RELEASE
COPPER FOX ANNOUNCES THE WITHDRAWAL OF A PRIVATE PLACEMENT
FINANCING
Calgary, Alberta, Canada, December 16, 2008; Copper Fox Metals Inc.

announces that
a non-brokered private placement with a related party to issue up to 25,000,000 units at
a price of $0.12 per share for gross proceeds of $3,000,000 originally disclosed on
November 7, 2008 has been cancelled and the "offering" withdrawn.

The Company is
investigating the situation with its legal counsel.

Concurrently management is pursuing
alternative sources to obtain additional working capital.
About Copper Fox
Copper Fox is a Canadian-based mining company listed on the TSX-Venture Exchange
(CUU).

The Company"s activities are focused exclusively on the Schaft Creek mineral
property, one of the largest undeveloped copper, gold, molybdenum and silver deposits
in Canada.

Copper Fox holds the Schaft Creek property pursuant to an option
agreement with Teck Cominco Limited (Teck) and has earned a direct 70%.The
Company may acquire up to a 93.4% direct and indirect interest in the property, subject
to certain back-in rights to Teck.
Schaft Creek comprises 20,932 hectares situated in northwest British Columbia,
Canada at 57° 21" N latitude and 130° 59" W longitu de on the eastern slopes of the
Coastal Mountain ranges.

Schaft Creek is situated between the highway and the
glaciers in the area, and benefits from a significantly lower average rain and snowfall
compared to the Pacific (west) side of these same ranges.
The Company released the results of its preliminary feasibility study (PFS) on
September 15, 2008.

The PFS was based on a 100,000 tonne per day open pit mine
with a minable reserve of 812 million tonnes.

The report indicated Schaft Creek could
produce 4.762 billion pounds of copper, 255.1 million pounds of molybdenum, 4.493
million ounces of gold and 32.480 million ounces of silver over a 22.6 year mine life with
a pretax Net Present Value of $2.764 billion discounted at 8%.

The Company plans to
proceed with the completion of a full feasibility study on this project.
For additional information contact:
Investor inquiries: Jason Shepherd, Phoenix Communications Group Tel: 1-866-913-
1910, E-mail:
On behalf of the Board of Directors
Guillermo Salazar S, President and CEO
The TSX Venture Exchange has not reviewed the contents of this news release and accepts no
responsibility for the adequacy or the accuracy thereof.
Cautionary Note Regarding Forward-Looking Information
This news release includes "forward-looking information" within the meaning of the Canadian securities laws.

All statements, other
than statements of historical fact, included herein and including, without limitation; anticipated dates for receipt, commencement or
completion of permits, approvals, construction, production and other milestones; anticipated results of drilling programs, scoping,
prefeasibility and feasibility studies and other analyses; anticipated availability and terms of future financings; estimated timing and
amounts of future expenditures; Copper Fox"s future production, operating and capital costs; operating or financial performance;
geological interpretations and potential mineral recovery processes, are forward-looking statements.

Information concerning mineral
reserve and resource estimates also may be deemed to be forward-looking information in that it reflects a prediction of the
mineralization that would be encountered if a mineral deposit were developed and mined.

Forward-looking information is necessarily
based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to
significant business, economic and competitive uncertainties, risks and contingencies.

For any forward looking information given,
management has assumed that the geological, metallurgical, engineering, financial and economic advice it has received is reliable,
and is based upon practices and methodologies which are consistent with industry standards.

There can be no assurance that such
information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such
information.

Important factors that could cause actual results to differ materially from Copper Fox"s expectations include: fluctuations
in copper and other commodity prices and currency exchange rates; uncertainties relating to interpretation of drill results and the
geology, continuity and grade of mineral deposits; uncertainty of estimates of capital and operating costs, recovery rates, production
estimates and estimated economic return; the need for co-operation of government agencies and native groups in the exploration
and development of properties and the issuance of required permits; the need to obtain additional financing to develop properties
and uncertainty as to the availability and terms of future financing; the possibility of delay in exploration or development programs or
in construction projects and uncertainty of meeting anticipated program milestones; uncertainty as to timely availability of permits
and other governmental approvals; and other risks and uncertainties disclosed in Copper Fox"s continuous disclosure filings with
Canadian securities regulatory authorities at www.sedar.com.

The forward-looking information in this news release is based on
Copper Fox"s current expectations and Copper Fox assumes no obligations to update such information to reflect later events or
developments, except as required by law.