Serabi Gold Maintains Strong Reserve Position with Updated Mineral Estimates at Palito Complex

• Serabi Gold reported proven and probable reserves of 162,600 ounces at 7.2 g/t gold, providing over six years of mine life at current production levels
• Total mineral inventory increased to 552,000 ounces across all resource categories, representing a 4% increase since 2023 estimates
• Measured and indicated resources grew 3% to 388,400 ounces, while inferred resources increased 7% to 163,900 ounces
• The company maintains its track record of resource replacement with a $9 million brownfield exploration program expected to enhance future estimates
• São Chico mine remains on care and maintenance since 2022, with previous estimates restated using conservative pricing assumptions

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Serabi Gold plc (AIM:SRB, TSX:SBI, OTCQX:SRBIF) is a Brazilian-focused gold mining and development company operating in the prolific Tapajós region of Para State, northern Brazil. The company has consistently produced 30,000 to 40,000 ounces annually from its Palito Complex and plans to double production through development of the Coringa Gold project. Serabi recently made a copper-gold porphyry discovery on its exploration licenses and maintains headquarters in the United Kingdom with a secondary office in Toronto, Canada.

Updated Reserve Estimates Show Operational Sustainability

The company's updated mineral reserve estimates, prepared by NCL Ingeniería y Construcción SpA with an effective date of April 1, 2025, demonstrate the operational sustainability of the Palito Complex. Total proven and probable reserves stand at 162,600 ounces contained in 706,000 tonnes grading 7.2 g/t gold, compared to 206,400 ounces at 7.8 g/t gold reported in July 2023.

The Palito mine contributes 147,000 ounces of the total reserves, with proven reserves of 103,800 ounces and probable reserves of 43,100 ounces. The São Chico mine, currently on care and maintenance, holds an additional 15,600 ounces in reserves.

CEO Mike Hodgson emphasized the significance of maintaining operational longevity:

"Within this mineral resource inventory, we have reported a 2P Mineral Reserve of ~163koz, equating to over six years of reserve life at current extraction rates, excluding any future resource to reserve conversion. For a narrow vein mine, this is a great position to be in."

Resource Growth Demonstrates Exploration Success

The updated mineral resource estimates show meaningful growth across categories. Measured and indicated resources increased 3% to 388,400 ounces of contained gold in 1,252,900 tonnes grading 9.6 g/t gold, compared to 377,800 ounces in December 2023. Inferred resources grew 7% to 163,900 ounces in 690,200 tonnes at 7.4 g/t gold.

The Palito mine accounts for the majority of resources, with 350,000 ounces in measured and indicated categories and 161,800 ounces in inferred resources. The measured resources at Palito show particularly strong grades of 10.8 g/t gold across 769,000 tonnes.

Hodgson highlighted the company's consistent resource replacement capability:

"This updated Mineral Resource demonstrates Serabi's ability to replenish resources on a consistent basis. We have regularly maintained our ability to replace production with new resources and in this instance, the combined Measured, Indicated and the Inferred resource categories have increased by 4% since 2023."

Exploration Program Positions for Future Growth

Serabi has invested $9 million in a brownfield surface exploration program across the Palito Complex and Coringa project, with approximately 50% allocated to testing extensions of known orebodies at Palito. The drilling program commenced in March 2025, meaning results are not incorporated in the current resource update.

The timing of the exploration program provides potential for significant resource growth in future estimates. Hodgson expressed optimism about upcoming results:

"As this drill programme did not commence until March, this updated resource estimate does not include results from the exploration programme. We therefore look forward to an update in early 2026, when we do expect to incorporate results from our 'aggressive' brownfield programme."

The current resource increase, achieved without incorporating the surface drilling results, demonstrates the underlying strength of the Palito Complex geology. Hodgson noted:

"In the meantime, this increase, which excludes the surface drill programme, is especially pleasing."

Technical Parameters & Methodology

The mineral reserve estimates incorporate comprehensive technical and economic parameters. For the Palito mine, reserves are calculated using a cut-off grade of 3.98 g/t gold, assuming underground shrinkage mining, a gold price of $2,000 per ounce, a Brazilian Real to US Dollar exchange rate of 5.5:1, and metallurgical recoveries of 93.2%.

The São Chico mine reserves, restated from 2023 estimates, use more conservative assumptions including a $1,800 per ounce gold price and 5.0:1 exchange rate, reflecting the mine's care and maintenance status.

Resource estimates employ different parameters, with Palito resources calculated at a 2.92 g/t gold cut-off grade assuming a $2,500 per ounce gold price, 95% metallurgical recovery, and 6.0:1 exchange rate. The São Chico resources use a 3.32 g/t cut-off with a $1,950 gold price assumption.

Maintaining Strategic Mineral Inventory

The company has successfully maintained its strategic target of approximately 500,000 ounces total mineral inventory. Hodgson emphasized this achievement:

"The Company has a strong track record of maintaining a ~500koz ounces total mineral inventory at the Palito Complex and this latest estimate is no different as we increase to 552koz."

This inventory level provides operational flexibility and supports the company's production planning. The reserve life of over six years offers substantial operational security, particularly important for narrow vein operations where geological continuity can present challenges.

The balance between different resource categories demonstrates geological confidence, with measured and indicated resources representing approximately 70% of total resources at the Palito mine, indicating well-defined mineralization suitable for mine planning.

Quality Assurance & Regulatory Compliance

The mineral reserve and resource estimates comply with Canadian Institute of Mining standards and National Instrument 43-101 requirements. Carlos Guzman of NCL prepared the reserve estimates, while Nicolas Fuster handled the resource calculations, both serving as qualified persons under NI 43-101.

Serabi maintains rigorous quality control through its on-site laboratory facilities at Palito, with regular verification through independent laboratories. Since mid-2019, over 10,000 exploration drill core samples have been analyzed at both internal and external facilities, showing the Palito laboratory averages 6.7% over-estimation compared to external results for grades exceeding 1 g/t gold.

A comprehensive Technical Report prepared by NCL will be filed within 45 days of the announcement, providing detailed technical documentation supporting the estimates.

Investment Implications & Market Context

The updated estimates demonstrate Serabi's ability to maintain and grow its resource base through systematic exploration and development. The 4% increase in total resources, achieved before incorporating results from the current $9 million exploration program, suggests potential for further growth.

The six-year reserve life provides operational stability crucial for narrow vein mining operations, while the strong grade profile of 7.2 g/t for reserves and 9.6 g/t for measured and indicated resources supports profitable extraction economics.

The company's focus on the prolific Tapajós region, combined with its consistent production track record and planned production doubling through the Coringa project, positions it for continued operational growth. The recent copper-gold porphyry discovery adds further exploration upside potential.

Serabi Gold's updated mineral estimates reinforce the company's position as a sustainable Brazilian gold producer with significant growth potential. The maintenance of over six years of reserve life, combined with a 4% increase in total mineral inventory to 552,000 ounces, demonstrates effective resource management and exploration success. For investors, the company offers exposure to a proven operational platform in a favorable mining jurisdiction, with upcoming exploration results expected to provide additional resource growth catalysts. The combination of operational stability, systematic exploration investment, and development pipeline through the Coringa project presents a compelling investment proposition in the Brazilian gold mining sector.