Pure Nickel Inc.
TSX VENTURE : NIC
OTC Bulletin Board : PNCKF

Pure Nickel Inc.

June 12, 2007 17:26 ET

Pure Nickel Announces Private Placement Equity Financing

TORONTO, ONTARIO--(Marketwire - June 12, 2007) - Pure Nickel Inc. ("Pure Nickel" or the "Corporation") (TSX VENTURE:NIC)(OTCBB:PNCKF) is pleased to announce that it has executed an engagement letter with Regent Securities Capital Corporation whereby the latter has agreed to act as lead agent and potentially form a syndicate of agents for a brokered private placement of up to $22.5 million. The private placement will consist of up to 18 million units at a price of $1.25 per unit. Each unit is comprised of one common share of the Corporation and one-half of one common share purchase warrant. Each full warrant can be exercised at a price of $1.75 per warrant for a period of eighteen months from closing.

Closing of the offering is anticipated to occur on or around June 26, 2007 and is subject to applicable regulatory approval including approval of the TSX Venture Exchange. The agents will receive a commission of 6% of the gross proceeds raised in the private placement and will also receive compensation options allowing them to purchase up to 6% of the total number of units sold in this offering, on the same terms as the offering.

Pure Nickel intends to use the proceeds of this private placement to fund the recent Xstrata Nickel property package purchase, to fund its ongoing exploration and drilling program on the Corporation's advanced nickel exploration properties and for working capital purposes.

About Pure Nickel Inc.:

Pure Nickel is a mineral exploration company with multiple, advanced nickel sulphide and PGE projects in Canada and Alaska. The Corporation has recently signed an agreement to acquire ten nickel exploration properties from Xstrata Nickel. This dramatically expands Pure Nickel's potential as it moves into the ranks of North America's largest nickel exploration companies. The agreement significantly increases Pure Nickel's property portfolio from its current three high caliber projects (Fond du Lac Project (Saskatchewan); the Fox River Project (Manitoba); and the MAN Project (Alaska)) for which an $8.0 million fully-funded exploration program for 2007 is underway.

The TSX Venture Exchange Inc. has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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