Copper Fox Announces 2016 Second Quarter Financial Results

Copper Fox Metals Inc. (TSXV:CUU) announced its second quarter unaudited interim condensed consolidated operating and financial results.
As quoted in the press release:

Q2 2016 Highlights

• The 2016 Schaft Creek program is estimated to cost $0.7 million, consisting of updating the resource model for the Schaft Creek deposit, continuation of the collection of environmental baseline data and continued consultation with the Tahltan First Nation. The resource remodeling will incorporate the results of the 2013 drilling program and the re-logging of diamond drill cores completed between 2013 and 2015, which will assist in constraining the limits of the Schaft Creek deposit.

• During the 2016 second quarter, the Schaft Creek Joint Venture voluntarily withdrew from the Environmental Assessment (“EA“) process and the queue for the Northern Transmission Line (“NTL“). The SCJV is of the opinion that with the recent changes to the regulations; keeping the EA active and remaining on the NTL queue would not be beneficial to the project, as there are no technical or procedural disadvantages to leaving and re-entering at a later date. No impediment is expected with regards to re-entering the EA process or getting back in the NTL queue.

• The Van Dyke PEA recommended that a pre-feasibility study be completed, estimated to cost $US16.6 million. The primary components of the study would include approximately 10,000m of diamond drilling, to upgrade the current resource category, to test the west and south extensions of the deposit as well as a five hole in-situ leach pilot test program to investigate copper recoveries, hole connectivity, hydrology and other geotechnical parameters related to in-situ leaching. Copper Fox is reviewing its options with regards to completing the pre-feasibility study.

• The chemical analysis of the Sombrero Butte drill cuttings around the collars of two diamond drill holes, believed to be completed in the late 1960’s, yielded 2,079 ppm copper and 1,683 ppm copper, demonstrating that these drill holes intersected copper mineralization at depth. The depth to the mineralization, thickness and average grade of these mineralization intersects cannot be estimated. The presence of copper in the drill cutting is however encouraging and supports the interpretation of a buried porphyry copper system.

• The results of historical exploration on the Mineral Mountain project are being complied and will be released on completion thereof.

• Carmax announced an update of activities and the commencement of the 2016 field program for the Eaglehead project. This program consists of re-logging historical drill holes, prospecting, mapping, diamond drilling, re-analysis of pulp samples from historical drill core and either sampling or re-sampling of historical drill holes. The mineralization at the Eaglehead project contains silver, the concentration of which has not previously been incorporated into a resource estimate.

• On March 2, 2016, 1,025,000 of the Company’s options with an exercise price of $1.69 expired.

• In March 17, 2016, Copper Fox received 1,000,000 warrants from the Bell Copper Corporation (“Bell“) as consideration for a one year extension on the $150,000 loan to Bell. The interest earned on the loan of $18,000 was added to the principal amount of the loan. The current balance of the loan outstanding is now $168,000. The warrants are exercisable into common shares at an exercise price of $0.05 until March 17, 2017.

• On April 8, 2016, 3,358,228 warrants with an exercise price of $1.00 expired.

Copper Fox Metals President and CEO, Elmer B. Stewart, stated:

Copper Fox is focused on increasing the value of its copper projects and investments located in Canada and the United States. The completion of the resource modelling for the Schaft Creek deposit and establishing the timing and costs of obtaining the necessary permits to commence the prefeasibility study on the Van Dyke project are critical aspects of our 2016 plans. Our equity ownership in Carmax Mining as well as the Sombrero Butte and Mineral Mountain copper projects gives Copper Fox exposure to potentially, three large porphyry copper-molybdenum-gold systems located in safe geopolitical jurisdictions.

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