Callinex Issues Annual Letter to Shareholders

Vancouver, British Columbia – January 11, 2021Callinex Mines Inc. (“Callinex”) (TSXV: CNX) (OTC: CLLXF) is pleased to provide its year-end letter to shareholders from President and CEO, Max Porterfield:

Dear Shareholders,

What a difference a year makes!

We enter the New Year on the heels of the most successful year in the Company’s history. We’d like to extend our sincere gratitude to our shareholders, stakeholders and employees that made it possible for Callinex to complete nearly 40,000m of drilling across its exploration portfolio and define a major discovery in 2021.

The Company’s relentless focus on expanding the high-grade copper, gold, silver and zinc Rainbow Deposit located just outside of Flin Flon, MB has paid off handsomely.  The Rainbow discovery had just three drill holes into it when we entered 2021 and now starts 2022 as a bonafide deposit with over 70 holes drilled into the deposit area. The Rainbow has expanded significantly closer to the surface over the last year with the potential of coming within 100m of surface compared to its initial discovery at ~900m below surface. Rainbow has also grown in other ways, which has been highlighted by a number of wide intervals that have been intersected in the Orange and Yellow zones, the two known zones that make up the Rainbow Deposit.

One thing that has remained the same since the first discovery hole –  that is consistent high copper grades have been intersected throughout the deposit.  Based on our extensive drill program, Rainbow has emerged as one of the highest grade copper deposits on a global basis which is consistent for deposits discovered within the prolific Flin Flon Mining District of Manitoba. Announced to date, the average drill hole composite grade of copper intersected in Rainbow is 4.04% compared to the global average grade of copper mined annually of 0.50%. To put this into more context, to be in the top 10 highest grade copper mines in the world a deposit needs to be over 4%, conservatively.

Rainbow has the potential to not only be one of the highest grade copper deposits in the world but also one of the cleanest, most ESG friendly. The very steeply dipping/plunging nature of the Rainbow deposit makes for an ideal underground mining scenario with the potential to utilize open stope bulk mining and also significantly reduce waste.  This coupled with the clean low-cost hydroelectric power line located on site and 30 minute drive by existing all-weather road to processing facilities in Flin Flon makes for an environmentally friendly and sustainable growth opportunity.

We move forward into the New Year with even more ambitious goals than the year that’s just passed. The Company will remain steadfast in our commitment to the Community of Flin Flon and our goal to drive long-term job creation as we define Rainbow and beyond. This year we aim to delineate Rainbow within the first 1km of surface and provide a maiden resource estimate for it and the historic Pine Bay Deposit located 650m away. Additionally, we will test the extent of Rainbow at depth and alsol begin metallurgical testing to fast-track development timelines.

Our team is also focused on making additional discoveries with continued attention to targets located within the interpreted growth fault corridor which hosts Rainbow and five other deposits, three of which have seen some level of historic production. We are also eager to define and drill test priority targets from the regional Induced Polarization survey that covers 5.5 km of the trend that hosts the Rainbow and Sourdough deposit to the south.

This year is shaping up to be even more exciting for Callinex as we continue the advancement of the high-grade Rainbow during the midst of a secular bull market for base and precious metals. I look forward to keeping you updated on our key catalysts throughout 2022.


“Max Porterfield”

President & CEO

J.J. O’Donnell, P. Geo, a qualified person under National Instrument 43-101 and a Exploration Manager for Callinex, has reviewed and approved the technical information in this news release.


About Callinex Mines Inc.

Callinex Mines Inc. (TSXV: CNX) (OTC: CLLXF) is advancing its portfolio of base and precious metals rich deposits located in established Canadian mining jurisdictions. The portfolio is highlighted by the rapidly expanding Rainbow Discovery at its Pine Bay Project located near existing infrastructure in the Flin Flon Mining District. Additionally, Callinex has emerging near-surface silver discoveries at its Nash Creek Project located in the Bathurst Mining District of New Brunswick. A 2018 PEA on the Company’s Bathurst projects outlined a mine plan that generates a strong economic return with a pre-tax IRR of 34.1% (25.2% post-tax) and NPV8% of $230 million ($128 million post-tax).

For additional information, please contact:

Callinex Mines Inc.

Max Porterfield, President and Chief Executive Officer

Phone: (604) 605-0885


Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Some statements in this news release contain forward-looking information. These statements include, but are not limited to, statements with respect to future expenditures. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the ability to complete the proposed drill program and the timing and amount of expenditures. Except as required under applicable securities laws, Callinex does not assume the obligation to update any forward-looking statement.