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Lara owns a 2% net smelter returns royalty on the project and a 5% carried (to production) equity interest in the operating company

Royalties & Streams

July 27, 2020 (TSX Venture: LRA) - Lara Exploration Ltd. (“Lara” or the “Company”), is pleased to report

that mining and processing has started at its Celesta Copper Project, located near the town of Curionópolis,

in the Carajás Mineral Province, Pará State, northern Brazil , with first concentrates due to be shipped in

early August.

Lara owns a 2% net smelter returns royalty on the project and a 5% carried (to production) equity interest

in the operating company Celesta Mineração S.A. (“Celesta”), which is jointly operated by partners

Tessarema Resources Inc. (with 40% interest), and North Extração de Minério Ltda. ( with 55% interest).

Ocean Partners UK Ltd., has provided project finance in exchange for life of mine offtake rights. Lara is

also owed a US$1 million late penalty fee, of which US$200,000 has been paid to date.

Celesta’s mining program will initially focus on the Osmar target that has an Indicated Resource estimate

of 2.14 million tonnes, with average grades of 4.2% copper and 0.66 parts per million gold. For details see

the National Instrument 43-101 Technical Report entitled “Maravaia Copper-Gold Deposit, Carajás Mining

District, Pará, Brazil”, dated January 15, 2016 which is filed on SEDAR, and was prepared for Tessarema

and Lara by João Batista G. Teixeira, Geologist, PhD, P.Geo.

About Lara

Lara is an exploration company following the Prospect and Royalty Generator business model, which aims

to minimize shareholder dilution and financial risk by generating prospects and exploring them in joint

ventures funded by partners, retaining a minority interest and or a royalty. The Company currently holds a

diverse portfolio of prospects, deposits and royalties in Brazil and Peru. Lara’s common shares trade on the

TSX Venture Exchange under the symbol "LRA".

Michael Bennell, Lara’s Vice President Exploration and a Fellow of the Australasian Institute of Mining

and Metallurgy (AusIMM), is a Qualified Person as defined by National Instrument 43 -101 Standards of

Disclosure for Mineral Projects and has approved the technical disclosure and verified the technical

information in this news release.

For further information on Lara Exploration Ltd. please consult our website www.laraexploration.com, or

contact Chris MacIntyre, VP Corporate Development, at +1 416 703 0010.

Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada

accepts responsibility for the adequacy or accuracy of this release.

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First Production at the Celesta Copper Project in Brazil

TSX-Venture: LRA

Suite 501-543 Granville Street

Vancouver BC, Canada

V6C 1X8

www.laraexploration.com

T: 604.669.8777

F: 604.688.1157

[email protected]

News Release