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Jaguar Mining Continues to Intercept Significant Gold Mineralization at Orebody C; Pilar and Turmalina Principal Orebodies Report Increasing Grades and Thickness

Exploration Programs

NEWS RELEASE

June 18, 2018 TSX: JAG

FOR IMMEDIATE RELEASE

Jaguar Mining Continues to Intercept Significant Gold Mineralization at Orebody C;

Pilar and Turmalina Principal Orebodies Report Increasing Grades and Thickness

Toronto, June 18, 2018 – Jaguar Mining Inc ("Jaguar" or the "Company") (TSX: JAG) today announced growth

exploration drilling results from 13 underground holes at Turmalina Gold Mine (“Turmalina”) targeting depth

extensions to Orebody C. The Company also reported results from infi ll drilling and recent underground

access development at Turmalina on Orebodies A and C and Pilar Gold Mine (“Pilar”) on Orebodies BF and

BFII.

Turmalina Exploration Highlights

● Turmalina Orebody C growth drilling, targeting down dip extensions, confirms gold mineralization 300m

below current operations and open for expansion

● Significant high grade, wide and thick intercepts reflect down plunge extensions of the central high -grade

payshoot at Orebody C currently being accessed for mining. Key intercepts in clude 7.77 g/t Au over

4.50m (ETW 4.25m), 9.22 g/t Au over 5.85m (ETW 5.11m) and 4.91 g /t Au over 15.10m (ETW

(14.65m)

● Infill drill results on Orebodies A and C confirm wide high -grade intercepts. Orebody A key intercepts

include 10.92 g/t Au over 17.29m (ETW 17.22m) and 17.23 g/t Au over 5.42m (ETW 5.35m)

Orebody C key intercepts include 12.61 g/t Au x 4.16m (ETW 3.52m) and 3.36 g/t Au over 14.27m (ETW

14.27m) including 6.17 g/t Au over 5.32m (ETW 5.32m)

Pilar Exploration Highlights

● Infill drilling conf irms wide, thicker and higher grade intercepts at BF and BFII Orebodies. Key intercepts

include 22.8 g/t Au over 6.3m (ETW 5.5m), 12.2 g/t Au over 13m (ETW 12.7m), 6.5 g/t Au over 29.7m

(ETW 28.8m) and 12.9 g/t Au over 8.4m (ETW 8.2m)

Definitions: ETW – estimated true width, g/t Au – grams per tonne gold, m – metres, Grade ( g/t Au) x

Thickness (m) = GM (gram – meters)

Rodney Lamond, President and CEO, Jaguar Mining commented: “We continue to make excellent progress

accessing and defining higher grade, thicker portions of principle orebodies at both Turmalina and Pilar mining

operations. The continued success of growth exploration initiatives, with many holes intercepting gold

mineralization, particularly on Orebody C at Turmalina, support our view that w e have a significant gold

system. The addition of Orebody C to our mineral resources inventory, including shallow high -grade

mineralization, provides Turmalina additional ore faces and operational flexibility going forward and gives us

confidence in our ab ility to deliver on production expectations. At Pilar, the wide, high -grade mineralization

now accessed through development further demonstrates and supports our strong belief that Pilar’s increased

production profile is achievable and sustainable. We cont inue to invest in maximizing the geological

information that new drilling and development bring through our mine geological -structural mapping initiative

and these observations will help drive our short and long-term planning.”

2

JAGUAR MINING INC.

First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854

Turmalina Key Highlights

Results from a 13 growth exploration drill holes targeting down dip extensions to Orebody C below level 3

confirm continuity of the structure to beyond 8 level some 300m below current operations.

Recent drill results show sever al very high grade, wide drill intercepts with grade x thickness values > 30

including 7.77 g/t Au over 4.50m (ETW 4.25m), 9.22 g/t Au over 5.85m (ETW 5.11m) and 4.91 g/t Au over

15.10m (ETW (14.65m). These intercepts reflect the down plunge extensions of the central high -grade

payshoot currently being-accessed for mining on levels 3 and 4. Four drill intercepts with Grade x Thickness

values > 10 GM are also reported.

Orebody A

Results from infill drilling and access development from the main ramp on Leve ls 11.3 and 11.4 confirmed the

high grades and thickness profiles as predicted from the geological -resource models previously reported

(Refer press release to February 26, 2018). Results from 11 infill holes are reported of which seven holes

have intersections with grade x thickness of > 10 GM including two exceptional intercepts reporting 10.94 g/t

Au over 17.29m (ETW 17.22m) and 17.23 g/t Au over 5.42m (ETW 5.35m).

Orebody C

Results from infill drilling and access development on levels 3 and 4 confirmed the high grades and thickness

profiles as predicted from the geological -resource models and reported in the previous press -release (Refer

press release to February 26, 2018). Results from 22 infill holes are reported of which 14 holes have

intersections with a grade x thickness of > 10 GM including four intercepts with grade x thickness > 30 GM.

The two best intercepts reported are 12.61 g/t Au x 4.16m (ETW 3.52m) and 3.36 g/t Au over 14.27m (ETW

14.27m) including 6.17 g/t Au over 5.32m (ETW 5.32m).

Importantly, this infill drilling and geological – structural mapping on Orebody C access development has

allowed better definition and delineation of the orebody plunge which is now more to the SE (similar to that of

Orebody A) and helped define payshoot param eters for the higher grades and thicknesses within the overall

mineralized structure hosting this orebody. This information will inform mine design and planning to optimize

the extraction of these high-grade areas.

Pilar Key Highlights

Results from infill drilling and underground development on level 10 has exposed wider and materially higher -

grade mineralization in principal Orebodies BF and BFII.

Results from six infill holes targeting the principle orebodies on this level are reported. Of the 14 indiv idual

mineralized intercepts reported from these holes, four have grade x thickness intervals > 100 GM and a further

nine have grade x thickness intervals > 50 GM.

Key results include 22.8 g/t Au over 6.3m (ETW 5.5m), 12.2g/t Au over 13m (ETW 12.7m), 6.5 g/t Au over

29.7m (ETW 28.8m) and 12.9 g/t Au over 8.4m (ETW 8.2m)

Pilar commenced a mine wide, geological -structural mapping programme aimed at detailed mapping of all

available underground exposure at a scale of 1:100. Mapping of the BF and BFII Orebod ies on level 10.2 has

demonstrated the high grades exposed on this level are -related to the fold hinges and limbs of two

superimposed (by faulting) anticlines, which define the BF and BFII Orebodies. The plunges of these anticlines

have been verified by ma pping and structural measurements that will aid in targeting further exploration of

these important high-grade structures to depth. (Please refer to Figure 4).

As part of the previously reported growth exploration program at Pilar, drill -hole PPL443 was received

reporting strongly mineralized intervals within the targeted down plunge extensions to the principal ore zones

below 10 level. Key intercepts include were 2.7 g/t Au over 32.4m (ETW 18.2m) including 6.0 g/t Au over 3.1m

(ETW 1.7m) and 8.1 g/t Au over 4.0m (ETW 2.1m) and 3.4 g/t Au over 24.7m (ETW 15.9m) including 13.4 g/t

Au over 1.9m (ETW 1.2m) and 7.2 g/t Au over 4.6m (ETW 2.6m).

3

JAGUAR MINING INC.

First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854

Jon Hill, Expert Advisor, Geology and Exploration, to the Jaguar Mining Management Committee commented:

“We are pleased to see closer spaced drill -results and mapping validate the predicted resources inventory as

the mining sequence progresses. It is even better when grade and contained metals estimations are exceeded

as the orebodies defined by drilling are physically accessed for extraction. As we complete more detailed

closer spaced drilling and development, and as mining progresses, drill results demonstrating increasing

grade-thickness and ounce per vertical meter have become the norm at Pilar and Turmalina. The positive

results reported today again demonstrate confidence in the predictive geological models in use that will allow

longer-term life of mine scenario planning to be completed. Drill programs in 2018 remain focused on

converting and upgrading the growing mineral resources inventory and upgrading mineral reserves while

systematically exploring a growing portfolio of targets within the Company’s strategic tenement portfolio.”

Turmalina Gold Mine Drill Results and Intercepts

Table 1. Growth Exploration Drilling Results Orebody C

Turmalina Gold Mine

Growth Exploration Drill Results Orebody C

Hole ID From To Down Hole

Interval (m)

Estimated True

Width (m)

Gold Grade

(g/t)

GT

(ETW)

FTS1480 172.9 177 4.10 3.62 5.50 19.91

FTS1481 178.2 184.3 6.10 5.61 2.37 13.30

FTS1482 174.3 180.15 5.85 5.11 9.22 47.11

FTS1483 193.05 194.05 1.00 0.80 4.47 3.58

FTS1484 182.15 185.25 3.10 2.37 1.47 3.48

FTS1485 206.45 209.3 2.85 2.49 3.97 9.89

FTS1486 185 200.1 15.10 14.65 4.91 71.93

FTS1487 217.85 219.95 2.10 1.95 6.62 12.91

FTS1488

181.4 188.03 6.63 6.46 1.96 12.66

192.3 199.3 7.00 6.82 5.51 37.58

FTS1550 201.65 202.9 1.25 0.90 1.10 0.99

FTS1551 149.05 150 0.95 0.89 1.01 0.90

FTS1556 206.7 209.4 2.70 2.45 5.11 12.52

FTS1557 187.75 192.25 4.50 4.25 7.77 33.00

FTS1552 No impact

4

JAGUAR MINING INC.

First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854

Figure 1. Growth Exploration Drilling Results and Grade x Thickness Plot – Orebody C

Table 2. Infill Drilling Results Orebody A – Turmalina

Please note assay results reported in the tabulation below were analyzed at Jaguar’s Caeté Laboratory.

Turmalina Gold Mine

Infill Drill Results Orebody A

Hole ID From To Down Hole

Interval (m)

Estimated True

Width (m)

Gold Grade

(g/t) GT (ETW)

FTS1580 103.20 120.49 17.29 17.22 10.94 188.39

FTS1581 72.24 77.46 5.22 5.20 2.71 14.09

FTS1582 61.26 63.59 2.33 2.31 4.02 9.29

FTS1583 51.55 55.84 4.29 4.83 5.54 26.76

FTS1584

37.67 39.53 1.86 1.84 2.76 5.08

55.13 60.55 5.42 5.35 17.23 92.18

FTS1585 67.01 68.32 1.31 1.30 2.14 2.78

FTS1586 81.95 85.97 4.02 3.94 8.90 35.07

FTS1593 56.75 60.97 4.22 3.03 3.12 9.45

FTS1594 44.66 48.06 3.40 3.03 2.53 7.67

FTS1595 41.68 43.74 2.06 2.00 5.14 10.28

FTS1596 43.05 47.10 4.05 3.90 7.30 28.47

5

JAGUAR MINING INC.

First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854

Figure 2. Infill Drilling Results and Grade x Thickness Plot - Orebody A

Please note assay results reported in the diagram below were analyzed at Jaguar´s Caeté Laboratory.

6

JAGUAR MINING INC.

First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854

Table 3. Infill Drilling Results Orebody C

Please note assay results reported in the tabulation below were analyzed at Jaguar’s Caeté Laboratory.

Turmalina Gold Mine

Infill Drill Results Orebody C

Hole ID From To Down Hole

Interval (m)

Estimated True

Width (m)

Gold Grade

(g/t) GT (ETW)

FTS1499 26.27 28.29 2.02 1.71 3.49 5.97

FTS1501 38.17 40.95 2.78 1.17 2.61 3.05

FTS1502 60.22 62.39 2.17 2.07 2.10 4.35

FTS1509 28.77 29.52 0.75 0.55 3.27 1.80

FTS1515 123.52 127.68 4.16 3.52 12.61 44.39

FTS1516 126.15 128.36 2.21 1.93 7.04 13.59

FTS1517

64.67 70.35 5.68 4.22 5.42 22.87

73.48 74.48 1.00 0.74 2.96 2.19

FTS1518

50.13 51.13 1.00 0.80 4.63 3.70

66.56 80.83 14.27 14.27 3.36 48.00

Including 70.11 75.43 5.32 5.32 6.17 32.80

FTS1519 72.08 85.70 13.62 11.55 3.47 40.08

FTS1532 161.02 162.92 1.90 1.74 1.50 2.61

FTS1534 59.70 60.91 1.21 1.08 6.52 7.04

FTS1536 42.41 47.54 5.13 4.20 4.24 17.81

FTS1538 47.91 48.91 1.00 0.79 3.01 2.38

FTS1539

63.87 64.97 1.10 0.93 6.09 5.66

92.24 95.29 3.05 2.58 6.00 15.48

FTS1540

68.15 69.15 1.00 0.85 1.45 1.23

75.55 76.75 1.20 1.02 1.63 1.66

79.19 80.39 1.20 1.02 2.27 2.32

FTS1541 No intersection

FTS1542 53.07 57.20 4.13 3.85 1.73 6.66

FTS1543 55.75 59.10 3.35 3.16 4.61 14.57

FTS1547

62.45 68.35 5.90 3.46 4.66 16.12

92.01 100.79 8.78 6.52 4.04 26.34

FTS1548 75.13 80.02 4.89 4.10 5.20 21.32

FTS1549 79.77 86.57 8.74 7.32 3.31 24.23

FTS1571 110.07 115.94 5.87 4.29 4.05 17.37

7

JAGUAR MINING INC.

First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854

Figure 3. Infill Drilling Results and Grade x Thickness Plot - Orebody CSE Turmalina

Please note assay results reported in the diagram below were analyzed at Jaguar´s Caeté Laboratory.

Pilar Drill Results and Intercepts

Table 4. Infill Drilling Results Level 10

Pilar Gold Mine

Infill Drill Results Level 10

Hole ID From To Down Hole

Interval (m)

Estimated True

Width (m)

Gold Grade

(g/t) GT (ETW)

PPL484 41.5 65.8 24.3 20.8 3.1 65.4

PPL537 64.9 71.2 6.3 5.5 22.8 124.0

PPL409 44.9 58.6 13.7 13.0 5.2 67.1

PPL498 30.0 43.0 13.0 12.7 12.2 154.3

PPL455 51.0 66.8 15.8 15.0 5.3 79.9

PPL500 32.9 61.7 28.8 19.1 3.6 68.7

PPL479 72.3 81.6 9.3 3.4 7.2 24.8

PPL530 99.2 108.0 8.9 8.6 7.0 60.2

PPL502A 23.3 43.0 19.7 17.3 4.3 73.7

PPL495 26.1 34.4 8.4 8.2 12.9 106.2

PPL472 39.2 68.9 29.7 28.8 6.5 185.8

PPL536A 14.6 26.0 11.4 10.2 8.6 88.1

PPL470A 44.6 55.7 11.1 10.5 5.1 53.2

FSB604 1.1 15.0 13.9 13.5 6.1 82.5

8

JAGUAR MINING INC.

First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854

Figure 4. Infill Drilling Results and Geological Mapping Pilar Level 10.2