First Nickel Inc. FNKLF

RE: Glad I bought in last week @ $0.79 !!

[Odin55]

Happy Times : ) ----------------------------------------------- Thursday November 01 2007 - News Release Mr. William Anderson reports NICKEL PRODUCTION INCREASING ADDITIONAL PROMISING LOCKERBY DRILLING RESULTS First Nickel Inc. has updated on operations at the Lockerby mine and the remaining analytical results from the Lockerby depth definition drilling program. At Lockerby mine, production for the three-month period ending Sept. 30, 2007, totalled approximately 36,258 tonnes, grading 1.69 per cent nickel and 0.91 per cent copper which will yield an estimated 1.02 million pounds payable nickel and 620,000 pounds payable copper. The nickel content is the highest to date for a quarterly period and mine production has now been consistent for over two quarters. These operational results will be reported on more fully in the company's quarterly filing scheduled to be released the week of Nov. 12, 2007. First Nickel has also released the assay results for the 37 remaining holes from the Lockerby depth definition drill program. Results have been summarized in the attached table. A table summarizing all intercepts and a figure with the spatial representation of the drill holes will be available on the company website. All assay intervals reported are core length and do not represent true widths (defined as being measured at right angles to the direction of extension of the sulphide body). The drill program verified the continuity of the high-grade core of the Lockerby depth zone to the 72 level as indicated by intercepts such as FNI63113 with 67.50 metres grading 1.49 per cent Ni and 1.26 per cent Cu including 18.60 metres of 3.01 per cent Ni and 0.88 per cent Cu; and FNI63125 with 35.40 metres grading 3.61 per cent Ni and 2.30 per cent Cu. All of the drill results from the Lockerby depth zone will be incorporated into an updated NI 43-101-compliant resource estimate to be completed in the fourth quarter 2007. Drilling of the Lockerby depth zone is continuing to delineate the deposit above the 72 level. Recent drilling has been focused on the western boundary of the Lockerby depth zone between 63 and 56 levels. Later this fall the drill will begin assessing the potential of the down-plunge extension of the deposit to approximately the 80 level. A second underground diamond drill rig will focus on targets adjacent to the previously mined areas of the Lockerby main zones. Drill platforms have been identified and the necessary rehabilitation and services work will be completed in November to facilitate this exploration program. The diamond drilling program was carried out under the supervision of First Nickel's chief mine geologist, Stephen Conquer, PGeo, a qualified person as defined by National Instrument 43-101. The information in this release was prepared under the direction of Paul Davis, PGeo, vice-president of exploration for First Nickel, a qualified person as defined by National Instrument 43-101. First Nickel follows a rigorous QA/QC protocol on all of its exploration projects. Whole drill core is sampled and sent to a commercial laboratory. Holes FNI6385 to FNI6391 were shipped to SGS Laboratories in Garson for preparation and specific gravity measurements and then shipped internally by SGS to Toronto for assay. Holes FNI6392 to FNI6396 were sent to Accurassay Laboratories in Lively for initial preparation; crusher fines are shipped to Thunder Bay. Final sample preparation (pulverization), assay analyses and specific gravity measurements are performed in the Accurassay Thunder Bay laboratory. Samples for sulphur analysis are shipped to International Plasma Laboratories Ltd. by Accurassay. A rigorous quality assurance/quality control program is employed that includes the insertion of certified standards and blanks for each batch of samples.