Mr. Terry Lynch reports

POWER NICKEL COMMENCES 2024 DRILL PROGRAM

Power Nickel Inc. has started the 2024 winter drill program at the Nisk nickel sulphide project in Nemaska, Que.

"We are excited to start our ambitious 2024 drill program. The program will have multiple objectives. First, to test the four new target zones that were identified from the interpretation of our ambient noise tomography (ANT) program. These targets are hosted in areas showing a similar ANT signature to Nisk Main. Given the right geology, each target represents a potential volume varying from 50 per cent to 100 per cent of the volume we have identified at Nisk Main.

"Second, we will be testing the extension of our PGM hole that hit on over one ounce of PGM [platinum group metal] over 7.75 metres.

"Finally, we will look to continue to extend the known resource at Nisk Main," said Power Nickel chief executive officer Terry Lynch.

Power Nickel's plan is to finish drilling hole PN-23-042B on Nisk Main and then to start testing the ANT target No. 3. In February, a second rig will be added to follow up on the successful PGM hit at the Wildcat target, which is a full 5.5 kilometres from Nisk Main.

On Jan. 18, 2024, Power Nickel held a podcast to discuss its 2024 plans.

Qualified person

Kenneth Williamson, Geo, MSc, vice-president, exploration, at Power Nickel, is the qualified person who has reviewed and approved the technical disclosure contained in this news release.

About Power Nickel Inc.

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 Feb. 1, 2021, Power Nickel (then called Chilean Metals) completed the acquisition of its option to acquire up to 80 per cent of the Nisk project from Critical Elements Lithium Corp. Subsequently, Power Nickel has exercised its option to acquire 50 per cent of the Nisk project and delivered notice to Critical Elements that it intends to exercise its second option to bring its ownership to 80 per cent. The last remaining commitment to activate this exercise is delivering a National Instrument 43-101 technical report, which is anticipated to completed in January.

The Nisk property comprises a significant 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.

Power Nickel announced on June 8, 2021, that an agreement had been made to complete the 100-per-cent acquisition of its Golden Ivan project in the heart of the Golden Triangle. The Golden Triangle has reported mineral resources (past production and current resources) in 130 million ounces of gold, 800 million ounces of silver and 40 billion pounds of copper (Resource World). This property hosts two known mineral showings (Gold Ore and Magee) and a portion of the past-producing Silverado mine, reportedly exploited between 1921 and 1939. These mineral showings are polymetallic veins containing quantities of silver, lead, zinc, plus/minus gold, plus/minus copper.

Power Nickel is also 100-per-cent owner of five properties comprising over 50,000 acres strategically located in the prolific iron-oxide-copper-gold belt of northern Chile. It also owns a 3-per-cent net smelter return royalty interest on any future production from the Copaquire copper-molybdenum deposit sold to a subsidiary of Teck Resources Inc. Under the terms of the sale agreement, Teck has the right to acquire one-third of the 3-per-cent NSR for $3-million at any time. The Copaquire property borders Teck's producing Quebrada Blanca copper mine in Chile's first region.

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