Update re Director Share Options

Phoenix Copper Limited / Ticker: PXC / Sector: Mining

30 June 2022

Phoenix Copper Limited

('Phoenix' or the 'Company')

Update re Director Share Options

Phoenix Copper Ltd (AIM: PXC, OTCQX ADR: PXCLY), the AIM quoted USA focused base and precious metals emerging producer and exploration company, announces that it has extended the expiry date on a class of share options for certain directors and a member of the Company's Advisory Board, as the Company is currently deemed to be in a close period.

The expiry date on 1,750,000 share options, with an exercise price of 30 pence per share (the "Options"), has been extended from 30 June 2022 until such time that the "close period" has ended (the "Options Extension"). The exercise price of the Options will remain unchanged. The Options are summarised in the table below:

* As per the Company's announcement of 31 December 2021, Roger Turner retired from the board as a Non-Executive Director however continues to advise the Company on a part-time consultancy basis.

**As per the Company's announcement of 27 April 2021, Dennis Thomas joined the Company's Advisory Board following his retirement from the board as a Non-Executive Director.

Related Party Transaction

As 1,250,000 of the Options are held by Directors of the Company, the Options Extension constitutes a related party transaction under Rule 13 of the AIM Rules. Accordingly, Catherine Evans, as the independent director who does not hold any Options which are subject to the Options Extension, considers, having consulted with the Company's nominated adviser, that the terms of the Options Extension are fair and reasonable insofar as shareholders of the Company are concerned. 

Warrant Extension

In addition, the expiry date on 69,286 warrants, with an exercise price of 35 pence per share (the "Warrants"), has been extended from 30 June 2022 until such time that the "close period" has ended. The Warrants are held by one of the Company's advisers and the exercise price of the Warrants will remain unchanged.

Market Abuse Regulation (MAR) Disclosure

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 which has been incorporated into UK law by the European Union (Withdrawal) Act 2018. Upon the publication of this announcement via Regulatory Information Service, this inside information is now considered to be in the public domain.

Contacts

For further information please visit https://phoenixcopperlimited.com   or contact:

Notes

Phoenix Copper Limited is a USA focused, base and precious metals emerging producer and exploration company, initially targeting copper and zinc production from an open pit mine.

Phoenix's primary operations are focused near Mackay, Idaho in the Alder Creek mining district, at the 80% owned Empire Mine property, which historically produced copper at grades of up to 8%, as well as gold, silver, zinc and tungsten, from an underground mine. 

Since 2017, Phoenix has carried our extensive drill programmes which have defined a NI 43-101 compliant PEA (preliminary economic assessment) for an open pit heap leach solvent extraction and electrowinning ("SX-EW") mine, which was updated in October 2020. The contained metal in all NI 43-101 compliant categories of resources, Measured, Indicated and Inferred, stand at 129,641 tonnes of copper, 355,523 ounces of gold, 10,133,772 ounces of silver and 58,440 tonnes of zinc. Phoenix updated its economic model in February 2021 to include the processing of all contained metals through a two phased approach.

In addition to Empire, the district includes the historic Horseshoe, White Knob and Blue Bird Mines, past producers of copper, gold, silver, zinc, lead and tungsten from underground mines. A new discovery at Red Star, 330 metres northwest of the Empire Mine proposed open pit, has revealed high grade silver / lead sulphide ore, and from three shallow exploration drill holes a maiden resource of 103,000 tonnes containing 173.4 g/tonne silver, 0.85 g/tonne gold and 3.85% lead (1.6 million ounces silver equivalent) was reported in an NI 43-101 technical report published in May 2019. Additionally, the district includes Navarre Creek, a volcanic hosted precious metals target in a 14.48 sq km area. The Company's total land package at Empire comprises 8,034 acres (32.51 sq kms).

At Empire, it is estimated that less than 1% of the potential ore system has been explored to date and, accordingly, there is significant opportunity to increase the resource through phased exploration. The stated aim of the Company is to fund this phased exploration through free cashflow generated by its initial mine. A Plan of Operations in respect of the initial open pit mine was filed with the relevant regulatory authorities in June 2021.

Phoenix also has two wholly owned cobalt properties on the Idaho Cobalt Belt to the north of Empire. An Earn-In Agreement has been signed with Electra Battery Materials (formerly First Cobalt Corporation), Toronto, in respect of one of those properties.

Phoenix is listed on London's AIM (PXC), and trades on New York's OTCQX Market (PXCLF and PXCLY (ADRs)). More details on the Company, its assets and its objectives can be found on PXC's website at https://phoenixcopperlimited.com/