• CU: $
  • AU: $
  • FRA: N7D2

Katajavaara and Aakenus Gold-Copper Projects

Capella Minerals Earn-In to Initial 70% Interest

Targeting High-Grade Gold and Base Metal Deposits in the Central Lapland Greenstone Belt

Capella announced on August 24, 2021, that it had entered in to a binding Letter of Intent (“LOI”) with ASX-listed Cullen Resources Limited (“Cullen”) through which the Comapny may earn-in to Cullen’s Katajavaara and Aakenus gold(-copper) projects in the highly-prospective Central Lapland Greenstone Belt (“CLGB”) of northern Finland. The Katajavaara and Aakenus projects lie immediately adjacent to the productive Sirkka Thrust Zone, a regional structural corridor within the CLGB which is associated with numerous occurrences of both gold and base metals.

Project Snapshot




15 km NW of Kittila, Finland


Capella Minerals Earn-In to Initial 70% Interest


Early-stage exploration

Deposit types

Orogenic gold(-copper) deposits, ultramafic nickel-PGE deposits

Project Area

20,000 Ha / 200 sq. km.

Host Rocks

Meta-volcanic/sedimentary sequences



Main Economic Elements

Gold, Copper, Nickel, PGE


All weather paved highways and gravel roads

Highlights of the Acquisition

  • Cullen’s Katajavaara and Aakenus gold(-copper) projects lie along the highly-mineralized Sirkka Thrust Zone in the CLGB. The Cullen projects surround Outokumpu Oy’s former gold-copper mining operation at Sattopora and the S2Resources/Kinross Gold Joint Venture (“JV”) at Home, in addition to lying along strike from major recent exploration discoveries at Ikkari (Rupert Resources Ltd) and Aamurusko (Risti-Launi; Aurion Resources Ltd)1.
  • Scandinavia’s largest operating gold mine - Agnico Eagle Mines Ltd’s Kittila Gold Mine (2020 production - 208,125 oz Au; Reserves 30.4 MT @ 4.1 grams per tonne Au for 4Moz Au; Agnico Eagle Mineral Reserves and Resources Statement December 31, 2020; https://agnicoeagle.com/)1 – lies directly to the NE of the Cullen projects.
  • The binding LOI provides Capella with the opportunity to acquire an initial 70% in Cullen Finland Oy (Cullen’s 100%-owned Finnish subsidiary; “Cullen Oy”, and registered owner of the Katajavaara Exploration Permit Licence Application (“EPLA”) and the Aakenus Reservation) through an initial cash payment to Cullen of AUD 50,000.  Subsequently, a total USD 250,000 investment in exploration over a two-year period and staged cash payments to Cullen totalling USD 225,000 over a three-year period are required. Capella may increase its interest in Cullen Oy by an additional 10% (for a total 80% interest) by investing an additional USD 750,000 in exploration over a further two-and-a-half years. 
  • The Katajavaara EPLA and Aakenus Reservation cover approximately 200 square kilometres of highly-prospective terrain for the discovery of new gold and copper deposits.
  • Compilations of historical data from both the project areas and broader district are well underway, with initial targets having already been identified from historical auger till sampling.
  • Finland continues to lie within the top 10 mining destinations globally as determined by the independent Fraser Institute’s annual survey of mining jurisdictions.

 1 References made to nearby mines and analogous deposits provide context for the Katajavaara and Aakenus projects, but are not necessarily indicative that these projects hosts similar tonnages or grades of mineralization.

Terms of the LOI

  • Capella will acquire an initial 70% interest in Cullen Oy (Cullen’s 100%-owned Finnish subsidiary and registered owner of the Katajavaara and Aakenus gold-copper projects) in return for paying Cullen AUD 50,000 upon the transaction receiving TSX.V Exchange and regulatory approval (the “Closing Date”).
  • Capella will be required to invest a total of USD 250,000 in exploration expenditures on the two projects over a 24 month period from the Closing Date.
  • Capella may then acquire a further 10% interest in Cullen Oy (for a total 80% interest) in return for a further USD 750,000 investment in the two projects over a 4.5 year period from the Closing Date.
  • Cullen will then be free carried until the completion of a Pre-Feasibility Study (“PFS”) on either of the two projects. Thereafter, a standard dilution formula will apply and should either party’s direct interest fall to below 10% then they will revert to a 2% Net Smelter Royalty (with 1% being purchasable for USD 1 million).

In addition, the following cash payments are required to be made to Cullen:

  • USD 50,000 upon the first anniversary of the Closing Date
  • USD 75,000 upon the second anniversary of the Closing Date
  • USD 100,000 on the third anniversary of the Closing Date