Mr. Vincent Metcalfe reports

PECOY COPPER OUTLINES 2026 EXPLORATION PROGRAM AND DISTRICT-SCALE GROWTH STRATEGY

Pecoy Copper Corp. has provided the details of its 2026 exploration program at the company's flagship Pecoy copper-gold-molybdenum-silver project, located in southern Peru, together with planned drilling at the nearby Tororume project, highlighting the company's strategy to advance a large, low-elevation, district-scale copper system.

The fully financed 2026 exploration program is focused on testing and expanding higher-grade zones at Pecoy, growing the overall size of the deposit, and advancing Tororume to assess its district-scale potential. The program will test the recent geological reinterpretation of historical and current drilling, which points to multiple mineralized centres and strong upside from both extensions of known zones and new discoveries.

2026 exploration program highlights:

• Up to 40,000 metres of diamond drilling planned during 2026;
• Up to five drill rigs anticipated at peak activity;
• Five priority target areas to be tested and advanced:
  • South breccia;
  • Center of the Pit and Central breccia;
  • EDM vein zone;
  • West Pampa;
  • Northwest target area;
• Approximately 5,000 metres of drilling planned at Tororume.

Vincent Metcalfe, chief executive officer of Pecoy Copper, commented: "Our 2026 exploration program is structured to be both systematic and opportunistic. We aim to expand zones that already demonstrate scale and continuity while at the same time allocating meaningful effort to targets that we believe could represent additional breccia centres or higher-grade zones within the broader Pecoy system. With multiple areas still open and only partially tested, we see strong potential for continued resource expansion through 2026."

2026 priority exploration areas at Pecoy

Collectively, the five initial areas represent different structural levels and expressions of the same evolving hydrothermal system consistent with large porphyry-related copper systems. This provides for multiple independent opportunities for scale and grade discovery. Drilling to date has tested the Pecoy system over approximately 1.9 kilometres of strike, 1.5 kilometres in width and to an average depth of 400 metres. Within the system, Pecoy has identified multiple breccia bodies characterized by matrix and clast-supported sulphide mineralization remaining that remain open laterally and at depth.

South Breccia

The South Breccia represents one of the most advanced and best-defined mineralized breccia bodies at Pecoy and hosts the higher-grade mineralization encountered to date. Drilling has outlined a coherent geometry with strong continuity, and the breccia remains open laterally and at depth, including toward the west beneath alluvial cover. The 2026 program will focus on testing and expanding this higher-grade orebody through stepout drilling under cover, continued evaluation of depth potential, and further refinement of breccia geometry and internal controls on mineralization.

Center of the Pit and Central breccia

The Centre of the Pit and Central breccia areas are interpreted as a potentially concealed magmatic-hydrothermal breccia centre that has only been intersected tangentially by historical drilling and remains largely untested. The planned work program includes directional drilling designed to penetrate the interpreted breccia body, stepouts to test open extensions, particularly to the west with the Center of the Pit target and integration of geological vectoring to optimize drill pierce points.

EDM vein zone

The EDM (early, dark, micaceous) vein zone represents an important vectoring and plumbing feature within the Pecoy system, characterized by early-stage veining associated with copper mineralization and interpreted to occur at depth. Drilling will aim to better define the extent, continuity and vertical distribution of EDM veining, evaluate relationships to breccia development and higher-grade mineralization, and use vein density and alteration patterns as key vectoring tools to guide further targeting.

West Pampa

The West Pampa area represents a priority underexplored zone beneath cover, with geological, geophysical and alteration features consistent with potential extensions of the Pecoy system. The planned activities include first-pass and stepout drilling beneath cover, testing for concealed breccia bodies or mineralized porphyry phases, and integration of surface and subsurface data to refine targets.

Northwest target area

The Northwest area represents a less explored portion of the property with geological characteristics that suggest it is proximal to the broader mineralized system, including the presence of EDM veins and high molybdenum values. The 2026 work program will focus on reconnaissance and follow-up drilling, defining alteration and structural controls and assessing potential connections to known mineralized zones.

The 2026 Pecoy exploration program is expected to materially advance the characterization of the South and Central breccias, including the Center of the Pit target, while progressing additional targets toward potential discovery.

Tororume -- demonstrating district-scale exploration strategy

The Tororume project, located approximately eight kilometres north of Pecoy, is an underexplored porphyry system with a mineralized footprint extending over several kilometres. Limited historical drilling (nine holes) intersected consistent copper mineralization from surface, leaving significant portions of the system untested. The 2026 program includes approximately 5,000 metres of drilling to expand known mineralization and test high-priority targets.

Regional exploration upside

In addition to Pecoy and Tororume, multiple additional regional exploration targets have been identified across the broader land package. These targets remain untested and provide additional longer-term discovery optionality.

Continuing drilling and program integration

Two drill rigs are currently operating at the Pecoy project, focused on the South breccia, with one drill hole nearing completion. Drilling is expected to progress toward the Central breccia and EDM vein zone. Information generated from current drilling will be continuously integrated into the 2026 program to refine targeting and optimize drill allocation.

In parallel with drilling, the company will continue advancing:

• Deposit-scale geological modelling and data integration;
• Vein-type and alteration mapping to improve vectoring;
• Target refinement across the broader Pecoy property.

Pecoy project highlights:

• Large copper system with an inferred resource of 865 million tonnes at 0.34 per cent copper (approximately 6.5 billion pounds contained copper), plus associated gold, molybdenum and silver credits;
• Surface exposure and multiple breccia centres, including the South breccia;
• Favourable topography at Pecoy Hill, with extensive mineralization expressed at surface and consistent with potential open-pit-style geometry;
• Low elevation (approximately 1,650 metres) with year-round access and proximity to infrastructure corridors and deepwater ports;
• Additional district-scale upside at Tororume (approximately eight kilometres north).

Key coming catalysts for 2026

The company anticipates several value-driving catalysts, including:

• Continuing drill results and program updates from Pecoy and Tororume;
• Initial metallurgical test work results;
• Updated geological modelling and target refinement;
• Analyst and institutional site visits.

Together, these efforts are designed to systematically advance Pecoy toward becoming a large, multicentre copper system with both near-term growth potential and a clear pathway toward long-term resource definition.

Investor relations engagement

Pecoy Copper has retained Renmark Financial Communications Inc. to provide investor relations and market awareness services. In consideration for the services to be provided, Renmark will receive a cash fee of up to $9,000 per month, commencing Jan. 1, 2026, for an initial term of seven months ending July 31, 2026, and continuing thereafter on a month-to-month basis.

Renmark does not have any interest, directly or indirectly, in Pecoy Copper or its securities, nor does it have any right or intent to acquire such an interest.

About Pecoy Copper Corp.

Pecoy Copper is advancing the 9,975-hectare Pecoy copper-gold-molybdenum-silver project, a large, undeveloped porphyry system located in southern Peru's Arequipa region, within one of the world's most prolific copper belts. The Pecoy deposit hosts a current copper inferred resource of 865 million tonnes at 0.34 per cent copper, with significant associated gold, molybdenum and silver credits.

To date, less than 49,000 metres of historical drilling have been completed at Pecoy, defining a broad and continuous mineralized system with potential for expansion along strike and at depth. The project benefits from its favourable elevation of approximately 1,650 metres above sea level, providing year-round access and reduced operating complexity compared with many high-altitude Andean deposits.

Strategically located near the Pacific coast, Pecoy enjoys excellent infrastructure, with close proximity to highways, power lines and water sources and good access to the deepwater ports of Matarani (approximately 240 kilometres southwest) and Ilo. This infrastructure advantage positions Pecoy Copper to advance the project efficiently from exploration toward future development within one of the world's most established and mining-friendly jurisdictions.

The company's common shares are listed on the TSX Venture Exchange under the symbol PCU and also trade on the OTCQB under the symbol PCUUF.

National Instrument 43-101 technical disclosure

The scientific and technical information in this news release has been reviewed and approved by Vincent Cardin-Tremblay, PGeo, current chief geological officer of Pecoy Copper, a qualified person as defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects. An NI 43-101 technical report in respect of the Pecoy project with an effective date of April 30, 2025, and dated July 23, 2025, was prepared by Mining Plus and is available on SEDAR+ under the company's profile. Mineral resources are not mineral reserves and do not have demonstrated economic viability.

We seek Safe Harbor.