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Additional Results from the 2021 Drill Program at the Arctic Project; Two More High-Grade Infill Holes Intersected Within the Heart of Arctic

Exploration Programs

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News Release

Additional Results from the 2021 Drill Program at the Arctic Project;

Two More High-Grade Infill Holes Intersected Within the Heart of

Arctic

January 25, 2022 – Vancouver, British Columbia – Trilogy Metals Inc. (TSX, NYSE

American: TMQ) (“Trilogy” or the “Company”) is pleased to announce the third set of drilling

results from the 2021 summer field season at the Arctic Project , part of the Upper Kobuk

Mineral Projects (“UKMP”) located in northwestern Alaska managed by Ambler Metals LLC

(“Ambler Metals”), the joint venture operating company equally owned by Trilogy and a wholly

owned subsidiary of South32 Limited (ASX, LSE, JSE: S32; ADR: SOUHY) (“South32”).

The 2021 Arctic drill program included 4,131 meters of diamond drilling, comprising 18 holes,

that were designed to convert a portion of the resources from the Indicated category to the

Measured category, and provide material for metallurgical testing and geotechnical

information. The assay results detailed here are for the second set of infill/metallurgical drill

holes from the 2021 summer field season.

On November 22, 2021, the Company released the assay results for two geotechnical drill

holes AR21-0173 and AR21 -0175 that intersected high-grade mineralization beyond the

currently designed pit at Arctic. Subsequently on November 29, 2021, the Company released

additional drilling results from two infill holes drilled early in the 2021 field season. Of note is

drill hole AR21-0176 which intersected 19.91 meters o f almost 12% copper equivalent. For

more information on these drilling results, p lease visit the Company’s website at

https://trilogymetals.com/news-and-media/news/.

The results of the remaining 12 holes are expected to be announced over the next couple of

months.

Highlights from the second set (two holes) of metallurgical/infill drill holes from the

2021 drill program

Based on a cut -off grade of 0.5% copper equivalent, significant zones of high -grade copper,

zinc, lead, gold, and silver mineralization were intersected, including:

• Hole AR21-0182 intersected six mineralized intervals, including 27.65 meters of

2.75% copper, 2.65% zinc, 0.46% lead, 0.66 g/t gold and 42.81 g/t silver for

a copper equivalent grade of 4.67% and 10.91 meters of 3.31% copper, 8.22%

zinc, 1.78% lead, 0.81 g/t gold and 70.85 g/t silver for a copper equivalent

grade of 8.07%; and

• Hole AR21-0184 intersected two mineralized interval s, including 14.46 meters of

1.96% copper, 5.57% zinc, 1.71% lead, 0.73 g/t gold and 51.13 g/t silver for

a copper equivalent grade of 5.50%.

All reported intervals are thought to be close to the true width and therefore represent the

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actual thickness of mineralization.

Tony Giardini, President and CEO of Trilogy, commented, “As we keep drilling into the Arctic

Project area, we keep getting more pleasant surprises from the assay lab as the infill results

continue to demonstrate very high polymetallic grades over very comp elling widths. I look

forward to seeing the results from the remaining 12 drill holes from the 2021 field season and

I also look forward to the upcoming 2022 field season which will begin in the June.”

Richard Gosse, Trilogy’s Vice President, Exploration stated, “ The exciting results from holes

AR21-0182 and AR21-0184 confirm the high copper and zinc grades over mineable widths that

are to be expected from the infill drill program at Arctic. Good continuity of grade and thickness,

such as what we are seeing at Arctic, are characteristic of w orld-class volcanogenic massive

sulphide deposits. We are looking forward to more results like these that will be used to

estimate the first measured resource at Arctic.”

All f our infill holes drilled so far during the 2021 program contain mineralized intervals

consistent with previous drilling conducted within the resource area on the property. Significant

mineralized intervals of high-grade mineralization at a cut -off of 0.5% copper equivalent are

reported in Table 1. The locations of the holes are shown in Figure 1 and Table 2.

Of the 18 holes drilled at Arctic last summer, eight holes were for the geotechnical program .

The 10 remaining drill holes were part of the infill/metallurgical program, with three of the 10

drill holes also being used for the hydrology program.

Table 1. Drill Intercepts from the 2021 Arctic Infill Drilling Program

Notes:

• Copper equivalent (CuEq ) calculations use metal prices assumptions of US$3.00/lb for copper, US$1.10/lb

for zinc, US$1.00/lb for lead, US$1,300/oz for gold, and US$18.00/oz for silver.

• Results are core intervals and not true thickness; true widths have not been determined for the above

intercepts but are believed to be representative of actual drill thicknesses.

• Significant interval defined as a minimum of 1.0-meter copper interval with average grade >0.5% CuEq.

• Cut-off grade of 0.5% CuEq.

• Internal dilution up to three meters of <0.5% CuEq.

• Intervals of <1.0 meter not reported.

• Core recovery averaged 96%.

• Minimum sample length was 0.17m, average sample length was 2.4m overall and 1.7m within mineralized

zones.

• Some rounding errors may occur.

The reported intervals are based on a copper-equivalent grade of 0.5% using metal prices from

Trilogy’s 2020 Arctic feasibility study ( US$3.00/lb copper, US$1.10/lb zinc, US$1.00/lb lead,

US$1,300/oz gold, and US$18.00/oz silver) and a maximum of 3-meters internal dilution. All

drill hole intercepts are close to true width.

Hole From (m) To (m) Length (m) CuEq (%) Cu (%) Zn (%) Pb (%) Ag (g/t) Au (g/t) Zone

119.26 146.91 27.65 4.67 2.75 2.65 0.46 42.81 0.66 4 and 5

155.11 166.02 10.91 8.07 3.31 8.22 1.78 70.85 0.81 3

170.02 178.61 8.59 1.31 1.02 0.37 0.03 9.06 0.11 3

186.17 188.63 2.46 1.85 1.16 1.32 0.08 13.73 0.09 2

196.59 199.64 3.05 1.51 0.97 0.15 0.03 33.72 0.28 1

203.24 213.50 10.26 2.78 1.98 0.91 0.10 26.21 0.32 1

127.64 142.10 14.46 5.50 1.96 5.57 1.71 51.13 0.73 3 and 5

152.43 156.62 4.19 5.23 1.90 5.42 1.14 49.60 0.81 1

AR21-0182

AR21-0184

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Table 2. Drill Hole Locations at the Arctic Project

Coordinates are in UTM Zone 4N (meters) coordinate system, NAD83 Datum.

Figure 1. Location of Drill Holes from the Arctic Infill Drilling Program

Hole AR21-0182 which is sized PQ3 (83 mm diameter), seen in Figure 2, was designed to

provide metallurgical test material as well as to upgrade confidence in the resource model. The

hole was collared in the center of the Arctic deposit and intercepts multiple mineralized zones.

Hole AR21-0184 which is sized HQ3 (61 mm diameter), was also designed to provide

metallurgical test material, upgrade confidence in the resource model and allow for hydrology

monitoring instruments to be installed down hole. The hole was collared in the center of the

Arctic deposit and intercepts multiple mineralized zones.

Hole East (m) North (m) Elevation (m) Azimuth Dip Length (m)

AR21-0182 613309 7453166 918 035 -57 228.6

AR21-0184 613130 7453213 870 035 -75 191.1

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Figure 2. Cross Section Showing Drill Hole AR21-0182

Mineralization within the high est-grade portions of Zones 5 and 4 of drill hole AR21 -0182

consists of 30 -55% chalcopyrite, 10 -15% sphalerite and 5 -30% pyrite. Whereas within the

highest-grade portions of Zone 3 , mineralization consists of 30-55% chalcopyrite, 20 -30%

sphalerite and 10-20% pyrite. Mineralization within the high-grade portions of Zone 1 consists

of 5-25% chalcopyrite, 2-5% sphalerite and 5-15% pyrite.

Mineralization within the high est-grade portions of Zone s 3 and 5 of dri ll hole AR21 -0184

consists of 3-10% chalcopyrite, 5-35% sphalerite and 5-30% pyrite. Whereas mineralization

within the highest-grade portions of Zone 1 consists of 1-10% chalcopyrite, 10-20% sphalerite,

3% galena and 12-30% pyrite.

All percentages of sulphide mineralization are based off the visual estimations in the core.

Within the Arctic deposit, mineralization occurs as stratiform semi-massive sulphide to massive

sulphide beds within primarily chlorite schists and fine -grained quartz schists. The sulphide

beds average 4 m eters in thickness but vary from less than 1 m eter up to as much as 20

meters in thickness.

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QA/QC Program

The drilling program, sampling and assaying protocol, and data verification were managed by

qualified persons (QPs) employed by Ambler Metals. The diamond drill holes were completed

using PQ3 or HQ3 diameter core, and recoveries averaged 95%. Drill core was cut lengthwise

into halves using a diamond saw, one-half was used to construct composites for metallurgical

testing and one-half was cut lengthwise to provide quarter core for sampling. The remainder

of the core was retained in core trays and archived at site.

Samples were collected through mineralized zones using a 0. 3 m minimum length and 2.5 m

maximum length; average sample length is 1. 62 m. Weights of the drill core samples range

from 0.81 to 17.31 kg, depending on the size of core, rock type, and recovery.

Each core sample was placed into a bag with a numbered tag and quality control samples were

inserted between core samples using the same numbering sequence. Then, samples were

grouped into batches for shipping and laboratory submissions. Each batch of 20 samples

contains three quality control (QC) samples that comprise one certified reference material

(CRM), one core blank (BLK), and one core or crushed duplicate (DUP). Chain -of-custody

records are maintained for sample shipments and the custody is transferred from Ambler

Metals’ expeditor to the laboratory upon delivery.

Samples were shipped to ALS Miner als’ laboratory in Fairbanks, Alaska, USA, for sample

preparation. ALS Minerals Fairbanks is a satellite sample preparation facility accredited under

ALS Minerals. After preparation at ALS Minerals Fairbanks, split pulp samples were shipped to

ALS Minerals in North Vancouver, B.C., Canada, for assaying. ALS Minerals North Vancouver

is an independent laboratory certified under ISO 9001:2008 and accredited under ISO/IEC

17025:2005 by the Standards Council of Canada. ALS Minerals includes its own internal quality

control samples comprising certified reference materials, blanks, and pulp duplicates.

Drill core samples were weighed (WEI -21), dried if excessively wet (DRY -21), coarse jaw

crushed to 70% passing 6 mm (CRU -21), fine jaw crushed to 70% passing 2 mm ( CRU-31),

riffle split to 250 g subsamples (SPL -21) and pulverized to 85% passing 75 μm (PUL -31).

Crushed duplicates were created by riffle splitting crushed samples into two parts.

Gold analyses were completed using a 30 g lead fire assay and AAS finish ( Au-AA23). Multi-

element analyses for 48 elements were completed using a geochemical four-acid digestion and

ICP-ES/MS finish (ME -MS61). Over -range assays for silver, copper, zinc and sulfur were

completed using an ore grade four -acid digestion and ICP -ES finish (ME-OG62). Additional

analyses were completed for barium and mercury.

Gold, silver, copper, lead and zinc assays for QC samples were reviewed to ensure that CRMs

are within tolerance limits specified on supplier certificates, BLKs are below acceptabl e

thresholds, and DUPs display statistical patterns normally expected for sample types, methods,

and elements. CRMs that returned assays outside of tolerance limits and BLKs with assays

above thresholds were deemed to have failed. Sample batches containing failed QC samples

were re-assayed to ensure that the QC samples returned acceptable results before release. All

QC monitoring data are reviewed and signed off by an independent QA/QC geologist.

There is no known relationship between core sample recoverie s and assay grades. Ambler

Metals will submit 5% of the assay intervals from prospective lithologies to a laboratory

independent of ALS Minerals for check assaying.

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Qualified Person

Richard Gosse, P.Geo., Vice President, Exploration for Trilogy, is a Qualified Person as defined

by National Instrument 43-101. Mr. Gosse has reviewed the scientific and technical information

in this news release and approves the disclosure contained herein.

About Trilogy Metals

Trilogy Metals Inc. is a metal exploration and development company which holds a 50 percent

interest in Ambler Metals LLC which has a 100 percent interest in the Upper Kobuk Mineral

Projects (“UKMP”) in Northwestern Alaska. On December 19, 20 19, South32, a globally

diversified mining and metals company, exercised its option to form a 50/50 joint venture with

Trilogy. The UKMP is located within the Ambler Mining District which is one of the richest and

most-prospective known copper -dominant districts located in one of the safest geopolitical

jurisdictions in the world. It hosts world -class polymetalli c volcanogenic massive sulphide

(“VMS”) deposits that contain copper, zinc, lead, gold and silver, and carbonate replacement

deposits which have been found to ho st high -grade copper and cobalt mineralization.

Exploration efforts have been focused on two deposits in the Ambler Mining District – the Arctic

VMS deposit and the Bornite carbonate replacement deposit. Both deposits are located within

a land package that spans approximately 181,387 hectares. Ambler Metals has an agreement

with NANA Regional Corporation, Inc., an Alaska Native Corporation that provides a framework

for the exploration and potential development of the Ambler Mining District in cooperation with

local communities. Trilogy’s vision is to develop the Ambler Mining District into a premier North

American copper producer.

Company Contact

Patrick Donnelly

Vice President, Corporate Communications & Development

[email protected]

604-630-3569

604-638-8088 or 1-855-638-8088

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Cautionary Note Regarding Forward-Looking Statements

This press release includes certain "forward -looking information” and "forward -looking statements” (collectively "forward -

looking statements”) within the meaning of applicable Canadian and United States securities legislation including the United

States Private Securities Li tigation Reform Act of 1995. All statements, other than statements of historical fact, included

herein, including, without limitation, statements relating to interpretation of drill results; the Company’s beliefs regarding the

potential of the Arctic Project; and expectations regarding future drill results; are forward-looking statements. Forward-looking

statements are frequently, but not always, identified by words such as "expects”, "anticipates”, "believes”, "intends”,

"estimates”, "potential”, "possible”, and similar expressions, or statements that events, conditions, or results "will”, "may”,

"could”, or "should” occur or be achieved. Forward -looking statements involve various risks and uncertainties. There can be

no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from

those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's

expectations include the uncertainties involving impact of the COVID-19 pandemic; success of exploration activities, permitting

timelines, requirements for additional capital, government regulation of mining operations, environmental risks, prices for

energy inputs, labour, materials, supplies a nd services, uncertainties involved in the interpretation of drilling results and

geological tests, unexpected cost increases and other risks and uncertainties disclosed in the Company’s Annual Report on

Form 10-K for the year ended November 30, 2020 filed with Canadian securities regulatory authorities and with the United

States Securities and Exchange Commission and in other Company reports and documents filed with applicable securities

regulatory authorities from time to time. The Company's forward -looking statements reflect the beliefs, opinions, and

projections on the date the statements are made. The Company assumes no obligation to update the forward -looking

statements or beliefs, opinions, projections, or other factors, should they change, except as required by law.