Cullen Resources Limited (ASX:CUL) released a Northern Finland Joint Venture progress report on 30 September 2026. It relayed an announcement made in Canada on 29 September 2026 by the joint venture manager, Capella Minerals Limited (TSXV: CMIL), titled "Capella Receives Drill Permits for Hessjøgruva Copper Project, Central Norway, and Provides Update on Tümad Joint Venture". Cullen holds a 20% free Carried Interest to pre-feasibility study in the Northern Finland projects.

For Cullen, the central point is that Tümad Madencilik Sanayi Ve Ticaret A.S. has elected not to continue to Phase II of its earn-in after low gold values in drilling, so Capella and Cullen keep their existing 80% and 20% interests. The release contains no financial results, so there are no reported gains or declines to compare.

Company Overview

Cullen is a Perth-based minerals explorer with a multi-commodity portfolio. Some projects are managed through joint ventures with HTM, Capella and Lachlan Star, and others are held in its own right. Its stated strategy is to build targets from data compilation, field reconnaissance and early-stage exploration, then either test them itself or seek farm-out arrangements with larger companies. Projects are sought mainly in Australia, with selected overseas opportunities.

Cullen also holds a 1% free-on-board Royalty on any iron ore production from six former Mt Stuart Iron Ore Joint Venture tenements, and will receive $1 million in cash on any final Investment decision. The Catho Well Channel Iron Deposit on one of those tenements has a published in situ Mineral Resource estimate of 161 million tonnes at 54.40% iron, announced on 10 March 2015. Managing Director Chris Ringrose authorised the release.

Details of the Update

Capella reported that Tümad has met its Year 1 minimum investment commitment for the Northern Finland projects following completion of drilling at Killerö W. Because the Killerö E and Killerö W drilling returned low gold values, Tümad chose not to proceed to Phase II of the earn-in agreement. The projects therefore stay at 80% Capella and 20% Cullen, and Tümad keeps a 1% net smelter royalty on any potential future production.

The Killerö W programme drilled 669.2 metres in two holes, testing gold-copper base of till geochemical anomalies along northeast-trending structural corridors in meta-basalt and gabbro host rocks. KW-001 reached 274.2 metres and KW-002 reached 395.0 metres. Mineralisation was mainly chalcopyrite-pyrrhotite quartz-carbonate veining in both holes, plus foliation-parallel sulfides at depth in KW-002. The highest copper grade was 0.98% over 1.0 metre from 211.4 to 212.4 metres in KW-002, and no significant gold values were returned. Capella said it believes the source of the gold anomalies has not yet been intersected, and it is reviewing data for vectors to a nearby copper deposit. Core was logged and sampled at a Facility in Sodankylä and analysed by ALS, under a quality control program designed to meet Canadian NI 43-101 standards.

The other subject of Capella's announcement is Norway. Capella received diamond drill permits for the Hessjøgruva copper-cobalt-zinc volcanogenic massive sulfide project in Trøndelag, which forms part of the Tümad earn-in. Historical drilling of 12,035 metres was completed in the 1970s. The planned program starts with 4,400 metres from about 10 platforms in the Lens A deposit, with the aim of producing a maiden NI 43-101 compliant Mineral Resource Estimate. The permits allow drilling between 15 July and 1 November in both 2027 and 2028. The earn-in requires up to 8,000 metres of drilling in the Year 1 minimum commitment, and because of the permitting delays Capella agreed to extend that milestone at Hessjøgruva to 31 December 2027. Historical drilling is cited at the project, including a hole with 14.5 metres at 4.3% copper and 1.7% zinc. Capella describes itself as a Canadian exploration and development company focused on gold-copper projects. It signed a definitive agreement with Tümad on 2 September 2025 for a staged earn-in on its Scandinavian portfolio, with a Year 1 commitment of up to 12,000 metres of diamond drilling across northern Finland and central Norway. Capella also retains a carried 10% interest to production in the Løkken copper-cobalt-zinc project in central Norway, holds net smelter royalties over the Savant Gold Project in Ontario and lithium projects in Central Finland, and signed a binding letter of intent on 15 January 2026 for an earn-in on the Solana iron oxide copper-gold project in southern Spain. Cullen's release does not state any interest in Hessjøgruva, and its 20% relates to the Northern Finland projects.

Industry Context

Capella's chief executive noted that copper and cobalt have been declared strategic materials under Critical Raw Minerals strategies adopted by the Norwegian government and the European Union, which place emphasis on local sourcing to reduce dependence on foreign suppliers. He said this gives Hessjøgruva potential to be part of the European critical metals Supply chain, a view that remains subject to exploration results.

Earn-in agreements of the Tümad type split exploration spending between a partner and the project owner. A partner can withdraw after a first stage, as happened in Northern Finland, and in that case interests revert to the existing holders.

Risks and Uncertainties

Exploration results in Finland have not supported continued spending by the earn-in partner, and no significant gold values were returned from Killerö W. Cullen's interest is free carried only to pre-feasibility study, and the release does not describe a further work program or funding for the Northern Finland projects now that Tümad has withdrawn.

Capella's Norwegian plans remain subject to drilling outcomes, and the historical drilling results were produced in the 1970s. Capella's forward-looking statements caution that timing and results of exploration programs may differ from expectations. The iron ore royalty depends on future production decisions by third parties.

What to Watch Ahead

Items to follow include any Capella announcement of work plans for the Northern Finland projects, the start of Hessjøgruva drilling in July 2027, and any Cullen update on its portfolio.