Apella Resources Inc.

Apella Resources Inc.(TSX.V: APA); (Frankfurt Symbol: NWN) and its Board of Directors are pleased to announce that the Company has achieved its goal of acquiring all of its intended high-priority exploration targets identified in the Matagami mining camp. The acquisition of the latest 111 acre package now brings Apella’s Iron-T Vanadium-Iron-Titanium project to a total of 134 contiguous (adjoining) claims, encompassing approximately 10,600 acres.
 
The Iron-T Vanadium-Iron-Titanium project is ideally located near the mining town of Matagami, Quebec; approximately 780 km north of Montreal.  The town of Matagami can provide housing, servicing, supplies, consumables and transport facilities including railway access as required for an efficient mining operation.

Previous work on the Iron-T confirmed the presence of significant Vanadium, Titanium, and Iron mineralization. Apella’s most recent trenching program, the results of which are detailed in Apella’s news release of October 30th, 2008, yielded economic grades of Vanadium, Titanium and Iron. The company has since filed, on SEDAR, a NI 43-101 report on the Iron-T Project.
The mineralization on Apella’s Iron-T project bares striking similarities to such world class deposits as the Rhovan Deposit in South Africa. Virtually all mined vanadium utilized in North America is sourced internationally and imported. A number of these source countries present a significant risk, politically, to future North American supply chains. From Apella’s perspective, this means its Canadian based projects present a rare opportunity and possibility to create a stable and reliable North American source and supply for vanadium and vanadium enriched magnetite iron ore. This would be in addition to the obvious opportunity of providing the vast developing markets of China, India and the far-east with ship-ready magnetite iron ore already enriched with vanadium at a premium price for their steel production. The type of Magnetite sourced Vanadium-Iron-Titanium deposits that Apella has the potential of identifying and developing is not all that common. In fact, this is a rare opportunity for Apella’s stakeholders.

Apella has multiple opportunities with these projects. First and foremost, is the opportunity to quickly establish a world-class, low cost, operation supplying Vanadium enriched Iron-Ore that can simply be processed to meet the specifications of the world’s steel mills eliminating much of their requirement for blending so commonly utilized throughout the industry in the making of alloy steel. Vanadium and Titanium are both key strategic metals with their own unique markets to be addressed. The potential for production of both Ferrovanadium and Vanadium Pentoxide V2O5 exists on all of Apella’s projects.

On another note, the Vanadium industry itself is relatively young and new uses for Vanadium are continually being identified. The primary use for Vanadium remains for production of steel alloys. Vanadium and Titanium are also extensively used for aerospace engines and airframe materials. Today, Asia has successfully implemented Vanadium in a number of battery technologies superior to previous standards. These next generation batteries represent a green technology that if fully commercialized, would have a significant global impact. The storage capacity for these batteries is suitable for wind, solar, nuclear, backup systems, electric automobiles and many other applications. With the depletion of the world’s petroleum supplies and with environmental and political issues shifting focus to more practical solutions, the outcome of all this is creating a new market for vanadium and possibly a competitive edge for North Americans.
Apella is now initiating plans to bring these projects into the development stage and will keep stakeholders abreast of ongoing matters as these developments proceed.

The qualified person for the purposes of this news release is Dr. Christian G. Derosier, P.Geo.
Apella invites the public to visit its website at http://www.apellaresources.com or e-mail us at apella@apellaresources.com to be added to the Company’s e-mail list for press releases and updates.

ON BEHALF OF THE BOARD OF DIRECTORS OF APELLA RESOURCES INC.
“Patrick D. O’Brien”           
Patrick D. O’Brien – Chairman

S.E.C. Exemption 12(g)3-2(b)  File No. 82-3822, Standard & Poors Listed, Dun & Bradstreet Listed           
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