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September 30, 2008
Third Quarter Results Three and Nine Months Ended July 31 2008

Calgary, Alberta -- September 30, 2008 --Copper Fox Metals Inc. (TSX Venture: CUU) announced today its third quarter financial results. The Company reports a loss of $1,307,400 (2007 - $1,012,528) for the three months ended July 31, 2008 and a loss of $2,625,828 (2007 - $3,203,384) for the nine months ended July 31, 2008. The Company increased expenditures on its Schaft Creek property by $6.2 million in the second quarter which represents accumulative expenditures in excess of $32,000,000 on the project. Copies of the financial statements and notes thereof and related management discussion and analysis may be obtained on SEDAR at www.sedar.com, our Company web site at www.copperfoxmetals.com or by contacting the Company directly. All amounts are in Canadian dollars unless otherwise stated.

Third Quarter Overview

The third quarter has been a very active period for the company with the Schaft Creek Property. The Company has spent an additional $6.2 million (2007 - $4.2 million) related to this project in the quarter, bringing the total expenditures at Schaft Creek from the inception of the Company to over $32 million. These expenditures were incurred by the Company to complete the work necessary to complete a National Instrument ("NI") 43-101 compliant preliminary feasibility study on its Schaft Creek deposit, the results of which were released to the public on September 15, 2008.

The preliminary feasibility study confirmed the viability of Schaft Creek and highlighted the advantages of the project including: location, comparatively low capital expenditure requirements and operating costs and high metal recoveries. Based on a 100,000 tonne per day open pit conventional mining operation, the study projects:
  • A Mineable Reserve mill feed of 812.2 million tonnes of 0.301% Cu, 0.212g/t Au, 0.020% Mo and 1.76g/t Ag;
  • A Measured and Indicated reserve of 1.393 billion tonnes with 0.25% Cu, 0.18g/t Au, 0.019% Mo, 1.55g/t Ag;
  • 18.6% before tax internal rate of return;
  • $11.734 billion Pre-Tax Cash Flow (undiscounted);
  • $2.764 billion NPV before taxes, discounted at 8%;
  • The revenue generated by all the by-products covers all operating costs and adds a credit of (US) $0.32 /lb of copper produced to the revenue stream. Thus, the cost to produce a pound of copper is estimated to be -$0.32 per pound which would result in a negative operating cost for copper;
  • 4.7 years before tax payback, and 4.9 years after tax payback.


The official news release and the full preliminary feasibility report can be seen at www.copperfoxmetals.com

The completion of the study represented a major milestone in the progress to develop Schaft Creek and positions Copper Fox to move forward in fall 2008 with the full Feasibility Study. Work on the Feasibility Study is currently underway and is expected to be completed in the first half of 2009 with a view to putting a mine into production in the fourth quarter of 2013.

Selected Financial Information

Net Loss  Net loss per share -basic 
and diluted 
2008
Third Quarter  $ -1,307,400.00 $ -0.01
Second Quarter  $ -719,874.00 $ -0.01
First Quarter  $ -598,554.00 $ -0.01
2007
Fourth Quarter  $ -1,215,394.00 $ -0.02
Third Quarter  $ -2,255,109.00 $ -0.01
Second Quarter  $ -540,473.00 $ -0.03
First Quarter  $ -407,802.00 $ -0.01
2006
Fourth Quarter  $ -192,356.00 -


Liquidity

The Company completed a financing at the beginning of this quarter and raised approximately $5.1 million of new funds in the quarter. This money, together with the $7 million of working capital in place at the beginning of the quarter was used to fund $6.2 million of expenditures at Schaft Creek and to pay for $600,000 of administrative costs, leaving the company with $ 5.3 million of working capital at July 31, 2008.

The company will be using its working capital at the end of this quarter to satisfy its commitments to suppliers providing services to the end of the summer and into the early fall at Schaft Creek and to pay for administrative costs in its Calgary and Vancouver offices.

The Company has an obligation to incur approximately $2,254,000 of qualified expenditures by December 31, 2008, related to the flow through shares issued during the year ended October 31, 2008. The Company expects to satisfy this commitment by October 31, 2008.

About Copper Fox

Copper Fox is a Canadian-based mining company listed on the TSX-Venture Exchange (CUU). The Company's activities are focused exclusively on the Schaft Creek mineral property, one of the largest undeveloped copper, gold, molybdenum and silver deposits in Canada. Schaft Creek comprises 20,932 hectares situated in northwest British Columbia, Canada at 57° 21' N latitude and 130° 59' W longitude on the eastern slopes of the Coastal Mountain ranges. Schaft Creek is situated between the highway and the glaciers in the area, and benefits from a significantly lower average rain and snowfall compared to the Pacific (west) side of these same ranges.

The Company released the results of its preliminary feasibility study on September 15, 2008 indicating the economic viability of the Schaft Creek project. The Company plans to proceed with the completion of a full feasibility study on this project.

For additional information contact:

Investor inquiries: Jason Shepherd, Phoenix Communications Group Tel: 1-866-913-1910, E-mail:
investor@copperfoxmetals.com

On behalf of the Board of Directors

Guillermo Salazar S, President and CEO

The TSX Venture Exchange has not reviewed the contents of this news release and accepts no responsibility for the adequacy or the
accuracy thereof.

Cautionary Note Regarding Forward-Looking Information

This news release includes "forward-looking information" within the meaning of the Canadian securities laws. All statements, other than statements of historical fact, included herein and including, without limitation; anticipated dates for receipt, commencement or completion of permits, approvals, construction, production and other milestones; anticipated results of drilling programs, scoping, prefeasibility and feasibility studies and other analyses; anticipated availability and terms of future financings; estimated timing and amounts of future expenditures; Copper Fox's future production, operating and capital costs; operating or financial performance; geological interpretations and potential mineral recovery processes, are forward-looking statements. Information concerning mineral reserve and resource estimates also may be deemed to be forward-looking information in that it reflects a prediction of the mineralization that would be encountered if a mineral deposit were developed and mined. Forward-looking information is necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties, risks and contingencies. For any forward looking information given, management has assumed that the geological, metallurgical, engineering, financial and economic advice it has received is reliable, and is based upon practices and methodologies which are consistent with industry standards. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. Important factors that could cause actual results to differ materially from Copper Fox's expectations include: fluctuations in copper and other commodity prices and currency exchange rates; uncertainties relating to interpretation of drill results and the geology, continuity and grade of mineral deposits; uncertainty of estimates of capital and operating costs, recovery rates, production estimates and estimated economic return; the need for co-operation of government agencies and native groups in the exploration and development of properties and the issuance of required permits; the need to obtain additional financing to develop properties and uncertainty as to the availability and terms of future financing; the possibility of delay in exploration or development programs or in construction projects and uncertainty of meeting anticipated program milestones; uncertainty as to timely availability of permits and other governmental approvals; and other risks and uncertainties disclosed in Copper Fox's continuous disclosure filings with Canadian securities regulatory authorities at www.sedar.com. The forward-looking information in this news release is based on Copper Fox's current expectations and Copper Fox assumes no obligations to update such information to reflect later events or developments, except as required by law.

  





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