Vancouver-based Capella Minerals Ltd (TSX-V: CMIL) (OTCQB: CMILF) (FRA: N7D2) has obtained necessary exploration permits for a series of copper-gold targets at its mining project in northern Finland.
On Tuesday, the company announced that it had received the permits and will be focused on evaluating potential extensions of the former Saattopora gold-copper operation that was owned by Finland’s Outokumpu Oyj (HEL: OUT1V).
Capella will also focus on diamond drill testing the “Bottom of Till” (BoT) gold-copper geochemical anomalies that had been previously defined by Anglo American plc (LON: AAL) in the Killero area.
The target areas are located next to the Sirkka thrust zone, an area in the Central Lapland Greenstone Belt where the project is situated that had significant recent exploration discoveries.
The Ikkari gold project discovered by Rupert Resources (TSX: RUP) is one of those significant findings.
Capella has a 70 per cent interest in the target areas through a joint venture with Cullen Resources Ltd (ASX: CUL).
The exploration permits the company has received enable it to conduct comprehensive field evaluations within the designated target areas. This includes conducting geophysical surveys on the ground and diamond drilling to gather data.
Capella says engaging with local communities and stakeholders to discuss future work programs will also be a priority in the months to come.
“The granted areas include our priority Killero E target, which consists of a historical copper-gold BoT anomaly delineated by Anglo American plc but which never saw follow-up drill testing. Indeed, given that BoT values exceeding 110 parts per million (ppm) copper are considered to be anomalous in this part of the Central Lapland Greenstone Belt, the Killero E values of up to 5,962 ppm copper are truly significant,” said Capella’s President and CEO Eric Roth.
“Given that drilling is optimally undertaken here under cold winter conditions, we currently expect first drilling of the Killero E anomaly to occur in Q1, 2024,” added Roth.
Capella recently also received drill permits for its Hessjøgruva Cu-Zn-Co (copper-zinc-cobalt) Project in Norway.
The company signed an agreement with Hilo Mining Ltd. (TSX-V: HILO) in March to help advance a portfolio of lithium and rare earth element projects in central Finland as well.
Capella’s shares dropped significantly by 20 per cent Tuesday to $0.02 on the TSX Venture Exchange.