TORONTO, Jan. 11, 2021 /CNW/ - Canada Nickel Company Inc.
("Canada Nickel" or "The Company") (TSXV: CNC)
(OTCQB: CNIKF) is pleased to announce that it has entered into a
non-binding Memorandum of Understanding ("MOU") with Glencore
Canada Corporation ("Glencore") in order to examine the potential
use of Glencore's Kidd concentrator and metallurgical site ("Met
Site") in Timmins, Ontario for the
treatment and processing of material mined from Canada Nickel's
100% owned Crawford Nickel-Cobalt Sulphide project ("Crawford").
Crawford is located 40 km north of Glencore's operations.
"The opportunity to utilize the excess capacity and existing
infrastructure at the Kidd Met Site provides the potential to allow
a faster, simpler, smaller scale start-up of Crawford at a vastly
lower capital cost while the Company continues to permit and
develop the much larger scale project currently being
contemplated. Given the potential for this significant change
in the scope of the project start-up, the release of the
Preliminary Economic Assessment (PEA) will be delayed until the end
of March 2021 to allow this option,
if successful, to be incorporated," said Mark Selby, Chair and CEO of Canada
Nickel.
Canada Nickel has completed an initial high-level assessment and
will now proceed with a detailed study on the potential for
upgrading excess capacity at the Kidd Concentrator and/or utilizing
the existing infrastructure in place at the Kidd Met Site for
milling and further processing the nickel-cobalt and magnetite
concentrates that are expected to be produced from Crawford. Should
the study deliver a positive outcome for both parties, the parties
will continue good faith negotiations towards a binding agreement.
The MOU is non-exclusive.
This detailed study is expected to be completed by the end of
March 2021. Ausenco Engineering Canada Inc. ("Ausenco"),
currently retained as the lead study consultant for the Crawford
Preliminary Economic Assessment that is underway, has been engaged
to support the assessment of the Kidd Met Site facilities.
About Kidd Operations
Located in Timmins, Ontario,
Glencore Canada Corporation operates the Kidd Operations consisting
of the Kidd Metallurgical Site and the Kidd Mine.
The Concentrator is located on the property of the Kidd
Metallurgical Site (Kidd Met Site). The Kidd Met Site is located 27
km east of Timmins, Ontario in the
Townships of Hoyle and Matheson,
within the Timmins City Limits. Built in 1966 with numerous
upgrades over the years, the Concentrator currently processes metal
ore to produce copper and zinc concentrates. The facility has a
design rated capacity of 12,500 tonne-per-day and is fully
permitted with water taking and discharge permits and thickened
tailings storage. The site has incoming and outgoing rail service
via Ontario Northland Railway.
About Canada Nickel Company
Canada Nickel Company Inc. is advancing the next generation of
nickel-cobalt sulphide projects to deliver nickel and cobalt
required to feed the high growth electric vehicle and stainless
steel markets. Canada Nickel Company has applied in multiple
jurisdictions to trademark the terms NetZero NickelTM,
NetZero CobaltTM, NetZero IronTM and is
pursuing the development of processes to allow the production of
net zero carbon nickel, cobalt, and iron products. Canada Nickel
provides investors with leverage to nickel and cobalt in low
political risk jurisdictions. Canada Nickel is currently
anchored by its 100% owned flagship Crawford Nickel-Cobalt Sulphide
Project in the heart of the prolific Timmins-Cochrane mining camp. For more information
please visit www.canadanickel.com.
Cautionary Statement Concerning Forward-Looking
Statements
This press release contains certain information that may
constitute "forward-looking information" under applicable Canadian
securities legislation. Forward looking information includes, but
is not limited to, the potential of the Crawford Nickel-Cobalt
Sulphide Project, timing for completion of the Proposed
Transaction, strategic plans, including future exploration and
development results, and corporate and technical objectives.
Forward-looking information is necessarily based upon a number of
assumptions that, while considered reasonable, are subject to known
and unknown risks, uncertainties, and other factors which may cause
the actual results and future events to differ materially from
those expressed or implied by such forward-looking information.
Factors that could affect the outcome include, among others: future
prices and the supply of metals, the future demand for
metals, the results of drilling, inability to raise the money
necessary to incur the expenditures required to retain and advance
the property, environmental liabilities (known and unknown),
general business, economic, competitive, political and social
uncertainties, results of exploration programs, risks of the mining
industry, delays in obtaining governmental approvals, failure to
obtain regulatory or shareholder approvals, and the impact of
COVID-19 related disruptions in relation to the Company's business
operations including upon its employees, suppliers, facilities and
other stakeholders. There can be no assurance that such
information will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
information. Accordingly, readers should not place undue reliance
on forward-looking information. All forward-looking information
contained in this press release is given as of the date hereof and
is based upon the opinions and estimates of management and
information available to management as at the date hereof. Canada
Nickel disclaims any intention or obligation to update or revise
any forward-looking information, whether as a result of new
information, future events or otherwise, except as required by
law.
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SOURCE Canada Nickel Company Inc.