Activities Update And 2024 Outlook

Cornish Metals Inc. (AIM/TSX-V: CUSN) ("Cornish Metals" or the "Company"), a mineral exploration and development company focused on advancing the South Crofty tin project ("South Crofty" or the "Project") located in Cornwall, United Kingdom, to a construction decision, is pleased to provide an update on the progress of activities and outlook for 2024.

​Highlights

Important Milestones Achieved in 2023:

o Updated Mineral Resource Estimate ("MRE") for South Crofty Mine with a 31.6% increase to contained tin in the Indicated Mineral Resource category for the Lower Mine;

o Construction and commissioning of the Water Treatment Plant ("WTP");

o Installation and commissioning of submersible pumps in New Cook's Kitchen ("NCK") shaft;

o Commencement of dewatering of South Crofty Mine with the water level currently down to 257 metres below the NCK shaft collar level;

o Completion of metallurgical testwork drilling programme;

o Better than expected results from X-Ray Transmission ("XRT") ore sorting testwork confirming the potential to materially reduce tonnes milled, and reduce process plant capital and operating costs;

o Installation of two single drum winders for shaft re-access;

o Commencement of an exploration drilling programme at the Wide Formation target.

2024 Outlook:

o Mine dewatering:

§ Dewater to 195-fathom level (~360 metres below surface) and refurbish the pump station;

§ Progress to the second stage of dewatering of the deeper levels of the mine;

o Commence underground infill drilling;

o Advance the South Crofty Feasibility Study: all study components, with the exception of infill drilling, expected to be completed in H1 2024;

o Preliminary Economic Assessment ("PEA") for South Crofty planned before end of H1 2024 to provide interim guidance prior to the publication of the Feasibility Study;

o Complete the 14-hole / 9,000 metre Wide Formation exploration drill programme.

Richard Williams, CEO and Director of Cornish Metals, stated: "The Cornish Metals team worked tirelessly in 2023, achieving numerous important milestones, while further advancing and de-risking the South Crofty project. Chief among these are the construction of the WTP and commencement of dewatering of the mine that continues to progress extremely well with water levels drawing down as expected. Activity levels are expected to remain high through 2024 with more important milestones to be met as we work to further progress the South Crofty project towards a construction decision."

Mine Dewatering Progressing Well

• Mine dewatering and water treatment to remove dissolved metals and suspended solids prior to discharge has been underway since early November 2023 with up to 25,000m3 per day of water being pumped and treated from South Crofty Mine;
• Progress is good, with the water level in the mine currently ahead of projections despite the recent wet weather;
• On January 17th the water level stood at 257 metres below the NCK shaft collar level;
• Water levels in historic mines adjacent to South Crofty remain unchanged while South Crofty water levels fall, confirming that South Crofty is not hydrologically connected to neighbouring historic mines and that the dewatering only comprises South Crofty Mine;
• Treated water from the WTP is being discharged into the Red River, having a positive effect on the water quality of the river downstream of the discharge point;
• The treated water from South Crofty passes through a 75-kW hydro-turbine located ahead of the discharge point that generates up to 20% of the power consumed by the WTP. Other renewable energy opportunities are being explored;
• At current rates, the first stage dewatering to the 195-fathom level (approximately 360 metres below surface) is anticipated to be completed in early Q2-2024;
• Refurbishment of the 195-fathom pump station and installation of permanent pumps is planned to take place during Q2 / Q3-2024;
• Lowering of the submersible pumps to below the 400-fathom level (approximately 730 metres below surface) and commencement of the second stage of dewatering is planned to commence in Q3-2024;
• The Company maintains guidance of 18-months (from the commencement of dewatering in November 2023) to complete dewatering of South Crofty Mine to the 400-fathom level.

Feasibility Study Progress

The Company is making good progress advancing the South Crofty Feasibility Study with a substantial amount of the study completed. All study components, with the exception of infill drilling, are expected to be finalised in H1 2024.

The following Feasibility Study components have been completed:

• Geotechnical testwork - televiewer investigations and geotechnical rock testing to confirm known historical structural and rock mass property data;
• Headframe structural modelling and refurbishment;
• Schedule and costing for the refurbishment and recommissioning of NCK and New Roskear shafts;
• Numerical modelling of the proposed underground mining methods and stope designs;
• Phase 1 of the metallurgical testwork programme (mineralogy, physical competency, characterisation XRT, heavy liquid separation and gravity response testwork);
• Concept engineering on paste backfill options and sighter testwork;
• Ground investigations for the new mineral processing plant; and
• Mineral processing plant design and layout, incorporating the results of the metallurgical testwork programme and potential future throughput expansions;

The following Feasibility Study components are underway:

• Underground mine design and optimisation using the September 2023 South Crofty updated Mineral Resource Estimate;
• A mine ventilation study, underground infrastructure design and hoisting analysis;
• A Feasibility Study level engineering design for the paste backfill plant;
• Hydrogeology, environmental, social, market and closure studies; and
• Underground drilling options review started.

Wide Formation Target Exploration Drilling

• A 14-hole / 9,000 metre drilling programme at the Wide Formation target in the Carn Brea South exploration area commenced in late summer 2023;
• Drill programme to test the geometry and the continuity of tin mineralisation within the Wide Formation target - testing an area measuring 2,500m along strike (northeast to southwest) and 500m downdip (north to south);
• Two drills are on-site with holes No. 7 and No. 8 currently underway;
• Great Flat lode and Wide Formation mineralisation structures have been intersected where expected;
• 4,700 metres drilled to date and assays will be reported when available;
• Drilling programme expected to be completed in summer 2024.

South Crofty Summary (JORC 2012) Mineral Resource Estimate

TECHNICAL INFORMATION

ON BEHALF OF THE BOARD OF DIRECTORS

"Richard D. Williams"

Richard D. Williams, P.Geo

Caution regarding forward looking statements