Nicola Mining and Lower Nicola Site Services Complete Gravel Pit Expansion and Full Completion of Cement Ready Mix Plant

Rhea-AI Summary

Nicola Mining (OTCQB: HUSIF) has announced two major developments in its infrastructure operations. The company, along with partner Lower Nicola Site Services Ltd (LNSS), has completed the expansion of its gravel pit and construction of a cement ready-mix plant.

The company has secured two significant permits: a Notice of Departure (NoD) to operate a rock quarry with extraction capacity of up to 3.0 million tonnes at approximately 1,500 tonnes per day, and an extension of Gravel Pit mine life (Permit G1519) along with a permit for highway right-of-way operations.

Notably, LNSS has secured contracts to supply gravel and cement for Teck Resources' Highland Valley Copper $2.5 billion expansion project, as well as contracts with the Ministry of Transportation and various private sector entities.

Positive

• Secured two major operational permits for rock quarry and cement operations
• Partnership with LNSS secured contracts for Teck Resources' $2.5B Highland Valley Copper expansion project
• Additional contracts secured with Ministry of Transportation and private sector entities
• Potential for decades-long gravel pit operations

Negative

• Gravel pit and cement operations not considered long-term core revenue generators by management

Vancouver, British Columbia--(Newsfile Corp. - September 29, 2025) - Nicola Mining Inc. (TSXV: NIM) (FSE: HLIA) (OTCQB: HUSIF), (the "Company" or "Nicola") is pleased to announce that it, along with its partner Lower Nicola Site Services Ltd ("LNSS"), has successfully completed a long term expansion of its wholly-owned gravel pit (Permit G1519) and fully completed construction of its cement ready mix plant^[1].

The Company has now garnered two very significant permits for its gravel / rock quarry and cement operations:

1. Notice of Departure ("NoD")^[2] at the New Craigmont Project from the Ministry of Mining and Critical Minerals, formerly known as the Ministry of Energy, Mines and Low Carbon Innovation ("EMLI"), to operate a rock quarry. Under the NoD the Company can extract of up to 3.0 million tonnes ("Mt") of inert available rock material that may be used for the infrastructure reconstruction efforts at a production rate of approximately 1500 tonnes per day.

2. Extension of Gravel Pit mine life (Permit G1519) and Permit to Construct, Use, And Maintain Works Within a Right-of-Way of a Provincial Public Highway (Permit/File Number: 2024-05539), the latter which was received on September 5, 2025.

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/4873/268322_4e5a65c0c46258f4_001full.jpg

Garnering all required permits to operate and expand gravel pit operations, coupled with the installation of an underground culvert allowing for aggregate to be transferred from opposite side of the highway, has significant long term implications:

• Teck Resources' Highland Valley Copper (HVC) has received permit approval from the British Columbia Ministry of Mines for its planned $2.5 billion expansion project. The approval marks a major milestone for Canada's largest copper operations. LNSS has secured contracts to supply gravel and cement for the project, which will be sourced from Nicola's gravel pit and ready-mix cement plant.

• LNSS has secured contracts with the Ministry of Transportation and various private sector entities that will be sourced from the site.

• Potentially extends gravel pit operations for decades

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/4873/268322_4e5a65c0c46258f4_002full.jpg

Peter Espig, Chief Executive Officer, commented, "Though Nicola continues to solidify itself as a regional milling partner and operator of the Dominion Gold Project, which we will provide updates soon, we highlight an emphasis on operational revenues as the fuel of expansion. We recognize that the rock quarry, gravel pit and cement ready-mix plant are not our long-term core revenue generators; however, it all contributes to a solid bottom line. In addition, these operations are a catalyst to work closely with First Nations, local communities, and numerous infrastructure projects.

Qualified Person

The scientific and technical disclosure included in this news release have been reviewed and approved by Will Whitty, P.Geo., who is the Qualified Person as defined by NI 43-101. Mr. Whitty is Vice President, Exploration for the Company.

About Nicola Mining

Nicola Mining Inc. is a junior mining company listed on the TSX-V Exchange and Frankfurt Exchange that maintains a 100% owned mill and tailings facility, located near Merritt, British Columbia. It has signed Mining and Milling Profit Share Agreements with high-grade BC-based gold projects. Nicola's fully permitted mill can process both gold and silver mill feed via gravity and flotation processes.

The Company owns 100% of the New Craigmont Project, a property that hosts historic high-grade copper mineralization and covers an area of over 10,800 hectares along the southern end of the Guichon Batholith and is adjacent to Highland Valley Copper, Canada's largest copper mine. The Company also owns 100% of the Treasure Mountain Property, which includes 30 mineral claims and a mineral lease, spanning an area exceeding 2,200 hectares.

On behalf of the Board of Directors

"Peter Espig"
Peter Espig
CEO & Director

For additional information

Contact: Peter Espig
Phone: (778) 385-1213

Office Phone: (604) 649-0080
Email: info@nicolamining.com

Forward-Looking Information

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.

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^[1] Nicola Commences Construction of Cement Ready Mix Plant: Link
^[2] May 2, 2022, News Release: Link

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/268322

FAQ

What permits did Nicola Mining (HUSIF) receive for its gravel and cement operations in September 2025?

Nicola Mining received two key permits: a Notice of Departure (NoD) to operate a rock quarry with 3.0 million tonnes extraction capacity, and an extension of Gravel Pit mine life (Permit G1519) with highway right-of-way operations permit.

What is the significance of Nicola Mining's contract with Teck Resources' Highland Valley Copper project?

Through partner LNSS, Nicola Mining will supply gravel and cement for Teck Resources' $2.5 billion Highland Valley Copper expansion project, representing a significant revenue opportunity.

What is the daily production capacity of Nicola Mining's rock quarry operations?

The rock quarry can operate at a production rate of approximately 1,500 tonnes per day under the Notice of Departure permit.

How does Nicola Mining view its gravel pit and cement operations in its overall business strategy?

While these operations contribute to the bottom line and help build relationships with First Nations and local communities, management does not consider them core long-term revenue generators.

What additional contracts has Nicola Mining secured for its gravel pit operations?

Through LNSS, Nicola Mining has secured contracts with the Ministry of Transportation and various private sector entities for gravel supply from its pit operations.