Trilogy Metals Announces Updated Feasibility Study Results for the Arctic Project

VANCOUVER, BC, Feb. 14, 2023

Trilogy Metals will host a conference call on February 15, 2023
at 10:00am (Pacific Time) or 1:00pm (Eastern Time) to discuss these
results. Please use this link to access the live webcast of the conference
call: https://www.c-meeting.com/web3/joinTo/38ZLQJQ93P2A84/T1ca8GcVZNRtr5E7NaQ9SQ

• Pre-tax Net Present Value ("NPV")_8% of $1.5 billion and an Internal Rate of Return ("IRR") of 25.8%.
• After-tax NPV_8% of $1.1 billion and after-tax IRR of 22.8%.
• At current spot metals prices of $4.02/lb copper, $1.39/lb zinc, $0.95/lb lead, $1,853/oz gold and $22/oz silver, the pre-tax NPV_8% is $2.1 billion and IRR is 31.5%, and after-tax NPV_8% is $1.6 billion and IRR is 27.8%.

Trilogy Metals has updated its feasibility study on the Arctic Project in response to the Company's regulatory requirements to make disclosure and file a SK-1300 technical report summary on S-K 1300 standards with the U.S. Securities and Exchange Commission as part of the Company's annual filings on Form 10-K. This news release presents the results of the Arctic feasibility study prepared in accordance with National Instrument 43-101 ("NI 43-101"). More information on the S-K 1300 technical report summary can be found on Edgar at www.sec.gov. Both NI 43-101 and S-K 1300 reports are available on the Company's website. 

The Company has updated capital and operating costs to the fourth quarter of 2022, along with long-term commodity prices. The 2023 FS describes the technical and economic viability of establishing a conventional open-pit copper-zinc-lead-silver-gold mine-and-mill complex for a 10,000 tonne-per-day operation for a minimum 13-year mine life. The 2023 FS utilizes long-term metal prices of $3.65/lb for copper, $1.15/lb for zinc, $1.00/lb for lead, $1,650/oz for gold and $21.00/oz for silver in its economic analysis.

Tony Giardini, President and Chief Executive Officer of Trilogy Metals commented, "Arctic continues to be an extremely robust project even in a high inflationary environment. We have updated the capital and operating costs to reflect high-inflation and supply-chain challenges and yet the economics continue to stand out."

The salient details of the 2023 FS are displayed in Tables 1, 2, 3 and 4 below, with comparative information to the Company's Arctic feasibility study from 2020.

Table 1. Metal Production and Metal Prices