TORONTO, ONTARIO--(Marketwire - May 22, 2008) - Victory Nickel Inc. ("Victory Nickel" or the "Company")(TSX:NI) (www.victorynickel.ca) today announced that it has commissioned Outotec (USA) Inc. of Jacksonville, FL, to complete a feasibility-level design of a frac sand processing plant for use at its Minago nickel deposit on Manitoba's Thompson Nickel Belt.

Frac sand, which is used to enhance recoveries in the oil and gas industry, forms part of the overburden that must be removed before mining nickel from the Minago open pit. In conjunction with the definitive feasibility study of the 100%-owned Minago nickel project, Wardrop Engineering Inc. ("Wardrop") has concluded that Victory Nickel could sell 824,000 tonnes of sand per year to existing and emerging markets in North America. The Outotec frac sand plant design and related capital and operating cost data will form an integral part of the standalone feasibility study being conducted on the frac sand operation.

"Frac sand is an important by-product that would have a very positive impact on nickel production costs at Minago," said Steve Harapiak, President and COO. "The significance of the sand operation continues to increase as demand for frac sand rises with the identification of additional oil and gas opportunities in Canada and the US and, in conjunction with Wardrop, we are currently evaluating the strategy that could enable us to begin producing and marketing frac sand as quickly as possible."