ATEX Resources Advancing Major Copper Project in Chile

• Atex Resources has defined a large copper resource of 1.4 billion tonnes at 0.5% copper, 0.2 g/t gold, with additional silver and molybdenum credits.
• The project is one of the top 10 undeveloped copper projects globally and drilling is set to commence in the coming weeks to further expand the resource.
• The high grade core of 200 million tonnes sits at depth, amenable to bulk underground mining. Metallurgical tests show the ability to produce a clean, premium copper concentrate.
• The mineralized system is open and untested in multiple directions with significant potential to grow the resource size through the current and future drill programs.
• Atex is well funded through a recent credit facility and is considering strategic partnerships to help develop infrastructure needed to advance the large project. More catalysts ahead include drill results and an updated technical report.

About ATEX Resources

ATEX Resources (TSXV:ATX) is a Chile-focused mining exploration company with a large-scale copper project located in northern Chile. The company's flagship Valeriano copper project has an initial mineral resource estimate of 1.4 billion tonnes at 0.50% copper, 0.20 g/t gold, and 63.80 g/t molybdenum. ATEX sees significant potential to expand this resource and advance the project to development.

Interview with Ben Pullinger, Senior VP Exploration of ATEX Resources

Large-Scale Resource with High-Grade Core

The Valeriano copper deposit contains a high-grade core estimated at over 200 million tonnes with an average grade of 0.84% CuEq. This material could form the basis for a potential underground mining operation. Surrounding the high-grade zones is disseminated copper mineralization extending 700 meters laterally, providing significant tonnage potential.

The initial resource estimate used a 0.4% copper cut-off grade, which is double the estimated breakeven grade. This suggests there is potential to significantly increase tonnage at slightly lower cut-off grades. The deposit remains open along strike and at depth, with geophysical surveys outlining a much larger exploration target.

Favorable Metallurgy Supports Premium Concentrate Production

Recent metallurgical test work on three composite samples indicates the Valeriano mineralization can produce a clean, premium copper concentrate. The test work will support precise metallurgical modelling as the project moves forward. Importantly, the copper concentrates showed no deleterious elements, which will make it attractive to smelters globally.

Major Exploration Program Underway

ATEX has commenced a 20,000 meter drill program at Valeriano for 2023, utilizing directional drilling techniques to enhance targeting and efficiency. An initial focus is on further delineating and expanding the high-grade zones to support future underground mine studies. The program will also test for additional mineralized porphyry centers, particularly to the west where geophysics highlights another large exploration target.

Significant catalysts over the next 6-9 months include final metallurgical results, an updated technical report, and a steady flow of exploration drill results from Valeriano. ATEX sees potential to significantly expand the current resource estimate over the next two years through systematic exploration drilling.

Advancing a Major Copper Project in a Top Mining Jurisdiction

The Valeriano copper project is located in the Antofagasta region of northern Chile, one of the most prolific copper belts globally. Chile's stable and mining-friendly jurisdiction, extensive infrastructure, skilled workforce and proximity to key Asian markets provide significant advantages.

ATEX is well positioned, earning a 100% interest in a major copper projectamend a rising demand outlook for copper. Strategic partnerships could play a role in helping advance exploration and development studies for the large-scale project. The company offers investors exposure to significant resource expansion potential and the de-risking of Valeriano into a tier one copper development project.

Conclusion

With copper demand forecast to rise amid accelerating electrification, high-grade and scalable copper projects are attracting strong interest. ATEX Resources provides a compelling copper exposure through its large-scale Valeriano project in Chile's premier copper mining district.

Systematic exploration has quickly outlined an initial large resource with tremendous expansion potential. The project checks all the boxes in terms of grade, scale, infrastructure access and mineralogy. ATEX offers investors an exciting copper exploration and development story to watch in a rising copper price environment. The stock appears undervalued based on the quality and potential of the Valeriano asset.