Mr. Mark Selby reports

CANADA NICKEL ANNOUNCES BOUGHT DEAL PRIVATE PLACEMENT FOR GROSS PROCEEDS OF C$12.0 MILLION

Canada Nickel Company Inc. has entered into a letter agreement with Red Cloud Securities Inc. to act as lead underwriter and sole bookrunner on behalf of a syndicate of underwriters, pursuant to which the underwriters have agreed to purchase for resale 10 million units of the company at a price of $1.20 per unit on a bought deal basis in a private placement for gross proceeds of $12-million.

Each unit will consist of one common share of the company and one-half of one common share purchase warrant. Each whole warrant shall entitle the holder to purchase one common share of the company at a price of $1.80 at any time on or before that date which is 36 months after the closing date (as defined herein).

Mark Selby, chief executive officer of Canada Nickel, commented: "Following the referral by the government of Canada to the Major Projects Office, this funding allows us to ramp up activities while we're working with the government and the Major Projects Office to unlock the financing necessary to achieve our previously announced goal of breaking ground and beginning construction on our Crawford nickel project by the end of next year."

The company has granted to the underwriters an option, exercisable in full or in part up to 48 hours prior to the closing date, to purchase for resale up to an additional 2.5 million units at the offering price for up to $3-million in additional gross proceeds. The underwritten offering and the securities issuable upon exercise of the overallotment option shall be collectively referred to as the offering.

The company plans to use the net proceeds of the offering for the advancement of the company's wholly owned Crawford nickel sulphide project as well as for working capital and general corporate purposes.

The offering is scheduled to close on or around Dec. 11, 2025, and is subject to certain conditions including, but not limited to, the listing of the unit shares and warrant shares on the TSX Venture Exchange, and the receipt of all necessary approvals including the approval of the TSX-V.

The company shall pay to the underwriters, on the closing date, a cash commission of 6.0 per cent of the gross proceeds raised in respect of the offering. In addition, at the closing, the company shall issue to the underwriters warrants of the company, exercisable for a period of 36 months following the closing date, to acquire in aggregate that number of common shares of the company which is equal to 6.0 per cent of the number of units sold under the offering at an exercise price equal to the offering price.

The units will be offered: (a) by way of private placement in all of the provinces of Canada pursuant to applicable exemptions from the prospectus requirements under applicable Canadian securities laws; (b) in the United States or to, or for the account or benefit of, U.S. persons, by way of private placement pursuant to the exemptions from the registration requirements provided for under the United States Securities Act of 1933, as amended; and (c) in jurisdictions outside of Canada and the United States on a private placement or equivalent basis, in each case in accordance with all applicable laws, provided that no prospectus, registration statement or other similar document is required to be filed in such jurisdiction. The securities to be issued pursuant to the offering to purchasers in Canada will be subject to a four-month hold period in Canada pursuant to applicable Canadian securities laws. The units will be offered to purchasers outside of Canada pursuant to an exemption from the prospectus requirements in Canada available under OSC Rule 72-503 and, accordingly, the securities to be issued pursuant to the offering to purchasers outside of Canada are not expected to be subject to a four-month hold period in Canada.

About Canada Nickel Company Inc.

Canada Nickel is advancing the next generation of nickel-sulphide projects to deliver nickel required to feed the high-growth electric vehicle and stainless-steel markets. Canada Nickel Company has applied in multiple jurisdictions to trademark the terms NetZero Nickel, NetZero Cobalt, NetZero Iron and is pursuing the development of processes to allow the production of net-zero carbon nickel, cobalt and iron products. Canada Nickel provides investors with leverage to nickel in low political risk jurisdictions. Canada Nickel is currently anchored by its 100-per-cent-owned flagship Crawford nickel-cobalt sulphide project in the heart of the prolific Timmins nickel district.

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