Private Placement Closed

For Immediate Release

PRIVATE PLACEMENT CLOSED

Vancouver, BC – May 9, 2011

Apella Resources Inc. (TSX.V: APA), (U.S.A. OTCQX: APAFF), and (Frankfurt: NWN) announces that it has closed the private placement which it announced on April 14, 2011. Proceeds of $210,000 were received pursuant to the placement of 525,000 units at a price of $0.40 per unit.

Each unit consists of one flow-through common share and one-half of one share purchase warrant; each full warrant entitles the holder to purchase one additional non-flow-through common share of the Company at a price of $0.50 per share until April 28, 2013. All shares issued with regard to this private placement are subject to a hold period which expires August 29, 2011.

Additional information is contained on the Company’s website at www.apellaresources.com.

ON BEHALF OF THE BOARD OF DIRECTORS OF APELLA RESOURCES INC.

“Patrick D. O’Brien”

Patrick D. O’Brien, ICD.D – Director

SEC Exemption 12(g)3-2(b) File no. 82-3822, Standard & Poors Listed, Dun & Bradstreet Listed

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.