REG - Power Metal Res. - Balthaga Project Update

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RNS Number : 6769R  Power Metal Resources PLC  04 February 2026

4 February 2026

Power Metal Resources PLC

("Power Metal" or the "Company")

Balthaga Project Update

 Drill target definition programme to commence

 

Power Metal Resources PLC (AIM:POW, OTCQB:POWMF), the London-listed mineral
exploration company and project incubator with a global project portfolio, and
its majority held subsidiary Power Arabia Ltd ("Power Arabia"), are pleased to
provide an update on the exploration programme at the Balthaga project
("Balthaga" or the "Project") in the Kingdom of Saudi Arabia ("KSA").

Following the fulfilment of the Company's initial expenditure requirement to
obtain 20% shareholding in the Project(1), Power Metal is now commencing the
exploration expenditure required to increase its shareholding to 30%. As part
of this, the Company is mobilising a team to carry out the next stage of
exploration focused on defining drill targets, further to the anomalies and
targets generated last year(2).

This drill target definition programme will be split into two phases. The
initial phase focusing on a mapping and rock sampling programme targeting both
previously defined targets and new targets, and phase two focused on an infill
soil geochemistry sampling programme over the anomalous Hugban intrusion
corridor.

 

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

"Through our previous exploration work and historical reports, we have
identified multiple prospective targets across the Balthaga licence area. The
mobilisation of our exploration team on site will look to define these targets
for future drilling programmes and provide further confirmation of the
prospectivity of the Project.

As we move into the next stage of our expenditure requirements, we look
forward to enhancing our strategic position within the Project, whilst drawing
on the technical expertise of the Power Arabia team to further expand our
understanding of this exciting licence area."

Chris Counsell, General Manager Geology and Mining, EV Metals Group plc,
commented:

"We are pleased to be progressing the next stage of exploration at the
Balthaga Project alongside our joint venture partner, Power Metals Arabia, as
part of our planned and collaborative work programme. The commencement of the
drill target programme reflects the strong technical alignment between our
teams and builds on the growing Geological understanding of this highly
prospective area. We look forward to the outcomes of this work as the Project
continues to advance and support EV Metals Group's long-term growth strategy
in the Kingdom."

 

 

 

Balthaga property

The Balthaga property is located midway between Riyadh and Jeddah in Saudi
Arabia and comprises 13 contiguous exploration licences that encompass a total
area of 1,290 km(2) (Figure 1).

Based on the geological setting, available data and field observations, the
property is prospective for granite-related rare metal mineralisation,
particularly tin (Sn), tungsten (W), lithium (Li), beryllium (Be), molybdenum
(Mo), niobium (Nb) and tantalum (Ta) and rare earth elements ("REE").

Balthaga is the subject of a mutually binding earn-in agreement with RIWAQ
Al-Mawarid for Mining ("RIWAQ"), announced 26 March 2024(1). RIWAQ is a 90%
owned subsidiary of EV Metals Group plc ("EVM"), which is focused on the
development of the supply chain for critical raw materials from the
exploration, mining and processing of minerals and metals in KSA. Power Metal
Resources has fulfilled its initial expenditure requirement and is now a 20%
stakeholder in the Project(2).

Figure 1: Location of the Balthaga property, Saudi Arabia

This next stage of work is split into two phases, both designed to identify
next stage drill targets. The initial phase is due to commence in the coming
days, focusing on a mapping and rock sampling programme targeting both
previously defined targets and new targets relating to the rare metal granite
mineralisation identified last year. The second phase is planned to take place
after Ramadan in mid-March 2026 and is focused on an infill soil geochemistry
sampling programme over the key anomalous Huqban intrusion corridor.

An expert in this type of geology and mineralisation from SRK Consulting (UK)
Ltd, who independently reviewed the comprehensive 95-page technical report,
will be part of the initial team, adding significant experience and local
knowledge to the field programme, along with support from a senior geologist
from The MSA Group in Jeddah. Furthermore, a previously-used, local logistical
specialist will support the team in the field for the duration of the
programme.

Figure 2: Prioritised ground mapping/sampling areas, Balthaga, February 2026

Figure 2 shows the target areas to be visited and traversed systematically
during this programme with a key focus on the anomalous 'corridor' trending
southeast northwest on the northern part of the Huqban intrusion, but also a
couple of other key lithium focused targets in the southern and northern
sectors of the project area.

The soil sampling programme (See Figure 3), that will take place in phase two,
has already been prepared, however, the team will review its optimised
targeting based on the outcome of this initial programme to ensure it covers
the optimum target area to support drill target definition. This is planned to
be done after Ramadan in mid-March 2026.

 

 

Figure 3: Proposed soil sampling grid along priority corridor target area,
Balthaga, Feb 2026

 

Balthaga is a sizeable and exciting exploration property that is prospective
for a variety of critical metals (Be, Li, Mo, Nb, REE, Sn, Ta and W) and
well-aligned with the Kingdom of Saudi Arabia's vision 2030 and the emphasis
on energy transition minerals.

References

1:            Company Announcement, Binding Earn-in Agreement
Signed with RIWAQ Al-Mawarid for Mining a Majority-Owned Subsidiary of EV
Metals Group plc, First Major Agreement for Exploration in the Kingdom of
Saudi Arabia, dated 26 March 2024
(https://polaris.brighterir.com/public/power_metal_resources/news/rns/story/rmkem8w
(https://polaris.brighterir.com/public/power_metal_resources/news/rns/story/rmkem8w)
)

2:            Company Announcement, Balthaga Project Saudi Arabia:
Exploration Update, dated 5 January 2026
(https://polaris.brighterir.com/public/power_metal_resources/news/rns/story/rdo2y4x
(https://polaris.brighterir.com/public/power_metal_resources/news/rns/story/rdo2y4x)
)

 

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/Jen Clarke                                                          +44 (0) 20 3470 0470

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

 BlytheRay (PR Advisors)

 Rachael Brooks/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, Oman 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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