HI.V · 2022-10-25 12:00:00

Highland Copper Reports Fiscal 2022 Results and Announces New Board Chair

Management Changes Financials

October 25, 2022 – Longueuil, Quebec. Highland Copper Company Inc. (TSXV: HI, OTCQB: HDRSF)

(the “Company” or “Highland Copper”) reports fourth quarter and full year 2022 results and announces a

new Board chair . For detailed information, please refer to the Company's Management's Discussion and

Analysis ("MD&A") and consolidated financial statements for the quarter ended June 30, 2022 that are

available on the Company's website at www.highlandcopper.com and on SEDAR at www.sedar.com. All

figures are in US dollars unless otherwise stated.

Full Year 2022 Highlights

Fiscal 2022 was a transformative year where Highland reshaped its balance sheet, asset base and Board:

• On July 27, 2021, Highland Copper c ompleted the acquisition of the White Pine North Project in

Michigan, adding a second development asset 60 kilometres from its Copperwood Project.

• On August 3, 2021, the Company entered into a share purchase agreement to sell to Sweetwater

Royalties, a privately held company owned by Orion Mine Finance, its UPX properties located in

the Upper Peninsula of the State of Michigan.

• On August 30, 2021, and September 10, 2021, respectively, the Company completed the first and

second tranches of its previously ann ounced non-brokered private placement for combined gross

proceeds of $26.4 million.

• On closing of the private placement, the Company settled all amounts due to Osisko Gold Royalties

Ltd and Greenstone Resource LP, eliminating all debt from the Company’s balance sheet.

• On December 16, 2021, Highland Copper announced that the proposed addition of six new Board

members was approved at its annual meeting of the shareholders.

With a clean balance sheet and new Board, the focus during fiscal 2022 has been on advancing Copperwood

and White Pine North:

• During the quarter, the company continued to work on the updated Feasibility Study, particularly

considering potential optimizations and updating current input costs.

• At White Pine North, the Company has initiated baseline environmental studies and is currently

planning an infill conversion drilling program scheduled for this coming winter.

• Subsequent to year-end, Highland also announced that it has initiated a Preliminary Economic

Assessment (“PEA”) on a combined scenari o. The PEA which is being undertaken by G Mining

will consider the potential to transport ore by rail from Copperwood to a central processing facility

to be built at White Pine North.

• In support of the PEA, metallurgical tests and other key technical work are being conducted to

define the plant design needed to process the mixed ore through a single processing line. As well,

the applicability of ore sorting technology is being studied. The Company will provide updates as

results from metallurgical and other technical tests become available.

• The Company realized a net income loss of $2.0 million during the year ended June 30, 2022 (nil

per share) compared to a net gain of $17.7 million during the comparative period ($0.04 per share).

Net loss during the 2022 period includes a gain of $2.9 million on the sale of UPX Minerals to

Sweetwater. Net income in the prior year includes the reversal of impairment of exploration and

evaluation assets of $18.0 million related to UPX Minerals.

• Expenditures in the year ended June, 2022 relate primarily to the ongoing updated Feasibility Study

work for Copperwoood and general corporate expenditures.

• As of June 30, 2022, the Company is debt free, has cash of $1 2.9 million and working capital of

$11.8 million.

Denis Miville-Deschênes, the Company’s CEO stated: “Finalizing the purchase of White Pine, eliminating

our debt and raising $26 million in capital were very big steps for us . Now our focus has switched to

defining the best sequence and approach to developing our two projects, how to maximize synergies and

create more value. The completion of the announced PEA on the combined scenario will provide answers

in the coming months.”

New Chair of Board

Highland Copper is also announcing that Jo Mark Zurel is stepping down as Chair of the Board due to work

commitments, although he will remain on as a Board member . Mr. Zurel is on several boards and was

recently named the incoming board chair at Fortis Inc.

The company is pleased to announce that Stephen Hicks will be the new Chair of the Board of Highland

Copper. The change will be effective as of the date of our Annual General Meeting to be held on December

14, 2022. Mr. Hicks has been a Board member of Highland since December 2021. Mr. Hicks has served as

President and Chief Executive Officer of JM Longyear, LLC, a privately held Michigan -based asset

management company, since 2000. He has extensive expertise in development and execution of long-term

business strategies and operations and has been involved in mining and resource projects in the states of

Michigan and Minnesota.

The Company has already gained from Mr. Hicks’ knowledge of Michigan and expect that Mr. Hicks will

provide excellent direction as Highland Copper looks to execute on the development of its two Michigan

assets.

Mr. Zurel commented: “ I have great confidence in the management team, the board of directors, and the

new chair. I look forward to continuing to work with this talented team to deliver long -term value to our

stakeholders.”

Mr. Hicks commented; “ I am very excited to take on the Chair role for Highland at this pivotal time.

Michigan is highly focused on industry that supports electrification . I look forward to working with all

stakeholders as we progress our great assets to development and operations.”

About Highland

Highland Copper Company Inc. is a Canadian company focused on exploring and developing copper

projects in the Upper Peninsula of Michigan, U.S.A. Information about the Company is available on

SEDAR at www.sedar.com and on the Company’s website at www.highlandcopper.com.

Cautionary Statement

This news release contains “forward-looking statements” and “forward-looking information” (collectively

“forward-looking statements”) within the meaning of applicable Canadian securities legislation. These

include, without limitation, statements with respect to: (a) the Company’s expectations and beliefs for the

development of its mineral projects, including the timing and ultimate economic results thereof; (b) the

timing of the completion of and expectations with respect to the feasibility study update on the Copperwood

project and the PEA on the combined development scenario of the Copperwood and White Pine Project

looking statements are based on a number of assumptions, which may prove to be incorrect. Important

assumptions with respect to each the development project are contained in Feasibility Study (for

Copperwood) and the PEA (for White Pine). Important factors that could materially impact the Company's

expectations include: uncertainties involving the availability of financing in the debt and capital markets;

uncertainties involved in the estimation of reserves and resources, including uncertainties in the

interpretation of dr illing results and other geological and geotechnical data, actual exploration results,

interpretation of metallurgical characteristics of the mineralization, changes in project parameters as plans

continue to be refined; availability of skilled labour; eff ects of regulation by governmental agencies;

unanticipated variation in geological structures, metal grades or recovery rates; unexpected cost increases,

which could include significant increases in estimated capital and operating costs and the effects of

inflation; fluctuations in metal prices and currency exchange rates; and general market and industry

conditions. All forward-looking statements in this press release are based on information available to the

Company as of the date hereof, and the Company u ndertakes no obligation to update forward -looking

statements except as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the

policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this

release.

For further information, please contact:

Denis Miville-Deschênes, President & CEO

Tel: +1.450.677.2455

Email: [email protected]

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