Kemar Minerals Inc. Identify High-Grade Underground Gold Deposits at The Company's Operation in Cajamarca, Peru

Kemar Minerals Inc. has released an updated preliminary economic assessment (PEA) for its wholly owned Cajamarca gold project in Peru, which is showing a potential high-grade deposit capable of yielding over 3,000 ounces of gold via the project's underground operation.

The initial forecast was that Kemar Minerals would achieve a five-year mine life and generate an estimated of 2,000 ounces of gold over the mine's life at an estimated all-in sustaining costs (AISCs) of no more than US$1,370 per ounce. Their initial required capital estimate was circa US$2.9 million and based on the 2,000-ounce yield. The capital estimate has now been increased to US$3.2 million since the increase in deposits has been identified, making the project more profitable than initially forecast when the company initially undertook exploration at the site in late 2023.

"The increased PEA for Cajamarca is extremely encouraging and has turned the project in to an extremely cost-effective site," said Mr. Ferdinand Wray, the Director of Operations at Kemar Minerals Inc.

"These results have demonstrated that we will realize a very robust economic potential for a low-cost, high-grade gold operation with relatively low upfront capital costs, enabling a rapid return and payback of capital. We are now even more encouraged about Cajamarca's potential as a near-term production project, with the ability for further exploration and expansion along with increased potential as we intend to continue our current drill programs in order to extend our knowledge of the known mineralization at Cajamarca and the nearby surrounding area," Mr. Wray concluded.

The company advised that further exploration programs at several of their other exploration sites will be undertaken in 2024 and 2025 with the company reporting to shareholders once results have become available.