Webcast & conference call March 22, 2022, 8:00AM PST

Vancouver, British Columbia--(Newsfile Corp. - February 15, 2022) - World Copper Ltd. (TSXV: WCU) (OTCQB: WCUFF) ("World Copper" or the "Company"), announces the results of the independent Preliminary Economic Assessment ("PEA") for its flagship Escalones project in Central Chile ("Escalones" or the "Project"). All values in this news release are reported in U.S. dollars unless otherwise noted.

PEA HIGHLIGHTS:

• $1,499.6 million Post-Tax NPV₈ at $3.60 /lb. Life of Mine ("LOM") (20 years) copper price
  • Post-Tax IRR of 46.2% and Payback of 2.18 years
  • $2,279.1 million pre-tax NPV₈, Pre-Tax IRR of 63.9%

• $1,822.4 million Post-Tax NPV₈ at US$4.00 /lb. LOM copper price
  • Post-Tax IRR of 53.6% and Payback of 1.95 years
  • $2,769.8 million pre-tax NPV₈, Pre-Tax IRR of 75.0%

• Initial Capital (CAPEX) cost of $438.4 million (from construction decision)
  • Profitability Index (NPV / CAPEX) at $3.60 /lb. of 3.44X
  • Capital Intensity Index (Initial CAPEX / Cu production in tonnes); First 5-years $7,756 /t Cu; LOM $8,416 /t Cu

• First 5 years average annual copper production of 124.7 Mlbs. (56,520 tonnes); LOM average 114.9 Mlbs. (52,131 tonnes)
  • First 5-years average C1 (Cash Operating) costs of $1.13 /lb. Cu; LOM average C1 costs $1.19 /lb. Cu

• First 5 years average annual EBITDA $290.8 million; LOM average annual EBITDA $265.1 million

• LOM Sustaining Capital of $192.5 million
  • First 5-years average All-In Sustaining Cost (AISC) of $1.28 /lb. Cu; LOM average AISC of $1.42 /lb. Cu

• 365.8 Mt of heap leach tonnes mined and processed over a 20-year LOM in a conventional open pit mining operation
  • First 5-years average grade 0.49% Cu; LOM average grade 0.38% Cu
  • LOM strip ratio of 1.12 of waste to heap leach tonnes
  • LOM cutoff grade of 0.17% Cu

• Conventional heap leach, SX-EW processing facilities, targeting 50,000 tonnes of heap leach tonnes placed per day
  • Estimated average heap leach recoveries of 72.5%
• Recommendations for work that may lead to potential for further improvements to the Project including:
  • Expansion and improvement of the existing Escalones Mineral Resource Estimate through further exploration of the total 16,189-hectare land package
  • Improvement and refinement of metallurgical recoveries and processes through further metallurgical testwork
  • Continued evaluation of different project sizes ("right sizing") and optimization of mine plans
  • Evaluation and incorporation of existing technologies to improve sustainability and reduce environmental impact

The PEA summarized in this news release is considered preliminary in nature, contains numerous assumptions 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. There is no certainty that the results of the PEA will be realized. No Mineral Reserves have been estimated for Escalones. Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. Inferred Mineral Resources are that part of the Mineral Resource for which quantity and grade or quality are estimated on the basis of limited geologic evidence and sampling, which is sufficient to imply but not verify grade or quality continuity. Inferred Mineral Resources may not be converted to mineral reserves. It is reasonably expected, though not guaranteed, that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration. Mineral Resources are captured within an optimized pit shell and meet the test of reasonable prospects for economic extraction.

The effective date of the PEA is February 15, 2022, and a National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101") technical report to support the PEA will be filed on SEDAR within 45 days of this news release.

Nolan Peterson, CEO and President of World Copper commented on the results:

"The exceptional results of the Escalones PEA confirm what we at World Copper have always believed - that Escalones has the potential to be one of the most impressive copper properties in South America. Escalones now joins a peer group of large-scale, study backed, development stage assets. Escalones has several attributes that make it attractive for development including robust economics, strong value metrics and the potential of rapid returns for a comparably low capital investment. These factors combine leading to a profitability index in the top quartile of peer group companies with a capital intensity in the bottom quartile. Furthermore, the Project's lowest quartile position on the global cash cost curve indicates profitability in even the weakest copper market scenarios. The results of the PEA, combined with Escalones' large land package and resource expansion potential, make it a truly outstanding project.

Embracing the oxide potential of Escalones resulted in unlocking the value of an asset that others have overlooked. The results of the PEA are a testament to our skill at understanding and identifying the key value drivers of copper deposits. As an oxide heap leach Escalones is positioned well to benefit from global decarbonization efforts and the evolving global economy, where reducing environmental impacts and contributions to preventing climate change are increasingly important. It is our goal to work hand in hand with our local partners and communities, to begin proving that more sustainable mining projects are not only possible but can also yield economic benefits to all stakeholders.

The PEA is the culmination of years of hard work by the team at World Copper, our partners, and our stakeholders. I personally thank all for their efforts and support. While the PEA is the most significant milestone to date for Escalones, our work does not end here. We intend to advance the Project through development and permitting while continuing exploration drilling to upgrade and expand the resource as we work to unlock the full potential of the Project."

SUMMARY OF PRELIMINARY ECONOMIC ASSESSMENT

The PEA was prepared by Global Resources Engineering ("GRE") with contributions from other firms, including Hard Rock Consulting, LLC ("HRC"). The PEA was prepared in accordance with the requirements of NI 43-101 and is based on the Mineral Resource Estimate for Escalones with an effective date of June 25, 2021, prepared by HRC (see "Geology and Mineral Resource Estimate" below).

The PEA confirms that the Escalones estimated Inferred Mineral Resources are amenable to a large scale, bulk high-tonnage, open pit, mining operation. An optimized PEA mine plan has been developed from the mineral resources available to the Project. For the PEA study a leased mining fleet, operated by the owner, was assumed, in order to minimize initial CAPEX requirements - categorizing the expenditure, as appropriate, into operating costs.

Escalones production would focus on the oxide heap-leachable material processed using a conventional heap leach operation with sulfuric acid and fresh water. The pregnant leach solution is further processed via solvent extraction and electrowinning to produce an average 52,000 tonnes (approximately 114 million lbs.) of copper in cathodes per year, over a full 20-year LOM. Copper recoveries are estimated to average approximately 72.5% of total copper placed.

Capital and operating cost estimates were prepared based on current and expected long-term pricing assumptions and to a PEA level +/- 35% level of accuracy.

Table 1: Summary of PEA Economic Results and Assumptions

⁽¹⁾ All figures are reported in 2022 U.S. dollars and on a 100% equity owned basis. Copper price used was based on past 3-years historical prices and forward 2-years LME copper prices. Copper prices exclude a $80/t Cu (or $0.0364 / lb. Cu) Cathode premium which was included into overall economics. Taxes were calculated assuming Chilean Mining Royalty Tax rates as of January 2022 and a 27% First Order Corporate tax rate.

Table 2: Economic and Sensitivity Analysis

Static sensitivities are presented in Table 2 above. A dynamic sensitivity analysis was conducted using Monte Carlo statistical modeling techniques. The sensitivity to dynamic variations in model assumptions are presented below in Table 3.

Table 3: Dynamic Sensitivity Analysis

*Note:

⁽¹⁾ Monte Carlo results are displayed as P₉₀ the result where 90% of the 20,000 generated outcomes of the dynamic statistical modeling exceeded (or did not exceed) the result. Probability distributions for Monte Carlo Analysis inputs were:

• Copper Price: $3.00 to $4.20 - Triangular Distribution
• CAPEX: 65% to 135% - Beta General Distribution
• OPEX: 65% to 135% - Beta General Distribution
• Copper Recovery: 67.5% to 77.5% - Beta General Distribution
• Copper Head Grade (Payable Copper): 90% to 110% - Beta General Distribution

GEOLOGY AND MINERAL RESOURCE ESTIMATE

Escalones has estimated Inferred Mineral Resources of 426 million tonnes of 0.367% copper, based on nearly 25,000 metres of drill core from 53 holes. The 3.45 billion pounds of copper should be amenable to heap leaching with an average recovery of 71% for the purposes of resource modeling. HRC completed an updated resource estimate for Escalones with an effective date of June 25, 2021 (see technical report dated October 6, 2021 (effective August 15, 2021) entitled National Instrument 43-101 Technical Report: Mineral Resource Estimate for the Escalones Copper Project Santiago Metropolitan Region, Chile).

Table 4: Oxide Mineral Resource Statement for Escalones

*Notes:
⁽¹⁾ Mineral resources that are not Mineral Reserves do not have demonstrated economic viability. Inferred mineral resources are that part of the mineral resource for which quantity and grade or quality are estimated on the basis of limited geologic evidence and sampling, which is sufficient to imply but not verify grade or quality continuity. Inferred Mineral Resources may not be converted to mineral reserves. It is reasonably expected, though not guaranteed, that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration. See "Cautionary Note to United States Investors".
⁽²⁾ Mineral resources are reported at a 0.13% CuT cutoff. The cutoff is calculated based on a long-term copper price of US$3.50/lb; assumed combined operating leached material costs of US$6.50/t (process, general and administrative and mining taxes); refining & transportation costs of $0.25/lb of Cu; metallurgical recoveries of 71% for copper and a 2% net smelter returns royalty.
⁽³⁾ Mineral resources are captured within an optimized pit shell and meet the test of reasonable prospects for economic extraction, the optimization used the same mining costs of $2.50/t mined and a 50º pit slope.
⁽⁴⁾ Rounding may result in apparent differences when summing tonnes, grade and contained metal content.

The estimated Inferred Mineral Resources sit within a four square-kilometre area of hydrothermal alteration comprising quartz-sericite, potassic, and calc-silicate alteration assemblages, mostly hosted by central porphyritic intrusive rocks with porphyry-style (fracture-fill and disseminated) mineralization. Calcareous sedimentary rocks flanking the central zone host replacement-style "skarn" and disseminated sandstone-hosted mineralization.

Copper mineralization at Escalones occurs as secondary copper oxides, sulphates and carbonates that have replaced sulphides comprising chalcopyrite, bornite, and covellite to depths averaging about 300m. This replacement has led to higher grades at shallower depths, and, since the mineralization sits within a high-standing ridge, makes it ideal for surface mining.

The estimated Inferred Mineral Resources are reported within an optimized pit shell and are considered to have a reasonable potential for economic extraction. A 0.13% total Cu cut-off grade was selected for reporting the mineral resource (bolded) while the sensitivity to various cut-off grades is also demonstrated (Table 5). The cut-off grade was calculated based on the following assumptions: a long-term copper price of US$3.50/lb Cu, assumed combined operating leached material costs of US$6.50/t (process, general and administrative and mining taxes), refining & shipping costs of US$0.25/lb of Cu, metallurgical recoveries of 71% for copper, and a 2% net smelter returns royalty. The metal prices used in the cut-off represent a 15% increase over the three-year historical average as of June 30, 2021.

The Inferred Mineral Resources have currently only been prepared and reported above the base of the oxide/secondary sulphide - primary sulphide boundary to define material that can be recovered via leach. There is sulphide material below this surface that has been successfully tested for flotation recovery in the past but has been excluded from the current estimate of Inferred Mineral Resources.

Table 5: Resource Sensitivity Within Escalones 2021 Resource Pit

MINING

Mine plans for the resource area were designed and planned using conventional open pit mining methods. The open pit is suitable for phased designs. The design pit phases use triple-benching of 10-metre benches at an overall pit wall slope of 50°. In-pit haul roads were designed to be 34-metres wide, allowing for two-way traffic using 227-tonne haul trucks.

A PEA mining schedule was generated from the Mineral Resource Estimate within the base case pit, which was set at a cut-off grade of 0.17% Cu. The PEA mining schedule includes four distinct phases of pit development and was developed assuming the following:

• Mining Production Rate: 50,000 tonnes per day (tpd)
• Mine Operating Days per Week: 7
• Mine Operating Weeks per Year: 52
• Mine Operating Shifts per Day: 2
• Mine Operating Hours per Shift: 12 (10 productive hours per shift)
• Utilization: 85%
• Availability: 90%

A summary of the reported resources for each pit phase are shown in (Table 6). In some cases, out-of-pit haul roads needed to access pit areas on the steep banks of the property were included in the resource reporting.

Table 6: Escalones Resources by Pit Phase

*Notes:
⁽¹⁾ The block model was created by HRC.
⁽²⁾ GRE used HRC's Whittle pit shells to create phases as a guide for phase design and the ultimate final pit design.
⁽³⁾ GRE used 50° inter-ramp angle pit slopes for the pit design, with 34-metre-wide haul roads at 10% grade.
⁽⁴⁾ Resources in this table are reported at a 0.17% Cu cut-off grade.

RECOVERY METHODS

The production process for Escalones is comprised of conventional sulfuric acid heap leaching followed by solvent extraction and electrowinning to produce cathode copper. The target production rate is 50,000 tonnes per day of mineralized material producing an average of 52,000 annual tonnes (115 million pounds) of Grade-A copper cathode. The estimated average copper extraction from the mineralized material is 72.5%, with 75% recovery of the recoverable copper during the first year, 20% during the second year, and 5% thereafter.

Run of mine (ROM) material would be trucked to a primary jaw crusher located close to the proposed open pit, then conveyed to a secondary crushing circuit, and finally delivered to the heap via a series of overland conveyors. The pregnant leach solution (PLS) from the heap leach would be processed directly in the solvent extraction plant (SX), diverted to a dedicated pond, or recirculated to the heap.

The SX circuit consists of a series of extraction stages and a stripping stage using a conventional mixer/settler arrangement. The loaded organic from the extraction stage would be transferred to the stripper vessel, producing a rich electrolyte solution for subsequent electrowinning (EW). The copper-depleted raffinate from the extraction circuit would be recycled to the raffinate pond. Prior to electrowinning, the rich electrolyte would be purified to remove entrained organic through column flotation and filtration. The depleted "raffinate" solution would report to the heap leach raffinate pond/tank and be recirculated back to the heap after having the reagent levels adjusted (free acid).

The electrowinning circuit consists of a series of electrowinning cells equipped with cathodes and anodes. The copper depleted lean electrolyte would report back to the SX stripping circuit. The plated copper cathodes would be stripped using a mechanized stripping system after being washed. Grade-A copper cathodes would then be sampled and bundled for shipment and sale. No concentrate is produced from SX-EW processing.

INFRASTRUCTURE

Escalones will require the following infrastructure for operations:

• Process water supply
• Power supply
• Access and haul roads
• Cathode storage and transport system
• Mine and plant infrastructure
• Ground material transport
• Upgraded or expanded camp

The Project is accessible from Queltehues via gravel road. Additional access and haul roads will be needed within the Project area to access mining and process facilities, crushers, and pits. The costs for development of these and other necessary infrastructure components are included in the cost estimate. The conceptual design includes locating all project infrastructure facilities within the immediate vicinity of the mine.

The power requirements for the Project are approximately 150 GWh. per annum. Power is assumed to come from the grid connection at the Queltehues hydroelectric plant, approximately 53 km downstream. High-voltage transmission lines are included in the project estimate, to provide power from the Queltehues plant to the Project.

Process makeup water consumption assumes 0.06 cubic metres of water evaporated per stacked tonne, including a 5% evaporation loss from irrigation flows, with an additional 0.15 cubic metres per stacked tonne stored in the heap. This results in a makeup usage estimate of approximately 2.6 million cubic metres per year (5,000 litres per minute (lpm) or 1,300 gallons per minute (gpm)). Mine process and camp water will require an additional 379 lpm (100 gpm).

GRE has assumed water would be available from the Rio Pangal Valley near El Teniente, Costs to construct an 85 km long pipeline to bring water from this area to the project site are included in the cost estimate. World Copper currently has no water rights for Escalones; however, active discussions are ongoing to secure water from sources that may include seawater pipeline tie-ins.

A camp suitable for housing up to 230 persons will need to be constructed. A suitable location down valley towards Queltehues is assumed to be available.

CAPITAL AND OPERATING COST ESTIMATES

GRE prepared the capital and operating cost estimates under the assumption of processing of open pit mined material at a rate of 50,000 tpd. Capital costs include, process plant and facilities, process mobile equipment, site and ancillary infrastructure, G&A, sustaining capital, working capital and a 25% contingency on general capital items for a total initial capital of $438.4 million and a total sustaining capital of $192.5 million for a total of $630.9 million for the LOM. (See Table 7).

An existing 2% net smelter returns royalty exists on the Escalones resource exploitation concessions, in favour of the previous option holder on the Project. The royalty can be re-purchased for a cost of US$3 million within the first 5-years of production from Escalones. For the capital cost estimate prepared by GRE it is assumed that the royalty is re-purchased.

Table 7: Escalones Capital Cost Summary

The estimate assumes that the Project will be operated by the owner with leased mobile mining equipment. Pit stripping takes place during the same period of heap leach material production and is considered an operating cost. All costs for mining equipment leasing, drilling, blasting, labour, maintenance, and supplies are included as operating costs.

Operating costs include mining, processing, and G&A and total $2,956.1 million over the full LOM. The mining unit costs per total tonne are $1.87; the processing unit costs per heap leach tonne are $3.39; and the G&A unit costs per heap leach tonne are $0.53 (see Table 8). Total operating costs per heap leach tonne are $8.08 per heap leach tonne. A 10% contingency is applied to leasing costs for mobile mining equipment. No contingency is applied to other operating costs.

World Copper has committed greater than 10% of the LOM Escalones G&A budget within the PEA to supporting community relations and development.

Table 8: Escalones Operating Cost Summary

WORKING CAPITAL

Working capital for the project assumes 1.5 months of operating expenses totalling $12.4 million starting in Q4 of Year -1.

Capital and Operating cost estimates were prepared based on current and expected long-term pricing assumptions and to a PEA level +/- 35% level of accuracy.

The PEA is considered preliminary in nature and includes Inferred Mineral Resources that are considered too speculative, geologically, to have the economic considerations applied that would allow classification as Mineral Reserves. There is no certainty that the results of the PEA will be realized.

No Mineral Reserves have been estimated for the project. Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability. Inferred Mineral Resources are that part of the mineral resource for which quantity and grade or quality are estimated on the basis of limited geologic evidence and sampling, which is sufficient to imply but not verify grade or quality continuity. Inferred Mineral Resources may not be converted to mineral reserves. It is reasonably expected, though not guaranteed, that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration. Mineral resources are captured within an optimized pit shell and meet the test of reasonable prospects for economic extraction.

QUALIFIE