Copper Fox Metals

Overview

Copper Fox Metals Inc. (TSXV:CUU, OTCQX:CPFXF) is a Canadian resource development company focused on value creation through the acquisition, exploration and development of potentially low-cost, large polymetallic porphyry copper projects in North America. The company holds a 25 percent carried interest in the Schaft Creek joint venture project with Teck Resources Limited (TSX:B) in British Columbia and a 100 percent interest in three additional projects in the US.

According to the US Geological Society, copper is the third most consumed industrial metal in the world. The red metal is well known for its high ductility and electrical conductivity, making it an important part of the renewable energy and electric vehicle (EV) revolutions. Global copper demand reached 23.6 million tons in 2018 and is expected to reach 30 million tons by 2027, according to an article by Forbes. However, analysts are predicting that supply is not going to be able to keep up with demand, making it essential for new projects to be put into production.

With this in mind, Copper Fox is focusing its efforts on its advanced-stage copper project, more specifically, the Schaft Creek copper project in British Columbia. The project has a 2013 feasibility study that outlines a proven and probable mineral reserve of 940.8 million tonnes grading 0.27 percent copper, 0.19 g/t gold, 0.18 percent molybdenum and 1.72 g/t silver. The feasibility study forecasts annual production of 105,000 tonnes of copper, 201,000 ounces of gold, 1.2 million ounces of silver and 10.2 million pounds of molybdenum once the property is put into production.

The Schaft Creek joint venture (SCJV) is investigating a 133,000 tonne per day mining scenario at the Schaft Creek project. The SCJV has dedicated C$2.1 million to trade-off studies related to that mining scenario including a review of the permitting and environmental requirements needed for the 133,000 tonnes per day scenario as well as new engineering improvements and collecting additional baseline environmental data.

Next in the company’s project pipeline is the development of the Van Dyke copper project in Arizona. Copper Fox released a preliminary economic assessment( PEA) in November 2015 that returned several recommendations for optimizing the project’s economics. In March 2020 the company announced the results of an updated resource estimate for the project that was prepared by Moose Mountain Technical Services. Highlights of the resource estimate include 97.6 million tonnes, grading 0.33 percent total copper and 0.24 percent total recovered soluble copper containing 717 million pounds of total copper and 517 million pounds of recoverable soluble copper in the indicated category.

Copper Fox is also advancing its exploration-stage Mineral Mountain and Sombrero Butte copper projects in Arizona. Both projects reside in well-defined major porphyry copper belts in Arizona that host large porphyry copper deposits, such as the Resolution, Ray, San Manuel and Kalamazoo deposits.

Copper Fox also owns 24.4 percent of the issued and outstanding shares of District Copper Corp. (TSXV:DCOP), providing its shareholders with exposure to a gold project in Newfoundland. In early 2019, District Copper diversified its project portfolio by acquiring the Stony Lake gold project in Newfoundland. The company also owns the Eaglehead copper-molybdenum-gold project in British Columbia, which has recently been placed on care and maintenance.

Company Highlights

• Copper Fox’s focus is on projects that maximize asset value per dollar spent.
• Balanced property portfolio ranging from exploration to advanced-stage development projects.
• The company is focused on large, low-cost copper projects in proven copper districts in North America.
• 25 percent carried interest in the advanced-stage development project, Schaft Creek. Teck Resources Limited holds the remaining 75 percent interest in the project and is the project operator.
• Copper Fox has a 100 percent interest in the Van Dyke project, an advanced-stage in-situ leach (“ISL”) copper project.
• The 2020 resource estimate at Van Dyke includes 97.6 million tonnes, grading 0.33 percent total copper and 0.24 percent total recovered soluble copper containing 717 million pounds of total copper and 517 million pounds of recoverable soluble copper in the indicated category
• A pre-tax net asset value of approximately C$423 million based on NI 43-101 technical reports for the Schaft Creek and Van Dyke deposits.
• Copper Fox owns a 24.4 percent interest in District Copper, providing its shareholders with exposure to an additional copper project in British Columbia and a gold project in Newfoundland.
• Proven management team with the ability to develop projects.