First Cobalt Commences Pre-Construction Activities

Receives $4.5 Million from Warrant Exercises

TORONTO, Jan. 26, 2021 - First Cobalt Corp. (TSXV: FCC) (OTCQX: FTSSF) (the "Company") is pleased to announce that it has commenced certain pre-construction activities, including advancing engineering and tendering associated with long lead order procurement.

Highlights

• $16 million in working capital, including $4.5 million in early warrant exercises and $9 million in net proceeds from the financing completed January 22
• In addition to the working capital position, the Company announced a $10 million investment by the Government of Canada and the Government of Ontario towards the refinery capital costs and an additional $4 million in immediate consideration will be received upon closing of a silver transaction announced in December 2020
• First Cobalt is commencing detailed engineering and procurement for long lead order equipment, notably the cobalt crystallizer as well as solvent extraction and filtering equipment
• Pilot plant testwork is ongoing to assess further improvements to the refinery flowsheet. Cobalt solvent extraction is scheduled to commence at the beginning of February and is expected to be completed by February 20
• The Company is negotiating an engineering, procurement, construction and management (EPCM) contract with Ausenco Engineering Canada Inc.

Trent Mell, President & Chief Executive Officer, commented:

"The commencement of pre-construction activities brings us one step closer to our vision of producing the world's most sustainable cobalt. Our strong treasury allows us to build a project team and commence procurement and detailed engineering while we complete a debt financing process. 2021 is all about execution."

First Cobalt has begun to assemble an owner's team for project execution to advance the refinery project while discussions for the debt component of the capital project continue to advance. Detailed engineering and procurement for long lead order equipment will allow the Company to remain on track with its project schedule.

First Cobalt's treasury continues to strengthen, with recent share price performance resulting in over $4.5 million in early warrant exercises. Certain officers and directors of the company voluntarily exercised warrants to bolster the Company's cash position. The Company's working capital stands at approximately $16 million with an additional $14 million expected to come from the government contributions to the project capital costs and the closing of a previously announced transaction with Kuya Silver.

About First Cobalt

First Cobalt owns North America's only permitted cobalt refinery. Cobalt refining is a critical component to the development and manufacturing of batteries for electric vehicles and forms a foundational piece of the next generation of the North American auto sector and other electrified consumer and industrial applications. First Cobalt owns the Iron Creek cobalt project in Idaho, USA and controls significant silver and cobalt assets in the Canadian Cobalt Camp, including more than 50 past producing mines.

On behalf of First Cobalt Corp.

Trent Mell
President & Chief Executive Officer

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.

Cautionary Note Regarding Forward-Looking Statements

This news release may contain forward-looking statements and forward-looking information (together, "forward-looking statements") within the meaning of applicable securities laws and the United States Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, are forward-looking statements. Generally, forward-looking statements can be identified by the use of terminology such as "plans", "expects', "estimates", "intends", "anticipates", "believes" or variations of such words, or statements that certain actions, events or results "may", "could", "would", "might", "occur" or "be achieved". Forward-looking statements involve risks, uncertainties and other factors that could cause actual results, performance and opportunities to differ materially from those implied by such forward-looking statements. Factors that could cause actual results to differ materially from these forward-looking statements are set forth in the management discussion and analysis and other disclosures of risk factors for First Cobalt, filed on SEDAR at www.sedar.com. Although First Cobalt believes that the information and assumptions used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed times frames or at all. Except where required by applicable law, First Cobalt disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

SOURCE First Cobalt Corp.