Independent Nickel Board of Directors Special Committee Appoints Paradigm Capital as Financial Advisor

Press Release

SUDBURY, ONTARIO–(MARKET WIRE)–Aug 22, 2008 — Independent Nickel Corp. (Toronto:INI.TO - News) (”Independent Nickel”) today announced that its Special Committee of Independent Directors (the “Special Committee”) has retained Paradigm Capital Inc. (”Paradigm Capital”) as its financial advisor in connection with Victory Nickel Inc.’s (”Victory”) unsolicited takeover bid announced on August 19, 2008 (the “Offer”). Under the terms of the Offer, Victory has offered to purchase all of the outstanding common shares of Independent Nickel, on the basis of one (1) Victory common share for each one (1) Independent Nickel common share.
Paradigm Capital will assist the Special Committee in evaluating the Offer, including the preparation and delivery to the Special Committee of an opinion as to the fairness of the Offer, from a financial point of view to Independent Nickel shareholders in accordance with applicable legal and regulatory requirements.

The Special Committee has oversight of the process of reviewing and responding to the Offer. Once in receipt of the opinion from Paradigm Capital, the Special Committee will evaluate and consider the adequacy of the Offer, as well as the full range of alternatives to maximize value for Independent Nickel shareholders, and make recommendations to the Board of Directors. The Board of Directors expects to make a formal recommendation to Independent Nickel shareholders regarding the Offer on or before September 3, 2008.

Until the Board of Directors provides a formal response to the Offer, Independent Nickel shareholders are advised to take no action with respect to the Offer.

About Paradigm Capital Inc.

Paradigm Capital Inc. is an independent institutional equity dealer offering full investment banking, advisory, research, sales and trading services. Paradigm Capital is focused on small to mid-cap sized companies in mining and metals, technology, industrial products, entertainment and the oil and gas sectors. Founded in 1999, Paradigm Capital is based in Toronto and Calgary.

About Independent Nickel Corp.

Independent Nickel owns 100% of the Lynn Lake Nickel Mine, located in Lynn Lake, Manitoba. The Company also owns a Net Smelter Return Royalty (”NSR”) on Victory Nickel Inc.’s Minago Nickel Property, also located in Northern Manitoba. The NSR pays the Company 3% of all mineral product value when nickel prices exceed US$6/lb.

This document may contain forward-looking statements relating to Independent Nickel Corp.’s (INI) operations or to the environment in which it operates. Such statements are based on operations, estimates, forecasts and projections. They are not guarantees of future performance and involve risks and uncertainties that are difficult to predict and may be beyond INI’s control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in forward-looking statements, including those set forth in other public filings. In addition, such statements relate to the date on which they are made. Consequently, undue reliance should not be placed on such forward-looking statements. INI disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, save and except as may be required by applicable securities laws.

Source: Independent Nickel Corp.