Mining All Stars back up to $20 Million Investment in Power Nickel

TORONTO , June 13, 2024 /CNW/ - Power Nickel Inc . (the "Company" or "Power Nickel") (TSXV: PNPN) (OTCBB: PNPNF) (Frankfurt IVV), is pleased to announce that it plans to conduct a flow-through offering for gross proceeds of up to $20 million , through the issuance of up to 16,000,000 flow-through units (the " FT Units ") at a price of $1.25 per FT Unit.  Each FT Unit is comprised of one flow-through common share and one-half share purchase warrant (each a " Warrant "), with each Warrant exercisable to purchase one common share at a price of $1.25 per common share for three years from the date of issuance. Each flow-through common share will qualify as a flow-through share for purposes of the Income Tax Act ( Canada ) (" ITA ").

Industry legend Rob McEwen has joined with several other leading mining investors in providing the investor buyback of the proposed $20 million $1.25 per Unit Flow Through financing for Power Nickel.

"In life you are often judged by the company you keep, and, in this respect, we think every Power Nickel shareholder wins through this association with some of the most legendary and successful mining investors on the planet. Clearly, they are as excited about the potential for Nisk as we are, and this raise will allow us to really ramp up our exploration efforts over the next 12-18 months." commented CEO Terry Lynch .

The Company will be working with Wealth Creation Preservation & Donation Inc. (" WCPD ") and IA Capital Markets on the financing.  Back-end purchasers may acquire the underlying common shares and Warrants from the front-end buyers of the FT Units, at $0.66 per common share and Warrant (combined).

The Company intends to use the gross proceeds from the sale of the FT Units for exploration activities on the Company's Nisk property located in Quebec and to incur eligible "Canadian exploration expenses", within the meaning of the ITA, that will qualify for the federal 30-per-cent critical mineral exploration tax credit.

The Company expects to close the financing before the end of June. The offering is subject to the Company's receipt of TSX Venture Exchange (" TSXV ") approval. All securities issued under the financing will be subject to a hold period of four months and one day from the date of issuance. The Company may pay finder's fees on the financing, as permitted by the policies of the TSXV and applicable securities laws.

Power Nickel is also pleased to announce it has closed its flow-through financing (previously announced on May 1, 2024 ) for gross proceeds of $200,000 by the issuance of 250,000 flow-through units (at the price of $0.80 per flow-through unit. Each flow-through unit is comprised of one flow-through common share and one share purchase warrant, with each warrant exercisable to purchase one common share at a price of $0.80 per common share for three years from the date of issuance. Each flow-through common share will qualify as a flow-through share for purposes of the ITA.

The financing was completed with investors secured for Power Nickel by WCPD. All shares and warrants issued under the financing bear a hold period of four months and one day from the closing date. The private placement is subject to the Company's completion of its filing requirements with the TSXV and TSXV approval.

The gross proceeds of the financing will be used for exploration on the Company's Nisk project located in Quebec .

Power Nickel is a Canadian junior exploration company focusing on developing the High-Grade Nickel 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).

The NISK property comprises a large land position (20 kilometres of strike length) with numerous high-grade intercepts. Power Nickel is focused on expanding the historical high-grade nickel-copper PGM 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.

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 its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

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 to close the financing of FT Units; the timing for various drilling plans; the ability to raise sufficient capital to fund its obligations under its property agreements going forward and conduct drilling and exploration; 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.

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SOURCE Power Nickel Inc.

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