Canada Nickel Secures $20 Million Bridge Loan to Advance Key Mining Projects

Toronto, May 9, 2025 – Canada Nickel Company Inc. has announced the successful closure of a significant US$20 million bridge loan coordinated by BT Capital Corporation. This financial boost is intended to facilitate progress on the company's flagship Crawford Nickel Sulphide Project and to repay an existing loan with Auramet International.

Mark Selby, CEO of Canada Nickel, expressed his enthusiasm stating, "We are thrilled that BT Capital, a key player in our financing journey, has made this bridge loan possible. This funding allows us to continue moving forward with the Crawford project toward a construction decision by the end of 2025. Additionally, we anticipate finalizing the previously announced C$20 million convertible note investment with Taykwa Tagamou Nation shortly."

Loan Details

The bridge loan originates from BT Strategic Mineral Assets LP, with Baronet Capital as the chief investor. According to the terms, the loan will mature on February 9, 2026, and carries an interest rate of 1.00% per month. The agreement also includes a 2.5% arrangement fee, leading BT Strategic Mineral Assets LP to receive 5,000,000 one-year warrants that can be exercised at $0.94. These securities are subjected to a statutory hold period under Canadian securities regulations.

This secured loan includes typical positive and negative covenants and remains under the scrutiny of the TSX Venture Exchange, with conditional approval already granted. Proceeds from this loan will help settle the remainder of Canada Nickel's balance owed to Auramet and will also support general working capital needs.

Corporate Updates

In a strategic move for regional consolidation, Canada Nickel has successfully acquired a 100% interest in 9 primary and 23 secondary mining claims in the Timmins area, equivalent to 656 hectares (1,621 acres). To finalize this acquisition, the company will issue 70,000 common shares to the vendors, pending approval from the TSX Venture Exchange.

In line with its financial management strategies, Canada Nickel has also resolved to issue 1,050,909 common shares at a deemed price of $0.99 each to settle US$750,000 (C$1,040,400) of the outstanding debt owed to Auramet.

About BT Capital

BT Capital Corporation is recognized as a leading firm specializing in structured flow-through financings, providing clients with access to market benefits while minimizing risks. Established in 2006, BT Capital has facilitated over $1 billion in flow-through share transactions, playing a vital role in resource funding.

About Baronet Capital

Baronet Capital is a family office investment firm dedicated to prudent investments that not only preserve wealth but also contribute to community wellbeing. Founded in 2023, the firm insists on secured, long-term investment strategies, prioritizing impactful ventures.

About Canada Nickel

Canada Nickel Company Inc. is at the forefront of advancing nickel-sulphide projects crucial for the burgeoning electric vehicle and stainless steel industries. The company has filed for trademark protection on terms such as NetZero Nickel™, NetZero Cobalt™, and NetZero Iron™, reflecting its commitment to developing eco-friendly mining processes. Their flagship Crawford Nickel-Cobalt Sulphide Project is strategically situated in the prolific Timmins-Cochrane mining camp, one of the finest mineral-rich areas in Canada. For more information, visit www.canadanickel.com.

^Note on Forward-Looking Statements

This press release includes forward-looking statements regarding the company’s ability to meet its financial goals and the potential production of net-zero carbon nickel and cobalt. Factors including market risks, changes in regulations, and development costs could affect the company's progress. Investors are advised to approach these forward-looking elements with cautious optimism, understanding that actual outcomes may vary significantly from what is anticipated.