Tesoro Gold Limited reported a significant MRE update and initial Exploration Target for Ternera at the Company's El Zorro Gold Project (El Zorro) in Chile. Ternera MRE Increased and Upgraded: The constrained Ternera MRE now stands at 33.7 Mt at 1.18 g/t Au for 1.28 Moz with 802 koz (63%) of the resource classified as Indicated. The updated MRE has been constrained to a USD 1,800/oz optimised pit shell, with the underground resource reported at a 1.50 g/t Au cut off.

The underground resource is reported at a cut off where gold mineralisation is consistently well developed below the optimised pit shell. On an unconstrained basis, the Ternera MRE grows to 42.6 Mt at 1.07 g/t Au for 1.46 Moz. The Ternera MRE update was undertaken utilising data from 310 diamond drillholes for approximately 105km drilling, completed between June 2022 and December 2022.

A detailed geological reinterpretation and 3D modelling program of Ternera demonstrated a substantial improvement in gold grade and continuity throughout the deposit. The increased and upgraded MRE has been achieved in a capital efficient manner with a low discovery cost of less than AUD 21/oz (USD 14/oz), well below the global average greenfield discovery cost of USD 45/oz. The revised MRE, has been independently estimated by Mr. Lynn Widenbar, a consultant to the Company.

Mr. Widenbar is a highly credentialled and experienced resource consultant having completed MRE's for companies including Saracen Mineral Holdings Ltd, Calidus Resources Ltd. and Aurelia Metals Ltd. The estimate has been produced by 3D modelling the host lithology and mineralised fault systems and interpreted to control gold deposition within Ternera. The 3D geological framework was utilised to produce a block model grade estimation using Ordinary Kriging (OK). The Ternera MRE has been classified as Indicated or Inferred based on current drill spacing, and drilling has been verified using the Company's QAQC program which is undertaken to normal industry standards.

Ternera Exploration Target Defined: An initial Exploration Target has been estimated for Ternera of between 48.50Mt and 101.00Mt at between 0.91 g/t Au and 1.45 g/t Au. The Exploration Target is restricted to the area constrained by existing drilling at Ternera and indicates the drilled footprint could contain between 1.6Moz to 3.0 Moz of gold. The Exploration Target Estimate (ETE) utilised all drilling information from drilling undertaken by the Company at the Ternera Gold Deposit since 2017, which is the same dataset as utilised for calculation of the updated MRE - 105,489.10m of drill information from 310 HQ diamond drillholes.

The ETE has been constrained to within the current drilled footprint of the Ternera Gold Deposit. A similar methodology was used to calculate the ETE as the MRE with modification of certain estimation inputs being sample search ellipse size and additional 3D geological interpretation to extrapolate gold mineralisation between widely spaced drilling that does not meet JORC resource classification criteria. The MRE classification criteria used is Indicated material is confined to areas where resource definition drilling is typically <25m spacing.

Inferred material is confined to areas where drill spacing is generally <50m. The ETE considers drill spacing >50m and up to 200m spacing on the peripheries of the current drill footprint. All other estimation criteria used for the ETE were the same as the MRE.

Additional drilling is required to test, assess, and potentially calculate a JORC compliant classified MRE for the Exploration Target area where drill spacing remains too sparse to be included in the current MRE.