Capella Resources Ltd.
TSX VENTURE : KPS
PINK SHEETS : CPSJF

Capella Resources Ltd.

September 17, 2010 17:13 ET

Capella Resources Announces Non-Brokered Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 17, 2010) - CAPELLA RESOURCES LTD. (TSX VENTURE:KPS)(PINK SHEETS:CPSJF)  ("Capella" or the "Company") wishes to announce that it will undertake a private placement of 10,000,000 flow-through shares ("FT Shares") at a price of $0.09 per FT Share and 10,000,000 non flow-through units ("Units") at a price of $0.09 per Unit for total proceeds of $1,800,000. Each Unit shall consist of one common share (a "Share") and one share purchase warrant (a "Warrant"). Each Warrant entitles the holder to purchase one common share ("Warrant Share") at a price of $0.20 per Warrant Share for a period of 24 months following the closing date.

In connection with the private placement and subject to regulatory approval, the Company proposes to pay a cash finder's fee equal to 5% of the funds raised by the sale of the Units. The Company will also issue finder's warrants equal to 5% of the FT shares and Units sold, each finder's warrant entitling the holder thereof to purchase one common share at a price of $0.125 for a period of 12 months from the closing date.

All securities will be subject to a four month hold period. Proceeds of the private placement will be used for eligible expenditure on the Company's properties in Canada and for general working capital purposes.

CAPELLA RESOURCES LTD.

Richard Bachman, Chief Executive Officer, President & Chief Geological Officer

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Capella Resources Ltd.
    Mike McCleave
    902.468.8280 or Toll Free: 1.877.342.7474
    902.468.8448 (FAX)
    info@capellaresources.com