20-F/A 1 g5532.htm
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 20-F/A
Amendment No. 1

o |  | REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934
OR |  |
¢ |  | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|  | For the fiscal year ended December 31, 2010
OR |  |
o |  | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
OR |  |
o |  | SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission file number: 000-14740
North American Nickel Inc. (formerly Widescope Resources Inc.)
(Exact name of Registrant as specified in its charter)
Province of British Columbia, Canada
(Jurisdiction of incorporation or organization)
#301 – 260 West Esplanade, North Vancouver, British Columbia, Canada V7M 3G7
(Address of principal executive offices)
Securities registered or to be registered pursuant to Section 12(b) of the Act.

Title of each class |  | Name of each exchange on which registered
None |  | None

Securities registered or to be registered pursuant to Section 12(g) of the Act. Common Shares, no par value
Securities for which there is a reporting obligation pursuant to Section 15(d) of the Act. None
Indicate the number of outstanding shares of each of the issuer’s classes of capital or common shares as of the close of the period covered by the annual report:
35,231,730 inclusive of the conversion of the outstanding Series 1 Convertible Preferred Shares
Indicate by check mark if the registrant is a well-known seasoned issuer. o Yes ¢ No
If this report is an annual or transition report, indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934. o Yes ¢ No
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ¢ Yes o No
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer.
o Large accelerated filer o Accelerated filer ¢ Non-accelerated filer
Indicate by check mark which financial statement item the registrant has elected to follow.
¢ Item 17 o Item 18
If this is an annual report, indicate by check mark whether the registrant is a shell company as defined in Rule 12b-2 of the Exchange Act. o Yes ¢ No
Unless otherwise indicated, all references herein are expressed in Canadian dollars and United States currency is stated as “U.S.$__________.”
THIS SUBMISSION SHOULD BE CONSIDERED IN CONJUNCTION WITH PREVIOUSLY FILED FORMS 20-F AND 6-K. THE AUDITED FINANCIAL STATEMENTS AND NOTES THERETO ATTACHED ARE AN INTEGRAL PART OF THIS SUBMISSION.

ITEM 1. IDENTITY OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS
Not required
ITEM 2. OFFER STATISTICS AND EXPECTED TIMETABLE
Not required
ITEM 3. KEY INFORMATION

A. | Selected financial data.

The following selected financial data has been extracted from the consolidated financial statements for the last five years prepared pursuant to Canadian generally accepted accounting principles (“GAAP”). Where material differences exist between Canadian and US GAAP, corresponding comparison data has been provided in US GAAP for clarity.
North American Nickel Inc. (formerly Widescope Resources Inc.) (the “Company”) was incorporated on September 23, 1983. The Company changed its name from Widescope Resources Inc. to North American Nickel Inc. effective April 19, 2010. The Company’s principal business activity is the exploration of natural resource properties.
Effective April 19, 2010 the Company’s shareholders approved a special resolution to reorganize the Company’s capital structure by consolidating in a reverse stock split the existing common shares on the basis of each two (2) old shares being equal to one (1) new share and concurrently increasing the authorized capital of the Company from 100,000,000 common shares without par value to an unlimited number of common shares without par value. All references to common shares, stock options, warrants and weighted average number of shares outstanding in this Form 20-F retroactively reflect the share consolidation unless otherwise noted. The net effect of the above was to reduce the existing outstanding common shares from 10,883,452 to 5,441,730.
North American Nickel Inc.
(formerly Widescope Resources Inc.)
Selected Financial Data in accordance with United States GAAP
(Expressed in Canadian Dollars)

|  | Years Ended December 31 |
|  | 2010 |  |  | 2009 |  |  | 2008 |  |  | 2007 |  |  | 2006 |
Net operating revenues |  | $ | 0 |  |  |  | 0 |  |  |  | 0 |  |  |  | 0 |  |  |  | 9,689 |
Loss from continued operations |  | $ | 0 |  |  |  | (35,773 | ) |  |  | (59,776 | ) |  |  | (56,820 | ) |  |  | (370,305 | )
Income from discontinued operations |  | $ | N/a |  |  |  | N/a |  |  |  | N/a |  |  |  | N/a |  |  |  | N/a |
Net loss |  | $ | (693,318 | ) |  |  | (117,645 | ) |  |  | (205,221 | ) |  |  | (56,820 | ) |  |  | (370,350 | )
Comprehensive loss |  | $ | (717,843 | ) |  |  | (93,120 | ) |  |  | (205,221 | ) |  |  | (56,820 | ) |  |  | (370,350 | )

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Loss per share from continued operations |  | $ | (0.04 | ) |  |  | (0.02 | ) |  |  | (0.04 | ) |  |  | (0.01 | ) |  |  | (0.03 | )
Income per share from discontinued operations |  | $ | N/a |  |  |  | N/a |  |  |  | N/a |  |  |  | N/a |  |  |  | N/a |
Income per share after discontinued operations |  | $ | N/a |  |  |  | N/a |  |  |  | N/a |  |  |  | N/a |  |  |  | N/a |
Share capital |  | $ | 15,310,333 |  |  |  | 13,649,333 |  |  |  | 13,649,333 |  |  |  | 13,649,333 |  |  |  | 13,649,333 |
Common shares issued |  |  | 35,231,730 |  |  |  | 5,441,730 |  |  |  | 5,441,730 |  |  |  | 5,441,730 |  |  |  | 5,441,730 |
Weighted average shares outstanding |  |  | 19,941,566 |  |  |  | 5,441,730 |  |  |  | 5,441,730 |  |  |  | 5,441,730 |  |  |  | 5,191,726 |
Total assets |  | $ | 1,186,192 |  |  |  | 153,074 |  |  |  | 46,312 |  |  |  | 74,339 |  |  |  | 110,607 |
Net assets (liabilities) |  | $ | 1,036,301 |  |  |  | (75,148 | ) |  |  | (106,684 | ) |  |  | (104,642 | ) |  |  | (44,086 | )
Convertible debentures(current and long term portions) |  | $ | N/a |  |  |  | N/a |  |  |  | N/a |  |  |  | N/a |  |  |  | N/a |
Cash dividends declared per common share |  | $ | 0 |  |  |  | 0 |  |  |  | 0 |  |  |  | 0 |  |  |  | 0 |
Exchange rates (Cdn$ to U.S.$) period average |  | $ | .9709 |  |  |  | 0.8757 |  |  |  | 0.9371 |  |  |  | 0.9304 |  |  |  | 0.8818 |
Exchange rates (CDN$ to U.S.$) for most recent six months |  | Period High |  |  | Period Low |  |  |  |  |  |  |  |  |  |  |  |  |
October 2010 |  | $ | 0.9970 |  |  |  | 0.9690 |  |  |  |  |  |  |  |  |  |  |  |  |
November 2010 |  | $ | 0.9987 |  |  |  | 0.9743 |  |  |  |  |  |  |  |  |  |  |  |  |
December 2010 |  | $ | 1.0054 |  |  |  | 0.9825 |  |  |  |  |  |  |  |  |  |  |  |  |
January 2011 |  | $ | 1.0138 |  |  |  | 0.9978 |  |  |  |  |  |  |  |  |  |  |  |  |
February 2011 |  | $ | 1.0268 |  |  |  | 1.0045 |  |  |  |  |  |  |  |  |  |  |  |  |
March 2011 |  | $ | 1.0026 |  |  |  | 1.0340 |  |  |  |  |  |  |  |  |  |  |  |  |
Exchange rate (CDN$ to U.S.$) April 19, 2011 |  | $ | 1.0319 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |

B. Not required
C. Not required

D. | Risk factors.

The business of the Company entails significant risks, and an investment in the securities of the Company should be considered highly speculative. An investment in the securities of the Company should only be undertaken by persons who have sufficient financial resources to enable them to assume such risks. The following is a general description of all material risks, which can adversely affect the business and in turn the financial results, ultimately affecting the value of an investment the Company.
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The Company has no viable commercial business.
Having no viable business it is difficult to determine a price for the common shares. That price must therefore be dependent on the value that each individual buyer and seller place on the future prospects of the company, rather than any objective measurement. This is a very risk position for shareholders, as the majority perception may turn negative and price decline severely.
The Company has limited funds.
Funds are the fuel needed to drive the company. Should current funds be consumed, and the company not be able to attract more capital, prospects for shareholders would become extremely negative, and shareholder losses will inevitably occur.
There is no assurance that the Company can access additional capital.
The company will need to demonstrate performance in order to attract additional capital. As the mineral exploration business has a high element of chance associated with it, it is possible that none of the current properties will have any value. The capital markets could perceive this to be a demonstration of poor performance, and be unwilling to provide additional funds. Should this happen, shareholders will incur significant losses.
There is no assurance that the transactions disclosed herein will be successful in its quest to find a commercially viable quantity of mineral resources.
Unless the Company is able to secure other more viable projects, providing better future prospects, buyer interest for common shares will decline severely, resulting in lower prices and significant shareholder losses.
There is no assurance that other prospective mineral properties or other assets can be acquired, and if acquired that the necessary additional capital can be attracted.
Either of these is possible. Either occurring will have the same inevitable outcome. Demand for the common shares will decline severely, resulting in a drop in trading price, and significant shareholder losses.
The Company has a history of operating losses and may have operating losses and a negative cash flow in the future.
This will mean that additional shares will need to be sold to fund operations. Without a concurrent improvement in future prospects, this will result in supply of stock exceeding demand, and much lower prices. This will cause shareholders to lose money.
The Company’s auditors have indicated that U.S. reporting standards would require them to raise a concern about the company’s ability to continue as a going concern.
Additional capital will need to be raised. This could result in the perception of lowered future prospects, lower demand for the Company’s common share, lower stock prices, and shareholder losses.
There can be no assurance that a liquid market will develop for the Company’s shares and therefore no assurance that shareholders will be able to sell their shares.
Lack of liquidity that prevents shareholders from selling, or limits their abilities to sell, will all too likely lead to significant losses for shareholders.
Management has little expertise in mining , which may ultimately cause shareholders to lose money.
Management may waste the Company’s limited capital on worthless properties, or it may do the wrong things with properties that could have value. Either way, the outcome will be the same. Money will have been wasted without any corresponding creation of value. This will cause shareholders to lose patience and lose interest. This could lead to significantly increased selling of shares, driving down the price, and leading to losses for investors.
The Company’s common stock is thinly traded so it is more susceptible to extreme rises or declines in price, and you may not be able to sell your shares at or above the price paid.
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You may have difficulty reselling shares of our common stock, either at or above the price paid, or even at fair market value. The stock market often experiences significant price and volume changes that are not related to the operating performance of individual companies, and because our common stock is thinly traded it is particularly susceptible to such changes. These broad market changes may cause the market price of our common shares to decline, regardless of how well the company performs. This may be exaggerated by the fact that the shares trade on the over-the-counter bulletin board (“OTCBB”), which is owned and operated by the Financial Industry Regulatory Authority (“FINRA”). Trading on the OTCBB is often extremely sporadic, and subject to manipulation by market-makers, and short sellers. This may cause you to lose money as you may have difficulty selling the shares that you own.
The Company’s common stock is subject to the “penny stock” regulations, which are likely to make it more difficult to sell.
A “penny stock” is generally a stock trading under $5.00 per share, and not registered on a national securities exchange or quoted on the NASDAQ national market. The SEC has adopted rules that regulate broker-dealer practices in connection with transactions in penny stocks. These rules, intended to protect investors, generally have the result of reducing trading in such stocks, restricting the pool of potential investors, and making it more difficult for investors to sell their shares once acquired. Since our common shares are subject to the “penny stock” rules, you may find it more difficult to sell your shares.
As a foreign issuer, the Company is exempt from certain informational requirements of the Exchange Act to which domestic issuers are subject.
As a foreign issuer we are not required to comply with all of the informational requirements of the Exchange Act. As a result, there may be less information concerning our company publicly available than if we were a domestic United States issuer. In addition, our officers, directors, and principal shareholders are exempt from the reporting and short profit provisions of Section 16 of the Exchange Act, and the rules promulgated thereunder. Therefore, our shareholders may not know on a timely basis when our officers, directors, and principal shareholders purchase or sell shares of our common stock.
As a Canadian company with most assets and key personnel located outside the United States, you may have difficulty in acquiring United States jurisdiction, or enforcing a United States judgment against us, our key personnel, or assets.
As a Canadian company many of our assets and key personnel, including directors and officers, reside outside the United States. As a result, it may be difficult or impossible for you to effect service of process within the United States upon us or any of our key personnel or to enforce against us or any of our key personnel judgments obtained in United States’ courts, including judgments relating to United States federal securities laws. Canadian courts may not permit you to bring an original action in Canada, or recognize or enforce judgments of United States courts obtained against us predicated upon the civil liability provisions of federal securities laws of the United States, or of any state thereof. Furthermore, because many of our assets are located in Canada, it would be extremely difficult to access these assets to satisfy any award entered against us in a United States court. Accordingly, you may have more difficulty in protecting your interests in the face of actions taken by our management, members of our board of directors, or our controlling shareholders than you would otherwise as shareholders of a United States public company.
The Company does not intend to pay any common stock dividends in the foreseeable future.
We have never declared or paid a dividend on our common stock, and, because we have very limited resources, we do not anticipate declaring or paying any dividends in the foreseeable future. It is unlikely that the holders of our common shares will have an opportunity to profit from anything other than potential appreciation in the value of our common shares. If you require dividend income, you should not rely in an investment in our common shares to provide it.
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Future issuances of common stock may depress stock prices and dilute your interest.
We may issue additional shares of our common stock in future financings, or grant stock options to our employees, officers, directors, and consultants under our stock incentive plan. Any such issuances could have the effect of depressing the market price of our common stock, and, in any case, would dilute the percentage ownership interests in our company of our shareholders. In addition we could issue securities having rights, preferences and privileges senior to those of our common shares. This could depress the value of our common shares.
ITEM 4. INFORMATION ON THE COMPANY
A. History and development of the Company.
The Company was incorporated under the laws of the Province of British Columbia, Canada, by filing of Memorandum and Articles of Association on September 20, 1983, under the name Rainbow Resources Ltd. The Company’s name was changed to Widescope Resources Ltd. on May 1, 1984, and to Gemini Technology Inc. on September 17, 1985. In conjunction with a reverse split of its common shares on a five-old for one-new basis, the Company adopted the name International Gemini Technology Inc effective September 23, 1993. The Company’s name was changed to Widescope Resources Inc., effective July 12, 2006. Effective April 19, 2010 the Company’s shareholders approved a special resolution to reorganize the Company’s capital structure by consolidating in a reverse stock split the existing common shares on the basis of each two (2) old shares being equal to one (1) new share and concurrently increasing the authorized capital of the Company from 100,000,000 common shares without par value to an unlimited number of common shares without par value. Also effective this date the Company’s name was changed to North American Nickel Inc. to reflect its new focus. All references to common shares, stock options, warrants and weighted average number of shares outstanding in accompanying financial statements retroactively reflect the share consolidation unless otherwise noted. The Company is currently in good standing under the laws of British Columbia. The registered and records office of the Company are located at #1750 - 1185 West Georgia Street, Vancouver, B.C. Canada V6E 4E6 and the Company’s principal executive offices are located at #301 – 260 West Esplanade, North Vancouver, BC, V7M 3G7, telephone (604) 986-2020.
In April 2010 the Company initiated a series of actions to realign its focus into the field of nickel exploration in the prolific nickel belts around Sudbury, Ontario and Thompson Manitoba. These actions were reported in a news release dated April 6, 2010.

B. | Business overview

In April 2005 the Company entered into a subscription agreement to invest $200,000 into Outback Capital Inc. dba Pinefalls Gold (“PFG”) a private Alberta company with certain directors and a principal shareholder of PFG in common with the Company.
In conjunction with the April 2010 refocusing of the Company on nickel exploration, as of April 23, 2010 the Company entered into an agreement with an independent third party that resulted in divesting its interest in Outback Capital Inc., and its remaining interest in the Rice Lake properties. The sale was completed as of May 31, 2010, and the proceeds from the sale were $52,606.
In conducting its business operations, the Company is not dependent on any patented or license processes, technology, industrial, commercial or financial contract or new manufacturing processes.
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The Company competes with other exploration companies, some of which have greater financial resources and technical facilities, for the acquisition of mineral interests, as well as for the recruitment and retention of qualified employees. Exploration in Manitoba has experienced a dramatic revival in recent years and increased activity is forecast for the future. We compete for qualified employees with other Canadian companies, including Harvest Gold Corp., Grandview Gold Inc., and San Gold Corp. amongst others.
With the dramatic and possibly unprecedented contraction of global financial markets experienced in 2008, a tidal wave of qualified people became available. Suddenly, capital became unavailable. Exploration companies everywhere reduced overhead.
Access to capital eased marginally toward the latter part of 2009 and beyond. More capital became available, and enthusiasm for mining projects increased at much the same time. The latter, because of expectations of increased inflation, brought increased demand for precious metals and because of the expectation of an increasing demand for base metals from Asia.
To focus on the expected increased demand for base metals, the Company has entered into agreements to acquire rights to four properties in the Sudbury Ontario nickel belt, and one agreement to acquire 100% ownership of another property in the area of the Thompson Manitoba nickel belt. As part of this change in focus, the Company has entered into an arms length agreement to divest its interest in Outback Capital Inc., and through this, its interest in the Pine Falls Manitoba gold properties.
The Company arranged two non-brokered private placements to finance working capital and the first exploration work at Post Creek and Bell Lake in the Sudbury nickel belt. It has also attracted four new directors, each with significant experience in mineral exploration, to replace three previous directors, and add one additional director.

C. | Organizational structure.

The Company is part of no other group. During the year ended June 30, 2006 Outback Capital Inc. dba Pinefalls Gold (“PFG”) a private Alberta corporation became a majority-owned subsidiary of the Company. PFG was incorporated under the Alberta Business Corporations Act on February 6, 2001. During the year, the Company entered into an agreement with an arms length entity that resulted in it divesting of its interest in Outback Capital Inc.

D. | Property, plants and equipment.

The Company’s head office and principal facility, which is leased, is located at 260 West Esplanade, North Vancouver.
The Company has entered into four agreements to acquire rights to the Post Creek, Bell Lake, Woods Creek and Halcyon properties in the Sudbury, Ontario nickel belt; and an agreement to acquire up to a 100% ownership of the high-grade Ni-Cu-PGE South Bay property near Thompson and the large grassroots Thompson North and Cedar Lake properties, which are part of the world-class Thompson Nickel Belt. The company has also acquired a large Ni-Cu-PGE land package in Greenland. A figure showing the location of all of the company’s properties are displayed below.
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Sudbury nickel properties:
The Sudbury properties currently being explored by North American Nickel are exploration properties without mineral reserves. All properties can be readily accessed by paved and/or all-weather gravel roads and have access to water and diesel-power for exploration purposes. The total ore mined to date in Sudbury is 1.7 billion tons with 40 billion lbs of nickel, 36 billion lbs of copper, 70 million ounces of platinum, palladium and gold and 283 million ounces of silver. The Sudbury properties have many of the unique geologic characteristics of the Sudbury Basin. An example is the Post Creek property which has been shown through results of recent exploration to be situated on the same geologic structure as the currently producing Podolsky copper-nickel-PGM mine. However the economic mineralization currently being mined at Podolsky may not necessarily be present on the Post Creek property. A similar situation exists on both the Bell Lake and Woods Creek properties. The Bell Lake property occurs along a geologic structure (the Worthington Offset) that hosts many past- and soon to be producing copper-nickel-PGM mines. The Woods Creek property has strong geological similarities to the currently producing Shakespeare copper-nickel-cobalt-PGM mine that occurs 15 km to the southwest. The presence of economic mineralization cannot be guaranteed on either of the Woods Creek or Bell Lake properties.
Post Creek (Bedrock-hosted Mineral Exploration Claims): The property is located 35 km east of Sudbury in Norman and Parkin townships and consists of 35 contiguous unpatented mining claims and one isolated claim covering an area of 688 hectares. The center of the property occurs at UTM coordinates 510217m E, 5182584m N (NAD83 UTM Zone 17N. It is strategically located adjacent to the producing Podolsky copper-nickel-platinum group metal deposit of FNX Mining. The property lies along the extension of the Whistle Offset Dyke Structure which is a major geological control for Ni-Cu-PGM mineralization. This structure hosted the former INCO Whistle Offset copper-nickel-PGM Mine (past production of 5.7 million tons grading 0.33% Cu, 0.95% Ni and 3.77 grams/tonne total platinum metals as well as the Podolsky North and Podolsky 2000 copper-precious metal deposits. Previous operators located the extension of the Whistle Offset Dyke structure on the Post Creek property as a direct result of their geological, geophysical and Mobile Metal Ion soil geochemical surveys. Drilling on this structure intersected a 0.66 m near solid to solid sulphide zone with 0.48% copper, 0.08% nickel, 0.054 grams/tonne palladium, 0.034 grams/tonne
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platinum and 0.020 grams/tonne gold. A rock sample collected along the structure assayed 0.83% Ni, 0.74% Cu, 0.07% Co, 2.24 grams/tonne Pt and 1.05 grams/tonne Pd. Significant potential for nickel-copper-PGM is demonstrated on the Post Creek property. Recent exploration has documented the presence of a previously unrecognized zone of brecciated rocks with quartz diorite and partial melt fragments and disseminated pyrrhotite, chalcopyrite and lesser pyrite. A ground geophysical survey and diamond drill program has recently been completed. Assay results are pending.
A NI 43-101 compliant Technical Report has been commissioned, with Dr. Walter Peredery, formerly of INCO, as the author and subsequently accepted by the Securities Commission.
An option Agreement dated April 5, 2010 was struck between John and Marie Brady and Widescope Resources Inc., now known as North American Nickel Inc. pursuant to a corporate name change dated April 19, 2010. North American Nickel can earn 100% interest in the property by making the option payments, issuing shares and making the required Work Expenditures as set out in the option agreement.
Upon completion of the Option Agreement the property will be transferred to North American Nickel and Beilhartz will retain a 2.5% NSR. 33 claims encompass an area of approximately 624 hectares and are held by John Gregory Brady; one claim is held by North American Nickel. Work commitments on the claims are set out at $400.00 per unit (16 hectares) per year and are due to the Ontario Ministry of Development and Mines. Field work is completed and compiled, along with a statement of expenditures, and filed with the Ontario Ministry of Development and Mines by North American Nickel employees.
The required work commitments are submitted to the Ontario Ministry of Development and Mines, on a form supplied by the Ministry. Provided John Brady gives authorization to Janelle Toffan of Ens Land Management (contracted by North American Nickel to manage lands) to act as agent on his behalf, Ens Land Management will submit the annual renewal on or before the claims Annual Anniversary dates. If authorization is not given then John Brady will make the submission. Expenditures, filed in excess of the annual work commitment, are banked and can be used towards future work requirements.
A claims list and a location map for the property are given below.
POST CREEK OPTION (Ni)
ONTARIO
HOLDER: John Gregory Brady / North American Nickel

Disposition Type |  | Disposition No |  | Township |  | Hectares |  | Recording Date |  | Anniversary Date
HOLDER: |  | John Gregory Brady |  |  |  |  |  |
Claim |  | 1094824 |  | NORMAN |  | 16 |  | Apr 24, 1990 |  | Apr 24, 2015
Claim |  | 1094825 |  | NORMAN |  | 16 |  | Apr 24, 1990 |  | Apr 24, 2015
Claim |  | 1094826 |  | NORMAN |  | 16 |  | Apr 24, 1990 |  | Apr 24, 2015
Claim |  | 1094834 |  | NORMAN |  | 16 |  | Apr 24, 1990 |  | Apr 24, 2015
Claim |  | 1094835 |  | NORMAN |  | 16 |  | Apr 24, 1990 |  | Apr 24, 2015
Claim |  | 1117878 |  | NORMAN |  | 16 |  | Jan 25, 1991 |  | Jan 25, 2015
Claim |  | 1117879 |  | NORMAN |  | 16 |  | Jan 25, 1991 |  | Jan 25, 2015

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Claim |  | 1117880 |  | NORMAN |  | 16 |  | Jan 25, 1991 |  | Jan 25, 2015
Claim |  | 1117881 |  | NORMAN |  | 16 |  | Jan 25, 1991 |  | Jan 25, 2015
Claim |  | 1117882 |  | NORMAN |  | 16 |  | Jan 25, 1991 |  | Jan 25, 2015
Claim |  | 1198500 |  | NORMAN |  | 16 |  | Jun 27, 1995 |  | Jun 27, 2015
Claim |  | 1222817 |  | NORMAN |  | 64 |  | Mar 13, 1997 |  | Mar 13, 2015
Claim |  | 1222896 |  | NORMAN |  | 16 |  | Mar 13, 1997 |  | Mar 13, 2015
Claim |  | 1222897 |  | NORMAN |  | 16 |  | Mar 13, 1997 |  | Mar 13, 2015
Claim |  | 854182 |  | NORMAN |  | 16 |  | Aug 19, 1985 |  | Aug 19, 2015
Claim |  | 854183 |  | NORMAN |  | 16 |  | Aug 19, 1985 |  | Aug 19, 2015
Claim |  | 854184 |  | NORMAN |  | 16 |  | Aug 19, 1985 |  | Aug 19, 2015
Claim |  | 854185 |  | NORMAN |  | 16 |  | Aug 19, 1985 |  | Aug 19, 2015
Claim |  | 854186 |  | NORMAN |  | 16 |  | Aug 19, 1985 |  | Aug 19, 2015
Claim |  | 854571 |  | PARKIN |  | 16 |  | Nov 25, 1985 |  | Nov 25, 2015
Claim |  | 854572 |  | PARKIN |  | 16 |  | Nov 25, 1985 |  | Nov 25, 2015
Claim |  | 854573 |  | NORMAN |  | 16 |  | Nov 25, 1985 |  | Nov 25, 2014
Claim |  | 854574 |  | PARKIN |  | 16 |  | Nov 25, 1985 |  | Nov 25, 2015
Claim |  | 864654 |  | NORMAN |  | 16 |  | Nov 25, 1985 |  | Nov 25, 2015
Claim |  | 864655 |  | NORMAN |  | 16 |  | Nov 25, 1985 |  | Nov 25, 2015
Claim |  | 864656 |  | NORMAN |  | 16 |  | Nov 25, 1985 |  | Nov 25, 2015
Claim |  | 894711 |  | NORMAN |  | 16 |  | May 08, 1986 |  | May 08, 2015
Claim |  | 894712 |  | NORMAN |  | 16 |  | May 08, 1986 |  | May 08, 2015
Claim |  | 894713 |  | NORMAN |  | 16 |  | May 08, 1986 |  | May 08, 2015
Claim |  | 894746 |  | NORMAN |  | 16 |  | May 08, 1986 |  | May 08, 2015
Claim |  | 894747 |  | NORMAN |  | 16 |  | May 08, 1986 |  | May 08, 2015
Claim |  | 894748 |  | NORMAN |  | 16 |  | May 08, 1986 |  | May 08, 2015
Total: 32 |  |  |  |  |  | 560 |  |  |  |
HOLDER: |  | North American Nickel |  |  |  |  |  |
Claim |  | 4267494 |  | PARKIN |  | 64 |  | Aug 07, 2011 |  | Aug 17, 2013
Total: 1 |  |  |  |  |  | 64 |  |  |  |
Total ALL: 33 |  |  |  |  |  | 624 |  |  |  |

10

Bell Lake (Bedrock-Hosted Mineral Exploration Patented Claim): The Bell Lake property is a 256 acre property that covers approximately 1 km of the Mystery Offset Dyke or “MOD”. The MOD is interpreted to be an extension of the Worthington Offset Dyke which is a 10-11 km long mineralized structure that extends from the southwest margin of the Sudbury Igneous Complex. Offset Dyke environments are significant hosts to nickel-copper-PGM mineralization in the Sudbury Basin. The Worthington Offset Dyke hosts the past producing Worthington Mine and the Victoria Mine with past production of 1.5 million tons of 2.2% copper, 1.5% nickel and 2.3 grams/tonne total precious metals. Crowflight Minerals AER-Kidd property also occurs within the Worthington Offset. The Bell Lake property is marked by surface exposures of disseminated to near-solid nickel-copper sulphide mineralization with PGM values. The Mystery Offset Dyke offers excellent exploration potential for the discovery of additional nickel-copper-PGM mineralization. Deep-looking ground geophysical surveys on a freshly-cut grid have been commissioned. A diamond drill program will test the property after geological mapping and geophysical surveys have been undertaken.
11

Property Option Agreement dated April 5, 2010 between David Beilhartz and Widescope Resources Inc., now known as North American Nickel Inc. pursuant to a corporate name change dated April 19, 2010. North American Nickel can earn 100% interest in the property by making the option payments and issuing shares as set out in the option agreement. Upon completion of the Option Agreement the property will be transferred to North American Nickel and Beilhartz will retain a 2.5% NSR. One Patent is held by David Beilhartz. There is an annual Mining Land Tax due on the property which Mr. Beilhartz pays then invoices North American Nickel for the cost. The Patent encompasses an area of approximately 102 hectares.
A property list and a location map are given below.
BELL LAKE OPTION (Ni)
ONTARIO
HOLDER: David Beilhartz

Disposition Type |  | Disposition No |  | Township |  | Hectares |  | Anniversary Date
Patent |  | LOT 11, CON 5 |  | LORNE |  | 102.39 |  | Jan 25, 2012
Total: 1 |  |  |  |  |  | 102.39 |  |

12

Halcyon (Bedrock-Hosted Mineral Exploration Claims): The property is located 35 Km NNE of Sudbury in the SE corner of Parkin Twp, and consists of 46 unpatented mining claims. Halcyon is adjacent to the Post Creek property and contains the extension of the metallogenetically significant Whistle Offset Structure. It is approximately 2 km north of the producing Podolsky Mine of FNX Mining. Previous operators on the property defined numerous conductive zones based on induced polarization (I.P.) surveys with coincident anomalous soil geochemistry. Base and precious metal mineralization have been found in multiple locations on the property but follow-up work was never done. The former producing Jon Smith Mine (nickel-copper-cobalt-platinum) is situated 1 km north of the property.
Option Agreement dated April 5, 2010 between John and Marie Brady and Widescope Resources Inc., now known as North American Nickel Inc. pursuant to a corporate name change dated April 19, 2010. North American Nickel can earn 100% interest in the property by making the option payments, issuing shares and making the required Work Expenditures as set out in the option agreement.
13

Upon completion of the Option Agreement the property will be transferred to North American Nickel and Beilhartz will retain a 2.5% NSR. The claims are held by John Gregory Brady. Work commitments on the claims are set out at $400.00 per unit (16 hectares) per year and are due to the Ontario Ministry of Development and Mines.
Field work is completed and compiled, along with a statement of expenditures, and filed with the Ontario Ministry of Development and Mines by North American Nickel employees. The required work commitments are submitted to the Ontario Ministry of Development and Mines, on a form supplied by the Ministry. Provided John Brady gives authorization to Janelle Toffan of Ens Land Management (contracted by North American Nickel to manage lands) to act as agent on his behalf, Ens Land Management will submit the annual renewal on or before the claims Annual Anniversary dates. If authorization is not given then John Brady will make the submission. Expenditures, filed in excess of the annual work commitment, are banked and can be used towards future work requirements.
The property consists of 53 claims which encompass an area of approximately 864 hectares.
A property claims list and a location map are given below.
HALCYON OPTION (Ni)
ONTARIO
HOLDER: John Gregory Brady

Disposition Type |  | Disposition No |  | Township |  | Hectares |  | Recording Date |  | Anniversary Date
Claim |  | 1043484 |  | AYLMER |  | 16.00 |  | Jan 16, 1989 |  | Jan 16, 2012
Claim |  | 1043485 |  | AYLMER |  | 16.00 |  | Jan 16, 1989 |  | Jan 16, 2012
Claim |  | 1043486 |  | AYLMER |  | 16.00 |  | Jan 16, 1989 |  | Jan 16, 2012
Claim |  | 1043487 |  | AYLMER |  | 16.00 |  | Jan 16, 1989 |  | Jan 16, 2012
Claim |  | 1043488 |  | AYLMER |  | 16.00 |  | Jan 16, 1989 |  | Jan 16, 2012
Claim |  | 1043489 |  | AYLMER |  | 16.00 |  | Jan 16, 1989 |  | Jan 16, 2012
Claim |  | 1043490 |  | AYLMER |  | 16.00 |  | Jan 16, 1989 |  | Jan 16, 2012
Claim |  | 1043491 |  | AYLMER |  | 16.00 |  | Jan 16, 1989 |  | Jan 16, 2012
Claim |  | 1117883 |  | PARKIN |  | 16.00 |  | Jan 25, 1991 |  | Jan 25, 2012
Claim |  | 1117884 |  | PARKIN |  | 16.00 |  | Jan 25, 1991 |  | Jan 25, 2012
Claim |  | 1013217 |  | PARKIN |  | 16.00 |  | Jan 26, 1989 |  | Jan 26, 2012
Claim |  | 1013393 |  | PARKIN |  | 16.00 |  | Jan 26, 1989 |  | Jan 26, 2012
Claim |  | 1013395 |  | PARKIN |  | 16.00 |  | Jan 26, 1989 |  | Jan 26, 2012
Claim |  | 1013396 |  | PARKIN |  | 16.00 |  | Jan 26, 1989 |  | Jan 26, 2012
Claim |  | 1043292 |  | PARKIN |  | 16.00 |  | Jan 26, 1989 |  | Jan 26, 2012
Claim |  | 1043293 |  | PARKIN |  | 16.00 |  | Jan 26, 1989 |  | Jan 26, 2012
Claim |  | 1043294 |  | PARKIN |  | 16.00 |  | Jan 26, 1989 |  | Jan 26, 2012
Claim |  | 1043295 |  | PARKIN |  | 16.00 |  | Jan 26, 1989 |  | Jan 26, 2012
Claim |  | 1043296 |  | PARKIN |  | 16.00 |  | Jan 26, 1989 |  | Jan 26, 2012
Claim |  | 1043297 |  | PARKIN |  | 16.00 |  | Jan 26, 1989 |  | Jan 26, 2012
Claim |  | 1043492 |  | PARKIN |  | 16.00 |  | Jan 26, 1989 |  | Jan 26, 2012
Claim |  | 1043493 |  | PARKIN |  | 16.00 |  | Jan 26, 1989 |  | Jan 26, 2012
Claim |  | 1043497 |  | PARKIN |  | 16.00 |  | Jan 30, 1989 |  | Jan 30, 2012
Claim |  | 1043498 |  | PARKIN |  | 16.00 |  | Jan 30, 1989 |  | Jan 30, 2012
Claim |  | 648539 |  | PARKIN |  | 16.00 |  | Mar 04, 1983 |  | Mar 04, 2012
Claim |  | 648540 |  | PARKIN |  | 16.00 |  | Mar 04, 1983 |  | Mar 04, 2012

14

Claim |  | 648547 |  | PARKIN |  | 16.00 |  | Mar 04, 1983 |  | Mar 04, 2012
Claim |  | 648548 |  | PARKIN |  | 16.00 |  | Mar 04, 1983 |  | Mar 04, 2012
Claim |  | 648699 |  | PARKIN |  | 16.00 |  | Mar 04, 1983 |  | Mar 04, 2012
Claim |  | 648700 |  | PARKIN |  | 16.00 |  | Mar 04, 1983 |  | Mar 04, 2012
Claim |  | 682108 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 682109 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 682110 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 682111 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 682112 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 682113 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 682278 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 682279 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 682280 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 682281 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 682282 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 682283 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 682284 |  | PARKIN |  | 16.00 |  | Mar 14, 1983 |  | Mar 14, 2012
Claim |  | 1211386 |  | PARKIN |  | 32.00 |  | May 27, 1996 |  | May 27, 2012
Claim |  | 894924 |  | PARKIN |  | 16.00 |  | Jun 12, 1986 |  | Jun 12, 2012
Claim |  | 894925 |  | PARKIN |  | 16.00 |  | Jun 12, 1986 |  | Jun 12, 2012
Claim |  | 1042958 |  | PARKIN |  | 16.00 |  | Dec 12, 1988 |  | Dec 12, 2012
Claim |  | 1042959 |  | PARKIN |  | 16.00 |  | Dec 12, 1988 |  | Dec 12, 2012
Claim |  | 1042960 |  | PARKIN |  | 16.00 |  | Dec 12, 1988 |  | Dec 12, 2012
Claim |  | 994723 |  | PARKIN |  | 16.00 |  | Dec 23, 1987 |  | Dec 23, 2012
Claim |  | 994724 |  | PARKIN |  | 16.00 |  | Dec 23, 1987 |  | Dec 23, 2012
Claim |  | 994725 |  | PARKIN |  | 16.00 |  | Dec 23, 1987 |  | Dec 23, 2012
Claim |  | 994726 |  | PARKIN |  | 16.00 |  | Dec 23, 1987 |  | Dec 23, 2012
Total: 53 |  |  |  |  |  | 864.00 |  |  |  |

15

Woods Creek (Bedrock-Hosted Mineral Exploration Claims): The Woods Creek claim block is located in Hyman Township about 50 km west of Sudbury and comprises eight contiguous unpatented mining claims covering 1,264 hectares The target on the property is disseminated to near-solid nickel-copper-cobalt-PGM mineralization hosted within Nipissing Diabase dykes that cover 50% of the property.
Previous operators defined a number of mineralized zones on the Woods Creek property, but little follow-up exploration was undertaken. The Main Zone prospect is a zone of 10-40% pyrrhotite-chalcopyrite mineralization that assayed 1.22% Cu, 0.95% Ni, 0.354 grams/tonne combined Pt and Pd and 0.136 grams/tonne Au from an outcrop reconnaissance chip sample of approximately 2 kg. Diamond drilling on this zone intersected a 6.5 m section of gabbro with pyrrhotite and chalcopyrite that assayed up to 1.09% Ni, 0.37% Cu, 0.301 grams/tonne combined Pt and Pd and 0.11% Co. The Ravenshill prospect was discovered in 2005 as a result of geological mapping and prospecting. It comprises near solid pyrrhotite and chalcopyrite in brecciated gabbro with an assay of a representative reconnaissance chip sample returning 0.66% Ni, 0.90% Cu, 0.09% Co, 0.068 grams/tonne Pt, 0.227 grams/tonne Pd and 0.046 grams/tonne Au.
16

Exploration to date has documented the presence of previously unrecognized disseminated to solid sulphide pyrrhotite and chalcopyrite subsequent to magnetic geophysical surveys, mechanical excavator stripping and sampling of mineralization.
Option Agreement dated April 5, 2010 between John and Marie Brady, David Beilhartz and Widescope Resources Inc., now known as North American Nickel Inc. pursuant to a corporate name change dated April 19, 2010. North American Nickel can earn 100% interest in the property by making the option payments, issuing shares and making the required Work Expenditures as set out in the option agreement. Upon completion of the Option Agreement the property will be transferred to North American Nickel and Brady/Beilhartz will retain a 2.5% NSR.
The claims are held by 50% by John Gregory Brady and 50% by David Beilhartz. Work commitments on the claims are set out at $400.00 per unit (16 hectares) per year and are due to the Ontario Ministry of Development and Mines.
Field work is completed and compiled, along with a statement of expenditures, and filed with the Ontario Ministry of Development and Mines by North American Nickel employees. The required work commitments are submitted to the Ontario Ministry of Development and Mines, on a form supplied by the Ministry. Provided Brady/Beilhartz gives authorization to Janelle Toffan of Ens Land Management (contracted by North American Nickel to manage lands) to act as agent on his behalf, Ens Land Management will submit the annual renewal on or before the claims Annual Anniversary dates. If authorization is not given then Brady/Beilhartz will make the submission. Expenditures, filed in excess of the annual work commitment, are banked and can be used towards future work requirements.
The property consists of 5 claims encompassing an area of approximately 1,040 hectares.
The property claims list and a location map are given below.
WOODS CREEK OPTION (Ni)
ONTARIO
HOLDER: David Beilhartz 50%, John Gregory Brady 50%

Disposition Type |  | Disposition No |  | Township |  | Hectares |  | Recording Date |  | Anniversary Date
Claim |  | 1242388 |  | HYMAN |  | 256 |  | Jan 12, 2001 |  | Jan 12, 2013
Claim |  | 1242389 |  | HYMAN |  | 192 |  | Jan 12, 2001 |  | Jan 12, 2012
Claim |  | 1242390 |  | HYMAN |  | 240 |  | Jan 12, 2001 |  | Jan 12, 2012
Claim |  | 1242391 |  | HYMAN |  | 96 |  | Jan 12, 2001 |  | Jan 12, 2012
Claim |  | 1242392 |  | HYMAN |  | 256 |  | Jan 12, 2001 |  | Jan 12, 2012
Total: 5 |  |  |  |  |  | 1,040 |  |  |  |

17

Manitoba nickel properties:
The Manitoba nickel properties are large mineral exploration licences that can be accessed by a combination of all-weather gravel roads and helicopter or fixed wing aircraft. Water and diesel generated power for the purposes of exploration are readily available. All properties are exploration properties without known reserves. The Thompson North and Cedar Lake or Thompson South mineral exploration licences occur along the historic and world class nickel-copper-cobalt-PGM belt known as the Thompson Nickel Belt where INCO (Vale) has mined 150 million tons of 2.32% nickel since the 1960’s. Despite the similarities in the geology and mineralization the presence of nickel ore bodies cannot be guaranteed to exist on these properties. The same geologic similarities exist on the South Bay property but exploration is in its infancy and the presence of economic quantities of mineralization cannot be guaranteed. A Manitoba nickel properties location map is presented below.
18

South Bay (Bedrock-Hosted Mineral Exploration Claims): Exploration was spurred at the South Bay property by the September, 2003 discovery of a zone of high-grade nickel mineralization. The nickel-copper-cobalt platinum group element (“PGE”) zone was found in one wall of a new road cut 60 km east of the town of Leaf Rapids, Manitoba. The average grade of eleven samples of near-solid sulphide collected from boulder-sized blast rubble in the road cut exposure is 2.42 % Ni, 0.78 % Cu, 0.069% Co and 1.32 grams/tonne PGE. The mineralization is sedimentary-rock-hosted and exhibits similar metal characteristics to ores associated with magma-derived nickel deposits that are mined at Thompson and worldwide. Airborne geophysical surveys (VTEM) have been flown over the property and preliminary soil geochemical surveys have been undertaken.
South Bay claims acquired through an Option Agreement dated August 1, 2003 between John Camier and Rare Earth Metals Corp (VMS Ventures Inc.). Option Agreement completed August 2009. John Camier retains a 3% NSR. Claims transferred from VMS Ventures Inc. to North American Nickel Inc. December 14, 2010. Mineral rights are retained as long as the required work commitments are met on each claim.
19

Annual work requirements for claims aged 1 to 10 years is $12.50/hectare, claims aged 11 years and older have an annual work requirement of $25.00/hectare. Field work is completed and an assessment report compiled, along with a statement of expenditures, then submitted to the Manitoba Mining Recorder by North American Nickel employees. If no work has been carried out a refundable cash deficiency payment can be submitted in lieu of work. The required work commitments are submitted to the Manitoba Mines Branch, on a form supplied by the Mines Branch, together with the required filing fees ($12.00 per claim per renewal year), by Janelle Toffan of Ens Land Management who has been contracted by North American Nickel as Lands Manager. Submission must occur on or before the claims expiry date (Anniversary Date plus 60 days). Expenditures, filed in excess of the annual work commitment, are banked and can be used towards future work requirements.
Forty South Bay claims (of which 20 have been approved to lapse on their expiry dates) currently encompass an area of approximately 9,328 hectares.
A property claims list and a location map are presented below.
SOUTH BAY PROPERTY (Ni)
MANITOBA
HOLDER: NORTH AMERICAN NICKEL INC

Disposition Type |  | Disposition No |  | Disposition Name |  | Hectares |  | Recording Date |  | Anniversary Date
Claim |  | MB4478 |  | SBI 15 |  | 240 |  | Aug 20, 2003 |  | Aug 20, 2011
Claim |  | MB4479 |  | SBI 16 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2011
Claim |  | MB4480 |  | SBI 17 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2011
Claim |  | MB4485 |  | SBI 2 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2011
Claim |  | MB4488 |  | SBI 5 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2011
Claim |  | MB4489 |  | SBI 6 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2011
Claim |  | MB4492 |  | SBI 9 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2011
Claim |  | MB4495 |  | SBI 22 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2011
Claim |  | MB4496 |  | SBI 23 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2011
Claim |  | MB3684 |  | SBI 34 |  | 216 |  | Sep 22, 2003 |  | Sep 22, 2011
Claim |  | MB4660 |  | SBI 38 |  | 256 |  | Sep 22, 2003 |  | Sep 22, 2011
Claim |  | MB3681 |  | SBI 30 |  | 256 |  | Sep 23, 2003 |  | Sep 23, 2011
Claim |  | MB4661 |  | SBI 39 |  | 256 |  | Sep 23, 2003 |  | Sep 23, 2011
Claim |  | MB3682 |  | SBI 31 |  | 256 |  | Sep 24, 2003 |  | Sep 24, 2011
Claim |  | MB4662 |  | SBI 32 |  | 256 |  | Sep 24, 2003 |  | Sep 24, 2011
Claim |  | MB4663 |  | SBI 42 |  | 256 |  | Sep 29, 2003 |  | Sep 29, 2011
Claim |  | MB4665 |  | SBI 40 |  | 256 |  | Sep 29, 2003 |  | Sep 29, 2011
Claim |  | MB3676 |  | SBI 25 |  | 256 |  | Oct 28, 2003 |  | Oct 28, 2011
Claim |  | MB4497 |  | SBI 24 |  | 256 |  | Oct 28, 2003 |  | Oct 28, 2011
Claim |  | MB849 |  | SBX 1 |  | 256 |  | Oct 28, 2003 |  | Oct 28, 2011
Claim |  | MB2425 |  | SB 1 |  | 89 |  | Aug 12, 2002 |  | Aug 12, 2012
Claim |  | MB3677 |  | SBI 26 |  | 240 |  | Aug 20, 2003 |  | Aug 20, 2012
Claim |  | MB3678 |  | SBI 27 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2012
Claim |  | MB3679 |  | SBI 28 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2012
Claim |  | MB4481 |  | SBI 18 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2012
Claim |  | MB4482 |  | SBI 19 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2012
Claim |  | MB4483 |  | SBI 0 |  | 224 |  | Aug 20, 2003 |  | Aug 20, 2012
Claim |  | MB4484 |  | SBI 1 |  | 224 |  | Aug 20, 2003 |  | Aug 20, 2012
Claim |  | MB4486 |  | SBI 3 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2012

20

Claim |  | MB4487 |  | SBI 4 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2012
Claim |  | MB4490 |  | SBI 7 |  | 256 |  | Aug 20, 2003 |  | Aug 20, 2012
Claim |  | MB4493 |  | SBI 20 |  | 230 |  | Aug 20, 2003 |  | Aug 20, 2012
Claim |  | MB3685 |  | SBI 35 |  | 208 |  | Sep 22, 2003 |  | Sep 22, 2012
Claim |  | MB3690 |  | SBI 36 |  | 216 |  | Sep 22, 2003 |  | Sep 22, 2012
Claim |  | MB3680 |  | SBI 29 |  | 256 |  | Sep 23, 2003 |  | Sep 23, 2012
Claim |  | MB4659 |  | SBI 37 |  | 256 |  | Sep 29, 2003 |  | Sep 29, 2012
Claim |  | MB4664 |  | SBI 41 |  | 256 |  | Sep 29, 2003 |  | Sep 29, 2012
Claim |  | MB2426 |  | SB 2 |  | 120 |  | Nov 15, 2002 |  | Nov 15, 2012
Claim |  | MB2435 |  | SB 3 |  | 48 |  | Nov 15, 2002 |  | Nov 15, 2012
Claim |  | MB2436 |  | SB 4 |  | 105 |  | Nov 15, 2002 |  | Nov 15, 2012
Total: 40 |  |  |  |  |  | 9,328 |  |  |  |

North Thompson (Bedrock-Hosted Mineral Exploration Licences): : The property overlies the world class Thompson Nickel Belt (“TNB”) where Vale Inco continues to mine nickel-copper-cobalt and platinum group element mineralization hosted within sedimentary and mafic intrusive rocks. Based on research by the Manitoba Geological Survey the northeastern extension of the TNB has been traced through the Thompson North property making the area highly attractive for repetitions of TNB mineralization. Airborne geophysics (VTEM) has been flown over the property and numerous anomalous magnetic and electromagnetic features identified. Follow-up exploration will be based upon ranking and modeling of geophysics and soil geochemical surveys.
21

North Thompson Mineral Exploration Licences were transferred from VMS Ventures Inc. to North American Nickel Inc. (342B, 364A, 401A transferred in December 2010 and 403A, 405A, 406A, 407A and 419A transferred in March 2011). The mineral rights are retained, during the term of the licence, as long as the required work commitments are met on each Mineral Exploration Licence. If mineral rights are to be retained at the end of the 2nd term then the Mineral Exploration Licence area must either be converted to claims or application made for a new licence.
Annual work requirements for Mineral Exploration Licence are as follows:
Zone A (3 year term to a maximum of 2 terms):
Area designated as Zone A - 3 Year Term:
$1.25 in the first year of the licence
$5.00.ha in the second year
$7.50/ha in the 3rd year
$10.00/ha in the 4th year of the licence
$12.50/ha in the 5th year of the licence
$15.00/ha in the 6th year of the licence
Zone B (5 year term to a maximum of 2 terms):
$0.50 per hectare in the first year of the licence
$1.00 per hectare in the second year of the licence
$1.50 per hectare in the third year of the licence
$3.00 per hectare in the fourth year of the licence
$4.00 per hectare in the fifth year of the licence
$4.00 per hectare in each of the sixth and seventh years of the licence
$5.00 per hectare in each of the eighth and ninth years of the licence
$6.00 per hectare in the 10th year of the licence
Field work is completed and an assessment report compiled, along with a statement of expenditures, and submitted to the Manitoba Mining Recorder by North American Nickel employees. If no work has been carried out a refundable cash deficiency payment can be submitted in lieu of work. The required work commitments are submitted to the Manitoba Mines Branch, on a form supplied by the Mines Branch, by Janelle Toffan of Ens Land Management who has been contracted by North American Nickel as Lands Manager. Submission must occur on or before the Mineral Exploration expiry date (Annual Anniversary Date +90 days). If any changes are to occur (reduction in size, conversion to claims or surrender of licence) notice must be submitted to the Recorder on or before the Annual Anniversary date. Expenditures, filed in excess of the annual work commitment, are banked and can be used towards future work requirements.
Eight North Thompson Licences currently encompass an area of approximately 315,842 hectares.
A property list and a detailed magnetic survey map are presented below.
22

NORTH THOMPSON LICENCES (Ni)
MANITOBA
HOLDER: NORTH AMERICAN NICKEL INC

Disposition Type |  | Disposition No |  | Disposition Name |  | Hectares |  | Recording Date |  | Anniversary Date
MEL |  | 342B |  | (YR 4) Campbell Lake |  | 98,531 |  | Feb 08, 2008 |  | Feb 08, 2012
MEL |  | 403A |  | (YR 1) HARDING LAKE |  | 37,806 |  | Feb 15, 2011 |  | Feb 15, 2012
MEL |  | 405A |  | (YR 1) ORR LAKE |  | 39,307 |  | Feb 15, 2011 |  | Feb 15, 2012
MEL |  | 406A |  | (YR 1) PELLETIER LAKE |  | 24,533 |  | Feb 15, 2011 |  | Feb 15, 2012
MEL |  | 407A |  | (YR 1) ASSEAN LAKE |  | 28,160 |  | Feb 15, 2011 |  | Feb 15, 2012
MEL |  | 419A |  | (YR 1) STRONG LAKE |  | 49,555 |  | Feb 15, 2011 |  | Feb 15, 2012
MEL |  | 364A |  | (YR 4) Strong Lake |  | 11,286 |  | Jun 05, 2008 |  | Jun 05, 2012
MEL |  | 401A |  | (YR 2) Orr Lake |  | 26,664 |  | Jul 22, 2010 |  | Jul 22, 2012
Total: 8 |  |  |  |  |  | 315,842 |  |  |  |

23

South Thompson Licence (Cedar Lake: Bedrock-Hosted Mineral Exploration Licence):
The property occupies the southern portion of the Thompson Nickel Belt where previous exploration based on the drill-testing of geophysical anomalies has identified key stratigraphic components that host producing nickel-copper-cobalt and platinum group elements at the Thompson and Pipe Mines of Vale Inco. Nickel mineralization has been intersected in drilling on adjacent Mineral Exploration Licenses. The prospective rock units are overlain by younger carbonate rocks and conceal the TNB in this area. The Company has undertaken airborne geophysical surveys (VTEM) and delineated numerous conductive and magnetic anomalies. These anomalies will be prioritized and drill tested subsequent to soil geochemical surveys.
South Thompson Mineral Exploration Licence transferred from VMS Ventures Inc. to North American Nickel Inc. in December 2010. Mineral rights are retained, during the term of the licence, as long as the required work commitments are met on each Mineral Exploration Licence. If mineral rights are to be retained at the end of the 2nd term then the Mineral Exploration Licence area must either be converted to claims or application made for a new Licence. Annual work requirements for Mineral Exploration Licence include:
Zone B (5 year term to a maximum of 2 terms):
$0.50 per hectare in the first year of the licence
$1.00 per hectare in the second year of the licence
$1.50 per hectare in the third year of the licence
$3.00 per hectare in the fourth year of the licence
$4.00 per hectare in the fifth year of the licence
$4.00 per hectare in each of the sixth and seventh years of the licence
$5.00 per hectare in each of the eighth and ninth years of the licence
$6.00 per hectare in the 10th year of the licence
Field work is completed and an assessment report compiled, along with a statement of expenditures, and submitted to the Manitoba Mining Recorder by North American Nickel employees. If no work has been carried out a refundable cash deficiency payment can be submitted in lieu of work. The required work commitments are submitted to the Manitoba Mines Branch, on a form supplied by the Mines Branch, by Janelle Toffan of Ens Land Management who has been contracted by North American Nickel as Lands Manager. Submission must occur on or before the Mineral Exploration expiry date (Annual Anniversary Date +90 days). If any changes are to occur (reduction in size, conversion to claims or surrender of licence) notice must be submitted the Recorder on or before the Annual Anniversary date.
Expenditures, filed in excess of the annual work commitment, are banked and can be used towards future work requirements.
One South Thompson Licence currently encompasses an area of approximately 50,337 hectares.
All technical information in this Form 20-F has been reviewed by Dr. Mark Fedikow, P.Geo., the qualified person for North American Nickel Inc. under National Instrument 43-101.
A property list and a location and detailed magnetic survey map are presented below.
24

SOUTH THOMPSON LICENCE (Ni)
MANITOBA
HOLDER: NORTH AMERICAN NICKEL INC

Disposition Type |  | Disposition No |  | Disposition Name |  | Hectares |  | Recording Date |  | Anniversary Date
MEL |  | 320B |  | (YR 5) Bracken Lake |  | 50,337.00 |  | Sep 12, 2007 |  | Sep 12, 2012
Total: 1 |  |  |  |  |  | 50,337.00 |  |  |  |

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ITEM 5. OPERATING AND FINANCIAL REVIEW AND PROSPECTS
The following discussion and analysis should be read in conjunction with the consolidated financial statements and notes thereto included herein (see also "Selected Financial Data"). The consolidated financial statements have been prepared in accordance with Canadian GAAP. Refer to Note 13 to the consolidated financial statements for a description of transactions that were subject to material measurement differences between Canadian GAAP and U.S. GAAP under Item 17.
Overview
With the acquisition of PFG effective June 30, 2006, the Company’s primary focus shifted to mineral resource exploration operations rather than acquisitions. The Company charged PFG a modest management fee to offset its reciprocal efforts to coordinate PFG’s affairs until control of PFG was acquired. In 2006 PFG was charged $9,000 in management fees. This management function has been largely carried out by the directors and large shareholders, at their own expense. The Company’s management team, affiliates and directors have special expertise in the areas of operations, due diligence, financial analysis and corporate finance strategy with respect to emerging growth enterprises. Additionally, the Company retains Dockside Capital Group to provide certain management functions and in so doing can also access its similar expertise.
A. Operating Results
Historically, the Company has shown modest losses for the past several years. These losses result largely from having little or no revenue and minimal operating expenses, rather than having significant operating and overhead expenses. In 2004 the Company elected to sell its passive investment, and this resulted in a loss that was somewhat greater than usual. Prior to the completion of the PFG acquisition, the expenses of the Company were almost completely related to satisfying regulatory requirements, including the annual meeting, financial reporting, communications with shareholders; and seeking and evaluating acquisition prospects for suitability and ability to attract financing.
With the June 30, 2006 completion of the PFG acquisition the Company’s expenses became more heavily weighted in favor of the exploration work and analysis being carried out on those properties. On May 31, 2010 the Company sold its interest in PFG and at December 31, 2010 no longer holds an interest in the Pinefalls Gold Property. The Company will continue in the exploration business via the April 2010 agreements to acquire rights to the Post Creek, Bell Lake, Woods Creek and Halcyon properties in the Sudbury, Ontario nickel belt; and the agreement to acquire 100% ownership of the high-grade Ni-Cu-PGE South Bay property near Thompson and the large grassroots Thompson North and Cedar Lake properties, which are part of the Thompson Nickel Belt.
As a result of initiatives that were announced on April 6, 2010, activities will shift from the Bissett area and precious metals, to base metals in and around Sudbury Ontario, and Thompson Manitoba.
Business overview
With the April 2010 entry into base metal exploration the Company is effectively a new company with its first focus on its two key Sudbury properties. The Post Creek property is strategically located adjacent to the producing Podolsky copper-nickel-platinum group metal deposit of FNX Mining. The center of the property occurs at UTM coordinates 510217m E, 5182584m N (NAD83 UTM Zone 17N. The property lies along the extension of the Whistle Offset dike structure, which is a major geological control for Ni-Cu-PGM mineralization. The Bell Lake property is a 256-acre property that covers approximately one kilometre
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of the Mystery Offset dike or MOD. The MOD is interpreted to be an extension of the Worthington Offset dike which is a 10- to 11-kilometre-long mineralized structure that extends from the southwest margin of the Sudbury igneous complex. The Company also has rights to explore the Woods Creek and Halcyon properties in the Sudbury area; and has an agreement to acquire 100% ownership to the high-grade Ni-Cu-PGE South Bay property near Thompson and the large grassroots Thompson North and Cedar Lake properties, which are part of the world-class Thompson Nickel Belt in Manitoba.
The Company entered into an agreement with an independent entity to sell Outback Capital Inc., and its remaining interest in this property. This was done in order to prepare for the shift in focus from precious metals to base metals.
Fluctuations in Results
The Company’s annual operating results fluctuate, a little and revenues at this point are not generated. Expenses fluctuate on the basis of costs for exploration and related activities, and the ever increasing administrative and other costs of complying with the various regulatory requirements of a public company. We expect that these regulatory related expenses will continue to increase due to the upward pressure on professional fees charged to reporting companies, resulting from changes to securities legislation throughout North America.
With the April 2010 entry into the arena of base metal exploration the Company expects to report significant additional expenses in the future related to the exploration activities undertaken in the Sudbury area of Ontario and the Thompson Nickel Belt in Manitoba. Following the expected sale of Outback Capital Inc., the Company will have no further expenses related to exploration in the Bissett area.
B. Liquidity and Capital Resources
Since the Company is organized in Canada, the Company’s December 31, 2010 consolidated financial statements have been prepared in accordance with Canadian generally accepted accounting principles.
As at December 31, 2010, the Company had accumulated losses totaling $14,311,794 and a working capital of $556,665. The continuation of the Company is dependent upon the continued financial support of shareholders as well as obtaining additional financing for the current and subsequent resource projects.
As noted, these conditions raise substantial doubt about the Company’s ability to continue as a going concern. The financial statements do not include any adjustment that might arise from uncertainty. The auditors’ report includes an explanatory paragraph disclosing the Company's ability to continue as a going concern.
As at December 31, 2010 the Company had cash of $659,227 and working capital of $556,665.
C. Research and development, patents and licenses, etc.
Not applicable
D. Trend information
The major trends impacting the company and its industry are lack of access to capital, caused by the severe global financial contraction, and the corresponding contraction of demand for most commodities. Only precious metals seem to have continuing and possibly increasing demand.
Impact of Inflation
The Company believes that inflation had minimal effect on costs related to its exploration activities in the 12 months ending December 31, 2010.
Quantitative and Qualitative Disclosures about Market Risk
Not applicable to the Company.
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E. | Off-balance sheet arrangements

Not applicable

F. | Tabular disclosure of contractual obligations

Not applicable
ITEM 6. DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES
It should be noted that the management discussed below is primarily involved with the Company’s current activities. As the Company concludes an acquisition or merger, or embarks on any other type of project, additional personnel with differing areas of expertise will be utilized. Directors are elected annually by a majority vote of the shareholders and hold office until the next general meeting of the shareholders. Officers are appointed by, and serve at the discretion of, the board of directors. The names, place of residence, positions within the Company and the principal occupations of the directors and senior officers of the Company are set out below.

A. | Directors and senior management.

Name, Municipality of Residence and Position with the Corporation |  | Age |  | Principal Occupation and Position During the Past Five Years |
Douglas E. Ford (1) West Vancouver, B.C. Director |  | 47 |  | Director since September 10, 1992; General Manager of Dockside Capital, a private merchant banking and venture capital firm, from 1987 to present. |
Richard J. Mark North Vancouver, BC Chairman & Chief Executive Officer |  | 60 |  | CEO & Chairman of VMS Ventures Inc. from 2002 – present, CEO & Chairman of Harvest Gold Corporation from 2005 – present President & CEO of Pancontinental Uranium Corp.(formerly Centram Exploration Ltd.) from 2007 - present.
John Roozendaal Brandon, MB Director |  | 42 |  | President of VMS Ventures Inc. from 1996 – present President of Harvest Gold Corporation from 2005 – present
Mark Fedikow Winnipeg, MB President & Director |  | 57 |  | President of Mount Morgan Resources Ltd. year – present Director and VP of Exploration and Technical Services for VMS Ventures Inc. 2008 – present
James Clucas North Vancouver, BC Director |  | 65 |  | President of Search Minerals Inc. from June 2009 – present; Chairman of International Nickel Ventures Corp. from August 2009 until March 2009; President & CEO of International Nickel Ventures Corp. from February 2007 until July 2007; President of International Nickel Ventures Corp. from September 2003, until November 2005.
Edward D. Ford (1) Whistler, B.C. Chief Financial Officer & Director |  | 75 |  | Director since March 20, 1990; also has devoted a portion of his time to investment activities and as President of Dockside Capital, a private merchant banking and venture capital firm, for more than the last five years; chartered accountant for more than 40 years. |

(1) Edward Ford is the father of Douglas Ford.
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B. | Compensation.

Management compensation is determined by the board of directors based on competitive prices for services provided. During the year ended December 31, 2010, directors and officers, including private companies controlled by directors and officers, as a group, paid or accrued a total of $90,000 in management fees, paid or accrued a total of $11,772 in professional fees, paid or accrued a total of $19,000 in consulting fees and paid or accrued a total of $28,000 in geological consulting fees. See “Item 7. Major Shareholders and Related Party Transactions” for more detail on fees paid to members of management or to entities owned by them.
For the year ended December 31, 2010, the Company paid no compensation to Directors for acting as Directors. The Company does not have any pension or retirement plans, nor does the Company compensate its directors and officers by way of any material bonus or profit sharing plans. Directors, officers, employees and other key personnel of the Company may be compensated by way of stock options.

C. | Board practices.

Pursuant to the provisions of the Company Act (BC), the Company’s directors are elected annually at the regularly schedules annual general meeting of shareholders. Each elected director is elected for a one-year term unless he resigns prior to the expiry of his term.
The Company has no arrangements in place for provision of benefits to its directors or upon their termination.
The Board has one committee, the Audit Committee, made-up of Messrs. Edward Ford, James Clucas and Douglas Ford. The Audit Committee meets with the auditors annually prior to completion of the audited financial statements and regularly with management during the fiscal year. On May 2, 2006, the Company’s board of directors adopted a new charter for the Audit Committee.

D. | Employees.

Effective at December 31, 2010 the Company had a few salaried employees.

E. | Share ownership.

A total of ten percent (10%) of the common shares of the Company, outstanding from time to time, are reserved for the issuance of stock options pursuant to the Company’s Incentive Stock Option Plan. During the year 3,300,000 stock options were granted to directors, consultants and employees. Other information on ownership is contained in the table below.
ITEM 7. MAJOR SHAREHOLDERS AND RELATED PARTY TRANSACTIONS.

A. | Major shareholders.

The following table sets forth certain information regarding beneficial ownership of the Company’s shares at December 31, 2010 by (i) each person who is known to own beneficially more than 5% of the Company’s outstanding Common Stock, (ii) each of the Company’s directors and executive officers and (iii) all current directors and executive officers as a group. The table does not reflect common shares held of record by depositories, but does include currently exercisable options and warrants which are included in the calculation of percentage of class ownership for each individual holder. As of December 31, 2010 there were 35,231,730 common shares issued and outstanding. Each of the listed persons may be reached at the Company’s head offices or #208 – 828 Harbourside Drive, North Vancouver, BC, V7P 3R9, telephone (604) 904-8481.
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Name of Beneficial Owner |  | Amount and Nature of Beneficial Ownership |  | Percent of Class |
Principal Holders |  |  |  |  |
VMS Ventures Inc. |  |  | 16,800,000 |  |  |  |  | 47.7 | %
Officers and Directors |  |  |  |  |  |  |  |  |
Edward Ford |  |  | 342,000 |  |  |  |  | 1.00 | %
Douglas Ford |  |  | 242,000 |  |  |  |  | n/a |
Richard J. Mark |  |  | 1,075,000 |  |  |  |  | 3.05 | %
John Roozendaal |  |  | 450,000 |  | (1) |  |  | 1.28 | %
Mark Fedikow |  |  | 1,000,000 |  | (2) |  |  | 2.84 | %
James Clucas |  |  | 100,000 |  |  |  |  | n/a |
All Officers and Directors as a Group (6 persons) |  |  | 3,209,000 |  |  |  |  | 9.11 | %

(1) Includes 450,000 shares held through 667961 BC Ltd.

(2) Includes 300,000 shares held directly; and 700,000 shares held through Mount Morgan Resources Ltd.
The Company arranged two non-brokered private placements of common shares. The first consisted of 10,000,000 post-consolidation shares at $0.05. The second consisted of 10,000,000 post-consolidation units at $0.06. Each unit consists of one post consolidation share and one non-transferrable warrant to purchase an additional post-consolidation common share at $0.10 for 30 months after closing. The warrants may be subject to earlier expiry. The closings of the private placements when combined with the share issuances required to complete the acquisition of the Ontario and Manitoba nickel properties will result in new share positions being created that could have an influence on the direction of the Company. The Company knows of no other arrangements which may at a subsequent date result in a change in control of the Company.

B. | Related party transactions.

During the fiscal year ended December 31, 2010, directors, officers and companies controlled by them have been engaged in the following transactions with the Company:
During the year ended December 31, 2010, a director and a company in which a director has an interest charged the Company $90,000 (2009: $24,000, 2008: $24,000) for rent and management fees.
During the year ended December 31, 2010, a company in which a director has an interest charged the Company $19,000 (2009: $Nil, 2008: $Nil) for consulting fees.
During the year ended December 31, 2010, a company in which a director has an interest charged the Company $11,772 (2009: $Nil, 2008: $Nil) for professional fees.
During the year ended December 31, 2010, directors of the Company and a company in which a director has an interest charged the Company $90,000 (2009 - $24,000; 2008; $24,000).
During the year ended December 31, 2010, a director charged the Company $28,000 (2009: $Nil, 2008: $Nil) for consulting services. $26,833 (2009 - $Nil, 2008 - $Nil) has been recorded in consulting services as deferred exploration costs for mineral properties and $1,167 (2009 - $Nil, 2008 - $Nil) has been recorded in consulting fees on the statements of operations.
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During the year ended December 31, 2010, 2,640,000 common shares at a fair value of $132,000 were issued to a company in which a director has an interest for settlement of debt.
During the year ended December 31, 2010, the Company entered into a purchase and sale agreement with directors in common for the Manitoba Nickel Properties.
Related party transactions were in the normal course of business and have been recorded at the exchange amount which is the fair value agreed to between the parties.
Amounts due to related parties of $87,094 (2009 - $132,333) owing to directors of the Company and companies in directors have an interest. Amounts due to related parties are unsecured, non-interest bearing and without specific terms of repayment.

C. | Interests of experts and counsel

Not required.
ITEM 8. FINANCIAL INFORMATION
A. Consolidated Statements and Other Financial Information
See Item 17 and our consolidated financial statements and accompanying notes beginning on page F-1.
B. Significant Changes
The Company is not aware of any significant change since December 31, 2010 that is not otherwise reported in this filing.
ITEM 9. THE OFFER AND LISTING
Effective December 21, 2006 our common shares became quoted on the United States OTC Bulletin Board, under the symbol “WSCRF”. The table below sets forth certain information regarding the price history of our common shares. Note this trading data does not take into effect the 2-old for 1-new reverse split effected on April 20, 2010.

Period |  | High (USD) |  |  | Low (USD) |
Fiscal year ended December 31, 2008 |  | $ | 0.16 |  |  | $ | 0.06 |
Fiscal year ended December 31, 2009 |  | $ | 0.25 |  |  | $ | 0.02 |
Fiscal year ended December 31, 2010 |  | $ | 1.50 |  |  | $ | 0.02 |
Quarter ended December 31, 2009 |  | $ | 0.25 |  |  | $ | 0.02 |
Quarter ended March 31, 2010 |  | $ | 0.05 |  |  | $ | 0.03 |
Quarter ended June 30, 2010 |  | $ | 0.48 |  |  | $ | 0.06 |
Quarter ended September 30, 2010 |  | $ | 1.50 |  |  | $ | 0.02 |
Quarter ended December 31, 2010 |  | $ | 0.11 |  |  | $ | 0.02 |
Quarter ended March 31, 2011 |  | $ | 1.01 |  |  | $ | 0.09 |

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Month ended October 31, 2010 |  | $ | 0.10 |  |  | $ | 0.10 |
Month ended November 30, 2010 |  | $ | 0.11 |  |  | $ | 0.11 |
Month ended December 31, 2010 |  | $ | 0.11 |  |  | $ | 0.02 |
Month ended January 31, 2011 |  | $ | 1.01 |  |  | $ | 0.11 |
Month ended February 28, 2011 |  | $ | 0.10 |  |  | $ | 0.10 |
Month ended March 31, 2011 |  | $ | 0.12 |  |  | $ | 0.09 |
Month ended April 30, 2011 (1) |  | $ | 0.80 |  |  | $ | 0.35 |

(1) Through April 18, 2011
ITEM 10. ADDITIONAL INFORMATION
A. Share capital
Not required

B. | Memorandum and articles of association

1. | The Company was incorporated as Rainbow Resources Ltd. September 20 1983 under certificate of incorporation no. 268952 in the Province of British Columbia Canada. The name was changed to Widescope Resources Ltd. May 1 1984, to Gemini Technology Inc. September 13 1985, to International Gemini Technology Inc. September 23 1993, and to Widescope Recources Inc., effective July 12, 2006. The name was subsequemtly changed to North American Nickel Inc., effective April 19, 2010. No objects and purposes are described.

2. | If a director has a material interest in a matter subject to a vote, he must declare it and abstain from voting, or have his vote not counted, except for certain specific exclusions which include setting director compensation. There are no restrictions on directors issuing debt however shareholder approval may be required in connection with convertible debt or other debt driven requirements to issue shares. There is no retirement age or share ownership requirement for directors.

3. | Dividends are declared by directors and subject to any special rights, paid to all holders of shares in a class according to the number of shares held. Voting rights are one vote per share. Directors stand for election every year at the annual meeting. Shareholders have no rights to share directly in the company’s profits. Subject to prior claims of creditors and preferred shareholders, common shareholders participate in any surplus in the event of liquidation according to the number of shares held. The Company may redeem shares by directors’ resolution in compliance with applicable law unless the company is insolvent or may become insolvent by doing so. It must make its offer pro rata to every member who holds a class, subject to applicable stock exchange rules or company act provisions. The directors have wide discretion. Shareholders have no liability for further capital calls. No discriminatory provisions, against an existing or prospective shareholder of a substantial number of shares, are imposed by the articles.

4. | Rights of holders of any class of shares can only be changed with their consent, and in accordance with the company act. Consent must be in writing by the holders or by a three fourths majority of a vote of the holders, and by the consent of the British Columbia Securities Commission.

5. | A notice convening an annual general or special meeting must specify the place, date, hour, and in the case of a special meeting, the general nature of the special business, and must be given in accordance with the company act. There are no special conditions outlining rights of admission.

6. | There are no limitations on rights to own securities.

7. | There are no provisions to delay, defer, or prevent a change in control.

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8. | Nothing in the articles requires ownership disclosure.

9. | Not applicable.

10. | Not applicable.

C. Material contracts
The Company entered into a subscription agreement to invest $200,000 into Outback Capital Inc. dba Pinefalls Gold (PFG) a private Alberta Company with certain directors and principal shareholders in common with the Company. PFG is an exploration company with mining claims located in the area of Bissett, Manitoba. The Company will invest $200,000 in exchange for 4 million units at $0.05 per unit, each unit comprised of one common share and one warrant to purchase an additional common share at $0.075 for a period of two years. Prior to exercising the warrants, after making the investment of $200,000 the Company will own approximately 37% of the common shares of PFG. As at December 31, 2005, the Company had invested $90,000 for 1.8 million units, approximately 17% of the outstanding common shares of PFG.
In addition the Company entered into an option agreement with one of the principal shareholders of PFG, a director of the Company, which entitles the company to acquire a further 3 million common shares of PFG in exchange for one million common shares of the Company. The option, exercisable at the Company’s discretion until March 31, 2007, was exercised.
Pursuant to the terms of the subscription agreement and the option agreement, the latter having been exercised, the company owns 65.42% of the common shares of PFG.
On April 6, 2009 the company entered into an option agreement with respect to its 14 remaining claims in the Rice Lake area of Manitoba. The option provides Cougar Minerals Corporation, a corporation traded on the Canadian National Stock Exchange (CNSX) to acquire 100% of the company’s interest in these claims, and is open for exercise until April 6, 2009. The purchase price is $180,000 with $35,000 paid as a non- refundable deposit. The deposit was paid as to $10,000 cash and 500,000 of Cougar’s common shares at a deemed price of $0.05 per share.
The Company has entered into an agreement with an independent entity that will result in it divesting of Outback Capital Inc.
On April 6, 2010 the Company announced that it had entered into four agreements to acquire rights to the Post Creek, Bell Lake, Woods Creek and Halcyon properties in the Sudbury, Ontario nickel belt; and one agreement to acquire up to a 100% ownership of the high-grade Ni-Cu-PGE South Bay property near Thompson and the large grassroots Thompson North and Cedar Lake properties, which are part of the world-class Thompson Nickel Belt.
Effective May 1, 2010, the Company entered into the following agreements for services with directors of the Company and a company in which a director has an interest:
i) Management fees: $5,000 per month and $4,000 per month
ii) Consulting fees: $3,500 per month
Each of the agreements has the same terms and conditions which shall be continous and may only be terminated by mutual agreement of the parties, subject to the provisions that in the event there is a change of effective control of the Company, the employee shall have the right to terminate the agreement, within sixty days from the date of such change of effective control, upon written notice to the Company. Within thirty days from the date of delivery of such notice, the Company shall forward to the employee the amount of money due and owing to the employee hereunder to the extent accrued due to the employee to the effective date of termination.
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D. Exchange Controls
This summary is of a general nature only and is not intended to be, and should not be interpreted as, legal advice to any prospective purchaser. Accordingly, prospective purchasers of the Company’s shares should consult with their own advisors with respect to their individual circumstances.
There are no laws or governmental decrees or regulations in Canada that restrict the export or import of capital, or which affect the remittance of dividends, interest or other payments to holders of the Company’s securities who are not residents of Canada, other than withholding tax requirements. Reference is made to “Item 7. Taxation”.
There are no limitations imposed by the laws of Canada, the laws of Alberta or by the charter or other governing documents of the Company on the right of a non-resident to hold or vote common shares of the Company, other than as provided in the Investment Canada Act (the “Investment Act”) and the potential requirement for a Competition Act Review.
The following summarizes the principal features of the Investment Act and the Competition Act Review for a non-resident who proposes to acquire common shares. This summary is of a general nature only and is not intended to be, nor is it, a substitute for independent advice from an investor’s own advisor. This summary does not anticipate statutory or regulatory amendments.
The Canadian Investment Act
The Canadian Investment Act generally prohibits implementation of a reviewable investment by an individual, government or agency thereof, corporation, partnership, trust or joint venture that is not a “Canadian” as defined in the Investment Act (a “non-Canadian”), unless, after review, the minister responsible for the Investment Act (the “Minister”) is satisfied that the investment is likely to be of a net benefit to Canada. Under the Investment Act, a United States citizen qualifies as a “World Trade Organization Investor.” Subject to the restrictions noted below, an investment in a Canadian business by a World Trade Organization Investor would be reviewable under the Investment Act only if it is an investment to acquire control of such Canadian business and the value of the assets of the Canadian business as shown on its financial statements is not less than a specified amount, which for 1999 was $184 million. An investment in the shares of a Canadian business by a non-Canadian other than a “World Trade Organization Investor” when the Company is not controlled by a World Trade Organization Investor, would be reviewable under the Investment Act if it is an investment to acquire control of the Canadian business and the value of the assets of the Canadian business as shown on its financial statements is $5 million or more, or if an order for review is made by the federal cabinet on the grounds that the investment relates to Canada’s cultural heritage or national identity.
The acquisition by a World Trade Organization Investor of control of a Canadian business in any of the following sectors is also subject to review if the value of the assets of the Canadian business exceeds $5 million (as shown on its financial statements): uranium, financial services (except insurance), transportation services and cultural businesses, which include broadcast media (publication, distribution or sale of books, magazines, periodicals, newspapers, music, film and video products and the exhibition of film and video products), television and radio services. As the Company’s business does not fall under any of the aforementioned categories, the acquisition of control of the Company, in excess of the $5 million threshold, by a World Trade Organization Investor would not be subject to such review.
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A non-Canadian would acquire control of the Company for purposes of the Investment Act if the non-Canadian acquired a majority of the common shares.
The acquisition of less than a majority but one-third or more of the common shares would be presumed to be an acquisition of control of the Company unless it could be established that, on acquisition, the Company was not controlled in fact by the acquirer through the ownership of common shares. Notwithstanding the review provisions, any transaction involving the acquisition of control of a Canadian business or the establishment of a new business in Canada by a non-Canadian is a notifiable transaction and must be reported to Industry Canada by the non-Canadian making the investment either before or within thirty days after the investment.
Certain transactions relating to common shares are exempt from the Investment Act, including:

· | an acquisition of common shares by a person in the ordinary course of that person’s business as a trader or dealer in securities;

· | an acquisition of control of the Company in connection with the realization of security granted for a loan or other financial assistance and not for a purpose related to the provisions of the Investment Act; and

· | an acquisition of control of the Company by reason of an amalgamation, merger, consolidation or corporate reorganization, following which the ultimate direct or indirect control in fact of the Company, through the ownership of common shares, remained unchanged.

Canadian Competition Act Review
Investments giving rise to the acquisition or establishment, directly or indirectly, by one or more persons of control over, or a significant interest in the whole or part of a business of a competitor, supplier, customer or other person are subject to substantive review by Canada’s Competition Law Authority, the Director of Investigation and Research (the “Director”). If or when the Director concludes that a merger, whether by purchase or lease of shares or assets, by amalgamation or by combination, or otherwise, prevents or lessens, or is likely to prevent or lessen competition substantially, he may apply as may be necessary to eliminate the substantial lessening or prevention of competition. Such substantive merger review power applies to all mergers, whether or not they meet limits for pre-notification under the Competition Act.
In addition to substantive merger review, the Competition Act provides for a pre-notification regime respecting mergers of a certain size. The regime applies in respect of share acquisitions, asset acquisitions, amalgamations and combinations. For ease of reference, this filing refers specifically to share acquisition, although the pre-notification regime applies, with the appropriate modification, to other types of acquisition of control as well.
In order for a share acquisition transaction to be pre-notifiable, the parties to the transaction (being the person or persons who proposed to acquire shares, and the corporation the shares of which are to be acquired), together with their affiliates (being all firms with a 50% or more voting shares linkage up and down the chain) must have:

(i) | aggregate gross assets in Canada that exceed $400,000,000 in value, as shown on their audited financial statements for the most recently completed fiscal year (which must be within the last fifteen (15) months); or

(ii) | aggregate gross revenue from sales in, from or into Canada that exceed $400,000,000 for the most recently completed fiscal year shown on the said financial statements; and

(iii) | the party being acquired or corporations controlled by that party must have gross assets in Canada, or gross revenues from sales in or from Canada, exceeding $35,000,000 as shown on the said financial statements. Acquisition of shares carrying up to 20% of the votes of a publicly-traded corporation, or 35% of the votes in a private corporation, will not be subject to pre-notification, regardless of the above thresholds. However, exceeding the 20% or the 35% threshold, and again exceeding the 50% threshold, gives rise to an obligation of notification if the size threshold is met.

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If a transaction is pre-notifiable, a filing must be made with the Director containing the prescribed information with respect to the parties, and a waiting period (either seven or twenty-one days, depending on whether a long or short form filing is chosen) must expire prior to closing.
As an alternative to pre-notification, the Director may grant an Advance Ruling Certificate, which exempts the transaction from pre-notification. Advance Ruling Certificates are granted where the Director concludes, based on the information provided to him, that he would not have sufficient grounds on which to apply to the Competition Tribunal to challenge the Merger.
E. Taxation
This summary is of a general nature only and is not intended to be, and should not be interpreted as, legal or tax advice to any prospective purchaser or holder of the Company’s shares and no representation with respect to the Canadian federal income tax consequences to any such prospective purchaser is made. Accordingly, prospective purchasers of the Company’s shares should consult with their own tax advisors with respect to their individual circumstances.
The following summary describes the principal Canadian federal income tax considerations generally applicable to a holder of the Company’s shares who, for purposes of the Income Tax Act (Canada) (the “Canadian Tax Act”) and the Canada-United States Income Tax Convention, 1980 (the “Convention”) and at all relevant times is resident in the United States and not resident in Canada, deals at arm’s length with the Company, holds the Company’s shares as capital property, and does not use or hold and is not deemed to use or hold the Company’s shares in or in the course of carrying on business in Canada (a “United States Holder”).
This following summary is based upon the current provisions of the Canadian Income Tax Act, the regulations thereunder, all specific proposals to amend the Canadian Tax Act and the regulations announced by the Minister of Finance (Canada) prior to the date hereof and the Company’s understanding of the published administrative practices of the Canada Customs and Revenue Agency (formerly Revenue Canada, Customs, Excise and Taxation). This summary does not take into account or anticipate any other changes in the governing law, whether by judicial, governmental or legislative decision or action, nor does it take into account the tax legislation or considerations of any province, territory or non-Canadian jurisdiction (including the United States), which legislation or considerations may differ significantly from those described herein.
Disposition of the Company’s Shares
In general, a United States shareholder will not be subject to Canadian income tax on capital gains arising on the disposition of the Company’s shares, unless such shares are “taxable Canadian property” within the meaning of the Canadian Income Tax Act and no relief is afforded under any applicable tax treaty. The shares of the Company would be taxable Canadian property of a non-resident if at any time during the five-year period immediately preceding a disposition by the non-resident of such shares, not less than 25% of the issued shares of any class or series of all classes of shares of the Company belonged to the non-resident, to persons with whom the non-resident did not deal at arm’s length, or to the non-resident and persons with whom the non-resident did not deal at arm’s length for purposes of the Canadian Income Tax Act. For this purpose, issued shares include options to acquire such shares (including conversion rights) held by such persons. Under the Convention, a capital gain realized by a resident of the United States will not be subject to Canadian tax unless the value of the shares of the Company is derived principally from real estate (as defined in the Convention) situated in Canada.
36

F. | Dividends and Paying Agents

Not required

G. | Statement by Experts

Not required

H. | Documents on display

All documents referenced in this Form 20-F may be viewed at the offices of the Company during business hours #301 – 260 West Esplanade, North Vancouver BC V7M 3G7, Canada, Telephone 604-986-2020.

I. | Subsidiary Information

As of June 30, 2006 Outback Capital Inc. dba Pinefalls Gold (“PFG”) a private Alberta corporation become a majority-owned subsidiary of the Company. PFG was incorporated under the Alberta Business Corporations Act on February 6, 2001. During the year ended December 31, 2010, the Company entered into an agreement with an independent third party whereby this party acquired Outback Capital Inc.
ITEM 11. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
Not required
ITEM 12. DESCRIPTION OF SECURITIES OTHER THAN EQUITY SECURITIES
Not required
ITEM 13. DEFAULTS, DIVIDEND ARREARAGES AND DELINQUENCIES
Not applicable
ITEM 14. MATERIAL MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF PROCEEDS
Not applicable
ITEM 15. CONTROLS AND PROCEDURES
Disclosure Controls and Procedures
Under the supervision and with the participation of management, including our chief executive officer and the chief financial officer, we conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act, as of December 31, 2010. Based on this evaluation, our chief executive officer and chief financial officer concluded as of December 31, 2010 that our disclosure controls and procedures were effective.
Management’s Report on Internal Control over Financial Reporting
Management is responsible for establishing and maintaining adequate internal control over financial reporting. Internal control over financial reporting is designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of consolidated financial statements in accordance with generally accepted accounting principles and includes those policies and procedures that:
37

(1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of a company’s assets,
(2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of consolidated financial statements in accordance with generally accepted accounting principles, and that a company’s receipts and expenditures are being made only in accordance with authorizations of a company’s management and directors, and
(3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of a company’s assets that could have a material effect on the consolidated financial statements.
Internal control over financial reporting is a process that involves human diligence and compliance and is subject to lapses in judgment and breakdowns resulting from human failures. Internal control over financial reporting also can be circumvented by collusion or improper management override. Because of such limitations, internal control over financial reporting cannot provide absolute assurance of achieving financial reporting objectives. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies and procedures may deteriorate.
However, these inherent limitations are known features of the financial reporting process. Therefore, it is possible to design into the process safeguards to reduce, though not eliminate, this risk. Management is responsible for establishing and maintaining adequate internal control over financial reporting for the company.
Management has used the framework set forth in the report entitled Internal Control—Integrated Framework published by the Committee of Sponsoring Organizations of the Treadway Commission, known as COSO, to evaluate the effectiveness of the Company’s internal control over financial reporting. Based on this assessment, management has concluded that our internal control over financial reporting was effective as of December 31, 2010.
This annual report does not include an attestation report of our registered public accounting firm regarding internal control over financial reporting.
Our management’s report was not subject to attestation by our registered public accounting firm pursuant to temporary rules of the SEC that permit us to provide only our management’s report in this annual report on Form 20-F.
Changes in Internal Control Over Financial Reporting
There were no changes in our internal controls over financial reporting that occurred during the period covered by this annual report on Form 20-F that have materially affected, or are reasonably likely to materially affect our internal controls over financial reporting.
38

ITEM 16.
A. Audit Committee Financial Expert
The Company has as its audit committee financial expert Mr. Edward D. Ford who is a Canadian Chartered Accountant. He has held this professional qualification since 1961. During his career Mr. Ford has been an associate, manager and partner of several Canadian professional accounting firms that specialized in audit/assurance, taxation, insolvency and independent business consulting. Additionally he has served as a Chief Financial Officer of several public companies.
B. Code of Ethics
The Company has adopted a code of ethics applicable to its directors, principal executive officer, principal financial officer, principal accounting procedures, and persons performing similar functions. A copy of the Company’s Code of Ethics will be made available to anyone who requests it in writing from the Company’s head office.
C. Principal Accounting Fees and Services
(a) Audit Fees
Dale Matheson Carr-Hilton LaBonte, Chartered Accountants ("DMCL") billed the Corporation $20,000 - $25,000 (estimated) for audit fees in the year ended December 31, 2010; $16,000 in 2009, $12,000 in 2008, $14,500 in 2007; $13,000 in 2006; $9,000 in 2005; and $6,200 in 2004. The former auditor, Charlton & Company, Chartered Accountants billed $2,675 in 2004.
(b) Audit Related Fees
DMCL billed the Company $2,000 - $3,000 for audit related services in the year ended December 31, 2010; $3,000 in 2009; $nil in 2008; $1,000 in 2007; $nil in 2006, $nil in 2005 and $nil in 2004. The former auditor, Charlton & Company, Chartered Accountants billed $nil in 2004.
(c) Tax Fees
DMCL did not provide the Corporation with any professional services rendered for tax compliance, tax advice and tax planning in the years ended December 31, 2010, 2009, 2008, 2007, 2006 and 2005. The former auditor, Charlton & Company, Chartered Accountants billed $nil in 2004.
(d) All Other Fees
DMCL did not bill the Corporation for any other products and services in the years ended December 31, 2010, 2009, 2008, 2007, 2006, 2005 and 2004. The former auditor, Charlton & Company, Chartered Accountants billed $nil in 2004.
(e) Audit Committee Pre-Approval Policies and Procedures
To ensure continuing auditor objectivity and to safeguard the independence of our auditors, our audit committee has determined a framework for the type and authorization of non-audit services which our auditors may provide. The audit committee has adopted policies for the pre-approval of specific services that may be provided by our auditors. The dual objectives of these policies are to ensure that we benefit in a cost effective manner from the cumulative knowledge and experience of our auditors, while also ensuring that the auditors maintain the necessary degree of independence and objectivity.
Our audit committee approved the engagement of Dale Matheson Carr-Hilton LaBonte to render audit and non-audit services before they were engaged by us.
39

D. Exemption From the Listing Standards for Audit Committees
Not Applicable
E Purchases of Equity Securities by the Issuer and Affiliated Purchasers
Not Applicable
ITEM 17. FINANCIAL STATEMENTS
The financial statements and notes thereto as required by Item 17 are attached hereto and found immediately after the text of this Registration Statement. The auditors’ report of Dale Matheson Carr-Hilton LaBonte LLP, independent registered public accountants, on the audited consolidated financial statements and notes thereto is included immediately preceding the audited consolidated financial statements.
Independent Auditors’ Report.
Consolidated balance sheets as at December 31, 2010 and 2009.
Consolidated statements of operations and comprehensive loss as at December 31, 2010, 2009 and 2008.
Consolidated statements of deficit and accumulated other comprehensive income for the years ended December 31, 2010, 2009 and 2008.
Consolidated statements of cash flows for the years ended December 31, 2010, 2009, and 2008.
Notes to the consolidated financial statements.
ITEM 18. FINANCIAL STATEMENTS
Not applicable. See “Item 17. Financial Statements” above.
ITEM 19. EXHIBITS
12.1 Certification of Chief Executive Officer pursuant to s.302 of the Sarbanes-Oxley Act of 2002
12.2 Certification of Chief Financial Officer pursuant to s.302 of the Sarbanes-Oxley Act of 2002
13.1 Certification of Chief Executive Officer pursuant to s.906 of the Sarbanes-Oxley Act of 2002
13.2 Certification of Chief Financial Officer pursuant to s.906 of the Sarbanes-Oxley Act of 2002
19.1 Management Discussion & Analysis as of April 19, 2011 (incorporated herein by reference to Exhibit 19.1 to the Company's Form 20-F, filed with the SEC on April 20, 2011)
SIGNATURES

The registrant hereby certifies that it meets all of the requirements for filing on Form 20-F and that it has duly caused and authorized the undersigned to sign this annual report on its behalf.

| NORTH AMERICAN NICKEL INC (formerly Widescope Resources Inc.) |
Date: October 28, 2011 | By: | /s/ Douglas E. Ford |
| Name | Douglas E. Ford |
| Title | Director |
|  | as duly authorized signatory |

40

       [LETTERHEAD OF DALE MATHESON CARR-HILTON LABONTE LLP CHARTERED ACCOUNTANTS]

                              INDEPENDENT AUDITORS' REPORT

    To the Shareholders of North American Nickel Inc.
    (formerly Widescope Resources Inc.)

    We have audited the  consolidated  balance sheets of North American  Nickel Inc.
    (formerly  Widescope  Resources  Inc.) as at December  31, 2010 and 2009 and the
    consolidated  statements  of  operations  and  comprehensive  loss,  deficit and
    accumulated  other  comprehensive  income  and cash  flows for the  years  ended
    December  31,  2010,  2009 and 2008,  and a summary  of  significant  accounting
    policies and other explanatory information.

    MANAGEMENT'S RESPONSIBILITY FOR THE CONSOLIDATED FINANCIAL STATEMENTS
    Management is responsible  for the  preparation  and fair  presentation of these
    consolidated financial statements in accordance with Canadian generally accepted
    accounting principles, and for such internal control as management determines is
    necessary to enable the  preparation of consolidated  financial  statements that
    are free from material misstatement, whether due to fraud or error.

    AUDITORS' RESPONSIBILITY
    Our  responsibility  is to express an  opinion on these  consolidated  financial
    statements  based on our audits.  We  conducted  our audits in  accordance  with
    Canadian  generally  accepted auditing standards and the standards of the Public
    Company Accounting Oversight Board (United States). Those standards require that
    we comply  with  ethical  requirements  and plan and perform the audit to obtain
    reasonable  assurance about whether the  consolidated  financial  statements are
    free from material misstatement.  We were not engaged to perform an audit of the
    Company's  internal  control  over  financial  reporting.  Our  audits  included
    consideration  of  internal  control  over  financial  reporting  as a basis for
    designing audit  procedures that are appropriate in the  circumstances,  but not
    for the purpose of expressing an opinion on the  effectiveness  of the Company's
    internal  control  over  financial  reporting.  Accordingly,  we express no such
    opinion.

    An audit  involves  performing  procedures  to obtain audit  evidence  about the
    amounts and disclosures in the consolidated financial statements. The procedures
    selected depend on the auditors' judgment, including the assessment of the risks
    of material misstatement of the consolidated  financial statements,  whether due
    to fraud or error. An audit also includes examining,  on a test basis,  evidence
    supporting the amounts and disclosures in the consolidated financial statements,
    evaluating   the   appropriateness   of   accounting   policies   used  and  the
    reasonableness of accounting estimates made by management, as well as evaluating
    the overall presentation of the consolidated financial statements.

    We  believe  that  the  audit  evidence  we  have  obtained  is  sufficient  and
    appropriate to provide a basis for our audit opinion.

    OPINION
    In our opinion,  the consolidated  financial  statements  present fairly, in all
    material  respects,  the  financial  position  of  North  American  Nickel  Inc.
    (formerly  Widescope  Resources  Inc.) as at December 31, 2010 and 2009, and the
    results of its  operations  and its cash flows for the years ended  December 31,
    2010, 2009 and 2008 in accordance with Canadian  generally  accepted  accounting
    principles.

    EMPHASIS OF MATTER
    Without qualifying our opinion,  we draw attention to Note 1 in the consolidated
    financial  statements  which  indicates that the Company had incurred  losses to
    date. This condition, along with other matters as set forth in Note 1, indicates
    the existence of a material  uncertainty that may cast  significant  doubt about
    the Company's ability to continue as a going concern.

                                                                              "DMCL"
                                               DALE MATHESON CARR-HILTON LABONTE LLP
                                                               Chartered Accountants
    Vancouver, Canada
    April 19, 2011

                                          F-1

                               NORTH AMERICAN NICKEL INC.
                           (formerly Widescope Resources Inc.)
                             (An Exploration Stage Company)
                               CONSOLIDATED BALANCE SHEETS

                                                                                  December 31,
                                                                          2010                   2009
                                                                      ------------           ------------

                                         ASSETS

    Current
      Cash                                                            $    659,227           $     16,515
      Marketable securities (Note 3)                                            --                 62,500
      Receivables                                                           26,965                  4,197
                                                                      ------------           ------------
                                                                           686,192                 83,212

    Mineral property and deferred exploration costs (Note 4)               677,718                101,000
                                                                      ------------           ------------
                                                                      $  1,363,910           $    184,212
                                                                      ============           ============

                                       LIABILITIES

    Current
      Accounts payable and accrued liabilities                        $     42,433           $     53,414
      Due to related parties (Note 6)                                       87,094                132,333
                                                                      ------------           ------------
                                                                           129,527                185,747
                                                                      ------------           ------------

    Non-controlling interest (Note 4)                                           --                 53,249
                                                                      ------------           ------------

                                  SHAREHOLDERS' EQUITY

    Share capital - preferred (Note 7)                                     604,724                604,724
    Share capital - common (Note 7)                                     14,705,609             13,044,609
    Contributed surplus (Note 7)                                           235,844                 53,344
    Deficit                                                            (14,311,794)           (13,781,986)
    Accumulated other comprehensive income                                      --                 24,525
                                                                      ------------           ------------
                                                                         1,234,383                (54,784)
                                                                      ------------           ------------

                                                                      $  1,363,910           $    184,212
                                                                      ============           ============

    Nature and continuance of operations (Note 1)
    Commitments (Note 12)
    Subsequent events (Note 14)

    Approved by the Board:

    "Rick Mark"                                       "Edward D. Ford"
    ------------------------------                    ------------------------------
    Rick Mark                                         Edward D. Ford

                       The accompanying notes are integral part of
                        these consolidated financial statements.

                                          F-2

                               NORTH AMERICAN NICKEL INC.
                           (formerly Widescope Resources Inc.)
                             (An Exploration Stage Company)
              CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS

                                                                            Years Ended December 31,
                                                              2010                   2009                   2008
                                                          ------------           ------------           ------------

    EXPENSES
       Consulting (Note 6)                                $     25,556           $         --           $         --
       Filing fees                                              40,856                  7,981                  3,211
       Investor relations                                       23,101                     --                     --
       General and administrative                               18,294                  2,983                  2,461
       Management fees (Note 6)                                 90,000                 24,000                 24,000
       Professional fees (Note 6)                              132,730                 22,671                 34,466
       Salaries                                                 22,115                     --                     --
       Stock-based compensation (Note 7)                       182,500                     --                     --
                                                          ------------           ------------           ------------

    LOSS BEFORE OTHER ITEMS                                   (535,152)               (57,635)               (64,138)

    OTHER ITEMS
       Loss on sale of subsidiary (Note 4)                      (7,163)                    --                     --
       Gain on sale of marketable securities (Note 3)            3,854                     --                     --
       Impairment of mineral property and deferred
        exploration costs (Note 4)                                  --                (79,000)              (145,445)
       Write-off of equipment (Note 5)                              --                   (716)                    --
                                                          ------------           ------------           ------------

    LOSS BEFORE NON-CONTROLLING INTEREST                      (538,461)              (137,351)              (209,583)
    NON-CONTROLLING INTEREST IN LOSS                             8,653                 19,706                  8,606
                                                          ------------           ------------           ------------

    NET LOSS FOR THE YEAR                                 $   (529,808)          $   (117,645)          $   (200,977)
                                                          ============           ============           ============

    Loss per common share - basic and diluted             $      (0.03)          $      (0.02)          $      (0.04)
                                                          ============           ============           ============

    Weighted average number of common shares
     outstanding - basic and diluted
                                                            19,941,566              5,441,730              5,441,730
                                                          ============           ============           ============
    COMPREHENSIVE LOSS
       Net loss                                           $   (529,808)          $   (117,645)          $   (200,977)
       Unrealized gain on marketable securities                     --                 24,525                     --
                                                          ------------           ------------           ------------

                                                          $   (529,808)          $    (93,120)          $   (200,977)
                                                          ============           ============           ============

                       The accompanying notes are integral part of
                        these consolidated financial statements.

                                          F-3

                               NORTH AMERICAN NICKEL INC.
                           (formerly Widescope Resources Inc.)
                             (An Exploration Stage Company)
      CONSOLIDATED STATEMENTS OF DEFICIT AND ACCUMULATED OTHER COMPREHENSIVE INCOME

                                                                               Years ended December 31,
                                                                 2010                   2009                   2008
                                                             ------------           ------------           ------------

    DEFICIT
      Deficit, beginning of year                             $(13,781,986)          $ 13,664,341)          $(13,463,364)
          Net loss                                               (529,808)              (117,645)              (200,977)
                                                             ------------           ------------           ------------

    DEFICIT, END OF YEAR                                     $(14,311,794)          $(13,781,986)          $(13,664,341)
                                                             ============           ============           ============

    ACCUMULATED OTHER COMPREHENSIVE INCOME
      Balance, beginning of year                             $     24,525           $         --           $         --
      Unrealized gain/(loss) on available for sale
       marketable securities                                      (21,909)                24,525                     --
      Reversal of accumulated other comprehensive income
       upon sale of subsidiary (Note 4)                            (2,616)                    --                     --
                                                             ------------           ------------           ------------

    BALANCE, END OF YEAR                                     $         --           $     24,525           $         --
                                                             ============           ============           ============

                       The accompanying notes are integral part of
                        these consolidated financial statements.

                                          F-4

                               NORTH AMERICAN NICKEL INC.
                           (formerly Widescope Resources Inc.)
                             (An Exploration Stage Company)
                          CONSOLIDATED STATEMENTS OF CASH FLOWS

                                                                               Years Ended December 31,
                                                                  2010                  2009                  2008
                                                               -----------           -----------           -----------

    OPERATING  ACTIVITIES
      Net loss for the year                                    $  (529,808)          $  (117,645)          $  (200,977)
      Items not affecting cash
        Non-controlling interest                                    (8,653)              (19,706)               (8,606)
        Amortization                                                    --                    58                   331
        Stock-based compensation                                   182,500                    --                    --
        Loss on sale of subsidiary                                   7,163                    --                    --
        Gain on sale of marketable securities                       (3,854)                   --                    --
        Write-off of equipment                                          --                   716                    --
        Impairment of mineral properties and deferred
         exploration costs                                              --                79,000               145,445
                                                               -----------           -----------           -----------
                                                                  (352,652)              (57,577)              (63,807)
    Changes in non-cash working capital items:
      Receivables                                                  (27,362)                  680                (1,271)
      Accounts payable and accrued liabilities                      10,398                 7,685                11,224
      Due to related parties                                        86,761                25,066                31,377
                                                               -----------           -----------           -----------
          Cash used in operating activities                       (282,855)              (24,146)              (22,477)
                                                               -----------           -----------           -----------
    INVESTING  ACTIVITIES
      Proceeds from the sale of subsidiary                          52,606                    --                    --
      Proceeds from the sale of marketable securities                8,854                    --                    --
      Expenditures on mineral properties and deferred
       exploration costs                                          (235,893)                   --                (6,490)
                                                               -----------           -----------           -----------
          Cash used in investing activities                       (174,433)                   --                (6,490)
                                                               -----------           -----------           -----------
    FINANCING ACTIVITIES
      Proceeds on issuance of common shares                      1,100,000                    --                    --
                                                               -----------           -----------           -----------
          Cash from financing activities                         1,100,000                    --                    --
                                                               -----------           -----------           -----------

    CHANGE IN CASH                                                 642,712               (24,146)              (28,967)

    CASH - beginning                                                16,515                40,661                69,628
                                                               -----------           -----------           -----------

    CASH - ending                                              $   659,227           $    16,515           $    40,661
                                                               ===========           ===========           ===========

    Cash paid for:
      Interest                                                 $        --           $        --           $        --
                                                               ===========           ===========           ===========
      Income taxes                                             $        --           $        --           $        --
                                                               ===========           ===========           ===========

    Supplemental cash-flow information (Note 11)

                       The accompanying notes are integral part of
                        these consolidated financial statements.

                                          F-5

                               NORTH AMERICAN NICKEL INC.
                           (formerly Widescope Resources Inc.)
                             (An Exploration Stage Company)
       CONSOLIDATED SCHEDULE OF MINERAL PROPERTIES AND DEFERRED EXPLORATION COSTS

                                  Pinefalls    Post       Woods                  Bell    Thompson     South
                                    Gold       Creek      Creek     Halcyon      Lake      North       Bay       Cedar      Total
                                  --------    --------   --------   --------   --------   --------   --------   --------   --------

    Balance, December 31, 2008    $205,000    $     --   $     --   $     --   $     --   $     --   $     --   $     --   $205,000
                                  --------    --------   --------   --------   --------   --------   --------   --------   --------

      Acquisition costs-cash            --       7,500      2,500         --         --         --         --         --     10,000
      Option proceeds received     (35,000)         --         --         --         --         --         --         --    (35,000)
                                  --------    --------   --------   --------   --------   --------   --------   --------   --------
                                   170,000       7,500      2,500         --         --         --         --         --    180,000

      Impairment provision         (79,000)         --         --         --         --         --         --         --    (79,000)
                                  --------    --------   --------   --------   --------   --------   --------   --------   --------

    Balance, December 31, 2009      91,000       7,500      2,500         --         --         --         --         --    101,000
                                  --------    --------   --------   --------   --------   --------   --------   --------   --------

      Acquisition costs-cash            --      12,500      7,500     15,000     25,000        333        333        334     61,000
      Acquisition cost-shares           --      24,000      9,000     18,000     18,000    120,000    120,000    120,000    429,000
      Option proceeds received     (25,000)         --         --         --         --         --         --         --    (25,000)
                                              --------   --------   --------   --------   --------   --------   --------   --------
                                   (25,000)     36,500     16,500     33,000     43,000    120,333    120,333    120,334    465,000
                                  --------    --------   --------   --------   --------   --------   --------   --------   --------

    Administration                      --      12,140         --         --         --         --         --         --     12,140
    Assay and sampling                  --       5,140         --         --         --         --      1,498         --      6,638
    Automobile costs                    --       7,597      1,343         --         --         --        185         --      9,125
    Consulting services (Note 6)        --     102,267      9,956         --        150        585        840        400    114,198
    Equipment and supplies              --         165        201         --         --         --         --         --        366
    Equipment rental                    --      20,020      8,840         --         --         --         --         --     28,860
    Licenses and fees                   --          --         --         --        410         --         --         --        410
    Shipping and printing costs         --       2,611         --         --         --         --         --         --      2,611
    Travel and accommodation            --       3,370         --         --         --         --         --         --      3,370
                                  --------    --------   --------   --------   --------   --------   --------   --------   --------
                                                    --    153,310     20,340         --        560        585      2,523        400
                                                                                                                            177,718
    Sale of subsidiary (Note 4)    (66,000)         --         --         --         --         --         --         --    (66,000)
                                  --------    --------   --------   --------   --------   --------   --------   --------   --------

    Balance, December 31, 2010    $     --    $197,310   $ 39,340   $ 33,000   $ 43,560   $120,918   $122,856   $120,734   $677,718
                                  ========    ========   ========   ========   ========   ========   ========   ========   ========

                       The accompanying notes are integral part of
                        these consolidated financial statements.

                                          F-6

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    1. NATURE AND CONTINUANCE OF OPERATIONS

    North American Nickel Inc. (formerly  Widescope  Resources Inc.) (the "Company")
    was incorporated on September 23, 1983.

    The Company's  principal business activity is the exploration and development of
    mineral  properties in Canada.  The Company has not yet determined whether these
    properties  contain  ore  reserves  that  are  economically   recoverable.   The
    recoverability  of amounts shown for mineral  property costs is dependent upon a
    number of factors  including  environmental  risk, legal and political risk, the
    existence of  economically  recoverable  mineral  reserves,  confirmation of the
    Company's interests in the underlying mineral claims, the ability of the Company
    to obtain necessary  financing to complete  exploration and development,  and to
    attain sufficient net cash flow from future profitable production or disposition
    proceeds.

    On April 7, 2010, and effective May 31, 2010,  the Company  entered into a Stock
    Purchase  Agreement  (the  "Purchase  Agreement")  whereby it agreed to sell its
    65.42%  interest in Outback  Capital Inc. dba Pinefalls Gold ("PFG") (Note 4), a
    private Alberta exploration  company. On April 19, 2010, the Company changed its
    name from Widescope  Resources Inc. to North American Nickel Inc.,  consolidated
    its  common  share  capital  on a 2:1 basis,  whereby  each two old shares  were
    exchanged  for  one  new  share,  and  increased  its  authorized  capital  from
    100,000,000  common  shares  without par value to an unlimited  number of common
    shares  without  par value  (Note 7). All  references  to common  shares,  stock
    options,  warrants and weighted  average  number of shares  outstanding in these
    consolidated financial statements retroactively reflect the share consolidation.

    These consolidated  financial statements have been prepared under the assumption
    the  Company  is a  going  concern.  The  ability  of the  Company  to  continue
    operations as a going concern is ultimately  dependent upon achieving profitable
    operations.  To date, the Company has not generated  profitable  operations from
    its resource activities and will need to invest additional funds in carrying out
    its planned exploration,  development and operational  activities.  As a result,
    additional  losses are anticipated.  The Company has working capital of $556,665
    at  December  31,  2010 and has  accumulated  a deficit  of  $14,311,794.  These
    financial   statements   do  not  include  any   adjustments   relating  to  the
    recoverability  and  classification of recorded asset amounts and classification
    of liabilities  that might be necessary should the Company be unable to continue
    as a going concern.

    The  properties  in which  the  Company  currently  has an  interest  are in the
    exploration  stage.  As such, the Company is dependent on external  financing to
    fund its  activities.  In order to carry out the planned  exploration  and cover
    administrative  costs,  the Company  will use its existing  working  capital and
    raise  additional  amounts as needed.  The Company  will  continue to assess new
    properties  and seek to acquire  interests in additional  properties if there is
    sufficient  geologic or economic potential and if adequate  financial  resources
    are available to do so.

    2. SIGNIFICANT ACCOUNTING POLICIES

    Basis of presentation
    These  financial  statements  have been  prepared in  accordance  with  Canadian
    generally accepted accounting  principles ("Canadian GAAP"). Except as indicated
    in Note 13, they also  comply,  in all  material  respects,  with United  States
    generally accepted accounting principles ("US GAAP").

    Basis of consolidation
    These  financial  statements  have been  prepared  on a  consolidated  basis and
    include the accounts of the Company and the total  operating  activities  of its
    65.42% owned  subsidiary,  PFG, up to May 31, 2010,  when PFG was sold (Note 4).
    All   intercompany   balances  and   transactions   have  been   eliminated   on
    consolidation.

    Estimates, assumptions and measurement uncertainty
    The  preparation  of financial  statements  in  conformity  with  Canadian  GAAP
    requires  management to make estimates and assumptions  that affect the reported

                                          F-7

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    2. SIGINIFICANT ACCOUNTING POLICIES - cont'd

    Estimates, assumptions and measurement uncertainty - cont'd
    amounts  of assets and  liabilities  and  disclosure  of  contingent  assets and
    liabilities at the date of the financial  statements and the reported amounts of
    revenues and expenses during the period.  Actual results could differ from those
    estimates.   By  their  nature,  these  estimates  are  subject  to  measurement
    uncertainty  and the  effect on the  financial  statements  of  changes  in such
    estimates in future periods could be significant.  Areas  requiring  significant
    use of estimates by management relate to going concern assessments,  determining
    the carrying value and or impairment of mineral properties, determining the fair
    values of marketable  securities  and  stock-based  payments,  asset  retirement
    obligations, financial instruments and tax rates used to calculate future income
    tax balances.

    Equipment
    Equipment is recorded at cost.  Amortization  is calculated  using the following
    annual rate, which is estimated to match the useful lives of the asset:

           Computer hardware           30% declining balance

    Mineral properties and deferred exploration costs
    The cost of mineral properties and related  exploration costs are deferred until
    the properties are placed into production,  sold,  abandoned or until management
    has determined that an impairment has occurred. Carrying costs will be amortized
    over the useful life of the properties  following the commencement of commercial
    production,  or written off if the  properties  are sold  abandoned,  allowed to
    lapse,  or if management has otherwise  determined  that the carrying value of a
    property is not  recoverable and should be impaired.  Properties  acquired under
    option  agreements,  whereby  payments  are made at the sole  discretion  of the
    Company,  are recorded in the accounts at such time as the payments are made. It
    is  reasonably  possible  that  economically  recoverable  reserves  may  not be
    discovered,  and accordingly a material portion of the carrying value of mineral
    properties and related deferred exploration costs could be written off. Although
    the Company has taken steps to verify  title to mineral  properties  in which it
    has an interest,  according to the common  industry  standards  for the stage of
    exploration of such properties,  these procedures do not guarantee the Company's
    title. Such properties may be subject to prior agreements or transfers and title
    may be affected by undetected title defects.

    The  amounts  shown  for  mineral  properties  and  deferred  exploration  costs
    represent  costs incurred to date, net of  impairments,  and do not  necessarily
    represent  present or future values which are entirely  dependent  upon economic
    production or recovery from disposal.

    Asset retirement obligations
    The Company  follows the  provisions  of the  Canadian  Institute  of  Chartered
    Accountants  ("CICA")  Handbook Section 3110,  "Asset  Retirement  Obligations",
    which requires the estimated fair value of any asset  retirement  obligations to
    be recognized as a liability in the period in which the related environmental or
    retirement  liability can be reasonably  established  and measured.  The present
    value of the associated future costs when measureable is recorded as a liability
    and added to the cost of the related  property and amortized  over the estimated
    remaining  life.  As of December  31, 2010 and 2009 the Company has not incurred
    and is not aware of any significant  asset retirement  obligations in respect of
    its mineral exploration properties.

    Impairment of long-lived assets
    The Company  follows the  recommendations  of the CICA  Handbook  Section  3063,
    "Impairment  of  Long-Lived  Assets".  Section 3063  establishes  standards  for
    recognizing,  measuring and disclosing  impairment of long-lived assets held for
    use. The Company  conducts its impairment test on long-lived  assets when events
    or  changes  in  circumstances  indicate  that the  carrying  amount  may not be
    recoverable. Impairment is recognized when the carrying amount of an asset to be
    held and used exceeds the  undiscounted  future net cash flows expected from its
    use and disposal.  If there is impairment,  the impairment amount is measured as
    the amount by which the  carrying  amount of the asset  exceeds  its fair value,
    calculated  using  expected  discounted  cash flows when  independent  or quoted
    market prices are not available.

                                          F-8

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    2. SIGINIFICANT ACCOUNTING POLICIES - cont'd

    Financial instruments
    The Company  adopted the CICA Handbook  Section 3855,  "Financial  Instruments -
    Recognition  and   Measurement".   Section  3855  prescribes  when  a  financial
    instrument is to be  recognized  on the balance sheet and at what amount.  Under
    Section  3855,  financial  instruments  must  be  classified  into  one of  five
    categories:   held-for-trading,   held-to-maturity,   loans   and   receivables,
    available-for-sale   financial  assets,  or  other  financial  liabilities.  All
    financial instruments,  including derivatives, are measured at the balance sheet
    date  at  fair  value  except  for  loans  and   receivables,   held-to-maturity
    investments,  and other  financial  liabilities  which are measured at amortized
    cost.

    The Company's  financial  instruments consist of cash,  receivables,  marketable
    securities, accounts payable and due to related parties. Unless otherwise noted,
    it is  management's  opinion  that the  Company is not  exposed  to  significant
    interest,  currency,  or credit risks arising from these financial  instruments.
    The  Company  has  made  the   following   classifications   for  the  financial
    instruments:

         Cash - held-for-trading; measured at fair value;
         Receivables - loans and receivables; measured at amortized cost;
         Marketable securities - available for sale; measured at fair value; and
         Accounts payable and due to related parties - other financial  liabilities;
         recorded at amortized cost.

    Fair value  estimates  are made at the  balance  sheet  date,  based on relevant
    market  information  and other  information  about  financial  instruments,  and
    approximate carrying values unless otherwise noted. The Company does not use any
    hedging instruments.

    The Company  considers net smelter return ("NSR") and other  production  related
    commitments   associated  with  mineral   property   interests  to  be  derivate
    instruments.   Until  such  time  as  economically   recoverable  resources  are
    identified such derivates are not considered to have reliably measurable value.

    The  Company  adopted  CICA  Handbook  Section  3862  "Financial  Instruments  -
    Disclosures"  which was amended to include  additional  disclosure  requirements
    about fair value measurements of financial  instruments and to enhance liquidity
    risk  disclosure.  The additional  fair value  measurement  disclosures  include
    classification of financial inputs used in making the measurements, described as
    follows:

    Level 1 - Quoted prices  (unadjusted) in active markets for identical assets and
    liabilities;
    Level 2 -  Inputs  other  than  quoted  prices  included  in  Level  1 that  are
    observable  for the asset or  liability,  either  directly  (i.e.  as prices) or
    indirectly (i.e. derived from prices); and
    Level 3 - Inputs  derived from  valuation  techniques  that include  inputs from
    management  or other  sources for the asset or  liability  that are not based on
    observable market data (unobservable inputs).

    Comprehensive income (loss)
    Effective  January 1, 2007, the Company adopted the CICA Handbook  Section 1530,
    "Comprehensive Income".  Comprehensive income (loss) is defined as the change in
    equity from transactions and other events from non-owner  sources.  Section 1530
    establishes  standards for reporting and presenting certain gains and losses not
    normally  included in net income or loss,  such as  unrealized  gains and losses
    related to available for sale securities and gains and losses resulting from the
    translation  of   self-sustaining   foreign   operations,   in  a  statement  of
    comprehensive income (loss).

    At  December  31,  2009,  the Company  recognized  in  comprehensive  income its
    proportionate share of an unrealized gain on marketable securities. In 2010, the
    amount was reversed  through  operations  when the securities  were sold and the
    gain was realized.

                                          F-9

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    2. SIGINIFICANT ACCOUNTING POLICIES - cont'd

    Loss per share
    The loss per share figures are calculated  using the weighted  average number of
    shares outstanding during the respective fiscal periods on a  post-consolidation
    basis. The calculation of loss per share figures using the treasury stock method
    considers the  potential  exercise of  outstanding  share  purchase  options and
    warrants or other  contingent  issuances to the extent each  option,  warrant or
    contingent  issuance was dilutive.  For all periods presented,  diluted loss per
    share is equal to basic  loss per share as the  potential  effects  of  options,
    warrants and conversions are anti-dilutive.

    Income taxes
    The Company  accounts  for income  taxes using the asset and  liability  method,
    whereby future tax assets and  liabilities  are recognized for the future income
    tax consequences  attributable to differences between the carrying values of the
    asset and liabilities and their respective  income tax bases.  Future income tax
    assets and liabilities are measured using substantively enacted income tax rates
    expected to apply to taxable income in the years in which temporary  differences
    are expected to be recovered or settled.  The effect on future  income taxes and
    liabilities  of a change  in  rates,  when a  valuation  allowance  has not been
    applied,  is included in operations in the period that includes the  substantive
    enactment  date.  Where the  probability of a realization of a future income tax
    asset is more likely than not, a valuation allowance is recorded.

    Stock-based compensation
    The Company follows the CICA Handbook  Section 3870,  "Stock-based  Compensation
    and Other Stock-based Payments," which requires the fair value method of valuing
    all grants of stock  options.  The estimated  fair value of the stock options is
    recorded as compensation expense over the vesting period or at the date of grant
    if the  options  vest  immediately,  with the  offset  recorded  in  contributed
    surplus.  The fair value of options  granted is  estimated  at the date of grant
    using the Black-Scholes option pricing model incorporating assumptions regarding
    risk-free  interest  rates,  dividend yield,  volatility  factor of the expected
    market price of the Company's stock, and a weighted average expected life of the
    options.  Any consideration paid on the exercise of stock options is credited to
    share  capital,  together with a reversal of  corresponding  amounts  originally
    credited to contributed surplus.

    Credit risk and the fair value of financial assets and financial liabilities
    In January 2009,  the CICA approved EIC 173,  "Credit Risk and the Fair Value of
    Financial Assets and Liabilities".  This guidance clarified that an entity's own
    credit risk and the credit risk of the counterparty should be taken into account
    in  determining  the fair value of financial  assets and  financial  liabilities
    including derivative instruments.

    Mining exploration costs
    In March  2009 the  CICA  approved  EIC 174,  "Mining  Exploration  Costs".  The
    guidance clarified that an enterprise that has initially capitalized exploration
    costs has an obligation in the current and subsequent accounting periods to test
    such  costs for  recoverability  whenever  events or  changes  in  circumstances
    indicate that its carrying amount may not be recoverable.

    Recent accounting pronouncements - Not yet adopted

    International Financial Reporting Standards ("IFRS")
    In February  2008,  the  Canadian  Accounting  Standards  Board  confirmed  that
    publicly  accountable  enterprises  will  be  required  to  adopt  International
    Financial Reporting Standards ("IFRS") in place of Canadian GAAP for interim and
    annual  reporting  purposes  for fiscal years  beginning on or after  January 1,
    2011.  Accordingly,  the Company  will  transition  from current  Canadian  GAAP
    reporting and commence  reporting under IFRS for the first quarter of 2011, with
    restatement of comparative information presented.

    The Company developed a conversion plan consisting of four key stages including;
    project planning and preliminary  assessment,  detailed  assessment,  design and

                                          F-10

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    2. SIGINIFICANT ACCOUNTING POLICIES - cont'd

    International Financial Reporting Standards ("IFRS") - cont'd
    implementation.  The project planning and preliminary  assessment stage has been
    completed.  The  preliminary  assessment  was completed  with the  assistance of
    external advisors and training and outlines the significant  differences between
    Canadian  GAAP  and  IFRS  and  rates  the  impact  of each  of the  significant
    differences on the entity's financial  statements,  thereby allowing the Company
    to focus the detailed assessment on the highest priority items.

    Consolidated  Financial  Statements,  Business  Combinations and Non-controlling
    Interests
    In  January  2009,  the  CICA  issued  Section  1601,   "Consolidated  Financial
    Statements",  and  Section  1602,  "Noncontrolling  Interests",  which  together
    replace the existing  Section 1600,  "Consolidated  Financial  Statements",  and
    provide  the  Canadian  equivalent  to  International  Accounting  Standard  27,
    "Consolidated  and Separate  Financial  Statements".  The new  sections  will be
    applicable to the Company on January 1, 2011.  Earlier  adoption is permitted as
    of the  beginning  of a fiscal  year,  in which case an entity  would also early
    adopt Handbook Section 1582, "Business Combinations", and Handbook Section 1602,
    "Non-controlling Interests". The Company is assessing the impact, if any, of the
    adoption of these new sections on its consolidated financial statements.

    Other accounting  pronouncements  issued by the CICA with future effective dates
    are either not applicable or are not expected to be significant to the financial
    statements of the Company.

    Comparative figures
    Certain of the  comparative  figures  have been  reclassified  to conform to the
    current year's presentation.

    3. MARKETABLE SECURITIES

    At December 31, 2009,  PFG held 500,000  common shares of Cougar  Minerals Corp.
    ("Cougar"),  a company  listed on the TSX Venture  Exchange (Note 4). At initial
    recognition,  each common  share was  recorded  at a fair value of $0.05.  As at
    December 31, 2009 the closing trading price of Cougar's common shares was $0.125
    per  common  share with a total  fair  value of  $62,500.  During the year ended
    December  31,  2010,  PFG sold  100,000  common  shares  of Cougar  for  $8,854,
    resulting in a gain of $3,854.  Pursuant to the Purchase Agreement,  the Company
    sold its  interest in PFG and  therefore  does not hold an interest in Cougar at
    December 31, 2010 (Note 4). The Company previously  classified the investment as
    available-for-sale.

    4. MINERAL PROPERTIES AND DEFERRED EXPLORATION COSTS

    Title  to  mining  properties   involves  certain  inherent  risks  due  to  the
    difficulties of determining  the title and extraction  rights of certain claims,
    as well as the  potential  for problems  arising from the  frequently  ambiguous
    conveyance  history  characteristic of many mining  properties.  The Company has
    investigated  title to all of its  mineral  properties  and,  to the best of its
    knowledge, title to all of its properties are in good standing.

    During the year  ending  December  31, 2010 the  Company  had  $677,718  (2009 -
    $101,000) in property  expenditures as detailed in the consolidated  schedule of
    mineral properties and deferred exploration costs.

    At December 31,  2010,  the Company  held an interest in the  following  mineral
    properties:

    Pinefalls Gold
    Pursuant to the  completion of a  subscription  agreement  and a share  exchange
    agreement in April 2005, the Company acquired the net assets of PFG including an
    interest  in the  Pinefalls  Gold  Property,  located  in the  Bissett  Area  of
    Manitoba,  valued  at  $319,306.  The  Company  held a 65.42%  interest  in PFG,
    effective June 30, 2006.

    On April 6, 2009 PFG entered into an Option and Purchase and Sale Agreement with
    Cougar,  whereby  Cougar  was  granted  an option  to  purchase  certain  claims
    comprising the Pinefalls Gold Property. During the year ended

                                          F-11

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    4. MINERAL PROPERTIES AND DEFERRED EXPLORATION COSTS - cont'd

    Pinefalls Gold - cont'd
    December 31, 2009, the Company  received  $10,000 cash and 500,000 common shares
    with a fair value of $26,000 (Note 3) on execution of the Agreement. At December
    31,  2009,  the Company  wrote-down  the  property to $91,000.  The basis of the
    impairment was to reflect the net estimated  recoverable  value of the Pinefalls
    Gold Property, based on anticipated future cash flows.

    On April 30, 2010, Outback received an additional $25,000 from Cougar.  Pursuant
    to  the  Purchase  Agreement,   the  Company  sold  its  interest  in  PFG  and,
    accordingly,  at December 31, 2010 no longer holds an interest in the  Pinefalls
    Gold Property.  During the year ended  December 31, 2010,  the Company  incurred
    $Nil (2009 - $Nil) in deferred exploration costs on the Pinefalls Gold Property.

    The Company realized a loss on the sale of PFG, equal to the amount by which the
    carrying  value of the net assets  disposed of as of May 31, 2010,  exceeded the
    proceeds of $52,606, as follows:

    Assets                                          $ 126,364
    Liabilities                                       (30,974)
    Non-controlling interest                          (33,005)
    Accumulated other non-controlling interest         (2,616)
                                                    ---------
                                                       59,769
    Proceeds                                          (52,606)
                                                    ---------
    Loss on sale of investment                      $   7,163
                                                    =========

    Post Creek
    On December 23, 2009 the Company executed a letter of intent whereby the Company
    has an option to acquire  the  mineral  claim  known as the Post Creek  Property
    located within the Sudbury Mining District of Ontario, and paid a non-refundable
    deposit of $7,500.

    On April 5, 2010 the Company entered into an option  agreement to acquire a 100%
    interest in the Post Creek Property and agreed to the following consideration:

                                                                                                Exploration
             Date                                                     Cash          Shares      requirements
             ----                                                     ----          ------      ------------

    On or before April 5, 2010 (paid and issued)                     $12,500        400,000
    On or before April 5, 2011 (subsequently paid and issued)        $30,000        300,000        $15,000
    On or before April 5, 2012                                       $50,000        300,000        $15,000
    On or before April 5, 2013                                       $50,000             --        $15,000

    During the year ended December 31, 2010, the Company  incurred  $153,3l0 (2009 -
    $Nil) in deferred exploration costs on the Post Creek Property.

    The  Company's  interest  is  subject  to a  2.5%  NSR,  of  which  1.5%  can be
    repurchased  by the Company for  $1,500,000.  Commencing  August 1, 2013, if the
    Company  exercises its option,  the Company will be obligated to pay advances on
    the NSR of $10,000  per annum,  which will be deducted  from any  payments to be
    made under the NSR.

    Woods Creek
    On December 23, 2009 the Company executed a letter of intent whereby the Company
    has an option to acquire  the mineral  claim  known as the Woods Creek  Property
    located within the Sudbury Mining District of Ontario and paid a  non-refundable
    deposit of $2,500.

                                          F-12

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    4. MINERAL PROPERTIES AND DEFERRED EXPLORATION COSTS - cont'd

    Woods Creek - cont'd
    On April 5, 2010, the Company entered into an option  agreement to acquire up to
    a 100%  interest  in the  Woods  Creek  Property  and  agreed  to the  following
    consideration:

                                                                                                Exploration
             Date                                                     Cash          Shares      requirements
             ----                                                     ----          ------      ------------

    On or before April 5, 2010 (paid and issued)                     $ 7,500        150,000
    On or before April 5, 2011 (subsequently paid and issued)        $15,000        150,000        $24,000
    On or before April 5, 2012                                       $20,000             --        $24,000
    On or before April 5, 2013                                       $45,000             --        $24,000

    During the year ended  December 31, 2010, the Company  incurred  $20,340 (2009 -
    $Nil) in deferred exploration costs on the Woods Creek Property.

    The  Company's  interest  is  subject  to a  2.5%  NSR,  of  which  1.5%  can be
    repurchased  by the Company for  $1,500,000.  Commencing  August 1, 2013, if the
    Company  exercises its option,  the Company will be obligated to pay advances on
    the NSR of $5,000 per annum, which will be deducted from any payments to be made
    under the NSR.

    Halcyon
    On April 5, 2010, the Company entered into an option  agreement to acquire up to
    a 100%  interest  in the  Halcyon  Property  located  Ontario  and agreed to the
    following consideration:

                                                                                                Exploration
             Date                                                     Cash          Shares      requirements
             ----                                                     ----          ------      ------------

    On or before April 5, 2010 (paid and issued)                     $15,000        300,000
    On or before April 5, 2011 (subsequently paid and issued)        $25,000        200,000        $22,000
    On or before April 5, 2012                                       $35,000             --        $22,000
    On or before April 5, 2013                                       $35,000             --        $22,000

    During the year ended December 31, 2010, the Company incurred $Nil (2009 - $Nil)
    in deferred exploration costs on the Halcyon Property.

    The  Company's  interest  is  subject  to a  2.5%  NSR,  of  which  1.5%  can be
    repurchased  by the Company for  $1,500,000.  Commencing  August 1, 2013, if the
    Company  exercises its option,  the Company will be obligated to pay advances on
    the NSR of $8,000 per annum, which will be deducted from any payments to be made
    under the NSR.

    Bell Lake
    On April 5, 2010, the Company entered into an option  agreement to acquire up to
    a 100% interest in the Bell Lake Property located in Ontario,  and agreed to the
    following consideration:

                                                                                                Exploration
             Date                                                     Cash          Shares      requirements
             ----                                                     ----          ------      ------------

    On or before April 5, 2010 (paid and issued)                     $25,000        300,000
    On or before April 5, 2011 (subsequently paid and issued)        $25,000        300,000        $    --
    On or before April 5, 2012                                       $40,000        400,000        $    --
    On or before April 5, 2013                                       $40,000             --        $    --
    On or before April 5, 2013                                       $80,000             --        $    --

    During the year ended December 31, 2010, the Company incurred $560 (2009 - $Nil)
    in deferred exploration costs on the Bell Lake Property.

                                          F-13

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    4. MINERAL PROPERTIES AND DEFERRED EXPLORATION COSTS - cont'd

    Bell Lake - cont'd
    The  Company's  interest  is  subject  to a  2.5%  NSR,  of  which  1.5%  can be
    repurchased by the Company for $1,500,000.  Commencing  August 1, 2014, once the
    Company  exercises its option,  the Company will be obligated to pay advances on
    the NSR of $5,000 per annum, which will be deducted from any payments to be made
    under the NSR.

    Manitoba Nickel
    On April 5, 2010, the Company entered into a purchase and sale agreement, with a
    company  with  directors in common,  to acquire a 100%  interest in the Thompson
    North,  South Bay and Cedar Lake properties  located in Manitoba,  and agreed to
    consideration  of $1,000 cash (paid) and 6,000,000  common  shares  (issued).The
    Company's interest is subject to a 2% NSR, of which 1% can be repurchased by the
    Company for $1,000,000.

    (a)  Thompson North Property
         During the year ended December 31, 2010, the Company  incurred $585 (2009 -
         $Nil) in deferred exploration costs on the Thompson North Property.

    (b)  South Bay Property
         During the year ended December 31, 2010, the Company  incurred $2,523 (2009
         - $Nil) in deferred exploration costs on the South Bay Property.

    (c)  Cedar Property
         During the year ended December 31, 2010, the Company  incurred $400 (2009 -
         $Nil) in deferred exploration costs on the Cedar Property.

    5. EQUIPMENT

                                             2010                                         2009

                                     Accumulated     Net book                 Accumulated                 Net book
                            Cost     amortization      value         Cost     amortization    Disposal      value
                            ----     ------------      -----         ----     ------------    --------      -----

    Computer hardware      $   --       $   --        $   --        $1,579       $ (863)       $ (716)      $   --
                           ======       ======        ======        ======       ======        ======       ======

    6. RELATED PARTY TRANSACTIONS

    During the year ended December 31, 2010, the Company  entered into the following
    transactions with related parties:

    (a)  recorded  $19,000  (2009 -  $Nil;  2008 - $Nil)  for  consulting  fees to a
         company in which a director has an interest;
    (b)  recorded  $90,000 (2009-  $24,000;  2008 - $24,000) for  management  fees a
         director  of the  Company  and to a  company  in  which a  director  has an
         interest;
    (c)  recorded $28,000 (2009 - $Nil; 2008 - $Nil) for geological  consulting fees
         to a director of the Company,  of which $26,833 (2009 - $Nil;  2008 - $Nil)
         has been recorded in consulting services as deferred  exploration costs for
         mineral  properties and $1,167 (2009 - $Nil; 2008 - $Nil) has been recorded
         in consulting fees on the statements of operations;
    (d)  recorded  $11,772  (2009 - $Nil;  2008 - $Nil) for  professional  fees to a
         company in which a director has an interest;
    (e)  entered into a purchase and sale  agreement,  with a company with directors
         in common for the acquisition mineral properties (Note 4); and
    (f)  issued 2,640,000 common shares at a fair value of $132,000, to a company in
         which a director has an interest for settlement of debt.

                                          F-14

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    6. RELATED PARTY TRANSACTIONS - cont'd

    Related party  transactions  were in the normal course of business and have been
    recorded at the  exchange  amount  which is the fair value agreed to between the
    parties.

    At December  31,  2010,  recorded in due to related  parties is $87,094  (2009 -
    $132,333)  owing to directors of the Company and companies in directors  have an
    interest. Amounts due to related parties are unsecured, non-interest bearing and
    without specific terms of repayment.

    7. SHARE CAPITAL

    a)   The  authorized  capital of the Company  comprises an  unlimited  number of
         common  shares  without  par value  and  100,000,000  Series 1  convertible
         preferred shares without par value.

    b)   Common shares issued and outstanding

                                              Number of                  Contributed
                                               shares         Amount       surplus
                                            -----------    -----------   -----------

    Balance, December 31, 2008 and 2009       5,441,730    $13,044,609   $    53,344
     Shares issued for debt                   2,640,000        132,000            --
     Shares issued for mineral properties     7,150,000        429,000            --
     Shares issued for private placement     20,000,000      1,100,000            --
     Stock-based compensation                        --             --       182,500
                                            -----------    -----------   -----------
    Balance, December 31, 2010               35,231,730    $14,705,609   $   235,844
                                            ===========    ===========   ===========

    Effective April 19, 2010, the Company consolidated its common share capital on a
    2:1 basis,  whereby each two old shares are equal to one new share and increased
    its authorized  capital from  100,000,000  common shares without par value to an
    unlimited  number of common shares  without par value.  All references to common
    shares,   stock  options,   warrants  and  weighted  average  number  of  shares
    outstanding  in  these  consolidated  financial  statements  reflect  the  share
    consolidation.

    Year ended December 31, 2010:

    The Company  issued  2,640,000  common  shares at a fair value of  $132,000  for
    settlement of debt (Note 6).

    The Company  completed a  non-brokered  private  placement of 10,000,000  common
    shares for proceeds of $500,000 and  10,000,000  units for proceeds of $600,000.
    Each unit  consists of one common  share and one share  purchase  warrant.  Each
    warrant is  exercisable  into one common share of the Company at $0.10 per share
    until  December 28, 2012.  The Company  does not  separately  disclose the value
    attributed to the warrants.

    The Company issued  7,150,000  common shares at a fair value of $429,000 for the
    acquisition of mineral properties (Note 4).

    c)   Preferred shares issued and outstanding

    At December  31, 2010 and 2009,  there are  604,724  (2009 - 604,724)  preferred
    common shares  outstanding.  The rights and restrictions of the preferred shares
    are as follows:

         i)   dividends shall be paid at the discretion of the directors;
         ii)  the holders of the preferred shares are not entitled to vote except at
              meetings of the holders of the

                                          F-15

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    7. SHARE CAPITAL - cont'd

    c)   Preferred shares issued and outstanding - cont'd

         ii)  - cont'd
              preferred  shares,  where  they  are  entitled  to one  vote  for each
              preferred share held;

         iii) the shares are convertible at any time; and

         iv)  the number of the common  shares to be received on  conversion  of the
              preferred  shares is to be determined by dividing the conversion value
              of the share, $1 per share, by $0.90.

    d) Warrants

    A continuity  schedule of outstanding common share purchase warrants at December
    31, 2010 is as follows:

                                                    Number of       Weighted average
                                                    warrants         exercise price
                                                    --------         --------------

    Balance, December 31, 2008 and 2009                    --             $  --
      Granted                                      10,000,000              0.10
                                                   ----------             -----
    Balance, December 31, 2010                     10,000,000             $0.10
                                                   ==========             =====

    At December 31, 2010, the Company had outstanding common share purchase warrants
    exercisable to acquire common shares of the Company as follows:

                                                                    Weighted average
     Number of                                      Exercise         remaining life
     warrants             Expiry date                price              (years)
     --------             -----------                -----              -------

    10,000,000         December 28, 2012             $0.10             1.99 years
    ==========         =================             =====             ==========

    e)   Stock options

    The Company has entered into a Stock  Option Plan (the  "Plan"),  providing  the
    authority to grant options to  directors,  officers,  employees and  consultants
    enabling them to acquire up to 10% of the issued and outstanding common stock of
    the Company. Under the Plan, the exercise price of each option equals the market
    price or a discounted  price of the Company's stock as calculated on the date of
    grant. The options can be granted for a maximum term of 10 years.

    The Company  calculates the fair value of all  stock-based  compensation  awards
    using the Black-Scholes option pricing model.

    During the year ended December 31, 2010, the Company granted 3,300,000 incentive
    stock  options to  directors,  officers  and  employees.  The  granting of these
    options  resulted in  stock-based  compensation  expense of  $182,500  which was
    recorded as  stock-based  compensation  expense on the statements of operations.
    The options granted vested upon issuance.

                                          F-16

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    7. SHARE CAPITAL - cont'd

    e) Stock options - cont'd

    The weighted  average fair value of stock options  granted during the year ended
    December  31,  2010 was  $0.055.  The  following  assumptions  were used for the
    Black-Scholes valuation of stock options during the year:

                                             2010          2009
                                             ----          ----

    Risk-free interest rate                  2.16%           --
    Expected life                          5 years           --
    Annualized volatility                  214.74%           --
    Dividend yield                              0%           --
                                           ======         =====

    A continuity  schedule of  outstanding  stock options at December 31, 2010 is as
    follows:

                                                    Number of       Weighted average
                                                     options         exercise price
                                                     -------         --------------

    Balance, December 31, 2008 and 2009                    --            $  --
      Granted                                       3,300,000             0.10
                                                    ---------            -----
    Balance, December 31, 2010                      3,300,000            $0.10
                                                    =========            =====

    At December 31, 2010, the Company had stock options  outstanding  exercisable to
    acquire common shares of the Company as follows:

     Number of       Number of                                      Weighted average
      options         options                          Exercise      remaining life
    outstanding     exercisable      Expiry date         price          (years)
    -----------     -----------      -----------         -----          -------

     2,950,000       2,950,000     August 27, 2015      $ 0.10             4.66
       150,000         150,000     November 25, 2015      0.10             4.90
       200,000         200,000     December 8, 2015       0.10             4.94
    ----------      ----------                                           ------
     3,300,000       3,300,000                                             4.69
    ==========      ==========                                           ======

    8. INCOME TAXES

    The Company has approximately  $572,000 in non-capital losses that can be offset
    against  taxable  income in future years which began  expiring at various  dates
    commencing in 2009,  and  approximately  $157,000 in capital losses which may be
    available to offset future  taxable  capital gains which can be carried  forward
    indefinitely.  The  potential  future tax  benefit of these  losses has not been
    recorded as a full-future tax asset valuation allowance has been provided due to
    the uncertainty regarding the realization of these losses.

    The related  potential  income tax benefits with respect to these items have not
    been recorded in the accounts.

                                          F-17

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    8. INCOME TAXES - cont'd

    A  reconciliation  of income taxes at statutory rates with the reported taxes is
    as follows:

                                                2010           2009          2008
                                             ---------      ---------     ---------

    Loss before income taxes:                $ 529,808      $ 117,645     $ 200,977
    Statutory rates                              28.50%         31.00%        31.00%
                                             ---------      ---------     ---------

    Expected income tax recovery               150,995         36,470        62,303
    Non-controlling interest                        --          3,389         2,668
    Effect of reduction in tax rates            (4,632)        (4,227)      (25,427)
    Permanent differences and other            (71,983)        (4,100)       14,307
    Expiring losses                                 --        (10,932)       (7,194)
    Non-allowable portion of capital loss      (42,380)            --            --
    Increase in valuation allowance            (32,000)       (20,600)      (46,657)
                                             ---------      ---------     ---------
     Net future income tax recovery          $      --      $      --     $      --
                                             =========      =========     =========

    The  significant  components  of the  Company's  future income tax assets are as
    follows:

                                                2010           2009
                                             ---------      ---------

    Non-capital loss carry forward benefit   $ 143,000      $  92,000
    Capital losses carried forward              39,000          2,000
    Mining properties                               --         56,000
    Valuation allowance                       (182,000)      (150,000)
                                             ---------      ---------
     Net future income tax asset             $      --      $      --
                                             =========      =========

    9. CAPITAL MANAGEMENT

    The Company manages its capital  structure,  which consists of share and working
    capital,  and  makes  adjustments  to it,  based on the funds  available  to the
    Company,  in order to support the  acquisition,  exploration  and development of
    mineral  properties.  The Board of  Directors  does not  establish  quantitative
    return on capital criteria for management, but rather relies on the expertise of
    the Company's management to sustain future development of the business.

    The  properties  in which  the  Company  currently  has an  interest  are in the
    exploration  stage;  as such the Company is dependent  on external  financing to
    fund its activities.  In order to carry out the planned  exploration and pay for
    administrative  costs,  the  Company  will  spend  its  existing  cash and raise
    additional amounts as needed. The Company will continue to assess new properties
    and seek to acquire interests in additional properties.

    Management  reviews its  capital  management  approach  on an ongoing  basis and
    believes that this approach,  given the relative size and nature of the Company,
    is reasonable.

    There were no changes in the Company's approach to capital management during the
    years ended December 31, 2010 and 2009. The Company is not exposed to externally
    imposed capital requirements.

                                          F-18

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    10. FINANCIAL INSTRUMENTS AND RISK FACTORS

    The Company's  financial  instruments consist of cash,  receivables,  marketable
    securities,  accounts payable and due to related parties.  The carrying value of
    these  financial  instruments  approximates  their fair value.  Cash is measured
    based on Level 1 inputs of the fair value hierarchy.

    The Company is engaged  primarily in the mineral  exploration  field and manages
    related industry risk issues directly.

    The  Company  is  potentially  at  risk  for   environmental   reclamation   and
    fluctuations in commodity based market prices  associated with resource property
    interests. Management is of the opinion that the Company addresses environmental
    risk and compliance in accordance with industry  standards and specific  project
    environmental  requirements.  There is no certainty that all environmental risks
    and contingencies have been addressed.

    The Company's primary risk exposures are summarized below:

    Credit risk
    The Company's credit risk is primarily  attributable to its cash accounts.  This
    risk is managed  through the use of major  banks  which are high credit  quality
    financial institutions as determined by rating agencies. The Company's secondary
    exposure to credit risk is on its  receivables.  Receivables  include  primarily
    goods and services  tax due from the Federal  Government  of Canada.  Management
    believes  that the  Company  has no  significant  concentration  of credit  risk
    arising from operations

    Liquidity risk
    The Company's approach to managing liquidity risk is to ensure that it will have
    sufficient  liquidity to meet third party  liabilities when due. The Company has
    working  capital  of  $556,665  at  December  31,  2010.  All of  the  Company's
    liabilities have contractual  maturities of less than 30 days and are subject to
    normal trade terms.  The Company is dependent on  management's  ability to raise
    additional funds so that it can manage its financial obligations. The ability to
    raise  funds in capital  markets is  impacted  by  general  market and  economic
    conditions and the commodity markets in which the Company conducts business.

    Market risk
    (a) Interest rate risk
    The Company has cash balances and no interest-bearing  debt therefore,  interest
    rate risk is minimal.

    (b) Foreign currency risk
    The Company's functional currency is the Canadian dollar and major purchases are
    transacted in Canadian dollars: therefore, foreign currency risk is minimal.

    11. SUPPLEMENTAL CASH FLOW INFORMATION

    The Company incurred non-cash financing and investing activities during the year
    ended December 31, 2010 as follows:

                                                                 2010           2009
                                                                 ----           ----

    Common shares issued for debt (Note 6)                     $132,000        $  --
    Accrued mineral property and deferred exploration costs    $  2,825        $  --
    Common shares issued for mineral properties (Note 4)       $429,000        $  --
                                                               ========        =====

                                          F-19

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    12. COMMITMENTS

    Effective May 1, 2010,  the Company  entered into the following  agreements  for
    services with  directors of the Company and a company in which a director has an
    interest:

         i)   management fees: $5,000 per month and $4,000 per month
         ii)  consulting fees: $3,500 per month

    Each of the agreements  shall be continuous and may only be terminated by mutual
    agreement of the parties, subject to the provisions that in the event there is a
    change of effective  control of the  Company,  the party shall have the right to
    terminate  the  agreement,  within  sixty  days from the date of such  change of
    effective control,  upon written notice to the Company.  Within thirty days from
    the date of delivery of such notice,  the Company shall forward to the party the
    amount of money due and owing to the party  hereunder  to the extent  accrued to
    the employee to the effective date of termination.

    13. RECONCILIATION BETWEEN CANADIAN AND UNITED STATES GENERALLY ACCEPTED
        ACCOUNTING PRINCIPLES

    These  consolidated  financial  statements have been prepared in accordance with
    Canadian GAAP,  which differs in certain respects from US GAAP. A description of
    US GAAP and practices  prescribed by the US Securities  and Exchange  Commission
    ("SEC") that result in material  measurement  and  disclosure  differences  from
    Canadian GAAP are summarized as follows:

    Consolidated Balance Sheets

                                                                                  2010                  2009
                                                                              -----------           -----------

    Total assets under Canadian GAAP                                          $ 1,363,910           $   184,212

      (a) Mineral property exploration costs expensed under USGAAP               (177,718)              (31,138)
                                                                              -----------           -----------

    Total assets under US GAAP                                                $ 1,186,192           $   153,074
                                                                              ===========           ===========

    Total liabilities under Canadian and US GAAP                              $   129,527           $   185,747
                                                                              ===========           ===========

    Non-controlling interest under Canadian GAAP                              $        --           $    53,249

      (a) Non-controlling interest in mineral property exploration costs
          expensed under US GAAP                                                       --               (10,774)
                                                                              -----------           -----------

    Non-controlling interest under US GAAP                                    $        --           $    42,475
                                                                              ===========           ===========

    Total shareholders' equity (deficit) under Canadian GAAP                  $ 1,234,383           $   (54,784)

      (a) Mineral property exploration costs expensed under US GAAP              (208,856)              (31,138)

      (a) Non-controlling interest in mineral property exploration costs
          expensed under US GAAP                                                   10,774                10,774
                                                                              -----------           -----------

    Total shareholders' equity (deficit) under US GAAP                        $ 1,036,301           $   (75,148)
                                                                              ===========           ===========

                                          F-20

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    13. RECONCILATION BETWEEN CANADIAN AND UNITED STATES GENERALLY ACCEPTED
        ACCOUNTING PRINCIPELS - cont'd

    Consolidated Statements of Operations and Deficit

                                                                                 Years ended December 31,
                                                                     2010                  2009                  2008
                                                                 -----------           -----------           -----------

    Net loss under Canadian GAAP                                 $  (529,808)          $  (117,645)          $  (200,977)

      (a) Mineral property exploration costs expensed
          under US GAAP                                             (177,718)                   --                (6,490)

      (a) Non-controlling interest in mineral property
          exploration costs expensed under US GAAP                        --                    --                 2,246

      (c) Loss on sale of subsidiary                                  14,208                    --                    --
                                                                 -----------           -----------           -----------

    Net loss under US GAAP                                          (693,318)             (117,645)             (205,221)

    Accumulated other comprehensive income (loss)                    (24,525)               24,525                    --
                                                                 -----------           -----------           -----------

    Comprehensive loss - US GAAP                                 $  (717,843)          $   (93,120)          $  (205,221)
                                                                 ===========           ===========           ===========

    Basic and diluted loss per share under US GAAP               $     (0.04)          $     (0.02)          $     (0.04)
                                                                 ===========           ===========           ===========

    Consolidated Statements of Cash Flows

    Net cash used in operating activities under
     Canadian GAAP                                               $  (282,855)          $   (24,146)          $   (22,477)

      (b) Mineral property exploration costs incurred               (177,843)                   --                (6,490)
                                                                 -----------           -----------           -----------
    Net cash used in operating activities under
     US GAAP                                                     $  (460,573)          $   (24,146)          $   (28,967)
                                                                 ===========           ===========           ===========
    Net cash provided by (used in) investing activities
     under Canadian GAAP                                         $  (174,433)          $        --           $    (6,490)

      (b) Mineral property exploration costs incurred                177,718                    --                 6,490
                                                                 -----------           -----------           -----------
    Net cash provided by (used in) investing activities
     under US GAAP                                               $     3,285           $        --           $        --
                                                                 ===========           ===========           ===========
    Net cash provided by financing activities under
     Canadian and US GAAP                                        $ 1,100,000           $        --           $        --
                                                                 ===========           ===========           ===========

                                          F-21

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    13. RECONCILIATION BETWEEN CANADIAN AND UNITED STATES GENERALLY ACCEPTED
        ACCOUNTING PRINCIPLES - cont'd

    (a) Interest in unproven mineral properties

    In accordance  with Canadian  GAAP,  the cost of mineral  properties and related
    exploration and  development  costs are deferred until the properties are placed
    into  production,  sold,  abandoned or  management  has  determined  there to be
    impairment.

    In accordance with US GAAP,  mineral  property  acquisition  costs are initially
    capitalized when incurred and the carrying value of intangible  assets and other
    long-lived  assets is reviewed on a regular  basis for the existence of facts or
    circumstances that may suggest  impairment.  The Company  recognizes  impairment
    when the sum of the  expected  undiscounted  future  cash flows is less than the
    carrying amount of the asset.  Mineral property  exploration costs are generally
    expensed as incurred until commercially minable deposits are determined to exist
    within a particular property as cash flows cannot be reasonably  estimated prior
    to such determination.

    Accordingly,  for all periods  presented,  the Company has  expensed all mineral
    property  exploration  costs for US GAAP. During 2009, the Company optioned some
    of its mineral property  interest.  Under Canadian GAAP, the Company will record
    the option proceeds against the carrying value of the mineral property while for
    US GAAP,  the Company  will record the option  proceeds as a recovery of mineral
    property costs on the statement of operations.

    (b) Mineral property costs incurred

    Under Canadian GAAP,  cash flows relating to mineral  property  acquisition  and
    exploration  costs and  option  proceeds  received  are  reported  as  investing
    activities.  Under  US GAAP,  exploration  costs  are  classified  as  operating
    activities.  The  net  cash  provided  by  (used  in)  operating  and  investing
    activities has been adjusted accordingly for all periods presented.

    (c) Loss on sale of subsidiary

    As  described  in (a)  above,  there  is a  difference  between  the  basis  for
    capitalization, expensing and mineral property exploration and development costs
    between  Canadian  GAAP and US GAAP. To the extent that mineral  properties  are
    owned by the  Company's  subsidiary,  this  difference  gives rise to  different
    carrying  values in the subsidiary  mineral  properties and the  non-controlling
    interests  in the  Company's  subsidiary  under US GAAP as  compared to Canadian
    GAAP. Accordingly, upon sale of the underlying subsidiary, the resulting gain or
    loss is different between Canadian GAAP and US GAAP.

    (d) Income taxes

    Under US GAAP, the effect on deferred tax assets and  liabilities of a change in
    tax rates is  recognized  in income in the period that  includes  the  enactment
    date.  Under Canadian GAAP, the effect of a change in tax rates is recognized in
    the period of substantive enactment. The application of this difference under US
    GAAP does not result in a material  difference  between  future  income taxes as
    recorded under Canadian GAAP.

    (e) Recent accounting pronouncements

    In January 2010, the FASB issued ASU 2010-06,  Improving  Disclosures about Fair
    Value  Measurements,  which  is  included  in the  ASC  Topic  820  (Fair  Value
    Measurements  and  Disclosures).  ASU 2010-06  requires new  disclosures  on the
    amount  and  reason  for  transfers  in and  out  of  Level  1 and 2 fair  value
    measurements.  ASU 2010-06 also requires  disclosures of  activities,  including

                                          F-22

     NORTH AMERICAN NICKEL INC.
    (formerly Widescope Resources Inc.)
    Notes to the Consolidated Financial Statements
    For the Year Ended December 31, 2010
    --------------------------------------------------------------------------------

    13.  RECONCILIATION  BETWEEN  CANADIAN  AND  UNITED  STATES  GENERALLY  ACCEPTED
         ACCOUNTING PRINCIPLES - cont'd

    (e) Recent accounting pronouncements - cont'd

    purchases,  sales,  issuances,  and a  settlement  within  Level  3  fair  value
    measurements  and  clarifies  existing  disclosure  requirements  on  levels  of
    disaggregation  and  disclosures  about  inputs and  valuation  techniques.  ASU
    2010-06 is effective for interim and annual  reporting  periods  beginning after
    December 15, 2009 except for the disclosures about purchases,  sales, issuances,
    and  settlements  in the  roll  forward  of  activity  in  Level  3  fair  value
    measurements.  Those  disclosures are effective for fiscal years beginning after
    December 15, 2010,  and for interim  periods  within  those  fiscal  years.  The
    implementation  of the adoption of ASU 2010-06 has not had a material  impact on
    the Company's consolidated financial statements.

    In February  2010, the FASB issued ASU 2010-09,  "Subsequent  Events (Topic 855)
    Amendments to Certain  Recognition and Disclosure  Requirements".  The amendment
    eliminates  the  requirement  for SEC filers to disclose the date through  which
    subsequent  events  have  been  evaluated.  This  standard  had no impact on the
    Company's consolidated financial statements.

    There are several new accounting pronouncements issued by FASB which are not yet
    effective.  Each of these  pronouncements,  as  applicable,  has been or will be
    adopted by the  Company.  Management  does not believe  any of these  accounting
    pronouncements has had or will have a material impact on the Company's financial
    position or operating results.

    14. SUBSEQUENT EVENTS

    Subsequent  to December  31, 2010,  the Company paid $30,000 and issued  300,000
    common shares pursuant to the Post Creek Property option agreement, paid $15,000
    and issued  150,000 common shares  pursuant to the Woods Creek  Property  option
    agreement, paid $25,000 and issued 200,000 common shares pursuant to the Halcyon
    Property  option  agreement  and paid $25,000 and issued  300,000  common shares
    pursuant to the Bell Lake Property option agreement (Note 4).

                                          F-23