Lara Reports Results of Preliminary Economic Assessment for its Planalto Copper-Gold Project
VANCOUVER, October 21, 2025 – Lara Exploration Ltd. (TSX.V: LRA, OTCPK: LRAXF), (“Lara” or the “Company”) is pleased to announce results of an independent Preliminary Economic Assessment (“PEA” or the “Study”) on its 100% owned Planalto Copper-Gold deposit (“Planalto” or the “Project”), located in the Carajás mining district, Pará State, Brazil.
Planalto PEA highlights include1:
- Estimated production of 560 kt(2) (1.2 billion lb(2)) of copper and 111 koz(2) gold over an 18-year life of mine (“LoM”).
- During the first 6 years, the PEA production schedule produces on average 36 kt (79 million lb(2)) of copper and 7.2 koz of gold per year.
- Open pit mining of shallow dipping copper-gold mineralisation with a LoM strip ratio of 2:1 (1.36:1 Years 1-6).
- Industry standard crush - grind - flotation processing plant operating at an annual rate of 8 Mt(2) of run of mine (“RoM”) feed, recovering 91% copper and 51% gold.
- Producing a clean chalcopyrite concentrate grading 28% copper to be smelted internationally.
- Site access by a 4 km(2) road from the state highway with high tension powerlines alongside.
- Project located on private farmland between two major Carajás mining towns and within excellent infrastructure.
- Preliminary Economic Analysis:
- After-tax net present value (“NPV”) of US$378 million, at 8% discount rate
- After-tax internal rate of return (“IRR”) of 21%
- Payback period post-tax of 3.5 years from the start of production
- Initial capital expenditures of US$546 million and sustaining capital (including closure) of US$170 million
- Average LoM all-in sustaining costs (“AISC”) of US$5,920/t Cu payable
- Metals price assumptions used: copper price of US$9,500/t, gold price of US$2,500/oz
- Mining district infrastructure development advantage
- Planalto is located within excellent infrastructure, which will support the Project development and operation, having access to low-cost grid power via high tension power lines, a state highway passing through the Project licence area and mining skilled labour and industry service providers located close by.
- Renewable and low carbon energy sources dominate the Brazilian grid generation mix. This will contribute to lowering the carbon footprint of the Project. In addition, the current regulatory framework would allow Planalto to sign virtual power purchase agreements for renewable energy supply.
- Pará state has a strong track record of supporting and permitting new mining projects, particularly within the Carajás mining district. Regional and federal agencies have provided various types of economic support to mining projects in the region including taxation relief (SUDAM) which should extend to and have been assumed for Planalto and the PEA.
“The Lara team has a track record of discovery and value creation for shareholders, and we are pleased to be able to demonstrate through this Study, that Planalto has the key technical and economic elements at a scoping level to become a mine.”, said Simon Ingram, CEO. “Furthermore, new copper mines are hard to find and often challenging to permit and build, Planalto’s excellent local infrastructure and a positive state permitting environment will benefit Planalto as it moves through technical studies towards a potential production decision. The accelerating digitalisation and energy transition megatrends are compounding increasing copper demand and improving the long-term fundamentals of the copper market, which are expected to further benefit Planalto and Lara.”
Lara Chairman, Miles Thompson added “The newly acquired Atlantica Exploration Licence has historic drill intercepts with copper mineralisation similar to that at Planalto, directly along strike to the Silica Cap PEA pit. Further exploration within the enlarged Planalto licence area has the opportunity for additional near-term discovery.”
Readers are strongly encouraged to read the Company’s Technical Report prepared in accordance with National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”) in respect of the PEA which will be filed on the Company’s website and under the Company’s profile on SEDAR+ within 45 days of this news release. The Technical Report will contain important qualifications, assumptions and exclusions that relate to the PEA. The PEA has an effective date of October 15, 2025.