News Releases


June 14, 2012
Copper Fox Announces Second Quarter Results

Vancouver, British Columbia -- June 14, 2012 -- Copper Fox Metals Inc. ("Copper Fox" or the "Company") (TSX-V: CUU) is pleased to announce its second quarter ended April 30, 2012 operating and financial results. The Company is working toward completing an Environmental Assessment Application and a Feasibility Study of the Schaft Creek Mineral Deposit. Copper Fox incurred a net loss for the second quarter of $514,292 ($0.00 loss per share) and incurred $1,768,879 in expenditures toward furthering the development of the Schaft Creek project. Copies of the financial statements, notes and related management discussion and analysis may be obtained on SEDAR at, the Company web site at or by contacting the Company directly. All amounts are in Canadian dollars unless otherwise stated.


Resource Estimate

Subsequent to the end of the quarter, in May 2012, Tetra Tech Wardrop ("Tetra Tech") completed the updated Resource Estimate for the Paramount and Liard zones. For a more detailed review of the updated Resource Estimate, please see Copper Fox's news release dated May 31, 2012. Highlights for the updated Resource Estimate are shown in table 1:

Copper Fox selected the 0.15% copper equivalent ("Cu Eq.") cut-off for its base case resource estimate (see Table-1) for the Schaft Creek deposit which equates to the minimum grade of copper equivalent estimated by Tetra Tech required to break-even on an operating cost per tonne basis.

Table-1: Mineral Resource Estimate - Schaft Creek Deposit
Robert Morrison - Ph.D., MAusIMM (CP), P.Geo., Effective Date: May 23rd, 2012

Resource Cut-off
Copper Molybdenum Gold Silver Contained Metal
Category CuEq (%) Tonnes (%) (%) (g/t) (g/t) Cu (Lbs) Mo (Lbs) Au (ozs) Ag ( ozs)
Measured 0.15 146,615,300 0.31 0.017 0.24 1.78 1,001,824,600 55,624,000 1,149,100 8,402,700
Indicated 0.15 1,081,939,500 0.26 0.017 0.18 1.68 6,104,400,000 399,718,500 6,218,000 58,335,500
Measured & Indicated 0.15 1,228,554,800 0.26 0.017 0.19 1.69 7,106,224,600 455,342,500 7,368,000 66,738,200
Inferred 0.15 597,191,300 0.22 0.016 0.17 1.65 2,872,034,300 206,252,100 3,359,600 31,601,400

The mineral resources were estimated using criteria consistent with the CIM Definition Standards (2010) and in conformity with CIM "Estimation of Mineral Resources and Mineral Reserves Best Practice" (2003) guidelines. The Base Case numbers in the above table has been rounded to reflect "Best Practice Principles" as established by the CIM.

The increase in resources and contained metal reported in the updated Resource Estimate is due in part to the positive drilling results from the 2011 exploration program and the variation in methodology used between the 2011 and 2012 resource estimates and. The updated resource estimate prepared by Tetra Tech reports an Insitu estimate of the mineral resource categories for the Schaft Creek deposit whereas the resource estimate prepared in 2011 was completed using an optimized pit shell which was prepared using various economic parameters (see News Release dated July 11, 2011).

Cautionary Note to Investors
While the terms "measured (mineral) resource", "indicated (mineral) resource" and "inferred (mineral) resource" are recognized and required by National Instrument 43-101 -- Standards of Disclosure for Mineral Projects, investors are cautioned that except for that portion of mineral resources classified as mineral reserves, mineral resources do not have demonstrated economic viability. Investors are cautioned not to assume that all or any part of measured or indicated mineral resources will ever be upgraded into mineral reserves. Additionally, investors are cautioned that inferred mineral resources have a high degree of uncertainty as to their existence, as to whether they can be economically or legally mined, or will ever be upgraded to a higher category.

Feasibility Study
During the quarter, Tetra Tech advised that, due to manpower shortages and scheduling difficulties of staff, the March 31st timeline for completion of the Feasibility Study would not be achieved. The delay in completing the Mine Plan, a critical component in the Feasibility Study, has delayed the completion of the Feasibility Study until mid-late summer, 2012. The detailed mine plan is required to complete the economic analysis and sensitivity of the Schaft Creek project for the Feasibility Study. The results of the updated Resource Estimate will be incorporated into the Feasibility Study. The other portions of the work required to complete the Feasibility Study have either been completed or are nearing completion.

Elmer B. Stewart, MSc. P. Geol., President of Copper Fox, the Company's nominated Qualified Person pursuant to National Instrument 43-101, Standards for Disclosure for Mineral Projects, has reviewed the technical information disclosed in the preceding paragraphs.

Subsequent Event
Subsequent to the quarter ended April 30, 2012, the Company acquired two groups of mineral tenures totalling 13,092.6 hectares (45 mineral tenures). In addition, a company controlled by a Director loaned the Company $2,000,000. The loan bears no interest and has no fixed terms of repayment. These transactions were recorded at the exchange amount agreed to by the related parties.

During the quarter ended April 30, 2012 the Company received $304,127 in proceeds from the exercise of warrants and options and incurred an additional $1,768,679 of capital expenditures related to the Schaft Creek project.

Selected Financial Results
  Net Loss Net (loss)/income per share - basic and diluted
Second Quarter $ (514,292) $ 0.00
First Quarter $ (554,254) $ 0.00
Fourth Quarter $ (1,018,883) $ (0.01)
Third Quarter $ (504,862) $ 0.00
Second Quarter $ (2,380,574) $ (0.01)
First Quarter $ (726,833) $ 0.00
Fiscal Year $ (1,614,027) $ 0.00
Fourth Quarter $ (421,346) $ 0.00
Third Quarter $ (436,792) $ 0.00

Liquidity and Capital Resources
Copper Fox operates in a capital intensive industry in which the demands for capital to finance exploration and development of its Schaft Creek property as well as corporate overheads generally occur far in advance of the project being put into production and generating cash flow. The financial requirements of Copper Fox related to development of the Schaft Creek project are mitigated to some extent by the obligations of Teck should they exercise their earn back right on the Schaft Creek property (see "Description of Business" above).

The Company's working capital, defined as current assets less current liabilities, was $44,631 at April 30, 2012.

During the six months ended April 30, 2012, the Company raised a total of $6,542,127 from the completion of private placements totaling $6,200,000, 725,000 options exercised for total proceeds of $248,002 and 126,833 warrants for total proceeds of $95,125. In addition, the Company issued 1,272,727 common shares for repayment of the balance of this loan of $1,400,000. While these funds may be sufficient to complete the current planned activities, the Company may need additional equity in order to develop the property (Refer to Teck Earn Back Option).

About Copper Fox
Copper Fox is a Canadian-based resource development company listed on the TSX Venture Exchange (TSX-V:CUU) with a corporate office in Calgary and an operations office in Vancouver and is involved in the exploration and development of the Schaft Creek copper-gold-molybdenum-silver deposit located in northwest British Columbia, Canada.

The Company is working on completing a Feasibility Study on the Schaft Creek mineral deposit, one of the largest undeveloped copper, gold, molybdenum and silver deposits in North America. The Feasibility Study is being led by Tetra Tech Wardrop on a minimum 120,000 tpd open pit mine and is expected to be completed mid-late summer, 2012.

Copper Fox holds title and a 100% working interest in the Schaft Creek project consisting of 52,843.34 hectares (130,579 acres). Included in this total are the "Schedule A" mineral tenures originally conveyed to Copper Fox pursuant to the option agreement dated January 1, 2002 between Teck Resources Limited ("Teck") and Copper Fox (the "Teck Option Agreement"), which consist of 8,334.34 hectares (20,594 acres). The "Schedule A" mineral tenures are subject to a 3.5% Net Profits Interest held by Royal Gold, Inc., a 30% carried Net Proceeds Interest held by Liard Copper Mines Limited ("Liard") and, together with the additional mineral tenures obtained by Copper Fox within the "Area of Interest" provided for in the Teck Option Agreement, an earn back option held by Teck. On completion of the Feasibility Study, Copper Fox will earn Teck's 78% interest in Liard. Teck's earn back option to acquire either, 20%, 40% or 75%, of Copper Fox's interest in the Schaft Creek property is triggered upon delivery of a positive Feasibility Study to Teck. Should Teck elect to exercise its option for 75%, Teck is required to fund subsequent property expenditures up to a total of 400% of those incurred by Copper Fox ($76.6 million to April 30, 2012) and arrange for project financing, including the Copper Fox portion. For full details of the Teck earn back option please refer to the Company's website

The remainder of Copper Fox's registered interests in mineral tenures in British Columbia total 44,509 hectares (109,984 acres). These interests have been acquired by Copper Fox through mineral tenure acquisitions and mineral tenure purchase agreements subsequent to Copper Fox entering into the Teck Option Agreement. Certain portions of these registered mineral tenures are subject to inclusion within the Schaft Creek project pursuant to the terms of the "Area of Interest" provisions of the Teck Option Agreement.

*United States investors are advised that current Mineral Resources are not current Mineral Reserves and do not have demonstrated economic viability. All figures are rounded to reflect the relative accuracy of the estimate and in keeping with "best practice principles".

For additional information contact: Investor line 1-866-913-1910 or J. Michael Smith, EVP, at 1-604-689-5080

On behalf of the Board of Directors

Elmer B. Stewart
President and Chief Executive Officer

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 include statements about the recently completed resource estimate for the Schaft Creek deposit; the receipt and filing of a National Instrument 43-101 compliant report related to the updated resource estimate; the quantum and quality of porphyry style copper-gold-silver-molybdenum deposits at the Schaft Creek property; the scope and completion of the 2012 exploration program; conditions in the financial markets; the completion of a detailed mine plan by Tetra Tech, including the preparation of a new optimized pit shell design based on the economic parameters incorporating the updated resource estimate; the timing and completion of a the Feasibility Study; the scope and timing of work on the outstanding sections of the Feasibility Study; completion of an Environmental Assessment Application; the regional mineral potential of the mineral claims acquired by Copper Fox in 2012; the potential to find additional porphyry style copper deposits within the Schaft Creek property; expected capital requirements to continue planned activities; expected sources and the adequacy of required capital resources; the results and interpretation of the high resolution airborne magnetic survey over the Schaft Creek project; the timing and scope of expected diamond drilling; potential existence and size of mineralization within the Schaft Creek project; estimated timing and amounts of future expenditures and "earn-back" options; geological interpretations and potential mineral recovery processes. Information concerning measured mineral resources, indicated mineral resources and inferred mineral resources 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.

In connection with the forward-looking information contained in this news release, Copper Fox has made numerous assumptions, regarding, among other things: the potential mineralization in the Schaft Creek deposit; 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 continued financing of the Feasibility Study and Copper Fox' operations; the anticipated analytical results of the current drilling and metallurgical testing programs. 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 actual mineralization in the Schaft Creek deposit may not be as favourable as suggested; another deposit may never be discovered on Copper Fox's property, or contain anticipated mineralization, or mineralization of any significance at all; a detailed mine plan may not be completed in a timely manner, or at all; the Feasibility Study may not be completed within the contemplated time frame, or at all; the Environmental Assessment Application may not be obtained in a timely manner, or at all; the possibility that the metallurgical test work on the core samples does not recover significant percentages of copper mineralization; the possibility that future drilling on the Schaft Creek project may not occur on a timely basis, or at all; fluctuations in copper, the completed drill holes for which analytical results are not available may not return significant concentrations of either copper, gold, molybdenum or silver; commodity prices and currency exchange rates; conditions in the financial markets and overall economy may continue to deteriorate; Copper Fox may never complete the option to purchase the continuous group of five mineral tenures located south and west of the Schaft Creek project; uncertainties relating to interpretation of drill results and the geology, continuity and grade of mineral deposits; uncertainty of the metallurgical testwork, the uncertainty of the estimates of capital and operating costs, recovery rates, and estimated economic return; 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 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.


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