Capella Signs Definitive Agreement with Tumad on Scandinavian Projects

Executive Summary

• Capella Minerals Ltd signed a definitive earn‑in agreement with Turkish miner Tümad Madencilik Sanayi Ve Ticaret A.S. for its Finnish and Norwegian gold‑copper projects.
• The deal provides an on‑signing cash payment to Capella and obligates Tümad to drill up to 4,000 m in Northern Finland and up to 8,000 m in Norway during Year 1 for a 30% earn‑in interest.
• After Year 1, Tümad may increase its stake or convert to a net smelter royalty (NSR) on any project it chooses not to continue funding.

Key Details

• Agreement Structure: Staged earn‑in; initial cash payment + mandatory Year 1 drilling commitments.
• Drilling Commitment: ≤4,000 m on the Northern Finland portfolio; ≤8,000 m on the Norwegian portfolio.
• Earn‑In Interest: 30% of Capella’s holding in each project upon completion of Year 1 work.
• Post‑Year 1 Options: Tümad may (i) invest further to increase its equity share or (ii) revert to a Net Smelter Royalty on projects it does not continue with.
• Projects Covered – Finland: Five gold‑copper targets in the Central Lapland Greenstone Belt, including Killerö E (formerly Anglo American) and Saattopora W (extension of Outokumpu’s former mine).
• Projects Covered – Norway: 100% interests in advanced exploration‑stage Hessjøgruva and adjacent Kongensgruve VMS projects (copper‑cobalt‑zinc) in the Røros mining district, Trøndelag.
• Additional Holdings: Capella retains a carried 10% interest to production on the Løkken copper‑cobalt‑zinc VMS project via partnership with Teako Minerals Corp.; equity positions in Teako and Grit Metals Corp.; NSR interests on Savant Gold (Ontario) and Central Finland Lithium projects.
• Tümad’s Production Profile: Approximately 200,000 oz of gold per year from two Turkish operations, providing a strong financial partner for international expansion.
• Management Comment: Eric Roth, President & CEO, highlighted the strategic fit, Tümad’s technical expertise, and the partnership’s role in capitalizing on current market momentum for gold and copper projects.

Notable Quotes

“Tümad's technical team are renowned mine builders, operators, and explorers, and will complement our successful track record in global exploration and discovery.” – Eric Roth, President & CEO, Capella Minerals Ltd.