Copper Fox Provides Update on the Preliminary Economic Assessment for Van Dyke

Copper Fox Metals Inc. (TSXV: CUU) ("Copper Fox" or the "Company") and its wholly owned subsidiary Desert Fox Copper Inc. ("Desert Fox") are pleased to provide a progress report on the preparation of the Preliminary Economic Assessment ("PEA") on its 100% owned Van Dyke oxide copper project. Moose Mountain Technical Services ("MMTS") is managing preparation of the PEA to assess and review the following components:

• Quantify the impact on project economics based on the increased soluble copper content and copper recovery factor established in the 2020 Resource Estimate
• Mine plan updates
• Well field re-design and layout
• Metallurgical recovery/process flowsheet design
• Operating, capital and sustaining costs and the conceptual plan on timeline, development, and operations
• Preparation of a pre-tax and post tax cash flow analysis

Elmer B. Stewart, President and CEO of Copper Fox, stated, "Our focus during preparation of the PEA will be to work with the engineering companies to identify, assess and eliminate potential bottlenecks to enhance value. The impact on the potential to increase mine life and life of mine copper production based on the positive results outlined in the 2020 Resource Estimate need to be quantified. With the underground access plan having been completed, work has commenced on the well field layout and expected copper production. Once the PEA has been completed, a path forward for the project can be determined."

The PEA is conceptual in nature and is being completed at an order of magnitude (plus or minus 35 per cent) comparable with a preliminary economic assessment level of study.

Background to the Updated PEA
In 2015, Copper Fox completed a PEA for Van Dyke that returned a post-tax NPV⁸of C$209 million and an Internal Rate of return of 27.9% (see News Release dated November 25, 2015) based on an Inferred Resource of 183.1 million tonnes grading 0.20% soluble copper (containing 797 million pounds of soluble copper) and a US$3.00/lb copper price.

In 2020, Copper Fox filed on SEDAR a National Instrument 43-101 ("NI 43-101") Technical Report titled, "Technical Report and Updated Resource Estimate for the Van Dyke Copper Project" dated May 4, 2020 prepared by MMTS with an effective date of January 9, 2020. Highlights of the 2020 Resource Estimate are (see News Release dated March 25, 2020):

1) Indicated Resource: 97.6 million tonnes, grading 0.24% RecCu containing 517 million pounds of soluble copper
2) Inferred Resource: 168.0 million tonnes, grading 0.19% RecCu containing 699 million pounds of soluble copper
3) The deposit is amenable to recovery using In-Situ Copper Recovery ("ISCR") with an estimated metallurgical recovery of 90%.

2020 PEA

Mine Plan:
The 2020 mine plan has been completed using smaller dimensions for the main access ramp and declines and a staged development to reduce and defer capital costs. Stage 1 envisions a main access ramp to the top of the deposit and a decline following the Gila/Pinal Schist contact to allow early access to the higher-grade portions of the deposit. This approach is expected to reduce the total volume of underground development and results in shorter injection/recovery wells. Stage 2 is expected to commence toward the end of Stage 1 to access the lower grade portion of the deposit for well field installation and production.

Block Modelling:
To support mine planning, a Net Smelter Return ("NSR") Isopach map was generated using the resource blocks set out in the 2020 resource update to identify higher grade areas of the deposit from which to commence operations. The NSR for the blocks was calculated using the following equation:

NSR = (RECCU X 3.15 X 22.0462) X ECON%/100/0.77 - (RECCU X 3.15 X 22.0462) X QT%/100/0.77 X 0.625

Copper price $US3.15/lb.; FOREX $CDN:$US 0.77:1.00; RECCU = total recoverable copper; ECON% = Percent of the block within the "reasonable prospects of eventual economic extraction" resource; QT% = Percent of the block within the Quiet Title area

To generate the Isopach, the NSR values are summed vertically and multiplied by the total tonnes per block for a column of blocks within the deposit. The higher-grade areas of the deposit occur around the historical Van Dyke shaft and in the north central portion of the deposit. The Stage 1 mine plan accesses these zones to increase copper production in the early stage of the project to accelerate capital recovery.

Well Field Design/Copper Recovery Plan:
With completion of the mine plan and NSR Isopach map, preparation, and design of the injection/recovery well layout and conceptual copper production schedule has commenced. The well field layout, while still preliminary in nature, is scaled to match other ISCR projects in Arizona with a well spacing equivalent to 22m (70ft) for a well density of 455m³/m of well length, within the mineralized zone.

Cost Estimation:
MMTS is in the process of obtaining costs estimates from suppliers for the various components of the mine and surface facilities. The general strategy for cost estimation is to obtain costs updates from contractors/consultants where possible. When an update is not available; industry standard inflation factors will be applied where necessary to comparable projects.

The PEA is managed by MMTS with supporting services provided by Ausenco Engineering Canada Inc. (metallurgical test work/process design), Piteau Associates (well field development/installation), Knight Piésold (rock mechanics/geotechnical), and Ray Huff and Associates (oversite on well field and copper recovery).

Elmer B. Stewart, MSc. P. Geol., President of Copper Fox, is the Corporation's nominated Qualified Person pursuant to National Instrument 43-101, Standards for Disclosure for Mineral Projects, has reviewed and approved the technical information disclosed in this news release.

About Copper Fox
Copper Fox is a Tier 1 Canadian resource company listed on the TSX Venture Exchange (TSXV: CUU) focused on copper exploration and development in Canada and the United States. The principal assets of Copper Fox and its wholly owned Canadian and United States subsidiaries, being Northern Fox Copper Inc. and Desert Fox Copper Inc., are the 25% interest in the Schaft Creek Joint Venture with Teck Resources Limited on the Schaft Creek copper-gold-molybdenum-silver project located in northwestern British Columbia and a 100% ownership of the Van Dyke oxide copper project located in Miami, Arizona. For more information on Copper Fox's other mineral properties and investments visit the Company's website at www.copperfoxmetals.com.

On behalf of the Board of Directors

Elmer B. Stewart
President and Chief Executive Officer

For additional information contact Lynn Ball at:
investor@copperfoxmetals.com
(844) 464-2820 or (403) 264-2820

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Cautionary Note Regarding Forward-Looking Information
This news release contains "forward-looking information" within the meaning of the Canadian securities laws. Forward-looking information is generally identifiable by use of the words "believes," "may," "plans," "will," "anticipates," "intends," "budgets", "could", "estimates", "expects", "forecasts", "projects" and similar expressions, and the negative of such expressions. Forward-looking information in this news release includes, but is not limited to; progress on the preparation of the 2020 PEA; the objective of the 2020 PEA; the results of the 2020 Resource Estimate; and statements about Copper Fox's strategy, future operations, prospects and the plans of management.

In connection with the forward-looking information contained in this news release, Copper Fox and its subsidiaries have made numerous assumptions. While Copper Fox considers these assumptions to be reasonable, these assumptions are inherently subject to significant uncertainties and contingencies. Additionally, there are known and unknown risk factors which could cause Copper Fox's actual results, performance, or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information contained herein. Known risk factors include, among others: the PEA may not be completed as planned or at all; the results of the PEA may indicate that the Van Dyke project may not have any economic value; uncertainties relating to the interpretation of previous drill results, geology, continuity, grade, metallurgical test work and metal recovery rates; the need to obtain additional financing and uncertainty of meeting anticipated program milestones; and uncertainty as to timely availability of permits and other governmental approvals; fluctuations in copper prices and demand; currency exchange rates; conditions in the financial markets and the overall economy may continue to deteriorate. A more complete discussion of the risks and uncertainties facing Copper Fox is disclosed in Copper Fox's continuous disclosure filings with Canadian securities regulatory authorities at www.sedar.com.

All forward-looking information herein is qualified in its entirety by this cautionary statement, and Copper Fox disclaims any obligation to revise or update any such forward-looking information or to publicly announce the result of any revisions to any of the forward-looking information contained herein to reflect future results, events or developments, except as required by law.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/65352