Canada Nickel raising additional $1.5M for drilling at Crawford

Canada Nickel Company Inc. announced today an offering of up to 600,000 flow-through common shares at a price of $2.60 per FT Share, for total gross proceeds of approximately $1.5 million. The Shares will be offered by way of a best efforts non-brokered private placement to "accredited investors" resident in a Canadian jurisdiction. 

The gross proceeds of the offering will be used to fund advancement of the company's nickel-cobalt sulphide exploration activities through the incurrence of expenses that are eligible "Canadian Exploration Expenses" which will also qualify as "flow-through mining expenditures" within the meaning of s. 127(9) of the Income Tax Act (Canada), and will be eligible for the 5% Ontario Focused Flow-Through Share Credit pursuant to the Ontario Taxation Act.

The closing of the Offering is anticipated to occur on or around September 10, 2020, and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory approvals, including the acceptance of the TSX Venture Exchange. All securities issued under the Offering will be subject to a statutory hold period in Canada expiring four months and one day from the closing date.

The Company also announced today that it is extending the Accelerated Expiry Date applicable with respect to the common share purchase warrants (the "Warrants"), issued on May 5, 2020 under the warrant indenture (the "Warrant Indenture") between TSX Trust Company (the "Warrant Agent") and the Company, from August 21, 2020 to September 14, 2020 (the "Accelerated Expiry Date") to allow Warrant holders additional time to exercise their Warrants. The Company has delivered to the Warrant Agent a notice of the occurrence of an Early Expiry Event (as defined in the Warrant Indenture) and its election to extend the expiry date of the Warrants the Accelerated Expiry Date.

Mark Selby, Chair and CEO of Canada Nickel, commented "We are making this change after receiving several requests from some of our retail shareholders, particularly those who have shares in registered accounts, to extend the original accelerated expiry date beyond the four-month hold period of the underlying shares. We appreciate the support that all of our investors have shown Canada Nickel since listing in February 2020 and we are glad to be in a position to accommodate this request.  We are also pleased to announce this financing which will allow us to aggressively pursue additional exploration targets once our in-fill drilling for the current resource is completed this month."

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