Capella Provides Update on Scout Drilling at the Kjøli Copper Project, Norway

Capella Provides Update on Scout Drilling at the Kjøli Copper

Project, Norway

VANCOUVER, BC

,

Feb. 22, 2023

/CNW/ -

Capella Minerals Ltd

(TSXV: CMIL) (OTCQB: CMILF) (FRA: N7D2) ("Capella" or the

"Company") is pleased to provide the following update on its maiden scout core drill program at the Company's 100%-owned Kjøli

copper-cobalt-zinc massive sulfide ("VMS") project in Trøndelag province, central

Norway

.

Six holes for

1,080m

of drilling have been completed to date on targets along the Kjøli Mine trend (Kjøli Mine and Guldalsgruva sectors)

and at Kjøli Deeps (a coincident electromagnetic and gravity anomaly underlying the former Kjøli copper mine) (Figure 1). Remobilized,

semi-massive copper-rich (chalcopyrite-pyrrhotite) mineralization has been locally intersected in drilling along the Kjøli Mine trend,

especially around Guldalsgruva. However, the first hole at Kjøli Deeps (KJ-001) experienced significant downhole deviation and failed to

intersect the target. A subsequent downhole electromagnetic ("EM") survey has confirmed the existence of an off-hole EM conductor in

the vicinity of KJ-001 and this target is expected to be redrilled shortly.

Highlights

A scout diamond drill program of approximately

1,250m

was initiated at the Kjøli copper-zinc-cobalt project in late-January. The Kjøli

project is located approximately 20km NE of the Company's advanced-exploration stage Hessjøgruva project.

Figure 1. Location of the Kjøli Deeps and Kjøli Mine drill holes, overlain on airborne EM data. (CNW Group/Capella Minerals Limited)

Figure 1.

Location of the Kjøli Deeps and Kjøli Mine drill holes, overlain on airborne EM data.

A total of six holes /

1,080m

of drilling has been completed to date on targets along the Kjøli Mine trend (Kjøli Mine and

Guldalsgruva sectors) and Kjøli Deeps (a coincident electromagnetic and gravity anomaly underlying the former Kjøli copper mine)

(Table 1). Remobilized, semi-massive copper-rich (chalcopyrite-pyrrhotite) mineralization has been locally intersected in drilling

along the Kjøli Mine trend (Figure 2).

Figure 2. Drill hole KJ-004 8-10m. Remobilized, semi-massive chalcopyrite and pyrrhotite in the Guldalsgruva sector. (CNW

Group/Capella Minerals Limited)

Figure 2.

Drill hole KJ-004 8-

10m

. Remobilized, semi-massive chalcopyrite and pyrrhotite in the Guldalsgruva sector.

Significant deviation in the first drill hole KJ-001 has resulted in the key Kjøli Deeps target currently remaining untested. Contractor

Geovista has just completed a downhole electromagnetic ("EM") survey confirming the existence of an off-hole EM conductor in the

vicinity of KJ-001 at approximately

240m

downhole. This target is expected to be redrilled shortly (Figure 3).

Eric Roth

, Capella's President and CEO, commented: "In spite of difficult winter conditions and some technical issues, we have been

able to make good progress on our scout core drill program at the Kjøli project. Our main focus has been on testing the potential for new

copper-zinc-cobalt discoveries along both the known Kjøli Mine trend, as well as at the new Kjøli Deeps target which has never seen any

drilling. Unfortunately we have not been able to adequately test Kjøli Deeps to date, but we do expect to be able to do so in the near

term. First assays from this scout drill program are currently anticipated to become available by early April.

In parallel, Capella is working towards final permitting and funding for further drilling at the advanced-exploration stage Hessjøgruva VMS

project in addition to a maiden drill program at Åmot (Løkken) commencing late Q2, 2023. So we expect to see a lot of activity on our

Norwegian portfolio over the next 6 months or so. I look forward to keeping the market updated on progress at all of our Norwegian

copper projects".

Figure 3. Deviation in drill hole KJ-001 (Kjøli Deeps) and the untested off-hole EM conductor. (CNW Group/Capella Minerals Limited)

Figure 3.

Deviation in drill hole KJ-001 (Kjøli Deeps) and the untested off-hole EM conductor.

Table 1.

Drill collar coordinates for Kjøli scout program.

Hole

E

N

Altitude

Azimuth

Dip

Depth

Comments

KJ-001

635,373

6,973,345

1,010m

140

-60

330m

Kjøli Deeps, Deviated

KJ-002

635,729

6,973,844

967m

120

-60

248m

Kjøli Deeps North

KJ-003

635,334

6,974,471

1,011m

140

-60

129m

Kjøli Mine Trend

KJ-004

629,905

6,970,380

949m

180

-60

122m

Kjøli Mine Trend

KJ-005

628,633

6,969,791

860m

0

-90

130m

Kjøli Mine Trend

KJ-006

629,839

6,970,533

920m

180

-50

120m

Kjøli Mine Trend

Qualified Persons and Disclosure Statement

The technical information in this news release relating to the Kjøli 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 30 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.

In

Norway

, the Company's focus is on: i) the advanced exploration-stage Hessjøgruva copper-cobalt project and the adjacent

Kongensgruve and Kjøli projects in the northern Røros mining district, Trøndelag province, ii) the discovery of satellite high-grade copper-

cobalt deposits around the past-producing Løkken copper mine, Trøndelag province, and iii) the discovery of new copper-cobalt deposits

in the former Vaddas-Birtavarre mining district of northern Norway.

In

Finland

, the Company's focus is on the discovery of lithium and rare-earth element deposits at both its Perho reservation and a

recently acquired, 100%-owned portfolio of reservations located in

Central Finland

. In addition, the Company is currently permitting

exploring the Katajavaara-Aakenus gold-copper project in the Central Lapland Greenstone Belt together with JV partner Cullen

Resources Ltd (ASX: CUL).

The Company 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 Yamana Gold Inc. at Domain (

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.

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SOURCE

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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 22-FEB-23