Denarius Metals Hits Milestone, Files Key Report for Zancudo Gold Mine

TORONTO, ON – December 18, 2025 – Denarius Metals Corp. has taken a significant step forward in cementing the value of its flagship Colombian asset, filing a crucial technical report that substantiates a major resource upgrade at its Zancudo Project. The company announced today the filing of a National Instrument 43-101 (NI 43-101) compliant report, a move that provides independent validation for the project's enhanced gold and silver estimates and bolsters investor confidence as mining operations ramp up.

This regulatory milestone follows the company's November 3, 2025, announcement of an updated Mineral Resource Estimate (MRE) for the 100%-owned project located in the prolific Cauca Belt near Medellin. The technical report, prepared by the independent firm Resource Development Associates, serves as the formal, detailed backing for those impressive new figures, which are critical for the project's economic planning and future development.

A Milestone in Transparency and De-Risking

The filing of an NI 43-101 technical report is a non-negotiable and vital part of the public mining company lifecycle in Canada. It provides a standardized framework for disclosing scientific and technical information about mineral projects, ensuring transparency and protecting investors. For a junior developer like Denarius Metals, which began mining at Zancudo in the second quarter of 2025, this filing is a powerful de-risking event.

By having an independent Qualified Person—Scott Wilson of Resource Development Associates—verify the data, methodologies, and conclusions, the company reinforces the credibility of its Zancudo asset. This validation is essential not only for current shareholders but also for attracting future investment and potential strategic partners. The report, with an effective date of October 31, 2025, confirms that the project's resource estimates are based on sound geological interpretation and industry-standard practices, providing a solid foundation for the ongoing operational activities and future economic assessments.

Unpacking the Upgraded Resource

The technical report supports a substantial update to the Zancudo Project's mineral wealth. A key achievement of the 2024 drilling program was the successful conversion of a significant portion of the resource into the higher-confidence Indicated category for the first time.

The updated estimate now includes:
* Indicated Resources: 979,000 tonnes grading an impressive 6.9 grams per tonne (g/t) gold and 84 g/t silver. This amounts to 217,000 ounces of contained gold and 2.7 million ounces of contained silver.
* Inferred Resources: 4.6 million tonnes grading 5.6 g/t gold and 84 g/t silver, for a total of 832,000 ounces of contained gold and 12.5 million ounces of contained silver. This represents a 13% increase in total tonnage in the Inferred category.

This upgrade was the direct result of a targeted 7,225-meter in-fill drilling campaign, which used tighter 50x50 meter drill spacing to increase geological certainty in areas marked for near-term underground mining. The ability to move resources from the Inferred to the Indicated category is a critical step in de-risking the mine plan and demonstrates a growing understanding of the deposit's continuity.

The estimate was calculated using a cutoff grade of 3.25 g/t gold equivalent, based on robust metal prices of US$2,400 per ounce for gold and US$28 per ounce for silver, reflecting a positive outlook on the precious metals market.

From Exploration to Production

While the technical report solidifies the project's resource base on paper, Denarius Metals has already been turning Zancudo's potential into reality. The company commenced small-scale mining operations in April 2025, focusing on extracting high-grade material from the historic Independencia mine workings. During the second and third quarters of 2025, approximately 1,200 tonnes of material were mined, with 878 tonnes shipped to the global commodities giant Trafigura under a long-term offtake agreement.

This early production material has already confirmed the deposit's high-grade nature, with shipped ore averaging 7.3 g/t gold and 164.5 g/t silver. This phase provides early cash flow and invaluable operational data as the company prepares for a major expansion.

The next pivotal step is the construction of a 1,000 tonnes-per-day flotation processing plant on-site. The company received the final Industrial Facility Permit in October 2025, greenlighting construction. This plant, funded in part by a $9.0 million prepayment facility from Trafigura, is expected to be commissioned by the end of the second quarter of 2026. Once operational, it will allow Denarius to produce high-grade gold-silver concentrates directly at the mine, significantly improving project economics and scaling up production.

Navigating the Colombian Landscape

Denarius Metals' progress at Zancudo is particularly noteworthy given the complex operating environment in Colombia. The department of Antioquia is the country's historic heartland for gold mining, known for its rich geology. However, the sector is also fraught with challenges, including the pervasive influence of illegal mining, associated security risks, and a complex regulatory landscape that can be difficult for operators to navigate.

Successfully securing all necessary permits—including the mining license, environmental impact study approval, and now the industrial facility permit—demonstrates the company's ability to effectively manage local stakeholder relations and government processes. This positions Denarius as a legitimate operator in a region where formalization and responsible mining are critical government priorities. As the Zancudo project advances, it stands to become a model for modern, compliant mining in a historically challenging jurisdiction.

Looking ahead, the work at Zancudo is far from over. The deposit remains open for expansion in all directions, and Denarius is already planning its next phase of growth. The company is preparing to launch a new 15,000-meter drilling campaign that will run through 2026. This program will focus on further expanding the known resource, testing new high-grade structures, and exploring promising regional targets like Brisas, ensuring a robust pipeline of exploration upside to complement its burgeoning production profile.