Mr. Peter Espig reports

NICOLA MINING ANNOUNCES CLOSING AND OVERSUBSCRIPTION OF FLOW-THROUGH UNIT PRIVATE PLACEMENT

Nicola Mining Inc., further to its news release of July 4, 2025, has completed its non-brokered private placement pursuant to which it sold an aggregate of 4.35 million units at a price of 50 cents per unit for gross proceeds of $2,175,000. The offering was oversubscribed by $175,000.

Each unit consists of one flow-through (FT) common share and one-half of one non-flow-through common share purchase warrant. Each warrant is exercisable at a price of 65 cents and expires two years from the issuance date.

Each FT share of the company is issued on a flow-through basis pursuant to the Income Tax Act (Canada) and in accordance with the policies of the TSX Venture Exchange.

The company paid an aggregate of $147,000 to four eligible finders in connection with the offering.

All shares and warrants issued in connection with the offering, and any shares issuable on exercise of warrants, are subject to a statutory hold period expiring four months and one day after closing of the offering.

The aggregate gross proceeds from the offering will be used for the further exploration on the company's wholly owned New Craigmont project.

About Nicola Mining Inc.

Nicola Mining is a junior mining company listed on the TSX Venture Exchange and Frankfurt Stock Exchange that maintains a 100-per-cent-owned mill and tailings facility, located near Merritt, B.C. It has signed mining and milling profit share agreements with high-grade gold projects. Nicola's fully permitted mill can process both gold and silver mill feed via gravity and flotation processes.

The company owns 100 per cent of the New Craigmont project, a high-grade copper property, which covers an area of 10,800 hectares along the southern end of the Guichon batholith and is adjacent to the Highland Valley copper mine, Canada's largest copper mine. The company also owns 100 per cent of the Treasure Mountain property, which includes 30 mineral claims and a mineral lease, spanning an area exceeding 2,200 hectares.