REG - Power Metal - Golden Metal Resources – Operational Update

Power Metal ResourcesAnnouncement

26/08/2022 14:15

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RNS Number : 4229X  Power Metal Resources PLC  26 August 2022

26 August 2022

Power Metal Resources PLC

("Power Metal" or the "Company")

Golden Metal Resources - Operational Update

 

Power Metal Resources PLC (LON:POW) the London listed exploration company
seeking large-scale metal discoveries across its global project portfolio
announces an update from Golden Metal Resources PLC ("Golden Metal"), the
Company's 83.13% owned subsidiary, which is planning to list on the London
capital markets.

Golden Metal holds a 100% interest in three projects (Pilot Mountain, Garfield
and Stonewall) and a right to earn-in to a 100% interest in one further
project (Golconda). All projects are situated in Nevada USA, ranked number 3
in the Fraser Institute Survey of Mining Companies 2021 - Investment
Attractiveness Index.(1)

The most recent update from Golden Metal was released on 19 July 2022 and can
be found at the link below:

https://www.londonstockexchange.com/news-article/POW/golden-metal-resources-company-update/15547371
(https://www.londonstockexchange.com/news-article/POW/golden-metal-resources-company-update/15547371)

Subsequent to the above release, follow up operational updates are highlighted
below.

HIGHLIGHTS:

-      The field-based component of the 3D induced polarisation ("IP")
geophysics survey over Golden Metal's 100% owned flagship Pilot Mountain
project is now complete, representing a significant milestone. The IP survey
enables the sub-surface geological structures to be correlated with known
deposits on the property, and for potential new areas of mineralisation to be
more clearly identified.  As a result, the results, once available, will
enable a more detailed assessment of high priority targets, with follow up
drilling planned to commence following the planned listing in 2022 where
additional tungsten (W), copper (Cu), silver (Ag) and zinc (Zn) resources are
being targeted.

 

-      High-resolution soil geochemical survey over the Garfield project
is now complete during which a total of 453 soil samples were collected. All
samples have been delivered to ALS Ltd's assay laboratory located in Reno,
Nevada, where they are currently undergoing multi-element analysis. Once
available, the soil survey assay results will help Golden Metal in targeting
additional copper-gold-silver mineralisation building on the significant
evidence of skarn-type mineralisation established to date.

 

-      A long form technical video was completed covering the work
completed at Garfield and has been published on Golden Metal's website
accessible through (see 'Investor Technical Guide: Garfield Project'):
https://www.goldenmetalresources.com/investors/media/
(https://www.goldenmetalresources.com/investors/media/)

 

-      Both the Pilot Mountain and Garfield work programmes were
completed on time and on budget, highlighting Golden Metal's ability to
successfully operate in country.

 

Oliver Friesen, Chief Executive Officer of Golden Metal Resources PLC,
commented:

"I am very pleased to have completed the 3D IP survey over our 100% owned
flagship Pilot Mountain Project - which hosts one of the largest undeveloped
tungsten resources in the United States of America.

As soon as I was introduced to Pilot Mountain, I was convinced that this
important survey could be the key to unlocking additional W-Cu-Ag and Zn
prospective targets. Between the four main deposit areas on the Property,
despite several historical reports highlighting the areas prospectivity, very
little historical work has been carried out. This is mainly because of the
thin post-mineral sedimentary sand cover that blankets this area.

With the geophysics work now completed, we will be the first company to image
under this  sand cover, looking for additional targets to explore during our
planned 2022 drilling programme.

I encourage investors to keep an eye on Golden Metal Resources over the coming
weeks and months as we announce further corporate and technical updates."

Paul Johnson, Chief Executive Officer of Power Metal Resources PLC,
commented:

"The strategic importance of Pilot Mountain is clear, offering an advanced
asset for expeditious development.

So far, we have articulated the potential, through diligent exploration, of
expanding our knowledge of the Pilot Mountain geology and seeking an increase
in scale of the deposit there.

Of particular importance given the demand for homeland security of critical
minerals at this time, is effective marketing and communications in-country
with parties interested and able to engage with the project, something which
is very much at the forefront of our thinking as we move forward."

 

Reference

 

(1) https://www.fraserinstitute.org/sites/default/files/annual-survey-of-mining-companies-2021.pdf

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the Company's obligations under Article 17 of
MAR.

For further information please visit https://www.powermetalresources.com/
(https://www.powermetalresources.com/) or contact:

 Power Metal Resources plc
 Paul Johnson (Chief Executive Officer)                                          +44 (0) 7766 465 617

 SP Angel Corporate Finance (Nomad and Joint Broker)
 Ewan Leggat/Charlie Bouverat                                                    +44 (0) 20 3470 0470

 SI Capital Limited (Joint Broker)
 Nick Emerson                                                                    +44 (0) 1483 413 500

 First Equity Limited (Joint Broker)
 David Cockbill/Jason Robertson                                                  +44 (0) 20 7330 1883

 

NOTES TO EDITORS

Power Metal Resources plc - Background

Power Metal Resources plc (LON:POW) is an AIM listed metals exploration
company which finances and manages global resource projects and is seeking
large scale metal discoveries.

The Company has a principal focus on opportunities offering district scale
potential across a global portfolio including precious, base and strategic
metal exploration in North America, Africa and Australia.

Project interests range from early-stage greenfield exploration to later-stage
prospects currently subject to drill programmes.

Power Metal will develop projects internally or through strategic joint
ventures until a project becomes ready for disposal through outright sale or
separate listing on a recognised stock exchange thereby crystallising the
value generated from our internal exploration and development work.

Value generated through disposals will be deployed internally to drive the
Company's growth or may be returned to shareholders through share buy backs,
dividends or in-specie distributions of assets.

 

Exploration Work Overview

Power Metal has internal exploration programmes completed or underway, with
results awaited, as outlined in the table below.

 Project                Location  Current          Work Completed or Underway                                                    Results Awaited

                                  POW %

 Athabasca Uranium      Canada    100%             Ground exploration programme underway at 3 properties.  Continuing data       Results from ground exploration including spectrometer analysis, sampling and
                                                   analysis across the property portfolio.                                       mapping.
 Authier North Lithium  Canada    Earn-in to 100%  Property Evaluation Report completed.                                         Update covering exploration plans for target areas identified during the
                                                                                                                                 Evaluation.
 Molopo Farms           Botswana  53%(#)           Final preparations for the launch of K1-6 conductor target drilling and MLEM  Commencement of T1-6 drill programme and findings therefrom plus results from
                                                   surveys over T1-6, T1-14, T1-3 and T2-3 targets.                              MLEM surveys.
 Tati Project           Botswana  100%             RC drilling underway and previously sampling of mine dumps complete.          Review of mine dumps sampling, and processing potential.  Results from RC
                                                                                                                                 drill programme.

(#) subject to completion of acquisition announced 18.5.22 interest will
increase to 87.71%

Exploration work programmes may also be underway within Power Metal investee
companies and planned IPO vehicles where Power Metal has a material interest,
the findings from which will be released on their respective websites, with
simultaneous updates through Power Metal regulatory announcements where
required.  These interests are summarised in the table below:

 Company                          Status/Operations                                                           Link
 First Class Metals PLC           Investment - POW 28.19%                                                     www.firstclassmetalsplc.com (http://www.firstclassmetalsplc.com)

                                  Exploration in the Schreiber-Hemlo region of Ontario, Canada
 First Development Resources PLC  Planned IPO - POW 62.12%                                                    www.firstdevelopmentresources.com (http://www.firstdevelopmentresources.com)

                                  Exploration in Western Australia and the Northern Territory of Australia
 Golden Metal Resources PLC       Planned IPO - POW 83.13%                                                    www.goldenmetalresources.com (http://www.goldenmetalresources.com)

                                  Exploration and development in Nevada, USA
 Kavango Resources PLC            Investment - POW 14.03% (subject to completion of Kanye Resources disposal  www.kavangoresources.com (http://www.kavangoresources.com)
                                  announced 8.7.22)

                                  Exploration in Botswana
 New Ballarat Gold PLC            Planned IPO - POW 49.9%                                                     A new website is currently in development which will be found at

                                                                           www.newballaratgoldcorp.com (http://www.newballaratgoldcorp.com) .
                                  Exploration in the Victoria Goldfields of Australia

                                                                                                              In the interim further information in respect of NBGC can be found at:

                                                                                                              https://www.powermetalresources.com/project/victoria-goldfields/
                                                                                                              (https://www.powermetalresources.com/project/victoria-goldfields/) .

 

 

 

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