Palamina Samples 26.67 GPT Gold over 2 Metres from the Sol De Oro Zone at the Usicayos Gold Project

Toronto, May 29, 2024 - Palamina Corp. (TSXV: PA) (OTCQB: PLMNF) announces initial assay results from its first 2024 field campaign in the Sol de Oro Zone ("SDO") at its 100% owned Usicayos Gold Project. Usicayos is located in southeastern Peru and hosts a 4.5 km long mineralized orogenic gold trend to include the southwestern SDO Zone, the central Cayos Zone, and the northeastern Veta Zone. In 2024, inaugural drill programs are planned in the SDO Zone then the Cayos Zone later in the year. Drill pads in the SDO zone are under construction and a drill camp is being reconditioned for the upcoming drill program (Figure 3). In the interim the first of two geochemical sampling programs and a structural study to better understand mineralization controls has been completed at SDO. A drone borne topographic and magnetic survey over the entire 4.5 km trend extending from Sol de Oro to Veta is being completed to establish better controls and further define drill targets. Drilling is scheduled to commence in early July.

Four mineralized target areas have been identified at SDO, all of which are structurally well defined and continuous at surface: SDO North, South, East and West. The Company has received results from 169 channel samples, all collected from the SDO North target, of which 15% of samples yielded grades above 1 g/t Au. SDO N hosts outcropping mantos - defined as mineralization parallel to the main foliation - within which a 200 m x 150 m area has been identified with high grade gold associated to strongly foliated black shales, cut by East-West brittle faults which appear to control the location of coarse gold. Select results from SDO N are shown in Table 1 and their location is shown in Figures 1 and 2:

Table 1: Select results from April-May 2024 sampling program at SDO N

"While drill pads, access and a camp are being put in place post the rainy season, Palamina is carrying out further structural studies along with geochemical and geophysical programs in the SDO Zone to better define drill targets. Initial results from SDO N confirm that the shear zone hosts high gold grades with excellent continuity. Assay results from SDO E are pending. Both zones contain multiple visible gold showings at surface. A minimum 3,000 metre drilling program, designed to test the down dip extension of the mineralized mantos exposed at surface, is scheduled to start in early July." Commented Andrew Thomson, President of Palamina.

Figure 1: Most recent sampling results in SDO N zone highlighted in yellow within the larger SDO area

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Figure 2: Detailed map showing recent select results in yellow from channel sampling at SDO N

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Company geologists have collected additional channel samples from the SDO East, where the southern continuation of the SDO N manto outcrops over 800 metres strike length, and where three other, similar mantos have been identified.

Figure 3: Photo showing future Usicayos drill camp, existing road to Usicayos

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The SDO zone is hosted in Paleozoic Ananea Formation shale and mudstone and is controlled by regional shear zones developed by regional thrusting. The host shear structure at SDO is the widest identified at Usicayos to date, measuring approximately 1.5 km in width and 2.2 km in strike length. Gold mineralization is found along continuous "mantos" developed parallel to foliation along the carbonaceous shear zone. The foliation either side of a major NW-SE fault dips steeply towards the centre, suggesting a possible near vertical feeder zone (or "flower structure") at the heart of the SDO zone. Drilling at SDO is designed to test this interpretation.

Figure 4: Typical shear zone hosting mineralization (Samples from Channel SDN2405-04)

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Technical Information

The Company has recently started using metallic screening methodology to obtain more accurate gold results. Metallic screening is a method designed to quantify the proportion of coarse gold in deposits where it has been observed. At Usicayos, coarse gold has been observed both in drill core and in outcrops of the shear zone. Unlike conventional Fire Assay, where a 30g or 50g sample is analyzed, metallic screening requires a 1kg sample, which, following initial preparation, is screened to separate a fine grained portion (less than 106 microns) from a coarse grained one (over 106 microns). The fine grained sub-sample is assayed using 30g nominal fire assay, while the coarse portion is assayed in its entirety. Each portion is weighed and a weighted average of both portions is reported. This method better quantifies the coarse grained portion. In Usicayos' case, high grade samples, defined as above 10 g/t Au, typically contains between 10% and 20% of the gold in the coarse fraction. This percentage decreases with lower values. The Company has decided to use this method to quantify more accurately the gold content in an area which often has visible coarse gold.

Samples reported from Sol de Oro are collected continuously along 20-50cm deep channels dug using picks and chisels in strongly foliated as soft rock. Diamond saws cannot be used effectively in this type of material. Each sample consists of between 2 to 4 kg along 1 metre intervals, and is considered representative of the outcropping rock.

Palamina Corp. quality assurance/quality control (QA/QC) protocol is implemented on all its exploration projects. Prior to delivery of samples to the analytical laboratory Palamina QAQC staff insert blank samples, field duplicates and certified standards into the sample stream with the objective to provide a check on precision, accuracy, and contamination in the laboratory. To assure best practice compliance, assay results are only reported once the results of internal QAQC procedures have been reviewed and approved. Samples are collected and transported by Palamina personnel to the Certimin S.A preparation facility in Juliaca, Peru where they are processed and then sent for assay to the Certimin S.A. laboratory in Lima, Peru.

The technical information herein has been reviewed and approved by Alvaro Fernandez-Baca (P. Geo.); a Qualified Person as defined by National Instrument 43-101. Mr. Fernandez-Baca is Vice President of Exploration to Palamina.

About Palamina Corp.

Palamina has participation in eight gold projects in south-eastern Peru hosted within the Puno Orogenic Gold Belt. Palamina is advancing the Usicayos gold project through the drill discovery phase. The Company also owns the Galena silver-copper project in the Santa Lucia district. Palamina holds an 15.4% equity interest on a fully diluted basis in Winshear Gold Corp. who are advancing the Gaban Gold Project to the drill discovery phase.

On Behalf of the Board of Directors:
Andrew Thomson, President
Phone: (416) 204-7536 or visit www.palamina.com

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.

This news release contains certain "forward-looking statements" within the meaning of such statements under applicable securities law. Forward-looking statements are frequently characterized by words such as "plan", "continue", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking statements throughout this news release. Forward-looking statements include, but are not limited to, the use of proceeds of the Offering and the Company's future business plans. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. The Company is under no obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable law. A more complete discussion of the risks and uncertainties facing the Company appears in the Company's continuous disclosure filings, which are available at www.sedar.com.

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