Capella Provides Exploration and Earn-In Update on the Solana IOCG Project, Spain
Capella renegotiated its Solana Earn-In agreement to reduce cash burn and lower the hurdle for its Preliminary Economic Assessment.
Capella Minerals Limited announced a revised earn-in agreement with Verde Metals Ltd. for the Solana IOCG project in southern Spain. The updated terms reduce the upfront cash payment from €115,000 to €25,000. Minimum annual exploration expenditure has been lowered from a fixed €290,000 to approximately €65,000, aligning with approved work programs by the Andalucian Mining Authority.
The requirement for a Pre-Feasibility Study (PFS) has been downgraded to a Preliminary Economic Assessment (PEA), which is to be completed within six years of permit granting. The deadline for a definitive agreement has been extended to December 31, 2026.
Approval for the Filabres 1 exploration permit is anticipated in Q4 2026, followed by ground gravity/magnetic surveys and surface sampling, targeting first drill testing in H1 2027. The remaining terms of the original January 15, 2026 agreement are unchanged, subject to TSXV approval.
Capella Minerals Limited has revised the terms of its agreement to materially reduce near-term cash outflows, lowering the 2026 commitment by roughly €225,000. This adjustment directly addresses the company's tight liquidity position. The update also involves downgrading the technical study from a Preliminary Feasibility Study (PFS) to a Preliminary Economic Assessment (PEA), a move that reduces upfront engineering costs and shortens the path to a preliminary resource estimate.
Additionally, the definitive agreement deadline has been extended to December 31, 2026, providing additional time to navigate Spanish permitting without immediate dilution or penalty. The update is consistent with prior financial disclosures highlighting capital constraints and the need for efficient exploration spend. While the fundamental exploration timeline and project geology remain unchanged, the revisions significantly improve capital efficiency and reduce execution risk.
Capella Minerals Limited (CMIL) is an exploration-stage company focused on European precious and base metal projects. Its flagship asset is the Solana IOCG Project in Spain, a district-scale target covering approximately 200 square kilometers in the Cerro de Gallo mining district. The project features a 35+ kilometer belt of high-grade copper-gold veins and buried IOCG targets interpreted as the source of outcropping mineralization.
The company also holds other assets, including the Hessjogruva project in Norway, which hosts a Cu-Co-Zn VMS deposit; projects in Northern Finland targeting orogenic Au-Cu, specifically Killero E/W, Jolhikko, Seisunselka, and Saattopora; and a 10% carried interest in the Løkken project in Norway. Capella Minerals is transitioning from reconnaissance drilling to defined target generation and initial resource definition across its Scandinavian and Spanish portfolios.