Power Nickel to Raise $2.75 Million to Advance Exploration at Nisk Nickel PGM Project

Initial Ambient Noise Tomography Report suggest further resource expansion potential at Nisk Main & two unexplored target areas NE of Nisk Main

TORONTO, ON / ACCESSWIRE / October 16, 2023 / Power Nickel Inc. (the "Company" or "Power Nickel") (TSX-V:PNPN)(OTCQB:PNPNF)(Frankfurt:IVV) is pleased to announce a proposed private placement of $2.75 million in new equity capital to pursue exploration expansion at Nisk the Companies flagship Nickel PGM project near Nemiscau Quebec. The Company proposes the sale of 4,000,000 Flow-Through units (each an "FT UNIT") of the Company, at a price of $0.50 per FT Unit, for gross proceeds of $2,000,000 and a additional up to 3,000,000 non-flow-through units (each an "NFT Unit") at a price of $0.25 per NFT Unit for aggregate total proceeds of $2,750,000. The issue will be non brokered. The Company has received conditional TSX Venture Exchange ("TSXV") approval for the private placement. The Company expects to close the private placement in the coming days.

"We are pleased to secure the additional equity we need to continue to advance Nisk. These funds will see us able to release our NI 43-101 report in November and continue our exploration and drilling program into Q1 of 2024" Commented Power Nickel CEO Terry Lynch. "In particular we are most encouraged by the new data we are receiving from our Ambient Noise Tomography program and in particular want to follow up on the multiple new drilling targets this has identified"

The initial Ambient Noise Tomography (ANT) data collected by the Exosphere FLEET Team, suggest further resource expansion potential at Nisk Main in addition to highlighting the presence of two unexplored Ni-sulphides targets north and east of the Nisk Main.

Figure 1: Detail ANT survey #4 (elevation 100 m) showing the velocity contrast highlighting potential new target areas.

"The initial Ambient Noise Tomography (ANT) report focuses on the review of opportunities from surface to 400 metre depth was very encouraging. A definitive signature was observed that correlates very well to our drilling discovery of Nickel PGM charged massive sulfides. This signature suggests more resource could be discovered exploring at depth south and east of Nisk Main drilling and two additional targets north and east." - commented Terry Lynch, CEO and President. "The ANT Data encouraged us to step out aggressively with hole 1. Testing an area 300 metres south and east of nearest successful drill hole. The drill core below is what we discovered." Lynch commented further

"This drill core looks promising, and assays are expected soon. While we have stopped drilling, to respect the seasonal moose hunt, when we resume, we expect between now and Christmas to continue to test expansion of Nisk Main below the current extent of mineralization and to begin to test the two additional areas labeled ANT 1 and 2 in the image above"

Prior to month end Power Nickel expects to get additional detailed reports from the Ambient Noise Tomography work. The first will cover the Bonanza grade PGM discovery we made to the NE end of our property package; the "Wild Cat" target.

The second and final report was designed to focus on the deeper opportunities at Nisk. This survey is looking down to a depth of 800 metres or so. Not only will this survey allow us to project at greater depths the interpretation arising from the detailed ANT surveys "above", but it will also help to identify deeper volumes that match the ANT signature observed in the vicinity of the known Nisk Main Nickel PGM massive sulfides lenses.

"In coupling such new pieces of intel with our newly acquired EM Survey data, downhole EM surveys, and robust litho-structural interpretation from the on-going drilling programs, this presents some very interesting and powerful data for our team to use to expedite and advance the exploration plans at Nisk. Stay tuned for what we see as a very exciting drilling season." Commented Ken Williamson, VP Exploration Power Nickel.

Qualified Person

Kenneth Williamson, Géo, M.Sc., VP Exploration at Power Nickel, is the qualified person who has reviewed and approved the technical disclosure contained in this news release.

About Power Nickel Inc.

Power Nickel is a Canadian junior exploration company focusing on developing the High-Grade Nisk project into Canada's first Carbon Neutral Nickel mine.

On February 1, 2021, Power Nickel (then called Chilean Metals) completed the acquisition of its option to acquire up to 80% of the Nisk project from Critical Elements Lithium Corp. (CRE:TSXV). Subsequently, Power Nickel has exercised its option to acquire 50% of the Nisk Project and delivered notice to Critical Elements that it intends to exercise its second option to bring its ownership to 80%. The last remaining commitment to activate this exercise of the option is the delivery of a NI-43-101 Technical report which is anticipated to occur at the latest in Q4 2023.

The NISK property comprises a significant land position (20 kilometers of strike length) with numerous high-grade intercepts. Power Nickel is focused on expanding the historical high-grade nickel-copper PGE mineralization with a series of drill programs designed to test the initial Nisk discovery zone and to explore the land package for adjacent potential Nickel deposits.

In addition to the Nisk project, Power Nickel owns significant land packages in British Colombia and Chile. Power Nickel is expected to reorganize these assets in a related public vehicle through a plan of arrangement.

Power Nickel announced on June 8, 2021, that an agreement had been made to complete the 100% acquisition of its Golden Ivan project in the heart of the Golden Triangle. The Golden Triangle has reported mineral resources (past production and current resources) in 130 million ounces of gold, 800 million ounces of silver, and 40 billion pounds of copper (Resource World). This property hosts two known mineral showings (gold ore and Magee) and a portion of the past-producing Silverado mine, reportedly exploited between 1921 and 1939. These mineral showings are Polymetallic veins containing quantities of silver, lead, zinc, plus/minus gold, and plus/minus copper.

Power Nickel is also 100 percent owner of five properties comprising over 50,000 acres strategically located in the prolific iron-oxide-copper-gold belt of northern Chile. It also owns a 3-per-cent NSR royalty interest on any future production from the Copaquire copper-molybdenum deposit sold to a subsidiary of Teck Resources Inc. Under the terms of the sale agreement, Teck has the right to acquire one-third of the 3-per-cent NSR for $3 million at any time. The Copaquire property borders Teck's producing Quebrada Blanca copper mine in Chile's first region.

For further information on Power Nickel Inc., please contact:

Mr. Terry Lynch, CEO
647-448-8044
terry@powernickel.com

For further information, readers are encouraged to contact:

Power Nickel Inc.
The Canadian Venture Building
82 Richmond St East, Suite 202
Toronto, ON

Neither the TSX Venture Exchange nor it's Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

Cautionary Note Regarding Forward-Looking Statements

This message contains certain statements that may be deemed "forward-looking statements" concerning the Company within the meaning of applicable securities laws. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects," "plans," "anticipates," "believes," "intends," "estimates," "projects," "potential," "indicates," "opportunity," "possible" and similar expressions, or that events or conditions "will," "would," "may," "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, are subject to risks and uncertainties, and actual results or realities may differ materially from those in the forward-looking statements. Such material risks and uncertainties include, but are not limited to, among others, the timing for the Company to close the private placement or the second Nisk option or risk that such transactions do not close at all; raise sufficient capital to fund its obligations under its property agreements going forward; to maintain its mineral tenures and concessions in good standing; to explore and develop its projects; changes in economic conditions or financial markets; the inherent hazards associates with mineral exploration and mining operations; future prices of nickel and other metals; changes in general economic conditions; accuracy of mineral resource and reserve estimates; the potential for new discoveries; the ability of the Company to obtain the necessary permits and consents required to explore, drill and develop the projects and if accepted, to obtain such licenses and approvals in a timely fashion relative to the Company's plans and business objectives for the applicable project; the general ability of the Company to monetize its mineral resources; and changes in environmental and other laws or regulations that could have an impact on the Company's operations, compliance with environmental laws and regulations, dependence on key management personnel and general competition in the mining industry.

SOURCE: Power Nickel Inc.