REG - Power Metal Res. - Fermi Exploration: Acquisition of Pardoe

Power Metal ResourcesAnnouncement

11/12/2024 07:00

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20241211:nRSK5843Pa&default-theme=true

RNS Number : 5843P  Power Metal Resources PLC  11 December 2024

11 December 2024

Power Metal Resources PLC

("Power Metal" or the "Company")

Fermi Exploration: Acquisition of Pardoe Uranium Property

Power Metal Resources plc (AIM:POW, OTCQB:POWMF), the London-listed
exploration company with a global project portfolio, is pleased to report the
acquisition by mineral claim staking of the Pardoe Uranium Project ("Pardoe"
or the "Project"), located in northern Saskatchewan, Canada.

HIGHLIGHTS:

·    Pardoe acquired by direct mineral claim staking undertaken by the
Fermi Exploration technical team, through the Mineral Administration Registry
Saskatchewan ("MARS") electronic registry system. Further information on the
staking process can be found in the 'Further Information' section below.

·    Pardoe is located 35 km southeast of the Athabasca Basin, in an area
with over 33 km of inferred geophysical linear constructors and multiple
historical uranium occurrences. The Project has never been subject to
significant targeted or systematic exploration.

·    Following a review of historical exploration data, five target areas
on the Project have been identified with fieldwork proposed for summer 2025.

 

 

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

"It is very pleasing to be able to report another successful staking and the
increase of our uranium footprint in and around the Athabasca Basin.

"We look forward to updating further on this and our other high impact
exploration programmes in due course."

 

FURTHER INFORMATION

ACQUISITION OF PARDOE

The mineral claims constituting the Pardoe Property (Figure 1) were acquired
directly through the Mineral Administration Registry Saskatchewan ("MARS")
electronic registry system.

Where a previous claim owner is unable to satisfy the claim maintenance
requirements, that ground is reopened to third-party staking at a set time
each month. Claim area 'reopenings' are often highly competitive with many
parties attempting to acquire the newly available land.

The total cost of staking the 9,593.14 Ha area of the Pardoe Project was
Canadian $6,116.94, the newly staked licences come with a two-year term with
no minimum spend requirement, which can then be extended for subsequent years
by spending a minimum of Canadian $143,897.10 per annum.

 

Figure 1 - Map of the Pardoe Project

 

PARDOE PROPERTY OVERVIEW

Located 4 km from the Provincial Highway 905, 640km northeast of Saskatoon,
and around 10km from an established privately operated field camp. Pardoe has
been explored sporadically since 1966, with historical work including:
reconnaissance prospecting; lake sediment sampling; and airborne radiometric,
magnetic, Very Low Frequency ("VLF"), and electromagnetic ("EM") geophysical
surveys.

The Project is located 34km southeast of the Athabasca Basin and straddles the
structural contact between the Wollaston and Peter Lake geological domains -
both areas of intense uranium exploration.

From the variety of historical work(1,2) completed on the Project, the Project
hosts over 33 km of inferred linear geophysical conductors, split into two
parallel zones - these conductors are key targets for uranium exploration both
within and outside the Athabasca Basin. The Project has a regional and project
specific, mapped geology of metasedimentary gneisses, with minor mylonite
(rock formed in major fault zones) to the east of the property. The Project is
cut by major north-south faults, close to which historical exploration(3) has
outlined the enrichment of uranium. Despite this prospective geology, Pardoe
has received minimal recent ground exploration.

Located in an area of ongoing exploration, Pardoe is bordered along trend to
the southwest by veteran explorers Fission Uranium Corp and to the northeast
by Skyharbour Resources Ltd (TSX.V: SYH). ALX Resources Corp (TSXV: AL) border
to the northwest of the Project.

Nearby uranium deposits include ACKIO(4) (operated by Baselode Energy:
TSXV:FIND) 28 km to the northwest. The Falcon Point uranium deposit (Inferred
Resource, dated 2015, totalling 6.96 Mlbs U3O8 within 10.4Mt at an average
grade of 0.03% U3O8 (at a 0.01% U3O8 cut-off) with significant quantities of
rare earth element oxides (REO)(5) is operated by Skyharbour Resources Ltd ,
and located 44km to the south-west of Pardoe.

Target Areas

A comprehensive 'data room' has been set up to support future exploration of
the Project. Future exploration will target basement-hosted uranium
mineralisation, such as that found at McArthur River, Rabbit Lake, and the
nearby ACKIO deposit. Following a review by the Fermi technical team, the
following  initial target areas for future exploration have been established:

·    Grant Lake: Situated in the northeast of the property, this target
features multiple VLF and EM geophysical responses, along with elevated
uranium in lake sediment results(3); this area has previously received
prospecting and soil sampling, which found anomalous results in uranium and
copper, although they were never followed up.

 

·    Johnson Lake: Situated in the northwest of the property, with three
radiometric anomalies, plus anomalous uranium, copper, lead, molybdenum,
nickel and zinc in lake sediments, the Johnson's Lake target site in a
structural prospective location, with significant north-south faulting, and
encompassing around 6km of conductive lithologies.

 

Previous work has defined a small (600 m x 250 m) radiometric anomaly centred
within a lake; however, the area to the southeast - and 'down' inferred
conductors was never studied in detail, and the mapped geology(3) to the
southeast comprises faulted pelitic units, with mylonites. Elsewhere, both
inside and outside the Athabasca Basin, mylonites have been inferred as fluid
pathways(6,7), alongside fractured pelitic units, and thus these units offer a
potential target for future exploration.

 

·    Pardoe Bay:  Second highest radiometric response on the property,
coincident with an inferred geophysical conductor which displays minor
weakening, north-south trending faulting, and magnetic low, with multiple
anomalous Uranium in lake sediment results 'downstream' of the target area(3).
This target has received minimal work from previous operators.

 

·    Johnson Narrows - Area of complex structural geology, within an area
of mylonitic geology, and a weakened conductor. Previous exploration
identified radioactive boulders 1km 'down ice' of the target, but minimal work
has been completed on the target itself(9).

 

·    Pardoe Central - Localised elevated radiometric response(8),
associated with a weakening of the geophysical conductor, that may be related
to hydrothermal alteration. No work has been carried out directly on the
target, although ground geophysics and soil sampling was carried out 600 m to
the west(3) identified anomalous uranium and lead, with elevated copper, zinc
and nickel associated with conductive lithologies.

The property is considered under-explored; as around only 5km of the 33km
strike length of conductive lithologies on the Project have been examined by
previous operators, and there are only two instances of 'boots on the ground'
fieldwork(3,8) (most recently in 1979). There is also potential on the Project
to host base metal (zinc/copper) mineralisation and pegmatite-hosted rare
earth element (REE) mineralisation.

Proposed Exploration

Thanks to the extensive historical geophysical work acquired by Fermi
Exploration, the Project does not currently require airborne EM surveying, and
thus the fieldwork will likely include ground testing of target areas through
systematic sampling.

 

REFERENCES

1:             Star Uranium Corp, 2008, 2007 VTEM® Airborne
Geophysical Survey Pardoe Lake Property, 74H08-0040

2:             Phalanx Disposition Management Ltd. 2013, REPORT on
Geotech VTEM Survey On The Pardoe Lake Property S-111882 And S-111943 Northern
Mining District Saskatchewan, Canada, MAW00164

3:             Marline Oil Corporation, Permit 1 and Internal
Claims Saskatchewan, Detailed Reports on Field work Summer 1979, 1979, J.
Descarreaux, 74H08-0033

4:             Baseload Energy Corporate Presentation, 9 October
2024:

https://baselode.com/site/assets/files/3963/baselode_energy_corporate_presentation_2024_10_09.pdf
(https://baselode.com/site/assets/files/3963/baselode_energy_corporate_presentation_2024_10_09.pdf)

5:             Technical Report on the Falcon Point Uranium
Project Northern Saskatchewan, Skyharbour Resources Ltd., dated 20 March 2015:

https://skyharbourltd.com/_resources/SYH%202015%2043101%20report%2015%2003%2020%20Falcon%20Point.pdf
(https://skyharbourltd.com/_resources/SYH%202015%2043101%20report%2015%2003%2020%20Falcon%20Point.pdf)

6:             Benedicto, A., Abdelrazek, M., Ledru, P., MacKay,
C. and Kinar, D., 2021. Structural controls of uranium mineralization in the
basement of the Athabasca Basin, Saskatchewan, Canada. Geofluids, 2021(1),
p.3853468.

7:             Abdelrazek, M., Benedicto, A., Gerbeaud, O. and
Ledru, P., 2021. Reactivation mechanisms and related-porosity enhancement of
shear zones in the context of basement-hosted uranium mineralization: case of
the Spitfire discovery in the Patterson Lake corridor, Canada. Geochemistry:
Exploration, Environment, Analysis, 21(3), pp.geochem2020-082.

8:             Park Exploration Geophysics, 198, Airborne
Radiometric and VLF Surveys Cairns Lake  Permit 1 Extension Projects
Saskatchewan, 64E-0005

9:             Partridge EF, 1967, Prospecting Notes, Johnson
River Area, 74H08-NE-0001

 

QUALIFIED PERSON STATEMENT

The technical information contained in this disclosure has been read and
approved by Mr Nick O'Reilly (MSc, DIC, MIMMM QMR, MAusIMM, FGS), who is a
qualified geologist and acts as the Qualified 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
 Sean Wade (Chief Executive Officer)                                            +44 (0) 20 3778 1396

 SP Angel Corporate Finance (Nomad and Joint Broker)
 Ewan Leggat/Caroline Rowe                                                      +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

 BlytheRay (PR Advisors)

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

 

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

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  ACQBIBDDSDBDGSG