EV Nickel - Scalable High & Low Grade Options

• EV Nickel led by President & CEO Sean Samson, IPO'd in December of the previous year and is focused on sourcing quality nickel sulfide near Timmins. They have a large land package in the Shaw Dome area and are exploring for both high-grade mineralization and large-scale low-grade potential.
• The company aims to provide clean nickel specifically for electric vehicles. They are not targeting traditional stainless steel markets but instead focus on producing nickel as cleanly as possible to cater to the rising demand in the EV sector.
• EV Nickel is pursuing a dual approach with both high-grade and low-grade nickel options. Their explorations have revealed significant potential for both high-grade targets and vast low-grade resources.
• Emphasizing its commitment to environmental sustainability, EV Nickel is researching methods like bio-leaching and carbon capture. The company aims to produce nickel sulfate directly for battery companies, eliminating the need for a smelter and promoting a cleaner supply chain.
• Despite facing challenging market conditions, EV Nickel believes there's significant potential for growth. They are planning a new technical report next year covering the entire Shaw Dome. The company also sees potential for mergers and acquisitions in the region, adding more value to its assets.

EV Nickel Positioned to Capitalize on Surging EV Demand for Clean Nickel

Ontario-based EV Nickel (TSXV: EVNI) is focused on exploration and development of nickel sulfide deposits in the Shaw Dome region of Timmins, Ontario to supply the rapidly growing electric vehicle (EV) battery market. With high-grade deposits and large-scale potential, EV Nickel aims to be a leading supplier of low-carbon "clean nickel".

Led by President & CEO Sean Samson, the company went public in December 2021 and has aggressively expanded its land package. The current portfolio includes the high-grade W4 deposit and large-scale CarLang project, both in the Shaw Dome. Drilling results to date support Samson's thesis that EV Nickel can delineate world-class resources to fuel future nickel supply.

Interview with President & CEO, Sean Samson

Surging Demand for Nickel in EV Batteries

Global demand for nickel is expected to surge over 300% by 2030, led by electric vehicle battery manufacturers like Tesla. With superior energy density, nickel is a key component of lithium-ion batteries used in EVs.

Many industry experts warn of looming nickel supply deficits as new battery megafactories come online. EV Nickel aims to help fill the gap through responsible development of nickel resources in a top-tier mining jurisdiction. The company is focused solely on supplying the EV battery industry rather than traditional stainless steel markets.

Seasoned Leadership Guiding Exploration Strategy

As President, CEO and Director, Sean Samson leads EV Nickel's management team. He brings over 20 years of experience in the mining sector, including executive roles with major producers like Kinross Gold.

Samson's background instilled financial discipline and a focus on execution. This has guided EV Nickel's exploration strategy and positioning as a potential supplier to major miners and EV manufacturers.

Samson has assembled an impressive technical team, including VP Exploration Paul Davis. With decades of geological experience in the Shaw Dome, Davis provides critical insights for EV Nickel's exploration programs.

Aggressive Land Expansion in Prolific Shaw Dome

EV Nickel has rapidly expanded its land position over the past year to become the dominant player in the Shaw Dome. Beginning with the W4 deposit acquired from Rogue Resources, the company has added new properties through staking and acquisitions.

The Shaw Dome is a highly prospective region that has produced over 130 million pounds of nickel historically. EV Nickel now controls over 6,500 hectares covering the most favorable geology. Proximity to existing mines, power and roads provide excellent infrastructure.

With district-scale potential identified, EV Nickel is methodically exploring high-grade targets while also delineating a potential world-class low-grade deposit.

High-Grade W4 Deposit

Drilling in 2021 intersected high-grade nickel sulfide mineralization outside the boundaries of the historic W4 resource, demonstrating expansion potential. Recent results included 5.5 meters grading 3.04% nickel and 4.9 meters grading 3.11% nickel at shallow depths.

An updated resource estimate for the W4 deposit is planned for 2023, which will incorporate the new drill results. EV Nickel is also permitting additional drill pads to test for further extensions of the high-grade zones.

The existing infrastructure, grades and proximity to third-party mills make W4 an attractive near-term development target to produce clean nickel concentrates.

Large-Scale Potential at CarLang

Located northeast of the W4 deposit, CarLang represents a major new nickel discovery by EV Nickel. The extremely wide intercepts point to a potential low-grade, bulk tonnage deposit amenable to open pit mining.

Recent drill results at CarLang include 152 meters grading 0.24% nickel from the surface and 308 meters grading 0.23% nickel from 32 meters depth. Geological modelling indicates the mineralized zone is open along strike and at depth.

An initial resource estimate for CarLang is targeted for 2023. EV Nickel sees similarities to Canada Nickel's Crawford Main Zone deposit which hosts over 1.2 billion tonnes grading 0.24% nickel.

Systematic Approach to Exploration

For a junior mining company, EV Nickel has taken a systematic approach to exploration. The staged strategy balances advancing near-term opportunities like W4 while also testing district targets like CarLang.

Tight spacing at W4 will support an updated high-grade resource estimate. Meanwhile, widely spaced holes at CarLang provide early delineation of a potential low-grade bulk tonnage deposit. This sets the stage for more detailed drilling and a maiden resource.

The phased exploration campaigns are aligned with EV Nickel's corporate strategy of developing both a near-term clean nickel concentrate business at W4 and a longer-term large-scale mine at CarLang.

Positioned to Capitalize on Favorable Macro Trends

EV Nickel is positioned to benefit from the confluence of two mega trends - the global energy transition and the reshoring of supply chains.

Electrification of transport is expected to drive nickel demand higher for decades to come. EV manufacturers are aggressively trying to lock up future clean nickel supply.

Developing a new nickel mine takes over a decade, meaning today's exploration projects will fuel supply in the 2030s. EV Nickel offers district-scale potential in a top-tier mining jurisdiction to deliver future clean nickel production.

The company's exploration strategy, disciplined approach and experienced leadership team provide a solid foundation during a volatile market environment. EV Nickel appears undervalued relative to peers and has a significant upside if exploration continues yielding positive results.

The Pros & Cons

Pros

• Strong leadership team with experience advancing exploration projects and operating mines. This provides credibility.
• Strategic land position assembled in an established nickel mining district. The Shaw Dome has good geology and infrastructure.
• Early drilling results validate the potential for high-grade resources at W4 and large-scale deposits like CarLang. Positive results de-risk the projects.
• Systematic exploration strategy focused on near-term and longer-term opportunities. Provides flexibility.
• Favorable demand outlook with nickel critical for EV batteries. Provides confidence in long-term nickel prices.
• If exploration continues yielding positive results, the stock appears undervalued based on comparative valuations. Significant upside potential.

Cons

• Still an early-stage exploration company so risks around proving economic resources. More drilling is needed.
• Additional capital will be required to advance projects to the development stage. Equity financings may be dilutive.
• The nickel market can be volatile. Don't want to overextend during periods of high prices.
• Major capital is needed to build a mine and processing plant in future. A partnership may be required.
• Permitting risks typical of any new mining project, especially around environmental factors.

Overall, EV Nickel offers speculative upside potential at an early stage. The experienced team and systematic approach help mitigate risks inherent in exploration. Investors bullish on nickel demand from EVs may see an attractive opportunity. However, risks are elevated until resources are further delineated. More drilling results are expected over the coming year which could substantially re-rate the stock if positive.