Announcement • Mar 18
First Atlantic Nickel Corp Announces New Alloy Max Zone Discovery At Pipestone Xl Nickel-Cobalt Alloy Project
First Atlantic Nickel Corp. announced the discovery of a second large-scale awaruite (Ni3Fe) nickel-cobalt alloy target area, designated Alloy Max, extending 7 kilometers north of the existing RPM Zone within the 30 km Pipestone Ophiolite Complex at its Pipestone XL Nickel-Cobalt Alloy Project in central Newfoundland. The Alloy Max zone was discovered through the Company's ongoing district-wide surface sampling program, which integrates field geological mapping, rock sampling, Davis Tube Recovery (“DTR”) metallurgical testing, and geophysics to identify magnetically recoverable nickel in awaruite alloy mineralization throughout the 30 km trend. This work has outlined an initial target area at Alloy Max of approximately 4 km in length and 1.2 km in width, with DTR surface sample grades similar to those observed at the RPM Zone. Geophysical processing on this target indicates the potential for a larger mineralized area than the RPM Zone. At the RPM Zone, this pattern is well established, where drill cores consistently return higher grades than weathered surface samples. Alloy Max is fully permitted and funded for drilling, with ground access in place, minimal overburden, and numerous drill targets identified. The Alloy Max zone is a new area of awaruite mineralization extending 7 km north of the RPM Zone discovery, reinforcing the district-scale potential of the Pipestone XL Nickel-Cobalt Alloy Project. The Company now has two large-scale awaruite target areas identified within the 30 km Pipestone Ophiolite Complex, with additional untested targets and unexplored ground throughout the district. At the RPM Zone, drilling has confirmed magnetically recoverable awaruite nickel mineralization over an area 800 meters wide and 1.2 kilometers long. Alloy Max is a priority for drilling in 2026 and could represent a second large-scale near-surface zone of awaruite suitable for open pit style bulk tonnage mining. This discovery is in line with the Company's mission to mine and process a large-scale nickel-cobalt feedstock capable of supplying a vertically integrated North American onshore supply chain, from mining directly into downstream battery refining or stainless steel production, with no need for smelting or offshore processing. District-wide surface sampling has outlined a major new area of magnetically recoverable nickel in awaruite alloy mineralization extending 7 km north of the RPM Zone. Alloy Max is a priority target for drilling in 2026. Field geological mapping, surface sampling, and DTR analysis outline an initial target area of approximately 4 km x 1.2 km. Geophysical processing indicates the potential for a larger mineralized size and mass than the RPM Zone, where drilling has confirmed 800 m width x 1.2 km strike length of positive magnetically recoverable awaruite nickel mineralization. DTR surface sampling across a large area of Alloy Max has returned magnetically recoverable nickel grades comparable to RPM Zone surface values, where drill core at depth returned significantly higher grades than weathered surface samples. Approved drill permits are in place for the entire Alloy Max target area. Ground access is in place, with minimal overburden, and numerous drill targets identified. Alloy Max presents an opportunity for large-scale development with proximity to centralized processing. Two large-scale awaruite target areas now identified within the Pipestone XL district, with ongoing surface sampling continuing to identify new areas of awaruite mineralization throughout the 30 km Pipestone Ophiolite Complex. Aggregate gross proceeds of approximately $7,819,316 were raised through non-brokered private placements (without warrants), comprising $3,919,316 in flow-through financings and $3,900,000 under the LIFE Offering. Proceeds will support drilling at Alloy Max and the RPM Zone. The Alloy Max target area was identified through the Company's systematic district-wide exploration program, which employs field geological mapping, field surface rock sampling with DTR analysis, and geophysical interpretation to identify and delineate areas of awaruite nickel-cobalt alloy mineralization across the 30 km Pipestone Ophiolite Complex. DTR surface sampling at Alloy Max has returned numerous positive magnetically recoverable nickel values at or above 0.04%, consistent with surface sample grades observed in the RPM Zone, where surface samples commonly range from 0.03% to 0.10% DTR nickel. At the RPM Zone, this pattern is well established, with drill core samples consistently returning higher DTR grades than weathered surface samples, indicating the potential for higher nickel grades at Alloy Max in drill core. The initial target area, defined by the integration of field geological mapping, surface rock sampling, DTR (magnetic separation and recovery) testing, and geophysics, is approximately 4 km in length and 1.2 km in width. Geophysical processing on this target indicates the potential for Alloy Max to exceed the size of the RPM Zone. Awaruite mineralization at Alloy Max has been confirmed both visually in surface rock samples and through DTR analysis. Alloy Max has fully approved drill permits in place which encompass the entire outlined target area. The area features existing ground access, minimal overburden, and favourable conditions for near-surface drill testing. Numerous drill targets have been identified within Alloy Max based on the integration of surface DTR results, geological mapping, and geophysical data. The Company has designated Alloy Max as a priority drilling target area in 2026. Since December 2025, the Company has raised aggregate gross proceeds of approximately $7,819,316 through non-brokered private placements (without warrants), comprising $3,919,316 in flow-through financings and $3,900,000 under the LIFE Offering. No warrants were issued in these financings. The Company intends to use the proceeds to advance drilling at the Alloy Max target area, expand drilling at the RPM Zone, and continue district-wide exploration across the Pipestone XL Nickel-Cobalt Alloy Project. Awaruite (Ni3Fe) is a naturally occurring nickel-iron-cobalt alloy mineral containing approximately 77% nickel - 2 to 3 times the nickel content of typical sulfide minerals such as pentlandite (~25% Ni). Awaruite forms during serpentinizati on, a geological process in which ultramafic peridotite reacts with water, generating molecular hydrogen gas (H2), and liberated nickel (Ni²?) and iron (Fe²?) then react with this abundant hydrogen to form the alloy. Because awaruite already exists in a reduced metallic state composed entirely of metal elements with no sulfur, it requires no smelting, roasting, or acid leaching. This offers a direct mine-to-refinery or stainless steel pathway that bypasses the bottleneck of limited North American smelting capacity.
