CaNickel Announces Results of 2013 Winter Drill Program-Intersects 27 Metres Grading 1.05% Nickel at Bucko North Property

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Sep 23, 2013) - CaNickel Mining Ltd. (TSX:CML) ("CaNickel" or the "Company") is pleased to announce results from its 2013 winter drilling program at the Company's Bucko North Property, located immediately to the north of the Company's Bucko Lake Mine, Thompson Nickel Belt, Manitoba.

A total of 8,682 metres were drilled in 17 surface diamond drill holes, which included the analysis of 1,033 drill core samples (including 41 QA/QC samples). The interpreted northern extension of the Bucko Lake ultramafic sill, host to high-grade nickel sulphide mineralization at the Bucko Lake Mine, was intersected in 14 of the 17 holes, with individual ultramafic intersections ranging from 0.3 to 113 metres in core length.

Highlight Intersections from the Drill Holes Include:

• Hole BK13-13 intersected 27 metres grading 1.05% nickel;
• Hole BK13-8 intersected three separated zones including 6 metres grading 1.04% nickel, 6.4 m grading 1.28% nickel, and 3 metres grading 1.41% nickel.

Detailed Exploration Results:

Drill hole BK13-13 was designed to test the potential for additional nickel mineralization immediately outside the current Bucko Lake Mine mineral resource. At a down hole depth of 644 metres, approximately 200 metres vertically below the 305 metre (1000 foot) level of the Bucko Lake Mine at the edge of the current mineral resource, drill hole BK13-13 intersected a 113 metre core width zone of ultramafic peridotite including a zone of nickel sulphide mineralization grading 1.05% Ni over 27 m between a down hole depth of 706 and 733 metres (see Table below).

Summary Results of 2013 Winter Bucko North Diamond Drilling

*Note: All drill intercepts reported are core length and may not be indicative of true width of mineralization.

Drill hole BK13-08 collared 500 metres north of the Hinge Zone of the Bucko Lake Mine intersected three separate zones of ultramafic peridotite and nickel sulphide mineralization over a distance of 42.4 metres down hole. The three zones of mineralization returned grades of 1.04% nickel over 6 metres between 351.35 and 357.35 metres; 1.28% nickel over 6.40 metres between 373.70 and 380.10 metres; and 1.41% nickel over 3 metres between 390.75 and 393.75 metres, respectively.

Drill holes BK13-1, BK13-2, BK13-4, BK13-5, and BK-13-10, designed to provide a series of wide-spaced drill intersects of the Bucko North ultramafic sill each returned peridotite intersections ranging from 12.54 to 95.3 metres associated with consistently anomalous low-grade nickel mineralization.

Quality Control

CaNickel executes a quality control program to ensure best practice in sampling and analysis. Samples are cut and split for assay with the remaining sample retained for reference. Samples to be assayed are initially transported in sealed and secure bags for assay preparation at ALS-Chemex Laboratory ("ALS") in Thunder Bay, Ontario for sample preparation. Subsequently ALS then sends pulps to their Vancouver British Columbia, offices for analysis. Fire assays were performed at ALS's laboratory in Vancouver on all the samples for gold and PGEs which undergo an ICP-AES finish. All other metals undergo Sodium Peroxide Fusion/ICP finish. Standards and blanks are submitted with each sample batch, one for every 25 samples.

Kristopher J. Raffle, P.Geo., Principal and Consultant of APEX Geoscience Ltd., the Qualified Person as defined under National Instrument 43-101, has verified the information and has reviewed and approved the contents of this news release.

ABOUT CANICKEL

CaNickel Mining Ltd. is a Canadian junior mining company that owns and operates the Bucko Lake Nickel Mine, currently in care and maintenance, near Wabowden, Manitoba. The Company also holds nickel, copper and Platinum Group Mineral (PGM) projects in the Thompson Nickel Belt.