compared to Q3 2021.

The Company incurred general and administrative expenses of $ 2.8 million for the three months

ended December 31 , 2021 a $ 0.3 million increase compared to the general and administrative

expenses incurred during the three months ended Dec ember 31, 2020. During the three months

ended December 31, 2021, the Company had increases in non-cash stock based compensation

expenses which were offset by decreases in salaries and professional fees.

Other expense incurred of $0.9 million during the three months ended December 31, 2021, was $1.4

million higher than other expense recorded during the three months en ded December 31, 2021.

During the three months ended September 30, 2021, the Company recorded higher finance costs

offset by foreign exchange gains.

Adjusted EBITDA was $8.3 million in the fourth quarter of 2021 which is a $10.5 million improvement

as compared to the $2.2 million adjusted EBITDA loss recorded in the fourth quarter 2020. Adjusted

EBITDA also represented a $5.6 million improvement as compared to the third quarter of 2021.

Basic and diluted earnings per share for the three months ended December 31, 2021, was $0.03,

compared to the basic and diluted loss per share of $0. 11 for the three months ended December

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31, 2020, a $0.14 per share improvement as a result of the improved operating performance of the

mine in 2021.

Technical Disclosure/Qualified Person

The scientific and technical information contained in this press release has been reviewed and

approved by Sergio Gelcich , P.Geo., Vice President, Exploration for Cerrado Gold Inc. , who is a

"qualified person" as defined in NI 43-101.

Mark Brennan Nicholas Campbell, CFA

CEO and Co Chairman Director, Corporate Development

Tel: +1-647-796-0023 Tel.: +1-905-630-0148

[email protected] [email protected]

About Cerrado Gold

Cerrado Gold is a public gold producer and exploration company with gold production derived from

its 100% owned Minera Don Nicolás mine in Santa Cruz province, Argentina. It also owns 100% of

the assets of Minera Mariana in Santa Cruz province, Argentina. The company is also undertaking

exploration at its 100% owned Monte Do Carmo project located in Tocantins, Brazil. For more

information about Cerrado Gold please visit our website at: www.cerradogold.com.

Disclaimer

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DEFINED IN POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE

ADEQUACY OR ACCURACY OF THIS RELEASE.

This press release contains statements that constitute “forward- looking information” (collect ively,

“forward-looking statements”) within the meaning of the applicable Canadian securities legislation,

All statements, other than statements of historical fact, are forward -looking statements and are

based on expectations, estimates and projections as at the date of this news release. Any statement

that discusses predictions, expectations, beliefs, plans, projections, objectives, assumptions, future

events or performance (often but not always using phrases such as “expects”, or “does not expect”,

“is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”,

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actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be

achieved) are not statements of historical fact and may be forward-looking statements.

Forward-looking statements contained in this press release include, without limitation, statements

regarding the business and operations of Cerrado Gold. In making the forward- looking statements

contained in this press release, Cerrado Gold has made certain assumptions, including, but not

limited to ability of the Minera Don Nicolas mine to independently fund its operations from cash

flow. Although Cerrado Gold believes that the expectations reflected in forward-looking statements

are reasonable, it can give no assurance that the expectations of any forward- looking statements

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will prove to be correct. Known and unknown risks, uncertainties, and other factors which may cause

the actual results and future events to differ materially from those expressed or i mplied by such

forward-looking statements. Such factors include, but are not limited to general business, economic,

competitive, political and social uncertainties. Accordingly, readers should not place undue reliance

on the forward -looking statements and information contained in this press release. Except as

required by law, Cerrado Gold disclaims any intention and assumes no obligation to update or revise

any forward-looking statements to reflect actual results, whether as a result of new information,

future events, changes in assumptions, changes in factors affecting such forward-looking statements

or otherwise.