Resource Stock Report - Copper

Carmax Mining Corp.
Stmbol: CXM.V
October, 2014

“With considerable historic work and recent work by Carmax their Eagle-head Copper/Moly project is well advanced so there is really no risk of discovery. It is really a matter of advancing the project to upgrade the resource tonnage and grade.”

“There is also a huge vote of confidence in the project and company with Copper Fox's investment.”




Carmax Mining Corp.

Shares outstanding 55.5 million Copper Fox (TSXV:CUU) owns 42%


What intrigues me about CXM is a number of things;


They have a very experienced Board in mineral exploration and the stock is cheap


They are in one of the best copper districts in British Columbia with many discoveries/deposits nearby.


There Eaglehead project is 100% owned and already advanced with a 43-101 inferred resource
approximately 662 million pounds copper, 22 million pounds molybdenum and 265,000 ounces gold.


The Inferred Mineral Resource estimate totals 102.5 million tonnes at an average grade of 0.29% Cu, 0.010% Mo, and 0.08 g/t Au. The resources were estimated at a cut-off grade of 0.16% copper equivalent ("CuEq")


The reported grades in the resource are most likely quite understated and I will explain that in the property section


From 1971 to 2011, a total of 33,202 metres has been drilled in 120 drill holes. However many of these holes were not assayed or only partially assayed and seldom for Moly, Gold and Silver.


They just completed a financing and are probably the only TSXV company I have seen in some time that was forced to raise the price of their financing from $0.05 to $0.07


Currently a $1.2 million exploration budget completed that includes about 5 deep drill holes


They released preliminary data on 3 holes and all were in mineralization for several 100 metres,
roughly close to surface down to 450 to 620 metres or so. All bottomed in containerization.

The chargeability signature from the 2014 Quantec survey suggests continuity of the
mineralization in the East zone to the northeast towards the Bornite zone. This area between the two mineralized zones which has not been drill tested – but is in current program


The biggest factor however is the support of Copper Fox, with the Teck Cominco connection.


Copper Fox took down 20 million units of the recent 24 million unit financing and now owns a 42%interest in CMX


I would say Copper Fox TSXV:CUU is an expert in copper and in British Columbia. At $0.20 Copper Fox has a market cap of about $80 million. They own 25% of Schaft Creek (Teck 75%). Teck is paying $60M for their 75% and incurring the cost to go to production. This BC project has about 1 billion pounds of copper with Moly and Gold, and similar grades to CXM's Eaglehead,even though CXM Eaglehead grades are understated.


Copper Fox – Schaft Creek - Combined Measured and Indicated Mineral Resource of 1,035.3 Mt grading 0.27% Cu, 0.017% Mo, 0.18 g/t Au and 0.45% CuEq


- Inferred Mineral Resource of 301.3 Mt grading 0.24% Cu, 0.011% Mo, 0.14 g/t Au and 0.37% CuEq.


The property hosts an NI 43-101 Inferred Mineral Resource of 102.5 million tonnes at an average grade of 0.29% Cu, 0.010% Mo, 1.9 g/t Ag, and 0.08 g/t Au. The resources were estimated at a cut-off grade of 0.16% copper equivalent (“CuEq”) and contain approximately 662 million pounds copper, 22 million pounds molybdenum and 265,000 ounces gold.

However, there is a lot of historic drill holes that have not been confirmed, so when the resource
estimate was made, the engineering firm gave credit for the tonnage outlined with historic holes but assigned a grade of ZERO – this had the effect of lowering the average grade.