RIO2 LIMITED Achieves First Gold Pour at Fenix Mine

• First gold pour completed at Fenix Gold Mine in Chile, the company's third producing asset
• Bolivar mine in Bolivia resuming operations following September 2024 flooding, with production restarting in December
• Upper level rehabilitation at Bolivar progressing according to schedule
• Fenix commissioned on schedule and on budget
• Full recovery of Bolivar's underground operations expected by second quarter 2025

RIO2 LIMITED (TSX-V: RIO) is a Vancouver-based mining company that operates precious metals mining assets in South America. The company's portfolio includes the Fenix Gold Mine in Chile, the Bolivar polymetallic mine in Bolivia, and the La Sorpresa gold mine in Peru. RIO2 develops and operates mining projects across established mining jurisdictions in the region.

Fenix Mine Achievement and Bolivar Recovery Status

RIO2 completed its first gold pour at the Fenix Gold Mine in Chile during the fourth quarter of 2024. The achievement marks the commissioning of the company's third operating mine and its first producing asset in Chile. 

According to President and CEO Alex Black: 

"I am delighted to announce our first gold pour at Fenix. This represents a major milestone for RIO2 as it is our third producing mine and diversifies our production base into a new jurisdiction."

The Bolivar mine in Bolivia experienced flooding in September 2024 that affected underground mining operations. The flooding temporarily halted access to certain underground areas, requiring remediation work to restore full operations. Mining activities have continued in accessible areas of the mine while rehabilitation work proceeds on the affected sections.

Production at Bolivar resumed in December 2024 following initial dewatering and assessment work. The company is working through a phased recovery plan that includes infrastructure rehabilitation and restoration of access to the flooded underground areas. 

President and CEO Alex Black stated: 

"This new mine is not only a testament to the hard work of the team in Chile, but also demonstrates our ability to bring projects into production on schedule and on budget in different jurisdictions across South America."

Bolivar Flood Remediation and Recovery Timeline

Dewatering operations at Bolivar have been completed, allowing rehabilitation work to proceed on the affected underground levels. Engineering teams have assessed the infrastructure and developed plans to restore full access to the mining areas. Work is focused on the upper levels, with systematic progress through the affected zones.

Mining operations at Bolivar have shifted to accessible areas while the remediation continues. The company has maintained production from these zones during the recovery period. The rehabilitation work follows an established timeline with defined phases for restoring access to different areas of the mine.

The company expects to complete the recovery of Bolivar's underground operations by the second quarter of 2025. At that point, access to the previously flooded high-grade veins should be fully restored. The timeline accounts for the technical requirements of the rehabilitation work and the sequential nature of restoring access to the underground areas.

Operations Across Chile, Bolivia and Peru

The Fenix Gold Mine in Chile completed commissioning during the fourth quarter of 2024. The mine was brought into production on schedule and on budget, according to management. Fenix is now the company's third operating mine and first producing asset in Chile.

The La Sorpresa mine in Peru continued operations during the fourth quarter. This mine operates alongside Bolivar in Bolivia and the newly commissioned Fenix mine in Chile. The company now operates three producing mines across three countries in South America.

The operational status of the portfolio includes one mine ramping up to full production at Fenix, ongoing operations at La Sorpresa, and recovery work at Bolivar. The company's assets are distributed across different jurisdictions in South America, with operations in Chile, Peru and Bolivia.

Next Steps

RIO2 is focused on completing the rehabilitation of Bolivar's flooded underground areas by the second quarter of 2025. The company is also working to bring Fenix to steady-state production levels as the operation matures. The completion of Bolivar's recovery and Fenix's ramp-up represent the primary operational milestones for the company in the first half of 2025.

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