Mr. Keith Henderson reports

LATIN METALS RECEIVES US$250,000 PAYMENT FROM DAURA GOLD

Latin Metals Inc. has received a $250,000 (U.S.) cash payment from Daura Gold Corp. consisting of $150,000 (U.S.) payable to the underlying vendor of the Cerro Bayo and La Flora properties, and $100,000 (U.S.) payable to the company.

Under the terms of the option agreement, Daura may earn up to a 75-per-cent interest in the projects (80 per cent with a top-up right) by completing staged exploration, including aggregate payments of $1.7-million (U.S.) ($300,000 (U.S.) paid), aggregate payments of $400,000 (U.S.) to the underlying vendor ($250,000 (U.S.) paid), complete exploration work commitments including 28,000 metres of drilling (1,850 metres completed), and prepare and deliver to Latin Metals a report prepared in accordance with Form 43-101F1 on the properties, addressed to Latin Metals and containing a mineral resource estimate on the properties.

Cerro Bayo -- phase I drilling completed

Daura has completed the first phase of drilling at Cerro Bayo completing 1,850 metres of diamond drilling in 18 drill holes and testing multiple target areas across a district-scale epithermal system defined by prior mapping, geochemistry and geophysical surveys. The phase I program satisfies the initial drilling commitment under the option agreement, which includes a minimum of 1,500 metres of drilling to be completed by April 30, 2026.

This work represents Daura's first systematic drill testing of multiple targets across Cerro Bayo and marks an important step in evaluating the scale and continuity of mineralization across the property. Assay results are pending and are expected to be received from Daura Gold in May, 2026, representing a key upcoming catalyst for the company.

Phase II drilling -- expanding across Cerro Bayo and La Flora

Daura is planning a phase II drill program in Q3 2026, expanding exploration across both Cerro Bayo and La Flora. At Cerro Bayo, phase II will focus on follow-up drilling, including stepout and extension holes designed to test continuity and further define zones identified during phase I. At La Flora, the program will include initial drill testing of this emerging high-grade target.

La Flora -- high-grade surface results

La Flora is a recently defined high-priority, high-grade target, following Latin Metals' identification of visible gold and high-grade epithermal mineralization at surface (news release Feb. 4, 2025). Previous surface sampling returned grades of up to 82 grams per tonne gold and 1,239 g/t silver.

Visible gold occurs within silica-rich vein material, consistent with high-grade epithermal systems. These structures are partially concealed beneath shallow overburden, suggesting potential for mineralization extending along strike and at depth.

District-scale opportunity -- Cerro Bayo and La Flora

The Cerro Bayo and La Flora projects are located within the Deseado Massif, one of the world's most prolific precious metals districts. Since 1990, the district has produced and defined more than 600 million ounces of silver and 20 million ounces of gold.

At Cerro Bayo, exploration has outlined an eight-kilometre-wide structural corridor hosting multiple low-sulphidation epithermal vein targets. Phase I drilling represents the first step in systematically testing this broader mineralized system, with phase II expected to advance the most prospective zones. At La Flora, the combination of visible gold, bonanza-grade surface samples and favourable geological setting highlights the potential for additional high-grade mineralization and reinforces its priority for initial drilling.

Permitting status

Cerro Bayo is fully permitted for drilling, allowing for continued advancement of follow-up work. At La Flora, drill permitting is in progress and is expected to be completed in due course, enabling initial drilling as part of the phase II program.

Mark Sumner, chairman and chief executive officer of Daura Gold, commented:

"Completion of the first phase of drilling at Cerro Bayo marks an important milestone as we advance the project. While we await assay results, the work completed to date has reinforced our confidence in the system and the broader opportunity across the district. The inclusion of La Flora in phase II introduces a compelling new target, where high-grade mineralization and visible gold at surface point to significant exploration potential."

Keith Henderson, president and chief executive officer of Latin Metals, commented:

"The completion of phase I drilling and receipt of this milestone payment highlight the strength of our prospect generator model with exploration at both Cerro Bayo and La Flora being fully funded by Daura. With assays expected in the near term and phase II drilling planned, we are entering an important phase of exploration while maintaining capital discipline."

Qualified person

Eduardo Leon, QP, is the company's qualified person as defined by National Instrument 43-101, and has reviewed the scientific and technical information that forms the basis for portions of this news release. He has approved the disclosure herein. Mr. Leon is not independent of the company, as he is an employee of the company and holds securities of the company.

About Latin Metals Inc.

Latin Metals is a copper, gold and silver exploration company operating in Peru and Argentina under a prospect generator model, minimizing risk and dilution while maximizing discovery potential. The company secures option agreements with partners to finance exploration. This approach provides early stage exposure to high-value mineral assets. Latin Metals is actively seeking new strategic partners to advance its portfolio.

Upcoming events

Latin Metals is pleased to announce its participation in several Q2 2026 industry conferences, providing a platform to connect with investors, industry leaders and potential partners:

• 121 London -– London, United Kingdom, May 11 to May 12, 2026;
• Deutsche Goldmesse –- Frankfurt, Germany, May 15 to May 16, 2026.

These events offer valuable opportunities to share Latin Metals' exploration progress in Argentina and Peru, highlight the advantages of its low-dilution prospect generator model, and explore strategic investment and partnership opportunities across its gold-, copper- and silver-focused portfolio.

We seek Safe Harbor.