TORONTO - Conic Metals Corp. ('Conic' or the 'Company') (TSXV: NKL), is pleased to provide an update on its strategic direction and announce a proposed name change to Nickel 28 Capital Corp. to better represent its status as one of Canada's only listed nickel producers.

As the world slowly re-emerges from COVID-19 and equities linked to base metals continue to move higher, we have considered the need to reposition the Company and update our shareholders in greater detail regarding the Company's strategic plans and portfolio. We have observed that the Company is not consistently and/or accurately included in either nickel producer or streaming and royalty comp sets. We have contemplated why this may be, and believe that the market may not fully understand Conic's assets and its unique position as an owner of one of the world's top producing nickel-cobalt mines and one of the only pure-play nickel cobalt producers listed on the TSX Venture Exchange (the 'TSXV'). As nickel and cobalt continue to have strong industrial demand and stand on the verge of having their demand profiles transformed with widespread adoption of electric vehicles and other battery storage systems, the market's view of Conic needs to appreciate these drivers. A wave of green investment globally stands only to bolster demand for these key metals, and, unlike many other publicly traded mining stocks, our flagship asset - a joint venture interest in the Ramu nickel-cobalt mine located in Papua New Guinea ('Ramu') - is at full production and has been for a number of years.

Conic has always been a nickel and cobalt producer. This is important. We are not an exploration story, nor are we a development story. Unlike so many exploration companies, we are not a promise of future production unlikely to be realized. When you own Conic you don't have to worry about whether a mining permit will be granted or if the market will support billions of dollars of equity and debt capital raises, or if the technology will work. Instead, we offer exposure to the production of nickel and cobalt metal today. We currently own a 8.56% joint venture interest in the Ramu nickel-cobalt mine and management expects this interest will increase over time. The Ramu mine produces an average of 33,000 tonnes of nickel and 3,000 tonnes of cobalt annually, has been in production for 9 years, and has a mineral reserve and mineral resource base that should support production in the decades to come.

By way of background, the Ramu deposit was discovered in 1962 and acquired by Highlands Pacific in 1993. As with many junior companies, when it came time to advance the project, Highlands was fortunate enough to secure Metallurgical Corporation of China ('MCC') as its partner in the Ramu nickel deposit. Working together, MCC and Highlands were able to complete five years of baseline environmental and engineering studies, extensive permitting requirements which culminated in construction taking place from 2009 to 2012 into what is today one of the lowest-cost and most successful nickel mines in the world.

Construction and initial ramp-up required approximately US$3.0 billion of capital with production commencing in 2012 (Conic's 8.56% joint venture interest of this capital is approximately US$260 million and at Conic's anticipated future joint venture interest of 11.3% this value increases to approximately US$339 million). In order to finance construction, Highlands entered into an agreement with MCC whereby MCC provided Highlands with non-recourse debt against Highlands ownership in the Ramu joint venture ('JV') to finance Highlands 8.56% portion of the construction capex. This JV debt is currently approximately US$105 million, which is separated into a US$25 million tranche of operating debt and a second US$80 million tranche of construction debt.

The non-recourse debt is paid down by cash sweeps from the free cash flow that is generated from nickel and cobalt sales. The first tranche of operating debt will be reduced in Q1 2021 by the cash flow generated in the second half of 2020. In addition, at current nickel prices, operating costs and production levels, management estimates that Conic's attributable interest in Ramu should generate approximately US$25 million of cash flow in 2021, allowing the Company to fully repay the remaining amount of the first tranche of operating debt in 2021. This will be a transformative event for the Company, because once repaid, Conic will receive 35% of its attributable cash flow (being 35% of 8.56% from the net cash flow of Ramu), thus making the Company free cash flow generative.

Shareholders and analysts alike often have the same question - 'Is Conic Metals a producer or a royalty company' Conic Metals is a producer. Recently, we have observed an explosion in the number of streaming and royalty companies that are hoping to replicate the success of Franco-Nevada or Wheaton Precious Metals but most of these new entrants have early-stage and marginal assets. Our experience shows that a pure 'streaming and royalty' investor is very rare, rather, there are precious metals investors who prefer the diversification of the streaming and royalty model and so express their industry views on precious metals by going long streaming and royalty companies, thus creating the high trading multiples we see in many senior streaming companies. We do not believe that in an increasingly crowded space trying to become a base metals royalty company suits Conic's asset base, and instead firmly believe there is more shareholder value to be created by focusing on the quality, cash flow profile and imbedded upside of our Ramu JV combined with the leverage and optionality to nickel and cobalt prices that comes with our royalty portfolio.

About Conic

Conic Metals Corp. is a base metals company offering direct exposure to nickel and cobalt, both being critical elements of electric vehicles and energy storage systems. Conic holds an 8.56% joint-venture interest in the producing, long-life and world-class Ramu nickel-cobalt operation located in Papua New Guinea which provides Conic with significant attributable nickel and cobalt production. In addition, Conic manages a portfolio of 13 nickel and cobalt royalties on development and exploration projects in Canada, Australia and Papua New Guinea.

Cautionary Note Regarding Forward-Looking Statements

This news release contains certain information which constitutes 'forward-looking statements' and 'forward-looking information' within the meaning of applicable Canadian securities laws. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as 'may', 'should', 'anticipate', 'expect', 'potential', 'believe', 'intend' or the negative of these terms and similar expressions. Readers are cautioned not to place undue reliance on forward-looking statements. Forward-looking statements involve known and unknown risks and uncertainties, most of which are beyond the Company's control. Should one or more of the risks or uncertainties underlying these forward-looking statements materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking statements.

The forward-looking statements contained herein are made as of the date of this release and, other than as required by applicable securities laws, the Company does not assume any obligation to update or revise them to reflect new events or circumstances. The forward-looking statements contained in this release are expressly qualified by this cautionary statement.

Contact:

Justin Cochrane

Tel: 647.846.7765

Email: info@conicmetals.com

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