First Atlantic Nickel Reports 366 Meters of 1.46% Nickel in Magnetic Concentrate From Third RPM Zone Step-Out Drill Hole, Opening Eastern Expansion Discovery Potential

Core Insights - First Atlantic Nickel Corp. announced positive Davis Tube Recovery (DTR) metallurgical test results from drill hole AN-24-04, indicating significant nickel and chromium grades in the RPM Zone of the Atlantic Nickel Project [1][6][7] - The results from the first three drill holes demonstrate consistent metallurgical performance, confirming a lateral width of at least 500 meters of disseminated awaruite mineralization [2][6][8] - Awaruite's unique properties allow for environmentally sustainable magnetic separation, eliminating the need for energy-intensive smelting processes, thus enhancing the potential for a secure domestic nickel supply chain [3][17][20] Summary by Sections Drill Results - Drill hole AN-24-04 returned 366 meters averaging 1.46% nickel and 1.56% chromium in magnetic concentrate, with peak grades reaching 2.42% nickel and 4.59% chromium [1][6][7] - The average mass pull for this hole was 9.53%, indicating effective magnetic separation [6][8] - The first three drill holes have shown consistent results, with grades of 1.37%, 1.32%, and 1.46% nickel, and mass pulls of 9.49%, 9.12%, and 9.53% respectively [2][6] Mineralization and Expansion Potential - The DTR results confirm a mineralized footprint of approximately 500 meters in width, with drill hole AN-24-04 establishing the eastern direction toward Chrome Pond as a high-priority target for further exploration [2][16] - The ongoing Phase 2 drilling program aims to expand the mineralization in all directions, supported by improved infrastructure and equipment optimizations [16][29] Awaruite Characteristics and Processing - Awaruite, a nickel-iron alloy with approximately 75% nickel, can be processed through magnetic separation, avoiding the costly and environmentally harmful smelting processes required for traditional nickel ores [3][17] - This processing method aligns with the U.S. Inflation Reduction Act's requirements for critical minerals, potentially benefiting North American electric vehicle manufacturers [17][20] Strategic Importance - The development of awaruite resources is crucial for reducing dependence on foreign nickel processing, particularly from countries like China, which dominate the global nickel market [20][29] - Awaruite's cleaner processing methods could enhance the resilience and security of North America's critical minerals supply chain, particularly for the stainless steel and electric vehicle industries [20][29]