THE SHAW DOME PROJECT

Large-Scale Track- CarLang

The CarLang Area was initially observed in the Magnetic Intensity surveys flown on the Shaw Dome Project.  The CarLang in the northeast (and the Adams-Eldorado targets to the west of the CarLang) had enormous komatiitic dunites and peridotite trends, identified as high magnetic anomalies, interpreted to likely contain elevated nickel contents.

The CarLang Area was the initial Large-Scale focus and EV Nickel aggregated the historic data, showing that through drilling, the trend was identified as being >10km long.

Drilling the A Zone, which is ~20% of the CarLang, identified one of the world’s largest undeveloped nickel deposits.

 

Notes to CarLang A Zone Maiden Mineral Resource Estimate

1.The independent Qualified Person for the Mineral Resource Estimate, as defined by NI 43-101, is Simon Mortimer (FAIG #4083), of Atticus Geoscience Consulting. The effective date of the Mineral Resource Estimate is February 27, 2023.

2.These Mineral Resources are not Mineral Reserves as they do not have demonstrated economic viability. The quantity and grade of reported Inferred Resources in this Mineral Resource Estimate are uncertain in nature and there has been insufficient exploration to define these Inferred Resources as Indicated or Measured. However, it is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated Mineral Resources with continued exploration.

3.Mineralised domains were based on lithological contacts and a cut-off grade of 0.25% Ni was used to define the high-grade domain. This threshold was determined through analysis of the distribution of nickel grade within the drill core lithologies.

4.Geological and block models for the Mineral Resource Estimate used data from a total of 28 surface drill holes. The drill hole database was validated prior to resource estimation and QA/QC checks were made using industry-standard control charts for blanks, core duplicates and commercial certified reference material inserted into assay batches by EV Nickel.

5.Estimates have been rounded to two significant figures.

6.The mineral resource estimates have been constrained by conceptual pit envelopes using the following optimization parameters. Metal prices used (US$) were $8.00/lb for nickel, and $23/lb for cobalt. An overall pit slope of 45 degrees was used. Mining and processing costs (US$) were based on benchmarking from similar deposit types in the area, utilising a mining cost of $3.50/t, a processing cost of $4.50/t, a G&A cost of $2.50/t, and a selling cost of $0.80/lb.

7.The Mineral Resource Estimate was prepared following the CIM Estimation of Mineral Resources & Mineral Reserves Best Practice Guidelines (November 29, 2019).

8.The geological model as applied to the Mineral Resource Estimate comprises of a mineralized domain hosted by variably serpentinized ultramafic rocks with a domain of relatively higher-grade material within the core of the unit. Individual wireframes were created for each domain.

9.The block model was prepared using Micromine 2020. A 20 m x 20 m x 15 m block model was created and samples were composited at 7.5 m intervals. Grade estimation from drill hole data was carried out for Ni, Co, Fe, S, using Ordinary and Dual Kriging interpolation method.

10.Grade estimation was validated by comparison of input and output statistics (Nearest Neighbour and Inverse Distance Squared methods), swath plot analysis, and by visual inspection of the assay data, block model, and grade shells in cross-sections.

11.Density estimation was carried out for the mineralized domains using the Ordinary Kriging interpolation method, on the basis of 941 specific gravity measurements collected during the core logging process, using the same block model parameters of the grade estimation. As a reference, the average estimated density value within the higher-grade is 2.68 g/cm3 (t/m3), while low-grade domains of the resource model yielded averages of 2.77 g/cm3 (t/m3).