VISCARIA UPDATE REGARDING FINANCING AND EXPECTED CLOSING

Copperstone Resources AB ("Copperstone" or "the Company") is pleased to announce that the Company has signed a 5-year 25 MSEK credit facility. In addition a non-binding term sheet regarding a convertible debt facility of 100 MSEK has been signed with a US-based fund. Upon the convertible debt facility becoming binding and the first tranche of 22.5 MSEK has been paid out, closing of the Viscaria acquisition is anticipated to occur shortly thereafter. In total, up to 125 MSEK will thereby be secured to finance the further development of New Copperstone including Viscaria.

Fenomena AB has agreed to a credit facility, for the Viscaria acquisition, of 25 MSEK at 5% annual interest rate to be amortized, no later than, at the earlier of First Copper from Viscaria or 10 January 2024.

Copperstone has also signed a non-binding term sheet regarding a convertible debt facility of 100 MSEK with a mid-tier US-based fund.  Main terms and conditions of the convertible debt facility are: The debt commitment is divided in tranches of maximum 20-22,5 MSEK. The convertible debt notes held by the fund can be converted to Copperstone B-shares. Further tranches, should Copperstone opt to, can be drawn once the former tranche has been converted into shares. The conversion price is defined as the lower of 1.6 SEK/share and 93% of the 15-day low volume weighted average price of Copperstone prior to conversion. The convertible debt facility is non-interest bearing, the called upon tranche of the convertible facility will instead be subject to a fee of 4.5 percent of the total nominal amount.

Subject to the signing of the final agreement the financing through the first tranche of 22.5 MSEK, together with the above mentioned credit facility, will suffice to Close the Viscaria acquisition.

"I am pleased to bring forward Fenomena AB, originating from my hometown of Haparanda, as anchor investor. The convertible debt financing will contribute to the closing as well as to necessary working capital in the future. Thanks to this, the Copperstone team spirit, Regin Corporate Finance and Sunstone's shared vision of New Copperstone, we are hereby taking a giant leap towards closing of the Viscaria acquisition, the largest underground copper mine in northern Europe in the 1980's, while at the same time limiting upfront shareholder dilution to an absolute minimum", comments Michael Mattsson, CEO of Copperstone.

Danderyd 10th January 2019

For further information, please contact Chief Executive Officer Michael Mattsson, +46 705 739 777, michael.mattsson@copperstone.se or visit the Copperstone website at www.copperstone.se

This press release contains insider information which Copperstone Resources AB (publ) is obliged to publish according to the EU market abuse regulation (MAR). This information was submitted for publication, through the above contact person's agency, 22:05 CET on 10 January 2019.

About
Copperstone is a public company trading as COPP B on NASDAQ First North (Stockholm). The Certified Adviser is Augment Partners AB, info@augment.se, +46 8 505 65 172. The Company is focused on base and precious metal exploration in the vicinity of the internationally recognized mining region of the Skellefte-field in northern Sweden. In this area Copperstone owns two exploitation concessions, namely Svartliden k no. 1 (36ha), Eva k no. 1 (34ha) and two nearby exploration permits, namely Sandberget 200 (19ha) and Sandberget 300 (19ha). The Company has also recently applied for two new exploration permits, namely Sandberget 400 (535ha) and Sandberget 500 (7641ha) to form a contiguous block with existing titles. The project is based on 273 drillholes with an approximate total of 46,350m. In addition the Company also owns the Tvistbogruvan K no. 1 (11ha) exploitation concession and the Såggården No.1 (199ha) exploration permit in the Bergslagen mining region of central Sweden. Quoted surface areas are approximate to the nearest hectare.

Company announcement - Updated information on Mineral Resources

Further to the MAR Release March 8, 2019, Copperstone together with its QP are pleased to publish a detailed update and clarification regarding the New Copperstone Mineral Resources.


EYES ON KIRUNA - VISCARIA SCOPING STUDY PUBLISHED

COPPERSTONE RESOURCES AB: EYES ON KIRUNA - VISCARIA SCOPING STUDY PUBLISHED

Following the closing of the Viscaria acquisition, Copperstone has initiated the networking with the local community, land and stake holders. The Board has established an indicative plan for near-term and mid-term development, to be addressed with local interests prior to and during work permit applications. On a corporate level, designed core drillings program for Viscaria and the Copperstone project are currently being developed. Scoping Study 2016 is attached.


ACQUISITION OF VISCARIA COMPLETED - SUNSTONE METALS LARGEST OWNER

Copperstone Resources AB's ("Copperstone") acquisition of Avalon Minerals Viscaria AB ("Viscaria") was completed today. Viscaria is from now on a wholly-owned subsidiary of Copperstone. Copperstone's copper mineral resources increases by 480%. Copperstone plans to apply for work permits at the County Administration Board, recruit a technical team and plan core drillings at the Viscaria site outside Kiruna alongside with increased environmental base line studies.


CLOSING OF VISCARIA EXPECTED TO TAKE PLACE MARCH 8, 2019

Copperstone Resources AB ("Copperstone") is pleased to announce that the Closing of the Viscaria acquisition is likely to occur late afternoon March 8, 2019.


UPDATE ON PERMITS

Copperstone has been informed that an appeal against Sandberget 500 exploration permit has been filed at the Mining Inspectorate on March 1, 2019. If the appeal is considered legitimate, the case will be handed over to the Administrative Court (Sw: Förvaltningsdomstolen) which will decide on the appeal. All permits regarding the Copperstone project are valid up and until 2022.


VISCARIA ACQUISITION WILL CLOSE AS FINANCING CONCLUDED

Copperstone has signed an agreement with Yorkville Advisors Global, LP ("Yorkville") for financing of up to 100 MSEK through a convertible debt facility. The Viscaria transaction will be closed with the first tranche of the convertible debt facility of 22.5 MSEK after an amendment to the Share Sale and Purchase Agreement (the "SPA") with Sunstone Metals. The transaction will result in a five-fold increase in copper resources and will make Sunstone the largest shareholder of New Copperstone.


INTERIM QUARTERLY REPORT (Q418) OCTOBER 1st 2018 TO DECEMBER 31st 2018

INTERIM QUARTERLY REPORT (Q418) OCTOBER 1st 2018 TO DECEMBER 31st 2018

Financial results for the Group for October 1st to December 31st 2018:

  • Result of the period amounted to -5,048 (-1,958) KSEK.
  • Earnings after tax per share were -0.02 (-0.01) SEK.
  • The cash flow during the period was -952 (23,951) KSEK.
  • The shares in NIO have been revalued at market price resulting in a write-off of 3.9 MSEK

Financial results for the Group for Year to date as of December 31st 2018:

  • Result of the period amounted to -459 (-7,984) KSEK.
  • Result of the period per share was 0.00 (-0.04) SEK.
  • The difference 2018 to 2017 is mainly due to the netting of a receivable in NIO for shares and a convertible. The receivable was acquired by Copperstone at a discount to nominal value in 2016, generating a profit of 8.2 MSEK at its finalization before the listing of NIO at Nasdaq First North.
  • The shares in NIO have been revalued at market price resulting in a write-off of 3.9 MSEK
  • The closing balance of cumulative capitalized expenditure for exploration amounted to 59,212 (39,151) KSEK.
  • Total assets at the end of the period was 74,681 (78,642) KSEK.
  • The cash flow during the period was -26,901 (25,557) KSEK.
  • The liquidity at the end of the period was 1,385 (28,286) KSEK.

STRENGTHENING OF THE PERMISSION PORTFOLIO

Copperstone today was awarded additional exploration permits from the Mining Inspector, regarding more than 8,000 ha in Arvidsjaur municipality.


VISCARIA UPDATE REGARDING FINANCING AND EXPECTED CLOSING

Copperstone Resources AB ("Copperstone" or "the Company") is pleased to announce that the Company has signed a 5-year 25 MSEK credit facility. In addition a non-binding term sheet regarding a convertible debt facility of 100 MSEK has been signed with a US-based fund. Upon the convertible debt facility becoming binding and the first tranche of 22.5 MSEK has been paid out, closing of the Viscaria acquisition is anticipated to occur shortly thereafter. In total, up to 125 MSEK will thereby be secured to finance the further development of New Copperstone including Viscaria.


CHANGE OF MANAGEMENT

The Board of Copperstone ("Copperstone" or "the Company") announces that Michael Mattsson takes over as CEO of Copperstone, as Chris McKnight steps down. As the company is growing, Copperstone will separate the roles of CEO and Exploration Manager. Ann Zetterberg Littorin will take over as Chairman of the Board, effective immediately.


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