At an early age he joined his father, Georgios, in his trading travels, and participated in fights with the corsairs of the Barbary Coast.

27 May] 1821 in the harbour of Eressos in Lesbos, where the fireship destroyed an Ottoman two-deck frigate which lay in anchor there.

This led to the generalized use of fireships by the Greeks, who were thus able to even the balance with the far more powerful Ottoman Navy.

Papanikolis remained active for the remainder of the war, distinguishing himself again in the Battle of Gerontas in August 1824.

In 1836 however the ship sank after ramming a reef off Zakynthos, and Papanikolis was placed in suspended service until 1841, when he was given command of the corvette Amalia.