Minsud Unveils Maiden Mineral Resource Estimate for Chinchillones Complex

Minsud Resources Corp. (TSX-V: MSR) has announced a significant milestone in the development of the Chita Valley Project, with the completion of a maiden, pit-constrained Mineral Resource Estimate for the Chinchillones Complex deposit. This estimate, prepared by Mr. Mike Job, Principal Geology and Geostatistics at Cube Consulting Pty Ltd, in collaboration with GeoEstima SpA, demonstrates the substantial development potential of the deposit and provides a robust basis for advancing the exploration and growth strategy.

The Chinchillones Complex deposit, located in San Juan Province, Argentina, has been the subject of a comprehensive drilling program led by Minera Sud Argentina S.A. (MSA), a joint venture between a wholly owned subsidiary of South32 Limited (50.1%) and Minsud Resources Corp. (49.9%). The program, conducted between 2019 and 2024, provided critical data for the maiden resource estimate, with a total of 21,345 m drilled between 2020 and 2021, supplemented by earlier drill holes.

The maiden Mineral Resource Estimate for the Chinchillones Complex deposit revealed:

* Indicated Resources: 188Mt at 0.41% CuEq, containing 776Kt of copper equivalent, 466Kt of copper, 674koz of gold, 63.5Moz of silver, 6.8Kt of molybdenum, and 291Kt of zinc.
* Inferred Resources: 573Mt at 0.36% CuEq, containing 2,049Kt of copper equivalent, 1,244Kt of copper, 1,650koz of gold, 165.6Moz of silver, 53.2Kt of molybdenum, and 616Kt of zinc.

The resources are considered suitable for open-pit mining and flotation process, based on Net Smelter Return cutoffs, with copper equivalent calculated post-estimation using the same parameters. Copper, silver, and gold are the primary contributors to the Mineral Resource Estimate, with molybdenum and zinc as secondary contributors.

The Chinchillones Complex deposit demonstrates reasonable prospects for eventual economic extraction ("RPEEE"), as defined by the Committee for Mineral Reserve International Reporting Standard. This evaluation is based on drilling conducted by MSA between 2020 and 2024, supplemented by earlier drill holes. The estimate is supported by preliminary metallurgical studies and economic parameters, mining costs, processing costs, and metal recoveries from Cu, Mo, and Zn concentrates to derive Net Smelter Return ("NSR").

The Chita Valley Project stands apart from traditional high-Andean mining ventures, with its lower altitude (3,000 meters) and favorable climate offering significant advantages. Year-round accessibility, coupled with excellent infrastructure and proximity to essential services, translates into potential for lower capital expenditure and competitive operational costs. These competitive advantages position the Chita Valley Project as a compelling investment proposition.

The Chinchillones Complex deposit has a significant opportunity for future development, offering potential exploration upside and unrealized economic potential. The deposit is considered potentially economic via open-pit mining and flotation process, demonstrating RPEEE. This conclusion is supported by the spatial continuity of mineralization, the application of NSR cutoffs, and metallurgical performance based on testwork results. Highlighting copper, silver, and gold as primary contributors to economic potential, alongside secondary contributions of molybdenum and zinc.

Three phases of metallurgical testing were conducted on samples from the Chinchillones Complex to evaluate hardness, flotation performance, and concentration quality. Testing was conducted on composite samples from four mineralization domains: Domain 1, high-grade silver and gold-rich polymetallic intermediate sulfidation (IS); Domain 2, high-grade copper and zinc-rich polymetallic IS; Domain 3, porphyry-style high-grade copper with or without molybdenum; and Domain 4, a mix of porphyry and IS. Metallurgical studies performed by ALS Metallurgy Kamloops in 2022 and 2024 revealed chalcopyrite and tennantite/enargite as the dominant copper minerals. Results showed significant challenges with arsenic (As) content in concentrates (averaging 7%) as well as elevated zinc levels in certain domains. Distinct metallurgical responses were observed in high zinc geological domains (Domain 2) compared to low zinc geological domains (Domain 4).

In conclusion, Minsud Resources Corp.'s maiden Mineral Resource Estimate for the Chinchillones Complex deposit at the Chita Valley Project highlights the deposit's substantial development potential and provides a robust basis for advancing the exploration and growth strategy. The project's competitive advantages, including lower altitude, favorable climate, year-round accessibility, and proximity to essential services, position it as a compelling investment proposition. With copper, silver, and gold as primary contributors to economic potential, alongside secondary contributions of molybdenum and zinc, the Chinchillones Complex deposit demonstrates reasonable prospects for eventual economic extraction, supporting its potential as a significant resource within the Chita Valley Project.