REG - Power Metal - Haneti Project - Drill Programme Commencement

Power Metal ResourcesAnnouncement

11/01/2022 07:05

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RNS Number : 9840X  Power Metal Resources PLC  11 January 2022

11 January 2022

Power Metal Resources PLC

("Power Metal" or the "Company")

Haneti Project - Drill Programme Commencement

Mobilisation Underway for Inaugural Haneti Project Diamond Drilling Programme

 

Power Metal Resources PLC (LON:POW) the London listed exploration company
seeking large-scale metal discoveries across its global project portfolio
announces that mobilisation has successfully commenced for the Company's
inaugural diamond drilling programme on the Haneti Project ("Haneti" or the
"Project") located in central Tanzania.

The Haneti Project is currently held under a Joint Venture ("JV") with Katoro
Gold Plc (LON:KAT "Katoro") who hold a 65% interest, with the remaining 35%
interest held by Power Metal.

A map highlighting the planned locations for the 2022 diamond drilling
programme can be found at the following link:

https://www.powermetalresources.com/haneti-project-drill-programme/
(https://www.powermetalresources.com/haneti-project-drill-programme/)

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

"The Haneti Project, targeting magmatic sulphide hosted nickel, copper and
platinum group metals, represents a unique district-scale opportunity for
Power Metal and our JV partner Katoro .

The preparatory work leading up to this campaign has been extensive, though
ultimately, it is deep diamond drilling that is now needed in order to broaden
our understanding of the geological environments and to unlock the potential
for a commercial discovery.

With some considerable enthusiasm we launch the programme and very much look
forward to updates  from the field, and ultimately the results of the assay
testing of drill core samples which will be collected during the 2022
campaign."

HIGHLIGHTS:

-      Mobilisation by the drilling contractor has commenced with the
drilling rig expected to be on site around 17 January 2022, and drilling
expected to commence on or around 20 January 2022.

 

-      The planned 1,000m drill programme consists of three deep diamond
core targeting magmatic nickel (Ni) copper (Cu) platinum group element (PGE)
sulphide mineralisation.  The work will constitute the first diamond drilling
conducted out by the JV within the Haneti Project area.

 

-      In advance of the drilling programme the Haneti Project licences
have successfully been renewed for an additional 7 years.

 

-      The planned drillholes are designed to provide a full intersection
through the various ultramafic sequences in order to produce fresh rock
samples for detailed geochemical and petrographic analysis.

 

-      Two diamond core holes are planned at the Mwaka Target for a
combined total of approximately 505m. The holes have current planned depths of
264m and 241m and are designed to test two discrete high-priority conductors
which were identified during the 2012 electromagnetic ("EM") geophysics
survey.

 

-      A single 495m deep diamond core drill hole is planned at the
Mihanza Target. The Mihanza target was subject to a shallow Rotary Air Blast
("RAB") drill programme that was completed in early 2021; the programme
confirmed the presence of near-surface Ni-Cu-PGE sulphide mineralisation. The
Mihanza Target is centred around coincident magnetic high geophysical and
nickel geochemical anomalies. Detailed modelling and inversion analysis of the
airborne magnetic data completed in 2014 identified a large plug shaped
magnetic anomaly (following work undertaken by consultants to former project
owner Kibo Mining plc this was interpreted to represent an ultramafic body)
which lies at roughly 300m below surface. This plug shaped body has never been
drill tested, and the drill hole planned at Mihanza is specifically designed
to intersect the anomaly at depth.

 

COMPETENT PERSON STATEMENT

The technical information contained in this disclosure has been read and
approved by Mr Nick O'Reilly (MSc, DIC, MIMMM, MAusIMM, FGS), who is a
qualified geologist and acts as the Competent Person under the AIM Rules -
Note for Mining and Oil & Gas Companies. Mr O'Reilly is a Principal
consultant working for Mining Analyst Consulting Ltd which has been retained
by Power Metal Resources PLC to provide technical support.

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 (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.

Power Metal Exploration Programmes Underway/Results Awaited

Power Metal has exploration programmes completed or underway, with results
awaited, as outlined below:

 

 Project                     Location   POW %            Work Completed or Underway                                                    Results Awaited

 Alamo Gold Project          USA        Earn-in to 75%   Excavation of multiple test pits and mapping & sampling.                      Field and assay results from on-site work programme.
 Authier North Lithium       Canada     Earn-in to 100%  Soil & rock sampling completed                                                Laboratory assay results of samples collected
 Ditau Project               Botswana   50%              Preparatory exploration work underway on target I10 leading to planned        Field programme findings and defined drill targets for near term drilling.
                                                         accelerated drilling targeting rare-earth elements and base metals

 Kalahari Copper Belt        Botswana   50%              Exploration programme underway across the South Ghanzi Project and further    Field programme findings and defined drill targets for near term drilling
                                                         exploration at the more recently acquired South Ghanzi Extension and Mamuno
                                                         licence areas
 Molopo Farms                Botswana   53%(1)           Kavango Option to acquire an interest in local project holding company.       Results from various work activities underway as part of the Kavango Option
                                                         Option fee payable through defined work programme
 Tati Gold/Nickel            Botswana   100%             Reverse circulation drill programme completed                                 Laboratory assay results awaited
 Victoria Goldfields         Australia  49.9%            Ongoing exploration across 848km(2) of granted exploration licences           Results from field programme including drill programme underway

 Wallal Gold/Copper Project  Australia  83.33%(2)        Passive seismic and 2D seismic processing work programme completed            Results awaited

(1) should Kavango exercise their option to acquire Kalahari Key, Power Metal
interest would reduce to 40% of the Molopo Farms Complex project

(2) assuming all licences held by URE Metals Pty Limited are granted as
outlined in the Company's announcement of 19.11.21 resulting in the issue of
First Development Resources Ltd shares to URE vendors

 

 

 

 

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