NiCAN Limited has intersected multiple new zones of nickel–bearing mineralization to the east of the known high-grade nickel-copper (Ni–Cu) Wine Occurrence during its Phase II drill program on the Wine Nickel Property in Manitoba, Canada. These new zones of mineralization significantly expand the exploration target area. Phase II Wine Drill Program: The Phase II Wine drill program had two primary objectives.

The first objective was to test the high-grade Wine Occurrence to the north. The company successfully achieved this first objective by expanding the high-grade mineralization as reported in the News Release dated May 24, 2023. The second objective was to identify additional nickel bearing mineralized zones within the Wine Gabbro.

The program not only successfully identified new mineralized zones for follow up exploration, but the results also indicate these new zones could be part of a specific horizon within the Wine Gabbro. This is significant, as there are multiple geophysical VTEM conductors along the interpreted strike of the mineralization that extends for kilometers to the southwest and northeast. Downhole and ground geophysical surveys will be completed on the newly identified zones to assist in future diamond drill targeting. The targets drilled to date have intersected varying quantities of disseminated to massive pyrrhotite mineralization with noticeable amounts of chalcopyrite. The most noteworthy results have come from the area targeted by diamond drill holes Wine 23-7 and Wine 23-8, where varying degrees of pyrrhotite and chalcopyrite mineralization have been intersected in two relatively shallow zones.

Assay results have returned anomalous copper and nickel values over core lengths of more than 10 meters. Several diamond drill holes established from the same drill pad as Wine 23-8 indicate the mineralization is likely dipping to the east and is interpreted to be associated with a northeast trending magnetic anomaly. Moreover, the company have observed a broad range of anomalous Ni-Cu values to vertical depths of greater than 100 meters.

At the Wine 23-7 zone two diamond drill holes established from the same setup indicate anomalous nickel and copper values that are interpreted to be east dipping. Further interpretive work as well as down hole and surface geophysical surveys are scheduled to determine the extent of this newly defined mineralized zone. Anomalous nickel and copper values in diamond drill hole 23-15 located to the south of hole 23-7 are likely related to this newly defined mineralized horizon. VTEM conductors can be traced for several kilometers in a northeast-southwest direction and future work will be concentrated in this area.  At the Wine Occurrence, interpretive work indicates that the Ni-Cu zones sit at the top of the Wine Gabbro unit interpreted as an upper magma chamber.

The company believe that additional VTEM conductors along strike to the northeast and southwest also demand follow up work. Analogies to Historical Lynn Lake Nickel Deposits: NiCAN believes that the nickel mineralization hosted by the Wine Gabbro may have analogies to the Ni-Cu deposits in the Lynn Lake area where approximately 22.2 million tonnes averaging 1.0% nickel and 0.5% copper were historically mined. The Farley Mine was composed of multiple lenses of mineralization contained within a 4.2 km2 gabbro body.

The Wine Gabbro contains numerous similarities and has seen very little exploration for Ni-Cu deposits.