Bear Creek Mining Corporation reported on mining and exploration activities since April 21, 2022 at its Mercedes Gold Mine ("Mercedes"), in Sonora Mexico. During its first two months under Bear Creek ownership, activities at Mercedes concentrated on implementing operating strategies to improve Mercedes' annual gold production and to initiate an aggressive exploration program. Development work has succeeded in doubling the number of active working faces and greenfield exploration results to date confirm the potential for new discoveries.

Operations: Bear Creek's operating focus was to increase development work and establish the foundation for longer-term sustainable production increases. This work resulted in having 15 working faces available, more than doubling the historical average of work areas. Importantly, the company will soon be opening working areas in the higher-grade Rey de Oro and Marianas deposits.

Gold poured at Mercedes from April 21 to July 5, 2022 amounted to 9,757 ounces. The Company expects that gold production from Mercedes will increase from July onward. Exploration: Greenfield exploration drilling is underway in the San Martin, Diluvio Scout, Margarita and Neo zones where highly prospective structures related to Mercedes mine gold mineralization extend beneath post mineral cover.

Highlights of results to date include the following: Margarita Zone: 2.3 meters grading 6.70 g/t Au and 1 meter grading 4.34 g/t Au. Neo Zone: 1.2 meters grading 2.44 g/t Au, 1.3 meters grading 4.43 g/t Au and 3.3 meters grading 2.98 g/t Au. This scout drilling program is initially targeting: the prolific Diluvia-Lupita basin where past drilling indicates more than 3 km of a potential blind structural target extending from San Martin in the west to Margarita at the east; the continuation of mineralization north of the San Martin ore shoot in the Neo area where past exploration drill holes into this blind target identified gold mineralization; the San Martin Displacement target - a suspected down-dropped block immediately west of existing mine workings.

Bear Creek is also drilling a minimum of 3 exploration holes to test the potential for mineralization in down-faulted portions of the San Martin and Neo ore bodies immediately west of the San Martin fault that was discovered in 2020. The initial drill hole into the San Martin Displacement target intersected several mineralized zones of veins, vein breccias, hydrothermal breccias and tectonic breccias. This structural, geological and mineralogical material is typical of epithermal deposits including ore bodies being mined at Mercedes.

Since April 21, 2022, 5,166 meters of reverse circulation and diamond drilling has been completed at a cost of approximately $0.526 million. An additional 3,312 meters of greenfield exploration drilling are planned for the remainder of 2022. The 2022 Mercedes exploration drilling budget comprises approximately $1.23 M for greenfield exploration, $0.46 M for resource growth drilling and $2.80 M for reserve replacement drilling.