TORONTO, ON / August 3, 2023 / Power Nickel Inc. (the "Company" or "Power Nickel")(TSXV:PNPN)(OTCQB:PNPNF)(Frankfurt:IVVI) is pleased to announce a proposed privateplacement (the "Offering") of up to 4,500,000 flow-through shares (each, an "FT Share") of theCompany, for $0.50 per FT Share, for aggregate gross proceeds of up to CAD 2,250,000.
Each FT Share will be composed of one common share of the Company that qualifies as a "flow-through share" (each, an "FT Share") for purposes of the Income Tax Act (Canada) (the"ITA"). All securities issued under the Private Placement will be subject to a four-month andone-day statutory hold period.
The Company intends to use the gross proceeds from the sale of the FT Shares for explorationactivities on the Company's NISK property located in Quebec and to incur eligible Canadianexploration expenses, within the meaning of the ITA, that will qualify for the federal 30%Critical Mineral Exploration Tax Credit.
The Company has signed subscription forms and expects to close the deal in early August. ThePrivate Placement is subject to TSX Venture Exchange ("TSXV") approval.
About Power Nickel Inc.
Power Nickel is a Canadian junior exploration company focusing on developing the High-GradeNisk project into Canada's first Carbon Neutral Nickel mine.
On February 1, 2021, Power Nickel (then called Chilean Metals) completed the acquisition of itsoption to acquire up to 80% of the Nisk project from Critical Elements Lithium Corp. (CRE:TSXV). Subsequently, Power Nickel has exercised its option to acquire 50% of the Nisk Projectand delivered notice to Critical Elements that it intends to exercise its second option to bring itsownership to 80%. The last remaining commitment to activate this exercise of the option is thedelivery of a NI-43-101 Technical report which is anticipated to occur at the latest in Q4 2023.
The NISK property comprises a significant land position (20 kilometers of strike length) withnumerous high-grade intercepts. Power Nickel is focused on expanding the historical high-gradenickel-copper PGE mineralization with a series of drill programs designed to test the initial Niskdiscovery zone and to explore the land package for adjacent potential Nickel deposits.
In addition to the Nisk project, Power Nickel owns significant land packages in British Colombiaand Chile. Power Nickel is expected to reorganize these assets in a related public vehicle througha plan of arrangement.
Power Nickel announced on June 8, 2021, that an agreement had been made to complete the 100% acquisition of its Golden Ivan project in the heart of the Golden Triangle. The GoldenTriangle has reported mineral resources (past production and current resources) in 130 millionounces of gold, 800 million ounces of silver, and 40 billion pounds of copper (Resource World).This property hosts two known mineral showings (gold ore and Magee) and a portion of the past-producing Silverado mine, reportedly exploited between 1921 and 1939. These mineral showingsare Polymetallic veins containing quantities of silver, lead, zinc, plus/minus gold, and plus/minuscopper.
Power Nickel is also 100 percent owner of five properties comprising over 50,000 acresstrategically located in the prolific iron-oxide-copper-gold belt of northern Chile. It also owns a3-per-cent NSR royalty interest on any future production from the Copaquire copper-molybdenum deposit sold to a subsidiary of Teck Resources Inc. Under the terms of the saleagreement, Teck has the right to acquire one-third of the 3-per-cent NSR for $3 million at anytime. The Copaquire property borders Teck's producing Quebrada Blanca copper mine in Chile'sfirst region.
For further information on Power Nickel Inc., please contact:
Mr. Terry Lynch, CEO
647-448-8044
terry@powernickel.com
For further information, readers are encouraged to contact:
Power Nickel Inc.
The Canadian Venture Building
82 Richmond St East, Suite 202
Toronto, ON
Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
Cautionary Note Regarding Forward-Looking Statements
This message contains certain statements that may be deemed "forward-looking statements" with respect to the Company within the meaning of applicable securities laws. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential", "indicates", "opportunity", "possible" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, are subject to risks and uncertainties, and actual results or realities may differ materially from those in the forward-looking statements. Such material risks and uncertainties include, but are not limited to, among others, the timing for the Company to close the private placement or the second Nisk option or risk that such transactions do not close at all; raise sufficient capital to fund its obligations under its property agreements going forward; to maintain its mineral tenures and concessions in good standing; to explore and develop its projects; changes in economic conditions or financial markets; the inherent hazards associates with mineral exploration and mining operations; future prices of nickel and other metals; changes in general economic conditions; accuracy of mineral resource and reserve estimates; the potential for new discoveries; the ability of the Company to obtain the necessary permits and consents required to explore, drill and develop the projects and if obtained, to obtain such permits and consents in a timely fashion relative to the Company's plans and business objectives for the applicable project; the general ability of the Company to monetize its mineral resources; and changes in environmental and other laws or regulations that could have an impact on the Company's operations, compliance with environmental laws and regulations, dependence on key management personnel and general competition in the mining industry.
