Canada Nickel Corp (CNC) - Strategic Investor In Before year End?

• Canada Nickel Corp was nominated for 2 industry awards
• Onstage with Ontario government delegation promoting the province's mining sector
• Selby aims to finalize a Strategic investor by the end of 2023
• Predicting continued volatility in nickel prices until New Year
• Strong potential in Canada Nickel's regional exploration assets

Advancing Major Nickel-Sulphide Project Towards Production

Canada Nickel CEO Mark Selby provided updates on the company’s flagship Crawford nickel-sulphide project and broader outlook in a recent interview. Selby expressed confidence around finalizing an off-take agreement by year-end 2023 that would represent a huge endorsement from the industry.

Selby explained that Canada Nickel recently completed a feasibility study (FS) for the Crawford project just 4 years after early drilling. Located in Ontario, Crawford is slated to become the world’s 3rd-largest nickel sulphide operation once ramped up. The company also aims to establish the “world’s largest nickel sulphide district” around Timmins, with Crawford as the first of over 20 regional properties.

A key milestone this year was the completion of the Crawford feasibility study, which outlined robust economics. As Selby stated: “We were very happy with where the feasibility study landed - two and a half billion dollar NPV, 18% IRR when you include the carbon capture and storage credits." The study validated Crawford's large scale and supports ongoing partnership talks.

Industry Recognition

While Canada Nickel did not win any accolades at the recent Mines and Money conference in London, Selby took pride in the multiple award nominations, including for CEO and Explorer of the Year. An Ontario government delegation also promoted the province’s attractive mining jurisdiction abroad. Selby believes such industry recognition helps “propel partnership discussions forward.”

Commodity Pricing Outlook

Nickel prices face continued volatility after steep sell-offs. However, expect an eventual rebound fueled by shorts covering positions. As Selby commented: “Once that price does get to a very steep point, it makes it difficult for the shorts - if there’s not much downside left, they have to start to cover.”

Regional Exploration Upside

The company is being valued on the perception of how Crawford gets financed. If Selby can show that an additional meaningful strategic investor (AngloAmerican is already onboard) is involved it should say to retail investors that Crawford will get built. So here lies the real upside, as beyond Crawford, Canada Nickel controls over 20 additional properties around Timmins that Selby believes hold substantial value potential. He explained how the Crawford feasibility study “demonstrates the value potential” of these earlier-stage assets to prospective partners.

As Selby emphasized: “You’re gonna see some pretty interesting ways for us to unlock value from that portfolio of assets.”

The Investment Thesis for Canada Nickel Corp

• Crawford feasibility study confirms world-scale low-cost nickel sulphide project
• Off-take deal expected by 2023 year-end would signal strong partner interest
• Additional 20+ regional properties provide significant optionality
• Current share price does not reflect fundamental nickel asset value
• Potential re-rating as Crawford advances towards production

Canada Nickel made significant progress in 2023 through key de-risking milestones at its Crawford nickel project. Ongoing work to advance Crawford combined with strategic leveraging of regional exploration assets provide avenues for substantial value creation.