Palamina Completes Drone Magnetic and Structural Studies in Preparation for Drilling at the Usicayos Gold Project

Toronto, July 15, 2024 - Palamina Corp. (TSXV: PA) (OTCQB: PLMNF) has completed a drone-based magnetic survey over the entire 4.5 km long mineralized gold trend at its 100% owned Usicayos Gold Project in the department of Puno in south eastern Peru. The survey was carried out by Lima-based geophysical contractor Deep Sounding E.I.R.L and included generating a detailed Digital Terrain Model ("DTM") and acquiring an orthophoto to generate a new high-resolution topographic map. The company also completed a new structural interpretation of the Sol de Oro ("SDO") zone which confirms the main controls on surface mineralization

"The recently completed drone magnetic survey confirms that our priority drill target areas in the Sol de Oro zone coincide with magnetic anomalies, likely linked to pyrrhotite closely associated with gold mineralization. Structural mapping has confirmed that high grade gold values are spatially controlled by a continuous low angle shear zone, near the intersection with vertical conjugate faults. The uppermost manto seen in SDO East coincides with this flat shear zone. Our imminent drill program at the SDO East, SDO North and SDO South targets will test where the two structural trends intersect," commented Andrew Thomson, President of Palamina.

Deep Sounding completed 164 line kilometers of magnetic survey using a MagDrone R3 magnetometer. A detailed DTM was completed prior to the magnetic survey to ensure a constant 35 metre elevation above surface for the drone. Figure 1 shows the Total Field magnetic survey, and the location of the three Sol de Oro zones to be drilled by Palamina during 2024.

Figure 1: Sol de Oro zone Total Field magnetic anomaly map

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The Company also engaged Cumbrex S.A. to complete a detailed structural review of the Sol de Oro zones. Their report has confirmed that the uppermost manto at Sol de Oro East coincides with a sub-horizontal shear zone (the "SDO detachment Fault"), marking the contact between an upper, shale-dominated sedimentary sequence, and a lower, sandstone dominated one. Gold mineralization occurs in both blocks. Gold in the upper block is hosted along sub-vertical conjugate shear zones and appears to increase where they intersect subhorizontal structures, while the lower block hosts gold along flat, stratiform mantos, four of which outcrop in the Sol de Oro East zone. Both the drone magnetics and the structural study have been used to refine the drill targets. Palamina has completed building its camp in the Sol de Oro zone with drilling expected to be underway by months end.

Figure 2: Long section looking north of the Sol de Oro Zone showing the projection of the SDO detachment fault coinciding with the uppermost Manto at SDO East

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Figure 3: Sol de Oro zone initial drill target areas

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Helipad in SDO-E Zone used to mobilize drill

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SDO-E drill platform

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Technical Information

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 is a gold exploration company with a land bank of gold projects in the Puno Orogenic Gold Belt in south-eastern Peru. Palamina is set to commence a drill program at its Usicayos gold project. Palamina holds a 15.4% equity interest in Winshear Gold Corp. (TSXV: WINS). Winshear are scheduled to conduct an inaugural drill program at their Gaban Gold Project in 2024. Palamina also has an "acquire and hold" strategy with copper silver assets in south and north eastern. Palamina has 71,284,836 shares outstanding and trades on the TSX Venture Exchange under the symbol PA and on the OTCQB Venture Market under the symbol PLMNF.

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.ca.

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