First Nickel Inc.
TSX : FNI

First Nickel Inc.

November 01, 2007 09:45 ET

Nickel Production Increasing Additional Promising Lockerby Drilling Results

TORONTO, ONTARIO--(Marketwire - Nov. 1, 2007) - First Nickel Inc. (TSX:FNI) is pleased to provide an update on operations at the Lockerby Mine and the remaining analytical results from the Lockerby Depth definition drilling program.

At Lockerby Mine, production for the three month period ending September 30, 2007 totaled approximately 36,258 tonnes, grading 1.69%Ni and 0.91% Cu which will yield an estimated 1.02 million pounds payable nickel, and 620,000 pounds payable copper. The nickel content is the highest to date for a quarterly period, and mine production has now been consistent for over two quarters. These operational results will be reported on more fully in the Company's quarterly filing scheduled to be released the week of November 12, 2007.

First Nickel is also pleased to report the assay results for the 37 remaining holes from the Lockerby Depth definition drill program. Results have been summarized in the attached table. A table summarizing all intercepts and a figure with the spatial representation of the drill holes will be available on the Company website at www.firstnickel.com. All assay intervals reported are core length and do not represent true widths (defined as being measured at right angles to the direction of extension of the sulphide body).

The drill program verified the continuity of the high grade core of the Lockerby Depth Zone to the 72 Level as indicated by intercepts such as FNI63113 with 67.50 metres grading 1.49% Ni and 1.26% Cu including 18.60 metres of 3.01% Ni and 0.88% Cu, and FNI63125 with 35.40 metres grading 3.61% Ni and 2.30% Cu.

All of the drill results from the Lockerby Depth Zone will be incorporated into an updated NI 43-101 compliant resource estimate to be completed in the fourth quarter 2007. Drilling of the Lockerby Depth Zone is ongoing to delineate the deposit above the 72 Level. Recent drilling has been focused on the western boundary of the Lockerby Depth Zone between 63 and 56 levels. Later this Fall the drill will begin assessing the potential of the down-plunge extension of the deposit to approximately the 80 Level.

A second underground diamond drill rig will focus on targets adjacent to the previously mined areas of the Lockerby Main zones. Drill platforms have been identified and the necessary rehabilitation and services work will be completed in November to facilitate this exploration program.

The diamond drilling program was carried out under the supervision of First Nickel's Chief Mine Geologist, Stephen Conquer, P.Geo., a "qualified person" as defined by National Instrument 43-101. The information in this release was prepared under the direction of Paul Davis, P.Geo., Vice President of Exploration for First Nickel Inc., a "qualified person" as defined by National Instrument 43-101. First Nickel Inc. follows a rigorous QA/QC protocol on all of its exploration projects. Whole drill core is sampled and sent to a commercial laboratory. Holes FNI6385 to FNI6391 were shipped to SGS Laboratories in Garson for preparation and specific gravity measurements and then shipped internally by SGS to Toronto for assay. Holes FNI6392 to FNI6396 were sent to Accurassay Laboratories in Lively for initial preparation; crusher fines are shipped to Thunder Bay. Final sample preparation (pulverization), assay analyses and specific gravity measurements are performed in the Accurassay Thunder Bay laboratory. Samples for sulphur analysis are shipped to International Plasma Laboratories Limited by Accurassay. A rigorous quality assurance/quality control program is employed that includes the insertion of certified standards and blanks for each batch of samples.

First Nickel is a Canadian mining and exploration company. Its current activities are primarily focused on the Sudbury Basin in northern Ontario, the location of the company's producing property (the Lockerby Mine) and four of its exploration properties. First Nickel also has two exploration properties in the Timmins region of northern Ontario. First Nickel's shares are traded on the TSX under the symbol FNI.

This news release may contain forward-looking statements, which are subject to certain risks, uncertainties and assumptions. A number of factors could cause actual results to differ materially from the results discussed in such statements, and there is no assurance that actual results will be consistent with them. Such forward-looking statements are made as at the date of this news release, and the company assumes no obligation to update or revise them, either publicly or otherwise, to reflect new events, information or circumstances.



From To Width Ni Co Au Pt Pd Ag
Hole (m) (m) (m) (%) Cu (%) (%) (gpt) (gpt) (gpt) (gpt)
FNI6398 144.20 144.50 1.30 0.25 6.06 0.016 0.674 0.371 0.209 46.74
FNI6398 247.00 256.30 9.30 2.82 0.81 0.119 0.042 0.351 0.347 5.66
FNI6399 270.50 282.00 11.50 1.87 1.65 0.083 0.059 0.279 0.288 8.48
FNI6399 295.75 296.05 0.30 0.10 4.63 0.010 0.385 8.090 0.396 21.66
FNI63100 205.10 211.65 6.55 1.91 1.12 0.085 0.130 0.445 0.398 7.06
FNI63101 130.60 133.45 2.85 1.32 0.96 0.062 0.072 0.395 0.281 8.42
FNI63102 157.65 158.85 1.20 2.22 0.66 0.101 0.001 0.345 0.310 7.29
FNI63103 180.40 180.90 0.50 1.17 1.12 0.058 0.027 0.082 0.207 11.18
FNI63104 185.90 186.90 1.00 1.54 1.18 0.069 0.050 0.086 0.263 9.17
FNI63105 275.55 290.10 14.55 1.09 1.05 0.047 0.042 0.357 0.151 6.43
FNI63106 289.85 293.00 3.15 0.92 1.20 0.038 0.290 0.530 0.230 8.86
FNI63108 123.57 124.92 1.35 1.51 1.15 0.074 0.070 0.423 0.191 9.26
FNI63109 117.40 117.70 0.30 1.36 0.15 0.067 0.007 0.058 0.140 3.40
FNI63110 186.00 187.00 1.00 1.00 1.23 0.045 0.088 0.296 0.208 9.47
FNI63111 191.85 192.45 0.60 1.03 0.25 0.049 0.011 0.081 0.026 5.47
FNI63112 223.40 225.60 2.20 1.37 0.39 0.061 0.016 0.232 0.211 4.15
FNI63113 288.00 354.00 67.50 1.49 1.26 0.057 0.343 0.274 0.208 7.42
incl. 309.70 328.30 18.60 3.01 0.88 0.109 0.034 0.391 0.431 5.27
FNI63114 193.25 207.80 14.55 1.59 1.29 0.063 0.039 0.379 0.224 7.81
FNI63114 216.80 236.10 19.30 3.40 1.66 0.121 0.240 0.539 0.390 10.39
FNI63115 215.65 227.00 11.35 1.00 4.00 0.047 0.081 0.190 0.220 22.28
FNI63115 261.00 280.25 19.25 2.07 2.24 0.075 0.082 0.831 0.307 12.39
FNI63116 303.15 327.80 24.65 2.66 0.92 0.115 0.023 0.404 0.241 7.51
FNI63117 445.45 446.00 1.55 2.55 0.29 0.121 0.105 0.111 0.147 10.54
FNI63118 423.65 466.50 42.85 1.60 1.39 0.066 0.160 0.479 0.314 8.71
FNI63118 514.90 529.40 14.50 1.94 0.98 0.073 0.157 0.499 0.337 7.94
FNI63119 297.00 322.80 25.80 1.06 1.02 0.046 0.013 0.087 0.083 5.30
FNI63120 206.90 212.25 5.35 1.42 0.89 0.058 0.020 0.213 0.081 5.24
FNI63121 304.50 317.55 13.05 1.18 1.03 0.050 0.047 0.205 0.171 5.53
FNI63123 210.30 212.20 1.90 2.45 0.76 0.106 0.042 0.211 0.207 6.70
FNI63124 295.50 297.70 2.20 1.53 0.13 0.068 0.032 1.167 0.160 3.21
FNI63125 217.50 252.90 35.40 3.61 2.30 0.122 0.055 0.280 0.309 11.06
FNI63125 265.40 266.50 1.10 1.72 16.06 0.068 0.397 0.002 0.260 63.93
FNI63126 248.25 249.00 0.75 1.97 1.52 0.068 0.032 0.002 0.765 6.80
FNI63127 180.75 186.60 5.85 2.23 0.53 0.069 0.021 0.536 0.277 3.90
FNI63127 201.70 202.15 0.45 2.59 3.51 0.071 0.044 15.184 0.186 21.05
FNI63128 261.30 263.35 2.05 3.02 0.13 0.086 0.037 0.313 0.423 3.80
FNI63128 276.00 278.25 2.25 1.74 0.11 0.058 0.036 0.308 0.179 2.65
FNI6423 24.00 32.60 8.60 1.86 2.28 0.069 0.096 0.213 0.260 10.64
FNI6424 13.60 17.80 4.20 1.30 0.72 0.067 0.095 0.156 0.148 5.18
FNI6424 36.20 47.45 11.25 2.80 0.98 0.103 0.010 0.402 0.280 6.14
FNI6425 19.20 26.50 7.30 1.19 0.70 0.060 0.123 0.355 0.271 4.98
FNI6425 55.00 67.25 12.25 3.27 1.54 0.123 0.159 0.327 0.240 7.09
FNI6426 24.65 33.80 7.65 3.70 2.05 0.142 0.036 0.313 0.135 10.68
FNI6427 28.70 38.15 9.45 3.16 0.92 0.126 0.085 0.229 0.146 5.30
FNI6428 14.60 23.80 9.20 1.25 0.83 0.077 0.033 0.137 0.087 5.36
FNI6428 53.80 66.80 13.00 2.80 0.90 0.117 0.038 0.200 0.178 5.34
FNI6429 21.00 25.10 4.10 1.75 1.65 0.085 0.102 0.202 0.103 8.25
FNI6430 22.90 25.40 2.50 2.95 1.06 0.124 0.052 0.308 0.227 6.18
FNI6431 28.50 37.00 8.50 2.11 1.87 0.099 0.048 0.539 0.288 8.28
FNI6432 33.00 35.60 2.60 1.14 0.52 0.046 0.044 0.154 0.121 3.30
FNI6433 48.40 54.75 6.35 1.67 0.82 0.072 0.085 0.453 0.201 5.31
FNI6434 33.00 40.50 7.50 2.10 0.49 0.089 0.049 0.151 0.193 3.69
FNI6434 48.30 53.70 5.40 2.08 0.71 0.090 0.041 0.582 0.191 4.89
FNI6434 58.90 62.00 3.60 1.99 0.37 0.091 0.046 0.092 0.070 3.41

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