First Atlantic Nickel Extends Rpm Zone Discovery with a 400 Meter Step-Out Hole North, Intersecting 402 Meters of Visibly Disseminated Awaruite Nickel
FIRST ATLANTIC NICKEL EXTENDS RPM ZONE DISCOVERY WITH A 400 METER STEP-OUT HOLE
NORTH, INTERSECTING 402 METERS OF VISIBLY DISSEMINATED AWARUITE NICKEL
Vancouver, British Columbia – (Globenewswire - February 19, 2025) - First Atlantic Nickel Corp. (TSXV:
FAN) (OTCQB: FANCF) (FSE: P21) ("First Atlantic" or the "Company") is pleased to announce a significant
expansion in drilling of visible awaruite nickel -alloy mineralization at the RPM Zone within its 100% owned,
district-scale, 30 kilometer -long Atlantic Nickel Project in Newfoundland (the “Atlantic Nickel Project” or t he
“Project”). RPM Drill Hole 4 (AN-24-05), the fifth and final hole of Phase 1, was a significant 400-meter step-out
to the north of the RPM Discovery Holes 1, 2, and 3. The drill hole intersected abundant visual awaruite, with
large grains reaching up to 732 microns, throughout the entire 402- meter interval (see Figures 1 to 3). This
drilling confirms large-scale consistent mineralization and expands the RPM Zone to at least 400 meters long
and 500 meters wide, with mineralization remaining open in all directions.
This successful conclusion of Phase 1, and the recent closing of a $3 million strategic funding round on February
14, 2025, sets the stage for a larger, more expansive Phase 2 exploration program. Now fully funded and
permitted, Phase 2 will leverage the newly constructed access road to significantly increase drilling and facilitate
further expansion at the RPM Zone. A key focus of Phase 2 will be additional step-out drilling, aiming to extend
the defined boundaries of the RPM Zone beyond its current 400 meter length and 500 meter width. The Company
is highly encouraged by the fact that all four RPM drill holes have intersected wide spread, large grained,
disseminated visible awaruite within the same mineralized ultramafic body. Notably, each hole ended in
mineralization, indicating significant potential for further expansion in all directions.
Highlights:
● RPM Hole 4 Extends Mineralization: Visible, awaruite (nickel-iron alloy) was identified throughout the
entire length of the 402 meter hole.
● 400m Step -Out: Located 400 meters north of the RPM Discovery Holes 1,2&3, Hole 4 significantly
expands the RPM Zone’s mineralized footprint.
● Large Grain Size: Awaruite grains up to 732 microns were observed, well exceeding the 10 -micron
threshold for magnetic recovery.
● Expanded Strike & Depth Potential: Drilling confirms that the RPM Zone extends 400 meters along
strike and 500 meters wide, remaining open at depth and along strike to the north and west, indicating
significant expansion potential.
● Phase 1 Completed: All Phase 1 drill holes at the RPM Zone intersected large- grain, visible awaruite
nickel-alloy mineralization, setting the stage for continued step-out drilling in Phase 2.
● Phase 2 Fully Funded: A $3 million strategic capital funding, secured on February 14th, fully funds the
permitted Phase 2 drilling program.
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].
CEO Adrian Smith comments, "RPM Hole 4 confirms the significant scale and consistent presence of high-quality
awaruite mineralization at the RPM Zone. Intersecting 402 meters of continuous, large-grain awaruite in a 400-
meter step-out, ending in mineralization, is a clear indication of the system's potential. With Phase 2 fully funded
and permitted, we are eager to continue expanding this exciting discovery."
RPM Hole 4 & RPM Zone
RPM Drill Hole 4 (AN-24-05), located 400 meters north of the RPM Discovery Holes 1, 2, and 3 (see Figure 4),
was drilled at a 60- degree dip towards the east. The hole had just 6 meters of overburden before intersecting
the same serpentinized peridotite that hosts awaruite nickel-alloy mineralization identified in discovery hole RPM
DDH001. Large visible grains of awaruite (nickel-alloy) up to 732 microns in size were identified and measured
throughout the 402-meter hole, confirming consistent style of mineralization across a large area. Mineralization
remains open along strike, to the east and west, and at depth with the hole ending in mineralization (see Figure
3) demonstrating the potential for the Project to host a significant volume of material.
The RPM Hole 4 located within the RPM Zone is approximately 900 meters from Chrome Pond, 10 kilometers
south of Super Gulp, and 24 kilometers south of Atlantic Lake Zone.
RPM Zone Phase 2 Drill Program
The permitted Phase 2 program will begin shortly, utilizing the newly constructed road for direct access to the
RPM Zone. Road access enables a larger, more cost-effective program compared to Phase 1. Phase 2 will focus
on expanding the RPM Zone beyond its current 400m x 500m footprint, both along strike and in width. A higher-
power drill rig, using both NQ and HQ core, will target deeper mineralization than was possible in Phase 1. The
Company's recent $3 million strategic funding will support Phase 2 drilling, assays, and metallurgical work.
Metallurgical Program
The Company is planning a metallurgical process development testing program using composite samples from
the RPM Zone. This program will expand upon the initial Davis Tube Recovery (DTR) metallurgical testing, which
focused on quantifying magnetically recoverable nickel. The metallurgical program will utilize a magnetic
separator as a key initial step in developing a process flowsheet, marking the start of a customized flowsheet
optimization effort. Subsequent processing stages, following magnetic separation, will investigate techniques
such as gravity separation and/or flotation, as needed, to produce a saleable nickel concentrate. The objective
of this program is to optimize the recovery of the abundant large-grain awaruite mineralization identified at RPM
Zone and provide crucial data for future economic studies evaluating the commercial viability of the Project.
Figure 1: Drill core RPM DDH004 (AN-24-05) at 190 meters depth. Top image: Drill core showing disseminated
awaruite (sulfur-free nickel alloy), in serpentinized ultramafic peridotite within the RPM Zone. Bottom image:
Awaruite grains from 190 meters depth (up to 732 microns) under microscope, with saw blade streaks visible
due to ductile, highly-magnetic nature of awaruite.
Figure 2: Drill core DDH004 (AN-24-05), at 28 meters depth. Top image: Disseminated awaruite (sulfur-free
nickel alloy) in serpentinized peridotite with magnetite veins. Bottom image: Awaruite grains (up to 349
microns) under a microscope at 28 meters depth.
Figure 3: Drill core RPM DDH004 at 401 meters depth. Top image: Abundant, visibly disseminated awaruite
grains (typically 50-100 microns, with some up to 323 microns). Bottom image: Awaruite grains from RPM
DDH004 at 401 meters depth under a microscope, showing grains well above 10 micron size required for
effective magnetic separation and recovery.
Figure 4: Atlantic Nickel Project Phase 2 Drill Plan map, showing drill collar locations from Phase 1 drilling and
the recently completed new access road to RPM Zone.
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 and simple floatation
without the need for smelting, roasting, or high- pressure acid leaching 1. Beginning in 2025, the US Inflation
Reduction Act's (IRA) $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 electric vehicle 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, roasting, 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 and lack of sulfur, eliminates these harmful methods, reducing
greenhouse gas emissions and risks associated with toxic chemical r elease, addressing concerns about the
large carbon footprint and toxic emissions linked to nickel refining.
1 https://fpxnickel.com/projects-overview/what-is-awaruite/
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
Figure 5: Quote from USGS on Awaruite Deposits in Canada
The development of awaruite resources is crucial, given China's control 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 supply5. Awaruite is a cleaner source of nickel that reduces dependence on foreign
processing controlled by China, leading to a more secure and reliable supply for North America's stainless steel
and electric vehicle industries.
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
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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/