Phoenix Copper Ltd.'s exploration and development activities at the Empire Mine Project in Custer County, Idaho, USA. Further to previous ExGen news releases, ExGen owns 20% and Phoenix owns 80% of Konnex Resources Inc. (“Konnex”), which holds the leases and claims to the Empire Mine Project. ExGen further owns 1,330,000 common shares of Phoenix.

ExGen reported that Phoenix, (the operator of the Empire Mine Project), has provided the assay results from additional drilling at the Red Star silver – lead deposit (NI 43-101 Technical Report: Updated Mineral Resource Estimate for the Empire Mine Project, Custer County Idaho USA, prepared by Hard Rock Consulting LLC, dated May 30, 2020), which is located 330 metres northwest along strike from the present northern limits of the proposed Empire Mine open pit resource (NI 43-101 Technical Report: Updated Mineral Resource Estimate for the Empire Mine Project, Custer County Idaho USA, prepared by Hard Rock Consulting LLC, dated November 25, 2020) and appears to be part of the same mineralized system. The following program highlights were provided by Phoenix: Hole RS21-01 27.4 m of 0.69% copper, 0.8 grammes per tonne (“g/t”) gold and 14.9 g/t silver starting at a depth of 38.1 m, including 7.6 m of 1.61% copper, 2.3 g/t gold and 38.6 g/t silver from 50.3 m, and including 1.5 m of 2.71% copper, 3.9 g/t gold and 50.7 g/t silver from 51.8 m Hole RS21-02 36.6 m of 0.52% copper, 0.5 g/t gold, 24 g/t silver, 0.28% lead, and 0.64% zinc starting at a depth of 82.3 m, Including 13.7 m of 23.9 g/t silver and 1.46% zinc from 82.3 m, Including 1.5 m of 0.56 g/t gold, 92.3 g/t silver, 3.13% lead, and 2.77% zinc from 83.8 m Including 7.6 m of 1.35% copper, 1.2 g/t gold and 49.0 g/t silver from 102.1 m Hole RS21-05 7.6 m of 0.20% copper, 0.3 g/t gold, and 17.4 g/t silver from 35.1 m depth Including 3 m of 0.29% copper, 0.7 g/t gold, and 28.9 g/t silver from 39.6 m During the 2021 field season, a ground magnetics survey was conducted in the Red Star project area. The results of the survey identified three subsurface magnetite zones east of the Red Star discovery outcrop, which had not been apparent in the surface outcrop.

In early October 2021, a RC drill rig became available for a short period of time and drilled seven exploratory holes (876.3 meters) at various locations throughout the newly identified magnetic zones as a precursor to a future and more extensive diamond core drilling program. The Red Star exploration program was designed to test and help delineate the boundaries of the magnetite zones and to provide geochemical data and targeting for the next phase of drilling. The results confirmed the continuity of magnetite related mineralization along northerly trending structures.

The Red Star mineralization appears as discrete zones plunging steeply to the east along the structures mapped in the geophysical survey, similar to the well understood magnetite zones encountered in the Empire Open-Pit resource (NI 43-101 Technical Report: Updated Mineral Resource Estimate for the Empire Mine Project, Custer County Idaho USA, prepared by Hard Rock Consulting LLC, dated November 25, 2020). Silver and lead grades encountered in the drilling are consistent with, or exceed, those reported in the Red Star maiden resource (NI 43-101 Technical Report: Updated Mineral Resource Estimate for the Empire Mine Project, Custer County Idaho USA, prepared by Hard Rock Consulting LLC, dated May 30, 2020); copper, gold and zinc were also encountered in significant quantities. Significant drill results are listed in Table 1. These results, together with the results of the recently completed ground magnetic survey on Red Star, will be used to target a planned 3,000 m diamond core drilling program in 2022.