Josemaria Resources Inc. announced that the Mining Authority of San Juan, Argentina has approved the Environmental Social Impact Assessment for the Josemaria Project. The approval marks a significant milestone in the permitting process for Josemaria and solidifies the Project's staged development timeline. Josemaria continues to work with the national and provincial authorities to progress the Project through the next stages of development. The Company is engaged in ongoing discussions regarding commercial agreements, and the securing of additional environmental and sectorial permits is underway. Additionally, the Company is progressing the Project through Basic Engineering and is obtaining quotations on long -lead equipment while expanding the exploration camp to support the ongoing development and infill drilling program. Notes to accompany Josemaria Mineral Reserve statement: Mineral reserves have an effective date of 28 September 2020. The Qualified Person for the estimate is Mr. Robert McCarthy, P.Eng. 2. The mineral reserves were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum, Definition Standards for Mineral Resources and Reserves, as prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council. The mineral reserves were based on a pit design which in turn aligned with an ultimate pit shell selected from a Whittle pit optimization exercise. Key inputs for that process are: Metal prices of $3.00/lb Cu, $1,500/oz Au; $18.00/oz Ag; Variable Mining cost by bench and material type. Average costs are $1.351/t, $1.36/t and $1.65/t for ore, NAG waste and PAG waste, respectively. orocessing costs vary by metallurgical zone, ranging from $3.77/t tonalite ore mled to $3.71/t supergene. nfrasastructure On and Off-site $0.43/t milled; Indirect Costs $0.46/t med; Sustaining capitalal costs of $0.54/t; Pit overall slope angles varying from 33° to 45° 183; Prorocess recoveries for Cu and Au are based on grade. The erage recovery is estimated to be 85% for Cu a and 63% for Au. Ag recovery is fixed at 72%. Ming dililution is accounted for by averaging grades in adjacent blocks across a ickness of 2.5 m into each blolock. The mineral reserve has an economic cut-off for prime mill feed, based on NSR, of $5.22/t, $5.21/t, $5.18/t and $5.16/t milled for
tonalite, rhyolite, porphyry and supergene material respectively and an additional $0.53/t for stockpiled ore. There are 991 Mt of waste in the ultimate pit. The strip ratio is 0.98. 7. All figures are rounded to reflect the relative accuracy of the estimate. Totals may not sum due to rounding as required by reporting guidelines.