Mr. Vince Sorace reports

KUTCHO COPPER DRILLS 28M OF 5.7% CUEQ* (INCLUDING 10.4M OF 12% CUEQ*); PROVIDES PROJECT UPDATE

Kutcho Copper Corp. has released initial drill results from the Esso deposit at its 100-per-cent-owned Kutcho high-grade copper-zinc project located in British Columbia and has entered into the mineral resource expansion drilling phase of the 2018 field program.

Drill hole KC18-038-W1 returned 28 metres of 2.09 per cent copper, 6.1 per cent zinc, 65.8 grams per tonne silver and 0.82 g/t gold or a copper equivalent of 5.7 per cent including a 10.4 m massive sulphide intersection of 3.80 per cent Cu, 14.4 per cent Zn, 134.6 g/t Ag and 1.84 g/t Au or a CuEq of 12 per cent (1).

In addition, drill hole KC18-227-W1 intersected massive to semi-massive sulphide mineralization that returned 1.17 per cent Cu, 2.5 per cent Zn, 45.7 g/t Ag and 0.57 g/t Au, or 3 per cent CuEq (1) over 3.2 m.

Hole ID          From      To  Interval      Cu   Zn     Ag     Au   CuEq (1)
                  (m)     (m)       (m)     (%)  (%)  (g/t)  (g/t)        (%)

KC18-038-W1     495.0   523.0      28.0    2.09  6.1   65.8   0.82        5.7
including       508.3   518.7      10.4    3.80 14.4  134.6   1.84       12.0
including       512.8   515.5       2.6    3.75 45.7  109.9   1.00       23.7
KC18-227-W1     401.5   404.7       3.2    1.17  2.5   45.7   0.57        3.0
including       404.0   404.7       0.7    1.69  2.0  105.0   1.00        4.7

True width estimated to be 85 per cent length of intercepts.
(1) Copper equivalent calculated using $2.75/tonne Cu, $1.10/t Zn, $17/ounce 
Ag, $1,250/ounce Au.

Vince Sorace, president and chief executive officer, stated: "We have now moved into an exciting phase of the field program as the mineral resource expansion drilling at Kutcho is now in full swing and we anticipate releasing drill results frequently over the course of the next few months. The initial drill holes from Esso represent the unique high-grade opportunity achievable at the Kutcho project."

Kutcho project update

The comprehensive field program under way at Kutcho is designed to capture all necessary components to complete the feasibility study (FS) that is being led by Ausenco Engineering. Fieldwork completed and continuing to date consists of:

• Hydrogeological drilling and well installation have been completed at both Main and Esso.
• All geotechnical drill holes at the Esso deposit have been completed. Geotechnical drilling at the Main deposit is currently under way and is anticipated to be completed by the end of September.
• Completion of the surface geotechnical program that consists of a combination of test pit and drill hole investigations for engineering of the site infrastructure and tailings management facility.
• Metallurgical drilling at both the Esso and Main deposits is complete. Lab work to refine recoveries and mill process design will continue for the next three to four months.
• Baseline environmental programs including water quality measurements, terrestrial and aquatic wildlife surveys, air quality measurements, and meteorological data collection at both the regional and site-specific scales are 50 per cent complete. Components of this comprehensive program will be continuing throughout the 2018 and 2019.
• Road engineering field studies have been completed along the proposed corridor to access the project from Highway 37.

The company is also progressing detailed engineering studies, design work and trade-off studies (mining method, mine schedule, plant/throughput studies, tailings management facilities, site infrastructure) toward completion of the feasibility study, which is on schedule to be completed in the second quarter of 2019.

TCS project update

Kutcho has also commenced a surface program at the TCS property. The TCS property is located 16 km east of Dease Lake and covers the Permo-Triassic Kutcho formation of bimodal volcanic rocks, which host the Kutcho deposits approximately 90 km to the east. TCS presents a pure greenfields opportunity which has never been drilled. Previous exploration programs have identified mineralized and altered bedrock in creek outcrops and a 600 m by 800 m Cu-Zn soil anomaly. The 2018 program will consist of prospecting, mapping and soil sampling to potentially delineate drill targets for future campaigns.

Quality assurance/quality control statement on assay results

Diamond drilling conducted on the Kutcho property for 2018 is by Cyr Drilling International of Winnipeg, Man., using Boyles BBS-37 surface drills, with HQ-diameter drill rods. All holes were oriented using an ACT III core orientation tool and after completion of the drill hole, holes were surveyed using a downhole gyroscopic tool rented from Terraplus Inc. of Richmond Hill, Ont. Kutcho systematically inserts certified standards, blanks and field duplicates consisting of half-core samples into each batch of samples at regular intervals. Samples are placed in sealed bags and shipped directly to the ALS Minerals preparatory laboratory in Whitehorse. The 2018 samples are analyzed by ALS Global of Vancouver, B.C. Samples are prepared by crushing the entire sample to 70 per cent passing minus-two-millimetre, riffle splitting of 250 g and pulverizing the split to better than 85 per cent passing 75 microns. The core samples also undergo a robust duplicate assay program that tests rejects and pulps for reproducibility. Samples are also sent to an umpire lab.

The gold assays are determined by Au-AA23 fire assay method which reports in parts per million (ppm) (equivalent to grams per tonne (g/t)). Any samples greater than 9.00 g/t gold are analyzed by Au-GRA21 fire assay method with a gravimetric finish.

Base metal assays are first determined using the ME-ICP41 method, which reports results as part per million (ppm). All analyses that reach the overlimits of ME-ICP61 are reanalyzed with an ore-grade method. The analytical results are verified with the application of industry-standard quality control and quality (QA/QC) procedures.

Qualified person

Rory Kutluoglu, BSc, PGeo, a qualified person as defined by National Instrument 43-101, has read and approved all technical and scientific information contained in this news release. Mr. Kutluoglu is the company's vice-president, exploration.

About Kutcho Copper Corp.

Kutcho Copper is a Canadian resource development company focused on expanding and developing the Kutcho high-grade copper-zinc project in Northern British Columbia. Committed to social responsibility and the highest environmental standards, the company intends to progress the Kutcho project through feasibility and permitting to a positive construction decision.

We seek Safe Harbor.