Euromax Resources Ltd. (TSX-V:EOX) (OTC PINK:EOXFF) is pleased to announce the results of the Feasibility Study for its 100% owned Ilovica gold-copper porphyry project in Macedonia.

The FS supports the economic robustness of the Project previously indicated by the Pre-Feasibility Study and, through the optimization of the processing flow sheet and a more precise level of costing, demonstrates significant reductions in both capex and operating costs, and a consequential increase in the IRR.

FS Highlights:

Financial

• Pre-tax NPV^(5%) of USD 513.0 million and Post-tax NPV^(5%) of USD 440.1 million*
• Pre-tax IRR of 19.8% and Post-tax IRR of 17.8%
• Initial Capex USD474.3 million including contingency
• World Gold Council defined Adjusted Operating Cash Costs of USD 200/oz and All-In Costs of USD 372/oz**

*(Based on Analyst Consensus Long Term Price Forecasts of USD1,220/oz Au and USD2.90/lb Cu)

Reserves & Resources

• Total Measured and Indicated Resources of 256.8 million tonnes sulphide material containing:
  • 2.6 million ounces of gold at an average grade of 0.32 g/t Au
  • 1,208 million pounds (548 thousand tonnes) of copper at an average grade of 0.21% Cu
• Total Proven & Probable Mineral Reserve of 198.1 million tonnes containing:
  • 2.01 million ounces of gold at an average grade of 0.32 g/t Au
  • 898.9 million pounds (408 thousand tonnes) of copper at an average grade of 0.21% Cu

Operational

• Average annual payable production of 83,000 oz of gold and 16,000 tonnes of copper
• Throughput of 10 million tonnes per annum and mine life of 20 years
• Conventional open pit with strip ratio of 1:1
• Process comprises flotation to a copper-gold concentrate and doré production via Carbon-in-Leach (“CIL”) on cleaner-scavenger tailings
• Average overall process recoveries of 83.3% gold and 81.3% copper

The FS further develops and increases the level of engineering for the Project from the Pre-Feasibility Study announced on June 5^th 2014 and as per the Amended Technical Report filed on SEDAR on 22^nd December 2014. The results of the FS also provide for an updated Reserve estimate. A detailed breakdown and discussion of the FS results can be found in the Appendix and an independent NI 43-101 compliant technical report will be filed on SEDAR and the Company’s website within 45 days of this announcement.

The FS was produced by the following experts who worked with the Company’s technical team:

• Amec Foster Wheeler – Processing Plant & Infrastructure and overall report coordination
• Tetra Tech – Geology & Resources
• DMT – Mining
• Golder Associates – Environment; Tailings in association with the Faculty of Civil Engineering from St. Cyril and Methodius University of Skopje
• Schlumberger Water Services – Hydrology & Hydrogeology, Water

Project Advancement

With the completion of the FS the Company is well positioned to continue the development through to construction of Ilovica, which is targeted for the 3^rd quarter of 2016. The Front-End Engineering and Design work has already been initiated with Amec Foster Wheeler. As well as advancement of long-lead and critical path elements of the project engineering, the FEED will include value engineering aimed at further optimising the project in parallel with the appointment of an EPC contractor during the period up to construction. Work is continuing on the updated Environmental and Social Impact Study the national Environmental Impact Study, which has already been approved, is being expanded to include EBRD Performance Requirements and Equator Principle compliance. In parallel, the Company is working on the Main Mining Project, which is the final submission required under the Macedonian Minerals Law to obtain the construction permit.

Euromax has begun the process of hiring the key personnel required to oversee construction of Ilovica with Alan Baker recently appointed Vice President, Project & Construction Manager.

Financing

On 3^rd November, Euromax agreed and signed a Second Amendment to the Gold Purchase and Sale Agreement with Royal Gold. The signing of the Second Amendment allowed the further drawdown of USD 3.75 million from Royal Gold under the Gold Purchase and Sale Agreement in during November. The Second Amendment has been filed on SEDAR. The Company expects to draw the remaining USD 3.75 million of the second tranche under the Gold Purchase and Sale Agreement from Royal Gold on satisfaction of the conditions in the Second Amendment during the first quarter of 2016.

Euromax has made significant progress towards on the Project Financing announced on 1^st May 2015. Société Générale S.A. and UniCredit Bank AG the Mandated Lead Arrangers for the USD 215 million Senior Secured Project Finance Facility and their consultants completed their site visits in October 2015. They are in the process of completing their technical, environmental and social due diligence reports, incorporating the results from the FS. On 8^th December 2015, Euromax signed an offtake term sheet with Aurubis, which was a key condition to the UFK in-principle eligibility secured in May 2015. Management views UFK eligibility as an important step in securing the financing for the project as it allows Euromax to secure very attractive terms on the Project Finance Facility. The FS incorporates the terms agreed with Aurubis. In addition, a term sheet has been signed with Caterpillar Financial for a USD 25 million equipment financing facility.

Commenting on the results of the PFS, Pat Forward, Chief Operating Officer, said: “Following a year of intense work on site and with our various partners in the study, we are delighted that Ilovica still highlights a robust project. We have been able to achieve all the main aims of the study including an improvement in Mineral Resource and Reserve classification, refinement of the flow sheet, estimation of costs to +/- 10% and an improved level of engineering. Both capital and operating costs have been optimised in the new study, which provides an excellent basis for the project implementation. “

Commenting on the results of the PFS, Steve Sharpe, President & CEO, said: “The Feasibility Study results support the economic viability of the Ilovica Project. As most new and expansion projects around the World are mothballed in response to the recent downturn in commodity prices, we believe that this is an ideal time for building, so as to exploit the supply shortages that will likely occur. We believe that not only are we well positioned to benefit from any improvement in commodity prices, but with cash operating costs now reduced to the USD 200/oz level we are equally well equipped to withstand any sustained weakness in commodity markets, whilst remaining cash flow positive. With a 20-year mine life, this is an important project for Macedonia which could enhance the economic profile of the country. The overwhelming support that we continue to receive from all stakeholders allows us to move confidently towards our stated goal of starting construction later this year.”

About Euromax Resources Ltd.

Euromax has a major development project in Macedonia and an exploration services company in Bulgaria. We are focused on building and operating the Ilovica copper/gold project in Macedonia, as well profitably deploying the wealth of exploration experience within our Bulgarian Exploration Services subsidiary