Mar 22, 2016 | News Releases

TSX.V: NIM

NEWS RELEASE

VANCOUVER, B.C., March 22, 2016 – Nicola Mining Inc. (the “Company”) is pleased to announce that it has completed a third tranche of its previously announced private placement financing (the “Financing”) as further described in its news releases of November 19, 2015, November 24, 2015 and December 7, 2016. In connection with the closing of the third tranche, the Company sold an aggregate of 2,250,000 units (each, a “Unit”), at a price of $0.08 per Unit, for gross proceeds of $180,000. Each Unit consisted of one common share of the Company (each, a “Share”) and one share purchase warrant (each, a “Warrant”). Each Warrant is exercisable into one Share at a price of $0.15 per Share for a period of two years from the date of issuance. The Company has raised a total of $2,084,500 from the closing of the first, second and third tranches of the Financing. The Company intends to complete additional tranches of the Financing in the future.

The Company did not pay any finder’s fees in connection with the Financing. Proceeds from the Financing will be used for general working capital.

An insider of the Company subscribed for 1,062,500 Units under the Financing, which is a “related party transaction” within the meaning of Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The participation of the insider in the private placement was exempt from the valuation and minority shareholder approval requirements of MI 61-101 by virtue of the exemptions contained in Sections 5.5(a) and 5.7(a) of MI 61-101 in that the fair market value of the consideration of the Units to be issued to the insider did not exceed 25% of the Company’s market capitalization.

The securities issued under the Financing, and the Shares that may be issuable on exercise of the Warrants, are subject to a statutory hold period expiring on July 23, 2016.

On behalf of the Board of Directors

“Peter Espig”

Peter Espig

CEO & Director

For additional information

Contact: Peter Espig
Phone: (604) 647-0142
Email: peter@nicolamining.com

Disclaimer for Forward-Looking Information

Certain statements in this press release related to the Financing and the securities issuable thereunder are forward-looking statements and are prospective in nature. Forward-looking statements are not based on historical facts, but rather on current expectations and projections about future events, and are therefore subject to risks and uncertainties which could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements. These statements generally can be identified by the use of forward-looking words such as “may”, “should”, “will”, “could”, “intend”, “estimate”, “plan”, “anticipate”, “expect”, “believe” or “continue”, or the negative thereof or similar variations. Forward-looking statements in this news release include statements regarding the proposed use of proceeds of the Financing, resale restrictions relating to the securities issued, and the Company’s intention to close future tranches under the Financing. Such statements are subject to inherent risks and uncertainties that may cause such statements to become inaccurate, including factors that cause the Company to spend the proceeds otherwise than as contemplated in this news release, the failure of the Company to close additional tranches under the Financing, and other factors beyond the control of the Company. Such forward-looking statements should be construed in light of such factors, and the Company is not under any obligation, and expressly disclaims any intention or obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, other than as required by applicable laws.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Tuesday 1 March 2016

Nicola Mining Inc. Moves Towards Commencing Milling Operations in April of 2016

TSX.V: NIM
NEWS RELEASE

March 1, 2016

Nicola Mining Inc. Moves Towards Commencing Milling Operations in April of 2016

VANCOUVER, B.C., March 1, 2016 – Nicola Mining Inc. (the “Company” or “Nicola”) is pleased to announce that it plans to recommence milling operations at its Merritt Mill property in April, 2016. Nicola’s mill property is located on the historic Craigmont Mines site, located in south central British Columbia (10 kilometers west of Merritt, BC).

Nicola’s 200 tonne per day mill will undergo modifications that will allow it to gravity separate fine free gold, prior to floating the remaining material in floatation tanks. Nicola’s mill is situated on 900 acres of freehold land, was constructed to allow floatation expansion, and is fed by a primary crushing circuit that has a 500 tonne per day capacity. The large mill building allows scalability for additional flotation tanks and gold screening units. Since May, 2010, the investment in the mill property consisted of $8.0 MM for the cost of land, $21.6 MM for the cost of the mill and related infrastructure, and $1.8 MM for the cost of the construction of a fully lined tailings facility.

The Company is also exploring options to purchase equipment that will enable it to pour doré bars onsite. Initial production is expected to commence with the processing of material from Siwash Materials Inc.’s property located in the Siwash Creek Area, located approximately 8 km northeast of Yale, B.C. and approximately 90 minutes from Nicola’s mill property located near Merritt, BC.

The Company announced the Siwash Mining and Milling Profit Share Agreement in a November 2, 2015 news release. Under the Siwash Agreement, the miner is required to use its best efforts to transport mill feed with greater than 7.08738 g/t Au to the Company’s processing facility. Shipping of previously stockpiled material is expected to commence in early April.

The date of commencing production will be subject to the receipt of the required amendment to Nicola’s mining permit.

Peter Espig, Chief Executive Officer, commented, "The modifications to the mill enabling it to accept and process gold mill feed and the ability to utilize both gravity and floatation processes that will allow it to produce doré bars and gold concentrate are significant value-added services to our toll milling counterparties. In addition, we feel are excited about the prospects to recommence milling operations in the near future.”

On behalf of the Board of Directors

“Peter Espig”
Peter Espig
CEO & Director

For additional information
Contact: (604) 647-0142
Email: peter@nicolamining.com

Cautionary Note Regarding Forward Looking Information:

This news release contains projections and forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information includes, without limitation, statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance of the Company such as the statements that the Company will recommence milling operations in April, that the Company will complete the required modifications to its mill, that Siwash Mineral Inc. will ship material to the Company’s processing facility in early April and that the Company will receive the necessary amendment to its mining permit. There are numerous risks and uncertainties that could cause actual results and the Company’s plans and objectives to differ materially from those expressed in the forward-looking information, including the inability of the Company to obtain the necessary amendment to its mining permit, the inability of Siwash Mineral Inc. to obtain all necessary regulatory approvals to allow it to extract and ship mill feed to the Company’s mill, the ability of Siwash Mineral Inc. to actually ship mill feed to the Company’s facility at all and with the agreed upon quantities and grade and the inability of the Company to raise the capital necessary for the modification to the mill and the operation of the mill and other factors beyond the Company and Siwash’s control. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Except as required by law, neither the Company nor Siwash assume any obligation to update forward-looking information should circumstances or management’s estimates or opinions change.

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