REG - Power Metal Res. - Agreement with Alara Resources & Awtad Copper

Power Metal ResourcesAnnouncement

25/10/2024 07:00

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RNS Number : 5439J  Power Metal Resources PLC  25 October 2024

25 October 2024

Power Metal Resources PLC

("Power Metal" or the "Company")

Agreement with Alara Resources & Awtad Copper

Power Metal Resources PLC (AIM:POW, OTCQB:POWMF), the London listed
exploration company with a global project portfolio, and its majority held
subsidiary Power Arabia Ltd ("Power Arabia"), announced on 11 September 2024
the signature of a non-binding Heads of Terms ("HoT") with ASX listed Alara
Resources Limited ("Alara") and Awtad Copper LLC ("Awtad Copper") for Power
Metal to spend up to US$740,000 from the date of execution of a legally
binding agreement to earn a 12.5% stake in the Block 8 concession in Oman
("Block 8" or the "Block"), (the "Proposed Agreement").

The Company is pleased to announce that the finalisation and signature of a
formal and legally binding agreement containing the full terms and conditions
of the Proposed Agreement was signed on 22 October 2024 and consequently,
field work is expected to commence imminently. The formal agreement aligns
with the HoT and all material terms as announced on 11 September 2024 remain
unchanged.

Sean Wade, Chief Executive Officer of Power Metal Resources plc, commented:

"I am delighted to be able to announce that another landmark deal in our
growing Power Arabia business has been signed.

"We already have a team on the ground undertaking final logistical
preparations. Moreover, we are continuing to build a local geological team to
support this initial work, and for the rest of our expected project
development in Oman."

Further Information on Block 8

A certain amount of historic exploration for copper has taken place in the
central area of Block 8. However, significant potential exists to develop new
targets and understand the full geological potential of the Block. As such,
a  multi-pronged initial exploration programme has been planned by the Power
Arabia team. Four main workstreams are planned and due to commence in the
coming days:

1.    Stream and Wadi sampling programme across the southern outcropping
ophiolite sequence combined with initial mapping and rock chip sampling

2.    Orientation soil sampling across a known copper anomaly using the
Ionic Leach method of sampling and analysis to determine the efficiency and
accuracy of such a method for possible future use in the Block

3.    Reconnaissance traverses of the northern area of the Block that is
covered by more recent sediments and sands to identify any geological
information visible at surface in any outcropping units

4.    Initial trenching over the Al Mansur and one other copper target
identified by Power Arabia from satellite data review to test for copper
mineralisation. Trenching will use a locally sourced excavator with trenches
planned for 2m depth and placed cross cutting regional trends over potential
mineralised targets.

Figure 1: Provisional Geological map of Block 8 with 2 copper targets, Power
Arabia, October 2024

 

Figure 2. Provisional Drainage channel map, Block 8, Power Arabia, October
2024

 

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

 Power Metal Resources plc
 Sean Wade (Chief Executive Officer)                                             +44 (0) 20 3778 1396

 SP Angel Corporate Finance LLP (Nomad and Joint Broker)
 Ewan Leggat/Caroline Rowe                                                       +44 (0) 20 3470 0470

 Tamesis Partners LLP (Joint Broker)
 Richard Greenfield/Charlie Bendon                                               +44 (0) 20 3882 2868

 BlytheRay (PR Advisors)

 Tim Blythe/Megan Ray/Alastair Roberts                                           +44 (0) 20 7138 3204

 

NOTES TO EDITORS

Power Metal Resources plc (AIM:POW,OTCQB:POWMF) is a London-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, Saudi Arabia 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.

 

 

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