Nickel 28 Announces Financial Results and Large Debt Repayment
NEWS RELEASE TSX Venture: NKL
FSE: 3JC0
NICKEL 28 ANNOUNCES FINANCIAL RESULTS
AND LARGE DEBT REPAYMENT
TORONTO, ONTARIO, June 1, 2022 —Nickel 28 Capital Corp. (“Nickel 28” or the “Company”) (TSXV:
NKL) (FSE: 3JC0) has released its results for the year ended January 31, 2022.
The Company's President, Justin Cochrane is pleased to announce that "with continued significant cash
generation from Ramu in 202 1, and higher nickel prices, the Company repaid the first tranche of its Joint
Venture debt, and we received our first cash distribution from Ramu.” Mr. Cochrane continued “operating
results from Ramu continue to be exceptional and for this we would like to thank our Joint Venture partner
and operator MCC.”
Full Year Highlights
The Company’s principal asset, a n 8.56% joint -venture interest in the Ramu Nickel -Cobalt (“ Ramu”)
integrated operation in Papua New Guinea, had another outstanding year in terms of production, sales and
cash flow. Highlights from Ramu and the Company during the year include:
- Full year debt repayment of US$ 38 million, fully repaying the operating debt balance during the
year and reducing the remaining construction debt balance to $73.4 million as at January 31st, 2022.
- Production of 31,594 tonnes of contained nickel and 2,953 tonnes of contained cobalt in mixed
hydroxide (MHP) placing Ramu as the number one producer of MHP globally.
- Total Ramu project revenue of over US$690 million.
- Average cash costs for the year, net of by-product sales, of US$2.06/lb. of contained nickel.
- Total net and comprehensive income of $11.2 million ($0.13/share)
- Strong year end cash balance of US$4.0 million, providing ample liquidity for the Company.
“We continue to see significant tightness i n the nickel market, with LME nickel prices currently trading
above US$12.50 per pound of nickel, approximately 50% higher than the nickel price at this time last year.
We are expecting another outstanding year of production, sales and cash flow from our R amu JV,” stated
Anthony Milewski, chairman of the Company’s board of directors.
About Nickel 28
Nickel 28 Capital Corp. is a nickel-cobalt producer through its 8.56% joint -venture interest in the
producing, long-life and world-class Ramu Nickel-Cobalt Operation located in Papua New Guinea. Ramu
provides Nickel 28 with significant attributable nickel and cobalt production thereby offering our
shareholders direct exposure to two metals which are critical to the adoption of electric vehicles. In addition,
Nickel 28 manages a portfolio of 13 nickel and cobalt royalties on development and exploration projects in
Canada, Australia and Papua New Guinea.
Cautionary Note Regarding Forward-Looking Statements
This news release contains certain information which constitutes ‘forward -looking statements’ and
‘forward-looking information’ within the meaning of applicable Canadian securities laws. Any statements
that are contained in this news release that are not statements of historical fact may be deemed to be forward-
looking statements. Forward -looking statements are often identified by terms such as “may”, “should”,
“anticipate”, “expect”, “potential”, “believe”, “intend” or the negative of these terms and similar
expressions. Forward-looking statements in this news release include, but are not limited to: statements and
figures with respect to the operational and financial results; statements with respect to the prospects of
nickel and cobalt in the global electrification of vehicles; statements related to the repayment of the
Company’s Ramu operating debt; statements related to the production impacts of the Covid-19 pandemic;
and statements with respect to the business and assets of the Company and its strategy going forward .
Readers are cautione d not to place undue reliance on forward -looking statements. Forward -looking
statements involve known and unknown risks and uncertainties, most of which are beyond the Company’s
control. Should one or more of the risks or uncertainties underlying these for ward-looking statements
materialize, or should assumptions underlying the forward -looking statements prove incorrect, actual
results, performance or achievements could vary materially from those expressed or implied by the forward-
looking statements.
The forward-looking statements contained herein are made as of the date of this release and, other than as
required by applicable securities laws, the Company does not assume any obligation to update or revise
them to reflect new events or circumstances. The f orward-looking statements contained in this release are
expressly qualified by this cautionary statement.
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. No securities regulatory authority has either approved or disapproved of the contents of this
news release.
Investor Contact:
Justin Cochrane
Tel: 647.846.7765
Email: [email protected]