Jaguar Mining Reports Updated 2019 Mineral Reserves and Mineral Resources for the Turmalina Mine, Brazil Proven and Probable Reserves Increased 46%Year-over-Year
April 20, 2020 NEWS RELEASE
FOR IMMEDIATE RELEASE TSX: JAG
Jaguar Mining Reports Updated 2019 Mineral Reserves and Mineral Resources
for the Turmalina Mine, Brazil
Proven and Probable Reserves Increased 46%Year-over-Year
Toronto, Canada, April 20, 2020 – Jaguar Mining Inc. ("Jaguar" or the "Company") (TSX: JAG) is pleased to
report updated Mineral Resources and Mineral Reserve s (“MRMR”) estimates as at December 31, 2019 for the
Turmalina Gold Mine located in Minas Gerais, Brazil.
Highlights
• Turmalina Proven and Probable Mineral Reserves (“2P”) as at December 31st 2019 were 332,000 oz´s of
gold contained within 2.40 Mt at a weighted average grade of 4.31 g/t Au. This reflects an ounce increase
of 63% year on year before mined depletion and an increase of 46% year-over-year, net of 2019 mined
depletion of 39,000 oz´s of gold. A gold price of $1300/oz and BRL$3.7:US$1 was used in both years.
• 2P Mineral Reserves now support an estimated six years of production at current mining rates.
• Orebody C 2P Mineral Reserves increased by 72,000 ounces of gold over 2018 Mineral Reserves net of
2019 depletion. Targeted drilling down plunge of both the C -SE and C-Central payshoots was enabled
by a more precise determination of the payshoot orientation.
• Orebody A 2P Mineral Reserves increased by 32,000 ounces of gold over 2018 Mineral Reserves net of
2019 depletion.
• Proven Mineral Reserves increased 16% to 118,000 oz´s of gold at a weighted average grade of 4.88 g/t
Au
• Probable Mineral Reserves increased 69% to 213,000 oz´s of gold at a weighted average grade of 4. 04
g/t Au
Mineral Reserves and Resources have been prepared in accordance with CIM definitions (2014) as in National
Instrument 43-101 (“NI 43-101”). Turmalina Mineral Reserves and Mineral Resources update will be reported in the
company´s Annual Information Form (AIF) along with an updated Technical Report on the 29 th April 2020.
Pilar Mineral Reserves and Mineral Resources are expected to be updated mid 2020, once geological data collected
from infill drilling and development completed in 2019 and ongoing growth exploration drilling programmes have
been incorporated into the Pilar Geological and Resource Models. Pilar Reserves and Resources as at December
31, 2019 reflecting depletion of the 2018 model with 2019 mined production , will be published in Jaguar´s Annu al
Information Form on 29th April 2020.
Vern Baker, CEO of Jaguar Mining stated; “Our geologic team did an excellent job in 2019. At Turmalina, the team
focused on replacing reserves in the A Orebody, and then on understanding and delineating ore in our C Orebody.
With very limited resources in 2019 the team was quite successful in both objectives. They maintained and even
increased our reserve base in A orebody, and also significantly grew our reserve and resource base in C orebody.
This is an outstanding achievement in a year where the Company faced multiple challenges. The hard work of our
geologic team was rewarded with a significant increase in our overall ounce inventory, and they also provided
Jaguar with some excellent targets to continue expanding our exploration success. At Pilar, we are currently limiting
our update to a depletion calculation and expect to update the Pilar Mineral Reserves and Resources later this year
now that work has been completed on Turmalina. In 2020, with the addition of two contract diamond drills operating
at our mines, we look forward to delivering more positive news from our operations .”
2
JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
Year- End 2019 Turmalina Gold Mine Mineral Reserves and Mineral Resources
Table 1
Turmalina Gold Mine Mineral Reserves Summary as at December 31, 2019, compared to December 31, 2018:
Turmalina Gold Mine - Change in Mineral Reserves
Gold Ounces (000's) Gold Grade (g/t)
As at December 31 2019 2018 Change (%) 2019 2018 Change (%)
Proven Reserves 118 102 16% 4.88 4.33 13%
Probable Reserves 213 126 69% 4.04 5.82 -31%
Total 332 228 46% 4.31 5.05 -15%
Table 2
Turmalina Gold Mine Mineral Reserves as at December 31, 2019, by Orebody:
Turmalina Gold Mine - Mineral Reserves, December 31, 2019
Ore Body
Proven Reserves Probable Reserves Proven and Probable Reserves
ROM (t) Au Oz ROM (t) Au Oz ROM (t) Au Oz
(000's) (g/t) (000's) (000's) (g/t) (000's) (000's) (g/t) (000's)
Orebody A 408 5.75 75 398 4.91 63 806 5.34 138
Orebody C 347 3.85 43 1244 3.77 151 1591 3.79 194
Total 755 4.88 118 1642 4.04 213 2397 4.31 332
Notes:
1. CIM (2014) definitions were followed for Mineral Reserves
2. Mineral Reserves were estimated at a break-even cut-off grade of 2.5 g/t Au
3. Mineral Reserves are estimated using an average long-term gold price of US $1,300 per ounce
4. Mineral Reserves are estimated using an average long-term foreign exchange rate of 3.7 Brazilian Reais: 1 US Dollar
5. A minimum mining width of 2 m was used
6. Numbers may not add due to rounding
7. There are no known environmental, permitting, legal, title, socio -economic, political or other risk factors which could materially affect the
Mineral Reserve estimates.
• For the December 31, 2019, estimates, the Company has prepared an updated geological and block model
and a supporting Technical Report.
• For comparison purposes, Gold Price and Cut-Off Grade assumptions used in this press release are the same
as those previously reported in Jaguar´s 43-101 Technical Report published in March 2019 (SEDAR).
• Infill Drilling and Secondary Development completed in 2019 successfully replaced 2019 mined depletion of
39,000 oz´s Au and added significantly to the Mineral Reserves which are now equivalent to more than six
years of production at current production rates.
• Total 2P Mineral Reserves are 332,000 ounces of gold ( 2,40Mt at a weighted average grade of 4. 31 g/t Au)
(net of 2019 depletion of 39,000 ounces) which are 46% higher compared to 2P Reserves of 228,000 ounces
at a weighted grade of 5.05 g/t Au as at December 31, 2018.
• Total Proven Mineral Reserves increased 16% to 118,000 oz´s of gold, at a weighted average grade of 4.88
g/t Au.
• Orebody A Proven Mineral Reserves increased 29% to 75,000 ounces of gold at a weighted average grade of
5.75 g/t Au which reflects a 10% increase in grade year on year.
3
JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
• Orebody C Proven Mineral Reserves decreased 2% to 43,000 ounces of gold at a weighted average grade of
3.85 g/t Au which reflects a 9% increase in grade year on year.
• Total Probable Mineral Reserves increased 69% to 213,000 oz’s of gold, at a weighted average grade of 4.04
g/t Au which reflects a 31% decrease in weighted average grade year on year which is offset by an overall
143% increase in tonnage primarily added from Orebody C.
• Orebody A Probable Mineral Reserves increased 34% to 63,000 ounces of gold at a weighted a verage grade
of 4.91 g/t Au which reflects a 15% decrease in grade year on year.
• Orebody C Probable Mineral Reserves increased 91%% to 1 51,000 ounces of gold at a weighted average
grade of 3.77 g/t Au which reflects a 36% decrease in grade year on year offset by a 198% increase in additional
tonnage year on year.
• Detailed mapping of primary and secondary underground development by Jaguar´s geological team has
allowed detailed structural kinematic indicator measurements which defined a more precise orientation of both
the C-Central and C-SE (southeast) mineralized payshoots.
• The more accurate plunge direction allowed the 2019 drilling program to target and trace these main payshoots
down their structural plunge. The C Central and C -SE payshoots remain open down plunge and these depth
extensions remain the primary target for ongoing drill programs.
• At C-Central, exploration drilling first defined the high grade payshoot in March 2019 which was followed by
targeted drilling down plunge, resource definition and estimation and underground access development. Initial
stoping activities commenced in September 2019. Inclusion of Orebody C -Central Mineral Reserve into
inventory for the first time was completed by year end. C-Central provides a new production area for Turmalina.
• At C-SE the definition of a more precise mineralization plunge direction allowed targeted drilling down plunge,
increasing the mineralized extension from level 5 to level 8.
• All orebodies remain open down plunge for future drilling targets.
• The database used to prepare the estimates, with a cut-off date of December 16th, 2019, comprises 4,218 drill
holes and 17,282 samples. The estimate was generated from a block model constrained by three-dimensional
(3D) wireframe models. A capping value of 50 g/t Au was applied for all three orebodies. The wireframe models
of the mineralization, block model, and excavated material for Turmalina were constructed by Jaguar. Separate
wireframes were built for each mineralized lens for each orebody and were used to constrain the grade
estimates into the block model.
• The Mineral Resources and Mineral Reserves for 2019 will be presented in the companies AIF and Technical
Reports to be published by the end of April 2020.
Table 3.
Turmalina Gold Mine Mineral Resources Summary as at December 31, 2019, compared to December 31, 2018:
Turmalina Gold Mine - Change in Mineral Resources
Gold Ounces (000's) Gold Grade (g/t)
As at December 31 2019 2018 Change (%) 2019 2018 Change (%)
Measured Resources 333 305 9% 5.14 5.37 -4%
Indicated Resources 331 272 22% 4.66 5.70 -18%
Total - M&I 664 577 15% 4.89 5.52 -11%
Inferred Resources 248 148 68% 4.23 4.31 -2%
4
JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
Table 4.
Turmalina Gold Mine Mineral Resources Summary as at December 31, 2019, by Orebody:
Turmalina Gold Mine - Mineral Resources, December 31, 2019
Area
Measured Resources Indicated Resources Total Measured &
Indicated Resources Inferred Resources
Tonnes Au Oz Tonnes Au Oz Tonnes Au Oz Tonnes Au Oz
(000's) (g/t) (000's) (000's) (g/t) (000's) (000's) (g/t) (000's) (000's) (g/t) (000's)
Ore Body A 1,020 6.40 210 473 5.90 90 1,493 6.24 300 364 4.65 54
Ore Body B 353 3.34 38 192 4.26 26 545 3.66 64 18 6.46 4
Ore Body C 641 4.13 85 1,548 4.33 215 2,189 4.27 301 1,436 4.10 189
Total 2,014 5.14 333 2,213 4.66 331 4,227 4.89 664 1,818 4.23 248
Notes:
1. CIM (2014) definitions were followed for Mineral Resources.
2. Mineral Resources are estimated at a cut-off grade of 2.10 g/t Au.
3. Mineral Resources are estimated using a long-term gold price of $1,500 per ounce.
4. Mineral Resources are estimated using an average long-term foreign exchange rate of 3.70 Brazilian Reais: 1 US Dollar.
5. A minimum mining width of approximately 2 m was used.
6. Bulk density is 2.83 t/m3 for Orebodies A and B and 2.91 t/m3 for Orebody C.
7. Gold grades are estimated by the Ordinary Kriging (OK) interpolation algorithm using capped composite samples.
8. Mineral Resources are inclusive of Mineral Reserves.
9. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
10. Numbers may not add due to rounding.
• Measured and Indicated Mineral Resources at Turmalina at a cut-off grade of 2.1 g/t Au comprise 4.23 Mt at a
weighted average grade of 4.89 g/t Au - containing 664,000 oz. of gold.
• This reflects an increase of 15% in gold ounces year on year at 11% lower grade offset by a 30% increase in
tonnage.
• The Inferred Mineral Resource at Turmalina is 1.82 Mt at an average grade of 4.23 g/t Au - containing 248,000
oz. of gold.
• Orebody A Measured Mineral Resources increased by 7% year on year to 210,000 ounces o f gold at a n
average grade of 6.40 g/t Au, which reflects a decrease in grade of 7% offset by an increase in tonnage of 14%.
• Orebody A Indicated Mineral Resources increased by 8% year on year to 85,000 ounces of gold at an average
grade of 5.90 g/t Au which reflects a decrease in grade of 22% offset by an increase in tonnage of 40%.
• Orebody A Inferred Mineral Resources decreased by 7% year on year to 54,000 ounces of gold at an average
grade of 4.65 g/t Au.
• Orebody C Measured Mineral Resources increased by 21% year on year to 85,000 ounces of gold at a grade
of 4.13 g/t Au which reflects a decrease in grade of 2% offset by an increase in tonnage by 23%.
• Orebody C Indica ted Mineral Resources increased by 32% year on year to 215,000 ounces at an average
grade of 4.33 g/t which reflects a 18% decrease in grade offset by a 62% increase in tonnage.
• Orebody C Inferred Mineral Resources incr eased by 120% year on year to 189,000 ounces of gold at an
average grade of 4.10 g/t Au which reflects an increase in grade of 3% and an increase in tonnage of 112%.
• Orebody B Mineral Resources remained the same for all resource categories year on year.
5
JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
Figure 1.
The distribution of Mineral Reserves at Turmalina Gold Mine as at December 31, 201 9, (left) and December 31,
2018, (right) seen from the hanging wall looking towards the south west.
Figure 2.
The distribution of Mineral Resources at Turmalina Gold Mine as at December 31, 2019, (left) and December 31,
2018, (right) seen from the hanging wall looking towards the south west.
6
JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
Qualified Persons
Jaguar Mining prepared the Mineral Resource and Reserve estimates under the supervision of Jonathan Victor Hill
(FAUSIMM) and Bruno Tomaselli (Deswick Brasil and FAUSIMM) who are Qualified Persons within the definition
of NI 43-101 for resources and reserves respectively. The effective date of the estimates is December 31, 2019.
Quality Control
All sampling and samples utilized at Jaguar for Mineral Resource and or Mineral Reserves estimation uses a quality-
control program that includes insertion of bla nks and commercial standards in order to ensure best practice in
sampling and analysis.
HQ, NQ, and BQ size drill core is sawn in half with a diamond saw. Samples are selected for analysis in standard
intervals according to geological characteristics such as lithology and hydrothermal alteration. Rock channel
sampling of the underground development follows the same standard intervals as for the drill core.
Half of the sawed sample is forwarded to the analytical laboratory for analysis while the remaining half of the core
is stored in a secure location. The drill core and rock chip samples for resource -reserve conversion and grade
control samples are transported for physical preparation and analysis in securely sealed bags to the Jaguar in-
house laboratory located at the company´s Caeté Complex, Caeté, Minas Gerais. Growth exploration samples are
sent to the independent ALS Brazil (subsidiary of ALS Global) laboratory located in Vespasiano, Minas Gerais,
Brazil. The analysis of these exploration samples is conducted at ALS Global’s respective facilities (fire assay is
conducted by ALS Global in Lima, Peru, and multi -elementary analysis is conducted by ALS Global in Vancouver,
Canada). ALS has accreditation in a global management system that meets all require ments of international
standards ISO/IEC 17025:2005 and ISO 9001:2015. All major ALS geochemistry analytical laboratories are
accredited to ISO/IEC 17025:2005 for specific analytical procedures.
For a complete description of Jaguar’s sample preparation, a nalytical methods and QA/QC procedures, please
refer to “Technical Report on the Roça Grande and Pilar Operations, Minas Gerais State, Brazil ”, a copy of which
is available on the Company’s SEDAR profile at www.sedar.com.
Mineralized material for each ore body was classified into the Measured, Indicated, or Inferred Mineral Resource
categories based on the search ellipse ranges obtained from the variography study, the observed continuity of the
mineralization, the drill hole and channel sample density, and previous production experience from these orebodies.
The Mineral Resources are inclusive of Mineral Reserves. For those portions of the Mineral Resources that
comprise the Mineral Reserve, stope design wireframes were used to constrain the Mineral Resourc e reports.
The Iron Quadrangle
The Iron Quadrangle has been an area of mineral exploration dating back to the 16th century. The discovery in
1699-1701 of gold contaminated with iron and platinum -group metals in the southeastern corner of the Iron
Quadrangle gave rise to the name of the town Ouro Preto (Black Gold). The Iron Quadrangle contains world -class
multi-million-ounce gold deposits such as Morro Velho, Cuiabá, and São Bento. Jaguar Mining is the second largest
operating gold company tenement holder in the Iron Quadrangle, holding just over 25,000 hectares.
About Jaguar Mining Inc.
Jaguar Mining Inc. is a Canadian -listed junior gold mining, development, and exploration company operating in
Brazil with three gold mining complexes, and a large land package with significant upside exploration potential from
mineral claims covering an area of approximately 64,000 hectares. The Company’s principal operating assets are
located in the Iron Quadrangle, a prolific greenstone belt in the state of Minas Gerais and include the Turmalina
Gold Mine Complex and Caeté Gold Mine Complex. The Company also owns the Paciência Gold Mine Complex,
which has been on care and maintenance since 2012. Additional information is available on the Company's website
at www.jaguarmining.com.
7
JAGUAR MINING INC.
First Canadian Place, 100 King Street West, 56th Floor, Toronto, Ontario, Canada M5X 1C9 T: 416-847-1854
For further information, please contact:
Vern Baker
Chief Executive Officer
Jaguar Mining Inc.
+55 (31) 3232-7101
Hashim Ahmed
Chief Financial Officer
Jaguar Mining Inc.
416-847-1854
Forward-Looking Statements
Certain statements in this news release constitute "forward -looking information" within the meaning of applicable Canadian
securities legislation. Forward-looking statements and information are provided for the purpose of providing information about
management's expectations and plans relating to the future. All of the forward-looking information set forth in this news release
is qualified by the cau tionary statements below and those made in our other filings with the securities regulators in Canada.
Forward-looking information contained in forward -looking statements can be identified by the use of words such as "are
expected," "is forecast ," "is targ eted,” "approximately," "plans," "anticipates," "projects," "continue," "estimate," "believe," or
variations of such words and phrases or statements that certain actions, events or results "may," "could," "would," "might," or
"will" be taken, occur or be achieved. All statements, other than statements of historical fact, may be considered to be or include
forward-looking information. These forward -looking statements are made as of the date of this news release and the dates of
technical reports, as applicable. This news release contains forward -looking information regarding potential and, among other
things, expected future mineral resources, potential mineral production opportunities, geological and mineral exploration
statistics, ore grades, current and ex pected future assay results, and definition/delineation/exploration drilling at the Pilar Gold
Mine and the Turmalina Gold Mine in Brazil, as well as forward -looking information regarding costs of production, capital
expenditures, costs and timing of the d evelopment of projects and new deposits, success of exploration, development and
mining activities, capital requirements, project studies, mine life extensions, and continuous improvement initiatives. The
Company has made numerous assumptions with respect to forward-looking information contained herein, including, among
other things, assumptions about the estimated timeline and for the development of the drill program at the Pilar Gold Mine (and
its expanded exploration footprint) and the Turmalina Gold Mine; its mineral properties; the supply and demand for, and the level
and volatility of the price of, gold; the accuracy of reserve and resource estimates and the assumptions on which the reserve
and resource estimates are based; the receipt of necessary permits; market competition; ongoing relations with employees and
impacted communities; and political and legal developments in any jurisdiction in which the Company operates being consistent
with its current expectations including, without limitation, the im pact of any potential power rationing, tailings facility regulation,
exploration and mine operating licenses and permits being obtained and renewed and/or there being adverse amendments to
mining or other laws in Brazil and any changes to general business and economic conditions. Forward -looking information
involves a number of known and unknown risks and uncertainties, including among others: the risk of Jaguar not meeting its
plans regarding its operations and financial performance; uncertainties with res pect to the price of gold, labour disruptions,
mechanical failures, increase in costs, environmental compliance and change in environmental legislation and regulation,
weather delays and increased costs or production delays due to natural disasters, power disruptions, procurement and delivery
of parts and supplies to the operations; uncertainties inherent to capital markets in general (including the sometimes volati le
valuation of securities and an uncertain ability to raise new capital) and other risks inherent to the gold exploration, development
and production industry, which, if incorrect, may cause actual results to differ materially from those anticipated by the Company
and described herein. In addition, there are risks and hazards associated with the business of gold exploration, development,
mining and production, including without limitation environmental hazards, tailings dam failures, industrial accidents and
workplace safety problems, unusual or unexpected geological formations, pressures, cave -ins, flooding, chemical spills, and
gold bullion thefts and losses (and the risk of inadequate insurance, or the inability to obtain insurance, to cover these ri sks).
Although we have attempted to identify important factors that could cause actual actions, e vents or results to differ materially
from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be
as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as
actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers shou ld
not place undue reliance on forward-looking information.