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LRA.V ·

Since settling environmental infractions and fines, inherited from the vendors , at the start of 2020 (see

Corporate Updates

September 1, 2020 (TSX Venture: LRA) - Lara Exploration Ltd. (“Lara” or the “Company”), is pleased to

provide an update on permitting and report the restart of production at the Bifox Phosphate Project, located

near the town of Copiapó, in Atacama desert of northern Chile.

Since settling environmental infractions and fines, inherited from the vendors , at the start of 2020 (see

Company news release of Feb 7, 2020), Bifox Ltd. (“Bifox”), has been working to reinstate its permits and

resume operations. Production was delayed due to the Covid -19 restrictions imposed in March, but site

activities resumed in June and new operating permits issued in late July and early August. Production and

sales of direct application phosphate (containing an average 22% P2O5) into the Chilean market have now

resumed and Bifox expects to gradually increase production over the next three to six months as the

marketing and sales team generates new orders.

Bifox continues to work towards listing on the Australian Stock Exchange as phosphate production and

sales revenue emerge. Lara is owed an expense reimbursement of US$570,000 payable at listing, owns

roughly 14% of the shares of Bifox and w ill receive a 2% royalty once production exceeds 50,000 per

annum.

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 Natio nal 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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Update for the Bifox Phosphate Project in Chile

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