Capella Minerals Ltd. has announced the approval of diamond drill permits for its Hessjøgruva copper-cobalt-zinc (Cu-Co-Zn) project located in Trøndelag, Central Norway. This project is part of a joint venture agreement with Tümad Madencilik Sanayi Ve Ticaret A.S., focusing on the exploration of copper and gold projects in Norway and Northern Finland. The Hessjøgruva project is at an advanced exploration stage, having previously undergone 12,035 metres of historical diamond drilling in the 1970s. The current drilling programme will involve an initial 4,400 metres of drilling from approximately ten platforms within the Lens A deposit, with follow-up drilling planned for both Lens A and potentially other satellite lenses (B-F). The primary objective of this drilling programme is to produce a maiden National Instrument 43-101 compliant Mineral Resource Estimate for the project.
The approved permits allow drilling to take place between July 15 and November 1 in both 2027 and 2028. Additionally, Capella may conduct further drilling on select targets in the adjacent Kongensgruve project, which includes the Storhovsbekken VMS target. As part of the Tümad joint venture agreement, up to 8,000 metres of diamond drilling must be funded at Hessjøgruva as a minimum investment commitment for the first year. Due to delays in obtaining the necessary permits, Capella has extended this investment milestone to December 31, 2027.
Eric Roth, President and CEO of Capella, expressed his satisfaction with the approval of the diamond drill programme, highlighting the potential of the Hessjøgruva project to contribute to the European critical minerals supply chain. Both copper and cobalt are considered strategic materials by the Norwegian government and the European Union, with a strong emphasis on local sourcing to reduce dependency on foreign suppliers.
In addition to the Hessjøgruva update, Capella provided news on its reconnaissance diamond drill programme at the Killerö W project in Northern Finland, which is also part of the Tümad joint venture. A total of 669.2 metres of diamond drilling was completed on two initial gold-copper geochemical anomalies. The drilling intersected mineralization predominantly consisting of chalcopyrite-pyrrhotite-bearing quartz-carbonate veining, with the highest copper grade recorded at 0.98% Cu over 1.0 metre. However, no significant gold values were returned from this drilling.
Despite the completion of the drilling at Killerö W, Tümad has opted not to proceed to Phase II of the earn-in agreement due to low gold values. Consequently, the Northern Finland projects will remain under the current ownership structure of 80% Capella and 20% Cullen Resources Ltd, with Tümad retaining a 1% Net Smelter Royalty on any future production from these projects. The technical information in this release has been prepared in accordance with Canadian regulatory requirements and approved by Eric Roth, a Qualified Person under NI 43-101.
