Nicola Mining Provides Shareholders a "Year in Review" for 2025

Rhea-AI Summary

Nicola Mining (OTCQB: HUSIF) reported a transformational 2025 marked by permitting, production starts, and balance-sheet improvements. Key 2025 achievements include a 10,000‑tonne Dominion Creek bulk‑sample structure, receipt of the Dominion final permit, a $0.28 unit private placement, elimination of the $4,481,066 current convertible‑debenture portion to $0, and transition of Merritt Mill from toll‑milling to ongoing gold and silver processing with an initial ~3,100 tonnes of Talisker millfeed. Other milestones: multi‑year permits and lease extensions at Treasure Mountain and New Craigmont, $5.0M invested in gravel/quarry/cement infrastructure, and intent to pursue a NASDAQ listing in H1 2026.

Positive

• Convertible debenture current portion reduced from $4,481,066 to $0
• Dominion bulk sample structured for 10,000 tonnes with 75% Nicola profit share
• Talisker shipment of ~3,100 tonnes of high‑grade ore to Merritt Mill
• $5.0 million invested in gravel/quarry/cement ready‑mix infrastructure
• Received multi‑year permits and 10‑year mine‑lease extension at Treasure Mountain

Negative

• None.

News Market Reaction

-2.68%

1 alert

-2.68% News Effect

On the day this news was published, HUSIF declined 2.68%, reflecting a moderate negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Dominion bulk sample: 10,000 tonnes Private placement price: $0.28 per Unit Convertible debenture: $4,481,066 to $0 +5 more

8 metrics

Dominion bulk sample 10,000 tonnes Planned bulk sample under High Range agreement

Private placement price $0.28 per Unit Non-brokered private placement closed March 12, 2025

Convertible debenture $4,481,066 to $0 Current portion reduced between Jan 1 and Dec 1, 2025

Talisker millfeed 3,100 tonnes High-grade gold ore shipped to Merritt Mill

Gravel/quarry investment $5.0 million Equipment, machinery, and infrastructure for aggregate operations

Dominion profit share 75% / 25% Profit split for 10,000 tonne bulk sample (Nicola / High Range)

Silver price peak 2013 US$32.22/oz Silver price on January 23, 2013 before collapse

Silver price June 2013 US$18.40/oz Silver price on June 27, 2013 after decline

Market Reality Check

Price: $0.7582 Vol: Volume 15,103 is at 0.56x...

low vol

$0.7582 Last Close

Volume Volume 15,103 is at 0.56x the 20-day average of 26,846, showing muted trading activity pre‑news. low

Technical Price $0.78785 is above the 200-day MA of $0.47 but sits at the 52-week low and 14.36% below the 52-week high of $0.92.

Peers on Argus

Peers showed mixed moves, from -2.96% (AMRRY) to +4.53% (CVVUF), with no consist...

Peers showed mixed moves, from -2.96% (AMRRY) to +4.53% (CVVUF), with no consistent direction or same-day news, indicating HUSIF’s reaction was stock-specific rather than sector-driven.

Historical Context

5 past events · Latest: Dec 08 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 08	Year-in-review update	Positive	-2.7%	Summarized 2025 milestones, debt elimination, and multi-asset progress.
Dec 01	Millfeed partnership	Positive	+13.3%	Start of Blue Lagoon high-grade millfeed and non-dilutive credit line.
Nov 10	High-grade assays	Positive	+0.2%	Dominion assays confirmed multiple high-grade veins ahead of bulk sample.
Nov 06	CEO interview	Neutral	-6.5%	Promotional CEO interview on strategy and plans via CEO.CA platform.
Nov 04	Project development	Neutral	-6.7%	Dominion mine development completed; weather-driven delay to 2026 bulk sample.

Pattern Detected

Recent news often read positively but saw mixed to negative next-day moves, with more divergences than alignments, especially around broader corporate updates and project progress.

Recent Company History

Over recent months, Nicola Mining reported multiple operational milestones. These included Dominion Creek bulk‑sample preparations, high‑grade assay results, and commencement of Blue Lagoon millfeed deliveries, alongside Merritt Mill’s shift into gold and silver production. The company also advanced Dominion mine development and secured key permits and lease extensions at New Craigmont and Treasure Mountain. Despite these updates, price reactions ranged from a 13.28% gain on Blue Lagoon millfeed news to several mid‑single‑digit declines on other announcements, framing today’s year‑in‑review within a volatile response pattern.

Market Pulse Summary

This announcement recaps a year in which Nicola advanced five core assets, including Dominion’s 10,0...

Analysis

This announcement recaps a year in which Nicola advanced five core assets, including Dominion’s 10,000‑tonne bulk-sample framework, Merritt Mill’s evolution into a gold and silver producer, and updated permits and leases at New Craigmont and Treasure Mountain. It also notes removal of the $4,481,066 current portion of a convertible debenture and about $5.0 million invested in gravel and cement operations. Investors may track Dominion extraction progress, ongoing millfeed volumes, permitting milestones, and the planned NASDAQ listing in 2026.

Key Terms

bulk sample, non-brokered private placement, convertible debenture, millfeed, +4 more

8 terms

bulk sample technical

"Nicola is to fund permitting... for the 10,000 tonne bulk sample."

A bulk sample is a large quantity of a product, raw material, or manufacturing batch provided for testing, inspection, or quality checks rather than a small promotional sample. For investors it matters because results from bulk samples reveal whether production can meet standards and scale — like inspecting a whole loaf instead of a single slice — and can affect regulatory approvals, product launches, supply reliability and the company’s revenue outlook.

non-brokered private placement financial

"closed a non-brokered private placement at a price of $0.28 per Unit"

A non-brokered private placement is when a company raises money by selling securities (such as shares or bonds) directly to a small group of chosen investors without using a broker or dealer as a middleman. For investors it matters because it can provide faster, lower-cost access to new investment opportunities but may bring higher risk, less liquidity and potential dilution of existing holdings compared with public offerings.

convertible debenture financial

"Current Portion of Outstanding Convertible Debenture was $4,481,066"

A convertible debenture is a long-term loan a company issues that pays interest like a bond but can be turned into a set number of the company’s shares under pre-agreed terms. For investors it matters because it mixes safety and upside: you get regular interest and higher repayment priority like a lender, yet you also hold an option to become a shareholder if the stock rises, which can dilute existing owners and change risk and return profiles.

millfeed technical

"shipped approximately 3,100 tonnes of high grade gold ore ... for processing."

Millfeed is the raw rock, ore or material delivered into a processing mill where valuable minerals are separated and extracted. For investors it’s like the ingredients a factory uses to make products: its quantity and quality directly affect how much product (metal or mineral) a company can produce, the cost per unit, and the likely revenue and profit from operations.

mine lease regulatory

"received six mining lease extensions (Mine Leases 237642 to 237647)"

A mine lease is a legal agreement that gives a company the right to operate a mine on land it does not own, much like renting a piece of property to run a business. For investors it matters because the lease sets how long the operation can run, what fees or royalties must be paid, and what environmental or reclamation obligations apply — all of which affect a project’s revenue, costs and risk profile.

porphyry copper technical

"continues to vector towards porphyry copper mineralization at New Craigmont"

A porphyry copper deposit is a large, low-to-medium grade body of rock in which copper and often other metals are spread throughout like specks in a loaf, formed by mineral-rich fluids from igneous intrusions. These deposits matter to investors because they are the world’s dominant source of mined copper, offering long-lived mines and predictable production profiles, but they also require large upfront capital and multi-year development.

First Nations regulatory

"jointly managed with First Nations not only augments revenues"

First Nations are the Indigenous communities and peoples recognized as original inhabitants of a region, commonly used in Canada to describe many distinct tribes and nations with their own cultures, languages, and governance. For investors, First Nations matter because they often hold or have claims to land, resources, and local approval that can affect permits, project timelines, and social license to operate—similar to needing agreement from the neighborhood owners before starting a large construction project.

NASDAQ financial

"The Company intends to pursue a NASDAQ listing in the first half of 2026"

The Nasdaq is a stock exchange where many companies' shares are bought and sold, functioning much like a marketplace for investments. It matters to investors because it provides a platform to buy and sell ownership stakes in companies, helping them track the value of those companies and make informed decisions. As one of the largest and most technology-focused markets, it also reflects trends and developments in the business world.

AI-generated analysis. Not financial advice.

Vancouver, British Columbia--(Newsfile Corp. - December 8, 2025) - Nicola Mining (TSXV: NIM) (FSE: HLIA) (OTCQB: HUSIF) (the "Company" or "Nicola")

Dear Shareholders and Investors,

2025 stands as the most transformative year in the history of Nicola Mining Inc. (the "Company" or "Nicola"). It was a year defined by disciplined execution, strategic clarity, and a series of milestones that meaningfully advanced our position as an emerging precious-metal producer with multiple value-generating assets in British Columbia. Equally important, the year underscored the strength and dedication of our team, whose efforts played a central role in achieving these results.

During 2025, precious metals experienced a strong upward trajectory as investors sought stability amid persistent geopolitical uncertainty, tightening supply conditions, and renewed interest in hard-asset protection. Gold and silver benefited from rising central-bank and Tether demand, global instability driving investors towards metals, and concerns over long-term inflation to name a few. The reinforcing of precious metals' role as a strategic hedge was a clear component driver of diversified commodity portfolios and proved to be a catalyst for many juniors, including Nicola, which saw significant value accretion in share prices. While Nicola benefitted from these broader macro tailwinds, our focused remained on tangible execution across exploration, operations, and revenue-generating activities.

News flow commenced on February 20^th with the Company providing drill results from its highly successful 2024 Exploration Program¹. While retail investors focused on drill hole NC-24-002, which included an intercept of 53 metres of over 1.0% Cu that expanded the Embayment Zone, our dedicated geological team was most excited about the findings of near surface chalcopyrite and the existence of faults and dykes within Guichon host rock.

The existence of near surface mineralization with both skarn and porphyritic attributes reinforced that Craigmont mineralization is associated with a much larger copper system and indifferent to host rock.

Less than one month later, Nicola announced that it had received the draft bulk sample permit² ("Draft Permit") for its Dominion Creek Gold Project ("Dominion"), a high grade gold and silver project near Smithers, British Columbia. Under the agreement with High Range Exploration Ltd. ("High Range") the two parties are to conduct a bulk sample under the following structure:

• Nicola is to fund permitting, mine engineering, reclamation bond, mine development, extraction, trucking and processing for the 10,000 tonne bulk sample.
• Unlike a generic earn-in-structure³ Nicola leverages its milling facility to create a unique and conservative acquisition structure in which it reimburses itself for all costs associated with production prior to sharing profit. For example, at Dominion, after Nicola has reimbursed itself for all costs, the two parties are to share profit (75% Nicola and 25% High Range) for the 10,000 tonne bulk sample. Upon completion of the bulk sample, Nicola will own 100% of the high-grade project.

On March 12, 2025, Nicola announced that it had successfully received the Final Permit⁴. In the same news release, the Company announced that it had successfully closed a non-brokered private placement at a price of $0.28 per Unit, which highlights our stocks solid 2025 performance.

In addition, the Company's balance sheet has changed significantly:

• January 1, 2025: Current Portion of Outstanding Convertible Debenture was $4,481,066
• December 1, 2025: Current Portion of Outstanding Convertible Debenture is $0

Another 2025 milestone was the addition of US analyst coverage via Noble Capital Markets ("Noble"), a SEC / FINRA registered full-service investment bank and advisory firm with an award-winning research team and proprietary investor distribution platform its analyst coverage on May 8, 2025. The addition of Noble to Atrium Research, a Canada-based pay-for research firm that commenced October of 2024, meant that Nicola had analyst coverage in both Canada and the United States.

July 9, 2025, proved to be a significant day for Nicola Mining Inc.

The Ministry of Mining and Critical Minerals⁵ had recognized the potential of Nicola's Merritt Mill as a milling hub and project generated for years. It had previously introduced to Nicola bulk samples opportunities with Blue Lagoon Resources ("Blue Lagoon"), Osisko Development, and Talisker Resources Ltd. ("Talisker"); however, on July 9, 2025, Nicola transitioned from bulk sample processing to become a gold and silver producer.

Talisker Millfeed

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/4873/277142_90fc86e8d4a059fb_001full.jpg

On this day Talisker announced that it had shipped approximately 3,100 tonnes of high grade gold ore from the Mustang Mine to Nicola's Merritt Mill for processing.

The ability for Nicola to enter into multiple agreements, not only confirms the strategic significance of our M-68 Mine Permit in British Columbia, but also the province's accelerated commitment in assuring that solid and well managed products can move forward.

The same day saw Nicola participate in Blue Lagoon's official Mine Opening Event, which was attended by First Nations, Ministry of Mining and Critical Minerals representatives, the Mayor of Smithers, Gladys Atrill, investors and local supporters. The first-class two-day event was a testimony to its management's sedulous efforts to move the project forwarded and showcased its commitment to First Nations relations and the environment.

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/4873/277142_90fc86e8d4a059fb_002full.jpg

On December 1, 2025, Nicola announced that Blue Lagoon had commenced transporting high-grade gold and silver ore to Nicola's mill under a long-term partnership agreement.

Nicola and Blue Lagoon embrace a shared commitment to sustainability and environmental commitment, as highlighted by Blue Lagoon being the recipient of PDAC's 2026 Sustainability Award⁶

Unavowed to shareholders was the immense effort Nicola had undertaken all month at Dominion. During the month of July, Nicola installed a bridge, purchased and installed a 14-man camp, which includes fully furnished rooms and all required facilities, and commenced road work and mine development.

Though mine development progressed smoothly, the Company had not anticipated Dominion's veins to widen and remain open in all directions. The November 10^th, 2025, news release provided clarification into Nicola's providence of opting to commit the entire season to expanded mine development in preparation for a robust 2026 focus on extraction.

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/4873/277142_nicolamining1.jpg

 As conjectured, November 10^th testing confirmed the original Surface Sample Testing; however, the emergence of new veins, such as the 16 East Vein, the widening of both the Pit and 16 Vein, and the discovery that all are open at depth and length.

ALL DOMINION WORK WAS INTERNALLY FUNDED AND WITHOUT SHAREHOLDER DILUTION

The third quarter ended with Nicola reminding shareholders of its long-term commitment to its wholly owned New Craigmont Copper Project with the announcement of having received six mining lease extensions (Mine Leases 237642 to 237647) for five years. The significance of garnering the extensions cannot be underemphasized as Nicola continues to vector towards porphyry copper mineralization at New Craigmont, which is the site of the historic Craigmont Copper Mine⁸. Lab results from the 2025 Craigmont Exploration Program are pending and will be released upon receipt. A more detailed exploration update will be released later this month.

As We are fully cognizant that junior miners have benefited from macro influences, uneven global growth, and bursts of safe-haven demand⁹. Indeed, as Q3 closed, the expansion of our gravel pit and cement ready mix plant opened. The receipt of two key permits for its wholly owned gravel pit (Permit G1519) and fully completed construction of its cement ready mix plant¹⁰ positions Nicola to reap benefits from peripheral revenue streams that support overall operations.

塵も積もれば山となる¹¹   EVEN DUST IF PILED UP BECOMES A MOUNTAIN

Nicola defines itself as a producer and explorer but also recognizes that all revenues contribute to the bottom line and minimize dilution. Our aggregate, rock quarry and cement ready mix plant, which jointly managed with First Nations not only augments revenues but is a catalyst of solid local relations.

Completion and Final Road Work View of Gravel Storage Pads

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/4873/277142_90fc86e8d4a059fb_004full.jpg

Nicola also reintroduced investors to one of its cornerstone assets, Treasure Mountain Silver Project ("Treasure Mountain")¹², a high-grade silver mine that has been on care-and-maintenance since 2013. Importantly, this pause was not the result of operational or geological limitations, but rather the consequence of the severe collapse in silver prices in 2013. Silver fell from US$32.22 per ounce on January 23, 2013, to US$18.40¹³ by June 27, at a time when the Canadian and U.S. dollar traded at par.

Momentum returned to the asset in 2025. In addition to encouraging exploration work, Nicola received a multi-year, area-based exploration permit on June 9, 2025 authorizing diamond drilling and trenching across key targets at Treasure Mountain. This development complemented the Company's August 30, 2024 news release, which confirmed receipt of a 10-year mine lease extension through April 26, 2032. Together, these advancements materially enhance the project's long-term development potential, particularly against the backdrop of record silver prices.

Summary of 2025: A Year of Disciplined Execution Across Five Strategic Assets

2025 can be characterized by a blend of persistence, adaptability, and steadfast execution. Management demonstrated unwavering commitment to advancing each of Nicola's five core assets while maintaining disciplined evaluation of new opportunities. Key achievements include:

• New Craigmont: Renewal of critical mine leases and the advancement of a robust exploration program focused on vectoring toward a porphyry center at one of North America's most historically significant copper producers.
• Merritt Mill: A transformational shift from toll-milling to long-term precious-metal production, firmly establishing Nicola as a gold and silver producer with multi-source millfeed.
• Treasure Mountain: Receipt of both a multi-year exploration permit and a 10-year mine-lease extension, significantly increasing project value and aligning with record silver prices that support the potential reopening of the mine and renewed exploration.
• Gravel / Rock Quarry / Cement Ready-Mix Plant: With approximately $5.0 million invested in equipment, machinery, and infrastructure, the operation has emerged as a regional leader, contributing steady, diversified revenue and strengthening community partnerships.
• Dominion Creek Gold Project: Completion of key milestones including permitting, mine engineering, road construction, mine development, and the acquisition of a full camp, collectively positioning Dominion as a rapidly expanding and increasingly compelling high-grade gold project.

2025 highlighted the powerful synergy created by advancing five value-generating assets within a single, politically stable jurisdiction.

"What is Nicola's strategic focus for 2026?"

The Company intends to pursue a NASDAQ¹⁴ listing in the first half of 2026, a strategic step designed to broaden institutional visibility, enhance liquidity, and position Nicola alongside its North American peers. While macroeconomic conditions will continue to influence equity valuations across the mining sector^[15], Nicola's management remains focused on accelerating execution and expanding upon the operational and financial milestones achieved in 2025.

We anticipate meaningful benefit from a full year of milling operations, including consistent millfeed from Blue Lagoon and Dominion, as well as additional sources currently under discussion. These revenues will be complemented by contributions from our First Nations partnership and the potential restart of Treasure Mountain, which could serve as an additional catalyst for growth.

On the exploration front, Nicola will continue advancing toward confirmation of a porphyry copper system at New Craigmont, while also initiating drilling on the backside of Treasure Mountain through an initial three or four-hole program designed to test outcropping mineralized veins at depth.

As we extract the bulk sample at Dominion, we are optimistic that the project will continue to grow.

Qualified Person
The scientific and technical disclosures included in this 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 of Exploration for the Company.

On behalf of the Board of Directors
"Peter Espig"
CEO & Director
For additional information

Contact: Peter Espig
Phone: (778) 385-1213
Email: info@nicolamining.com

"Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."

Forward-Looking Statements

Certain statements in this letter are forward-looking statements, which reflect the expectations of management regarding the Company. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future, including, but not limited to, statements regarding: (i) Nicola's near term and long term goals, specifically with regard to its priorities for 2026; (ii) Nicola's ability to move forward on its five-year exploration plan; (iii) the anticipated receipt 2025 lab analyses and as a result thereof, any effect these results may have on Nicola's diamond drilling exploration plans for both copper skarn and porphyry copper targets; (iv) the value, intrinsic or otherwise, of the Merritt Mill Site; (v) any cash flows associated with milling activities at the Merritt Mill Site; (vi) the prospects of Nicola's exploration projects, including its New Craigmont, Treasure Mountain and Merritt Mill Site; and (vii) any general statement regarding Nicola's operational and exploratory goals going forward. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements, including risks related to factors beyond the control of the Company. These risks include, but are not limited to: (i) changes in Nicola's business relationships and plans; (ii) changes in the anticipated revenue streams and operational and exploratory goals; (iii) the failure of Nicola to receive the necessary approvals for various regulatory applications and permits, as applicable; (iv) and other general business, economic, or market related risks beyond the director control of the Company and which may affect the Company's business and operations. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change, unless required by law. The reader is cautioned not to place undue reliance on forward-looking information.

---

¹ News Release: February 20, 2025 Link
² Bulk Sample: An exploration and development activity conducted on a mineral claim to investigate the metallurgical properties of an ore body, to test extractive milling methods, mill equipment, and potential markets
³ A contractual agreement in which a party earns an interest in a project over time, typically four years, by meeting specific financial, exploration, or operational milestones.
⁴ Receipt of Final Bulk Sample Permit (MX-100000488) News Release: March 12, 2025 Link
⁵ The Ministry of Mining and Critical Minerals is responsible for British Columbia's strategy for mining and critical mineral projects.
⁶ News Release: November 5, 2025. Link
⁷ News Release: October 14, 2020 Link
⁸ The historic Craigmont Mine produced 34 million tonnes of copper at 1.3% and is one of the highest-grade major copper mines in the history of North America.
⁹ World Bank Article: November 12, 2025 Link
¹⁰ Nicola Completes Construction of Cement Ready Mix Plant and Receives Key Permits: Link
¹¹ Japanese Proverb: Link
¹² News Release: October 15, 2025 Link
¹³ Google Search: Link
¹⁴ News Release October 27, 2025 Link
¹⁵ Investing News Network: August 19, 2025 Link and Investing Analysis: Mining Stocks October 2025 Link

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/277142

FAQ

What does Nicola Mining's (HUSIF) elimination of the current convertible debenture portion mean for shareholders?

The company reports the current portion dropped from $4,481,066 to $0, improving near‑term balance‑sheet liquidity.

How large is the Dominion Creek bulk sample Nicola (HUSIF) will fund and process?

Nicola will fund and process a 10,000‑tonne bulk sample, with profit split 75% Nicola / 25% High Range after cost reimbursement.

When does Nicola (HUSIF) plan to list on NASDAQ and why?

The company intends to pursue a NASDAQ listing in H1 2026 to broaden institutional visibility and enhance liquidity.

How much ore did Talisker ship to Nicola's Merritt Mill and what does it signify for HUSIF?

Talisker shipped approximately 3,100 tonnes of high‑grade ore, marking Nicola's shift from toll‑milling to precious‑metal production.

What capital has Nicola (HUSIF) invested in its gravel and cement operations?

Nicola reports approximately $5.0 million invested in equipment, machinery, and infrastructure for gravel/quarry and cement ready‑mix operations.

Will Dominion Creek work dilute Nicola (HUSIF) shareholders in 2025?

The company states that all Dominion work was internally funded and performed without shareholder dilution.