Canada Nickel Company Inc. (TSX-V: CNC) (OTCQX: CNIKF) is pleased to announce that it has been awarded $500,000 from the Government of Ontario’s Critical Minerals Innovation Fund to support the development of its nickel processing facility through its wholly owned subsidiary, NetZero Metals Inc. This commitment reinforces Ontario’s commitment to building a sustainable and reliable battery metal supply chain while reducing carbon emissions and fostering innovation in critical minerals processing.

The Project, expected to be located near Canada Nickel’s flagship Crawford Nickel Sulphide Project close to Timmins, Ontario, aims to develop and validate a process flowsheet for converting Crawford’s nickel concentrate and third-party feeds into nickel and nickel-cobalt products essential for battery plants in southern Ontario. Leveraging cutting-edge technology, the proposed facility will utilize biochar, a locally sourced, renewable reductant, to replace conventional coal-based materials such as coke and anthracite, thereby minimizing carbon intensity. Once operational, the plant is expected to produce over 75,000 tonnes of nickel annually when fully ramped up, marking a significant step forward for nickel’s domestic supply chain.

Mark Selby, CEO of Canada Nickel, expressed his gratitude for the Government of Ontario’s support, “This commitment highlights the province’s leadership in fostering innovation and advancing clean technology solutions. By supporting our efforts to develop a low-cost, low-carbon nickel processing facility, Ontario is strengthening the foundation for a sustainable battery metal supply chain that will drive economic growth and contribute to the global energy transition.”

Canada Nickel is collaborating with industry leaders, such as Kingston Process Metallurgy, to advance the design and testing of this innovative processing technology. The funding from CMIF will play a crucial role in validating the process design through lab and pilot-scale metallurgical testing using representative feed samples and Ontario-produced biochar.

Mike Cox, CEO of NetZero Metals, emphasized the transformative potential of the project, “The NetZero Metals Inc. facility represents a first-of-its-kind approach in the Western world to use biochar-based reductants in pyrometallurgical nickel processing. This innovation not only addresses the growing demand for low-carbon battery metals but also reinforces Ontario’s position as a leader in clean and sustainable resource development.”

“As our economy grows with an increased need for critical minerals, our government is strengthening a made-in-Ontario supply chain, ready to fuel the technologies of tomorrow,” said George Pirie, Minister of Mines. “Companies like Canada Nickel, and others working on Critical Minerals Innovation Fund projects showcase our province’s unique talent and potential to build a competitive critical minerals industry.”

Together with the Government of Ontario, Canada Nickel and NetZero Metals Inc. are driving innovation and creating a more sustainable future for the province and beyond.

About Canada Nickel Company

Canada Nickel Company Inc. 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% owned flagship Crawford Nickel Sulphide Project in the heart of the prolific Timmins-Cochrane mining camp. For more information, please visit www.canadanickel.com

About NetZero Metals Inc.

Canada Nickel has launched wholly-owned NetZero Metals Inc. to develop zero-carbon production of Nickel, Cobalt and Iron and holds trademarks for NetZero Nickel™, NetZero Cobalt™ and NetZero Iron™ across several jurisdictions. Over three phases, the nickel processing plant is expected to reach a capacity of more than 80,000 tonnes of nickel annually, which is expected to make it the largest nickel processing facility in North America. Subject to permitting approvals, the plant plans to begin production by the start of 2027 utilizing third party feeds. The facility is expected to be further expanded with the startup and expansion of Canada Nickel’s Crawford Nickel Sulphide Project. This plant is expected to utilize proven, low environmental footprint technology to produce high-quality nickel products, catering to the needs of both the stainless-steel/superalloy and the electric vehicle markets. For more information, please visit www.canadanickel.com/#netzero

About the Critical Minerals Innovation Fund

The Critical Minerals Innovation Fund (CMIF) provides funding to projects that help strengthen Ontario’s critical minerals sector. The CMIF supports projects that involve research, development and commercialization of innovative technologies, techniques, processes and solutions for critical minerals and relate to Ontario’s key priority areas. For more information, please visit https://www.ontario.ca/page/critical-minerals-innovation-fund#section-0