Trilogy Metals Reports Additional Drill Results from 2017 Bornite Exploration Program

VANCOUVER, Dec. 4, 2017 /CNW/ - Trilogy Metals Inc. (TSX, NYSE American: TMQ) ("Trilogy Metals" or the "Company") is pleased to announce additional results from this summer's exploration diamond drilling program at the Bornite Project, a part of the Company's Upper Kobuk Mineral Projects ("UKMP") located in the Ambler mining district of Northwest Alaska.

The recently completed 2017 Bornite exploration program included a total of 9 drill holes comprising 8,437 meters. Note that due to inclement weather, two holes (RC17-241 and 242) were stopped before reaching target depth and cemented in preparation for re-entry during the 2018 drill program. The focus of this year's program was to target high-grade copper mineralization north and east of the previously identified resources and to define the edges of the mineralized system.

Sample results from the first three holes comprising 3,083 meters of the then in-progress drill campaign were released on September 18, 2017 (https://Trilogy PR Sep 18 2017). The initial three drill holes showed thick and continuous intervals of copper mineralization and represented up to 300 meter off-sets from the Company's last round of drill holes completed in 2013, which shows that the Bornite mineralized system continues to significantly expand.

Results from 4 further drill holes (RC17-237; 238w; 239; and 240), comprising 4,321 meters and representing 300 to 400 meter off-sets from the first three drilled holes, continue to show significant intervals of high-grade copper. (See Figures 1 through 3 for cross sections of the Bornite Project drilling and Figure 4 for a map of the 2017 drill holes). This year's drilling is also showing strong northwest and northeast mineralization not previously recognized. (See Figure 5 - Grade Thickness Map).

At a cutoff grade of 0.5% copper, the results are as follows:

• RC17-237 intersected two mineralized intervals totaling 30.5 meters averaging 0.73% copper;
• RC17-238W intersected four mineralized intervals totaling 32.4 meters averaging 1.03% copper;
• RC17-239 intersected three mineralized intervals totaling 50.6 meters averaging 1.36% copper; and
• RC17-240 intersected one mineralized interval totaling 25.1 meters averaging 0.96% copper.

Results are presented in Table 2 at a cutoff grade of 0.5% copper to be comparable with previous drill results released by the Company. Results at a more selective higher grade cutoff of 1.0% copper are also presented in Table 3 to show locally higher grade intervals.

Rick Van Nieuwenhuyse, President and CEO of Trilogy Metals commented, "It was unfortunate that we could not complete two of the planned holes due to weather, but rest assured that we will complete these next year. The remaining four drill holes represent very large step outs from all previous drilling and demonstrate that the Bornite system continues to grow. We have essentially doubled the size of the mineralized footprint with an overall Bornite system now measuring 1500 meters by 2500 meters defined by a 50 Meter x % copper - that is 50 meters averaging at least 1% copper or better (see Figure 5). In particular, the grade x thickness map suggests NE and NW oriented controls on higher grade mineralization. Structural studies are ongoing with the voluminous amount of 3D structural data collected over the course of the summer drill program. This work will be focused on defining preferred mineralized corridors as defined by vein and breccia orientations to develop a sense of ore and grade controls. In addition, we continue to see significant cobalt occurring as carrolite and cobaltiferous pyrite. Electron microprobe and metallurgical work will be conducted during the winter months with the objective of determining if the cobalt can be concentrated into a saleable product. If it is determined that it can, then cobalt will be added to the resource base as a potentially valuable metal which could enhance the value of Bornite".

Rick Van Nieuwenhuyse further commented, "We are in the process of planning the 2018 program with an estimated US$10 million budget. One component of the program will include a seismic program to be completed in the spring time when the ground is still frozen and the daylight has returned. The balance of the program will be directed at further in-fill and expansion drilling. The bornite-chalcocite-chalcopyrite minerals at the Bornite Project lend themselves well to forming a high-quality copper concentrate with no deleterious materials".

Trilogy Metals has recently completed US$10 million exploration drill program at Bornite was funded by South32 Limited per the agreement announced on April 10, 2017 (https://Trilogy PR April 10 2017). The program was approved by a joint Trilogy-South32 Technical Committee and was focused on drilling the extensions of mineralization last drilled by the Company in 2013. South32 has until January 31, 2018 to elect to fund a second US$10 million program.

Bornite Resource

In April of 2016, the Company announced an updated resource estimate for the Bornite project of 5.5 Billion pounds of copper inferred resource at a grade of 2.26% Cu and 913 Million pounds of copper indicated resource at a grade of 1.02% Cu, based on the Company's previous three field seasons of exploration drilling and re-assaying of previously drilled core from Kennecott. Additional information on the Bornite project can be found in the Company's technical report titled "Amended NI 43-101 Technical Report on the Bornite Project, Northwest Alaska, USA" with an effective date of April 19, 2016 and a release date of October 12, 2017 available under the Company's profile on SEDAR at www.sedar.com and EDGAR at www.sec.gov.

QA/QC Program

The drill program, sampling protocol and data verification were managed by qualified persons employed by Trilogy Metals. The diamond drill holes were typically collared at HQ diameter drill core and reduced to NQ diameter during the drilling process. Samples were collected using a 0.2-meter minimum length, 2.5-meter maximum length and 1.7-meter average sample length. Drill core recovery averaged 88% overall and 91% within the prospective lithologies. The drill core was sawn, with half sent to ALS Minerals in Fairbanks for sample preparation and the sample pulps forwarded to ALS's North Vancouver facility for analysis. ALS Minerals in North Vancouver, B.C., Canada, is a facility certified as ISO 9001:2008 and accredited to ISO / IEC 17025:2005 from the Standards Council of Canada. Three quality control samples (one blank, one standard and one duplicate) were inserted into each batch of 20 samples. Results of the control samples were reviewed by the qualified person and were all within acceptable limits. Trilogy Metals will submit 5% of the assay intervals from prospective lithologies to an independent check assay lab.

Table 1 - 2017 Bornite drill hole locations

UTM North 4 coordinate system (meters), NAD83 Datum

Table 2 - 0.5% Cu Cut‐off with maximum 5m internal waste ‐ Minimum 5m interval

Table 3 - 1.0% Cu Cut‐off with maximum 5m internal waste ‐ Minimum 4m interval

Qualified Persons

Andrew W. West, Certified Professional Geologist, Exploration Manager for Trilogy Metals Inc., is a Qualified Person as defined by National Instrument 43-101. Mr. West has reviewed the technical information in this news release and approves the disclosure contained herein.

About Trilogy Metals

Trilogy Metals Inc. is a metals exploration company focused on exploring and developing the Ambler mining district located in northwestern Alaska. It is one of the richest and most- prospective known copper-dominant districts located in one of the safest geopolitical jurisdictions in the world. It hosts world-class polymetallic VMS deposits that contain copper, zinc, lead, gold and silver, and carbonate replacement deposits which have been found to host high grade copper mineralization. Exploration efforts have been focused on two deposits in the Ambler mining district - the Arctic VMS deposit and the Bornite carbonate replacement deposit. Both deposits are located within the Company's land package that spans approximately 143,000 hectares. The Company has an agreement with NANA Regional Corporation, Inc., a Regional Alaska Native Corporation that provides a framework for the exploration and potential development of the Ambler mining district in cooperation with local communities. Our vision is to develop the Ambler mining district into a premier North American copper producer.