Canada Nickel (or the "Company") (TSXV: CNC) (OTCQB: CNIKF) is pleased to announce that it has granted an aggregate of 265,000 restricted stock units ("RSUs") and an aggregate of 540,000 options to certain officers and directors of the Company as a long-term incentive and 2020 annual performance awards, all in accordance with its restricted share unit plan (the "RSU Plan") and option plan. The options vest over three years, are exercisable at a price of $3.63 per share and expire five years from the date of grant. The RSUs vest one year from the date of grant.

"This week marks our first anniversary for what has been an outstanding year as a public company.  At our founding, each member of our management team elected to receive a portion of their salary in equity, and this year we are pleased to offer a Salary Equity Incentive Program to all employees.  All of the Company's senior management have elected to maximize their participation in this program.  As CEO, I will participate to the maximum extent by again taking one-third of my salary in equity. In addition, I have extended the redemption date of my 2020 RSUs by one year.  Our team is looking forward to an equally exciting 2021."

The Company is also pleased to announce that it has implemented a salary investment incentive program (the "Salary Incentive Program") under which employees and key consultants may elect to receive up to 33% of their base annual compensation in equity as share-settled RSUs based on a share price value of $3.63 granted under the terms of its RSU Plan (the "Elected Amount"). The Company will top-up Elected Amounts by 10%, subject to the limitations under the RSU Plan. The Salary Incentive Program is intended to align the interests of employees, consultants and directors with those interests of the Company. An aggregate of 84,711 RSUs, which will vest one year from the date of grant, have been granted to certain directors and officers of the Company under this program.

In addition, the Company has implemented an RSU rollover arrangement under which holders of RSUs granted in March 2020 and scheduled to be redeemed in March 2021 are being provided with the option to extend the applicable redemption date of the RSUs by twelve months in exchange for a supplemental grant equal to 10% of the number of extended RSUs. The newly-issued RSUs will vest one year from the date of grant. 147,050 RSUs have been granted under these arrangements to certain directors and officers.

Finally, the Company has agreed to issue a total of 135,000 common shares in settlement of $472,500 owing to certain service providers, subject to approval of the TSX Venture Exchange. Such shares will be subject to a four month hold under applicable securities laws.

About Canada Nickel Company

Canada Nickel Company Inc. is advancing the next generation of nickel-cobalt sulphide projects to deliver nickel and cobalt required to feed the high growth electric vehicle and stainless steel markets. Canada Nickel Company has applied in multiple jurisdictions to trademark the terms NetZero Nickel^TM, NetZero Cobalt^TM, NetZero Iron^TM and is pursuing the development of processes to allow the production of net zero carbon nickel, cobalt, and iron products. Canada Nickel provides investors with leverage to nickel and cobalt in low political risk jurisdictions. Canada Nickel is currently anchored by its 100% owned flagship Crawford Nickel-Cobalt Sulphide Project in the heart of the prolific Timmins-Cochrane mining camp.

Cautionary Statement Concerning Forward-Looking Statements

This press release contains certain information that may constitute "forward-looking information" under applicable Canadian securities legislation. Forward looking information includes, but is not limited to,  future exploration and development results, and corporate and technical objectives. Forward-looking information is necessarily based upon a number of assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking information. Factors that could affect the outcome include, among others: future prices and the supply of metals, the future  demand for metals, the results of drilling, inability to raise the money necessary to incur the expenditures required to retain and advance the property, environmental liabilities (known and unknown), general business, economic, competitive, political and social uncertainties, results of exploration programs, risks of the mining industry, delays in obtaining governmental approvals, failure to obtain regulatory or shareholder approvals, and the impact of COVID-19 related disruptions in relation to the Company's business operations including upon its employees, suppliers, facilities and other stakeholders.  There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking information. All forward-looking information contained in this press release is given as of the date hereof and is based upon the opinions and estimates of management and information available to management as at the date hereof. Canada Nickel disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.