Mr. Elmer Stewart reports

COPPER FOX ANNOUNCES UPDATE ON SCHAFT CREEK PROJECT

Copper Fox Metals Inc. has provided an update of the 2014 season for joint venture activities at the Schaft Creek project located in northwestern British Columbia.

Highlights:

• Work on the optimization of the Schaft Creek project focused on the Liard zone of the Schaft Creek deposit.
• Studies undertaken include metallurgical, pit slope design, geological modelling and environmental of the Schaft Creek project.
• A mapping and core relogging program (16,867 metres) was completed to gain a better understanding of the geotechnical and geometallurgical aspects, focusing on the first 10 to 15 years of potential mine life.
• Fieldwork located a potential new zone of copper-gold mineralization north of the Discovery zone. This zone covers an area that is 1,300 metres long by 800 metres wide.
• A review of the metallurgical testwork on the Schaft Creek project indicates that additional variability testing is required. Geometallurgical modelling of the deposit is under way. Collection of additional metallurgical samples will be required.
• Resource modelling and a review of the precious metal content are under way.
• Efforts to reduce the capital expenditure at Schaft Creek include a review of the location and size of the milling facility, tailing storage facility and camp facilities.
• These activities all comprise a high-level review.

Elmer Stewart, president of Copper Fox, stated: "We are pleased with the progress of the joint venture at Schaft Creek. Some of the work currently under way is time-consuming and detailed in nature. More time is required to complete this work which may result in the need to collect additional information to finalize the optimization work. The advanced stage of the project and the decisions to be made require that the joint venture address key risks related to the Schaft Creek project. The location of a new zone of mineralization is encouraging and supports our interpretation of the potential to locate additional zones of mineralization north of the Discovery zone."

Schaft Creek project

A significant aspect of the 2014 activities undertaken by the joint venture is to identify opportunities to reduce capital expenditure. This initiative is related to a high-level review on three aspects of the project where capital cost reductions may be achieved. These are: i) the location and construction of the containment dams for the tailing storage facility; ii) the relocation of the mill closer to the pit to reduce transportation distances; and iii) camp facilities.

The joint venture has identified a mineralized zone north of the Discovery zone, a new zone of copper and gold mineralization reporting value from outcrop samples of up to 1.56 per cent copper and 1.3 grams per tonne gold. The area of interest is 1,300 metres long by 800 metres wide. This work also identified a new possible mineralized target south of the Schaft Creek deposit as well as extension to the mineralization in three areas of the Schaft Creek deposit.

Geological interpretation of near-surface broken material identified in the feasibility study is a potentially positive development in relation to the pit slope stability, and a separate zone of low-RQD (rock quality designation) material is being evaluated for mill throughput. A total of 16,867 metres of core was relogged in 2014 bringing the total core relogged at Schaft Creek to 31,560 metres since Teck Resources Ltd. assumed operatorship of the project.

As part of the review of the metallurgical testwork, the operator has recommended additional variability testwork to determine more accurately the metal recoveries and mill throughput at Schaft Creek. Geometallurgical modelling and additional testwork will be required in the next phase of studies to further advance the project.

The work completed during the balance of the year and any recommendations for 2015 activities will be reported on when they become available.

Elmer B. Stewart, MSc, PGeol, president of Copper Fox, is the corporation's nominated qualified person pursuant to National Instrument 43-101, Standards for Disclosure for Mineral Projects, and has reviewed and approved the technical information disclosed in this news release.

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