Nicola Mining Announces Debt Settlement

TSX.V: NIM

FSE: HLI

OTCBB: HUSIF

NICOLA MINING ANNOUNCES DEBT SETTLEMENT

VANCOUVER, BC, May 18, 2022 – Nicola Mining Inc. (the “ Company”) today announces that it intends

to pay all of the interest owing on the outsta nding secured convertible debentures (the “ Debentures”)

that were issued on May 20, 2020 by the issuance of common shares (each, a “ Share”) of the Company.

The Debentures mature on May 20, 2023 and bear interest (“ Interest”) at a rate of 10% per annum, which

Interest is payable under the terms of the Debentures a nnually, at the option of the Company, in cash or

by the issuance of Shares.

The Company intends on paying all of the Interest in S h ar e s t o h o l d e r s o f t he Debentures to settle the

outstanding interest payment obligation for the second year of the term of the Debentures.

Accordingly, the Company intends to issue 270,587 Sha res at a price of $0.085 per Share in settlement of

Interest owing of $23,000 (the “Debt Settlement”).

The Debt Settlement is subject to TSX Venture Exchan ge approval. The Shares will be subject to a

statutory hold period expiring on the date that is four months and one day after the closing of the Debt

Settlement.

On behalf of the Board of Directors

“Peter Espig”

Peter Espig

CEO & Director

For additional information contact:

Peter Espig

Phone: (778) 385-1213

Email: [email protected]

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of

the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Disclaimer for Forward-Looking Information

Certain statements in this press release related to the Debt Settlement and the securities issuable

thereunder are forward-looking statements and are prospective in nature. Forward-looking statements

are not based on historical facts, but rather on current expectations and projections about future events,

and are therefore subject to risks and uncertainties which could cause actual results to differ materially

from the future results expressed or implied by the forward-looking statem ents. These statements

generally can be identified by the use of forward-looking words such as “may”, “should”, “will”,

“could”, “intend”, “estimate”, “plan”, “anticipate”, “expect”, “believe” or “continue”, or the negative

thereof or similar variations. Forward-looking stat ements in this news re lease include statements

regarding the settlement of the Interest, resale restrict ions relating to the secu rities to be issued and

receipt of the approval of the TSX Venture Exchange. Such statements are qualified in their entirety by

the inherent risks and uncertainties surrounding the Company’s ability to complete the Debt Settlement,

including the risk that the Debt Settlement may not be completed as expected or at all, that the TSX

Venture Exchange may not approve the Debt Settlement and such other factors beyond the control of the

Company. Such forward looking statements should therefore be construed in light of such factors, and

the Company is not under any obligation, and expressl y disclaims any intention or obligation, to update

or revise any forward looking statements, whether as a result of new information, future events or

otherwise. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is

defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy

of this release.