Copper Fox announces a $6,000,000 non-brokered Private Placement of which $5,000,000 has been pre sold

    CALGARY, June 2 /CNW/ - Copper Fox Metals Inc. ("Copper Fox" or the
"Company") (TSX-V: CUU) is pleased to announce that subject to the approval of
the TSX-Venture Exchange the Company intends to complete a non-brokered
private placement offering to raise up to $6,000,000 CDN in funds (the
"Offering"). The Offering is expected to consist of 106,666,666 Units for a
purchase price of $0.05625 per Unit, for aggregate gross proceeds of
$6,000,000. Each Unit consists of one common share of Copper Fox and one
common share purchase warrant of Copper Fox. Each warrant entitles the holder
thereof to acquire one common share of Copper Fox for an exercise price of CDN
$0.075 prior to 5:00pm on the one year anniversary of the closing date.
    Ernesto Echavarria, a businessman based in Culiacan Sinaloa, Mexico, has
committed to participating in $5,000,000 of this offering. Mr. Echavarria has
provided the law firm representing Copper Fox, McLeod & Company LLP (Legal
Agent), with a completed subscription for 88,888,888 units of the Company
together with a remittance of $5,000,000 which is being held in their Trust
Account pending completion of the stages of approval outlined below.

    First tranche - Within three days of receipt of a duly executed
subscription agreement the legal agent shall release to Copper Fox $616,992.18
of the trust funds held for this transaction and will release to Mr.
Echavarria 10,968,759 Units.
    Second tranche - In compliance with TSX-Venture Exchange policy governing
the creation of new 'control persons', the legal agent shall release
$458,803.63 of trust funds to purchase an additional 8,156,509 units for Mr.
Echavarria representing an accumulated total of approximately 22% (or
$1,100,000) of this financing to be released upon TSX-Venture approval of the
"Personal Information Form of Mr. Echavarria" expected by mid June 2009.
    Third tranche - The balance, approximately 78% (or $3,900,000) of Mr.
Echavarria's investment in Copper Fox will be held in trust until receipt of
shareholders' ratification of the financing, which will be tabled at a special
meeting of Copper Fox shareholders to be held in late July 2009. Upon
shareholder ratification of the proposed financing, Mr. Echavarria would
become Copper Fox's largest shareholder owning approximately 39% of the issued
and outstanding shares of the Company, and would own approximately 55% of the
Company, if all warrants were fully exercised.

    $1,000,000 of this Offering will be available to the general public, with
priority subscription right being reserved for existing shareholders of Copper
Fox who qualify under the "accredited investor exemption" or other exemptions
provided within applicable securities regulations for this Private Placement.
    Mr. Echavarria is a Certified Public Accountant, and has extensive
experience both at the executive and Board levels of large Corporations. He is
a significant investor with major Corporations in Mexico including MegaCable
Holding Sab, a controlling shareholder, executive and director of Franks
Distributing who are a major international distributor of fruit and vegetable
produce, as well as investor and director of numerous other entities including
mining. Copper Fox is pleased to enter into a strategic alliance with Mr.
Echavarria, who has agreed to accept a seat on the Board of Directors of
Copper Fox upon approval of the TSX-Venture and a Special Shareholders Meeting
of the Company. The Company believes that Mr. Echavarria's strategic alliance
with Copper Fox recognizes the significant value of the company's Schaft Creek
BC advanced stage Copper/Gold/Molybdenum mineral property, and further that
this investment substantially strengthens its balance sheet and provides for
the ongoing advancement of the project.

    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. Copper Fox holds the Schaft Creek
property pursuant to an option agreement with Teck Resources Limited ("Teck")
and has earned a direct 70% interest in the Schaft Creek Mineral Deposit. The
Company may acquire up to a 93.4% direct and indirect interest in the
property, subject to certain back-in rights to Teck.
    Schaft Creek comprises 20,932 hectares situated in northwest British
Columbia, Canada at 57 degrees 21' N latitude and 130 degrees 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. The PFS was based on a 100,000 tonne
per day open pit mine with a minable reserve of 812 million tonnes. The report
indicated Schaft Creek could produce 4.762 billion pounds of Copper, 255.1
million pounds of molybdenum, 4.493 million ounces of gold and 32.480 million
ounces of silver over a 22.6 year mine life with a pretax NPV of $2.764
billion discounted at 8%.

    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

    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 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.

For further information:

For further information: Investorline, 1-866-913-1910

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Copper Fox Metals Inc.

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