Mr. Keith Morrison reports

PREMIUM NICKEL RESOURCES LTD. ANNOUNCES CLOSING OF FINANCING TRANSACTIONS TOTALLING APPROXIMATELY CAD$34 MILLION

Premium Nickel Resources Ltd. has closed its previously announced financing with Cymbria Corp. (TSX: CYB), EdgePoint Investment Group Inc. and certain other entities managed by it (EdgePoint), for aggregate gross proceeds of $33,999,200. The financing included three concurrent and interconditional transactions comprising an equity offering of units, a three-year term loan and options to acquire a 0.5-per-cent net smelter returns royalty on the company's Selebi and Selkirk mines in certain circumstances upon payment of further consideration (see news release dated June 13, 2023).

As a result of the financing transactions, Cymbria and certain other funds managed by EdgePoint have acquired 14,772,000 common shares of the company, representing approximately 10.9 per cent of the company's issued and outstanding shares. The financing parties also acquired on closing an aggregate of 5,324,000 warrants with a three-year term and an exercise price of $1.4375 which, if exercised, together with the shares acquired at closing would result in the financing parties holding approximately 14.2 per cent of the shares in the aggregate (calculated on a partially diluted basis).

Immediately following closing of the financing transactions, the company prepaid all principal and interest owing by the company under its promissory note in favour of Pinnacle Island LP.

The company is preparing for an extensive surface and underground drilling campaign with a focus on defining National Instrument 43-101-compliant resources, including drill testing of high-conductance electromagnetic (EM) targets situated along the down-plunge extension of the Selebi North mineralization. The deepest of these drill holes, designed to evaluate the down-plunge area, will specifically target the sources of the EM anomalies identified during the company's 2022 drilling program. These anomalies are located south of the Selebi North mineralization and this drilling is expected to provide evidence that the known Selebi and Selebi North orebodies are part of the same mineralized horizon.

All securities issued in connection with the financing transactions are subject to a hold period of four months plus a day from the date hereof and the resale rules of applicable securities legislation and policies of the TSX Venture Exchange. Fort Capital Partners acted as financial adviser to PNRL on the financing transactions and was paid cash fees by PNRL of 5.0 per cent of the gross proceeds of the equity portion of the financing transactions and 2.5 per cent of the gross proceeds of the term loan portion of the financing transactions, plus applicable taxes.

About Premium Nickel Resources Ltd.

Premium Nickel is a mineral exploration and development company that focuses on discovering and advancing high-quality nickel, copper and cobalt resources. It is driven by its belief that the demand for these metals will continue to grow in the medium to long term, as a result of global urbanization and the increasing adoption of electric motors over internal combustion engines. These metals are vital for achieving a low-carbon future.

Premium Nickel's global strategy is to identify the most promising Ni-Cu-Co-PGE projects and acquire or invest in opportunities that offer high prospectivity in mining-friendly jurisdictions located in low-risk countries with supportive foreign investment and resource acts and strong rule of law. The company's portfolio includes various projects (Botswana, Greenland, Canada and Morocco) that complement its flagship Selebi Ni-Cu-Co sulphide mine located in Selebi-Phikwe, Botswana.

Premium Nickel is committed to governance through transparent accountability and open communication within its team and its stakeholders. The company's skilled team has worked over 100 projects collectively, accumulating over 400 years of resource discoveries, mine development and mine re-engineering experience on projects like Selebi and Selkirk. Premium Nickel's team members have on average more than 20 years of experience in every single aspect of mine discovery and development, from geology to operations.

We seek Safe Harbor.