Panoro Minerals Announces Additional $3.0 million Funding for Cotabambas Project Prefeasibility Studies, Peru

VANCOUVER, Jan. 10, 2022 - Panoro Minerals Ltd. (TSXV: PML) (Lima: PML) (Frankfurt: PZM) (OTCQB: POROF) ("Panoro" or the "Company") is pleased to announce the completion of agreements resulting in additional funding of $US2.35 million ($CA3.0 million) to Panoro Minerals. These additional funds, together with those from the previously announced transactions, total $CA17.7 million available for investment into the Cotabambas Project prefeasibility studies in 2022. The Company plans to evaluate and include in the prefeasibility study several opportunities to increase the value of the project, including:

• improved metallurgical recoveries,
• increased higher grade sulphide and oxide resources,
• addition of a heap leach SX/EW circuit; and
• increased long term commodity prices.

Regional Exploration
The Company has completed agreements with various copper mining companies focused on exploring the Andahualas-Yauri copper belt in southern Peru. These agreements include the sharing of some of Panoro's regional exploration data in this prolific copper belt. The agreements together result in payments to the Company of a total of $US850,000 with proceeds received prior to end of December 2021.

Kusiorcco Project Milestone Payments
Panoro is also pleased to announce that the Company and Hudbay Minerals Inc. (Hudbay) have agreed to amend the Kusiorrco Project sale agreement, as part of a recent commercial agreement between the companies regarding the licensing of certain geophysical data. The amendment provides for the delivery of the remaining milestone payments totaling $US1.5 million in January 2022, one year in advance of the original deadline of January 2023. Under the terms of the original agreement announced in 2018 Hudbay was to make the remaining three milestone payments of $US0.5 million each at the completion of the first, fifth and tenth exploration drillholes at the Kusiorcco Project or in January 2023 at the latest. Panoro retains the 2% Net Smelter Returns royalty related to the Kusiorcco Project.

Cochasayhuas Project
Panoro Minerals and Mintania SAC have agreed to terminate the sale of the Cochasayhuas Project in Peru. The original agreement was announced on June 2020 and the Company received an initial payment of $US0.45 million. Panoro has retained a 100% interest in the Cochasayhuas Project, a past producing underground gold and silver mine, and is not required to repay the initial payment. The Company plans to seek other partners for this project as Panoro remains focused on the prefeasibility studies for the Cotabambas Project.

Luquman Shaheen, President & CEO of Panoro Minerals states, "The 2021 calendar year was a busy year for Panoro on the corporate development front. The sale of the Antilla Project, the regional exploration cooperation agreements and the amendment to the Kusiorcco sale agreement have demonstrated the Company's skill at generating non-dilutive funding. These initiatives, together with the 2022 scheduled receipts of the advance payments from Wheaton Precious Metals total an estimated $CA17.7 million of funding to Panoro for 2022 investments. The proceeds will be invested into the Cotabambas Project prefeasibility studies. The remaining scheduled and contingent payments from the sale of Antilla should complete the funding requirements for the prefeasibility and feasibility studies. It is a great satisfaction to our team that we have been able to define the required funding while not diluting our shareholders. Panoro has avoided issuing stock to raise capital for more than five years, leveraging our portfolio to provide funding for Cotabambas. The 2022 funding amounts to roughly 43% of the Company's market cap at the end of 2021. We will focus on completing and executing the prefeasibility work while we continue to advance other corporate initiatives for the development of the Cotabambas Project."

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

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

Summary of Cotabambas Project PEA Results

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.