Canada Nickel Announces Creation of 'ExploreCo' Subsidiary with Spin-out of Eastern Exploration Properties and Consolidation of Crawford Regional Land Package
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Canada Nickel Announces Creation of 'ExploreCo' Subsidiary
with Spin-out of Eastern Exploration Properties and
Consolidation of Crawford Regional Land Package
Highlights
• Consolidation of the Canada Nickel-Noble joint venture in Mann Township and other Canada
Nickel exploration projects East of Timmins into a single private company owned 80% by
Canada Nickel and 20% by Noble Mineral Exploration.
• Consolidation of all Crawford and adjacent township mining and surface rights facilitate and
simplify acquisition of the required surface rights required to begin construction of the
Crawford Nickel Sulphide Project.
TORONTO, July 8, 202 4 – Canada Nickel Company Inc. ("Canada Nickel " or the " Company")
(TSXV: CNC) (OTCQX: CNIKF) is pleased to announce that it has signed a binding letter of Intent (the
“LOI”) with Noble Mineral Exploration Inc. (“Noble”) dated July 5 th, 2024 whereby Canada Nickel and
Noble will contribute certain mining properties , including the existing Mann joint venture , into a new
private company (“ExploreCo”) to consolidate their respective interests in the portfolio of nickel projects
northeast of Timmins, Ontario.
As part of the transaction, Canada Nickel will consolidate ownership of the mining rights and access to the
surface rights for certain key patents in Aubin, Crawford, Carnegie, Dargavel, Kidd, Lennox, Lucas, Nesbitt,
Prosser, and Wark townships currently held by Noble, which facilitates and simplifies future development
of Crawford and other nearby regional properties held by Canada Nickel.
Mark Selby, CEO of Canada Nickel, commented: “Today is the first of a set of transactions designed to
unlock value from our significant asset portfolio. The creation of ExploreCo will facilitate the ability to
realize the future value of these properties that are not currently recognized in Canada Nickel’s market
value. This transaction also allows the Company to consolidate the surface rights, remaining claims, and
patents around the Crawford Nickel Sulphide Project to simplify the development of Crawford and our
future projects.”
Overview of ExploreCo
ExploreCo, the name of which will be announced in due course, will be led by Canada Nickel’s current Vice
President of Exploration, Steve Balch. Canada Nickel will also continue to operate and provide
administrative and technical support to ExploreCo. Noble will have the right to nominate one director to
the Board of Directors of ExploreCo, Canada Nickel will have the right to appoint 2 directors, and 2
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directors will be mutually agreed. ExploreCo may seek to become publicly listed if market conditions
permit.
ExploreCo will control 1,989 mining claims totaling approximately 42,000 hectares and will include nickel
properties in Mann, Newmarket, and Reaume Townships as well as Calder, Galna, McCool, Moody,
Mortimer, Stimson, and other properties currently held by Canada Nickel (see Figure 1).
The first $5 million of funding for ExploreCo will be provided from existing funds by Canada Nickel, after
which costs will be funded by pro rata ownership, which will initially be 80% Canada Nickel and 20% Noble.
Canada Nickel and Noble will continue to maintain their existing royalty rights on the ExploreCo claims, as
will previous claim owners who had vended claims to Noble.
Consolidation of Crawford Region Mining & Surface Rights
As part of the transaction, Noble will also transfer 832 mining claims and 291 mining patents to Canada
Nickel in Calder, Duff, Jamieson, Jessop, and MacDiarmid townships. Noble retains certain exploration
rights for non-nickel opportunities subject to Canada Nickel approval on the properties that it previously
owned in Carnegie, Prosser, Kidd, and Wark townships. Canada Nickel will also issue 162,000 common
shares to Noble to be utilized to consolidate ownership of a set of properties which are currently owned
by a third party.
The transactions under the LOI remain subject to the parties negotiating a definitive agreement, as well
as other customary conditions and receipt of all regulatory and third party approvals, including approval
of the TSX Venture Exchange. As such, Noble and Canada Nickel will announce further details as work on
the transaction proceeds.
Figure 1 – ExploreCo’s properties, shown in magenta, are located east of Highway 655 and north of
Highway 101, all east of Timmins. Canada Nickel’s properties are shown in red.
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Statement Regarding TSX Venture
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.
Qualified Person and Data Verification
Stephen J. Balch P.Geo. (ON), VP Exploration of Canada Nickel and a "qualified person" as such term is
defined by National Instrument 43 -101 – Standards of Disclosure for Mineral Projects , has verified the
data disclosed in this news release, and has otherwise reviewed and approved the technical information
in this news release on behalf of Canada Nickel Company Inc.
About Canada Nickel Company
Canada Nickel Company Inc. is advancing the next generation of nickel-sulphide projects to deliver nickel
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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 Nickel TM, NetZero Cobalt TM, 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-Cochrane mining camp. For more information, please
visit www.canadanickel.com.
For further information, please contact:
Mark Selby
CEO
Phone: 647-256-1954
Email: [email protected]
Cautionary 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
completion of the transactions described herein, the future development of the Crawford project and
future projects, the creation of value through the formation of ExploreCo, information concerning
ExploreCo, including the ability of ExploreCo to become publicly listed in the future, the timing and anility
(if at all) to enter into a definitive agreement in respect of the transactions described herein, receipt of all
necessary regulatory and third party approvals (including the approval of the TSX Venture Exchange), the
ability to satisfy all condi tions to the transactions , strategic plans, including future exploration and
development results, and corporate and technical 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: the inability to negotiate and execute a definitive agreement, the
inability to receive all necessary regulatory and third party approvals for the transactions, 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 pro grams, risks of the mining industry, delays in obtaining governmental approvals, and
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, reader s 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, future events or otherwise, except as required
by law.