Kodiak Copper Corp. Identifies New Geophysical Drill Targets Near Gate Zone

Highlights

• 3D Induced Polarization (3D IP) geophysical and soil geochemical surveys conducted in 2021 have identified new high-priority drill targets in the Gate Zone area and detected three new kilometre-scale copper-gold geochemical trends on the MPD project.

• A new one kilometre long parallel "look-alike" 3D IP response similar to the response of copper-gold mineralization drilled at Gate has been identified 600 metres to the southeast of the Gate Zone (figures 1 and 2).

• Conductive 3D IP anomalies traced to depth highlight potential extensions of Gate Zone mineralization along strike and down plunge to the south and southeast (figures 1 and 2).

• Results from the 2021 soil geochemical survey highlight three new kilometre-scale copper-gold target areas in the Gate, Man and Dillard areas (figure 3). Prospecting results from 2021 have also identified new prospects. These new target areas will be followed up in 2022.

• A large drill program of approximately 25,000 metres is planned for 2022 to further evaluate Gate and advance other high-priority targets in the Dillard, Man and Axe areas. These prospects exhibit similar regional geophysical and geochemical anomalies, with near-surface mineralization reported from historic trenches and drilling.

Claudia Tornquist, President and CEO of Kodiak said, "We are very pleased with the results from our geophysics survey which has given us compelling targets that have never been drilled. The geophysical data indicates possible extensions of the Gate Zone, which highlights the potential to further extend the mineralization at Gate substantially. Even more exciting is the large look-alike geophysical anomaly just a short distance to the east, which represents an entirely new drill target of significant size. The new geophysical data correlates exceptionally well with our drill results so we now have an invaluable tool to target our drilling even more effectively. 2022 could hold a game-changing discovery as we are replicating our successful approach from the Gate Zone at other new and historic target areas like Prime, Dillard, Man and Axe, and continue to uncover a district-scale, multi-centred porphyry system at MPD."

• Deeper 3D IP geophysical surveys were undertaken in 2021 to identify new targets similar to the Gate Zone high-grade copper-gold discovery as Kodiak interprets the MPD property as hosting a shallowly-eroded porphyry-related copper-gold mineralized system, where higher-grade mineralization may be more fully preserved at depth.

• The new data identified geophysical drill targets near the Gate Zone that are more extensive than indicated by historic shallow IP data, supporting Kodiak's exploration thesis.

• Conductive and chargeability anomalies validate the interpreted and untested plunge of the Gate Zone to the east-southeast based on drilling, which may represent undrilled extensions to the zone. The 3D IP data also highlights a potential, undrilled connection between the Gate Zone and Prime target.

• None of these new 3D IP geophysical targets have been tested to date. These prospective porphyry-style targets will be included as part of the 2022 drill campaign.

• The 3D IP data corelates exceptionally well with drilled copper-gold mineralization at Gate, particularly the higher-grade zones which correspond to conductive responses (resistivity lows) and chargeability trends.

• 3D IP will be a valuable tool to for future drilling at Prime, Man, Dillard, Axe and other target areas on the property, particularly in areas with shallow copper and gold demonstrated in historic work.

3D Induced Polarization Survey (3D IP)

In October 2021, Kodiak contracted SJ Geophysics Ltd. to conduct the first deep DC Resistivity/Induced Polarization (3DIP) survey on the MPD Project. The survey consisted of 19.8 line kilometres covering a 1.6 x 2.0 kilometre area centred on the Gate copper-gold porphyry zone and historic Prime target. Based on the survey configuration, the 3D IP survey data is interpreted to a depth of 500 metres. The survey also included a Magnetotelluric (MT) survey simultaneous with the IP survey. The benefit of the MT survey is deeper penetration that will provide a link to the ZTEM airborne data collected by Kodiak in 2020.

Historic shallow IP suggested a correlation of higher grade copper-gold mineralization at Gate with north easterly trending structures or zones defined by conductivity (low resistivity) and chargeability anomalies. The purpose of the new 3D IP survey was to characterise the geophysical response of drilled copper-gold mineralization at Gate below historic IP data (~200 metres depth). The new 3D IP survey corelates exceptionally well with the known mineralization at Gate, particularly higher grade zones which correspond to conductive responses on the flanks of resistive highs and chargeability trends at depth.

In addition, new 3D IP conductive anomalies traced to depth coincide with, and extend beyond copper grades noted in drilling, thereby highlighting the potential to expand Gate Zone mineralization along strike and down plunge to the south and southeast. The 3D IP data also highlights a potential connection between the Gate Zone and the Prime target, with further extension to the northeast. More importantly, a new one kilometre long "look-alike" response similar to Gate occurs 600 metres to the southeast (see Figures 1 and 2). None of the new 3D IP geophysical targets near Gate or along strike of known mineralization has been tested to date. These prospective porphyry-style targets will be included as part of the 2022 drill campaign.

Figure 1: View of stacked conductivity drapes from 3D IP survey looking northeast at 200 m, 300 m, 400 m from surface and below historic IP data . Survey covers 1.6 x 2.0 kilometre area centred on the Gate Zone and historic Prime target. Image also shows Gate Zone drill traces and +0.1% Cu grade shell.

To view an enhanced version of Figure 1, please visit:
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Figure 2: Conductivity drape from 3D IP survey at 300 m below surface at Gate Zone. Image shows excellent correlation of conductive trends to drill mineralization at depth, potential to extend Gate east and southwest to depth, a conductive/structural link between Gate and Prime; and a 1 km long parallel geophysical analogue to Gate situated 650 m to the southeast.

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2021 Soil Geochemical Surveys and Prospecting-Sampling

The Gate Zone corresponds to a one kilometre long copper (and gold) in soil anomaly extending southward toward the Man target. Historic soil geochemical surveys at MPD were restricted to local grids and often omitted specific metal analyses. To infill missing geochemical data and verify historic soil sampling, the Company collected 1,755 soil samples over a 3.5 x 2.0 kilometre area extended southward covering Man, and eastward connecting to the historic Dillard soil surveys.

Samples of "B" horizon subsoil were collected at 50 metre intervals along sample lines spaced 100 metres apart. New assay results from the 2021 soil survey highlight three new kilometre-scale geochemical trends which will be followed up in 2022. Corresponding copper and gold enrichment occurs along an east-west trend just south of the Gate zone, adjacent to Man target area, and has highlighted a significant new two kilometre copper-gold trend parallel to the historic Dillard geochemical anomaly (see Figure 3).

Anomalous copper values up to 1645 ppm and gold values up to 162 ppb coincide in the north central portion of soil survey near Gate; along a two kilometre trend between Man and Dillard; and to a lesser extent east and southeast of Man. Some slight offsets between copper and gold values may be due to peripheral zoning or depth of overburden. Table 1 shows value ranges and anomalous thresholds for copper-gold-silver for the 2021 soil geochemical survey.

As part of 2021 field program, Kodiak staff sampled three trenches in the Dillard East area and explored the broader MPD Property as a whole. Grab and trench samples were collected from outcrops and trenches encountered during prospecting-mapping exercises (see Figure 4). The Company collected 187 rock samples from prospecting and trenching, either as grab samples from outcrop, or chip samples in trenches. Samples collected in several areas returned significant copper mineralization with associated gold and silver.

Prospecting samples from 2021 corroborate historic copper and gold showings and have identified new areas for follow-up in 2022. The top ten select assay results for copper and gold, with rock type descriptions, are included as Table 2 and on Figure 4.

Table 1: 2021 Soil Geochemical Sampling - Comparative Percentile Values

Figure 3: Maps of 2021 soil geochemical survey Cu and Au results. This infill survey has identified three new kilometre scale copper-gold trends central in the Gate, Man and Dillard areas

To view an enhanced version of Figure 3, please visit:
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Table 2: Select 2021 MPD Prospecting Results

*Interval represents sample length and is not intended to reflect true width. Grab samples are selective in nature and not necessarily representative of mineralization on the property.

Figure 4: 2021 MPD Prospecting Sample Map

To view an enhanced version of Figure 4, please visit:
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2022 Exploration Program

Staff are currently working at the Merritt field office and are sampling the remaining 2021 drill core. Throughout Q1 2022 Kodiak will report on outstanding drill results, which includes 12 holes remaining from 36 drilled in 2021 (21,675 metres). Results from 24 holes have been reported to date.

A substantial exploration program is planned for 2022, with field work and drilling resuming in Q1 2022 and approximately 25,000 metres of drilling before year-end. The 2022 program will include testing new geophysical targets from the 2021 3D IP survey and assessing the three new regional copper-gold geochemical trends central to the Gate-Man-Dillard areas. The program will also include continued deep 3D IP surveying in key target areas, follow-up drilling at Dillard, testing analogous targets elsewhere across MPD; and initiating work on the newly acquired Axe Property.

MPD is a large, consolidated land package (14,716 hectares) located near several operating mines in the southern Quesnel Terrane, British Columbia's primary copper-gold producing belt. Systematic exploration has led to the discovery of the Gate Zone where drilling has intersected porphyry-related mineralization along 950 metres of strike, to a depth of 850 metres, and over 350 metres width. The project is located midway between the towns of Merritt and Princeton, with year-round accessibility and excellent infrastructure nearby. The Company has a multi-year, area-based exploration permit that authorizes new drill sites and expanded exploration activity across the MPD property to 2026.

Kodiak Copper Exhibits MPD Project at 2022 AME BC Round Up

Mr. Chris Taylor, M.Sc. P. Geo., Founder and Chairman of Kodiak Copper will be delivering a presentation on the MPD Project during the BC, Yukon and Alaska Technical Session held on February 3, 2022 @ 9:00 am - 11:00 am PDT in Ballroom A (Full Delegate Pass). In addition, the technical team of Kodiak Copper have been invited to highlight the success of the Company's 2021 drill program at the Conference's Core Shack February 2^nd & 3^rd in booth #1004.

You can register for the conference at https://bit.ly/RU22RegisterNow and visit us online at https://ameroundup2022.events.whova.com/Exhibitors/182499.

Kodiak has also granted an aggregate of 1,287,500 stock options to management, directors and consultants of the Company, exercisable at C$1.35 per share for a period of up to five years.

QA/QC Procedures

Technical information and quality assurance with respect to geophysical data in this news release was provided by SJ Geophysics Ltd. Data was collected using the Direct Current Resistivity, Induced Polarization ("DCIP") method, using a 5-line acquisition set, based on two receiver lines (Rc) and three adjacent transmitting lines (Tx), with a line spacing of 100 m. The dipoles were 100 m inline and 100 m cross-lines resulting in an effective dipole size of 141 m. The 3DIP data was acquired with currents injected every 50 m along each of the transmitting lines. Calculated geophysical parameters were provided in an ASCII format, brought into Geosoft's Oasis Montaj platform, and unconstrained 3D inversions of the apparent resistivity and chargeability data were produced using the UBC-GIF DCIP3D inversion codes. Digital maps provided 2D sections and plan maps of the inverted 3D models.

All rock and soil samples were sent to ALS Canada Ltd. (ALS) in North Vancouver, BC for preparation and analysis. ALS meets all requirements of International Standards ISO/IEC 17025:2005 and ISO 9001:2015 for analytical procedures. Rock samples were analyzed using ALS's Fire Assay Fusion method (Au-AA24) with an AA finish for gold; and by a 33-element four acid digest ICP-AES analysis (ME-ICP61) with additional analysis for Ore Grade Elements (ME-OG62) and Ore Grade Cu (Cu- OG62). Soil samples were analyzed using ALS's AuME-ST43 Super Trace Au + Multi Element package. Results were reported in parts per million (ppm) and converted to percent (%), grams per tonne (g/t) or parts per billion (ppb) when applicable. QA/QC includes sample blanks, field duplicates and field standards. Laboratory QA/QC includes standards, duplicates, re-assays, and blanks inserted by ALS. In addition to ALS Laboratory quality assurance / quality control (QA/QC) protocols, Kodiak implements an internal QA/QC program that includes the insertion of sample blanks, duplicates, and standards in the field.

Jeff Ward, P.Geo, Vice President Exploration and the Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical information contained in this release. Kodiak believes historic results referenced herein to be from reliable sources using industry standards at the time. However, the Company has not independently verified, or cannot guarantee, the accuracy of this historic information.

On behalf of the Board of Directors

Kodiak Copper Corp.

Claudia Tornquist
President & CEO

For further information contact:
Nancy Curry, VP Corporate Development
ncurry@kodiakcoppercorp.com
+1 (604) 646-8362

About Kodiak Copper Corp.

Kodiak is focused on its 100% owned copper porphyry projects in Canada and the USA. The Company's most advanced asset is the MPD copper-gold porphyry project in the prolific Quesnel Trough in south-central British Columbia, Canada, where the Company made a discovery of high-grade mineralization within a wide mineralized envelope in 2020. Kodiak also holds the Mohave copper-molybdenum-silver porphyry project in Arizona, USA, near the world-class Bagdad mine. Kodiak's porphyry projects have both been historically drilled and present known mineral discoveries with the potential to hold large-scale deposits.

Kodiak's founder and Chairman is Chris Taylor who is well-known for his gold discovery success with Great Bear Resources. Kodiak is also part of Discovery Group led by John Robins, one of the most successful mining entrepreneurs in Canada.

Neither 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.

Forward-Looking Statement (Safe Harbor Statement): This press release contains forward-looking statements within the meaning of applicable securities laws. The use of any of the words "anticipate", "plan", "continue", "expect", "estimate", "objective", "may", "will", "project", "should", "predict", "potential" and similar expressions are intended to identify forward-looking statements. In particular, this press release contains forward-looking statements concerning the Company's exploration plans. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company cannot give any assurance that they will prove correct. Since forward-looking statements address future events and conditions, they involve inherent assumptions, risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of assumptions, factors and risks. These assumptions and risks include, but are not limited to, assumptions and risks associated with conditions in the equity financing markets, and assumptions and risks regarding receipt of regulatory and shareholder approvals.

Management has provided the above summary of risks and assumptions related to forward-looking statements in this press release in order to provide readers with a more comprehensive perspective on the Company's future operations. The Company's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits the Company will derive from them. These forward-looking statements are made as of the date of this press release, and, other than as required by applicable securities laws, the Company disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise.