Belo Sun Provides Update on Ongoing Proceedings Before TRF-1

• Most Recent Update (May 21, 2026): Belo Sun provided a judicial update on proceedings before TRF-1 regarding the Volta Grande Gold Project. The court dismissed an appeal by the Federal Public Defender’s Office (DPU) and an indigenous association, upholding a dismissal of a civil public action concerning Indigenous Component Study (ECI) requirements.
• Pending Issues: A judgment regarding FUNAI's motion for clarification on ECI sufficiency has been postponed to the next session. Additionally, a proceeding regarding whether state (SEMAS) or federal (IBAMA) authorities hold licensing power was removed from the docket for consideration of petitions.
• Recent Context: This follows the reissued Installation License (LI) received April 30, 2026, valid until April 2029, and the commencement of Technical Gap Analysis studies on May 12, 2026.
• Financing History: A $30 million USD private placement closed in February 2026, led by La Mancha Investments, which now holds approximately 24.9% ownership.

• Legal Progress vs. Resolution: The dismissal of the DPU appeal is a positive legal development that removes one specific threat to the project's permitting status. However, it does not resolve all pending judicial matters, specifically the FUNAI motion and the licensing authority jurisdiction question.
• Capital Position: The company secured $30 million USD in February 2026, providing sufficient runway to navigate ongoing legal proceedings without immediate dilution risk or liquidity concerns. This capital raise was already priced into the stock during the February rally (price jumped from ~$0.70 to >$1.20).
• Market Expectations: The market has likely anticipated continued permitting battles given the suspension in January 2026. The reissued license in April and this court update represent incremental progress rather than a fundamental shift in project viability.
• Verdict: The news is positive but falls short of "Material - Positive" because it does not clear all legal hurdles (FUNAI remains pending) and follows the major capital raise event which was the true material driver earlier in the year. It confirms stability rather than creating new value.

• Company: Belo Sun Mining Corp. (TSX: BSX; OTCQX: BSXGF).
• Flagship Project: Volta Grande Gold Project located in Pará State, Brazil.
• Project Status: Reissued Installation License (LI) valid until April 2029. Technical Gap Analysis underway to update Definitive Feasibility Study (DFS).
• Development Stage: Pre-construction / Permitting refinement phase.
• Management: Clovis Torres serves as Chairman and CEO. Adilson Araújo Laudares appointed Engineering Director in May 2026 with Vale S.A. experience.