Lara Signs Agreement To Acquire License Adjacent To Its Planalto Project

2025-10-14 08:06:02

(MENAFN- Newsfile Corp) 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".

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