First Nickel Completes US$5 Million Bridge Loan Facility

TORONTO, ONTARIO, Sep 02 (MARKET WIRE) --
Further to First Nickel Inc.'s ("First Nickel" or the "Company") (TSX:
FNI) news release of August 30, 2010, the Company is pleased to announce
that it has completed its financing with Resource Capital Fund IV L.P.
("RCF IV") for a US$5 million bridge loan facility maturing on December
31, 2013 (the "Facility"). The full amount has been drawn down and will
be used to commence capital development activities at the Lockerby Mine,
including detailed engineering and commencement of activities to address
a number of bottleneck items to ensure a smooth start-up of the main
development program once full financing is arranged.

About RCF

RCF IV is one of several successive private equity funds with mandates to
make investments in mining companies and projects across a diversified
range of commodities and geographic regions. Since inception in 1998, the
Resource Capital Funds have invested in 80 companies with projects in 35
countries relating to in excess of 20 different commodities. The Funds
are long term investors that invest throughout the commodity cycle and
have facilitated the development of a number of junior and mid-tier
companies and assets that are recognized in the marketplace.

About First Nickel

First Nickel is a Canadian mining and exploration Company. Its current
activities are primarily focused on the Sudbury Basin in northern
Ontario, the location of the company's redevelopment stage property (the
Lockerby Mine) and two of its exploration properties. First Nickel also
has exploration properties in the Timmins region of northern Ontario and
the Belmont region of Eastern Ontario. First Nickel's shares are traded
on the TSX under the symbol FNI.

Contacts:
First Nickel Inc.
William Anderson
President & CEO
(416) 362-7050
(416) 362-9050 (FAX)
wanderson@firstnickel.com

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