Copper Fox Metals Inc.
TSX VENTURE : CUU
OTC PINK : CPFXF

Copper Fox Metals Inc.

October 25, 2016 06:00 ET

Copper Fox Updates Sombrero Butte Copper Project in Arizona

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct. 25, 2016) - Copper Fox Metals Inc. ("Copper Fox" or the "Company") (TSX VENTURE:CUU)(OTC PINK:CPFXF) and its wholly owned subsidiary, Desert Fox Copper Inc. ("Desert Fox"), are pleased to provide the results of the recently completed study on the chemistry of six hydrothermal breccia pipes that occur within an area that measures 300 meters ("m") by 400m located at the north end of the Sombrero Butte project. The hydrothermal breccia pipes located in the center of the property were not included in this study due to the lack of geochemical data.

Elmer B. Stewart, President and CEO of Copper Fox, stated, "This study supports the presence of a buried porphyry system and shows that the breccia pipes acted as a pathway for a complex multi-phase introduction of metals and mineralized granodiorite boulders. In addition to the pipes that contain significant concentrations of copper-molybdenum-gold-silver mineralization, the bottom 500m interval of diamond drill hole ("DDH") SB-23 is interpreted to have intersected the outer portion of a porphyry system commonly referred to as a 'pyrite shell'. The fact that the 2015 Titan-24 DCIP survey ("Titan-24") mapped the mineralized breccia pipes has advanced our interpretation of other chargeability anomalies within the property."

The study focused on the trace elements (molybdenum-gold-silver-arsenic-antimony-tungsten) associated with a porphyry copper system. The analytical results for copper were previously announced by Bell Copper Corporation ("Bell"). The analytical results for molybdenum-gold-silver and associated elements have not been previously announced.

Highlights:

  • Late stage mineralized Gray porphyry dikes (0.48% copper and 0.035% molybdenum) and porphyritic dikes (0.13% copper) cross cut the Magna pipe indicating multiple phases of intrusive activity;
  • Mineralized granodiorite boulders occur within the Magna pipe in DDH SB-23 over the interval from 476 to 484m and averaged 1.61% copper, 0.029% molybdenum, 0.056 ppm gold, and 5.9ppm silver suggest rafting of mineralized granodiorite from depth during breccia formation;
  • The breccia material in the Campstool pipe over the interval from 466 to 492m in DDH SB-03 averaged 1.19% copper, 0.013% molybdenum, 0.08 g/t gold and 4.83 g/t silver. The breccia material in the Magna pipe over the interval from 458 to 506m in DDH SB-23 averaged 1.27% copper, 0.04% molybdenum, 0.08 g/t gold and 3.81 g/t silver, suggesting expulsion of metalliferous fluids from a porphyry system;
  • The copper mineralization in the Audacious-Rattler pipes is characterized by high concentrations of arsenic (from 1,188 to 10,368 ppm), antimony (from 20.3 to 260 ppm) and tungsten (from 53 to 128 ppm) suggesting a different source for these metals from that in the Campstool and Magna pipes; and
  • The Titan-24 survey completed in 2015 by Copper Fox located a number of positive chargeability targets within the property and also mapped the down dip extension of several of the mineralized breccia pipes tested by the 2006-2008 drilling program.

Background:
In, 2006-2008 Bell drill tested a number of breccia pipes located at the north end of the Sombrero Butte property. The drill hole information and analytical results for copper were released in a series of news releases made by Bell from November 9, 2006 to February 28, 2008 (www.sedar.com). The Bell news releases made no mention of either the molybdenum-gold-silver concentrations or the associated elements within breccia pipes.

The Bell drilling programs were carried out under the supervision of Timothy Marsh, P.E. PhD. Bell conducted a quality assurance and quality control ("QA/QC") program on the drill core samples by inserting field blanks, duplicates and certified standards into the sample stream submitted to the laboratory. The samples remained in the possession of Bell employees at the project site and then hand-delivered by the geologist to Skyline Assayers & Laboratories ("Skyline") in Tucson, AZ. Trace-element abundances were measured by inductively coupled plasma ("ICP") mass spectrometry at Activation Laboratories Ltd. ("Actlabs"), in British Columbia, Canada. ICP was used to analyze for Au, Ag, Cd, Cu, Mn, Mo, Ni, Pd, Zn, S, As, Ba, Hg, Sb, and W. Samples with copper values in excess of the analytical limit for ICP (10,000 ppm) were automatically re-analyzed by assay techniques. Other samples returning elevated ICP analytical results were also re-analyzed by standard assay procedures of Skyline and/or Actlabs. Both Skyline and Actlabs maintain internal QA/QC procedures for analytical results.

A discussion on the sample security and QA/QC program was included in a National Instrument 43-101 Technical Report entitled "Technical Report on the Sombrero Butte Project, Pinal County, Arizona, USA, prepared for Bell Copper Corporation" dated May 12, 2010, R.A. Blakestad, J.D., C.P.G. as Qualified Person (the "Technical Report").

In 2012 Copper Fox Metals Inc. purchased the Sombrero Butte property from Bell in a cash transaction, included in the purchase was all technical data generated related to the Sombrero Butte project.

Copper Fox has reviewed the QA/QC program implemented by Bell and the discussion of the QA/QC set out in the Technical Report to test the validity of the database before completing the recent study.

Geochemical Study:
Drill holes DDH SB-01 to DDH SB-23 were analyzed for a suite of elements, whereas DDH SB-24 to DDH SB-34 were only analyzed for copper. The purpose of the study was to determine if the copper mineralization in the breccia pipes had a single or multiple sources. Threshold concentrations used to determine anomalous values for molybdenum-gold-silver-arsenic-stibnite-manganese were taken from published information on Arizona porphyry copper deposits.

The geochemical associations exhibited in the breccia pipes are interpreted to suggest an evolving porphyry copper system at depth that initially led to formation of the breccia pipes. The study suggests that separate pulses of mineralizing fluid consisting of i) copper, ii) copper-arsenic-antimony-tungsten-manganese and iii) copper-molybdenum-gold-silver were introduced at different times into different breccia pipes.

The presence of late stage mineralized Gray porphyry and porphyritic dikes within the Magna breccia indicates that intrusive activity occurred after formation of the breccia pipes.

Compilation:
A compilation of the Titan-24 (see news release dated September 8, 2015) and the 2006-2008 drilling (Bell news releases) was completed to determine if there is a relationship between the 2015 geophysical results (chargeability/resistivity anomalies) and the breccia pipes tested by the drilling. The drill logs for the 2006-2008 drilling programs were prepared by Bell. The compilation suggests that the pipes join at depth into a single body and that chargeability anomaly (L2IP5) correlates with the mineralized breccia intersected in DDH SB-11 (from 282 to 342m averaged 0.22% copper, 0.004% molybdenum, 0.02 g/t gold and 0.06 g/t silver) and deeper in DDH SB-23 (from 458 to 506m averaged 1.27% copper, 0.04% molybdenum, 0.08 g/t gold and 3.81 g/t silver). The shape of chargeability anomaly L2IP5 suggests that it could be a part of a much larger chargeability anomaly L2IP6 at depth. The Titan-24 also identified the location of several other breccia pipes that have been mapped on surface.

DDH SB-23 was drilled to a depth of 1,230.7m. For the interval from 700m to 1,230.7m, this drill hole intersected weak potassic alteration (K-spar-biotite), weak disseminated and fracture controlled pyrite with trace chalcopyrite and several narrow intervals of weak molybdenite and bornite mineralization in granodiorite. These results suggest that the drill hole may have intersected the outer edge of a pyrite shell. The interpreted pyrite shell in this drill hole is located below anomaly L2IP5 (the down dip expression of the mineralized breccia) and approximately 200m south of anomaly L2IP6.

Elmer B. Stewart, MSc. P. Geol., President of Copper Fox, is the Company's non-independent, nominated Qualified Person pursuant to National Instrument 43-101, Standards for Disclosure for Mineral Projects, and has reviewed and approves the scientific and 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 (TSX VENTURE:CUU) focused on copper exploration and development in Canada and the United States. Copper Fox and its wholly owned Canadian and United States subsidiaries, being Northern Fox Copper Inc. and Desert Fox Copper Inc. hold the assets listed below:

  1. 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.
  2. 100% ownership of the Van Dyke oxide copper project located in Miami, Arizona.
  3. 65.4% of the shares of Carmax Mining Corp. who in turn own 100% of the Eaglehead copper-molybdenum-gold project located in northwestern British Columbia.
  4. 100% ownership of the Sombrero Butte copper project located east of Mammoth, Arizona.
  5. 100% ownership of the Mineral Mountain copper project located east of Florence, Arizona.

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 statements within the meaning of the Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and forward-looking information within the meaning of the Canadian securities laws (collectively, "forward-looking information"). Forward-looking information in this news release include statements about the data, observations, and interpretations related to the presence of a buried porphyry system at the Sombrero Butte project including comments on the number of mineralizing phases in the breccia pipes, the interpreted presence of a "pyrite shell", the presence of mineralized granodiorite boulders in several of the breccia pipes, expulsion of metalliferous fluids, the correlation between the Titan 24 results and the 2006-2008 diamond drilling, and the positive chargeability anomalies located by the Titan-24 survey.

In connection with the forward-looking information contained in this news release, Copper Fox and its subsidiaries have made numerous assumptions regarding, among other things: the geological, financial and economic advice that Copper Fox has received is reliable and is based upon practices and methodologies which are consistent with industry standards and the stability of economic and market conditions. 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 mineralized breccia pipes, the late stage intrusive activity of the Gray porphyry dikes and porphyritic dikes and the mineralized boulders in the Magna breccia pipes, the interval of copper-molybdenum-gold-silver mineralization and the high concentrations of arsenic-antimony-tungsten may not be indicative of a buried porphyry copper system; the exploration of the positive chargeability anomalies located by the Titan-24 survey within the property may not find copper mineralization in significant quantities or at all; the Company may require additional working capital sooner than predicted; the overall economy may deteriorate; uncertainty as to the availability and terms of future financing; copper prices and demand may fluctuate; currency exchange rates may fluctuate; conditions in the financial markets may deteriorate; and 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 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.

Contact Information

  • Lynn Ball
    1-844-464-2820 or 1-403-264-2820