Vancouver, British Columbia--(Newsfile Corp. - October 14, 2025) - Lara Exploration Ltd. (TSXV: LRA) ("Lara" or the "Company") is pleased to report that its wholly owned Brazilian subsidiary has signed a purchase and sale agreement with Atlantica do Brasil Mineração Ltda. ("Atlantica"), to acquire an exploration license adjacent to Lara's Planalto Copper-Gold Project in the Carajás Mineral Province in northern Brazil. The 345-hectare license lies along strike from and has the potential to add to Lara's Silica Cap resource.
Lara has agreed to drill a minimum of 2,000 metres and to prepare a NI-43-101-compliant Technical Report ("TR") by the end of 2027. Under the terms agreed with Atlantica, Lara will make the following staged payments, based predominantly upon exploration success:
- CAD$375,000 in Lara shares to Atlantica on acceptance of the agreement by the TSX Venture Exchange. The number of shares will be based on the 20-day volume weighted average price of Lara's shares preceding the issuance date.
- By December 2027, Lara will pay a Success Fee equivalent to US$0.06/lb of copper contained in Measured and Indicated Resources in the TR.
- By December 2028, Lara will pay an additional Success Fee on the same terms on any additional Measured and Indicated Resources included in an updated TR.
- On any additional Measured and Indicated Resources estimated in any subsequent TR after the end of 2028, the Success Fee will be calculated at a rate of US$0.08/lb of copper.
The Success Fee can be paid in installments annually, in either cash or Lara shares at Lara's discretion, with a maximum of US$1.25 million due in any one year. There is a minimum payment of US$500,000 regardless of the resource size discovered due at the end of 2027. Atlantica and an underlying vendor will each be entitled to a 1% net smelter return royalty on any production derived from the license.
About Lara Exploration
Lara is an exploration company, advancing its 100%-owned Planalto Copper-Gold Project in the Carajás Mineral Province of northern Brazil, with an open pitable mineral resource detailed in a 43-101 Technical Report filed on October 17, 2024. Lara follows the Prospect and Royalty Generator business model, which aims to minimize shareholder dilution and financial risk by generating prospects and exploring them in joint ventures funded by partners, retaining a minority interest and or a royalty. The Company currently holds a diverse portfolio of prospects, deposits and royalties in Brazil, Peru and Chile. Lara's common shares trade on the TSX Venture Exchange under the symbol "LRA".
For further information on Lara Exploration Ltd. please consult our website www.laraexploration.com, or contact Chris MacIntyre, VP Corporate Development, at +1 416 703 0010.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.
Cautionary Statement on Forward-Looking Information
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation based on expectations, estimates and projections as at the date of this news release. Any statement that involves predictions, expectations, interpretations, beliefs, plans, projections, objectives, assumptions, future events or performance are not statements of historical fact and constitute forward-looking information. This news release may contain forward-looking information pertaining to the Planalto Copper-Gold Project, including, among other things, the ability to identify additional resources and reserves (if any) and exploit such resources and reserves on an economic basis; the preparation of a Preliminary Economic Assessment; the conduct of additional drilling; and upgrading of current mineral resource estimates.
Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management, in light of management's experience and perception of trends, current conditions and expected developments, as well as other factors that management believes to be relevant and reasonable in the circumstances, including, without limitation, assumptions about: favourable equity and debt capital markets; the ability and timing of funding to advance the development of the Planalto Project and pursue planned exploration and development; future spot prices of copper, gold and other minerals; the timing and results of exploration and drilling programs; the accuracy of mineral resource estimates; production costs; political and regulatory stability; the receipt of governmental and third party approvals; licenses and permits being received on favourable terms; sustained labour stability; stability in financial and capital markets; availability of mining equipment and positive relations with local communities and groups. There is no assurance that all or any of the Warrants will be exercised. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Factors that could cause actual results to differ materially from such forward-looking information are set out in the Company's public disclosure record on SEDAR+ (www.sedarplus.ca) under the Company's issuer profile. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward- looking information, whether as a result of new information, future events or otherwise, other than as required by law.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/270257
SOURCE: Lara Exploration Ltd.
