Premium Nickel Resources Ltd. reported additional assay results from the Company's 2022 diamond drilling program at its 100% owned Selebi nickel-copper-cobalt sulphide Mine in Botswana. The Company's 2022 diamond drilling program commenced March 14, 2022, with approximately 8,958 metres of drilling completed as of September 5, 2022. Assay results have been received for an additional two drillholes, SMD-22-001-W1 and SMD-22-002 and are reported herein.

Initial drill hole SMD-22-001 was prioritized to test an off-hole borehole electromagnetic target from historical hole sd140 identified by PNRL during the compilation and verification of historic data in 2021. This initial hole was previously released and intersected two intervals of amphibolite hosted Ni-Cu sulphide mineralization. SMD-22-001-W1 is a wedge hole that intersected two intervals of mineralization located 85 metres from SMD-22-001 in the direction of historic hole sd119.

Hole SMD-22-002 pierced mineralized amphibolite 110 metres down-dip of sd119 and is interpreted to be located west of the fold structure that contains thick intervals of massive sulphides. The sulphide mineralization in the upper amphibolite unit (from 1344.05 to 1387.65 metres) consists of textures ranging from disseminated, to coarse blebby and local semi-massive to massive sulphide stringers hosted in a coarse grained massive amphibolite that returned 0.37% Ni, 0.58% Cu, 0.01% Co and 2.95 g/t silver over 6.95 metres from 1,344.05 to 1,351.00 metres. Lower down, from 1363.0 to 1367.35 metres, the mineralized amphibolite host returned values of 0.98% Ni and 1.61% Cu, 0.02% Co, 4.69 g/t Ag over 4.35 metres.

The lower mineralized amphibolite unit (from 1,388.40 to 1,403.50 metres) contains primarily disseminations and blebby sulphides with localized intervals of chalcopyrite-rich stringers to semi- massive sulphides that returned 0.39% Ni, 1.99% Cu, 0.02% Co and 5.42 g/t Ag over 12.55 metres from 1,385.65 to 1,398.20 metres. This interval included a more strongly mineralized portion over 6.40 metres that returned values of 0.52% Ni, 2.63% Cu, 0.03% Co, 7.49 g/t Ag from 1391.00 to 1397.40 metres. BHEM results show that a strong conductor, dipping westward and plunging to the northwest, was intersected.

The center of the conductor is located up-dip and north of SMD-22-001-W1. Drill hole SMD-22-002 intersected a single short interval of mineralized amphibolite. Sulphide textures are primarily disseminations with chalcopyrite and pyrrhotite rich stringers that returned grades of 0.55% Ni, 0.22% Cu, 0.02% Co over 2.90 metres from 1,374.80 to 1,397.40 metres.

BHEM results indicate that hole passed 15 metres below a strong conductor plunging to the northwest. This supports the geological interpretation that this hole is interpreted to have intercepted immediately west of the primary fold nose that contains thicker intervals of massive sulphides. True thickness is expected to be 70 to 80% of drill length intervals.

Simultaneous to ongoing drilling, PNRL will continue to improve the database with the collection of additional data from the drilling, BHEM and gyro programs as it becomes available. In addition to the two diamonds drill rigs currently drilling new holes for PNRL, there have been up to three diamond drill rigs designated to cleaning out historic holes in preparation for the collection of gyro and BHEM data. To date, televiewer and physical property logging has been collected in five holes.

Work is continuing on the creation of a 3D geological and structural model utilizing oriented core measurements from new holes and relogging of historic holes. BHEM surveys are ongoing in both of the new and historic holes, results of these ongoing surveys continue to highlight the area at the down-dip western extent of the mineralized horizon. Structurally, the western extent of mineralization correlates with an interpreted fold nose with associated thickening of the mineralized amphibolite.

Drilling continues to explore this structure both down dip and down-plunge. PNRL's engineering team, with the support of G-Mining Services and third parties, has completed its assessment, review and planning of required work to support the upcoming surface and underground drilling program at the Selebi North and Selebi deposits. Since August 1, 2022, PNRL's care and maintenance ("C&M") team has taken responsibility from the Liquidator for the care and maintenance of the Selebi mine surface and underground infrastructure.

The C&M team has also been supporting the engineering team in its planning and execution of underground work required to support underground drilling. The Selebi Mine includes two shafts and related infrastructure (rail, power and water). The Selebi deposit is serviced by a 6.1 metre diameter shaft commissioned in 1980 which is concrete lined along the entire 340 metre length and an access ramp from surface.

The Selebi shaft is equipped with a double drum production hoist, a double drum services hoist, two 6 tonne skip and a 70-person cage with a daily capacity of 3,600 tonnes per day. The infrastructure also includes two inclined shafts down to 900 metres, a hoist room and winder, headframe, surface structures and two overhead power lines. The Selebi North deposit is serviced by a 3.5 metre diameter shaft commissioned later in 1990 and has an access ramp from the surface.

The Selebi North shaft is equipped with a Koepe hoist with a two cage 6 tonne skip. The cage has a four person capacity. The shaft limitation implies that it is mainly used for ore skipping with a daily capacity of 1,500 tonnes per day.

The Selebi North shaft runs a length of 730 metres and is supported by an additional decline down to 1000 metres. This shaft is also supported by hoist room and winder, headframe, surface structures and overhead power lines. The two shafts are fully functional, and the care and maintenance of the remaining infrastructure is ongoing.

The Company estimates that the replacement cost of the current infrastructure at the Selebi Mine would be approximately US$400 million.