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Capella Provides Update on Central Finland Lithium Project

Corporate Updates

Capella Provides Update on Central Finland Lithium

Project

VANCOUVER, BC

,

Jan. 10, 2024

/CNW/ -

Capella Minerals Ltd

(TSXV: CMIL) (OTCQB: CMILF) (FRA: N7D2)

("Capella" or the "Company") notes today's News Release from Joint Venture partner European Energy Metals Corp.

(TSX.V: FIN)("European Energy") in which it confirms that it has completed

CAD 1 million

in exploration expenditures

on the Central Finland Lithium Project (the "Project"), being a key requirement for earning-in to an initial 51% interest

in the Project as per the original Earn-In Agreement (see Company News Release dated

March 20, 2023

). European

Energy's field teams completed extensive summer/autumn 2023 sampling and mapping programs which included the

collection of some 1,100 rock chip grab samples and have resulted in the discovery of several high-grade lithium

prospects which are now being permitted for drilling. European Energy may formally complete its 51% earn-in to the

Project through the payment of

CAD 100,000

in cash and 400,000 FIN common shares to Capella.

European Energy's News Release is available at:

https://europeanenergymetals.com/news/news-2024.html

Eric Roth

, Capella´s President and CEO

commented: "I am pleased to be reporting today on the progress that

European Energy has made on advancing the Central Finland Lithium Project. Highlights of the exploration activities to

date include the discovery of high-grade spodumene-bearing boulder trains within the northernmost Nabba reservation

(see European Energy News Release dated

December 7, 2023

), with two Exploration Licences (EL's) covering 4,550

hectares having now been applied for in order to allow initial scout drilling. A further update on the timing and details

of the next phase of exploration is expected to be provided upon receipt of the Exploration Licenses".

Qualified Persons and Disclosure Statement

The technical information in this news release relating to the Central Finland Lithium Project 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 engaged in the acquisition, exploration, and development of quality mineral resource properties in

favourable jurisdictions with a focus on European base and battery metals projects.

On

October 17, 2023

, the Company entered in to a binding asset sale agreement with NickelX, a private Norwegian

mining company, through which it will divest its 100% interests in the Hessjøgruva, Kjøli, and Lokken projects copper-

zinc-cobalt projects in Trøndelag, central

Norway

. NickelX currently holds 100% interests in four nickel exploration

projects in northern

Norway

(namely Hamn, Palfjellet, Birgivi, and Envold) and is in the process of undertaking an

Initial Public Offering ("IPO") on

Oslo's

Euronext Growth Exchange with the objective of becoming

Norway's

leading

independent battery metals company. The total consideration of the transaction to Capella, payable upon completion

of the NickelX IPO, is

CAD 7 million

and includes i)

CAD 5 million

in cash and ii)

CAD 2 million

in NickelX shares, which

Capella intends to distribute to its shareholders on a pro-rata basis. The acquisition is currently expected to close in

March, 2024.

The Company continues to explore the Northern Finland Gold-Copper project in the Central Lapland Greenstone Belt,

together with JV partner Cullen Resources Ltd (ASX: CUL). A total of six exploration permits have now been

approved, including the priority Killero East Cu-Au target. In central

Finland

, the Company´s focus is on the discovery

of lithium and rare-earth element deposits at both its Perho reservation, in addition to an extensive package of

properties in the broader Keliber district through a JV with European Energy Metals Corp (formerly Hilo Mining)

(TSXV: FIN).

Capella also retains exposure to exploration success in precious metals projects through its active Canadian Joint

Ventures with Prospector Metals Corp. (TSXV: PPP) at Savant (

Ontario

) and Agnico Eagle Mines Ltd (formerly

Yamana Gold Inc.)(TSX/NYSE: AEM) at Domain (

Manitoba

). The Company also holds a 49% interest in the Sierra

Blanca low sulfidation gold-silver project in

Santa Cruz

,

Argentina

, which is currently being explored by Austral Gold

Ltd (TSXV: AGLD; ASX: AGD).

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.

View original content to download multimedia:

https://www.prnewswire.com/news-releases/capella-provides-update-on-central-finland-lithium-project-302030766.html

SOURCE

Capella Minerals Limited

View original content to download multimedia:

http://www.newswire.ca/en/releases/archive/January2024/10/c6230.html

%SEDAR: 00023195E

For further information:

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

+1.604.314.2662

CO: Capella Minerals Limited

CNW 09:30e 10-JAN-24