First Atlantic Drills New Discovery at RPM Zone with 394 Meters of Visually Disseminated Awaruite, 10 km South of Super Gulp Zone
First Atlantic Drills New Discovery at RPM Zone with 394 Meters of Visually Disseminated Awaruite,
10 km South of Super Gulp Zone
Vancouver, British Columbia – (Globenewswire - November 12, 2024) - First Atlantic Nickel Corp. (TSXV: FAN)
(OTCQB: FANCF) (FSE: P21) ("First Atlantic" or the "Company") is pleased to provide an update on ongoing
drilling at its 100% owned, multi-zone, district-scale Atlantic Nickel Project in central Newfoundland, Canada (the
"Atlantic Nickel Project" or the "Project"). Drilling in the RPM Zone has resulted in a new discovery of
disseminated, visible, sulfur-free nickel-iron alloy (awaruite) throughout a 394-meter hole located 10 km south of
the Super Gulp Zone and 25 km south of historic drilling at Atlantic Lake. This drill hole follows the recent
discoveries of multiple new zones containing visible awaruite across the Project's 30 km nickel trend during the
summer sampling program.
Highlights:
● First Discovery Hole at RPM Zone: The first hole at RPM was drilled to 394 meters, intersecting visible,
disseminated nickel-iron alloy (awaruite) mineralization from the surface throughout the entire drill hole.
● Major Step Out Drilling: The RPM Zone discovery is located 25 km south of historic drilling at Atlantic
Lake and 10 km south of Super Gulp discovery.
● Large Awaruite Grain Size: Large disseminated awaruite grains, visible to the naked eye, increase in
size down hole, frequently exceeding 25 microns. Numerous 500+ micron sized grains were observed
throughout the drill hole, well above the 10-micron threshold for effective magnetic separation1.
● Confirmed Nickel & Chromium Presence: An XRF analyzer confirmed the presence of nickel and
chromium throughout the drill hole. Samples are now being prepared for assays, with results expected
in the coming months.
● Ongoing Drilling at RPM Target: The drill program continues to test the high-priority RPM target, with
ongoing drilling to expand the size and definition of the mineralized area.
● Potential for Low -Cost Mining : The drilling has revealed heavily fractured, broken, and sheared
serpentinized nickel host rock, which may allow for lower-cost initial mining methods like ripping instead
of conventional drilling and blasting.
● Smelter-Free Nickel: Awaruite (Ni3Fe), a sulfur -free nickel-iron alloy, allows for magnetic processing
without smelting, potentially creating a resilient North American nickel supply chain.
For further information, questions, or investor inquiries, please contact Rob Guzman at First Atlantic Nickel
by phone at +1 844 592 6337 or via email at [email protected]
1 Regional Metallogeny and Genesis of a New Deposit Type—Disseminated Awaruite (Ni3Fe) Mineralization Hosted in the Cache
Creek Terrane☼ | Economic Geology | GeoScienceWorld
Figure 1: Image showing discovery hole RPM DDH001 (24-AN-02) with disseminated sulfur-free nickel-iron alloy
(awaruite). Top image showing close-up of drill core at 384 meters with coarse grained disseminated awaruite;
middle image showing core boxes from 380 meters to 394 meters, end of hole; bottom images showing
microscope photos of individual large grains of awaruite, 580 microns to 667 microns at 384 meters.
RPM Zone Drill Hole 001 Highlights:
● Visible Disseminated Awaruite: Visible disseminated awaruite was observed from the surface to 394
meters, with the hole ending in zones of coarser-grained mineralization.
● Increasing Grain Size with Depth: Awaruite grain sizes increase with depth, starting at up to 200
microns and reaching over 500 microns in coarser zones.
● Open at Depth: Mineralization remains open at depth, with additional drilling planned to further define
and expand the zone.
● Significant Discovery: The RPM Zone represents a significant discovery within the ongoing exploration
program, with high priority for further exploration to assess its extent and potential.
● Ongoing Drilling at RPM Target: The drill program continues to test the high-priority RPM target, where
the largest visible awaruite grains were discovered during the summer 2024 surface sampling program.
Drilling is ongoing at the RPM Zone to expand the size and better define the footprint of the mineralized
area.
Figure 2: RPM DDH001 (24 -AN-02) at 152 meters showing coarse grains of nickel -iron alloy (awaruite). Left
image shows drill -core with disseminated awaruite in serpentinized ultramafic cut by serpentine- magnetite
fracture filings and veinlets; Right image shows microscope photo of nickel alloy grains ranging from 152 - 262
microns.
Figure 3: Top image showing coarse grained visible nickel-iron alloy (awaruite) in serpentinized ultramafics within
the first drillhole at RPM Zone DDH001 (24- AN-02) at 288 meters downhole; bottom images are microscope
photos showing large grains of nickel-iron alloy ranging from 280 microns to 571 microns at 288 meters.
Drill Hole 001 (AN-24-02) at the RPM Zone was drilled to the east at a -60 degree dip, penetrating less than 10
meters of overburden before intersecting heavily serpentinized ultramafic rock. Visible disseminated awaruite
was observed from the surface to 394 meters, where the hole ended in zones of coarse-grained mineralization,
suggesting the potential for significant awaruite accumulations. Throughout the core, awaruite grain sizes were
noted to increase with depth, starting with grains up to 200 microns and reaching over 500 microns in coarser
zones. The rock matrix ranged from dark to pale brown to green, exhibiting a brecciated style texture due to
numerous fractures and veins of serpentine and magnetite. This mineralization remains open at depth, prompting
the Company to plan additional drilling to further define and expand the zone.
The RPM Zone itself was a significant discovery made in the summer of 2024 by geologists Dr. Ron Britten,
Pearce Bradley, and Michael Piller during regional exploration of the ophiolite belt. Their work identified high -
priority areas through subcrop and float samples near the end of a 30 km high magnetic ophiolite sequence.
Surface sampling in 2024 detected mineralized ultramafic boulders with abundant awaruite, leading to discovery
drilling that confirmed the mineralization in the core. Furthermore, an increase in chromium was observed, with
chromite appearing as a lustrous metallic black mineral within the rock.
The successful identification of coarse grained awaruite at the surface, and in drilling, highlights the significance
of the RPM Zone. This area will be prioritized for further exploration to assess its extent and potential, as it
represents a significant discovery within the ongoing exploration program.
Adrian Smith CEO Quote
"We are thrilled with the continued success at the Atlantic Nickel Project, as we discover coarse-grained nickel-
alloy in the first-ever drill hole at the RPM Zone, located approximately 10 km south of the Super Gulp area. This
discovery extends known mineralization 25 km from the Atlantic Lake area, with visible awaruite disseminated
within the ultramafic rock unit, which is part of the large-scale ophiolite located on the property.
I want to congratulate the project geologists and field team, with the aid of Dr. Ron Britten, PhD, for their early
success leading to this discovery, finding significant visible mineralization in the drilling. Our strategy continues
to focus on identifying and establishing areas with large volumes of nickel alloy, with the goal to uncover a district-
scale nickel project.
The 2024 exploration program has yielded remarkable results, not only with this major discovery but also with
similar findings from other areas within the 30km ophiolite trend. These findings indicate the presence of multiple
high-potential zones, suggesting the possibility of a larger nickel district. We look forward to providing additional
updates as our exploration progresses, with a focus on expanding the scale of our step- out drilling to further
delineate the extent of this exciting new discovery."
Figure 4: Atlantic Nickel target zones including RPM and Super Gulp showing 2024 sampling with visible awaruite
(nickel-alloy) locations over the 30 km nickel ultramafic magnetic trend (background TMI magnetics).
Awaruite (Nickel-iron alloy Ni₂Fe, Ni₃Fe)
Awaruite, a naturally occurring sulfur-free nickel-iron alloy composed of Ni₃Fe or Ni₂Fe with approximately ~75%
nickel content, offers a proven and environmentally safer solution to enhance the resilience and security of North
America's domestic critical minerals supply chain. Unlike conventional nickel sources, awaruite can be processed
into high-grade concentrates exceeding 60% nickel content through magnetic processing without the need for
smelting. Beginning in 2025, the US Inflation Reduction Act's (I RA) $7,500 electric vehicle (EV) tax credit
mandates that eligible clean vehicles must not contain any critical minerals processed by foreign entities of
concern (FEOC)2. These entities include Russia and China, which currently dominate the global nickel smelting
industry. Awaruite's smelter-free processing approach could potentially help North American manufacturers meet
the IRA's stringent critical mineral requirements and reduce dependence on FEOCs for nickel processing.
The U.S. Geological Survey (USGS) highlighted awaruite's potential, stating, "The development of awaruite
deposits in other parts of Canada may help alleviate any prolonged shortage of nickel concentrate. Awaruite, a
natural iron- nickel alloy, is much easi er to concentrate than pentlandite, the principal sulfide of nickel" 3.
Awaruite's unique properties enable cleaner and safer processing compared to conventional sulfide and laterite
nickel sources, which often involve smelting or high-pressure acid leaching that can release toxic sulfur dioxide,
generate hazardous waste, and lead to acid mine drainage. Awaruite's simpler processing, facilitated by its
amenability to magnetic processing, eliminates these harmful methods, reducing greenhouse gas emissions and
risks associated with toxic chemical release, addressing concerns about the large carbon footprint and toxic
emissions linked to nickel refining.
The development of awaruite resources is crucial, given China's dominance in the global nickel market. Chinese
companies refine and smelt 68% to 80% of the world's nickel4 and control an estimated 84% of Indonesia's nickel
output, the largest worldwide supply 5. Awaruite offers an environmentally safer, more sustainable, and
domestically processable nickel source to meet the growing demand in stainless steel and electric vehicles while
reducing reliance on foreign refining and smelting dominated by China. By developing awaruite resources, North
America can strengthen the resilience and security of its critical nickel supply chain.
Corporate Update
The Company is also pleased to announce that it has engaged the services of Independent Trading Group (ITG),
Inc. ("ITG") to provide market -making services in accordance with the policies of the TSX Venture Exchange
(the "TSXV"). Pursuant to the engagement, ITG will trade common shares of the Company on the TSXV and all
other trading venues with the objective of maintaining a reasonable market and improving the liquidity of the
Company's common shares.
Under the agreement, ITG will receive compensation of C$5,000 per month, plus taxes, payable monthly in
advance. The agreement is for an initial term of one month and will renew for additional one-month terms unless
terminated. The agreement may be terminated by either party with 30 days' notice.
2 https://home.treasury.gov/news/press-releases/jy1939
3 https://d9-wret.s3.us-west-2.amazonaws.com/assets/palladium/production/mineral -pubs/nickel/mcs-2012-nicke.pdf
4 https://www.brookings.edu/wp-content/uploads/2022/08/LTRC_ChinaSupplyChain.pdf
5 https://www.airuniversity.af.edu/JIPA/Display/Article/3703867/the -rise-of-great-mineral-powers/
There are no performance factors contained in the agreement and ITG will not receive shares or options of the
Company as compensation. ITG and the Company are unrelated and unaffiliated entities and at the time of the
agreement, neither ITG nor its principals held an interest, directly or indirectly, in the securities of the Company.
ITG is a member of the Canadian Investment Regulatory Organization (CIRO) and can access all Canadian
stock exchanges and alternative trading systems. The capital and securities required for any trade undertaken
by ITG as principal will be provided by ITG.
About Independent Trading Group
Independent Trading Group (ITG) Inc. is a Toronto- based IIROC dealer -member that specializes in market
making, liquidity provision, agency execution, ultra- low latency connectivity, and bespoke algorithmic trading
solutions. Established in 1992, with a foc us on market structure, execution and trading, ITG has leveraged its
own proprietary technology to deliver high quality liquidity provision and execution services to a broad array of
public issuers and institutional investors.
Newfoundland Government JEA Program
First Atlantic would like to thank the government of Newfoundland & Labrador for financial support through the
Junior Exploration Assistance (JEA) program for exploration activities at the Atlantic Nickel Project. The
Company anticipates providing further updates on its ongoing programs shortly.
Investor Information
The Company's common shares trade on the TSX Venture Exchange under the symbol " FAN", the American
OTCQB Exchange under the symbol “ FANCF” and on several German exchanges, including Frankfurt and
Tradegate, under the symbol "P21".
Investors can get updates about First Atlantic by signing up to receive news via email and SMS text at
www.fanickel.com. Stay connected and learn more by following us on these social media platforms:
https://x.com/FirstAtlanticNi
https://www.facebook.com/firstatlanticnickel
https://www.linkedin.com/company/firstatlanticnickel/
FOR MORE INFORMATION:
First Atlantic Investor Relations
Robert Guzman
Tel: +1 844 592 6337
Disclosure
Adrian Smith, P.Geo., is a qualified person as defined by NI 43-101. The qualified person is a member in good
standing of the Professional Engineers and Geoscientists Newfoundland and Labrador (PEGNL) and is a
registered professional geoscientist (P.Geo.). Mr. Smith has reviewed and approved the technical information
disclosed herein.