Philex Mining Corporation announced the completion on 31 July 2019 of the updated Mineral Resource Estimate for the Boyongan and Bayugo deposits in accordance with the Philippine Mineral Reporting Code. The Boyongan and Bayugo copper-gold porphyry deposits are located in the Surigao Mineral District at the north-eastern tip of Mindanao Island in the Philippines, approximately 750 km southeast of Manila. The deposits, occurring in one intrusive complex, are the two major assets of Silangan Mindanao Mining Co. Inc. ("SMMCI"), a subsidiary of Philex and is referred to as the Silangan project. The Boyongan deposit lies within tenement MPSA 149-99-XIII of SMMCI while the Bayugo deposit is divided into Bayugo deposit-Silangan and Bayugo deposit-Kalayaan. The Bayugo deposit-Silangan lies within tenements: EP13-XIII and MPSA 149-99-XIII of SMMCI, while the Bayugo deposit- Kalayaan lies within tenement EP14B-XIII of Kalayaan Copper Gold Resources Inc. ("KCGRI"), a joint venture between Manila Mining Corp. ("MMC"; 95%) and Philex (5%). The Bayugo deposit-Kalayaan is under a Farm-in Agreement among Philex, MMC and KCGRI, where Philex has the option to increase its stake from 5% to 60%, subject to conditions provided under the Farm-in Agreement. The Boyongan deposit is the subject of the on-going definitive feasibility studies ("DFS") and the planned filing for the Declaration of Mining Project Feasibility ("DMPF") this year under MPSA 149-99- XIII of SMMCI. The mineral resources at both Boyongan and Bayugo have been classified as Measured, Indicated and Inferred Resources in accordance with the PMRC. The Competent Person is Noel C. Oliveros. The mining method for both deposits is by underground mining for the entire deposit. To meet the requirement of "reasonable prospects of eventual economic extraction" provision in order to declare the Boyongan and Bayugo MRE under the PMRC, the MRE was reported based on a cut-off grade assumption of 0.5% CuEq, which assumes a large-scale operation using underground caving methods. The copper equivalent calculations derived by SMMCI for the Boyongan and Bayugo MRE are CuEq % = Cu % + 0.686 x Au g/t based on SMMCI's estimated copper price for the Silangan and Kalayaan Projects of US$3.20/lb and gold price of US$1,342/oz and recoveries based on the average result from the two processing routes defined for the different material types in the deposit.