Focusing on Big Porphyry Copper Deposits alongside Prolific Chilean Copper Belts

Caraíba Manufacturing Document Achieved

• The Caraíba Operations produced 46,371 tonnes of copper in focus for 2022, surpassing the high-end of full-year steering of 43,000 to 46,000 tonnes.
• Document full-year manufacturing was pushed by a robust fourth quarter totaling 12,664 tonnes of copper in focus. Manufacturing outcomes continued to learn from the addition of high-grade Mission Honeypot stopes throughout the fourth quarter.

Xavantina Delivers Document Quarterly and Full-12 months Gold Manufacturing

• The Xavantina Operations achieved file manufacturing of 42,669 ounces of gold for 2022, above the high-end of steering of 39,000 to 42,000 ounces.
• Document fourth quarter manufacturing of 11,786 ounces of gold was pushed by larger processed gold grades of 10.17 grams per tonne (“gpt”), an approximate 20% quarter-on-quarter enhance in processed grades.

2023 Manufacturing, Price and Capital Expenditure Steerage

• The Caraíba Operations are anticipated to supply 44,000 to 47,000 tonnes of copper in focus throughout 2023 at a median C1 money price between $1.40 and $1.60 per pound of copper produced. Main assumptions, deemed prudent and conservative for planning functions, account for a rise of roughly $0.30 to $0.40 per pound of copper produced in comparison with prior projections for 2023.
  • Full-year price steering assumes 100% of copper focus is offered to the export market. The Firm will proceed to assessment gross sales channel allocations all year long as its home buyer progresses by way of a monetary restructuring that commenced in This fall 2022. A resumption of home gross sales has the potential to decrease focus gross sales prices.
  • Regardless of noticed moderation within the pricing of key consumables, these inputs have been assumed to stay at elevated This fall 2022 pricing ranges at some stage in 2023 in forecasting working and capital prices.

• 2023 gold manufacturing on the Xavantina Operations is anticipated to be 50,000 to 53,000 ounces at common C1 money prices between $475 to $575 per ounce of gold produced and all-in sustaining prices (“AISC”) between $725 and $825 per ounce of gold produced assuming key consumables stay at elevated This fall 2022 ranges at some stage in 2023.

• Capital expenditures, together with consolidated exploration applications, are anticipated to whole $342 to $389 million in 2023. This whole consists of:
  • $150 to $165 million for the development of the Tucumã Mission;
  • $80 to $90 million to ship tasks beneath the Firm’s Pilar 3.0 initiative, together with the Caraíba mill growth and development of the brand new exterior shaft on the Pilar Mine; and,
  • $31 to $40 million in consolidated exploration expenditure, which features a vital allocation of drilling to the Firm’s ongoing Caraíba nickel exploration program.

Firm Protects Ground Value of $3.50 per pound of Copper for 2023

• Subsequent to year-end, the Firm entered right into a zero-cost collar program on 3,000 tonnes of copper per 30 days for February by way of December of 2023. The collars set up a ground value at $3.50 per pound of copper on whole hedged volumes of 33,000 tonnes of copper, representing roughly 75% of full-year manufacturing volumes. This system protects a significant portion of the Firm’s income on the Firm’s 2023 finances copper value which was used for capital, money movement and liquidity planning functions, whereas offering upside to will increase within the copper value as much as a cap of $4.76 per pound – inside 5% of the all-time excessive copper value. The hedge contracts are financially settled on a month-to-month foundation.

Commenting on the manufacturing outcomes and 2023 steering, David Strang, Chief Govt Officer, mentioned, “Our operations delivered on our elevated expectations for the fourth quarter and full-year, buoyed by sturdy copper and gold grades throughout our operations. Latest efforts to include Mission Honeypot into Caraíba’s life-of-mine manufacturing plan, which was introduced in November 2022, allowed us to demonstrably enhance our fourth quarter copper grade profile and manufacturing outcomes, contributing to file copper manufacturing for 2022. At our Xavantina Operations, we achieved each file quarterly and full-year manufacturing outcomes with will increase in gold manufacturing pushed by larger processed tonnes and grades.

“For 2023, we predict one other stable 12 months of operational efficiency and the continued execution of our development tasks, together with the development of the Tucumã Mission, the development of the brand new exterior shaft on the Pilar Mine and the completion of our mill growth on the Caraíba Operations. Our major goal on the exploration aspect of our portfolio this 12 months is to make vital advances in our ongoing nickel exploration program, which we hope will result in a number of extra discoveries this 12 months.

“Our steering for 2023 displays a number of advantages from the mixing of Mission Honeypot, which incorporates permitting the supply date of our new exterior shaft to be deferred by roughly 9 months with out influence to the Caraíba Operations’ anticipated manufacturing volumes. Regardless of vital inflationary headwinds, the choice to defer venture handover has allowed us to keep up capital expenditure steering for 2023 in-line with prior estimates. This visibility on the vast majority of our capital expenditure outlay to venture completion, mixed with our not too long ago executed hedge program, has positioned our Firm for an additional nice 12 months.”

FOURTH QUARTER AND FULL-YEAR 2022 PRODUCTION RESULTS

• On the Caraíba Operations, roughly 2.9 million tonnes of ore grading 1.76% copper was processed in 2022, leading to 46,371 tonnes of copper in focus produced after common metallurgical recoveries of 91.9%.
  • Fourth quarter mill throughput of 745,850 tonnes of ore grading 1.84% copper leading to 12,664 tonnes of copper in focus produced after common metallurgical recoveries of 92.3%.
• On the Xavantina Operations, 189,743 tonnes of ore grading 7.61 gpt gold was processed throughout the 12 months, leading to 42,669 ounces of gold and 27,885 ounces of silver produced as a by-product after common metallurgical recoveries of 91.9%.
  • Fourth quarter mill throughput of 39,715 tonnes of ore grading 10.17 gpt gold leading to 11,786 ounces of gold and seven,507 ounces of silver produced as a by- product after common metallurgical recoveries of 90.7%.

2023 PRODUCTION GUIDANCE

The Firm expects to supply 44,000 to 47,000 tonnes of copper in focus on the Caraíba Operations in 2023 based mostly on whole ore processed of roughly 3.3 million tonnes, common processed copper grades of roughly 1.50% and a median metallurgical restoration of 91.5%. Processed totals are anticipated to be comprised of:

• 1.9 million tonnes grading 1.60% copper from the Pilar Mine;

• 850,000 tonnes grading 1.75% copper from the Vermelhos Mine; and,

• 550,000 tonnes grading 0.70% copper from the Surubim Mine.

For the total 12 months, copper manufacturing is anticipated to be barely weighted in direction of H2 2023 attributable to larger mill throughput ranges on the finish of the 12 months following the completion of the Caraíba mill growth, anticipated in This fall 2023. Copper manufacturing in Q1 2023 is anticipated to be the bottom of the 12 months pushed by deliberate stope sequencing.

On the Xavantina Operations, the Firm expects to supply 50,000 to 53,000 ounces of gold based mostly on whole ore processed of roughly 175,000 tonnes, common gold grades of roughly 10.00 gpt and common metallurgical recoveries of 92.0%. Gold manufacturing can be anticipated to be lowest in Q1 2023 with full-year gold manufacturing anticipated to be barely weighted in direction of H2 2023 attributable to larger mill throughput ranges following the anticipated graduation of manufacturing from the Matinha vein throughout H2 2023.

^{Word: Steerage relies on sure estimates and assumptions, together with however not restricted to, mineral reserve estimates, grade and continuity of interpreted geological formations and metallurgical efficiency. Please seek advice from the Firm’s SEDAR and EDGAR filings, together with the latest Annual Data Type for the 12 months ended December 31, 2021 and dated March 11, 2022 (the “AIF”), for full danger elements.}

2023 COST GUIDANCE

The Firm’s 2023 C1 money price steering vary for the Caraíba Operations of $1.40 to $1.60 per pound of copper produced displays (i) gross sales allocation of 100% of copper focus produced to the worldwide market and (ii) elevated consumable price enter assumptions reflecting This fall 2022 consumable pricing. The Firm will proceed to assessment gross sales channel allocations all year long as its home buyer progresses by way of a monetary restructuring that commenced in This fall 2022. A resumption of home gross sales has the potential to decrease focus gross sales prices.

On the Xavantina Operations, the Firm’s C1 money price steering vary of $475 to $575 per ounce of gold produced displays the influence of considerably larger anticipated mined and processed gold grades in comparison with 2022, partially offset by elevated consumable price assumptions, which additionally replicate This fall 2022 consumable pricing. The Firm’s AISC steering vary for 2023 is $725 to $825 per ounce of gold produced.

The 2023 price steering assumes a USD:BRL overseas alternate fee of 5.30, a gold value of $1,725 per ounce, and a silver value of $20.00 per ounce.

^{Word: C1 Money Prices and AISC are non-IFRS measures. Please see the Notes part of this press launch for extra info.}

2023 CAPITAL EXPENDITURE GUIDANCE

Forecasted capital expenditures for 2023 embody significant investments in development tasks which are, collectively, over the following two years, anticipated to double the Firm’s copper manufacturing relative to 2022 manufacturing outcomes in addition to additional enhance gold manufacturing on the Xavantina Operations. The Firm’s deliberate exploration capital in 2023 will proceed to give attention to supporting its Pilar 3.0 and NX60 development initiatives in addition to fund the Caraíba Operations’ devoted nickel exploration program.

The 2023 capital expenditure steering assumes a USD:BRL overseas alternate fee of 5.30. Capital expenditure steering has been introduced beneath in USD thousands and thousands.

NOTES

Various Efficiency (Non-IFRS) Measures

The Firm makes use of sure different efficiency (non-IFRS) measures to watch its efficiency, together with C1 money price of copper produced (per lb), C1 money price of gold produced (per ounce), AISC of gold produced (per ounce), realized gold value (per ounce), EBITDA, adjusted EBITDA, adjusted internet earnings attributable to house owners of the Firm, adjusted internet earnings per share, internet (money) debt, working capital and accessible liquidity. These efficiency measures haven’t any standardized that means prescribed inside usually accepted accounting rules beneath IFRS and, subsequently, quantities introduced will not be similar to related measures introduced by different mining corporations. These non-IFRS measures are supposed to offer supplemental info and shouldn’t be thought of in isolation or as an alternative to measures of efficiency ready in accordance with IFRS.

C1 Money Price of Copper Produced (per lb)

C1 money price of copper produced (per lb) is a non-IFRS efficiency measure utilized by the Firm to handle and consider the working efficiency of its copper mining section and is calculated as C1 money prices divided by whole kilos of copper produced throughout the interval. C1 money prices consists of whole price of manufacturing, transportation, remedy and refining expenses, and sure tax credit referring to gross sales invoiced to the Firm’s Brazilian buyer on gross sales, internet of by-product credit and incentive funds. C1 money price of copper produced per pound is broadly reported within the mining business as benchmarks for efficiency however doesn’t have a standardized that means and is disclosed in complement to IFRS measures.

C1 Money Price of Gold produced (per ounce) and AISC of Gold produced (per ounce)

C1 money price of gold produced (per ounce) is a non-IFRS efficiency measure utilized by the Firm to handle and consider the working efficiency of its gold mining section and is calculated as C1 money prices divided by whole ounces of gold produced throughout the interval. C1 money price consists of whole price of manufacturing, internet of by-product credit and incentive funds. C1 money price of gold produced per ounce is broadly reported within the mining business as benchmarks for efficiency however doesn’t have a standardized that means and is disclosed in supplemental to IFRS measures.

AISC of gold produced (per ounce) is an extension of C1 money price of gold produced (per ounce) mentioned above and can be a key efficiency measure utilized by administration to judge working efficiency of its gold mining section. AISC of gold produced (per ounce) is calculated as AISC divided by whole ounces of gold produced throughout the interval. AISC consists of C1 money prices, website normal and administrative prices, accretion of mine closure and rehabilitation provision, sustaining capital expenditures, sustaining leases, and royalties and manufacturing taxes. AISC of gold produced (per ounce) is broadly reported within the mining business as benchmarks for efficiency however doesn’t have a standardized that means and is disclosed in complement to IFRS measures.

ABOUT ERO COPPER CORP

Ero Copper Corp is a high-margin, high-growth, clear copper producer with operations in Brazil and company headquarters in Vancouver, B.C. The Firm’s major asset is a 99.6% curiosity within the Brazilian copper mining firm, MCSA, 100% proprietor of the Firm’s Caraíba Operations (previously referred to as the MCSA Mining Advanced), that are positioned within the Curaçá Valley, Bahia State, Brazil and embody the Pilar and Vermelhos underground mines and the Surubim open pit mine, and the Tucumã Mission (previously referred to as Boa Esperança), an IOCG-type copper venture positioned in Pará, Brazil. The Firm additionally owns 97.6% of NX Gold S.A. which owns the Xavantina Operations (previously referred to as the NX Gold Mine), particularly comprised of an working gold and silver mine positioned in Mato Grosso, Brazil. Extra info on the Firm and its operations, together with technical experiences on the Caraíba Operations, Xavantina Operations and Tucumã Mission, could be discovered on the Firm’s web site (www.erocopper.com), on SEDAR (www.sedar.com), and on EDGAR (www.sec.gov). The Firm’s shares are publicly traded on the Toronto Inventory Change and the New York Inventory Change beneath the image “ERO”.

FOR MORE INFORMATION, PLEASE CONTACT

Courtney Lynn, VP, Company Growth & Investor Relations
(604) 335-7504
info@erocopper.com

CAUTION REGARDING FORWARD LOOKING INFORMATION AND STATEMENTS

This press launch incorporates “forward-looking statements” inside the that means of america Personal Securities Litigation Reform Act of 1995 and “forward-looking info” inside the that means of relevant Canadian securities laws (collectively, “forward-looking statements”). Ahead-looking statements embody statements that use forward-looking terminology reminiscent of “might”, “might”, “would”, “will”, “ought to”, “intend”, “goal”, “plan”, “count on”, “finances”, “estimate”, “forecast”, “schedule”, “anticipate”, “consider”, “proceed”, “potential”, “view” or the unfavorable or grammatical variation thereof or different variations thereof or comparable terminology. Ahead-looking statements might embody, however will not be restricted to, statements with respect to the Firm’s anticipated manufacturing, working prices and capital expenditures on the Caraíba Operations, the Tucumã Mission and the Xavantina Operations; the importance of any explicit exploration program or consequence and the Firm’s expectations for present and future exploration plans together with, however not restricted to, Caraíba’s devoted nickel exploration program; the efficacy of the Firm’s copper collar hedge program; estimated completion dates for sure milestones, together with development of the Tucumã Mission, and completion of the tasks that comprise the Pilar 3.0 initiative, together with the Caraíba mill growth and development of the brand new exterior shaft to entry the Deepening Extension Zone; the flexibility of the Firm to understand advantages related to Mission Honeypot; the flexibility of the Firm to promote future copper focus manufacturing to its home buyer; and another assertion which will predict, forecast, point out or suggest future plans, intentions, ranges of exercise, outcomes, efficiency or achievements.

Ahead-looking statements are topic to a wide range of recognized and unknown dangers, uncertainties and different elements that would trigger precise outcomes, actions, occasions, circumstances, efficiency or achievements to materially differ from these expressed or implied by the forward-looking statements, together with, with out limitation, dangers mentioned on this press launch and within the Firm’s AIF beneath the heading “Danger Components”. The dangers mentioned on this press launch and within the AIF will not be exhaustive of the elements which will have an effect on any of the Firm’s forward-looking statements. Though the Firm has tried to establish essential elements that would trigger precise outcomes, actions, occasions, circumstances, efficiency or achievements to vary materially from these contained in forward-looking statements, there could also be different elements that trigger outcomes, actions, occasions, circumstances, efficiency or achievements to vary from these anticipated, estimated or supposed.

Ahead-looking statements will not be a assure of future efficiency. There could be no assurance that forward-looking statements will show to be correct, as precise outcomes and future occasions might differ materially from these anticipated in such statements. Ahead-looking statements includes statements in regards to the future and are inherently unsure, and the Firm’s precise outcomes, achievements or different future occasions or circumstances might differ materially from these mirrored within the forward-looking statements attributable to a wide range of dangers, uncertainties and different elements, together with, with out limitation, these referred to herein and within the AIF beneath the heading “Danger Components”.

The Firm’s forward-looking statements are based mostly on the assumptions, beliefs, expectations and opinions of administration on the date the statements are made, lots of which can be troublesome to foretell and past the Firm’s management. In reference to the forward-looking statements contained on this press launch and within the AIF, the Firm has made sure assumptions about, amongst different issues: continued effectiveness of the measures taken by the Firm to mitigate the attainable influence of COVID-19 on its workforce and operations; beneficial fairness and debt capital markets; the flexibility to boost any obligatory extra capital on cheap phrases to advance the manufacturing, growth and exploration of the Firm’s properties and belongings; future costs of copper, gold and different metallic costs; the timing and outcomes of exploration and drilling applications; the accuracy of any mineral reserve and mineral useful resource estimates; the geology of the Caraíba Operations, the Xavantina Operations and the Tucumã Mission being as described within the respective technical report for every property; manufacturing prices; the accuracy of budgeted exploration, growth and development prices and expenditures; the worth of different commodities reminiscent of gasoline; future foreign money alternate charges and rates of interest; working circumstances being beneficial such that the Firm is ready to function in a protected, environment friendly and efficient method; work power persevering with to stay wholesome within the face of prevailing epidemics, pandemics or different well being dangers (together with COVID-19), political and regulatory stability; the receipt of governmental, regulatory and third social gathering approvals, licenses and permits on beneficial phrases; acquiring required renewals for current approvals, licenses and permits on beneficial phrases; necessities beneath relevant legal guidelines; sustained labour stability; stability in monetary and capital items markets; availability of kit; constructive relations with native teams and the Firm’s capability to satisfy its obligations beneath its agreements with such teams; and satisfying the phrases and circumstances of the Firm’s present mortgage preparations. Though the Firm believes that the assumptions inherent in forward-looking statements are cheap as of the date of this press launch, these assumptions are topic to vital enterprise, social, financial, political, regulatory, aggressive and different dangers and uncertainties, contingencies and different elements that would trigger precise actions, occasions, circumstances, outcomes, efficiency or achievements to be materially completely different from these projected within the forward-looking statements. The Firm cautions that the foregoing listing of assumptions shouldn’t be exhaustive. Different occasions or circumstances might trigger precise outcomes to vary materially from these estimated or projected and expressed in, or implied by, the forward-looking statements contained on this press launch. Many assumptions are based mostly on elements and occasions that aren’t inside the management of the Firm and there’s no assurance they are going to show to be appropriate.

Ahead-looking statements contained herein are made as of the date of this press launch and the Firm disclaims any obligation to replace or revise any forward-looking assertion, whether or not because of new info, future occasions or outcomes or in any other case, besides as and to the extent required by relevant securities legal guidelines.

CAUTIONARY NOTES REGARDING MINERAL RESOURCE AND MINERAL RESERVE ESTIMATES

In accordance with relevant Canadian securities regulatory necessities, all mineral reserve and mineral useful resource estimates of the Firm disclosed or integrated by reference on this press launch have been ready in accordance with NI 43-101 and are categorised in accordance with CIM Requirements. NI 43-101 is a rule developed by the Canadian Securities Directors that establishes requirements for all public disclosure an issuer makes of scientific and technical info regarding mineral tasks. NI 43-101 differs considerably from the disclosure necessities of the Securities and Change Fee (the “SEC”) usually relevant to U.S. corporations. For instance, the phrases “mineral reserve”, “confirmed mineral reserve”, “possible mineral reserve”, “mineral useful resource”, “measured mineral useful resource”, “indicated mineral useful resource” and “inferred mineral useful resource” are outlined in NI 43-101. These definitions differ from the definitions within the disclosure necessities promulgated by the SEC. Accordingly, info contained on this press launch will not be similar to related info made public by U.S. corporations reporting pursuant to SEC disclosure necessities.

Mineral assets which aren’t mineral reserves would not have demonstrated financial viability. Pursuant to the CIM Requirements, mineral assets have the next diploma of uncertainty than mineral reserves as to their existence in addition to their financial and authorized feasibility. Inferred mineral assets, compared with measured or indicated mineral assets, have the least certainty as to their existence, and it can’t be assumed that every one or any a part of an inferred mineral useful resource will likely be upgraded to an indicated or measured mineral useful resource because of continued exploration. Pursuant to NI 43-101, inferred mineral assets might not type the idea of any financial evaluation. Accordingly, readers are cautioned to not assume that every one or any a part of a mineral useful resource exists, will ever be transformed right into a mineral reserve, or is or will ever be economically or legally mineable or recovered.