Capella Closes Oversubscribed Financing and Completes Acquisition of Lithium and REE Project Portfolio in Finland

Capella Closes Oversubscribed Financing and

Completes Acquisition of Lithium and REE

Project Portfolio in Finland

VANCOUVER, BC

,

Oct. 31, 2022

/CNW/ -

Capella Minerals Ltd.

(TSXV: CMIL) (OTCQB: CMILF)

(FRA: N7D2) ("

Capella

" or the "

Company

") is pleased to announce that it has closed its previously

announced private placement (

October 6, 2022

) and that the placement has been upsized to

accommodate the oversubscribed non-brokered placement.

The Company has successfully completed the sale of an aggregate 26,893,333 units at a price of

C$0.06

per unit for gross proceeds of

C$1,611,600

. Each unit issued consists of one common

share and one-half of a share purchase warrant, each whole warrant entitling the holder to acquire

an additional common share for

$0.12

per share until expiry on

October 28

, 2024. The warrants

shall also be subject to an accelerated exercise clause in the event the Company's share price

exceeds

C$0.25

for 10 consecutive trading days. One of the directors of the Company has

participated in the financing as to 500,000 units being less than 1% of the market capitalization of

the Company. The Company has paid finder's fees of an aggregate

$58,800

and issued an

aggregate 980,000 share purchase warrants exercisable at

$0.12

until

October 28

, 2024. Proceeds

will be used to further the Company's projects in

Norway

and

Finland

as well as general and

administrative expenses.

All shares issued pursuant to the private placement are subject to a hold period trading restriction

that will expire on

March 1

, 2023.

Additionally, the Company wishes to announce that it has received Exchange acceptance to the

closing of its acquisition of ElementX Finland Oy ("ElementX") and thereby acquiring its 100%

interests in five fully granted reservations and two reservation applications in southern

Finland

(see

the Company's news release dated

October 6, 2022

for further details on the projects). In

consideration for the acquisition, Capella has issued ElementX's shareholders an aggregate

15,100,000 shares of the Company. All shares issued are subject to a hold period trading restriction

expiring

March 1, 2023

. Additionally, pursuant to the agreement, ElementX holders will be subject to

a voluntary hold period expiring

June 1, 2023

.

On Behalf of the Board of Capella Minerals Ltd.

"Eric Roth"

___________________________

Eric Roth

, Ph.D., FAusIMM

President & CEO

About Capella Minerals Ltd

Capella is engaged in the acquisition, exploration, and development of quality mineral resource

properties with a focus on base & battery metals in

Finland

and

Norway

and gold in

Canada

.

The Company's Lithium-REE focus is on a portfolio of seven 100%-owned projects located in south-

central

Finland

. Primary targets are lithium-cesium-tantalum ("LCT") pegmatite fields located within

the Järvi-Pohjanmaa and Seinäjoki lithium-permissive tracts. Four of the reservations (Nabba,

Lappajarvi W and E, and Kaatiala) are located adjacent to Kelibre Oy's spodumene mine

development project in the Kaustinen district. The Company also holds the Perho Li-REE reservation

in southern

Finland

through the Cullen Resources Ltd (ASX: CUL) JV.

The Company is also actively exploring the Katajavaara-Aakenus copper-gold project (Cullen

Resources JV) in the Central Lapland Greenstone Belt of northern

Finland

, with a primary focus on

the undrilled Killero copper-gold target area.

In

Norway

, the Company's current focus is on: i) the advanced exploration-stage Hessjøgruva

copper-cobalt project and adjacent Kongensgruve and Kjøli projects in the Røros mining district,

Trøndelag County ii) the discovery of new high-grade copper-cobalt deposits around the past-

producing Løkken (Løkken Verk District) copper mine, Trøndelag County, and iii) the discovery of

new copper-cobalt deposits in the former Vaddas-Birtavarre mining district of northern

Norway

.

With respect to precious metals, Capella is involved in Joint Ventures with Prospector Metals Corp

(TSXV: PPP) at the Savant project in

Ontario

, and with Yamana Gold Inc. (TSX: YRI) at the Domain

project in

Manitoba

. The Company also retains a residual interest (subject to an option to purchase

agreement with Austral Gold Ltd) in the Sierra Blanca gold-silver divestiture in

Santa Cruz

,

Argentina

.

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

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For further information:

Capella Contacts: Eric Roth, Email: [email protected]; Karen

Davies, +1.604.314.2662

CO: Capella Minerals Limited

CNW 09:00e 31-OCT-22