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FPX.V ·

FPX Nickel Announces Private Placement and Settlement of Long- Term Debt for Equity

Financings

Suite 620 – 1155 West Pender

Street

Vancouver, BC Canada V6E 2P4

Tel: 604.681.8600

e-mail: [email protected]

FPX Nickel Announces Private Placement and Settlement of Long-

Term Debt for Equity

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES

OR FOR DISSEMINATION IN THE UNITED STATES

Vancouver, October 7, 2020 – FPX Nickel Corp. (FPX-TSX.V) (“FPX Nickel” or the “Company”) is

pleased to announce that it has arranged a non-brokered private placement to raise gross proceeds of up to

$3,200,000 (the “Offering”). The Offering will consist of up to 5,818,181 common shares (the

“Shares”) at $0.55 per Share in the capital stock of the Company.

The proceeds raised from the Offering will be used for the advancement of the Company’s flagship Decar

Nickel District in central British Columbia, including drilling at the Baptiste Deposit, a maiden drilling

program at the Van Target, metallurgical and market testing of nickel products for the stainless steel and

electric vehicle battery markets, and for general working capital purposes.

Concurrent with the Offering, the Company intends to convert the full amount of principal and interest

owing on the long-term loan provided to the Company by its Chairman Peter Bradshaw (the “Bradshaw

Loan”), totalling approximately $4,262,521, into 7,750,037 common shares of the Company at a price of

C$0.55 per share (the “Debt Conversion”). The terms of the Bradshaw Loan are described in the

Company’s news release dated September 4, 2019. On completion of the Debt Conversion, the Bradshaw

Loan will be extinguished.

All the securities issued pursuant to the Offering and Debt Conversion will be subject to a four (4) month

hold period. Completion of the Offering and Debt Conversion is subject to receipt of all required

regulatory and other approvals, including acceptance by the TSX Venture Exchange. The Company may

pay finders’ fees on a portion of the Offering, subject to compliance with the policies of the TSX Venture

Exchange and applicable securities legislation.

The Debt Conversion constitutes a “related party transaction” under Multilateral Instrument 61-101 –

Protection of Minority Security Holders in Special Transactions (“MI 61-101”) as Peter Bradshaw is a

related party of FPX Nickel given his role as Company Chairman and his greater than 10% beneficial

shareholding in the Company. Pursuant to Section 5.5(a) and 5.7(1)(a) of MI 61-101, the Company is

exempt from obtaining a formal valuation and minority approval of the Company's shareholders in

respect of the Debt Conversion due to the fair market value of the Debt Conversion being below 25% of

the Company's market capitalization.

About FPX Nickel Corp.

FPX Nickel Corp. is focused on the exploration and development of the Decar Nickel District, located in

central British Columbia, and other occurrences of the same unique style of naturally occurring nickel-

iron alloy mineralization known as awaruite. For more information, please view the Company’s website

at www.fpxnickel.com or contact Martin Turenne, President and CEO, at (604) 681-8600 or at

[email protected].

On behalf of FPX Nickel Corp.

"Martin Turenne"

Martin Turenne, President, CEO and Director

Forward-Looking Statements

Certain of the statements made and information contained herein is considered “forward-looking

information” within the meaning of applicable Canadian securities laws. These statements address future

events and conditions and so involve inherent risks and uncertainties, as disclosed in the Company's

periodic filings with Canadian securities regulators. Actual results could differ from those currently

projected. The Company does not assume the obligation to update any forward-looking statement.

Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the

adequacy or accuracy of this release.