Palamina Corp. completed its latest field program at its 100% owned Usicayos Gold Project in the Sol de Oro Zone in December 2023. 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.

Drilling is scheduled to commence in Second Quarter of 2024. 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 at the heart of the SDO zone. Drilling at SDO is designed to test this interpretation.

Four mineralized targets have been identified at SDO, all of which are structurally well defined and continuous at surface; SDO North, South, East and West. Company geologists completed a channel sampling and geological reconnaissance program in December 2023 designed to test the continuity of gold mineralization in the SDO North, East, and South zones. Approximately 30% of all samples collected were continuous channels taken using a diamond saw, and the remaining samples were rock chips collected using hammers and chisels.

Samples, some of which contained visible gold, were collected on both outcrops and along artisanal underground tunnels and workings built by local miners in the past. Palamina will conduct two sampling campaigns while the road, drill pads, and the exploration camp are being constructed and set up in the SDO zone. A structural geological consultant will complete further interpretation of the zone to further delineate drill targets.

Palamina also plans to drill in the Cayos Zone, located to the northeast of SDO in 2024. Prior sampling programs have returned up to 30.5 g/t Au over 3m in a continuous channel sample. These results, along with heliborne geophysical survey work and a comprehensive structural study completed have played an important role in defining SDO and Cayos zones as priority drill target areas.

Palamina is well funded to carry out the drill program with over $3M in cash at December 30, 2023.