Strategic Review Initiated For Chile Mining Assets

TORONTO - Three Valley Copper Corp. has initiated a strategic review process to explore alternatives for the enhancement and the best way forward to maximize production and cash flows from its mining assets in Chile. The Company’s primary asset is the Minera Tres Valles (MTV) property near Salamanca, Region de Coquimbo, Chile. The Company and its Board have initiated a strategic review process that encompasses an evaluation of the development strategy, business plan, market valuation and capital structure and will consider numerous opportunities or alternatives for the Company. These considerations may include potential mergers, a strategic partner(s), acquisitions or dispositions, restructuring or refinancing of its long-term debt, and any other options identified with the fundamental objective of achieving the best value for the Company's shareholders.

The Company has retained PI Financial to review and evaluate potential alternatives that may further maximize value for Three Valley Copper’s shareholders. There can be no assurance that the Company's strategic review process will result in any transaction or investment.

Achieving the 2022 production profile at MTV through its ramp-up of Papomono Masivo (PPM) continues to be the main priority. The ramp-up will establish the foundation from which the mining operation at MTV can expand to full production. Following this, Three Valley Copper could recognize the associated operating benefits and further advance its exploration efforts. The current exploration program has been temporarily scaled back pending the strategic review process.

The positive construction advances experienced over the prior two months are expected to continue at PPM. However, the management team at MTV has recently reviewed again its preliminary development and mining plans for PPM and has concluded the best way to improve the net economic value of PPM is to increase its capital expenditures in 2022 rather than defer some of these into the latter years of the mine life. Consequently, the Company is now forecasting that additional capital of approximately US$10 million in 2022 will be required to achieve the mine production guidance.