Prime Mining Corp. (TSX-V: PRYM) (OTCQX: PRMNF) (Frankfurt: O4V3) is pleased to report its operating and financial results for the year ended December 31, 2022. Unless otherwise stated, all amounts are presented in Canadian dollars. Prime is focused on the exploration and development of its wholly owned high-grade Los Reyes Gold-Silver Project in Sinaloa State, Mexico.

Prime Chief Executive Officer Daniel Kunz commented, “Our performance in 2022 exceeded our expectations with metres drilled well above plan. Excellent results from this and prior Prime drilling are anticipated to contribute to an increase in the quantity and quality of the upcoming Los Reyes resource update.  Phase 3 drilling, that is already underway, is further expanding the three main resource zones and also focused on developing new deposits outside of the main resource areas.”

Prime expects to release an updated mineral resource estimate for the Los Reyes Gold-Silver Project in May 2023 to include Prime’s Phase 1 and 2 drilling results through December 2022.

Corporate Highlights During the Quarter

On December 22^nd, the Company announced the closing of a C$21.0 million bought deal private placement issuing 14,030,000 units at $1.50 per unit which also included one common share purchase warrant exercisable at a price $2.00 until December 22, 2025, with a $2.50 early call provision.

Exploration Highlights During the Quarter

On October 11^th, the Company highlighted drill results from 5 key step out holes in the Z-T area.

Highlight intercepts include:

• 2.36 g/t Au and 177.8 g/t Ag over 13.2 m etw and 0.91 g/t Au and 139.0 g/t Ag over 7.4 m etw) and 1.39 g/t Au and 12.7 g/t Ag over 3.9 m etw;
• 3.86 g/t Au and 88.5 g/t Ag over 5.6 m etw), including 9.24 g/t Au and 223.0 g/t Ag over 2.1 m etw, and 2.70 g/t Au and 333.04 g/t Ag over 0.8 m etw;
• 1.17 g/t Au and 207.4 g/t Ag over 5.3 m etw.

On October 14^th, the Company announced exceptional drill results from the Guadalupe area.

Highlight intercepts include:

• 27.9 g/t Au and 509 g/t Ag over 2.2m etw;
• 23.2 g/t Au and 2,550 g/t Ag over 0.6m etw;
• 6.08 g/t Au and 913 g/t Ag over 1.9m etw;
• 10.5 g/t Au and 284 g/t Ag over 1.8m etw.

On November 28^th the Company announced multiple bonanza and high-grade intercepts at Guadalupe.

Highlight intercepts include:

• 6.8 g/t Au and 166 g/t Ag over 18.3 m etw;
• 12.8 g/t Au and 646 g/t Ag over 1.1 m etw, and 4.2 g/t Au and 212 g/t Ag over 12.7 m etw;
• 8.8 g/t Au and 289 g/t Ag over 5.6 m etw, including 33.2 g/t Au and 1,072 g/t Ag over 1.4 m etw;
• 6. 8 g/t Au and 208 g/t Ag over 6.8 m etw.

Maintaining Health and Safety Protocols

The Company continues to successfully mitigate the impact of Covid-19 on operations. To-date Covid-19 has not had a material effect on the Company’s activities. Prime remains engaged with local stakeholders and is proactive in monitoring employees and contractors during this uncertain period. The Company continues to closely adhere to the directives of all levels of government and relevant health authorities in Mexico and Canada.

Community Engagement and Environmental Stewardship Strategy

We continued to gather environmental and community data in the quarter to help support our ESG programs, including completion of a materiality assessment, strategic plan and disclosure matrix. We strive to minimize the environmental impact of our activities and ensure that Los Reyes has a positive impact on our host communities.

We expect to release our initial sustainability report in Q2 of 2023 that establishes a baseline and a new yardstick to measure our progress in meeting our commitments regarding sustainability and stewardship of the environment, relevant social issues and corporate governance.

Selected Financial Data

The following selected financial data is summarized from the Company’s consolidated financial statements and related notes thereto (the “Financial Statements”) for the year ended December 31, 2022. A copy of the Financial Statements and MD&A is available at www.primeminingcorp.ca or on SEDAR at www.sedar.com.

Qualified Person

Scott Smith, P.Geo., Executive Vice President of Exploration, is a qualified person for the purposes of National Instrument 43-101 and has reviewed and approved the technical content in this news release.

Los Reyes Gold and Silver Project

Los Reyes is a rapidly evolving high-grade, low sulphidation epithermal gold-silver project located in Sinaloa State, Mexico. Historic operating results indicate that an estimated 1 million ounces of gold and 60 million ounces of silver were recovered from five separate operations at Los Reyes between 1770 and 1990. Prior to Prime’s acquisition, recent operators of Los Reyes had spent approximately US$20 million on exploration, engineering, and prefeasibility studies. The Project remains underexplored and holds potential for additional discovery and resource expansion.

Since acquiring Los Reyes in 2019, Prime has spent approximately US$30 million on direct exploration activities and has completed two phases of comprehensive drilling totaling over 110,000 m. Results to date suggest the three known main deposit areas, Guadalupe, Central and Z-T are much larger than previously reported. Potential exists for new discoveries outside of the current defined resource areas.

About Prime Mining

Prime Mining is an ideal mix of successful mining executives, strong capital markets personnel, and experienced local operators focused on unlocking the full potential of the high-grade Los Reyes Gold-Silver Project in Mexico. Prime Mining has a well-planned capital structure with significant team and insider ownership.