News Releases


September 23, 2010
Copper Fox Reports Third Quarter Financial Results And Operating Activities

Vancouver, British Columbia -- September 23, 2010 Copper Fox Metals Inc. ("Copper Fox" or the "Company") (TSX-V: CUU) is pleased to provide an overview of the work completed during the quarter on the feasibility study of the Schaft Creek deposit and its 2010 third quarter financial results. During the quarter the Company has spent an additional $3,898,986 towards completion of the feasibility study. The loss for the third quarter is $436,792. Technical information contained in this News Release has previously been disseminated by way of news releases and is posted on SEDAR at and on the Company's website at

Elmer Stewart, President & CEO, stated, "We are very pleased with the results and progress to date on completing the feasibility study for the Schaft Creek deposit. Although completion of some aspects of the feasibility study are behind schedule we are hopeful these aspects can be caught up over the next few months. The recently completed diamond drill hole has yielded two very important aspects that suggest potential to located additional mineralization at depth and along strike in the Schaft Creek deposit. The chargeability anomaly identified in July 2010 in this portion of the Schaft Creek deposit contains variable concentrations of visible copper-molybdenum mineralization and that the mineralization on the section drilled extends to at least 450 metres vertically being twice the depth of the previous drilling and remains open at depth".

Quarterly Highlights
During the quarter, Copper Fox's activities focused primarily on completing the feasibility study on the Schaft Creek deposit. In addition to the work on the feasibility study, field work completed in the quarter included prospecting, mapping, compilation of historical data, a geophysical survey and diamond drilling.

During the quarter, Copper Fox raised an additional $5.8 million in cash by way of shareholders exercising outstanding warrants.

Field work:
  • diamond drill hole (DDH) 2010CF398 intersected visible bornite-chalcopyrite mineralization over approximately 90% of its core length.� The mineralization remains open at depth,
  • DDH 2010CF398 confirmed the mineralized nature of the chargeability anomaly identified in July 2010.� This anomaly and the mineralization remains open at depth,
  • the Induced Polarization/Resistivity (chargeability) anomalies outlined by the geophysical survey strongly suggest that the Schaft Creek mineral deposit extends a significant distance to the north, the east and at depth beyond the limits of the current diamond drilling;
  • the chargeability anomalies show a strong correlation to the mineralization which is open to the north and south;
  • studies show that the watershed areas around the Schaft Creek deposit are non fish bearing; and
  • Future plans include completion of an additional geophysical survey, continuation of the diamond drilling program and additional sampling of existing historical diamond drill core
The reader is cautioned that visible copper and molybdenite mineralization does not necessarily equate to significant concentrations of either copper or molybdenum and there is no assurance that the assay results of the samples from this drill hole will yield significant copper or molybdenum grades.

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, and has reviewed the technical information disclosed in this MD&A.

Feasibility Study:
Wardrop, a Tetra Tech Company, the main contractor for the feasibility study worked on the Mining and Bulk Explosives Plan, Dilution Studies, Process Mass Balance and the Piping and Electrical aspects of the feasibility study. During the quarter, cost estimating was also undertaken.

Knight Piésold Ltd. worked on the Open Pit Geotechnical and Hydrogeological Study, Tailings Disposal Options and completed the plant site geotechnical drilling during the quarter. Work on the Hydrometeorology Study and Mine Site Water Balance was also completed during the quarter. Site Wide Water Management Plan, including watershed model and impacts assessment for the site including water quality estimations were undertaken. The preliminary alignment for the Transmission Line to supply electrical power to site was completed. The Tailing Storage Facility Design and the location of the tailings pipeline and reclaim water designs for the mill commenced during the quarter.

BGC Engineering is working on assessing the potential geo-hazards along the access road to Schaft Creek as well as providing comment to McElhanney Consulting Services Ltd., (another contractor working on the feasibility study), regarding road design and adjustments in areas where potential geo-hazards have been identified.

AMEC Americas Limited is working toward completion of a National Instrument 43-101 compliant resource estimation for the Schaft Creek deposit which is expected to be received in October 2010. The updated resource estimate with an effective date of December 31, 2009 will not include any of the analytical results from the current 2010 diamond drilling program. The data base used in the resource estimate covers the analytical data collected from the Schaft Creek deposit from 1957 to 2008

Copper Fox has engaged Stantec Consulting Ltd. (Stantec) to assemble the environmental data collected to date and prepare the EA Application for Schaft Creek as it continues to advance the Schaft Creek Project through the British Columbia (BC) and federal environmental assessment (EA) process.

Operating Activities:
To the end of July 2010, Copper Fox incurred $50.1 million that qualify as applicable expenditures pursuant to the Option Agreement with Teck Resources Limited on the Schaft Creek Project. Selected financial information for the quarter is set out below.

Selected Financial Information
  �Net Loss �Net (loss)/income per share -
basic and diluted
Third Quarter �$ (436,792) $�������������������������������������� 0.00
Second Quarter �$����������������������������� (309,067) $������������������������������� �������0.00
First Quarter �$����������������������������� (446,822) $�������������������������������������� 0.00
Fourth Quarter �$���������������������������� 1,533,575 $�������������������������������������� 0.01
Third Quarter �$����������������������������� (491,057) $�������������������������������������� 0.00
Second Quarter �$����������������������������� (431,763) $�������������������������������������� 0.00
First Quarter �$����������������������� (29,135,359) $���������� �������������������������(0.28)
Fourth Quarter �$���������������������������� 1,890,230 $�������������������������������������� 0.02

Liquidity and Capital Resources:
The Company's working capital, defined as current assets less current liabilities, was $2,722,280 at July 31, 2010, an increase of $1,565,889 from working capital of $1,156,391 the previous quarter. The July 31, 2010 working capital position reflects the exercise of warrants issued in 2009. The Company has sufficient funds available to meet its current obligations.

During the quarter, 77,136,100 warrants were exercised at a strike price of $0.075 and 670,382 warrants were exercised at a strike price of $0.115 for total proceeds of $5,862,301.

There are currently 9,872,161 outstanding warrants at a strike price of $0.115. These warrants expire on October 21, 2010 and if all warrants are exercised, a total of $1,135,299 would be received by Copper Fox.

At the end of this quarter the Company has spent $50.1 million of qualifying expenditures toward this study. The Company will require additional capital to complete this study and to provide for the administration of its Vancouver and Calgary offices. The Company believes that it will be able to raise the capital required to complete the Feasibility Study through the continued exercise of its outstanding options and warrants or through the public market if required. Circumstances that could affect liquidity are early positive or negative results from the feasibility study, the general state of the equity markets for junior exploration companies and the overall state of the economy.

Copies of the financial statements and notes and related management discussion and analysis may be obtained on SEDAR at, our Company web site at or by contacting the Company directly. All amounts are in Canadian dollars unless otherwise stated.

About Copper Fox
Copper Fox is a Canadian-based resource company listed on the TSX-Venture Exchange (CUU) involved in the exploration and development of porphyry copper-molybdenum-gold mineral properties. Copper Fox's activities are focused exclusively on completion of a feasibility study in the advanced stage on Schaft Creek, a "Giant Porphyry Deposit" and one of the largest undeveloped porphyry copper-gold-molybdenum-silver deposits in Canada.

The Schaft Creek deposit is located within a contiguous group of mineral claims that cover 21,025 hectares. Copper Fox holds a 100% working interest in the Schaft Creek project, subject to 30% net proceeds interest, the "indirect interest", held by Liard Copper Mines Limited ("Liard"), a private company 78% owned by Teck Resources Limited ("Teck"), and a 3.5% net profits interest held by Royal Gold, Inc. Copper Fox will earn Teck's indirect interest by completing a positive "bankable" feasibility study as defined in the 2002 option agreement with Teck.

Teck may elect at any time to exercise one of its "earn-back" options, however completion of a bankable feasibility study will trigger for Teck a 120 day period to elect to either: i) exercise one of its earn-back options; ii) retain 1% net smelter return royalty; or iii) receive shares of Copper Fox to a value of $1,000,000.

If Teck exercises its earn-back option, then Teck can elect to acquire either 20%, 40% or 75% of Copper Fox's interest in the Schaft Creek project by solely funding subsequent expenditures equal to either 100%, 300% or 400% of Copper Fox's prior qualifying expenditures.

If Teck elects to earn back a 75% working interest Teck would also be responsible for arranging Copper Fox's share of project financing to be repaid from Copper Fox's share of future metal sales, until payout is reached.

In addition, Copper Fox owns a 100% working interest in another contiguous group of mineral claims covering 3,947 hectares that is not subject to the Option Agreement.

For additional information contact: J Michael Smith telephone 604 689 5080 or Investor line 1 866 913 1910
On behalf of the Board of Directors

Elmer B. Stewart P. Geol. MSc.
President and CEO

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 press 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 press release includes statements about anticipated timing and results of feasibility studies, geophysical surveys and drilling programs; visible copper and molybdenite mineralization in diamond drill holes; the size and depth of the Schaft Creek mineral deposit suggested by the IP anomalies outlined by the geophysical survey; the correlation to mineralization suggested by the IP anomalies; geotechnical testing of the proposed mill site to better define a possible higher grade starter pit on the West Breccia zone; testing of the 2010 IP anomalies; environmental implications of studies on the watershed areas around the Schaft Creek deposit; geological interpretations and potential mineral recovery processes; the continued financing of the Feasibility Study; estimated timing and amounts of future expenditures and "payback" periods; and anticipated availability and terms of future financings; Copper Fox's future production, operating and capital costs; operating or financial performance. 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.

With respect to the forward-looking information contained in this press release, Copper Fox has made numerous assumptions regarding, among other things, the geological, metallurgical, engineering, financial and economic advice that Copper Fox has received is reliable, and is based upon practices and methodologies which are consistent with industry standards; the positive environmental impact that studies on the watershed areas around the Schaft Creek deposit will have; the impact on the project economics as a result of the potential higher grade "starter pit" in the West Breccia zone; and the continued financing of the Feasibility Study and operations of Copper Fox, including the continued ability to raise cash through the issuance of shares and the exercise of options and warrants. 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 materially differ from future results, performance or achievements expressed or implied by the forward-looking information contained herein. Known risk factors include among others: the Feasibility Study and Geophysical Survey may not be completed within the contemplated timeframe or at all; the risk that visible copper and molybdenite mineralization will not equate to concentrations of either copper or molybdenum nor yield significant copper or molybdenum grades; the possibility of negative environmental impact of continued activities; the possibility that an Environmental Assessment Certificate may not be obtained on a timely basis, or at all; 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 affected First Nations 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.

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


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