Mr. Mark Jarvis reports

GIGA METALS SELLS ROYALTY ON TURNAGAIN NICKEL-COBALT PROJECT

Giga Metals Corp. has agreed to sell a 2-per-cent net smelter return (NSR) royalty on all future metal production from the Turnagain nickel-cobalt project, located in north-central British Columbia, to Cobalt 27 Capital Corp. for $1-million (U.S.) cash payment and $9-million (U.S.) in common shares of Cobalt 27, at the deemed equity issue price of $10.50 per share, for a total of 1,125,000 shares.

Highlights:

• Royalty sale highlights the potential of the Turnagain project;
• Provides funds to advance one of the largest undeveloped sulphide nickel-cobalt projects in the world (in terms of total contained nickel) to the prefeasibility stage;
• Turnagain project is located in the politically stable jurisdiction of British Columbia, Canada;
• Turnagain ore is ideally suited to be refined into cobalt and Class 1 nickel required by battery manufacturers globally;
• Giga Metals aims to supply cobalt and nickel to the market by the time significant deficits have been projected due to the anticipated growth in electric vehicles and energy storage systems;
• The royalty is over both nickel and cobalt.

"Giga Metals is pleased to welcome Cobalt 27 as a royalty holder on the Turnagain project. Cobalt 27's acquisition of a 2-per-cent NSR further highlights the Turnagain project as one of the world's premier battery metals projects," said Mark Jarvis, president and chief executive officer. "Turnagain's position as a potential supplier of critical battery metals has been confirmed by recent approaches from Asian battery manufacturers who are focused on obtaining access to cobalt and nickel concentrate from conflict-free jurisdictions. This transaction is transformational for the company and underscores the value of the Turnagain project."

The cash and marketable securities to be received by the company from this transaction, combined with the cash on hand of approximately $3.8-million, will provide the necessary capital to advance the Turnagain project to the prefeasibility stage and beyond. The company has started a 9,600-metre drill program to test several high-impact exploration targets, as well as to provide data to support the prefeasibility study scheduled for completion in the third quarter of 2019.

The sale of a 2 per cent NSR royalty on the Turnagain project

Giga Metals has agreed to sell a 2 per cent NSR royalty to Cobalt 27's wholly owned subsidiary, Electric Metals Streaming Corp., for $1-million (U.S.) in cash payable on closing and $9-million (U.S.) in common shares of Cobalt 27, at the deemed equity issue price of $10.50 per share, for a total of 1,125,000 shares. The Cobalt 27 shares will be subject to the following trading restrictions: one-third of the Cobalt 27 shares will have a statutory hold period of four months; one-third will have a hold period of eight months; and one-third will have a hold period of 12 months from the closing date.

Under the terms of the NSR agreement, 75 per cent of the proceeds are to be used by Giga Metals to complete the work required to advance the Turnagain project through to prefeasibility and for exploration at Turnagain. Within one year of the signing of the NSR agreement, Cobalt 27 has the right to appoint one member to Giga Metals' board of directors. Giga Metals has the right to repurchase 0.5 per cent of the 2 per cent NSR for $20-million (U.S.), which, if exercised, would result in a 1.5-per-cent remaining NSR. The one-time repurchase option is only exercisable prior to the fifth anniversary of the NSR agreement. Cobalt 27 will have a right of first refusal on any future sale by Giga Metals of a royalty or product stream, or similar instrument.

Haywood Securities Inc. has acted as financial adviser to Cobalt 27 in connection with the transaction, and has provided a verbal opinion to its board of directors to the effect that, as of the date of such opinion, and subject to the assumptions, limitations, and qualifications stated in such opinion, the transaction is fair, from a financial point of view, to Cobalt 27.

About Giga Metals' Turnagain nickel-cobalt project

The Turnagain project hosts the Horsetrail nickel-cobalt deposit, among the world's largest undeveloped nickel-cobalt sulphide deposits, located in British Columbia, Canada. Giga Metals owns 100 per cent of the project, which hosts a National Instrument 43-101 mineral resource containing:

• Measured and indicated: 4.1 billion pounds of nickel and 253 million pounds of cobalt;
• Inferred: 4.3 billion pounds of nickel and 280 million pounds of cobalt.

The mineral resource estimates include inferred mineral resources that are normally considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as mineral reserves. The mineral resource has been prepared by AMC Mining Consultants (Canada) Ltd., December, 2011.

Engineering studies are under way with an objective of producing a prefeasibility report by the third quarter of 2019. Extensive metallurgical work indicates a clean concentrate grading 18 per cent nickel and 1 per cent cobalt, which is reliably achievable using simple off-the-shelf processing technology. Further metallurgical and comminution testwork has begun in support of a prefeasibility study. The Turnagain project covers a large, relatively underexplored land package prospective for additional ultramafic-hosted nickel-cobalt discoveries. Turnagain is one of the few projects in a stable jurisdiction that can potentially deliver large quantities of cobalt and nickel to meet the growing needs of the electric vehicle and energy storage markets at a time when many research analysts are projecting there will be shortages in the cobalt and nickel required by battery manufacturers.

Scientific and technical information disclosed in this document has been reviewed and approved by David Tupper, PGeo, a qualified person consistent with NI 43-101.

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