First Atlantic Nickel Announces $16 Million Two-Stage Earn-in Agreement With Core Critical Metals Corp. on Lucky Mike Copper-Silver-Tungsten Project, British Columbia - Retains 20% Carried Interest to Feasibility and Rights to Mining Royalty

Executive Summary

• First Atlantic Nickel Corp. entered into an arm’s‑length option agreement with Core Critical Metals Corp. that allows CCMC to earn up to an 80 % interest in the Lucky Mike copper‑silver‑tungsten property.
• The earn‑in is structured in two stages requiring $16 M of qualified exploration expenditures and cash/share payments totaling $650,000 to First Atlantic.
• Upon completion of the second stage, a joint‑venture will be formed with CCMC as operator; First Atlantic retains a 20 % participating interest (carried until a feasibility study) or may convert to a royalty if diluted below 10 %.

Key Details

• Property: Lucky Mike Copper‑Silver‑Tungsten porphyry project, Southern British Columbia – 37 claims (~7,675 ha), located ~20 km SE of Highland Valley mine.
• Earn‑In Structure:
• Stage 1 (to 70 %):
  • Cash payment of $150,000 upon Exchange approval/closing.
  • Additional cash and/or share payments totaling $500,000 over the first three years.
  • Minimum $6 M qualified exploration expenditures on the property (by the fifth anniversary).
• Stage 2 (additional 10 % to reach 80 %):
  • Further $10 M qualified exploration expenditures by the tenth anniversary.
• Total Consideration: $650,000 cash/share + $16 M qualified exploration spend = $16.65 M total commitment from CCMC.
• Share Payment Terms: If shares are issued, they will be priced at the VWAP of the 10 trading days preceding CCMC’s notice of share issuance.
• Royalty & Carry:
• Existing 2 % net smelter return (NSR) royalty on the property.
• First Atlantic’s 20 % interest is carried (no capital contribution) until a feasibility study is delivered (“Carry End Date”).
• Post‑Earn‑In JV: After CCMC earns the full 80 %, a joint venture will be executed; each party bears its pro‑rata share of approved annual work program expenditures, with CCMC as operator.
• Dilution & Exit Mechanics: If First Atlantic elects not to fund its share after the Carry End Date and its interest falls ≤10 %, it converts to a 3 % NSR royalty (subject to a 2 % buy‑back for $7.5 M).
• No Finder’s Fees are payable on this transaction.

Notable Quotes

(None provided in the release)