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First Atlantic Nickel Reports Initial Phase 2 Drill Results: Deepest Drill Hole to Date at Rpm Zone Returns 1.27% Awaruite Nickel Alloy (Ni₃Fe) IN Magnetic Concentrate over 447 Meters

Drill Results Metallurgy & Processing

FIRST ATLANTIC NICKEL REPORTS INITIAL PHASE 2 DRILL RESULTS: DEEPEST

DRILL HOLE TO DATE AT RPM ZONE RETURNS 1.27% AWARUITE NICKEL ALLOY

(Ni₃Fe) IN MAGNETIC CONCENTRATE OVER 447 METERS

Grand Falls-Windsor, Newfoundland and Labrador -- (GlobeNewsWire -- August 13, 2025) -- First

Atlantic Nickel Corp. (TSXV: FAN) (OTCQB: FANCF) (FSE: P21) ("First Atlantic" or the "Company")

reports assays and Davis Tube Recovery (“DTR”) metallurgical test results from drill hole AN-25-06, the

first hole reported in the Phase 2 drill program at the RPM Zone, part of the district-scale Atlantic Nickel

Project (the "Project") in Newfoundland. Drill hole AN -25-06 is the deepest and the longest drilled to

date at the RPM Zone. The hole returned a continuous interval of 447.35 meters averaging 1.27% nickel

and 1.69% chromium in magnetic concentrate, with a mass pull of 9.02%. This corresponds to an

average magnetically recoverable DTR nickel grade of 0.11% over the interval, with total nickel recovery

averaging 51.84%.

Located approximately 200 meters east of drill hole AN -24-05, AN -25-06 was drilled on the same

Section S2 line, representing a 400-meter step out to the north from the initial RPM discovery drill hole

AN-24-02 (see Figure 2). The drill hole intersected visibly disseminated awaruite throughout the entire

drilled length, returning 0.22% total nickel and 0.31% total chromium in whole rock assays over 447.35

meters. Peak values included 0.17% DTR nickel and 0.27% total nickel, with nickel recovery reaching

up to 81.4% using DTR magnetic separation.

The grades and DTR metallurgical test results from AN -25-06, the first reported hole of Phase 2,

demonstrate uniform consistency with all Phase 1 drilling at the RPM Zone and successfully expand the

mineralized zone eastward toward Chrome Pond. Phase 2 drill holes AN -25-08 and AN-25-09 are drill

testing the continuation of awaruite mineralization a further 400 meters north of the Section S2 line (see

Figure 2), together representing a north-south strike length at the RPM Zone totaling 800 meters.

HIGHLIGHTS

● Longest Reported RPM Zone Drill Hole: AN-25-06, drilled 200 meters east of drill hole AN-24-

05, intersected visibly disseminated awaruite throughout the entire 447.35 -meter drill

intersection, returning 0.22% total nickel and 0.31% total chromium over the complete interval.

● High-Grade Magnetic Concentrate : DTR metallurgical testing of AN -25-06 returned 1.27%

nickel and 1.69% chromium in magnetic concentrate over 447.35 meters with a 9.02% mass

pull, yielding a DTR nickel grade of 0.11%, achieving a total nickel recovery of 51.84%.

● Metallurgical Consistency Across RPM Zone: Including AN-25-06, the five completed holes

at the RPM Zone average 1.38% nickel in magnetic concentrate with a mass pull of 9.08%,

resulting in an average DTR nickel grade of 0.12% (see Table 4).

● Chromium Co -Product Potential : Disseminated chromium mineralization occurs alongside

awaruite nickel in all RPM Zone drill holes. DTR testing shows chromium can be recovered and

separated magnetically, averaging 1.67% chromium in the magnetic concentrate. Petrographic

studies are underway to identify the source mineral and assess potential processing for a

chromium by-product concentrate.

● District-Wide Exploration Identifies New Awaruite Zones: The district -wide exploration

program has identified numerous new occurrences of visible awaruite in surface rock samples

throughout the 30-kilometer Pipestone Ophiolite Complex. These surface rock samples will be

used to define larger zones with higher v isual awaruite abundances and elevated surface DTR

grades, providing additional drill targets beyond the RPM Zone.

FOR MORE INFORMATION:

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]

FIRST REPORTED PHASE 2 DRILL HOLE RETURNS LONGEST CONTINUOUS

MINERALIZED INTERSECTION TO DATE AT RPM ZONE

Table 1: Summary of DTR Metallurgical Test Results - Drill Hole AN-24-05 (RPM Zone)

Parameter Average Maximum Drill Length

Nickel - Magnetic Concentrate Grade

(Davis Tube Recovery Concentrate assayed by XRF-Fusion)

1.27% 2.35% 447.35m

Chromium - Magnetic Concentrate Grade

(Davis Tube Recovery Concentrate assayed by XRF-Fusion)

1.69% 3.28% 447.35m

Mass Pull

(Magnetic Concentrate mass as % of Davis Tube test starting mass)

9.02% 16.1% 447.35m

Total Nickel Grade

(Whole Rock ICP-OES assay)

0.22% 0.27% 447.35m

DTR Nickel Grade - Magnetically Recovered Nickel

(Calculated with Davis Tube Recovery method)

0.11% 0.17% 447.35m

Total Nickel Recovery

Magnetically Recovered Nickel as a Percentage of Total Nickel

Content (from Whole Rock Assay Analysis)

51.84% 81.4% 447.35m

Drill hole AN-25-06 marks a significant milestone for the RPM Zone, representing both the longest and

deepest mineralized drill intersection reported to date. The hole returned 447.35 meters of continuous

awaruite mineralization, averaging 1.27% nickel in magnetic concentrate with a 9.02% mass pull. This

equates to an average DTR nickel grade of 0.11% (calculated at 1.27% nickel x 9.02% mass pull), with

peak values of 2.35% nickel in magnetic concentrate, 0.27% total nickel, and 0.17% DTR nickel. Nickel

recovery averaged 51.84% from whole rock starting grades of 0.22% total nickel, with peak recoveries

reaching 81.4%.

AN-25-06 is located 200 meters east of drill hole AN -24-05 on Section S2, approximately 400 meters

north of Section S1, where discovery hole AN-24-02 was drilled. This step-out hole successfully expands

the mineralized zone eastward toward Chrome Pond. The hole intersected visibly disseminated awaruite

throughout its entire length. Results are consistent with Phase 1 drilling, confirming the lateral continuity

of awaruite mineralization across the rapidly expanding RPM Zone. Phase 2 drilling has since advanced

further north, with drill holes AN-25-08 and AN-25-09 positioned 400 meters north of the Section S2 line

to test the continuation of awaruite mineralization along strike (see Figure 2), together representing a

north-south strike length at the RPM Zone totaling 800 meters.

DRILL HOLE AN-25-06 - ASSAY AND DTR METALLURGICAL RESULTS

Table 2: Summary of Assay Results and DTR Metallurgical Test Results- Drill Hole AN-24-06

(RPM Zone)

Hole ID

From

(m) To (m)

Interval

(m)

Mass Pull

(%)

Nickel -

Magnetic

Concentrate

Grade

Ni ( %)

Nickel -

Total

Grade

Ni (%)

DTR Nickel

Grade -

Magnetically

Recovered

Ni (%)

Total

Nickel

Recovery

(%)

Chromium

- Magnetic

Concentra

te Grade

Cr (%)

Chromium

Total

Grade

Cr (%)

DTR

Chromium

Grade -

Magnetically

Recovered

Cr (%)

Cobalt -

Magnetic

Concentrate

Grade

Co (%)

AN-25-06 5.65 453 447.35 9.02 1.27 0.22 0.11 51.84 1.69 0.31 0.15 0.06

including 5.65 138 132.35 8.94 1.33 0.21 0.12 56.57 1.67 0.32 0.15 0.06

including 138 249 111 9.17 1.42 0.22 0.13 57.59 1.60 0.29 0.15 0.06

including 249 453 204 8.92 1.18 0.23 0.11 45.92 1.70 0.30 0.15 0.06

including "Up To" 16.1 2.35 0.27 0.17 81.4 3.28 0.69 0.41 0.10

Table 3: AN-24-06 Drill Hole Collar Location Information

Hole ID Easting (UTM) Northing (UTM) Elevation (m) Azimuth (°) Dip (°) Depth (m)

AN-24-06 567568 5357995 225 90 -60 453

CONSISTENT DTR METALLURGICAL PERFORMANCE ACROSS RPM ZONE

Nickel grades and DTR metallurgical results from drill hole AN -25-06 are consistent with the first four

holes completed during Phase 1 at the RPM Zone, which suppor t the interpretation of a laterally

continuous awaruite nickel mineralization system. Including hole AN -25-06, the first five holes at the

RPM zone average 1.38% nickel in magnetic concentrate with a 9.08% mass pull, yielding an average

DTR nickel grade of 0.12%. This exceptional consistency indicates a predictable metallurgical response

across the RPM Zone and supports confidence in the uniformity of metallurgical performance as the

mineralized footprint expands.

The following table summarizes all reported magnetically recovered nickel results from RPM diamond

drill holes at the Atlantic Property:

Table 4: Summary of Magnetically Recovered Nickel Results from 2024 and 2025 Diamond Drill Holes –

RPM Zone Drilling at the Atlantic Nickel Project

Drill Hole Zone Section

From

meters

To

meters

Interval

meters

Magnetically

Recovered

(DTR)

Nickel %

Magnetic

Concentrate

Nickel

Grade (Ni %)

Mass

Pull (%)

Comment

AN 24 - 02 RPM S1 11.0 394.1 383.1 0.13 1.37 9.50 NR - March

12, 2025

AN 24 - 03 RPM S1 18.0 234.0 216.0 0.11 1.32 9.12 NR - April 15,

2025

AN 24 - 04 RPM S1 12.0 378.0 366.0 0.14 1.46 9.53 NR- June 24,

2025

AN 24 - 05 RPM S2 6.0 357.0 351.0 0.12 1.47 8.21 NR - July 9,

2025

AN 25 - 06 RPM S2 5.65 453 447.35 0.11 1.27 9.02 NR - August

12, 2025

AN 25 - 07 RPM S2 495.0 pending pending samples

submitted

AN 25 - 08 RPM S3 491.0 pending pending samples

submitted

AN 25 - 09 RPM S3 processing

AN 25 - 10 RPM S1 processing

PHASE 2 DRILLING PROGRAM ONGOING

Phase 2 drilling continues at the RPM Zone, with multiple holes in process. The program is designed to

expand mineralization beyond the 400-meter by 500-meter footprint established in Phase 1, with step-

out drilling targeting extensions in all directions —north toward Pipestone Pond, east toward Chrome

Pond, and west into the RPM fault zone.

The fully funded Phase 2 program benefits from significant infrastructure upgrades, including improved

road access and expanded camp facilities. Enhanced equipment capabilities and refined geological

interpretations have enabled deeper drilling and provided better insights into the geological setting. As

a result, Phase 2 drilling is successfully expanding awaruite mineralization and achieving greater depths

than those reached during Phase 1.

Figure 1: Section S2 - Cross sectional view of the RPM Zone, showing drill hole AN-25-06, located

approximately 200 meters east of drill hole AN-24-05 on Section S2. The figure illustrates the distribution

of magnetic concentrate and DTR nickel values. Drill hole AN-25-06 returned an average 1.27% nickel

and 1.69% chromium in continuous metallurgical DTR magnetic c oncentrate over a 447.35 -meter

interval, with an average 9.02% mass pull and 0.11% DTR nickel.

Figure 2: RPM Zone - Phase 1 and 2 drill plan map showing nickel assay results and DTR metallurgical

test results.

Figure 3 : Drillcore and microscopic images – Hole AN-25-06, 149 meters depth (RPM Zone). Top

image: Drill core showing visibly disseminated awaruite (sulfur -free nickel -iron alloy) hosted in

serpentinized peridotite, with associated magnetite and serpentine veining. Bottom images: Microscopic

images of awaruite grains from the same interval, with individual grains measuring up to 325 microns in

size.

Figure 4: Drill core and microscopic images – Hole AN-25-06, 261 meters depth (RPM Zone). Top

image: Drill core showing visibly disseminated awaruite (sulfur -free nickel -iron alloy) hosted in

serpentinized peridotite. Bottom images: Microscopic images of awaruite grains from the same interval,

with individual grains measuring up to 855 microns in size.