ERO.TO · 2023-04-05 12:00:00

Ero Copper Demonstrates Significant Near-Term Growth in Updated 5-Year Outlook

Corporate Updates

April 5, 2023

Vancouver, British Columbia – Ero Copper Corp. (TSX: ERO, NYSE: ERO) ("Ero" or the

“Company”) is pleased to provide an updated five-year operating outlook, reflecting the

Company's continued execution of ongoing strategic growth initiatives, including the

forecasted first production from the Tucumã Operation in 2024 and first production utilizing

the new external shaft at the Caraíba Operations' Pilar Mine in 2027.

HIGHLIGHTS

On Track to Deliver Significant Near-Term Growth

• Consolidated copper production expected to increase by approximately 125% from

2022 levels to a range of 100,000 to 110,000 tonnes in 2025, higher than the

Company's previous 2025 production forecast of 92,000 to 102,000 tonnes1

• Gold production on track to grow by approximately 40% from 2022 levels to a range

of 55,000 to 60,000 ounces per year beginning in 2024

Tucumã Production Plan Enhanced by Infill Drilling Program & Stockpile Optimization

• Higher expected mined copper grades at Tucumã during the first three years of

operation driven by positive grade reconciliation from recent infill drilling

• Additional increases to processed copper grades driven by stockpile optimization

associated with a planned increase in mining rates during 2025 and 2026 as compared

to the Company's five-year outlook issued in 20221 (the "2022 5-Year Outlook")

Caraíba Outlook Reflects Success of Project Honeypot

• The Caraíba Operations' improved copper grade projections compared to the 2022 5-

Year Outlook1 driven by the success of Project Honeypot

• The ongoing integration of Project Honeypot into Caraíba's life-of-mine ("LOM")

production plan enabled the deferral of approximately $55 million 2 of new external

shaft-related capital from 2022 to subsequent periods

Xavantina Outlook Showcases Ongoing Execution of NX 60 Initiative

• Higher expected gold grades compared to the 2022 5-Year Outlook 1 demonstrate

continued value creation through investment in exploration and underground

infrastructure

• Matinha Vein on track to begin production in H2 2023, ahead of original 2024 timeline

1 Please refer to the Company's press release dated January 11, 2022.

2 Assumes high-end of original 2022 growth capital expenditure range of $125 to $140 million for the Caraíba

Operations as announced in the 2022 5-Year Outlook press release dated January 11, 2022.

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Commenting on the Company's updated five-year outlook, David Strang, Chief Executive

Officer, said "I am pleased to share the results of our team's efforts across our portfolio to

continue elevating our mine plans and growth trajectory. The cumulative impa ct is best

reflected in the considerable improvement to processed grades across our operations over the

projection period, which has helped to meaningfully mitigate the effects of inflation on our

unit operating costs.

"At the Tucumã Project, our production outlook for 2025 has increased by over 15% due

primarily to higher anticipated mined grades in 2024 through 2026 based on recent infill

drilling. Furthermore, by increasing mining rates and optimizing Tucumã's stockpile strategy

in 2025 and 2026, our outlook reflects an additional improvement in processed copper

grades over the same period, with production expected to peak at over 55,000 tonnes at cash

costs in-line with the Tucumã Project Technical Report.

"Similarly, at our Caraíba Operations, the success of Project Honeypot has driven higher

anticipated processed copper grades over the next three years, partially offsetting the

combined impact of inflation and changes in sales channel allocations. Additionally, the

deferral of the new external shaft enabled us to shift approximately $55 million in capital

originally planned for 2022 to subsequent periods, smoothing our consolidated capital profile

over the projection period.

"Higher expected gold grades and sustained gold production of 55,000 to 60,000 ounces at

our Xavantina Operations are a result of the success of our NX 60 initiative as well as ongoing

investments in exploration. With the Matinha Vein on track to begin production earlier than

originally planned, and with 25% excess capacity remaining at the Xavantina mill, our team is

focused on regional exploration opportunities that we hope will be able to offer additional

production upside in the years ahead.

"As we progress through 2023, we have maintained strong momentum on all of our strategic

initiatives and look forward to delivering the peer-leading growth reflected in our updated

five-year outlook."

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5-YEAR OPERATING OUTLOOK

The Company's updated five-year operating outlook reflects the continued execution of

several strategic growth initiatives, including construction of the Tucumã Project as well as

progress on the Company's Pilar 3.0 and NX 60 initiatives at its Caraíba and Xavantina

Operations, respectively. Collectively, these growth initiatives are expected to more than

double forecasted copper production to approximately 100,000 to 110,000 tonnes in 2025

and increase annual gold production by approximately 40% to a range of 55,000 to 60,000

ounces beginning in 2024.

Updated copper production estimates for the Tucumã Project reflect higher expected mined

grades in the first three years of operation driven by positive grade reconciliation from recent

infill drilling. Higher anticipated mining rates and stockpile optimization in 2025 and 2026

have driven additional increases to projected processed copper grades over the same period.

As a result, the Company expects to produce an incremental 15,000 3 tonnes of copper at

Tucumã between 2025 and 2026 when compared to the 2022 5-Year Outlook.

As previously announced, the Company's Pilar 3.0 initiative at its Caraíba Operations is

comprised of three ongoing projects that, together, are expected to enable the creation of a

two-mine system at the Pilar Mine capable of supporting sustained annual ore production

levels of 3.0 million tonnes per annum, nearly double the 1.6 million tonnes of ore mined

from the Pilar Mine in 2022. The components of Pilar 3.0 include (i) Project Honeypot, an

engineering initiative focused on recovering higher-grade material in the upper levels of the

Pilar Mine, (ii) an expansion of the Caraíba mill from 3.0 to 4.2 million tonnes of annual

throughput capacity, and (iii) construction of a new external shaft to service the lower levels

of the Pilar Mine, including the Deepening Extension Zone.

In 2022, the success of Project Honeypot drove a significant increase to the Caraíba

Operations' estimated mineral resources, mineral reserves and mine life, allowing the

Company to defer the delivery date of the new external shaft while maintaining strong

production volumes and operating margins4. As a result, approximately $55 million2 of capital

originally planned for 2022 on the new external shaft was shifted to subsequent periods.

At the Xavantina Operations, the NX 60 initiative is focused on achieving sustained annual

gold production levels of approximately 60,000 ounces, primarily through the development of

a second source of mill feed and utilization of excess capacity at the Xavantina mill. Beginning

in the second half of 2023, production from the Santo Antônio Vein will be supplemented by

production from the Matinha Vein, increasing mill utilization from approximately 60% to

nearly 75% and bringing anticipated annual gold production to a range of 55,000 to 60,000

ounces starting in 2024.

3 Based on the consolidated midpoints of guidance for production at Tucumã in 2025 and 2026 in the updated

five-year outlook compared to the 2022 5-Year Outlook announced on January 11, 2022.

4 Please refer to the Company's press release dated November 7, 2022.

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Anticipated growth milestones over the projection period include:

• Commencement of production from the Matinha Vein at the Xavantina Operations in

H2 2023

• Commissioning of the Caraíba mill expansion from 3.0 to 4.2 million tonnes of annual

throughput capacity in Q4 2023

• Commencement of production at Tucumã in H2 2024

• Delivery of the new external shaft, enabling a two-mine system at the Pilar Mine, in

early 2027

COST AND CAPITAL EXPENDITURE OUTLOOKS

The Company's cost and capital expenditure outlooks reflect elevated price assumptions for

key consumables, including diesel, steel and cement, when compared to the 2022 5-Year

Outlook, and assume a USD:BRL foreign exchange rate of 5.30. Cost guidance assumes gold

and silver prices averaging approximately $1,750 per ounce and $22.00 per ounce,

respectively, over the projection period. For Caraíba and Tucumã, cost projections also reflect

higher treatment and refining charges, in-line with increases seen in global copper treatment

and refining charge benchmarks since the 2022 5-Year Outlook.

At the Caraíba Operations, the Company is projecting sales of copper concentrate to its

domestic customer to increase from 0% assumed in 2023 to 50% in 2024 and 2025 and

100% thereafter. Changes related to the allocation and negotiated terms of copper

concentrate sales, including higher assumed treatment and refining charges for both domestic

and international sales, drove an increase in Caraíba's cash costs compared to the 2022 5-

Year Outlook of approximately $0.45 in 2023, approximately $0.30 in 2024 and 2025, and

approximately $0.15 in 2026.

Blended Copper C1 Cash Cost Outlook

($ per pound of copper produced)

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Capital Expenditure Outlook5

($ in millions)

5 Capital expenditure guidance for 2023 includes exploration expenditures of $31 to $40 million. Exploration

expenditures beyond 2023 will be dependent on exploration success, and as a result, have not been assumed

for 2024 or later.

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2023 2024 2025 2026 2027

Production Guidance

Copper (tonnes)

Caraíba Operations 44,000 - 47,000 45,000 - 50,000 45,000 - 50,000 45,000 - 50,000 45,000 - 50,000

Tucumã Project — 20,000 - 30,000 55,000 - 60,000 45,000 - 50,000 30,000 - 35,000

Total Copper 44,000 - 47,000 65,000 - 80,000 100,000 - 110,000 90,000 - 100,000 75,000 - 85,000

Gold (ounces)

Xavantina Operations 50,000 - 53,000 55,000 - 60,000 55,000 - 60,000 55,000 - 60,000 55,000 - 60,000

Cost Guidance

Copper C1 Cash Cost ($/lb)

Caraíba Operations $1.40 - $1.60 $1.25 - $1.45 $1.40 - $1.60 $1.30 - $1.50 $1.10 - $1.30

Tucumã Project — $0.90 - $1.20 $0.80 - $1.00 $1.05 - $1.25 $1.10 - $1.30

Blended C1 Cash Cost ($/lb) $1.40 - $1.60 $1.15 - $1.35 $1.05 - $1.25 $1.20 - $1.40 $1.10 - $1.30

Gold C1 Cash Cost ($/oz) $475 - $575 $500 - $600 $500 - $600 $500 - $600 $500 - $600

Gold AISC ($/oz) $725 - $825 $650 - $750 $600 - $700 $600 - $700 $600 - $700

Capital Expenditure Guidance ($ in millions)

Caraíba Operations

Growth $80 - $90 $75 - $85 $60 - $70 $45 - $55 $10 - $20

Sustaining $65 - $75 $65 - $75 $65 - $75 $65 - $75 $65 - $75

Exploration $22 - $27 future exploration expenditures dependent on exploration success

Total $167 - $192 $140 - $160 $125 - $145 $110 - $130 $75 - $95

Tucumã Project

Growth $150 - $165 $80 - $90 — — —

Sustaining — $5 - $10 $15 - $25 $15 - $25 $25 - $35

Exploration $0 - $1 future exploration expenditures dependent on exploration success

Total $150 - $166 $85 - $100 $15 - $25 $15 - $25 $25 - $35

Xavantina Operations

Growth $4 - $5 $4 - $5 $0 - $1 $0 - $1 $0 - $1

Sustaining $12 - $14 $8 - $10 $5 - $7 $5 - $7 $5 - $7

Exploration $6 - $7 future exploration expenditures dependent on exploration success

Total $22 - $26 $12 - $15 $5 - $8 $5 - $8 $5 - $8

Other Exploration Projects $3 - $5 future exploration expenditures dependent on exploration success

Total

Growth $234 - $260 $159 - $180 $60 - $71 $45 - $56 $10 - $21

Sustaining $77 - $89 $78 - $95 $85 - $107 $85 - $107 $95 - $117

Exploration $31 - $40 future exploration expenditures dependent on exploration success

Total $342 - $389 $237 - $275 $145 - $178 $130 - $163 $105 - $138

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Note: Guidance is based on certain estimates and assumptions, including but not limited to, mineral reserve

estimates, grade and continuity of interpreted geological formations and metallurgical performance. Please

refer to the Company's SEDAR and EDGAR filings, including the Company's Annual Information Form for the

year ended December 31, 2022 and dated March 7, 2023 (the "AIF") , for complete risk factors. C1 Cash Costs

and AISC are non-IFRS measures. For more information on the Caraíba Operations, Xavantina Operations and

Tucumã Project, please refer to the respective technical report. Please see the Notes section of this press

release for additional information.

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5-YEAR PRODUCTION PLAN

The Company's updated five-year operating outlook is based on the five-year production plan

provided below. Tonnes and grade are based on current mine plan assumptions and

represent the midpoint of performance expectations with a range of +/- 10%.

2023 2024 2025 2026 2027

Caraíba Operations

Pilar Mine

Tonnes (kt) 1,900 2,450 2,750 2,900 3,100

Grade (% Cu) 1.60% 1.45% 1.45% 1.35% 1.35%

Vermelhos Mine

Tonnes (kt) 850 850 850 800 800

Grade (% Cu) 1.75% 1.25% 1.10% 1.20% 1.10%

Surubim Mine

Tonnes (kt) 550 600 500 600 1,000

Grade (% Cu) 0.70% 0.55% 0.50% 0.65% 1.00%

Processing Operations

Tonnes (kt) 3,300 3,900 4,100 4,200 4,200

Grade (% Cu) 1.50% 1.30% 1.25% 1.25% 1.25%

Recovery Rate 91.5% 92.0% 92.0% 92.0% 92.0%

Recovered Copper (tonnes) 44,000 - 47,000 45,000 - 50,000 45,000 - 50,000 45,000 - 50,000 45,000 - 50,000

Tucumã Project

Mining Operations

Tonnes (kt) — 2,300 4,800 5,000 3,700

Grade (% Cu) — 1.35% 1.30% 1.10% 0.85%

Processing Operations

Tonnes (kt) — 2,200 4,000 4,000 4,000

Grade (% Cu) — 1.35% 1.50% 1.25% 0.85%

Recovery Rate — 93.0% 93.0% 93.0% 92.0%

Recovered Copper (tonnes) — 20,000 - 30,000 55,000 - 60,000 45,000 - 50,000 30,000 - 35,000

Total Recovered Copper (tonnes) 44,000 - 47,000 65,000 - 80,000 100,000 - 110,000 90,000 - 100,000 75,000 - 85,000

Xavantina Operations

Tonnes (kt) 175 220 220 220 220

Grade (% Cu) 10.00 9.00 9.00 8.75 8.50

Recovery Rate 92.0% 92.0% 92.0% 92.0% 92.0%

Recovered Gold (ounces) 50,000 - 53,000 55,000 - 60,000 55,000 - 60,000 55,000 - 60,000 55,000 - 60,000

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