PML.V · 2022-08-31 12:00:00

Panoro Minerals Intersects 260 m at 0.90% Cueq, Cotabambas Project, Peru

Drill Results

Panoro Minerals Intersects 260 m at 0.90%

Cueq, Cotabambas Project, Peru

VANCOUVER, BC

Aug. 31, 2022

/CNW/ -

Panoro Minerals Ltd.

(TSXV: PML) (Lima: PML)

(Frankfurt: PZM) (OTCQB: POROF) ("Panoro", the "Company") is pleased to announce results of

four additional drill holes from its 16,970 m drill program, the aim of which is to expand the high-

grade resource and upgrade inferred to indicated resources at the Company's Cotabambas

Cu/Au/Ag Project in southern

Peru

Hole CB-198 confirms the high-grade continuity between the previous holes CB-23 and CB-195,

intersecting a

260 m

length of primary copper sulfide mineralization averaging 0.43% Cu, 0.61 g/t Au

and 2.72 g/t, Ag (0.90% Cueq), related to a porphyry stock of quartz monzonite composition

intruding the diorite host rock,

Figure 1

. The intersection includes

130.4 m

averaging 0.58% Cu,

0.95 g/t Au and 3.41 g/t, Ag (1.31 % Cueq)

"Drillhole CB-198 delineates the high-grade core contained within the South Pit to approximately

350

depth, to the bottom of the pit shell defined in the PEA mine plan and indicates continuity to a

depth of over

500m

to the pit shell constraining the global resource. The high-grade continuity

indicates the potential to replace lower grade resource within the mine plan with higher grades

including in the early part of the mine plan. This will result in important upsides to the prefeasibility

study.", stated Luquman Shaheen, President & CEO.

Discussion of Results

The purpose of Holes CB-197 and CB-199 was to confirm the east and west continuity of the

Copper-Gold high-grades near the surface, respectively and the purpose of holes CB-198 and CB-

200 was to confirm the lateral and vertical continuity. See the locations of the holes on the map

Figure 2

. The most significant results are listed in the table below.

Drillhole

From (m)

To (m)

Metres

Cu (%)

Au g/t

Ag g/t

Cueq %

Zone

CB-197

202.1

291.6

89.5

0.13

0.09

0.82

0.20

Primary

" "

307.8

341.6

33.8

0.12

0.07

0.72

0.18

Primary

" "

360.7

384.0

23.3

0.14

0.06

0.93

0.19

Primary

" "

405.9

435.9

20.0

0.13

0.10

1.30

0.21

Primary

" "

452.7

470.7

18.0

0.13

0.07

0.69

0.19

Primary

CB-198

123.0

382.9

260.0

0.43

0.61

2.72

0.90

Primary

including

142.7

273.1

130.4

0.58

0.95

3.41

1.31

Primary

including

289.1

343.0

53.9

0.4

0.37

2.83

0.70

Primary

CB-199

135.7

179.6

44.0

0.11

0.07

0.78

0.17

Primary

" "

209.0

264.2

55.2

0.15

0.05

0.66

0.19

Primary

CB-200

122.8

320.6

197.8

0.16

0.11

1.17

0.25

Primary

including

132.8

182.4

49.6

0.31

0.27

2.14

0.53

Primary

Cu equivalent grade estimated at spot prices of Au=USD 1771/oz, Ag=USD 20.13/oz and Cu=USD 3.52/lb

Drill hole

CB-197

explored the easter continuity of the new high grade intersected by the previously

announced hole CB-196, located

150m

to the west. The hypogene mineralization was intersected in

five splits with copper and gold anomalies. The mineralization is contained within the diorite host rock

printed with an overlapping of potassic, SCC and phyllic alterations. The intersections show intensive

faulting suggesting the high-grade mineral block was moved to depth and northwest, in direction to

the North pit.

Drillhole

CB-198

explored the high-grade continuity in section 5W, intersecting copper primary

mineralization along 260.0 m averaging 0.43%Cu, 0.61 g/t Au and 2.72 g/t Ag (0.90% Cueq)

including

130.4 m

grading 0.58% Cu, 0.95 g/t Au and 3.41 g/t Ag (1.31 % Cueq) underlain by

53.9 m

averaging 0.40% Cu, 0.37 g/t Ag and 2.83 g/t Ag (0.70 % Cueq). The quartz monzonite porphyry

with potassic and SCC alterations is hosting a wide stockwork of quartz veinlets with chalcopyrite,

pyrite and magnetite. The three holes completed in this section confirm a vertical continuity of the

high grade of

350 m

, with grades varying between 0.67% and 0.92% Cueq. and widths between

180 and

260m

Drillhole

CB-199

is located

150 m

to the east of the high grade intersected by drillholes CB-195 and

CB198, and

100 m

above the mineralization intersected by drillhole CB-20,

Figure 2

. The hole

intersected a fault system constraining the lateral mineral continuity, intersecting two copper

anomalies hosted in the diorite with moderated potassic alteration.

Drillhole

CB-200

located

100 m

above CB-196, where the high-grade was intersected. CB-200

intersected almost

50 m

of primary copper mineralization averaging 0.31% Cu, 0.27 g/t Au, 2.14 g/t

Ag (0.53 Cueq %). The interval is part of an extensive hypogene mineralization developed in the

hanging wall of a quartz monzonite porphyry not intersected by drillhole CB-196, suggesting blocks

have been moved by local faulting.

Exploration Model at the South Pit

Six holes have been completed in the South pit in for a total of 16 holes (

6,166m

). A porphyry of

quartz monzonite composition (QMP2) is emplaced along a structural control in an almost North-

South direction into the diorite host rock, and subsequent intrusions of narrow dikes of QMP3,

quarciferous/dacite, monzonite and latite compositions. A second faulting system in North 60-80

East direction intersects the porphyry at its north extreme, where other porphyry stages intrude (the

QMP1) and enrich the metal concentration. Finally, a lithocap of andesite volcanic hides the previous

lithologies and mineralization under the surface, following an overthrust faulting in a west direction.

The alteration model is centered by the potassic assemblage in the QMP1, expanding to the QMP2

and the diorite host rocks, following mainly the North 60-80 East structural direction. The SCC

alteration assemblage is proximal to the potassic, with the phyllic and propylitic alterations appearing

outwards of the porphyry center. See a typical section in

Figure 1

The drilling results confirm the existence of a high-grade ore body (HGOB) centered by the QMP1,

extending along the N60-80E structural control, and dipping to the south-southeast. The hypogene

sulfide in this body is intimately associated with multiphase stockworks and unidirectional arrays of

millimetric and centimetric veinlets of A, B, and M types, in potassically altered rock of the QMP1

and adjacent diorite. The copper-gold mineralization in the HGOB is dominantly contained in a

steeply inclined, tabular zone of intense quartz veining, typically carrying >30 veinlets per meter. The

HGOB widths vary from

50 m

260 m

and averaging grades from 0.51 to 1.21 % Cueq. The ore

body outcrops at surface along

150 m

strike length and shows a vertical continuity to over

450m

depth, where its lateral footprint is increased to

450m

along strike. Good potential exists to grow the

lateral continuity to

750 m

along strike, as suggested by the drillhole, CB-05, located close to the

North pit limit. See

Figure 3

Figure 4

Figure 5

and

Figure 6

The average copper

gold ratio, in term of contained metal value, in the South pit is 1:1 and reflects

the higher gold content than in the North pit where this ratio is averaging 2.7:1. The silver:gold ratio

in the South Pit is 6:1 while in the North pit this increases up to 14:1. The South pit is interpreted as

an early and different mineral pulse of Cu-Ag mineralization rich in gold, as suggested by

geochronology studies. The secondary biotite of the potassic alteration in the South pit porphyry

reports an Ar-Ar age of 35.3

0.7 Ma, while in its pair of the North pit reports an Ar-Ar age of

35.9

0.4 Ma (R. Rivera 2011). Another study confirmed with K-Ar methods an age of 35.7

0.9 Ma

for the North pit porphyry and 43.2

1.1 Ma for the diorite host rock (K-Ar age by Perello et.al.

2003).

The geophysics signatures also build up an exploration model that may guide future drilling of the

potential at depth. The HGOB is open and deepening to join the west side of an isolated high

resistivity signature, wrapped and surrounded by a high magnetic anomaly. The chargeability is split

into two blocks and interpreted as an external pyrite halo following a structural over-thrusting,

through which the HGOB is deepening, as shown in

Figure 7

Finally, the bottom of the PEA South pit is located between 230 and

300 m

below the surface and

shows the high potential to incorporate new mineral resources at depth, along strike and at depth

following the structurally controlled porphyry.

The Company continues drilling in the South pit adding new mineral resources and upgrading inferred

to the indicated category. In parallel, the re-logging and updates of the geologic modelling are

progressing in parallel. Some of the future drillholes will be located below the CB-23 (section 5W),

CB-63 (section 4W) and CB-196 (section 3W).

Granting of Options

Panoro announces the granting of 500,000 options exercisable at a price of

$0.12

Guillermo

Torres Torres

, VP Project Development, pursuant to the Company's stock option plan and subject to

the TSX Venture Exchange rules and regulations.

About Panoro

Panoro is a uniquely positioned

Peru

-focused copper development company. The Company is

advancing its flagship Cotabambas Copper-Gold-Silver Project located in the strategically important

area of southern

Peru

The Company's objective is to complete a Prefeasibility study in 2023 with work programs

commencing in Q1 2022.

At the Cotabambas Project, the Company will first focus on delineating resource growth potential

and optimizing metallurgical recoveries. These objectives are expected to further enhance the

project economics as part of the Prefeasibility studies during 2022 and 2023. Exploration and step-

out drilling from 2017, 2018 and 2019 have already identified the potential for both oxide and

sulphide resource growth.

Summary of Cotabambas Project Resources

Project

Resource

Classification

Million

Tonnes

(%)

(g/t)

(%)

CuEq

Cotabambas

Cu/Au/Ag

Indicated

117.1

0.42

0.23

2.74

0.001

0.59

Inferred

605.3

0.31

0.17

2.33

0.002

0.44

@ 0.20% CuEq cutoff, effective October 2013, Tetratech

1. Cotabambas Project, Apurimac, Peru, NI 43-101 Technical Report on Updated Preliminary Economic Assessment, amec foster

wheeler and Moose Mountain Technical Services, 22 September 2015

A PEA has been completed for the Cotabambas Project. The key results are summarized below:

Summary of Cotabambas Project PEA Results

Key Project Parameters

Cotabambas Cu/Au/Ag Project

Process Feed, life of mine

million tonnes

483.1

Process Feed, daily

tonnes

80,000

Strip Ratio, life of mine

1.25: 1

Before Tax

NPV

7.5%

million US$

1,053

IRR

20.4

Payback

years

3.2

After

Tax

NPV

7.5%

million US$

684

IRR

16.7

Payback

years

3.6

Annual Average

Payable

Metals

thousand tonnes

70.5

thousand ounces

95.1

thousand ounces

1,018.4

thousand tonnes

Initial Capital Cost

million US$

1,530

1. Project economics estimated at commodity prices of; Cu = US$ 3.00/lb, Au = US$ 1,250/oz, Ag = US$ 18.50/oz, Mo = US$ 12/lb

PEAs are considered preliminary in nature and include Inferred Mineral Resources that are

considered too speculative to have the economic considerations applied that would enable

classification as Mineral Reserves. There is no certainty that the conclusions within the PEAs will be

realized. Mineral Resources are not Mineral Reserves and do not have demonstrated economic

viability.

Luis Vela

, a Qualified Person under National Instrument 43-101, has reviewed and approved the

scientific and technical information in this press release.

On behalf of the Board of

Panoro Minerals Ltd.

Luquman Shaheen. M.B.A., P.Eng, P.E.

President & CEO

CAUTION REGARDING FORWARD LOOKING STATEMENTS

: Information and statements

contained in this news release that are not historical facts are "forward-looking information" within

the meaning of applicable Canadian securities legislation and involve risks and uncertainties.

Examples of forward-looking information and statements contained in this news release include

information and statements with respect to:

Panoro delineating growth potential at the Cotabambas Project, while optimizing project

economics;

mineral resource estimates and assumptions; and

the PEAs, including, but not limited to, base case parameters and assumptions, forecasts of net

present value, internal rate of return and payback.

Various assumptions or factors are typically applied in drawing conclusions or making the forecasts

or projections set out in forward-looking information. In some instances, material assumptions and

factors are presented or discussed in this news release in connection with the statements or

disclosure containing the forward-looking information and statements. You are cautioned that the

following list of material factors and assumptions is not exhaustive. The factors and assumptions

include, but are not limited to, assumptions concerning: metal prices and by-product credits; cut-off

grades; short and long term power prices; processing recovery rates; mine plans and production

scheduling; process and infrastructure design and implementation; accuracy of the estimation of

operating and capital costs; applicable tax and royalty rates; open-pit design; accuracy of mineral

reserve and resource estimates and reserve and resource modeling; reliability of sampling and

assay data; representativeness of mineralization; accuracy of metallurgical test work; and

amenability of upgrading and blending mineralization.

Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and

other factors which could cause actual events or results to differ materially from those expressed or

implied by the forward-looking statements, including, without limitation:

risks relating to metal price fluctuations

risks relating to estimates of mineral resources, production, capital and operating costs,

decommissioning or reclamation expenses, proving to be inaccurate

the inherent operational risks associated with mining and mineral exploration, development, mine

construction and operating activities, many of which are beyond Panoro's control

risks relating to Panoro's or its partners' ability to enforce legal rights under permits or licenses

or risk that Panoro or its partners will become subject to litigation or arbitration that has an

adverse outcome

risks relating to Panoro's or its partners' projects being in

Peru

, including political, economic and

regulatory instability

risks relating to the uncertainty of applications to obtain, extend or renew licenses and permits

risks relating to potential challenges to Panoro's or its partners' right to explore or develop

projects

risks relating to mineral resource estimates being based on interpretations and assumptions

which may result in less mineral production under actual circumstances

risks relating to Panoro's or its partners' operations being subject to environmental and

remediation requirements, which may increase the cost of doing business and restrict

operations

risks relating to being adversely affected by environmental, safety and regulatory risks, including

increased regulatory burdens or delays and changes of law

risks relating to inadequate insurance or inability to obtain insurance

risks relating to the fact that Panoro's and its partners' properties are not yet in commercial

production; • risks relating to fluctuations in foreign currency exchange rates, interest rates and

tax rates

risks relating to Panoro's ability to raise funding to continue its exploration, development, and

mining activities; and

counterparty risk under Panoro's agreements.

This list is not exhaustive of the factors that may affect the forward-looking information and

statements contained in this news release. Should one or more of these risks and uncertainties

materialize, or should underlying assumptions prove incorrect, actual results may vary materially

from those described in the forward-looking information. The forward-looking information contained

in this news release is based on beliefs, expectations, and opinions as of the date of this news

release. For the reasons set forth above, readers are cautioned not to place undue reliance on

forward-looking information. Panoro does not undertake to update any forward-looking information

and statements included herein, except in accordance with applicable securities laws.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in

the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of

this release.

SOURCE

Panoro Minerals Ltd.

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For further information:

Panoro Minerals Ltd., Luquman Shaheen, President & CEO, Phone:

604.684.4246, Fax: 604.684.4200, Email: [email protected], Web: www.panoro.com, Renmark

Financial Communications Inc., Scott Logan, Account Manager, Phone: 416.644.2020 /

212.812.7680, Email: [email protected], Web: www.renmarkfinancial.com

CO: Panoro Minerals Ltd.

CNW 16:15e 31-AUG-22

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