Jaguar Mining Inc. Commences Drilling at High-Potential Chame Target - Advancing Five-Year Exploration Plan

Jaguar Mining Inc. announced on December 1, 2025, the commencement of drilling activities at its high-potential Chamé target. Located 3 km southeast of the Santa Isabel mine within the Paciência complex in Brazil's Iron Quadrangle, drilling began on November 21, 2025. The initial phase of the program consists of 12 drill holes, totaling 3,040 meters, aimed at evaluating the potential for a near-surface, open-pittable gold operation. This drilling campaign is a key component of the Company's five-year Exploration Plan and follows previously reported encouraging trenching results. Management expressed excitement about Chamé's potential, citing its proximity to existing processing facilities and historic artisanal workings as favorable factors.

This news is a positive, but routine, operational update. The commencement of drilling at the Chamé target aligns with the Company's previously announced five-year exploration plan (September 8, 2025) and follows encouraging trenching results reported earlier (September 9, 2025). While exploration drilling is crucial for long-term resource growth and project development, this announcement is about the initiation of drilling rather than the reporting of new, significant results.

In the broader context of recent news: * Turmalina Restart: The company has made significant progress in resolving the Satinoco incident, including legal settlements (September 3, 2025) and environmental fines (July 14, 2025), and received partial regulatory approval to access critical areas (October 29, 2025). The restart of the Turmalina mine in Q1 2026 is a much more material operational catalyst. * Pilar Performance & Exploration: Pilar has been the sole operating mine, delivering solid financial results (Q3 2025 net income of $13.0M, FCF of $8.2M) and showing strong exploration results at the BA Zone (August 5, 2025), with a significant directional drilling program planned for 2026 to add over 500,000 oz of gold (November 3, 2025). This has a more direct and substantial impact on immediate and near-term production profile and reserves. * Financing: The successful closing of the C$28.0 million bought deal placement (October 15, 2025), with significant participation from Eric Sprott, provided critical capital for the Turmalina restart and broader exploration initiatives, including Chamé. This financing was a material de-risking event.

The Chamé drilling is a logical and expected progression of an exploration target that has shown promise. It supports the long-term growth strategy but does not represent a "game changer" or a sudden, material shift in the company's outlook on its own. The market would likely have anticipated this step given the prior trenching results and the stated exploration plan.

Jaguar Mining Inc. is a Canadian-based gold mining company operating in the Iron Quadrangle of Minas Gerais, Brazil. The company has over 20 years of production history and holds the second-largest gold land position in the region (over 46,000 hectares).

Flagship Project/Key Operations: * Pilar Mine (Caeté Complex): Currently the sole operating mine, with a strong performance despite Turmalina's temporary suspension. It has a robust reserve base (192 koz @ 3.89 g/t Au P&P Reserves) and continues to deliver high-grade gold intercepts, with the BA zone projected to contribute ~50% of future production. A significant 5,000-meter directional drilling program is planned for 2026 to add over 500,000 oz. * Turmalina Mine (MTL Complex): Temporarily suspended since December 2024 due to a slump at its Satinoco dry-stacked facility. The company has made substantial progress in resolving legal and environmental issues related to the incident, secured partial regulatory approval for preparatory work, and aims for a restart in Q1 2026. This mine is critical for the company's planned production growth. Turmalina has P&P Reserves of 128 koz @ 3.26 g/t Au. * Onças de Pitangui Project (MTL Complex): A key growth project with maiden P&P Reserves of 284 koz @ 4.16 g/t Au. It is projected to start production in H2 2027 with an estimated rate of 42 koz/year. * Chamé Target (Paciência Complex): An exploration target with encouraging near-surface gold mineralization, potentially suitable for an open-pittable operation. Drilling has recently commenced, following positive trenching results, as part of the five-year exploration plan. * Santa Isabel Mine (Paciência Complex): Currently on care and maintenance since 2012, under review for a potential restart in 2026, with test mining ounces expected in Q3 2025. * Roca Grande Mine (Caeté Complex): On temporary care and maintenance since April 2019.

The company's strategy is focused on a multi-pillar growth approach, maximizing existing assets, leveraging its extensive exploration portfolio, and pursuing strategic opportunities. It emphasizes ESG principles and community well-being.