Peruvian posts 89% gold recoveries at Palta Dorada

Executive Summary

• Peruvian Metals Corp. reported updated metallurgical results from its 100%-owned Palta Dorada gold-silver property in Peru, demonstrating high recovery rates for both oxide and sulphide mineralization.
• Sulphide material from the San Juan vein achieved 89% gold and 61% silver recovery via flotation, with a head grade of 8.30 g/t Au and 3.39 oz/t Ag.
• Oxide material showed strong recovery rates (82-92% gold) via cyanide leaching, with one sample assaying 35.1 g/t Au; the company has resumed exploration and development activities following road repairs.

Key Details

• Sulphide Metallurgical Results:
  • Sample source: Composite over one metre, located 10 metres below the oxide/sulphide transition in the San Juan vein shaft.
  • Head Grade: 8.30 grams Au/mt and 3.39 ounces Ag/mt.
  • Recovery: 89% for gold and 61% for silver using flotation.
  • Processing Plan: Sulphide material will be treated at the company's Aguila Norte processing plant to produce an Au-Ag concentrate.
• Oxide Metallurgical Results:
  • Shaft Sample: Composite over one-half metre width above sulphide mineralization.
    • Head Grade: 35.1 grams Au/mt and 1.51 ounces Ag/mt.
    • Recovery: 82% gold and 58% silver over 48 hours via agitated cyanide leaching.
  • Artisanal Workings Sample (North of shaft):
    • Head Grade: 13.0 grams Au/mt and 2.98 ounces Ag/mt.
    • Recovery: 92% gold and 65% silver over 36 hours.
    • Note: Sample was random grabs and not considered representative of the entire mineralization.
• Historical Assay Data:
  • Seven chip samples from the shaft quartz vein containing sulphides returned a weighted average of 10.51 g/t Au, 329 g/t Ag, and 1.74% Cu.
  • Individual sample ranges: 3.06 to 24.1 g/t Au; 36 to 865 g/t Ag; 0.31% to 4.94% Cu.
  • Average width: 0.60 metre.
• Operational Updates:
  • Development was delayed since 2023 due to El Niño flooding damage to access roads; new access roads are now complete.
  • Camp has been upgraded, and exploration/development work is restarting.
  • Focus is on the San Juan vein, which has at least an 840-metre strike length.
  • Current work includes a 160-metre access drift on the lower 895-metre level; shaft opening estimated on the 945-metre level.
  • Sharp transition between sulphide and oxide zones identified at the 920-metre level.
• Commercial Activity:
  • In June 2022, 31 tonnes of oxide material (9.74 g/t Au) was sold to Chala One toll mill at $1,852/oz USD with 90% gold recovery.
  • Provisional permits allow extraction of large bulk samples.
• Corporate/Ownership Structure:
  • Peruvian Metals acquired full ownership in 2024 by purchasing a 50% interest from Rio Silver Inc.
  • Total payments to Rio Silver: $250,000 USD.
  • Rio Silver retains a 3% Net Smelter Return (NSR) capped at $2 million USD.
  • Peruvian Metals received 3,999,999 shares of Rio Silver Inc. (TSX-V: RYO) in Dec 2025 for the sale of the Minas Maria property.
  • Peruvian Metals is the single largest shareholder of Rio Silver.

Notable Quotes

• "New metallurgical results in both oxide and sulphide material highlight the gold potential at Palta Dorada. When Peruvian Metals acquired its initial interest in the property, gold was trading at the $1,500-(U.S.)-per-ounce level. Now that gold is trading near the $4,600-(U.S.)-per-ounce level, the economic viability has been greatly improved." — Jeffrey Reeder, CEO
• "The oxide gold material, along with similar oxide mineral at our Aguila Norte site, will be one of many catalysts and sources of material for a potential CIP circuit." — Jeffrey Reeder, CEO