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NIM.V ·

Nicola Mining Inc. Ships and Receives Payment for Concentrate Produced Jointly with Blue Lagoon Resources

Corporate Updates

Nicola Mining Inc. Ships and Receives

Payment for Concentrate Produced Jointly

with Blue Lagoon Resources

Vancouver, British Columbia--(Newsfile Corp. - August 31, 2021) - Nicola Mining Inc. (

TSXV: NIM

)

(

FSE: HLI

), (the "

Company

" or "

Nicola

") is pleased to announce that it has commenced shipping of

concentrate with

Ocean Partners UK Limited

[1]

("

Ocean Partners

").

To date 140 dry metric tonnes of

gold and silver concentrate grading an estimated 90 g/t Au and 500 g/t Ag have been prepared for

shipping (See Diagram 1).

All concentrate assays were completed at Base Met Labs

[2]

, an accredited

metallurgical testing facility located in Kamloops, BC.

Concentrate grades have increased from 84.6 g/t

Au to 92.2 g/t Au

[3]

, which may be attributed to higher throughput grades and recoveries.

The Company

looks forward to releasing future assays and in a subsequent news release.

Crushing of mill feed, which was transported to the site by Blue Lagoon Resources Inc. (

CNSX: BLLG

)

,

commenced on July 2, 2021. In addition, to producing the gold and silver concentrate the Company has

also completed key upgrades and purchase of spare parts to further augment production efficiencies.

Diagram 1: Initial shipment of gold and silver concentrate

To view an enhanced version of this graphic, please visit:

https://orders.newsfilecorp.com/files/4873/95039_nicola%20mining%20images.jpg

.

Peter Espig, Chief Executive Officer commented, "Commencing milling operations to become Canada's

new gold/silver producer is a significant milestone.

Over the past few months, we have completed an

exploration program at New Craigmont Copper Project, acquired a 75% economic interest in a high

grade gold project that is currently applying for a bulk sample permit and committed to environmental

and social initiatives that include engaging Vest Filipchuk.

It highlights a company focused on business

execution while honouring social and environmental obligations."

Qualified Person

Kevin Wells, P.Geo, a consulting geologist to the Company, is the independent qualified person as

defined by National Instrument 43-101 -

Standards of Disclosure for Mineral Projects

for the technical

disclosure contained in this news release.

About Nicola Mining

Nicola Mining Inc. is a junior mining company listed on the TSX Venture and Frankfurt Exchanges that

maintains a 100% owned mill and tailings facility, located near Merritt, British Columbia. It is comprised

of four key assets:

1

.

A $30.0 million plus modern mill facility that is held freehold and is the only site permitted to

process material province wide.

2

.

100% ownership of the historic Craigmont Copper Mine located in southern British Columbia.

3

.

100% ownership of Treasure Mountain, a high-grade silver mine located in southern British

Columbia.

4

.

75% economic interest in the high grade Dominion Creek Project gold project.

In depth explanations can be seen on the Company's Corporate Presentation.

https://nicolamining.com/investors/corporate-presentation/

.

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.

This press release contains "forward-looking statements" within the meaning of applicable Canadian

securities legislation. Forward-looking statements include, but are not limited to, statements regarding

the impact of the ongoing drill program and results on the Company, the possible economics of the

project and the Company's understanding of the project; the development potential and timetable of the

project; the estimation of mineral resources; realization of mineral resource estimates. Generally,

forward-looking statements can be identified by the use of forward-looking terminology such as "plans",

"expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends",

"continue", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases

or statements that certain actions, events or results "may", "could", "would", "will", "might" or "will be

taken", "occur" or "be achieved". Forward-looking statements are made based upon certain

assumptions and other important facts that, if untrue, could cause the actual results, performances, or

achievements of Nicola to be materially different from future results, performances or achievements

expressed or implied by such statements. Such statements and information are based on numerous

assumptions regarding present and future business strategies and the environment in which Nicola will

operate in the future. Certain important factors that could cause actual results, performances, or

achievements to differ materially from those in the forward-looking statements include, amongst others,

currency fluctuations, the global economic climate, dilution, share price volatility and competition.

Forward-looking statements are subject to known and unknown risks, uncertainties and other important

factors that may cause the actual results, level of activity, performance or achievements of Nicola to be

materially different from those expressed or implied by such forward-looking statements, including but

not limited to: there being no assurance that the exploration program will result in expanded mineral

resources; risks and uncertainties inherent to mineral resource estimates.

[1]

Ocean Partners operates in a number of countries, including Canada, Chile, China, Cyprus, Mexico, Mongolia, Netherlands, Peru, Taiwan, Turkey,

United Kingdom, and the United States, and retains agency representation in Argentina, Australia, Bolivia, Brazil, Chile, Ecuador, India, Japan, South

Africa, South Korea.

The Company maintains a strong global network of relationships and contacts in the base metal mining and smelting sector.

[2]

Base Met Labs:

https://basemetlabs.com/

[3]

There were 24 assays taken for this news release.

The first 10 assays measured an average grade of 84.6 g/t Au while the last ten assays (15

through 24) graded 92.2 g/t Au.

To view the source version of this press release, please visit

https://www.newsfilecorp.com/release/95039

.