TORONTO, ONTARIO--(Marketwire - June 8, 2011) - Continental Nickel Limited (News - Market indicators) ("CNI" or the "Company") is pleased to announce the appointment of Stewart Watkins as Study Manager for the Ntaka Hill Project. In this role Stewart will be responsible for delivery of the Ntaka Hill Scoping Study scheduled for completion in October 2011. He will also be responsible for the environmental and social base line studies and long lead environmental test work necessary to achieve environmental approval of the project as well as the ongoing metallurgical test work program. The project is a 75:25 Joint Venture between CNI and IMX Resources Limited ("IMX") of Australia.

Stewart is a Metallurgist and joined CNI from Sedgman Limited where he was most recently responsible for Business Development aimed at expanding Sedgman into the minerals processing arena in Australia. Stewart worked previously for Intermet Engineering, a company of which he was a part owner that was purchased by and consolidated into Sedgman, as Processing Manager. This position included roles as Project, Study and Commissioning Manager on a range of international projects. Prior to this he spent six years with Fluor Australia/Signet Engineering as a Senior Processing Engineer responsible for the process design and commissioning of a range of complex processing plants in Australia and Africa.

John Nitschke, Chairman and Acting Chief Executive Officer for CNI, commented "Stewart completes the team of people that we need to deliver the three things that we need to do this year – expand the resources at the new Sleeping Giant Resource that is still open in all directions, continue to explore the broader Nachingwea tenements including following up the very exciting malachite showing that was uncovered by artisanal miners over the wet season and demonstrating the value of Ntaka Hill by the completion of a Scoping Study."

About Continental Nickel

Continental Nickel Limited is focused on the exploration, discovery and development of nickel sulphide deposits in geologically prospective, but under-explored regions globally. The Company's key asset is its 75% interest in the Nachingwea project in Tanzania, where NI 43-101 compliant Mineral Resources (Measured and Indicated) have defined 60,900 tonnes of contained nickel and an additional 131,000 tonnes of contained nickel in Inferred Mineral Resources. The project is a 75:25 exploration joint venture between the Company and IMX Resources Limited of Australia.

The Company also has an option to joint venture on the St. Stephen project in New Brunswick, Canada where the 2010 diamond drill program discovered new Ni-Cu sulphide zones. 

Continental Nickel Limited has 39,130,508 shares issued and outstanding (46,559,914 on a fully-diluted basis) and trades on the TSX Venture Exchange under the symbol CNI. The Company remains well-funded with over C$8.7 million in the treasury as at March 31, 2011.

On behalf of Continental Nickel Limited

John Nitschke, Executive Chairman and Acting CEO

CAUTIONARY STATEMENT: This News Release includes certain "forward-looking statements". All statements other than statements of historical fact included in this release including, without limitation, statements regarding potential mineralization, potential or estimated metal recoveries, resources and reserves, exploration results, future plans and objectives of Continental Nickel Limited, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Continental Nickel Limited's expectations are the risks detailed herein and from time to time in the filings made by Continental Nickel Limited with securities regulators.