Canada Nickel Targets 1 Million Tonnes a Year of Low-Carbon Steel for Swiss Steel

Canada Nickel Company and Swiss Steel Group signed a framework agreement on October 23, 2026. Under it, the two companies intend to form an exclusive, long-term partnership in which Swiss Steel Group would source approximately 1 million tonnes per year of low-carbon semi-finished steel products from Canada starting in 2030. The billets and blooms would feed Swiss Steel Group's specialty steel facilities in the US, Canada, Germany, Switzerland, and France, where the company has already technically validated an initial supply concept. The partnership links to Canada Nickel's plan to turn concentrate from its Crawford Nickel Sulphide Project in Ontario into semi-finished stainless and specialty steel. The two companies now plan to develop the concept into a commercially and technically viable agreement, while Canada Nickel is targeting a construction decision on Crawford in 2027.

Company Overview

Canada Nickel Company Inc. is advancing the next generation of nickel-sulphide projects to supply nickel to the electric vehicle and stainless steel markets. The company has applied in multiple jurisdictions to trademark the terms NetZero Nickel, NetZero Cobalt and NetZero Iron. It is also developing processes to produce net-zero-carbon nickel, cobalt, and iron products. Its flagship asset is the 100%-owned Crawford Nickel Sulfide Project in Ontario's Timmins-Cochrane mining camp.

Exclusive Access to 1 Million Tonnes a Year From 2030

Canada Nickel (TSXV: CNC | OTCQB: CNIKF) and Swiss Steel Group signed the agreement on October 23, 2026. It sets the framework for a long-term strategic partnership to supply low-carbon semi-finished steel products from Canada. Under the planned arrangement, Swiss Steel Group would gain exclusive access to approximately 1 million tonnes per year of billets and blooms from 2030. It would then process that material further into specialty steel.

The companies have already developed and technically validated an initial supply concept covering Swiss Steel Group's facilities in the US, Canada, Germany, Switzerland and France. The agreement is currently a statement of intent. Both parties have committed to work toward a commercially and technically viable long-term partnership, and definitive commercial terms have not yet been disclosed.

Chief Executive Officer (CEO) of Swiss Steel Group, Frank Koch, linked the arrangement to the group's sourcing strategy:

"This intended partnership supports an important element of our strategy: focusing our own industrial footprint while securing flexible access to competitive, low-carbon pre-material. It would strengthen our ability to serve our customers with high-quality specialty steels while increasing flexibility across our production network."

Crawford's Downstream Steel Strategy

Canada Nickel plans to process Crawford's output through its wholly owned subsidiary, NetZero Metals. That subsidiary would turn the mine's concentrates into a finished nickel product. It would also convert the nickel-chromium magnetite concentrate into low-carbon, and potentially net-zero carbon, semi-finished stainless and specialty steel. The Swiss Steel Group framework identifies a European specialty steelmaker as a prospective buyer of semi-finished steel at approximately 1 million tonnes per year.

Swiss Steel Group is headquartered in Lucerne and produces specialty long steel products. It uses steel scrap in electric arc furnaces, operates production and sales companies in 25 countries, and employs approximately 7,000 people. Its product range covers structural steel, stainless steel, and tool steel, giving Canadian billets and blooms a route into established European customer networks.

Canada Nickel CEO Mark Selby described the partnership as a way to use Canada's energy advantages for domestic processing:

"Rather than simply exporting energy, Canada Nickel is using this energy for value-added production here at home, strengthening Canada's industrial base while effectively exporting Canada's natural gas and electricity advantages to support Europe's competitiveness and long-term supply security."

European Funding & Government Support

Canada Nickel plans to work with Swiss Steel Group, along with its own existing partners, to secure European critical minerals funding support for Crawford. The company is targeting a construction decision on the project in 2027. The partnership was made public as Canada prepared to host the European Union during the same week.

George Pirie, Minister of Northern Economic Development and Growth, welcomed the proposal, saying the partnership reflects growing global demand for Ontario's resources, expertise and competitive advantages. It reinforces Northern Ontario's role in building secure supply chains.

Next Steps

Canada Nickel and Swiss Steel Group will now work to develop the October 23, 2026 framework into a commercially and technically viable long-term partnership. In parallel, Canada Nickel is pursuing European critical minerals funding for Crawford alongside Swiss Steel Group and its existing partners, and is targeting a construction decision in 2027. The project targets supply of about 1 million tonnes per year of semi-finished steel products starting in 2030.