Mr. Jerrold Annett reports

ORION UNDERTAKES A$593 MILLION SALE OF CAPSTONE CDIS ON THE ASX

Capstone Copper Corp. shareholders Orion Fund JV Ltd., Orion Mine Finance Fund II LP and Orion Mine Finance (Master) Fund I-A LP Orion (collectively Orion) have entered into a block trade agreement with Macquarie Capital (Australia) Ltd., Canaccord Genuity (Australia) Ltd. and RBC Capital Markets (Australia), under which Orion has agreed to sell 62.4 million Chess depository interests (CDIs) over the common shares of Capstone (or the equivalent of 62.4 million fully paid common shares of Capstone) at a price of $9.50 (Australian) per CDI for gross proceeds to Orion of approximately $592.8-million (Australian). The secondary offering is expected to close on or about April 9, 2024 (Pacific Time).

The net proceeds of the secondary offering will be paid directly to the selling shareholders. The company will not receive any proceeds from the secondary offering.

In connection with the secondary offering, the company will file a prospectus supplement to the company's short form base shelf prospectus dated March 28, 2024, in all of the provinces and territories of Canada. Under the terms of the block trade agreement, there are no CDIs being offered pursuant to the prospectus supplement and the shelf prospectus in any of the provinces and territories of Canada.

CDIs will be offered to certain eligible investors in Australia and certain other foreign jurisdictions where the distribution of CDIs does not require a prospectus, registration, reporting or similar requirements of securities of laws of any jurisdiction. As part of the secondary offering, Orion has agreed, subject to certain limited exceptions, not to sell any common shares or other securities of Capstone for a period of 90 days from the date of the block trade agreement. The selling shareholders currently hold an aggregate of 152,936,179 common shares, representing approximately 20.3 per cent of the company's issued and outstanding common shares. Following the closing of the secondary offering, the selling shareholders will, in the aggregate, beneficially own 90,536,179 common shares, representing approximately 12 per cent of the outstanding common shares.

The prospectus supplement will be filed on SEDAR+ maintained by the Canadian Securities Administrators on or before April 8, 2024, and released on the Australian Securities Exchange.

About Capstone Copper Corp.

Capstone Copper is an Americas focused copper mining company headquartered in Vancouver, Canada. The company owns and operates the Pinto Valley copper mine located in Arizona, United States, the Cozamin copper-silver mine located in Zacatecas, Mexico, the Mantos Blancos copper-silver mine located in the Antofagasta region, Chile, and 70 per cent of the Mantoverde copper-gold mine, located in the Atacama region in Chile. In addition, the company owns the fully permitted Santo Domingo copper-iron-gold project, located approximately 30 kilometres northeast of Mantoverde in the Atacama region in Chile, as well as a portfolio of exploration properties in the Americas.

Capstone Copper's strategy is to unlock transformational copper production growth while executing on cost and operational improvements through innovation, optimization, and safe and responsible production throughout its portfolio of assets. The company focuses on profitability and disciplined capital allocation to surface stakeholder value. The company is committed to creating a positive impact in the lives of its people and local communities while delivering compelling returns to investors by sustainably producing copper to meet the world's growing needs.

We seek Safe Harbor.