As Global Nickel & Cobalt Demand Accelerates, Awaruite Showing Potential to Become a Strategic Source of Supply

• First Atlantic Nickel & Cobalt reported preliminary metallurgical results from its ONSHORE MAX process, successfully upgrading awaruite concentrate to 63.7%–71.9% nickel and 1.76% cobalt via low-intensity magnetic separation and flotation.
• Drilling at the Alloy Max North zone intersected 414 meters of continuous visible awaruite mineralization, confirming a second large-scale discovery spanning approximately 4 kilometers of strike.
• The company initiated permitting for a large-scale bulk sample at the RPM Zone to advance the ONSHORE MAX process toward pilot-scale processing.
• A non-binding letter of intent was signed with Vema Hydrogen to explore a 50/50 joint venture for engineered mineral hydrogen (EMH) development at Pipestone XL.
• The release reiterates alignment with the G7 critical minerals framework and U.S. Defense Industrial Base Consortium (DIBC) membership, emphasizing the smelter-free, low-carbon processing pathway.

• The metallurgical results represent a successful validation of the flotation upgrade step, moving from ~1.3% magnetic concentrate to ~67–72% nickel concentrate. This materially de-risks the smelter-free processing narrative and aligns with prior expectations outlined in the company's white papers and conference presentations.
• The 414-meter continuous awaruite intercept at Alloy Max North confirms district-scale potential and extends the known mineralized footprint northward. This is a positive exploration milestone but does not alter the immediate development timeline or financial projections.
• Permitting for a bulk sample is a standard, expected next step in the exploration-to-development progression. It does not constitute a financing event or a production commitment.
• The hydrogen joint venture letter of intent is speculative and non-binding. While it adds strategic optionality, it does not impact near-term nickel-cobalt development or capital requirements.
• Overall, the news is positive and confirms the technical viability of the processing pathway, but it is incremental to the long-term exploration program and does not trigger an immediate change in valuation or cash flow expectations.

• First Atlantic Nickel & Cobalt Corp. is a junior exploration company focused on the Pipestone XL Project in Newfoundland, Canada.
• The flagship project spans the 30-kilometer Pipestone Ophiolite Complex and targets awaruite, a naturally occurring nickel-iron-cobalt alloy (~77% Ni, sulfur-free).
• The company's smelter-free processing pathway utilizes low-intensity magnetic separation and flotation to produce high-grade nickel concentrate, bypassing conventional pyrometallurgical smelting and high-pressure acid leaching.
• Primary exploration zones include the RPM Zone (discovery area) and the newly identified Alloy Max Zone, both demonstrating continuous, large-scale awaruite mineralization.
• The project benefits from year-round road access, proximity to high-voltage transmission lines, clean hydroelectric power, and proximity to Vale's Long Harbour processing plant.