Mr. Brad Humphrey reports

NICAN COMMENCES DRILLING AT WINE NICKEL PROPERTY, MANITOBA, CANADA

Nican Ltd. has commenced diamond drilling at its Wine property located in the Snow Lake area, Manitoba, Canada. The drill rig has mobilized to site and is currently coring the first hole of the phase 3 drilling program consisting of a minimum of 1,500 metres.

Highlights:

• Phase 3 drill program has commenced at the high-grade Wine nickel property with the following objectives:
  • To expand previously defined nickel-bearing zones to the east of the Wine occurrence; and
  • To drill test newly expanded target areas of more than six kilometres along strike.
• Recent geophysical and soil geochemical results assisted in prioritizing multianomaly target areas for subsequent drill testing.

Brad Humphrey, president and chief executive officer of Nican, commented: "We are very pleased to be back on the ground, drill testing several targets that we have interpreted to be on strike with the two mineralized horizons defined on the property to date. Nican remains in a strong position, with a solid balance sheet and two highly prospective nickel sulphide projects in established mining jurisdictions."

Phase 3 Wine drill program

At the Wine project, Nican is drilling a minimum of 1,500 metres to test multiple conductive targets identified by recently completed surface time domain electromagnetic (TDEM), borehole and surface surveys, combined with reprocessed versatile time domain electromagnetic (VTEM) airborne geophysical survey, which was completed in 2022 (see press release dated Nov. 14, 2022). Results from a geochemical survey, also completed earlier this year, assisted in prioritizing the drill targets. A significant number of conductive sources have been defined over a strike length of six kilometres that merit drill testing. These have been geophysically modelled and drill holes have been designed to effectively intersect the suspected sulphide bodies defined by these models.

The initial diamond drill targets are following up on mineralization intersected during the previous drill program that defined varying quantities of disseminated to massive sulphide nickel-bearing mineralization in a zone 650 metres east of the Wine occurrence. Most notable were holes Wine 23-08 and Wine 23-07 in which varying degrees of pyrrhotite and chalcopyrite mineralization were intersected in two relatively shallow zones. Assay results returned elevated copper and nickel values over core lengths of more than 10 metres (see press releases dated May 24, 2023, and June 21, 2023). Nican is currently following up on these new zones to better understand their orientation and extent.

The phase 3 Wine drill program has two primary objectives. Initially, Nican anticipates expanding previously defined nickel-bearing zones located to the east of the Wine occurrence. Downhole and TDEM surveys have defined multiple conductors along a distinct stratigraphic horizon within the Wine gabbro. Humic soil geochemical results have shown anomalous Ni-Cu (nickel-copper) values associated with these electromagnetic (EM) responses supporting additional drill testing.

The second objective of Nican's phase 3 drill program is to identify additional nickel-bearing mineralized zones associated with newly defined geophysical targets interpreted to be along strike from the Wine occurrence by distances of up to 4.8 kilometres. These are new targets that have not been drill tested in the past.

Nican continues to follow up on the significant results returned from previous diamond drilling, including:

• Diamond drill hole Wine 22-5 intersected 27.3 metres of 2.01 per cent Ni and 1.81 per cent Cu (2.28 per cent NiEq (nickel equivalent);
• Diamond drill hole Wine 22-6 intersected 9.8 metres of 1.23 per cent Ni and 2.09 per cent Cu (1.71 per cent NiEq);
• Diamond drill hole Wine 22-3 intersected 8.6 metres of 1.89 per cent Ni and 1.01 per cent Cu (1.92 per cent NiEq);
• Diamond drill hole Wine 23-16 intersected four zones of mineralization, including 12.6 metres of 1.52 per cent Ni and 2.01 per cent Cu (1.93 per cent NiEq);
• Diamond drill hole Wine 23-17 intersected two zones of mineralization, including 23.5 metres of 1.59 per cent Ni and 1.76 per cent Cu (1.91 per cent NiEq).

Note: Nickel equivalent grades include nickel and copper values only and assume recoveries of 85 per cent for nickel and 85 per cent for copper, based on comparable deposits. Nickel price: $10 (U.S.)/pound, copper price: $3.75 (U.S.)/lb.

Analogies to historical Lynn Lake nickel deposits

Nican believes that the nickel mineralization hosted by the Wine gabbro may have analogies to the nickel-copper deposits in the Lynn Lake area where approximately 22.2 million tonnes averaging 1 per cent nickel and 0.5 per cent copper was historically mined. The Farley mine consisted of multiple lenses of mineralization contained within a 4.2-square-kilometre gabbro body. The Wine gabbro contains numerous similarities and has seen very little exploration for nickel-copper deposits.

Qualified person

Bill Nielsen, PGeo, a consultant to Nican, a qualified person under National Instrument 43-101 -- Standards of Disclosure of Mineral Projects (NI 43-101), has reviewed and approved the scientific and technical information in this news release.

About Nican Ltd.

Nican is a mineral exploration company, trading under the symbol NICN on the TSX Venture Exchange. The company is actively exploring two nickel projects, both located in well-established mining jurisdictions in Manitoba, Canada.

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