REG - Power Metal Res. - Update on Proposed Formation of Uranium-Focused JV

Power Metal ResourcesAnnouncement

16/09/2024 07:00

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RNS Number : 2288E  Power Metal Resources PLC  16 September 2024

16 September 2024

Power Metal Resources plc

("Power Metal" or the "Company")

Update on Proposed Formation of Uranium-Focused Joint Venture

Completion of Legal Due Diligence and Finalisation of Transaction Documents

Power Metal Resources plc (AIM:POW, OTCQB:POWMF), the London-listed
exploration company with a global project portfolio, announces an update on
the intended formation of a uranium-focused joint venture (the "Joint
Venture") involving Power Metal's entire portfolio of uranium licences.

A special purpose vehicle has been formed, UCAM Ltd, an affiliate of ACAM LP,
which is currently intended to be the counterparty to the transaction ("UCAM"
or the "Investor", together with the Company, the "Parties").

Further to the Company's announcement of 27 August 2024, the Parties are
pleased to confirm that all required workstreams with respect to the legal due
diligence are now complete and the preparation of the definitive legal
transaction documents for the transaction are now in substantially final form.

However, certain administrative tasks relating to the finalisation of the
financing arrangements by the Investor remain outstanding.

Accordingly, the Parties have agreed to extend the period of exclusivity for
the transaction to 27 September 2024.

Whilst no guarantee of completion can be provided, the Parties fully expect
completion within that period and the Company will update shareholders in due
course.

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)                                                         +44 (0) 20 7138 3204

Tim Blythe/Megan Ray

 

NOTES TO EDITORS

Power Metal Resources plc - Background

Power Metal Resources plc (AIM:POW, OTCQB:POWMF) is an AIM-traded 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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