Final Drill Results At The Palmer VMS Project

VANCOUVER, BC - Constantine Metal Resources Ltd. reported final drill results and summarize key advancements of the 2014 exploration program at the Palmer Copper-Zinc-Gold-Silver Project, Alaska.

New results include three massive sulphide intersections; two from the new South Wall EM target discovery and a third located a kilometer to the northwest at the RW Zone. The system has been significantly expanded with 2014 drilling and a new resource estimate is planned for early 2015. Dowa Metals and Mining Co., Ltd. of Japan have indicated their participation in year three of their earn-in, having spent approximately $10 million to date.

The South Wall massive sulphide (EM plate target) was intersected in drill holes CMR14-64 (4.1 meters grading 0.55% copper, 4.98% zinc, 21.1 g/t silver, 0.16 g/t gold) and CMR14-66 (11.3 meters grading 0.30% copper, 3.95% zinc, 27.2 g/t silver, 0.23 g/t gold; including 1.5 meters grading 0.21% copper, 7.01% zinc, 128.4 g/t silver, 0.87 g/t gold) along the western, up-dip edge of the EM plate target. These large step-outs, which are in the zinc-barite rich part of the massive sulphide lens, are located 215 meters and 140 meters, respectively, west of copper rich CMR14-54.

The 2014 discovery of a thick new zone of massive sulphide at the South Wall EM target is a major advancement for the project. The zone is highlighted by drillholes CMR14-54 that intersected 22.1 meters grading 2.48% copper and 4.05% zinc, and CMR14-65 that intersected 89.0 meters grading 0.79% copper and 5.03% zinc (including 7.4 meters grading 2.05% copper and 10.23% zinc). The wide spaced drilling completed in 2014 has confirmed the target is developing into a sizeable new zone with excellent potential to expand and build tonnes. Notably, the widest and highest grade intersections are on the edge of the area drilled and are entirely open to expansion.

RW Zone drilling intersected massive sulphide mineralization in hole CMR14-67 (3.9 meters grading 0.19% copper, 5.11% zinc, 92.5 g/t silver, 0.37 g/t gold, within a broader 15.3 meter zone of 0.13% copper, 3.12% zinc, 30.7 g/t silver, 0.14 g/t gold). The step-out intersection is located 220 meter northwest of the RW Zone resource (Figure 3), and 125 meters down-dip of a surface occurrence where past chip sampling includes 4.6 meters grading 7.0% copper, 13.0% zinc, 219 g/t silver and 0.63 g/t gold. The new intersection substantially expands the RW Zone footprint, and extends the total unfolded length of continuous RW-South Wall mineralization to over 1.5 kilometers.

A total 9,796 meters (32,136 feet) of drilling were completed in the 2014 program. This includes completion of 16 exploration drill holes (CMR14-53 to 68) and one geotechnical hole. A complete list of 2014 drill intersections. More than double the number of holes have been drilled on the Project since the last resource estimate was completed in January 2010, and the Company will be initiating a new resource estimate update in early 2015.

Successes and advancements for 2014 include: The discovery of a thick zone of massive sulphide at the new South Wall EM plate target. The new zone extends the total plunge length of continuous South Wall mineralization to 700 meters and 550 meters along strike. The new zone is open to expansion in multiple directions and will be a primary focus of drilling in 2015; A step-out intersection 220 meters to the northwest of the drill defined RW zone mineralization substantially expands the RW Zone footprint, and highlights the potential for further expansion and resource growth; Construction of a new 3.6 km gravel road that connects the core of the project to existing logging roads and nearby paved highway; Consolidation of a district-scale, 108,000 acre property position. The mining lease signed on the Haines Block surrounds the Palmer property and opens up additional exploration potential by providing control of the entire tract of land with known volcanogenic massive sulphide potential; Participation in the Palmer Project by Japan Oil, Gas and Metals National Corporation through an equity funding agreement with Dowa Metals & Mining Co., Ltd. The funding agreement is a strong endorsement of the Project's future potential; Completion of numerous studies to define baseline environmental conditions and inform future planning. These include aquatic surveys, wildlife surveys, water quality sampling, habitat mapping, hydrogeology tests, meteorology, rock geochemistry and geotechnical analysis.

The EM plate target represents a new, down-dip discovery on the South Wall Zone that has yielded the widest intersection drilled to date on the Project. Holes CMR14-54 and CMR14-65 display thick intercepts of conductive mineralogy that are correlative with each other and are interpreted to be near a new central core of mineralization. They did not penetrate a significant copper stringer zone beneath the massive sulphide, as was observed in the thickest parts of South Wall Zone I, suggesting additional opportunity in this conductive area. More distal zinc-barite rich massive sulphide was intersected in holes CMR14-63, 64 and 66 along the western, up-dip edge of the EM plate target and indicates minimum dimensions of EM Plate target discovery of 225 meters by 150 meters.

New surface mapping and drill data from drill holes CMR14-56, CMR14-58 and CMR14-62 have defined a high-angle reverse fault at the EM plate target that displaces the down-dip projection of the massive sulphide horizon. Vertical, south-side down displacement is estimated to be 180 to 220 meters. Previously reported drill hole CMR14-56, which was prematurely terminated for technical reasons within the uppermost part of the prospective mineralized zone, contained up to 84.4 g/t silver and 0.55% zinc in poorly recovered cherty pyritic cuttings from the end of hole at a point approximately 220 meters vertically below CMR14-54 massive sulphide. Both sides of this fault remain readily accessible to drilling and open to the discovery of additional massive sulphide mineralization.

Preliminary geophysical data from electro-magnetic ("EM") surveying of select 2014 holes has identified several in-hole and off-hole responses. The data indicate the mineralized system may continue down-dip and lateral to the holes drilled in 2014. Of particular interest is a potential new conductive body on the southern, down-dropped side of the newly identified fault (e.g. off the end of CMR14-56). Receipt of new conductive plate models has been delayed due to complications with processing the data. These new models, once received, will contribute to drill target planning in 2015.