XXIX.V · 2025-10-21 12:00:00

XXIX's Opemiska PEA Confirms Positive Development Potential

Economic Studies

XXIX's Opemiska PEA Confirms Positive

Development Potential

Highlights:

Total payable copper across Opemiska 17 year mine life

715 million pounds of copper

409 thousand ounces of gold

2.08 million ounces of silver

Robust after-tax base case economics:

C$505M after-tax NPV8% (C$897 after-tax NPV8% using spot pricing)

27.2% after-tax IRR (39.3% after-tax IRR using spot pricing)

Rapid payback:

2.3-year Base Case payback of C$617M initial capital resulting from upfront

high-grading.

Potential High-grade annual recovered payable production across the first six years:

59 million pounds of copper per year

34 thousand ounces of gold per year

174 thousand ounces of silver per year

Low Cost Producer:

Opemiska is in the lower quartile of the cost curve with US$1.03/lb C1 cash

cost net of by-product credits across the first six years. US$1.40/lb net of by-product credits over

the life of mine.

Significant leverage to rising copper and gold prices, with

$4.40

billion in life of mine

revenue

70.7% copper

27.9% gold

1.4% silver

Plenty of Resource upside including Cooke gold zone with active drilling underway.

Toronto, Ontario--(Newsfile Corp. - October 21, 2025) - XXIX Metal Corp. (TSXV: XXIX)

(OTCQB: QCCUF) (FSE: 5LW0) ("

XXIX

" or the "Company") is pleased to announce the completion of a

Preliminary Economic Analysis ("

PEA

[1]

on its Opemiska copper project (

"Opemiska"

), located in

Chapais, Québec. The PEA evaluates the potential economic viability of Opemiska's mineral resources

and is the first economic study on Opemiska since Falconbridge closed its underground mining

operations in 1991.

"This is a significant milestone for Opemiska and XXIX. The results clearly indicate Opemiska's potential

as a profitable operation Furthermore, the high-grade early years of the mine has resulted in a low C1

cash cost of US$1.03/lb (net of by-product credits) over the first six years, and US$1.40/lb (net of by-

product credits) over the 17-year life of mine, placing the project in the lower quartile of the cost curve,"

said Guy Le Bel, CEO of XXIX.

"This project has the potential to bring in significant benefits to all

stakeholders involved, including the town of Chapais and surrounding communities."

Project Overview

The 100%-owned Opemiska spans 21,333 hectares in Quebec's Chapais-Chibougamau region, with

significant infrastructure in place. Opemiska comprises four past-producing mines, two of which

(Springer and Perry) underpin the current PEA. Cooke, a third past-producing mine located ~3km east

of the proposed pit is currently being evaluated for its gold resource potential.

Figure 1)

Location of the Opemiska Project

The PEA envisions an open pit mining and milling operation with a processing capacity of 12,500

tonnes per day, over a 17-year life of mine ("LOM"). The project has been optimized by sequencing the

open pit mining extraction schedule in four distinct phases and by segregating mineralized material to

process higher value material upfront. The optimized processing schedule demonstrates an average

annual production of 62 million lbs of copper, 38 thousand ounces of gold and 193 thousand ounces of

silver over the first six years of production and 44 million lbs of copper, 27 thousand ounces of gold and

130 thousand ounces of silver over the entire LOM.

Table 1 presents a summary of operating and financial highlights from the PEA, using Base Case and

Spot Pricing assumptions. A foreign exchange of C$1.35 to US$1.00 has been used for this economic

analysis.

Table 1) Operating and Financial Summary (Base Case unless specified otherwise)

Parameter

Units

Values

General

Base Case

Spot Pricing

Copper price

US$/lb

4.35

4.75

Gold price

US$/oz

3,000

4,300

Silver price

US$/oz

30.00

54.00

Exchange rate

CAD:USD

1.35

1.38

Mine life

years

Total mill feed

million tonnes

77.2

Strip ratio

Waste to mineralized

material

3.7

Economics (Pre-tax)

Base Case

Spot Pricing

Net present value (NPV8%)

C$ millions

793.0

1,442.1

Internal rate of return (IRR)

32.1%

48.5%

Payback

years

2.3

1.7

LOM Annual Cash Flow

C$ millions

102.3

170.1

LOM Cumulative Cash Flow

C$ millions

1,748

2,905.3

Economics (After-tax)

Base Case

Spot Pricing

Net present value (NPV8%)

C$ millions

505.2

897.2

Internal rate of return (IRR)

27.2%

39.3%

Payback

years

2.3

1.8

LOM Annual Cash Flow

C$ millions

67.7

108.5

LOM Cumulative Cash Flow

C$ millions

1,156.8

1,853.0

LOM Revenue

US$ millions

4,398

5,264

% Copper

70.7%

64.5%

% Gold

27.9%

33.4%

% Silver

1.4%

2.1%

Production

Throughput

tpd

12,500

Year 1 - 6

LOM

Copper equivalent grade

1.01%

0.70%

Copper grade

0.69%

0.48%

Gold grade

g/t

0.33

0.23

Silver grade

g/t

1.67

1.12

Copper equivalent production

Mlb

545

1,098

Copper production

Mlb

375

753

Gold production

koz

229

464

Silver production

koz

1,160

2,231

Copper Recovery

92.0%

Gold Recovery

79.9%

Silver Recovery

80.3%

Operating Costs

Year 1 - 6

LOM

Mining

C$/t mined

4.02

4.39

Mining

C$/t milled

29.07

20.66

Processing

C$/t milled

10.62

Waste and water management

C$/t milled

0.11

0.08

G&A

C$/t milled

3.16

Total (before selling costs and royalty)

C$/t milled

42.97

34.52

Selling costs

C$/t milled

7.87

5.45

Royalty

C$/t milled

1.03

0.71

Total (after selling costs and royalty)

C$/t milled

51.86

40.69

Year 1 - 6

LOM

C1 Cash Cost

US$/lb Cu (net of by-

products)

1.03

1.40

C3 Cash Cost

US$/lb Cu (net of by-

products)

1.96

2.50

Capital Costs

Initial capital

C$ millions

617.3

Initial Capex net of CTM-ITC (Net Initial Capex)

[2]

C$ millions

467.7

Sustaining capital

C$ millions

390.9

Closure costs

C$ millions

40.0

Sensitivities

A sensitivity analysis was completed to reflect Opemiska's economics under multiple copper and gold

pricing scenarios.

Table 2)

Sensitivity to Copper and Gold Pricing

Copper Price Sensitivity

-15%

-10%

-5%

$4.35/lb

10%

15%

NPV8%

287.9

361.1

433.2

505.2

576.9

648.1

718.8

IRR

19.7%

22.3%

24.8%

27.2%

29.6%

31.8%

34.0%

Payback

2.7

2.5

2.4

2.3

2.2

2.1

1.9

NPV to Net Initial CAPEX

0.6

0.8

0.9

1.1

1.2

1.4

1.5

Profitability Index

1.6

1.8

1.9

2.1

2.2

2.4

2.5

Gold Price Sensitivity

-45%

-30%

-15%

$3,000/oz

15%

30%

45%

NPV8%

252.4

337.2

421.4

505.2

588.8

671.9

754.5

IRR

18.4%

21.5%

24.4%

27.2%

29.9%

32.5%

35.1%

Payback

2.8

2.6

2.4

2.3

2.2

2.0

1.9

NPV to Net Initial CAPEX

0.5

0.7

0.9

1.1

1.3

1.4

1.6

Profitability Index

1.5

1.7

1.9

2.1

2.3

2.4

2.6

Mineral Resources

Opemiska's production profile is contemplated as a 55% subset of the pit constrained indicated and

inferred mineral resource estimate ("

MRE

") previously announced on

June 3, 2025

. As such, the PEA is

preliminary in nature and includes inferred mineral resources that are considered too speculative

geologically to have the economic considerations applied to them that would enable them to be

categorized as mineral reserves, and there is no certainty that the PEA will be realized. Figure 2

compares the MRE resource constraining pit to the open pit envisioned in the PEA.

Figure 2)

MRE Constraining Pit Shell vs. PEA Pit Shell

Mining - A Phased Approach

The PEA contemplates a conventional open pit truck-and-shovel operation with a 12,500 tpd (4.6 Mtpa)

processing rate over 17-year LOM, with an average strip ratio of 3.7 to 1. The mine plan has been

optimized across four phases for a rapid payback on initial capital supported by strong annual cash flow.

The four mining phases are detailed as follows: starter pits in both Springer and Perry (Phase 1), an

intermediate pushback in Springer (Phase 2), the depletion of Perry (Phase 3), and the depletion of

Springer (Phase 4). The 17-year LOM incorporates 13 years of direct mill feed from open pit operations

and 4 years of stockpile rehandling. The open pit operation has also been optimized to delay any impact

to the neighbouring town of Chapais to the end of Phase 3 and beginning of Phase 4. Figure 3 outlines

the 13-year mine production schedule.

Figure 4 - 7 shows the pit outline for each the four phases.

Figure 3) Mineralized Material Mined (By Phase)

Figure 4)

Phase 1 - Springer and Perry Starter Pits

Figure 5)

Phase 2 - Springer Pushback

Figure 6)

Phase 3 - Perry Depletion

Figure 7)

Phase 4 - Springer Depletion

Processing & Metallurgy

The PEA envisions a typical flotation metallurgical flowsheet for the recovery of a copper concentrate

with gold and silver, that is amenable to smelting. The flowsheet (Figure 8) incorporates 2 stage

crushing, SAG/ball mill grinding, rougher flotation, concentrate regrind and cleaner flotation followed by

concentrate thickening and filtration, resulting in a final concentrate with a copper grade of 20%. The

tailings are thickened, filtered and trucked to the co-disposal facility where encapsulation with waste rock

will be promoted.

The process plant will treat 4.6 Mt/y of mineralized material, at an average throughput of 12,500 t/d. The

grinding and flotation design availability is 8,059 hours per year or 92%. The crushing design availability

is 5,694 hours per year or 65%. The tailings and concentrate filtration design availability is 7,183 hours

per year or 84%. Average life-of-mine recoveries, based on testwork, and supported by historical

operations data

[3]

, are estimated to be 92% for copper, 80% for gold and silver. Figure 9 outlines mill

production schedule across the 17-year LOM.

Figure 8) Process Flow Sheet

Metallurgical testing was completed on a composite sample at SGS (Quebec City) in 2023. The

composite was made up of core, sourced from intervals weighted proportionally to the deposit

mineralized domains and intersecting all lithologies. The purpose of this testwork was to evaluate the

metallurgical performance and environmental properties of mineralized material from the Opemiska

deposit through conventional flotation processes and provide material inputs to inform the PEA design.

The testwork results indicated copper recoveries to concentrate of approximately 92%.

Figure 9) Production Schedule

Capital & Operating Costs

Initial capital is estimated at C$617M over a 2-year construction period, and is based on the costs

outlined in Table 3, below:

Table 3) Breakdown of Initial Capital

Initial Capital Expenditure

Cost

(C$M)

Infrastructure

16.2

Electricity and Communications

27.0

Tailings Management

14.5

Water Management

6.9

Mining Equipment

45.6

Process Plant

271.0

Indirects

106.2

Contingency

121.4

Capitalized Operating Costs

8.4

Initial Capital

617.3

Clean Technology Manufacturing Investment Tax Credit (CTM-ITC)

(149.6)

Initial Capital (net of Clean Technology Manufacturing Investment Tax Credit)

467.7

The Company may be eligible to receive the Clean Technology Manufacturing Investment Tax Credit

(CTM-ITC).

This legislation has been enacted on June 20, 2024. XXIX expects to receive ~$149.6M in

CTM-ITC as 100% of revenue for Opemiska is generated from sale of copper concentrate, copper being

one of six qualifying materials. There is no guarantee the Company will be able to access the CTM-ITC. If

the CTM-ITC does not become available, the total capital cost including contingency will increase by the

amounts shown in this row.

Sustaining capital over the LOM is estimated at $390.9M, while closure costs are estimated at $40.0M.

Operating costs are estimated at C$34.52/tonne processed, based on the costs outlined in Table 4,

below. Costs pertaining to transportation, placement and compaction of the tailings have been included

as part of the mining cost.

Table 4) LOM Unit Operating Costs

Unit Cost

Unit

Cost

Mining

C$/t mined

4.39

Mining

C$/t processed

20.66

Processing

C$/t processed

10.62

Waste and water management

C$/t processed

0.08

G&A

C$/t processed

3.16

Total

C$/t processed

34.52

C1 Cash costs over the LOM are estimated at US$1.40/lb Cu (net of by-product credits), with C1 cash

cost during Years 1 - 6 being US$1.03/lb Cu. A breakdown of C1 cash cost is outlined in Table 5, below:

Table 5) C1 Cash Cost Breakdown (Base Case)

C1 Cash Cost (US$/lb)

Year 1 - 6

LOM

Mining

1.61

1.65

Processing

0.59

0.85

Waste and Water Management

0.01

G&A

0.18

0.25

Transportation and Logistics

0.30

TCs / RCs

0.14

Gold by-product credit

-1.70

-1.72

Silver by-product credit

-0.09

-0.08

Total C1 Cash Cost

1.03

1.40

Economic Analysis Results

The PEA highlights Base Case NPV8% of C$505M with a corresponding IRR of 27.2% and a 2.3-year

payback period. Under Spot Pricing, NPV8% increases to C$897M, with a corresponding IRR of 39.3%

and a 1.8-year payback.

Assumptions, including commodity pricing and exchange rate used as part of

the economic analysis is outlined in Table 6, below:

Table 6) Commodity Price & Exchange Rate Assumptions

Assumption

Base Case

Spot Pricing

Copper price (US$/lb)

4.35

4.75

Gold price (US$/oz)

3,000

4,300

Silver price (US$/oz)

CAD : USD

1.35

1.38

Opemiska On-site Infrastructure

Opemiska's site layout comprises the processing plant, power infrastructure, tailings management

facility and administrative buildings. Figure 10 outlines Opemiska's envisioned site layout.

Figure 10) Opemiska Site Layout

Tailings Management

XXIX will utilize filtered tailings management, providing multiple advantages over conventional tailings

management strategies.

Filtered tailings management does not utilize tailings ponds, mitigating

stakeholder risk exposure to catastrophic failure and flooding and/or uncontrolled leaks or seepage.

Filtered tailings management sees tailings treated through filters prior to being deposited in layers,

stacked and compacted on specially designed platform lined with a geomembrane.

As part of the

filtration process, water is removed from the mixture resulting in drier material-similar to soil such as a

fine

sand. Using such technology and tailings management strategy assists in streamlining progressive

reclamation activities.

Opportunities

Evaluate ore sorting as a mechanism to further improve processing head grades of lower grade

stockpiled material.

Mineral sorting can also lead to optimized costs by rejecting waste material earlier

in the process, potentially increasing overall economics.

Evaluate potential mineralized material at the bottom of the envisioned pit as well as mineralized

material outside of the envisioned pit to further boost project economics.

Future testwork programs will investigate the potential to further improve concentrate grades, which

would reduce concentrate mass to be transported and improve payability. Mineralogical analysis also

revealed the potential to recover coarse gold via gravity concentration; future testwork will be conducted

to confirm.

Testwork to be performed on filtered tailings will investigate their compaction potential which could allow

reducing the overall height and footprint of the co-disposal facility.

Next Steps and Upcoming Catalysts

Exploration of Cooke Gold Zone - Q4 2025 / Q1 2026

A 6,000-metre drill program has commenced at Cooke to determine potential for a near surface

resource that could complement Opemiska's existing resource base. Cooke was a past producing

underground mine with two parallel gold structures that have not been mined to surface. Historically,

Cooke produced 1.97 million tonnes grading 5.04 g/t gold and 0.66% Copper

[4]

. Cooke has up to 200

metres of crown pillar intact, increasing potential for high-grade near surface gold mineralization.

Prefeasibility Study - 2026 - onwards

XXIX will continue to progress Opemiska towards a Pre-Feasibility Study ("PFS").

As such, the

company will have to complete additional studies including:

Environmental Baseline Studies:

XXIX will commence environmental baseline studies in 2026 to

assess potential impacts of Opemiska and potential future mining operations.

Environmental

baseline studies are critical paths of the mine permitting process, ensuring that companies are

complying with the applicable environmental regulation and current practice recommendations.

Metallurgical Studies: The company will pursue metallurgical testing to confirm/optimize the

flowsheet design, characterize the tailings for filtration and acid generation potential, characterize

waste for acid generation/neutralization potential and evaluate ore sorting for the low grade

material.

Geotechnical Studies:

The purpose of these studies is to confirm assumptions on slope angles in

the pit, and the stability of the co-disposition facility.

Stakeholder Engagement:

XXIX commits to constant transparent dialogue with the communities

where we operate. In 2026, we will organize a number of meetings to discuss how the proposed

project can be bonified to the benefits of the citizens.

3D Geological Model Upgrade: The Opemiska 3D geological model will be upgraded prior to

commencing the PFS.

Outstanding Risk Factors

The XXIX technical team has identified several key risks that could impact the development of the

Opemiska Project. These are being carefully evaluated and will be addressed in future engineering and

economic studies:

Proximity to the Town of Chapais: The conceptual pit in the current PEA partially overlaps with the

town boundary. This could raise social acceptance issues and may require trade-off studies or

additional capital for development solutions.

Historical Assay Validation: Drill core from mining operations between 1953 and 1991 no longer

exists, meaning historical mine assays cannot be directly verified. While limited twin-hole drilling

supports their general reliability, a geostatistical validation study was done during the process of

the 2025 MRE and the QP was able to validate historical assays using information coming from

valid and QAQC-proof recent holes. Additional detailed validation programs will be needed as the

project advances.

Geotechnical Considerations: Known geotechnical challenges include:

Rock:

Open stopes in the eastern pit wall

The Venture Sill, which dips toward the pit wall and may affect slope stability

The Gwillim Fault, which may pose a water inflow risk if it hosts an aquifer

Despite these concerns, the host rock is generally strong and well-suited to open-pit

mining.

The host rock competency is confirmed, in part, by the stability of the glory hole

sidewalls over the past 40 years.

Tailings and foundation soils:

The feasibility of tailings filtration has not yet been demonstrated.

The geotechnical properties, characteristics, and behavior of filtered tailings have not

yet been established.

The geotechnical properties, characteristics, and behavior of the foundation soils have

not yet been established.

Geochemical, Hydrogeological and Water Treatment and Management Consideration

The mine waste environment has not yet been studied for environmental characteristics to

confirm its potential for acid generation and metal leaching.

The hydrogeological context is unknown and requires further study to assess the potential

impacts of mining activities.

The effects of mining activities on water quality (both groundwater and surface water) have

not yet been evaluated, and the need for water treatment should be assessed.

Comprehensive water balance yet to be completed

Historical Stope Modeling: Digitized historical stopes from the Springer and Perry mines may not

perfectly align with the current 3D models. Some mined-out areas may not fully match up with

mineralized zones, introducing potential grade uncertainty. The Company considers this

manageable for now but will re-digitize certain areas as development progresses.

The sale terms for the concentrate are indicative and based on historical terms. The LOM

concentrate offtake has not yet been negotiated.

About XXIX Metal Corp.

XXIX is advancing its Opemiska and Thierry Copper projects, two significant Canadian copper assets.

The Opemiska Project, one of Canada's highest-grade open pitable copper deposits, spans 21,333

hectares in Quebec's Chapais-Chibougamau region, with strong infrastructure and nearby access to the

Horne Smelter. An October 2025 Preliminary Economic Assessment outlined a 12,500 tpd open pit

operation over a 17-year mine life, generating an after-tax NPV8% of $505M, IRR of 27.2%, and a 2.3-

year payback period ($4.35/lb copper price, $3,000/oz gold price, $30/oz silver price).

The Thierry

Project hosts the K1 (near-surface) and the past-producing K2 (underground & surface) zones (see

XXIX news release dated October 1, 2024 for details regarding resources). Thierry has significant

infrastructure in place including an all-season road, an airport within 5km, a provincial power grid within

8km, and nearby rail. With these two high-potential projects, the Company has solidified its position as a

key player in the Canadian copper sector and has established itself as one of Eastern Canada's largest

copper developer.

QP Statement

The technical information contained in this news release has been reviewed and approved by Denis

McNichols, P.Geo and géo., Vice President Exploration for XXIX Metal, a Qualified Person, as defined

in "National Instrument 43-101, Standards of Disclosure for Mineral Projects.

The independent qualified persons for the PEA, as defined by National Instrument ("NI") 43-101, are

Renee Barrette, ing., Principal Metallurgist for Ausenco Engineering Canada ULC for metallurgy

and process plant design.

Jean-François St-Laurent, ing. PEng (ON), M.Sc, Principal Consultant for SRK Consulting

(Canada) inc. for the Tailings Management Facility.

Charles Veilleux, ing, Senior Consultant for SRK Consulting (Canada) inc. for the Hydrology, Site

Wide Water balancing and mine site surface water management facilities.

Maude Lévesque Michaud, ing., from Geodoz conseil for environmental and social considerations.

Stephen Coates, P. Eng. for Evomine Consulting for mining methods.

Alexandre Burelle, P. Eng. for Evomine Consulting for cost estimation and financial analysis.

Non-IFRS Financial Measures

XXIX has included certain non-IFRS financial measures in this news release, such as Initial Capital Cost,

Sustaining Capital, Closure Costs, C1 Cash Cost, C3 Cash Cost, NPV to Initial Capital, and Profitability

Index, which are not measures recognized under IFRS and do not have a standardized meaning

prescribed by IFRS. As a result, these measures may not be comparable to similar measures reported

by other corporations. Each of these measures used are intended to provide additional information to

the user and should not be considered in isolation or as a substitute for measures prepared in

accordance with IFRS.

For further information, please contact:

Guy Le Bel, Chief Executive Officer

← Back to feed