Tristar Gold - Statement on Requests Related to Castelo De Sonhos

Rhea-AI Summary

TriStar Gold Inc. (TSXV: TSG) (OTCQB: TSGZF) has acknowledged recommendations from a Federal Public Prosecutor regarding the recently issued Preliminary License (LP) for the Castelo de Sonhos gold project in Brazil. These non-binding recommendations, directed at various government regulators, suggest suspending the LP pending additional archaeological and Indigenous Component Studies.

The company is confident in the comprehensive process used to obtain the LP, citing strong stakeholder support evidenced at a well-attended and positive public hearing in 2023. TriStar is addressing the concerns raised and is in contact with relevant authorities. The company believes that some of the MPF's technical concerns are already addressed in the LP's conditions.

CEO Nick Appleyard stated that while these concerns could have been discussed earlier, the company remains confident in the robustness of their Environmental Impact Assessment and the project's potential benefits to the community. TriStar is cooperating with all parties to resolve concerns quickly.

Positive

• Preliminary License (LP) for Castelo de Sonhos gold project already issued
• Strong stakeholder support evidenced at well-attended public hearing in 2023
• Some MPF technical concerns already addressed in LP conditions
• Company confident in the robustness of their Environmental Impact Assessment (EIA)

Negative

• Federal Public Prosecutor recommends suspension of the Preliminary License
• Additional archaeological and Indigenous Component Studies may be required
• Potential delays in project development due to regulatory concerns

Scottsdale, Arizona--(Newsfile Corp. - October 1, 2024) - TriStar Gold Inc. (TSXV: TSG) (OTCQB: TSGZF) (the Company or TriStar) confirms that it has become aware of a series of recommendations from a Federal Public Prosecutor from the Federal Public Prosecution Office (MPF) to the government regulators, including the Pará Secretariat for the Environment and Sustainability (SEMAS), our principal regulator.

These requests are related to the recent issuance of the Licença Prévia (Preliminary License or LP) for the Castelo de Sonhos gold project in Brazil, and address SEMAS, the local Municipality of Altamira, the National Foundation of Indigenous Peoples (FUNAI), and the National Institute of Historical and Artistic Heritage in the State of Pará (IPHAN). The recommendations, which are not binding on the regulators, include the suspension of the LP pending the completion of additional archaeological studies and Indigenous Component Studies.

TriStar is considering the concerns raised, is in contact with the relevant authorities and will update the market as new information is available. Overall, the Company is confident that the comprehensive process used to arrive at the issuance of the LP has been sound on all fronts and is supported by numerous stakeholders, as evidenced at the well-attended and overwhelmingly positive public hearing for the project in 2023. As is typical with the LP permitting process, the approval comes with conditions that the Company will need to address going forward. Some of the conditions attached to the LP already address technical concerns raised by the MPF.

"While these recent concerns from the MPF would have been better discussed during our public hearing, it seems to be more common now for the MPF to raise concerns about the established formal permitting process in Brazil. We are confident that the robust process we went through, including the Environmental Impact Assessment (EIA), accurately account for the potential impacts of the Castelo de Sonhos project," says Nick Appleyard, TriStar's President and CEO. "The community support we have witnessed speaks to the potential benefits that a project like this could deliver to the municipality, state and country. We are cooperating with all parties involved to resolve any concerns fully, as quickly as possible."

About TriStar

TriStar Gold is an exploration and development company focused on precious metals properties in the Americas that have the potential to become significant producing mines. The Company's current flagship property is the Castelo de Sonhos gold project in Pará State, Brazil. TriStar has completed a pre-feasibility study and is now working to advance the project towards a feasibility study while evaluating optimization options. The Company's shares trade on the TSX Venture Exchange under the symbol TSG and on the OTCQB under the symbol TSGZF. Further information is available at www.tristargold.com.

ON BEHALF OF THE BOARD OF DIRECTORS OF THE COMPANY:

Nick Appleyard
President and CEO
480-794-1244

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.

Forward-Looking Statements

Certain statements contained in this press release may constitute forward-looking statements under Canadian securities legislation which are not historical facts and are made pursuant to the "safe harbour" provisions under the United States Private Securities Litigation Reform Act of 1995. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "expects" or "it is expected", or variations of such words and phrases or statements that certain actions, events or results "will" occur. Forward looking statements in this press release include statements about the Company's development of the Castelo de Sonhos gold property. Such forward-looking statements are based upon the Company's reasonable expectations and business plan at the date hereof, which are subject to change depending on economic, political and competitive circumstances and contingencies. Readers are cautioned that such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause a change in such assumptions and the actual outcomes and estimates to be materially different from those estimated or anticipated future results, achievements or position expressed or implied by those forward-looking statements. Risks, uncertainties and other factors that could cause the Company's plans to change include changes in demand for and price of gold and other commodities (such as fuel and electricity) and currencies; changes or disruptions in the securities markets; legislative, political or economic developments in Brazil; effects of the COVID-19 virus on all aspects of the Company's business, the need to obtain permits and comply with laws and regulations and other regulatory requirements; the possibility that actual results of work may differ from projections/expectations or may not realize the perceived potential of the Company's projects; risks of accidents, equipment breakdowns and labour disputes or other unanticipated difficulties or interruptions; the possibility of cost overruns or unanticipated expenses in development programs; operating or technical difficulties in connection with exploration, mining or development activities; the speculative nature of gold exploration and development, including the risks of diminishing quantities of grades of reserves and resources; and the risks involved in the exploration, development and mining business. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable securities laws.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/225196

FAQ

What recommendations has TriStar Gold (TSGZF) received regarding the Castelo de Sonhos project?

TriStar Gold has received recommendations from a Federal Public Prosecutor suggesting the suspension of the Preliminary License (LP) for the Castelo de Sonhos gold project, pending completion of additional archaeological and Indigenous Component Studies.

Are the Federal Public Prosecutor's recommendations binding for TriStar Gold (TSGZF)?

No, the recommendations from the Federal Public Prosecutor are not binding on the regulators or TriStar Gold. They are suggestions directed at various government regulators involved in the project's approval process.

How has TriStar Gold (TSGZF) responded to the concerns raised about the Castelo de Sonhos project?

TriStar Gold is considering the concerns raised, is in contact with relevant authorities, and is cooperating with all parties to resolve any concerns fully and as quickly as possible. The company remains confident in the comprehensive process used to obtain the Preliminary License.

What was the outcome of the public hearing for TriStar Gold's (TSGZF) Castelo de Sonhos project in 2023?

The public hearing for the Castelo de Sonhos project in 2023 was well-attended and overwhelmingly positive, demonstrating strong stakeholder support for the project.