EVNI 2023 Work Plan

0:08 Hi everyone and welcome to EVNickel's live summit today. I'm pleased to introduce EVNickel's President, CEO, Sean Sampson, as well as their VP of Exploration Paul Davis. We're going to be taking us through a company presentation. And after, we'll be going into a live Q&A session. So if you have any questions, feel free to submit them in the Q&A tab found on the right-hand side of your screen. And as always, this summit is being recorded, and it will be available on SIX.com in the coming days. So look out for that. Without further ado, Sean, I'd like to kick things over to you. Great. Thanks, Cam.

0:37 Welcome, everyone. Thank you for joining our webinar. We're really excited. This is our first 1 of 2023. So we're excited here to talk through sort of what we have, what we've done, and what we plan to do this year. So I'm going to run you through some slides. These will also be available on our website and as Cam mentioned we're gonna have Q&A at the end. What, no, what are we? I'll just start off with what we believe. From our perspective fundamentally we don't think there's enough nickel in the world for the electric vehicles. So the current market is all set up to serve stainless steel. The new demand for electric vehicles, there is not a corresponding supply for that anticipated growth in demand. And really, when you look at what's happening with the nickel market, people are forecasting that by 2030, the majority of nickel demand is going to be electric vehicles. So it's all happening very quickly.

1:25 In addition, these electric vehicles don't just require nickel, they require nickel with the lowest carbon cost. The new footprint declarations in 2024 are very real for the European car makers. People think that similar regulation is going to spread around the world. And this is a new consideration for nickel miners. In the past, carbon cost has not been a key consideration. So we think that nickel price will become differentiated by the carbon cost attached to the nickel units when they're purchased. And then there are complications that go beyond carbon. There are a bunch of geopolitical shifts going on in the world. Protectionism is on the rise. And then also the general ESG environment. So buyers are coming further up the value chain. We think it's a very interesting time, especially in the nickel space, as this is one of the critical minerals for the energy transition and we think it's a little different. We'll talk through the details of that today.

2:23 So I don't spend a lot of time on the macro because we're miners but the macro is shaping up very well for nickel And how it really tips top left on this slide, it really begins to tip when you look at all of the non-battery electric vehicle companies and their plans to shift over to battery electric vehicles. Tesla takes a lot of everyone's time, but if you stack up Volkswagen, Ford, all of the global car makers, they're all shifting over their vehicle lineups. And what that means is we have on the top right there, The typical nickel market, which as I mentioned, was almost entirely stainless steel, that's growing at a good pace. But then on top of that, you have this new demand category for the electric vehicles, and that's just going to be doubling the global demand for nickel. Bottom left, if you look at the forecast going out, there are forecast shortfalls for the difference between the forecast out demand, so how much nickel is going to be required, and how much nickel is known about.

3:28 So that's just a basic supply demand, which is a great place to be for a nickel miner or a company like ours that's sitting on lots of nickel in the ground. Then if you look at what's happening with the carbon legislation, the carbon regulation is already in place in Europe. So in 2022, last year, they formalized the new regulation. What that means is in 2024, all vehicles sold in the EU are going to have a declaration with their footprint stamped on it. And then they're going to start having labels to differentiate between different footprints. And then they're going to have thresholds. And they're going to have to start turning the screws on having the smallest footprint. So this is top of mind with the European car companies. And the rest of the car companies feel like the world is going towards the way of Europe. So carbon is front and center for these new buyers of nickel, the battery EV companies.

4:21 Then if we move beyond carbon, automakers also have these guardrails that are coming up. So in terms of just accessing nickel, if you look at the third biggest nickel producing country in the world, Russia, the Ukraine war cut the Europeans off, cut the world off from talking to Russia, and now they have similar concerns regarding Taiwan as being a parallel to Ukraine and limiting access to Indonesia and Philippines. So those are the top 2, the 2 largest nickel producing countries. So just general access to nickel is a concern, plus there's protectionism. So as a Canadian nickel company we are excited about the Inflation Reduction Act in the US. Huge incentives downstream for consumers to buy more electric vehicles. But at the same time, what they did is part of that legislation includes domestic rules. So rules around tax incentives just applying to domestic production.

5:20 Now, there is hardly any nickel in the US. So for this and for other key inputs, their definition of domestic inputs includes Canada, Australia, and South Korea. So we are inside those protectionist walls, but that restrictive protectionism just shows you how the guardrails are sort of closing in on these car companies as they're trying to source out their nickel. And then we have more broad ESG concerns as well. When you talk to the car companies, they're concerned with the labor conditions, they're concerned about what happens more broadly around environmental, for example, oceans-based tails is a no-go. Plus they really want to understand, and this goes back to the Indonesia Philippines thing, who is the true owner and what are the objectives of those owners?

6:06 What this all combines for is this idea, and you hear it over and over again when you're talking to these new buyers of nickel, that their guardrails are coming in and it's leading them and their battery suppliers to get a lot more creative around how they're going to get the supply of these critical metals, nickel in particular, and they're looking to partner up the supply chain. And that's where we're having those conversations. So we think about what's going on in the world and then we look at what we have. EV Nickel has known nickel mineralization and a huge amount of exploration potential just south of Timmins, Ontario, so a great place to operate. We have more than 30,000 hectares. We have over 100 kilometers of strike that we're exploring and we have 2 tracks to potential development.

6:54 So our first track is the high grade. We're starting there with the W4 zone. That has an historic resource which we'll talk a bit about. It's at 1% nickel. It's down to about 200 meters. We've discovered an extension which Paul is going to walk you through. It's currently in permitting. We're going after a mining lease for that one. There's an operating plant, a concentrator which is permitted and operating 7 kilometers away, which is a potential option for us. We're targeting production at the W4 in 3 to 4 years. Plus, and we'll talk a bit more about this today, our news release from last week, where we have a new high-grade zone, which our exploration has uncovered down in Groves, so 80 kilometers south. So that's our first track, the W4 and our high-grade.

7:42 Then we have a second track, which is what we call large-scale, starting with the Karlang A zone. So we discovered the A zone last year. The Karlang trend is over 10 kilometers long and we've just drilled the first 1.4, 1.5 kilometers of that. It's near surface, there's almost no overburden and we're targeting their 0.25% grade. Paul will talk you through the assays we have so far. Things are going great it's consistent and as expected. Also it's really interesting to look at that because we have great access there and it's been all clear-cut from logging. So we think it stacks up very nicely as compared especially to other low-grade deposits up in northern Ontario. And we wrap this all together with our clean nickel strategy, our trademarked clean nickel strategy, for which we're targeting very low carbon costs per unit. Back to what I was saying about how these new buyers of nickel, this is front and center for them. And we're planning to deliver on that. There are various things we're looking at on that. It includes we're going to electrify all of our potential operations.

8:49 Where we are in Northern Ontario, we draw on hydropower, so that's very low carbon cost. Plus we're looking at things like ore sortation, bio-leaching for the final stage of our recovery, where we potentially are going to be able to produce an end product and then we have an enormous potential for carbon capture and sequestration from our assets. So those are the things that we have those are the things that we're doing. So geographically I've been talking about the car Lang and the w4 these are on what we call the Shaw Dome So the Shaw Dome is just southeast of Timmins, Ontario so a short one-hour flight north from Toronto in Ontario Canada's largest province The city of Timmins is a wonderful place to locate new mining operations.

9:37 It's already a mining town. It's one of the largest gold mining districts in the world. They have over 85,000

9:43 people. It's serviced by clean hydropower, as I mentioned, and we're within 1,000 kilometers of Windsor, Detroit, so a very large automaking center. Our Shawdome project, we're less than 50 kilometers down from Timmins, and as mentioned, we've got over 30,000 hectares we've pulled together and more than 100 kilometers of favorable units for us to explore. So we've got the 2 tracks, the 2 tracks starting with on the high grade the W4 and then the large scale with the Kar Lange area to the northeast. So now I'll hand over to Paul to talk a bit about the W4. Yes, thanks Sean. If you've seen our presentations before, you've heard me talk about W4.

10:29 It is one of, It was the original high-grade deposit that we acquired for EV nickel back a couple years ago. Started our work there. It is a Camalda-style type nickel mineralization with a few added twists which makes it unique and quite attractive to us. First being that the sulfide composition is almost 100% pentlandite, meaning that your nickel tenors, the amount of nickel in 100% sulfide, is quite a bit higher. It ranges anywhere from about 30 to 45%. So that's quite unique, quite attractive to us. Second thing that Sean mentioned, it really has been drilled down sufficiently to about 200 meters. That's where a bulk of the resource came from that 677,000 tons at 1%. And really we saw the potential to expand that down plunge as well as test it better on its edges, which is what we what we did in 2021 and 2022.

11:23 Here's a nice picture you can see the the massive sulfide that particular sample ran about 17% nickel but you can see that bright gray or silver flash, that would be your petalindite. And it's really quite a nice looking ore. So this is work we did in last year, extending the mineralization down plunge and really discovering new sources of resource that we're going to be looking at developing in here in 2023. We're going back in, I should say, in the next couple weeks with the diamond drill programs to continue testing this particular tier 2 or level between 200 to 500 meters. But you can see when we drilled it from the north, we're hanging at a much better angle. So we're pretty much 90 degrees to the mineralization representing those drilling intercepts or better true width.

12:15 And so you can see in hole 12, we hit like 14 meters of 1.5% nickel. That's great. Things that came out of this program is 1, we really did confirm that the mineralization is associated with one single lens, so it falls on 1 horizon, and it's gonna help improve our continuity of our tons as well as improve our continuity of grade as we move into our next updated resource.

12:42 This is the high, we see The Shaw Dome has a lot of potential for additional high-grade mineralization. Historically, there's already been 4 mining operations for nickel within the Shaw Dome. Additionally, there's at least another 4 high-grade nickel hits in the Shaw Dome already, and this was based upon sporadic exploration and it really was a checkerboard patchwork of ownership so you didn't have a a real a

13:11 strategy that focused in on this high grade and looked at it as a whole versus these independent little checker squares, like a typical mining claim is 400 meters by 400 meters. Areas where we see a lot of potential for EV would be Langmuir number 2. We know from historic work from when they mined it in the 70s, mineralization still extends down plunge of the Langmuir number 2 mine, as well as laterally along strike. The Redstone trend hosts the Croxall deposit that was discovered in 2003, 2004

13:45 by another group, again, showing this high-grade nickel in a Combolda style type of deposit. And as Sean did allude to, we just put out a press release on our Matthew target, which is about 80 kilometers to the south, which has some additional high-grade as well that is very early stage, but really is quite exciting for us going forward.

14:06 This is a 3D mag map, kind of, of the Shadown, and what I really want to demonstrate by this is how we can really identify these target areas based upon geophysics in the broad term. So you can see everything that's a gold, red, or purple, that is our ultramafic bands basically and you can see there's a number of layers of ultramafic. We believe we have well over 100 kilometers of perspective strike length just for the high-grade nickel, not including our large-scale projects.

14:38 One of our biggest issues now isn't that we don't have any targets to drill. It's prioritizing all the targets that we have within the shallow dome. And we're working with a group, Condor Geophysics, they've done work on compiling the geophysical surveys and really starting to highlight and prioritize which targets we're gonna chase once we start doing our more regional exploration here coming in 2023.

15:02 And Paul, talk a bit about how you see the similarities between us in the Shaw Dome and the area in Western Australia, the Combalda, where you spent some time. Sure. Sure, I spent about 25 years in the Timmins area exploring for nickel in these ultramafic, but I also had the opportunity to work in Western Australia and have visited the Combaldo itself. When you compare the 2 areas, they are pretty much very similar in terms of the age of the rocks, the type of rocks, and the style of mineralization. Combaldo was discovered in the 1960s. It was a very juicy area, very sexy. And since then they've produced about 51 million tons of over 3% nickel. And really what they showed is that when you find a zone of nickel mineralization on a certain horizon in Cambalda, when you trace that horizon out, you find multiple deposits of this nickel sulfide. As you can see on the map on the right there, all those red zones are the actual deposits along one single horizon of chromatic stratigraphy.

16:06 When we compare that to the Shaw Dome, that dashed outline box and the figure on the left, that is the same area. You can see it contains 4 known nickel occurrences and mines within it already, and it hasn't been explored for all this, and I see a lot of

16:23 similarities to Combalda, and that as we explore it more, the likelihood of us finding additional deposits along these 3 separate horizons where mineralization has already been found is really quite high. And I see the potential as being great for the Shaw Dome to expand the number of high-grade deposits that we're going to be discovering. So that's what Paul mentioned. Our real challenge now is trying to prioritize our high-grade targets. We have a plethora of potential drill targets here on the Shaw Dome, and we're excited about this because it hasn't been methodically explored. And you see, this could turn out to be like a Combalda in Western Australia. So that's the Shaw Dome with our high grade. Paul, let's spend a bit of time talking about the work we did last summer and the news release we came out with on this other area to the south with Groves. Sure, Groves was a project that we got along with the acquisition of all the claims in the Shaw Dome in April of 2022.

17:21 It was a kind of an attached project and it is an early stage exploration project. It had no nickel mineralization from the 1960s, the Eve Co. Showing. Work done by Northern Sun, which was a precursor to the private co that we acquired the project from, identified a Matthew showing in 2015 by doing surface prospecting. And the Matthew showing was a nice high grade. You're seeing nickel copper in around 1.5 to 2 percent nickel similar copper grades and it's associated with a mafic intrusive type of body they went in 2016 did some preliminary drilling 3 of the 7 holes they drilled hit some very interesting mineralization. You can see there are those sample legs on the side there upwards of 3.3 meters grading 1.87% nickel. That's good. This is very early stage.

18:13 We're quite excited by it. We went back last summer to actually mechanically strip the Matthew showing

18:20 to confirm that the mineralization is in situ in bedrock. Prior to that they had kind of identified it in boulders within the till. They believed it was very close to the source but we've actually identified where the sulfides are in outcrop. Quite excited by this with the occurrence of 2 nickel showings within the project area, the chance of finding more. The 2 showings in themselves don't appear to be really huge, but what it does is it gives us a vector. We may be able to get into where the source of the sulfites came from and find really the elephant as we continue to explore this project. Yeah. So this is in a way off of what we've been talking about up in the Shaw Dome. But we picked up the land with the land deal.

19:07 Paul had a team in there. And we just got the assays back. We wanted to talk about it with investors. But it seems like a very interesting potential target and maybe 1 that we could coordinate in terms of our high-grade strategy with the Shaw Dome mineralization north of there. So that's track 1. If we now shift over to track 2 for us, which are these large-scale targets. So again, looking at our Shaw Dome land package,

19:35 we think there's very interesting potential mineralization that we're now proving out to the north. So northwest, Adams El Dorado, We'll show you why we're interested in that. But then also Carmen Langmuir, which we refer to as the car Lang in the Northeast. So when Paul's team would look at the VTAM analysis, so looking at the mag intensity of these 2 areas, It seems as though it was very interesting. So again, on the left of this slide is the Adams-Eldorado target, which we're parking for now. But if you look bottom left on the slide, we show

20:12 our colleagues at Canada Nickel, their main zone at Crawford, which is 1.8 K long and 360 meters wide. If you compare and that's drawn to scale, if you compare that oval to what we've got even at Adams Eldorado, which we have not touched yet with drilling, it looks real interesting. Kar Lang on the right side of the slide, this is where we've been drilling. This is our main large scale target. Car Lang we think is going to be enormous. So the drilling at Car Lang, so this is again that deposit And it shows you this elbow is about 10 kilometers long, if not a little longer. And we had surface sampling from there. So on surface sampling done on the top half of this deposit in the Carmen township, we had 40 samples that averaged 0.33.

21:09 From historic surface sampling data, we thought it was very interesting. Again, we've got for comparison, the size of the Crawford main zone on here. And Paul and his team drilled into the Karlang A. So that's the outlined area. That's the 1.4, 1.5k, which is us just getting started on the 10 kilometers of the Karlang mineralization.

21:35 Paul, do you want to talk us through what we know so far about the assays coming back? Sure. We've reported from about 23 of the 28 holes that we completed last summer on the Karlang. And basically what it has in every hole we drilled we identified the host dynate sequence that we expected with the car lane a zone. Grades are coming in as expected as well and around the 0.25% as you get closer to the shoulders you get a little bit lower grade as you get closer to the middle you get higher grade then that really is reflective of what you'd see in these type of comedic cells these broad zones of mineralization. We're quite excited by it as Sean has mentioned this only represents really 15 percent of the exposure of these doneates in the car land area and I know this for a fact based upon 1 outcrop exposure in the area plus during my 25 years of exploration in Timmins we actually looked at these areas and we've sampled the outcrops along this 10 kilometers of strike contained within our property boundaries.

22:39 So it's going as we expect. We expect the rest of the assays to be in here in the next couple weeks. We've been talking with the group Caracal Creek about getting the resource done and we're actually in process of doing that. We're getting them all the information and quite excited to see what's going to come out of that and kind of how big and what the number of contained nickel pounds that the Carlang A is going to have. Yeah, so Paul, do you want to talk about how you think the Carlang A compares to other discoveries in the area? And we continue to think about the Crawford main zone, the Canada nickel. OK, like in my time in Timmins, I've looked at a lot of these zones for nickel mineralization in the past, and I can say that this type of grade is fairly common. I think there's gonna be really a few things that differentiate which of these deposits gets advanced and which of them don't. The first thing is going to be proximity processing.

23:35 This is really the same for all the projects in the Abitibi. There is no facility that is large enough to handle these type of deposits at this stage. So there's no real advantage there. But then when you take a look at access to drill we can drive up to our drill with a pickup truck which is fantastic. A lot of these other projects need access with either helicopters or wheeled swamp buggies something it's very challenging to get in there. Third thing overburden depth. The Abitibi is known for being having thick layers of overburden, causes a lot of issues, means you have to do a lot of preparatory capex to expose the zones. We see that like throughout the Abitibi it's about over 20 meters average depth. On some of our competitors it's average is 40. On our project we have 15% outcrop exposure as well we've proven on car land in with our less than 8 meters and I would actually hazard a guess say it's going to be less than 6 or less than 5 when we actually compile all of our data together and put it out which gives us a huge advantage. We could be in there within a few months actually pulling material out as compared to having stripped back a huge area of mower burn, store all of that mud and and till as well as dewater as you go down. Now depth of utilization as well, We focused our program on the upper 250 meters of the Car Lane A.

25:05 Given our 10 kilometer strike length, our ability just to expand laterally versus having to go at depth, I see that as a huge advantage. 1, for pit design, as well as strip ratio. The deeper you go, like if you go down 650 meters, your strip ratio has to get larger because your surface opening at the top has to be much bigger to get to that depth. So I see those 4 things, those 4 characteristics are really going to differentiate which of these projects advance and which of them don't. Yeah, so if I sum it up, you know, what we have is this known mineralization, a huge amount of land, over 100 kilometers of strike for us to explore. We've got the 2 tracks. Last year, we made 3 new discoveries. The W4 extension, the deeper on W4, what we just talked about to the south, the Matthew zone at Groves for their exploration last summer, and then the a zone at carlangs this is a whole new 10 kilometer area that we're going after the first 15 percent off and we discovered the a zone you know and what is the picture for EV nickel we have these 2 tracks The track 1 is the high-grade clean nickel. We'll start that with W4, we anticipate.

26:24 This is potentially near-term nickel production. We say it's 3 to 4 years out. We're in permitting now. There's the potential for local processing. We have that option. And it's an opportunity for very low carbon cost nickel production. That's exciting. Then we have the second track, which is really a combination of an integrated carbon capture and storage opportunity and large-scale clean nickel production. And we'd start that with the Karlang. We talked about how we've got 10 kilometers at the Karlang, and then potentially we move over to the Adams Eldorado, getting with this large-scale, lower-grade type mineralization in combination with an enormous potential for a long life carbon capture and storage project for which it's a very rich market right now for investors.

27:14 So we have an opportunity for very low carbon cost, long term clean nickel production. And this is really a generational opportunity. This is exactly the sort of setup that the car companies the new demand for the nickel world are looking for And that's what we're excited. We've got these 2 tracks, and track 1 is for the near term. Track 2 is going to take a little more work. But in combination with the nickel production on track 2, we have a very real potential carbon capture and storage project. So looking forward, 2022, that was the year of new discoveries. Now this year, 2023, this is going to be the year of seeing the details. So we're very busy right now working on that Carlang A-Zone resource. We're hoping to have that out in the first quarter. So that's a new Carlang A-Zone resource. In addition, the

28:08 work we're doing on carbon capture and storage, we'll have some results on that. That's all related to the potential of the Carlang. Then based on drill results over the next few months, we plan to get an updated W4 resource out. We hope that comes out in second quarter, in addition to preliminary bio-leaching results. So we're in the lab now analyzing that. We hope to have an update on how much nickel we think there is in the ground, plus this really interesting opportunity to rethink the way we potentially

28:42 be processing and realizing the nickel out of that rock. That bio leaching stuff is gonna be very interesting. And then based on those results from the first half of this calendar year, we'd shift into the second half, setting up what we need to do for each of the tracks, keep pushing things further. So we're racing ahead at quick pace.

29:02 If I look at sort of what's happened with the stock price, and this is a huge current opportunity. This is a painful slide for people like us who have been shareholders from the IPO at 75 cents in 2021. But if you look at our share price, it has slid, and we have just continued to add value to the actual company. So if we look at what happened last year, we tripled our land package in April of last year, and the share price slid.

29:33 We had a nice pop just before last summer. It was strange. We put out news about assay results for some high-grade MET holes that we were sending off for metallurgical analysis. So they were from the core of the ore body. We knew they were good grade. We put out a press release on that. Stock popped. We traded back down. Then we made our first of 3 discoveries. We confirmed the W4 extension last summer. That didn't really move the stock. We slid down from there. Then in the fourth quarter, we confirmed the Carlang

30:05 A zone. We began coming out with these assays from the summer drilling about this enormous new zone, this complete second business. And we've traded down from there. And then the stock hasn't reacted much from the math u results we came out with a couple weeks ago so for new eyes on the stock this is a very exciting slide and we acknowledge and I feel the pain of folks who've been in the stock from the 75 cent level and despite us adding value to the business, it hasn't been realized into the share price. So we're hoping that turns the corner. We'll talk a bit about cap structure now. You know, we're trading at 11 cents. We still have big blocks of stock, which are tied up with the founders and Rogue, the company from whom we spun this asset out of. Those shares were tied up over a 3 year escrow.

30:59 So that's relatively stable. We know the rogue shares haven't traded at all. Paul and I also run Rogue Resources. Then subsequent to that, there were rounds that came out at 30 cents, 75 cents with the IPO, as mentioned. A chunk of stock went to the vendor when we tripled our land package, and then we did a couple flow through rounds. Now, I say all this because when we're trading at 11 cents, everybody's underwater on this one. So folks that are trading out at 11 cents, it's tricky to see how their cost position could be lower than that. So we're hoping that the trading and the volume on the offer is going to slow down, and we're gonna be able to begin realizing the potential that we've added to the business.

31:49 So what that puts us in at market cap, little under 6 million. We've still got a big chunk of ownership with insiders and more broadly defined friends and family. We've got some warrants, but they're well above where we're at now. We've got no debt, and importantly, we've got the cash and the bank to do the stuff that we're talking about here. So we're a very cheap stock. You know, I don't think any mining CEO has ever said, I think my stock is overvalued, junior mining company. But if I compare where we stand with our $6 million equity value with EV Nickel, and what we've got with our enormous land and our huge amount of strike, we've got those 2 tracks.

32:31 An easy comparable would be Class 1, which their primary asset is in the Timmins camp, very near to ours. They have the high-grade track. Paul discovered the main zone of their assets, So we know it well. We think that they're done finding more high grade. Yet still, they've got more than 3 times the valuation equity-wise that we do. So that's an interesting comparable. Based on that, we're hugely undervalued.

33:00 Then you look at the sort of pushing the low grade companies. You've got FPX out in BC. They've had a nice recent run. They've got a grade which is half of what's coming out in the assays for us at Carlang. And then we have what we've talked about a few times here, our colleagues up in Timmins with Canada Nickel. They're valued double FPX, many multiples of us. They did a transaction before Christmas to buy some older high-grade mineralization. They seem to be going towards the two-track strategy as well. We're already there. And we think our assets, both the low-grade, the large-scale, and the high-grade that we've already got and we're advancing along, compare very favorably.

33:50 And it may seem odd on a comparable slide to put up something with 6 million and over 200 million, but we genuinely believe in our package of assets, especially because that large scale we have, it's 10 kilometers all along a single strike. So in terms of development, as Paul mentioned before, there's a lot of things going for us on the large scale. So I say that, but then I also put up Talon. Now, Talon, of course, is a wonderful high-grade company.

34:19 They are many multiples of where we stand. But frankly, when we look at Tamarack and the mineralization that they have found in Minnesota and their struggles to try to get things permitted, I feel like we may have similar high-grade mineralization on our existing property. And I've said this before, I think if we discover something that looks like a tamarack on our land just south of Timmins, Ontario, where we have complete alignment between the federal government and the provincial government, I'd be very excited to try to permit that versus the slog that Talon's been in for over a decade. So, and again, I set this up with that cheeky comment about everybody thinks they're undervalued. But frankly, when you look at the numbers, no matter how you position it, it seems like we are deeply, deeply undervalued for the things that we've said we're going to do, the things that we've done. And then I'm hoping this year, as we put detail behind the story, this story begins to change.

35:21 So Cam, that's our quick run through of where we're at, where we're going. Let's turn it over to the group, though, and try to figure out, let's try to respond to some questions. Yeah, absolutely. So just to begin with, as a reminder to everyone in the audience, if you do have any questions, you can submit them in the Q&A chat on the right-hand side of your screen at any time. We already have had some questions, though. But Sean, I'd like to start with this one. Have you seen any changes in the access to or timing of results back from the labs?

35:53 We have, well, it's obviously something that's in the industry. We, and we've seen many competitors slow down the results as they come out. Paul, do you want to comment on that in terms of what we're seeing with the assays coming back? Sure. We work with our analytical lab partners to try and streamline the process as much as possible. There are some challenges with SGS prior to Christmas. We've worked through those. They brought in some new equipment, and we've really now seen a much more expedited, quicker return. Like I said, we anticipate having all of our assays back from Carlang here in the next week or 2, which will be used in our upcoming resource assessment. ALS Global, they've been great partners as well. They've generally turned things around in 5 to 6 weeks, and we haven't had really many issues there at all. And I don't see any further challenges coming up this year.

36:46 As we all know, there has been a bit of an exploration slowdown in 2023, or 2022, 2023. So we're seeing these actual timelines come shorter and shorter with the analytical labs as there is less demand on the services as we move forward. All right, great. Next question, how big do you expect the new Carlang A zone and updated W4 resources to be?

37:11 That's a great question. We've obviously got to do the work. But you know, we continue to talk about how our mineralization on Karlang with the large scale compares favorably against the Canada Nickel Crawford mineralization. But it seems as though something in the, you know, 4 or 500 million ton range is the target that we set for the large scale. And that's really what we're hoping to come back with. But again, I preface all that by saying we need to do the work. Paul, on the high grade W4 on the extension and our rethink of the mineralization above 200 meters, what's your thought on targeting for the W4?

37:58 Based upon what we currently know, I see that we have expanded the size of the of the inferred resource at this stage the drilling below 200 is a matter at a density to really call it indicated at this stage but looking at what the drilling we're gonna start here in the coming weeks I can see that we will just continue to expand that, the size of that. And I'd be comfortable to say that anywhere up to like, you know, maybe 100% larger when we get the final numbers out on the resource for W4 is not a unrealistic expectation. Yeah, so we've got to do the work on both, but we're excited about the new Carlang and the potential to double the W4. All right, sounds good. Could you discuss your cash burn, your runway, and any financing plans?

38:49 Yeah, cash flow is very low. We have done the flow through fundings to really pay for Paul's team to continue the activity and the work that we're talking about here. In terms of runway, as I mentioned, we have the financing to do what we say we're going to do in the first half of this year. And that's really a trade-off with sort of how much drilling we do. But We're in good shape because mainly our expenses are in the ground. That's where we spend our money. So no plans for financings over the near term horizon, but we are always in touch with the market. And investors have heard me say as well, before we do any material financing, we'd like to see a turnaround in the share price.

39:37 So that's sort of the trade-off that we're in right now. But as mentioned, we've got a couple million dollars cash and we can pay for the work that we plan to do here. So no plans on the immediate horizon for a financing. Now is the time we get the news out and we're gonna start seeing the details from the work that we've been doing. And we're excited to see how the market reacts. No, fair enough. Are you currently in conversation with the Canadian federal government about the carbon capture project at all? Yeah, we are. So we are in very regular contact with various levels of government. So that's in Ontario, the provincial level, plus the Canadian federal government. And then we're also in touch with the US government with their focus on critical metals.

40:26 So specifically with the carbon capture and storage opportunity, there's been some very interesting announcements from the Canadian federal government about either direct rebates or financing of similar carbon capture and storage projects. So that's one of the reasons we're really thinking about Track 2 as an integrated project now, which is one part carbon capture and storage and another part clean nickel production. So the federal government announcements around rebates on capital expenditure are very interesting, in addition to the interest and actions of various levels of government, specifically around those projects to come in and help for the financing of them. So we're in very close contact with the Canadian federal government, the Ontario provincial government and also the US trying to understand how our project can fit into all of their plans.

41:27 Okay, great. Are there any indications of finding high-grade gold next to the high-grade nickel as at Karora's Beta Hunt mine in Western Australia? Paul, you wanna go with that one? I would say that there is a strong association between nickel and gold throughout the world. You will see in Australia, Cumbalda region again, you have the Cumbalda high grade nickel deposits. You look across the valley and you can see the St. Eve's gold mines. And these are really nice high grade gold deposits, again, within a couple of kilometers of Nickel. You see that in Timmins as well. The Dome mine is actually associated with an altered Ultramafic, which is the same host rock as what you see in the Shaw Dome. So yes, there's always a chance. Gold's a little more of a funny metal.

42:22 Gold is where you find it. So, but they definitely there is an association to ultramafics and gold mineralization, especially in the Timmins camp. And you heard Paul say gold is a funny metal. Fair enough. Get that in quotes. How would you expect to finance the CapEx required to advance either of the tracks of development? Yeah, so in terms of future financing, first we've got to figure out how much we need to spend and how much we need to fund. And we've obviously equity financed to this point. Looking forward at any material CapEx, it would very likely be a combination of different sources of funding, which would include continued equity investment, but also this is the sort of thing that we can bring in financiers directly into the carbon capture and sequestration, something about track 2 here. So if the project stands on its own legs for carbon capture, that opens up a whole new area of potential investors who don't necessarily need to come in off of typical equity.

43:31 But I would see a combination of equity, looks like equity, then debt, but also as mentioned, government funds. And also we're, again, in very close contact with the end users, the buyers of nickel. So I would see activity in the market from the car companies where they partner with and then invest alongside or invest in nickel companies. We expect that we should be able to pull that sort of thing off as well as long as our results continue down the path that we've set. So I would see a combination. I think the real question is how much would equity investors get diluted out? And rest assured, that's really where management and the board, their interests are, because we are equity holders ourselves. So we wouldn't see this being a fully equity finance, massive CapEx dilute early shareholder situation, because that wouldn't be in line with what I'm interested in.

44:33 Right. OK. Next question. How much of the nickel is in the sulfides and how much of it is in the silicates? That is a good question. At W4, we believe that upwards of 90% to 93% of the nickel is contained within the sulfides. There is always a little bit of nickel that goes along with the serpentine, which is the host here has been altered to serpentine. At Carlang, we haven't done that work yet, but based upon the other deposits in the Timmins area, past studies that I've done with the University of Alabama and other groups, the nickel generally when you serpentinize an olivine which is what the mineral that hosts the nickel in these commodities, you drive the nickel out of the structure and it goes into whatever it can find.

45:22 If there's enough sulfur, it goes into a sulfide and you form pentlandite, millerite, hazel woodite, which is a really high-grade form of nickel, which you find in a lot of these deposits. If there's not enough sulfur, it then goes into iron and forms your awarite, which is what you see from, let's say, your FPX deposit out in BC, where they have much more awarite because it was sulfur poor. And then if you don't have enough iron or sulfur, then some will stay into the serpentine mineral structure, but usually it's in there as loose ions and will go anywhere it can. So I would say, carlang, we don't know yet. W4, we're very confident it's over 90% is in the sulfide. But carlang, based on what you do know from similar deposits and your experience in the Shaw Dome, Paul, what will be your guess based on those other?

46:15 I think it's going to be, like I said, similar to the other ones. And if you take a look at a lot of these low or large tonnage type of deposits, your recoveries are generally less than about 70%, which would mean 30% of it is caught within a mineral structure that you can't recover it from. The rest is in either iron or sulfide. So we think it'll look very similar to the other ones in the Timbits camp. Fair enough. Great, thank you for that. How do you think that the Groves Project fits into the strategy? That's a great question. It's 80 kilometers south. We've got these initial results where it seems like it could be quite promising. We're potentially going to go back in there and do a bit more exploration, as Paul mentioned, trying to find the source.

47:01 If we find the source and it becomes very material, then it'd become a big part of our strategy. But as it stands now, it is within spitting distance of the Shaw Domes. You can think about them on a combined basis. But you heard Paul say it's early exploration. So we're gonna try to get our legs under us on that one before we figure out how it fits into our business. And again, if it doesn't fit into our business, then it's potentially quite valuable on its own, for which we would look to spin it out. So the great news is we had great results and then we still need to figure out sort of how it fits into the puzzle which is what we're developing 80 kilometers north or we potentially are developing 80 kilometers north up on the Shaw Dome.

47:50 Absolutely. Can you speak to why you think that this compares to Talon? Well, because we have a high grade, and there has been high-grade historic production on our site. So I think of us having seen, and they have produced, very good-grade nickel off of the Shaw Dome. It's always been, as Paul mentioned, disparate patchwork across various companies, never been properly methodically explored. We've now put it all together and we are methodically exploring the thing. So when I say look at us versus Talon, and hopefully you heard me say, I think maybe we've got a Talon, a Tamarack, that deposit on our property. That is a bit of junior minor arm waving, but realistically, you find good grade where there's been good grade, and you saw the image that Paul put up of combining all the exploration data, and it's hugely, it's hugely, it's got epic potential.

48:53 So we have not yet, obviously, found a Tamarack, but I think it compares very favorably in that we have this potential for high-grade mineralization. And you heard me say that we're going to be finding it in possibly the best place in the world to find new mineralization from a permitting perspective. And Paul and I have spent a lot of time over the years kicking the tires on the talent asset. And there's been a lot of the same challenges as there were a decade ago when we first looked at it. So if you're going to find mineralization like that, it's OK if it's in Minnesota. It's fantastic if it's in northern Ontario just south of Timmins. So that's really how I think about the comparison. I think the exploration potential, you know, and again this is the arm waving, but the exploration potential is maybe we've got a tamarack on our property. But I can certainly say that if we were to find a tamarack on our property, it's the part of the world where you want to be finding a tamarack. So that's how I compare the 2.

49:53 Fair enough. So you talked earlier about how there was easy access to an area because of tree cuttings. Are there any other areas that in the future additional cuttings would also allow easy access to more exploration areas? Yeah, well definitely. The forestry companies are very active up in the Timber area and basically every year they're cutting a new area, clear cutting the trees and replanting new trees as part of the carbon capture strategy. But yeah, they develop a gravel road network, which really does open up a lot of new areas for exploration. Forestry companies are actively clear cutting in the shawdome, probably as we speak right now, as roads have stiffened up for the winter with the freeze and basically we we try and utilize and take advantage of that. We see that additionally in the Adams Eldorado Township area where clear-cutting they completed about 10 years ago has opened up that whole area and developed a new road network right up to that croc file showing which before they had to really Plow a new trail drag a drill in several kilometers now you again can drive right up to that particular location.

51:04 So yes, the answer is yes, they open up new areas. All right. Well, gentlemen, that looks like all the questions you received for today. So I want to thank you and everyone in the audience, especially those who participated in the Q&A. But before we wrap up, I want to pass things over to you for some closing remarks. Thanks, Cam. So thanks, everyone, for participating. It's going to be a big year. This will be a pivotal one for EVNickel. I think last year, we were very busy, the land deal and then the 3 discoveries. Paul's exploration team had tremendous success. And now it's a function of us pulling the information together, getting the information out into the market, talking about those other areas of R&D that we're doing. And this is really going to be the year in which we sort of hit the ground running. So again, thanks for participating.

51:50 We're always available for additional questions, and we'll keep doing these and telling you