Copper Fox Metals Inc. to raise $16,000,000 in flow-through and non-flow-through funds

    CALGARY, March 31 /CNW/ - Copper Fox Metals Inc. ("Copper Fox" or the
"Company") (TSX-Venture CUU) is pleased to announce that, subject to the
approval of the TSX-Venture Exchange, the Company intends to complete a
non-brokered flow-through and non flow-through private placement financing of
up to (Can. $16,000,000) in funds (the "Offering"). A maximum of (Can.
$11,200,000) or 70% of the Offering gross proceeds shall consist of
flow-through funds.
    The flow-through component of the Offering will consist of units (the
"Flow-Through Units") at a price of $0.45 per Flow-Through Unit. Each
Flow-Through Unit will consist of one flow-through common share and one-half
of a purchase warrant. Each full warrant will entitle the purchaser to
purchase one non-flow-through common share at a price of $0.65 per share,
exercisable for a period of 12 months from the closing date. The
non-flow-through component of the Offering will consist of units (the "Units)
at a price of $0.40 per Unit. Each Unit shall consist of one non-flow-through
common share and one-half of a purchase warrant. Each full warrant will
entitle the purchaser to purchase one non-flow-through common share at a price
of $0.60 per share, exercisable for a period of 12 months from the closing
    The actual number of Flow-Through Units sold versus Units sold will be
determined by investor demand, with up to 40,000,000 common shares and
20,000,000 purchase warrants issued under this Offering.
    A 7.5% commission or finders' fee payable in cash and a 7.5% finders'
option will be paid to registered dealers or arms-lengths third parties
responsible for sourcing investors for this financing. The finders' option
will entitle the holder to acquire that number of common shares equal to 7.5%
of the number of Flow-Through Units and/or Units sold, exercisable at $0.40
per share for a 12-month period. Finders' commissions and options are subject
to applicable securities laws and obtaining required regulatory approvals.
    Funds generated from this financing will be used for metallurgical
testing, engineering studies, road access, studies of power options and other
costs expected to be incurred in the completion of a feasibility study for the
world class Schaft Creek BC mineral deposit as well as general operating

    About Copper Fox

    Copper Fox is a Canadian-based mining company listed on the TSX-Venture
(CUU). The Company has concentrated its project activities exclusively to 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 degrees
21' N latitude and 130 degrees 59' W longitude on the eastern slopes of the
coastal mountain ranges. Fortunately, the location is situated between the
highway and the glaciers in the area, and also benefits from a significantly
lower average precipitation of rain and snowfall compared to the Pacific
(west) side of these same ranges.
    The preliminary mining plan is designed to extract the core 713.3 million
tonnes of a Measured and Indicated, 43-101 compliant, mineral resource grading
0.304% copper, 0.218 g/t gold, 1.77 g/t silver, and 0.020% molybdenum, for a
copper equivalent based on Case 2 metal pricing of 0.663% and a waste to ore
ratio of 1.66 over 31 years, within the current NI 43-101 Mineral Resource of
1.4 billion tonnes, using a 0.20% CuEq cut off. Copper Fox holds the property
pursuant to an option agreement with Teck Cominco Limited and may acquire up
to a 93.4% direct and indirect interest in the property. Copper Fox has
delivered notice to Teck Cominco that it has surpassed the $15,000,000
threshold of qualifying expenditures and has earned a direct 70% interest in
Schaft Creek. Title to the property is in good standing before the BC
Government until 2018.

    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: Investor inquiries: Jason Shepherd, Phoenix
Communications Group, Tel: 1-866-913-1910, E-mail:

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