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VANCOUVER, BC, Dec. 3, 2024 /CNW/ - Capella Minerals Ltd (TSXV: CMIL) (OTCQB: CMILF) (FRA: N7D2) ("Capella" or the "Company") is pleased to announce a corporate update and non-brokered financing concurrently with share consolidation. Capella will focus on its Northern Finland gold-copper projects and the advanced exploration-stage Hessjøgruva copper-cobalt-zinc project in central Norway, having streamlined its portfolio through the divestiture of non-core assets in the Americas.
Capella also entered in to a strategic partnership with Teako Minerals Corp. ("Teako")(CSE: TMIN) to explore and drill the Løkken copper-cobalt-zinc project in central Norway (see Company News Release dated August 19, 2024). Subject to final permit approvals, Teako currently expects to initiate first-pass drilling on the Åmot target in Q1, 2025.
The Company wishes to raise sufficient funds to scout drill the Killerö E target, the former Anglo American gold-copper target located in the Central Lapland Greenstone Belt ("CLGB") of Northern Finland. At present, high interest exists for the discovery of orogenic gold-copper deposits in the CLGB, which currently hosts a world-class producing gold mine and a development-stage gold project. The Killerö E gold-copper target is broadly located on a NE-trending splay that cross-cuts the highly-prospective Sirkka Thrust Zone, which is host to a number of successful gold exploration projects. The Killerö E property is fully permitted and drill-ready, and full subscription to the financing will allow the planned drill program to proceed.
The Company has secured commitment for participation from a major gold producer as well as support from its Board of Directors.
Share Consolidation and Financing
In order to provide a solid foundation for the advancement of the priority Killerö E & W targets (historical "base of till" gold-copper geochemical anomalies) and the Saattopora W target (western extension of the former Outokumpu Oy Saattapora gold-copper mine) in the CLGB, the Company wishes to announce that its Board of Directors has approved a consolidation of its common shares on the basis of one new common share for every six outstanding shares (6 old:1 new).
In addition, Capella's Board of Directors has approved a non-brokered private placement of up to 15,000,000 units ("Units") at $0.05 per Unit to raise gross proceeds of up to $750,000 on a post-consolidated basis, with possibility to expand. Each Unit shall consist of one post-consolidated share and one-half of one share purchase warrant, each whole warrant entitling the holder to acquire an additional post-consolidated share, at a price of $0.10 per post-consolidated share for a period of two years from date of issuance. Gross proceeds of up to $750,000 will be used for advancing the Company's Scandinavian projects and general working capital.
Furthermore, both the Company's Directors and Management have taken positive steps to contain cash costs and to reduce staff payables with some staff participating in this raise on a debt for shares exchange on the same terms as this financing excluding the warrant.
These transactions will be subject to Exchange acceptance, and finder's fees may be paid in accordance with TSX Venture Exchange guidelines. All securities issued pursuant to the private placement will be subject to a regulatory four month hold period trading restriction.
Qualified Persons and Disclosure Statement
The technical information presented in this news release has been prepared in accordance with Canadian regulatory requirements set out in NI 43-101 and approved by Eric Roth, the Company's President & CEO, a Director, and a Qualified Person under NI 43-101. Mr. Roth holds a Ph.D. in Economic Geology from the University of Western Australia, is a Fellow of the Australian Institute of Mining and Metallurgy (AusIMM) and is a Fellow of the Society of Economic Geologists (SEG). Mr. Roth has 35 years of experience in international minerals exploration and mining project evaluation.
On Behalf of the Board of Capella Minerals Ltd.
"Eric Roth"
___________________________
Eric Roth, Ph.D., FAusIMM
President & CEO
About Capella Minerals Ltd
Capella is a Canadian exploration and development company with a focus on gold-copper projects in the Central Lapland Greenstone Belt of northern Finland & copper-cobalt projects in Norway.
In northern Finland, the Company's portfolio consists of 5 copper-gold projects - including the priority Killerö E target (a former Anglo American project that was never drilled) and the Saattopora W target (the western extension to Outokumpu Oy's Saattopora former copper-gold mine) - all of which are located about 40km SW of Agnico Eagle's Kittilä Gold Mine, currently the largest gold producer in Europe.
In the Trøndelag Province of central Norway, the Company's focus is on the discovery of high-grade copper-cobalt massive sulfide (VMS) deposits in the former mining districts of Løkken and Røros. The Company's portfolio includes: i) a 100% interest in the advanced exploration-stage Hessjøgruva copper-cobalt project and adjacent Kongensgruve project in the northern Røros mining district, and ii) exposure to the discovery of new satellite copper-cobalt-zinc VMS targets around the past-producing Løkken copper mine through a strategic partnership with Teako Minerals (CSE: TMIN).
Capella also holds significant equity positions in Teako Minerals (CSE: TMIN) and Grit Metals Corp. (formerly European Energy Metals Corp; TSXV: FIN) as a direct result of the recent divestiture of non-core assets.
For additional information you are cordially invited to visit the Capella Minerals Ltd website at www.capellaminerals.com, or contact Karen Davies, VP Shareholder Relations and Corporate Development, at Tel: +1.604.314.2662
Cautionary Notes and Forward-looking Statements
This news release contains forward-looking information within the meaning of applicable securities legislation. Forward-looking information is typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. Such statements include, without limitation, statements regarding the future results of operations, performance and achievements of Capella, including the timing, completion of and results from the exploration and drill programs described in this release. Although the Company believes that such statements are reasonable, it can give no assurances that such expectations will prove to be correct. All such forward-looking information is based on certain assumptions and analyses made by Capella in light of their experience and perception of historical trends, current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. This information, however, is subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. Important factors that could cause actual results to differ from this forward-looking information include those described under the heading "Risks and Uncertainties" in Capella's most recently filed MD&A. Capella does not intend, and expressly disclaims any obligation to, update or revise the forward-looking information contained in this news release, except as required by law. Readers are cautioned not to place undue reliance on forward-looking information.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Capella Minerals Limited
Capella Contacts: Eric Roth, Email: [email protected]; Karen Davies, +1.604.314.2662
