Mr. Andrew Thomson reports

PALAMINA'S COLT SILVER SPIN OUT RECEIVES FTA ENVIRONMENTAL PERMIT FOR THE GALENA SILVER COPPER PROJECT IN PERU

Palamina Corp. holds a 100-per-cent interest in its Canadian subsidiary, Colt Silver Corp., which, through its Peruvian subsidiary, holds a 100-per-cent interest in the Galena silver-copper project. On Sept. 24, 2026, Palamina is seeking shareholder approval at its annual and special meeting to spin out Colt Silver as a stand-alone public company. Subject to approval from Palamina shareholders and the TSX Venture Exchange, Colt is expected to commence trading in October, 2026, on the TSX Venture Exchange under the symbol COLT.

Colt has received its ficha tecnica ambiental (FTA) environmental approval from the Peruvian Ministry of Energy and Mines (MINEM) for its flagship Galena silver-copper project, located in the Puno region of Peru. The FTA authorizes the construction of up to 20 drill pads. Colt is fully financed and there are no limits to the number of holes that may be drilled from each drill pad.

"The Galena silver-copper project has never been drilled and sits at the intersection of two important regional trends: a northeast-trending belt of carbonate replacement deposits (CRD) and a southeast-trending belt of porphyry copper deposits. Inaugural drilling will test the CRD potential in the areas of the historic Santa Rosa, Gaspar and Chaparro mines. An initial 2,500-metre drilling program is being scheduled to start in October of 2026," commented Andrew Thomson, president of Colt Silver.

Colt is well positioned with four projects in the historic Santa Lucia district. They included the Galena (8,200 hectares), Volcano (6,812 hectares), Esperanza (60.75 hectares) and Sora (3,600 hectares) projects.

Colt's Volcano project lies between the producing Tacaza copper-silver mine and the Berenguela copper-silver-manganese project of Aftermath Silver Ltd. The Volcano concessions also surround the historic Santa Barbara silver-copper mine. Colt's Esperanza project lies within Aftermath's Berenguela claim block and is located approximately 500 metres southeast of their current resource area. Berenguela, Santa Barbara, and Colt's Volcano, Esperanza and Galena projects lie within the northeast-trending belt of CRDs.

Colt's Sora project is contiguous to the Pinaya copper-gold project. On April 27, 2026, Panam Copper Corp. purchased the Pinaya copper-gold project for $11-million (U.S.) from Ivanhoe Electric). In 2027, Panam Copper is reportedly planning to drill deep targets defined by Ivanhoe's Typhoon induced polarization (IP) study to test for a larger porphyry source at depth beneath the current copper resource, which outcrops at surface. Pinaya and Colt's Sora and Galena projects lie within the regional southeast-trending belt of porphyry copper deposits.

Qualified person

The technical information herein has been reviewed and approved by Steve T Priesmeyer, CPG, a qualified person as defined by National Instrument 43-101. Mr. Priesmeyer acts as a consultant to Palamina.

About Palamina Corp.

Palamina is a mineral exploration company with six gold projects in the Puno orogenic gold belt in southeastern Peru and holds a separate Canadian 100-per-cent-owned subsidiary, Colt Silver, with seven silver copper assets across southeastern, northeastern and central Peru. Colt Silver is being spun out into its own stand-alone public company to unlock additional shareholder value. Palamina trades on the TSX-V (symbol: PA) and the OTCQB (symbol: PLMNF).

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