Mr. Elmer Stewart reports

COPPER FOX PROVIDES UPDATE ON SCHAFT CREEK PROJECT

Copper Fox Metals Inc. has provided an update on the progress of the preliminary economic assessment (see news release dated Nov. 24, 2020) for the Schaft Creek project. The Schaft Creek project is managed through the Schaft Creek joint venture (SCJV) formed in 2013 between Teck Resources Ltd. (75 per cent) and Copper Fox (25 per cent) with Teck being the operator. The Schaft Creek deposit is one of the largest undeveloped porphyry copper deposits containing significant gold-molybdenum-silver byproducts in North America. Highlights of the work completed are set out herein.

Highlights:

• A review of the work completed by the SCJV on the Schaft Creek project since 2018 has been completed.
• The PEA contemplates a 133,000-tonne-per-day mine/processing facility like that set out in the 2013 feasibility study completed by Copper Fox Metals Inc. in 2013.
• An updated resource estimate will include analytical, drilling and metallurgical information generated by the SCJV on the project since completion of the feasibility study in 2013.
• A site visit by the qualified person has been completed and preparation of the resource estimate is progressing.

Elmer B. Stewart, president and chief executive officer of Copper Fox, stated: "The objectives of the PEA are to assess the economic impact on the project due to changes in the project footprint and identify potential opportunities to further enhance project value. The work completed to date indicates that a substantial amount of the technical data used in the 2013 feasibility study remains relevant. This information, combined with the data generated and studies completed by the SCJV over the past three years, will form the basis for the 2021 PEA. The PEA outcome will include a comparison against the Jan. 23, 2013, feasibility study."

Schaft Creek project

With input from the SCJV, Tetra Tech Canada Inc. and other independent consultants are advancing the PEA on the Schaft Creek project. The resource estimation, along with the other components of the study, is in progress. PricewaterhouseCoopers has been retained to complete the posttax cash-flow model for the project.

Resource estimate

In the context of completing the PEA, the independent qualified person, Michael F. O'Brien of Red Pennant Geoscience, retained by Tetra Tech, has reviewed the resource modelling completed by the SCJV in 2018 and is of the opinion that the work was completed in a thorough and consistent manner in accordance with National Instrument 43-101 standards (May 9, 2016), CIM Definition Standards (May 19, 2014) with guidance from CIM Best Practice Guidelines (Nov. 29, 2019). The 2018 resource model will be used as a foundation to the resource estimation that is being produced for the PEA and will be accompanied by an NI 43-101 technical report.

Mine plan

The PEA updated mine plan contemplates a conventional truck/shovel operation providing 133,000 tpd to the processing facility and includes a stockpiling strategy to manage life-of-mine mill feed grades.

Processing

The metallurgical work completed by the SCJV indicates that the Schaft Creek deposit consists of four geometallurgical domains. The processing circuit (133,000 tpd at 92 per cent availability) contemplated in the PEA is like that set out in the 2013 feasibility study. The processing flow scheme includes crushing, two-stage grinding and conventional flotation producing separate, clean copper and molybdenum concentrates.

Qualified person

Mr. Stewart, MSc, PGeol, president and chief executive officer of Copper Fox, is the company's non-independent, nominated qualified person pursuant to NI 43-101 -- Standards of Disclosure for Mineral Projects, has reviewed the scientific and technical information disclosed in this news release.

About Copper Fox Metals Inc.

Copper Fox is a Tier 1 Canadian resource company focused on copper exploration and development in Canada and the United States. The principal assets of Copper Fox and its wholly owned Canadian and U.S. subsidiaries, being Northern Fox Copper Inc. and Desert Fox Copper Inc., are the 25-per-cent interest in the Schaft Creek joint venture with Teck Resources on the Schaft Creek copper-gold-molybdenum-silver project located in northwestern British Columbia, and a 100-per-cent ownership of the Van Dyke oxide copper project located in Miami, Ariz. For more information on Copper Fox's other mineral properties and investments, visit the company's website.

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