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Canada Nickel and the University of Texas Successfully Complete Carbon Sequestration Pilot at the Crawford Nickel Project

Corporate Updates

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Canada Nickel and the University of Texas

Successfully Complete Carbon Sequestration Pilot

at the Crawford Nickel Project

Highlights:

• In-situ carbon injection pilot successfully sequesters 12 tonnes of CO2 at the Crawford Nickel Project

• Project demonstrates another permanent CO2 storage pathway, distinct from the Company’s IPT

Carbonation and NetCarb processes

TORONTO, February 19, 2026 - Canada Nickel Company Inc. ("Canada Nickel" or the " Company") (TSX-V:CNC)

(OTCQB: CNIKF) is pleased to announce the successful completion of an in-situ carbon sequestration pilot study at

its flagship Crawford Nickel Project (“Crawford”), near Timmins, Ontario.

The pilot was conducted in collaboration with the U.S. Department of Energy ’s Advanced Research Projects Agency –

Energy (DOE ARPA-E) funded team, led by Dr. Estibalitz Ukar, Research Associate Professor at the University of Texas

at Austin.

“This achievement marks another critical milestone toward realizing a Zero -Carbon Industrial Cluster in the

Timmins region. By successfully demonstrating a third pathway for utilizing our ultramafic deposits to capture and

store carbon – in addition to the IPT Carbonation and NetCarb processes – we are expanding the tools available

for large-scale decarbonization” said Mark Selby, CEO of Canada Nickel . “The direct injection approach, which is

implemented prior to mining, has the potential to lower future min ing costs by pre -conditioning and fracturing

the rock mass, making it less energy intensive to blast and process during crushing and grinding. The results also

leverage portions of ultramafic deposits that lack economically recoverable minerals, turning th em into valuable

assets for environmental carbon removal.”

Dr. Ukar added, “The Crawford in-situ mineralization field test shows that carbon capture doesn’t have to be an

add-on to mining—it can be built in from the very beginning. What we demonstrated at Crawford represents more

than an experiment at a single site, it’s a scalable model for how mining can contribute to global decarbonization.

In-situ minerali zation allows us to permanently store CO₂ while simultaneously reducing mining energy

requirements, creating both environmental and economic value.”

After nearly two years of planning, laboratory experiments, and deployment of an extensive monitoring network,

the CO₂ injection field test was conducted between mid-November and mid-December 2025. All data collected to

date indicate that the field test proceeded as planned and was a success: approximately 12 tonnes of injected CO₂

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remained dissolved at depth, with no surface leakage detected.

Starting on November 20, 2025, the pilot project conducted short-duration injection trials over a 12-day period, until

December 1st. From December 2nd until December 18th, CO2-saturated water was injected continuously at a constant

CO2 delivery rate injected into a single injection well drilled to a depth of 396m. The well was cased to 350m,

establishing an injection interval between 350m and 396m. The trials confirmed that the injected CO₂ remained fully

dissolved within the water column, with no upward migration of CO₂ gas observed.

The water used to dissolve carbon dioxide was sourced from an onsite well. The well configuration for the test

consisted of an injection well (IN), a water supply well (SW), four water monitoring wells, 12 surface seismic monitoring

stations, and three seismic monitoring boreholes (Figure 1).

Figure 1. Location of drillholes and stations for the Carbon sequestration test at Crawford.

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Seismicity and potential CO₂ gas leakage was continuously monitored throughout the field test. No significant seismic

events (M>1) were detected, and no CO₂ was observed emerging from monitoring wells or through the silty

sedimentary cover. Preliminary chemical analyses indicate that, at the time of writing, the injected CO₂-rich water had

not reached the monitoring wells , as predicted by reactive transport modelling . No surface leakage was detected,

providing a strong indication that, as expected, all injected CO₂ remained at depth.

In the coming months, monitoring of seismicity, water chemistry through regular sampling, and potential CO₂ gas

leakage will continue. Monitoring wells will be re -entered and sampled in the spring, following several months of

reaction, and prior to ground thaw, to ensure access to the site. The area is also being monitored using InSAR satellite

measurements. Monitoring will continue for several months as the team tracks seismicity and water chemistry to

continue understanding and documenting subsurface fluid flow and reaction processes.

This initiative is independent of Canada Nickel’s In -Process Tailings (IPT) Carbonation and NetCarb Programs

(processes in which CO2 is injected and stored in waste rock and tailings) and represents a key step in expanding

the Company’s carbon capture and storage capabilities. Results from this study will help guide future post-mining

carbon sequestration strategies, further strengthening Canada Nickel’s vision for a Zero-Carbon Industrial Cluster

in the Timmins Region.

About Canada Nickel Company

Canada Nickel Company Inc. is advancing the next generation of nickel-sulphide projects to deliver nickel required

to feed the high growth electric vehicle and stainless -steel markets. Canada Nickel Company has applied in

multiple jurisdictions to trademark the terms NetZero NickelTM, NetZero CobaltTM, NetZero IronTM and is pursuing

the development of processes to allow the production of net zero carbon nickel, cobalt, and iron products. Canada

Nickel provides investors with leverage to nickel in low political risk jurisdictions. Canada Nickel is currently

anchored by its 100% owned flagship Crawford Nickel-Cobalt Sulphide Project in the heart of the prolific Timmins-

Nickel District. For more information, please visit www.canadanickel.com.

For further information, please contact:

Mark Selby

CEO

Phone: 647-256-1954

Email: [email protected]

Cautionary Note and Statement Concerning Forward Looking Statements

This press release contains certain information that may constitute "forward -looking information" under

applicable Canadian securities legislation. Forward looking information includes, but is not limited to, the potential

and viability of carbon sequestration generally, the impact of drilling on the definition of any resource, timing and

completion (if at all) of additional mineral resource estimates, the potential of the Timmins Nickel District,

strategic plans, including future exploration and developmen t plans and results, and corporate and technical

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objectives. Forward-looking information is necessarily based upon several assumptions that, while considered

reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual

results and future events to differ materially from those expressed or implied by such forward-looking information.

Factors that could affect the outcome include, among others: future prices and the supply of metals, the future

demand for metals, the results of drilling, inability to raise the money necessary to incur the expenditures required

to retain and advance the property, environmental liabilities (known and unknown), general business, economic,

competitive, political and social uncertainties, results of exploration programs, risks of the mining industry, delays

in obtaining governmental approvals, failure to obtain regulatory or shareholder approvals. There can be no

assurance that such information will prove to be accurate, as actual results and future events could differ

materially from those anticipated in such information. Accordingly, readers should not place undue reliance on

forward-looking information. All forward-looking information contained in this press release is given as of the date

hereof and is based upon the opinions and estimates of management and information available to management

as at the date hereof. Canada Nickel disclaims any intention or obligation to update or revise any forward-looking

information, whether because of new information. Neither TSX Venture Exchange nor its Regulation Services

Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy

or accuracy of this release.