Capella Minerals: Major Underexplored Gold Project Added in Emerging Finnish Hotspot

• Capella Minerals is focused on gold and copper exploration in Scandinavia, with projects in Norway, Sweden and Finland.
• The Shoely copper project in Norway is set to begin drilling in early 2022 on high priority targets identified through geophysics.
• The Lokken copper project in Norway has over 20 satellite targets that will also be explored.
• A large gold-copper project was recently acquired in Finland's Central Lapland Greenstone Belt, with plans for an airborne survey and sampling.
• Funding exploration through potential sale of shares in Ethos Gold, aiming to avoid dilution from capital raises.

Copper and Gold Potential in Norway and Finland

Capella Minerals is a Canadian mineral exploration company focused on unlocking the potential of historical mining districts and underexplored areas in Scandinavia. With high-grade copper assets in Norway as well as an exciting new gold-copper project acquired this year in Finland's prolific Central Lapland Greenstone Belt, the company offers investors leveraged exposure to discovery upside.

Advancing Copper Assets in Norway

In Norway, Capella Minerals has two past-producing copper projects. As CEO Eric Roth explained, "We found [these projects] very attractive with these are former mining districts so - keeping in mind that these were high-grade copper districts that have been in production for literally hundreds of years." The company sees an opportunity to expand known mineralization as well as make discoveries in clusters around historical mines.

At the Kjøli copper project, Roth noted that they have identified "eight or ten which we consider the best of the best, but the highest priority targets on the shoulder which are now going through permitting." Drilling is set to begin in early 2022 with the plan for "an initial 5,000 meters of drilling...the initial test of what I'd say is that the highest priority targets."

Meanwhile, the Lokken copper project hosts over 20 underexplored satellite targets offering significant potential. As Roth commented, "Very little work has been done on any of these satellite deposits so - we see lots of potential to grow these at depth because not much work has been done on them."

Major Land Position Secured in Prolific Finnish Gold Belt

This summer, Capella Minerals acquired a 200 sq km land package from Australian company Cullen Resources in Finland's Central Lapland Greenstone Belt. Several recent major discoveries have been made in the area, including Rupert Resources' 4 million-ounce Ikkari deposit. As Roth enthused, “This is a really fantastic piece of crust, from a geological perspective on the global stage."

Initial plans include an airborne magnetic survey to better map the geology below the thin glacial till cover. Historical till sampling returned exceptional numbers including 0.5% copper, underscoring the prospectivity. The project encompasses a former gold-copper mine as well as numerous documented mineral occurrences.

Roth believes that compared to other gold-rich Precambrian terrains globally, the region remains underexplored and he sees exceptional discovery potential on the property. Permitting allows time for additional sampling and geophysics before parts of the reservations are converted into full exploration licenses.

Avoiding Dilution Key Priority

With active projects across Norway, Sweden and Finland, a key priority for Capella in 2022 is avoiding dilution from capital raises. Roth explained, “10 cents there's not a lot of enthusiasm to go back for a big raise." Instead, the company is looking at options to fund continued exploration such as the sale of its 3 million shares held in Ethos Gold. The goal is to “liquidate assets...let's see what else we can do that's clever before we have to go back to the market.”

With copper projects advancing towards maiden drilling and a sizable new opportunity secured in an exceptional gold belt, Roth summarized that "discovery is key and that's obviously number one." Their experienced team has repeatedly demonstrated discovery success in the past, giving investors confidence that their project portfolio holds substantial resource upside still to be unlocked.

The Investment Thesis for Capella Minerals

• Trading at just C$15M market valuation with 4,000 sq km of highly prospective exploration ground
• Funded for 5,000m drill program in Norway testing high-grade copper targets
• Additional satellite targets offer significant exploration upside and cluster potential
• Major 200 sq km land package added in prolific Finnish gold belt that is underexplored
• Avoiding dilution a priority - monetizing other assets and investments first
• Proven technical team with a track record of discovery success

With copper assets advancing to drilling in Norway and a new gold project secured in an emerging Finnish discovery hotspot, Capella Minerals presents investors an attractive leveraged play on potential near-term exploration success and resource expansion upside. The company's philosophy of avoiding dilution and monetizing other assets first shows its commitment to enhancing shareholder value. Headed by a proven discovery-focused leadership team, Capella offers attractive risk/reward at current valuations. Investors should though moderate enthusiasm with smaller market cap companies with multiple assets and a small cash position. Focus and careful and efficient allocation of capital is important. We caution that the company's success will be predicated on being able to quickly demonstrate genuine, economic discoveries and the availability of cheap capital to do so. The permitting process may also take longer than hoped.