Agnico Eagle Mines Limited has increased its equity holding in Canada Nickel Company Inc. by acquiring 666,667 units through a non-brokered private placement for a total consideration of C$1,000,000.50.

The transaction was completed through Avenir Minerals Limited, a wholly-owned subsidiary of Agnico Eagle. Each unit consists of one common share of Canada Nickel and one-half of a common share purchase warrant. Each whole warrant allows the holder to acquire one additional common share at a price of C$2.25 for 36 months following the closing date.

Immediately prior to the private placement, Agnico Eagle and its joint actor beneficially owned 21,801,259 common shares and 7,960,629 warrants, representing approximately 8.91% of Canada Nickel's issued and outstanding common shares on a non-diluted basis and 11.78% on a partially-diluted basis. Following the transaction, Avenir holds 22,467,926 common shares and 8,293,962 warrants. This represents approximately 8.68% of the issued and outstanding common shares on a non-diluted basis and 11.52% on a partially-diluted basis, accounting for concurrent security issuances completed by Canada Nickel.

Agnico Eagle and Canada Nickel operate under an investor rights agreement dated December 29, 2023. Under this agreement, Agnico Eagle maintains the right to participate in certain equity offerings and top up its holdings during dilutive issuances to maintain an interest of up to 15.6% on a partially-diluted basis, provided it preserves its required ownership thresholds. The agreement also grants Agnico Eagle the right to nominate one person to Canada Nickel's board of directors, though the company has no present intention of exercising that right.

The investment forms part of Agnico Eagle’s broader strategy to secure positions in prospective opportunities with high geological potential. The company's recent transactional activity includes deploying C$57.1 million to acquire a strategic stake in Radisson Mining Resources to fund an underground exploration program at the O’Brien gold project in Quebec. Depending on market conditions and strategic priorities, Agnico Eagle and its subsidiary may acquire additional securities of Canada Nickel or dispose of some or all of their holdings in the future.

Read the full announcement: ADDITIONAL INVESTMENT IN CANADA NICKEL COMPANY INC. BY AVENIR MINERALS LIMITED