Capella Receives Drill Permits for the Hessjøgruva Cu-Zn-Co Project and Reports Initial Assays from the Kjøli Scout Drill Program
Capella Receives Drill Permits for the Hessjøgruva Cu-Zn-Co Project and
Reports Initial Assays from the Kjøli Scout Drill Program
VANCOUVER, BC
,
May 23, 2023
/CNW/ -
Capella Minerals Ltd
(TSXV: CMIL) (OTCQB: CMILF) (FRA: N7D2) ("Capella" or the "Company") is pleased to
provide the following update on exploration activities being undertaken on the Company´s 100%-owned copper-zinc-cobalt ("Cu-Zn-Co") projects in the
Hessjøgruva-Kjøli District, Trøndelag Province, central
Norway
. The Hessjøgruva-Kjøli District consists of the advanced exploration-stage Hessjøgruva VMS
Project, the former mining / mineral processing centre at Kongensgruve, and the Kjøli VMS Project (Figure 1), with Hessjøgruva representing the Company´s
cornerstone asset in the District.
Figure 1. Locations of the high-grade Cu-Zn-Co Hessjøgruva, Kongensgruve, and Kjøli Projects, Trøndelag Province, central Norway. (CNW Group/Capella
Minerals Limited)
Figure 1.
Locations of the high-grade Cu-Zn-Co Hessjøgruva, Kongensgruve, and Kjøli Projects, Trøndelag Province, central
Norway
.
Hessjøgruva Drill Permits Approved
Capella is pleased to advise that it has received the key approvals required for initiating diamond drilling at the Hessjøgruva Cu-rich massive sulfide ("VMS")
Project on or after
July 1, 2023
. The issuance of the drill permits is a reflection of the strong community support that the Company has received for advancing the
Hessjøgruva project, which has essentially remained idle since the completion of
12,035m
/ 67 holes of historical diamond drilling in the 1970´s (see Capella´s
Canadian National Instrument 43-101 or "NI 43-101" compliant technical report as filed on SEDAR on
September 7, 2022
;
www.sedar.com
).
The Hessjøgruva permitting was based on the completion of a minimum of
3,000m
/ 6 holes of both infill and step-out drilling on the high-grade Hessjøgruva Lens
A deposit (Figure 2), one of three main copper mineralized lenses on the property. The upcoming drill program has been designed to assist the Company with its
goal of completing a maiden NI 43-101 compliant Mineral Resource Estimate for Hessjøgruva, in addition to providing fresh core for metallurgical testwork and
baseline data for initial development studies.
Figure 2. Massive sulfide (pyrrhotite-chalcopyrite-sphalerite) style mineralization from historical drill hole DDH-240, central portion of the Hessjøgruva deposit.
Section view to NW. (CNW Group/Capella Minerals Limited)
Figure 2.
Massive sulfide (pyrrhotite-chalcopyrite-sphalerite) style mineralization from historical drill hole DDH-240, central portion of the Hessjøgruva deposit.
Section view to NW.
Kjøli Scout Drill Program
Capella completed an initial
1,412m
/ 8 hole diamond drill program at the Kjøli Cu-Zn-Co VMS project (Figure 3; Table 1). The eight scout holes were targeted on
combined geological and geophysical (electromagnetic and gravimetric) anomalies - considered favourable for the discovery of massive sulfide-type mineralization
- in the Guldalsgruva/Rørosmenna area (4 holes), the Kjøli East/Rundhaugen area (2 holes), and the 2km-long Kjøli Deeps target (2 holes, although KJ-008 is a
redrill of hole KJ-001 which missed the target due to excessive deviation).
Copper and zinc assays have now been received for drill holes KJ-001 to KJ-007; assays for drill hole KJ-008 (the redrill of KJ-001) at Kjøli Deeps are pending.
Locations of completed drill holes and significant intervals returned are indicated below.
Figure 3. Location of scout drill holes at Kjøli. (CNW Group/Capella Minerals Limited)
Figure 3.
Location of scout drill holes at Kjøli.
Significant Intervals to Date – Kjøli Scout Drill Program
KJ-004
(Guldalsgruva Sector)
2.9m @ 1.4% Cu
from
8.25m
downhole (
including
0.4m
@ 5.3% Cu
from
9.5m
downhole)
1.2m @ 0.2% Cu + 0.7% Zn
from
110.9m
downhole
KJ-005
(Rørosmenna Sector)
1m @ 1.5% Zn + 0.4% Cu
from
33.35m
downhole
0.4m @ 0.8% Cu + 1.4% Zn
from
36.4m
downhole
KJ-007
(Rørosmenna Sector)
1.8m
@ 3.0% Zn + 0.6% Cu
from
69.65m
downhole
No significant intercepts are reported for drill holes KJ-001, KJ-002 and KJ-006.
Figure 4. Semi-massive chalcopyrite and pyrrhotite in drill hole KJ-004, Guldalsgruva sector. Upper core interval (8.25-9.5m) returned 1.3% Cu, lower core
interval (9.5-9.9m) returned 5.3% Cu. (CNW Group/Capella Minerals Limited)
Figure 4.
Semi-massive chalcopyrite and pyrrhotite in drill hole KJ-004, Guldalsgruva sector. Upper core interval (8.25-
9.5m
) returned 1.3% Cu, lower core
interval (9.5-
9.9m
) returned 5.3% Cu.
Table 1
. Drill hole collars - Kjøli
Drill
Hole
Easting
Northing
Altitude
(m)
Azimuth
(Deg.)
Dip
(Deg.)
Depth
(m)
Comments
KJ-001
635,373
6,973,345
1,010
140
-60
330.05
Kjøli Deeps; Excessive
deviation, missed target
KJ-002
635,729
6,973,844
967
120
-60
248.9
Kjøli East
KJ-003
635,334
6,974,471
1,011
140
-60
129.1
Rundhaugen
KJ-004
629,905
6,970,380
949
180
-60
122.55
Guldalsgruva
KJ-005
628,635
6,969,791
872
0
-90
120.5
Rørosmenna
KJ-006
629,840
6,970,529
929
180
-50
120.05
Rørosmenna
KJ-007
628,428
6,969,869
882
160
-60
80.4
Rørosmenna
KJ-008
635,358
6,973,277
1,010
100
-60
260.55
Redrill of KJ-001; Assays
Pending
Eric Roth
, Capella´s President and CEO commented: "We are very pleased to be announcing the issuance of drill permits for our advanced exploration-stage
Hessjøgruva project. In conjunction with exploration efforts being undertaken at the adjacent Kongensgruve and Kjøli projects, we continue to work towards
unlocking the resource potential of the broader Hessjøgruva-Kjøli District. I look forward to keeping the market updated as our exploration programs advance."
Quality Assurance/Quality Control (QA/QC) - Kjøli Drill Core
Capella implemented a Quality Assurance/Quality Control (QA/QC) program to ensure that the logging and processing of the Kjøli drill core was conducted in
accordance with NI 43-101 standards and industry best practice. Drill core samples were NQ-sized and were logged, photographed, and marked-up for sampling
by Company geologists at a logging facility in the nearby town of Ålen. Core for sampling was then transported to the NGU (Norwegian Geological Survey) core
facility in Løkken for cutting with a diamond saw, with one half being dispatched to the analytical laboratory and the other half remaining in storage at the NGU
core facility. Sample lengths were typically 1.0 meter but locally adjusted to respect mineralogical contacts and narrower sulfide-bearing zones.
Samples for analysis were then sealed in plastic bags and couriered to MS Analytical in Stensele,
Sweden
, for sample preparation. All samples were dried and
crushed to 70% passing 2mm, with a 250g representative split then being taken and further pulverized to a pulp with 85% passing 75 microns. All pulps were
subsequently analyzed for Au, Pt, and Pd (30g fusion with ICP-AES finish; Code FAS-113) plus a multi-element package (4 acid digestion with ICP-AES/MS
finish; Code IMS-230). Ore grade intervals of Cu and Zn were further reanalyzed using the ICF-6Cu/6Zn analytical techniques. Internal controls of analytical
results were provided through a mix of Certified Reference Materials (standards), duplicates, and blanks inserted by both Capella and MS Analytical in to the
analytical sequence.
Qualified Persons and Disclosure Statement
The technical information in this news release relating to the Hessjøgruva and Kjøli projects 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.
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.
The Company is also exploring the Northern Finland Gold-Copper (NFGC) project in the Central Lapland Greenstone Belt, together with JV partner Cullen
Resources Ltd (ASX: CUL). A total of six exploration permit applications are awaiting formal approval at NFGC, including the priority Killero 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.
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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 23-MAY-23