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Capella partner fulfills key lithium project terms

EditorRachael Rajan
Published 11/01/2024, 01:44 am
© Reuters.
CMIL
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VANCOUVER - Capella Minerals Ltd (TSXV: CMIL) announced today that its Joint Venture partner, European Energy Metals Corp. (TSX.V: FIN), has completed the necessary CAD 1 million exploration expenditures on the Central Finland Lithium Project. This investment is a crucial step in European Energy's acquisition of an initial 51% interest in the project, as outlined in the Earn-In Agreement dated March 20, 2023.

European Energy's exploration teams have conducted comprehensive sampling and mapping programs during the summer and autumn of 2023. They collected around 1,100 rock chip grab samples, which led to the identification of numerous high-grade lithium prospects. These prospects are currently in the process of being permitted for drilling. To finalize the 51% earn-in, European Energy is set to make a payment of CAD 100,000 and issue 400,000 of its common shares to Capella.

Capella's President and CEO, Eric Roth, expressed satisfaction with the progress made by European Energy on the lithium project. Notably, the discovery of spodumene-bearing boulder trains in the Nabba reservation area has been a highlight. Applications for two Exploration Licences covering 4,550 hectares have been submitted to facilitate initial scout drilling. Further updates regarding the exploration's next phase are expected upon the granting of these licenses.

Capella Minerals is actively engaged in the acquisition, exploration, and development of mineral resource properties, focusing on European base and battery metals. The company is also involved in several other projects across Finland and maintains interests in precious metals projects in Canada and Argentina.

The information in this article is based on a press release statement.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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