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Capstone Safely Ramping Down Cozamin Operations in Accordance with Mexican Government Decree Related to COVID-19 Restrictions

Mine Development & Operations

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April 7, 2020

Capstone Safely Ramping Down Cozamin Operations in Accordance with Mexican

Government Decree Related to COVID-19 Restrictions

Vancouver, British Columbia – Capstone Mining Corp. (“Capstone” or the “Company”) (TSX:CS) announces it

has been taking steps to safely and systematically reduce mining and processing activities at its Cozamin operation

in Zacatecas, Mexico, to comply with a government-mandated suspension of all non-essential activities. On March

31, 2020, the Mexican Federal Government declared a national health emergency in response to the COVID-19

pandemic and suspended all non-essential activities in private and public sectors until April 30, 2020.

Since March 31, 2020, Capstone has been working with government, surrounding communities, industry peers and

its employees and contractors to understand and comply with the government mandate. The Company is taking all

steps necessary to be able to quickly and safely ramp production back up once the temporary suspension has

been lifted. A reduced workforce will remain onsite to maintain key infrastructure, manage environmental

compliance and provide requisite security.

At this time, Capstone’s Pinto Valley operation in Arizona remains at full capacity. Each of the Company’s

operations has developed site-specific screening, education and modifications to work procedures to limit COVID -

19 exposure and transmission. Capstone’s priority is to ensure the health and safety of our people and the

communities in which we operate, and is following the requirements and advice of local government authorities and

the World Health Organization. Refer to the news release of March 25, 2020 for some of the rigorous control and

prevention measures implemented by the Company.

GUIDANCE UPDATE

In light of the temporary suspension at Cozamin and the ongoing uncertainty regarding COVID -19, Capstone has

decided to withdraw its full-year 2020 production guidance. The Company will continue to target safe execution of

its operation plans and will re-evaluate its full-year 2020 guidance as the pandemic evolves.

ABOUT CAPSTONE MINING CORP.

Capstone Mining Corp. is a Canadian base metals mining company, focused on copper. Our two producing mines

are the Pinto Valley copper mine located in Arizona, US and the Cozamin copper-silver mine in Zacatecas State,

Mexico. In addition, Capstone has the large scale 70% owned copper-iron Santo Domingo development project in

Region III, Chile, in partnership with Korea Resources Corporation, as well as a portfolio of exploration properties.

Capstone's strategy is to focus on the optimization of operations and assets in politically stable, mining- friendly

regions, centred in the Americas. We are committed to the responsible development of our assets and the

environments in which we operate. Our headquarters are in Vancouver, Canada and we are listed on the Toronto

Stock Exchange (TSX). Further information is available at www.capstonemining.com.

For further information please contact:

Jerrold Annett, VP, Strategy & Capital Markets

416-572-2272

[email protected]

Virginia Morgan, Manager, IR & Communications

604-674-2268

[email protected]

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

This news release, and the documents incorporated by reference herein, may contain “forward- looking information”

Suite 2100 – 510 West Georgia Street

Vancouver, BC, V6B 0M3, Canada

Tel: 604-684-8894 Fax: 604-688-2180

www.capstonemining.com

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within the meaning of Canadian securities legislation and “forward-looking statements” within the meaning of the

United States Private Securities Litigation Reform Act of 1995 (collectively, “forward-looking statements”). These

forward-looking statements are made as of the date of this document and Capstone Mining Corp. (“Capstone” or

the “Company”) does not intend, and does not assume any obligation, to update these forward- looking statements,

except as required under applicable securities legislation. Forward-looking statements relate to future events or

future performance and reflect our expectations or beliefs regarding future events. Forward- looking statements

include, but are not limited to, statements with respect to the continuing success of mineral exploration, Capstone’s

ability to fund future exploration activities, the estimation of mineral resources and mineral reserves, the realization

of mineral reserve estimates, the timing and amount of estimated future production, costs of production and capital

expenditures, the success of our mining operations, the impact of COVID-19 on aspects of our business such as

production, costs, ability to sell and transport our concentrate, our supply chain, our ability to maintain our RCF, our

ability to meet other financial obligations, governmental orders and related sanctions, the health and safety of our

workforce and the communities in which we operate, the estimations for potential quantities and grade of inferred

resources and exploration targets, environmental risks, unanticipated reclamation expenses and title disputes. In

certain cases, forward-looking statements can be identified by the use of words such as “plans”, “expects”,

“aiming”, “approximately”, “guidance”, “scheduled”, “target”, “estimates”, “forecasts”, “extends”, “convert”,

“potential”, “intends”, “anticipates”, “believes” or variations of such words and phrases, or statements that certain

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

or the negative of these terms or comparable terminology. By their very nature, forward- looking statements involve

known and unknown risks, uncertainties and other factors that may cause our actual results, performance or

achievements to be materially different from any future results, performance or achievements expressed or implied

by the forward-looking statements. Such factors include, amongst others, risks related to inherent hazards

associated with mining operations and closure of mining projects, the inherent uncertainty of mineral exploration

and estimations of exploration targets, future prices of copper and other metals, compliance with financial

covenants, surety bonding, our ability to raise capital, Capstone’s ability to acquire properties for growth,

counterparty risks associated with sales of our metals, foreign currency exchange rate fluct uations, changes in

general economic conditions, accuracy of mineral resource and mineral reserve estimates, operating in foreign

jurisdictions with risk of changes to governmental regulation, compliance with governmental regulations,

compliance with environmental laws and regulations, reliance on approvals, licences and permits from

governmental authorities, impact of climatic conditions on our operations, aboriginal title claims and rights to

consultation and accommodation, land reclamation and mine closure obligations, risks relating to widespread

epidemics or pandemic outbreak including the COVID-19 pandemic; the impact of COVID-19 on our workforce,

suppliers and other essential resources and what effect those impacts, if they occur, would have on our business;

uncertainties and risks related to the potential development of the Cozamin project, increased operating and capital

costs, challenges to title to our mineral properties, maintaining ongoing social license to operate, dependence on

key management personnel, potential conflicts of interest involving our directors and officers, corruption and

bribery, limitations inherent in our insurance coverage, labour relations, increasing energy prices, competition in the

mining industry, risks associated with joint venture partners, our ability to integrate new acquisitions into our

operations, cybersecurity threats, legal proceedings, and other risks of the mining industry as well as those factors

detailed from time to time in the Company’s interim and annual financial statements and MD&A of those

statements, all of which are filed and available for review under the Company’s profile on SEDAR at

www.sedar.com. Although the Company has attempted to identify important factors that could cause our actual

results, performance or achievements to differ materially from those described in our forward- looking statements,

there may be other factors that cause our results, performance or achievements not to be as anticipated, estimated

or intended. There can be no assurance that our forward-looking statements will prove to be accurate, as our

actual results, performance or achievements could differ materially from those anticipated in such statements.

Accordingly, readers should not place undue reliance on our forward-looking statements.