REG - Power Metal - Silver Peak Canada – Overlimit Assay Results

Power Metal ResourcesAnnouncement

01/12/2021 14:05

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RNS Number : 2510U  Power Metal Resources PLC  01 December 2021

1 December 2021

Power Metal Resources PLC

("Power Metal" or the "Company")

Silver Peak Canada - Drill Programme Overlimit Assay Results

Overlimit Assay Results Produce High-Grade Copper, Antimony and Lead;
Highlight Result Now Includes 0.76m of 10,131g/t Silver Equivalent*

Power Metal Resources PLC (LON:POW) the London listed exploration company
seeking large-scale metal discoveries across its global project portfolio,
announces overlimit assay results from its recently completed 2021 diamond
drilling exploration programme on the Silver Peak Project ("Silver Peak" or
the "Project") located in British Columbia, Canada. The original silver assay
results for the 2021 drill programme were announced 12 November 2021 and can
be viewed at the following link:

 

Silver Peak Canada - Drill Programme Assay Results - 08:53:44 12 Nov 2021 -
POW News article | London Stock Exchange
(https://www.londonstockexchange.com/news-article/POW/silver-peak-canada-drill-programme-assay-results/15210267)

 

Programme Highlights:

·    A total of 19 short cored drill holes were completed as part of the
Phase I programme and all drill core was logged, catalogued and split by
independent geological consultants prior to being sent to ALS Canada Ltd in
Vancouver, British Columbia, for accredited laboratory assay analysis.  The
holes were undertaken utilising either Shaw or Hilti portable drills producing
34mm diameter core samples.

 

·    Overlimit assays were completed on all copper, antimony and lead
results which returned >10,000 ppm (1%) from the original laboratory
results. The overlimit reported herein include individual results up to 7.76%
copper (Cu), 9.45% lead (Pb), and 8.63% Antimony (Sb).

 

·    Updated highlight intercepts which are now calculated as AgEq* and
include Cu, Sb and Pb results (complete collar and assay tables available at
the bottom of this release):

o  0.9m of 4,649g/t AgEq from DDH21-1 (including 0.3m of 10,649g/t Ag, 2.28%
Cu, 6.53% Sb, and 5.53% Pb)

o  0.76m of 10,131g/t AgEq from DDH21-2 (including 0.35m of 12,373g/t Ag,
3.44% Cu, 9.45% Sb, and 8.63% Pb)

o  1.75m 3,072g/t AgEq from DDH21-7 (including 0.25m of 17,016g/t Ag, 4.10%
Cu, 8.26% Sb, and 6.05% Pb)

o  1.52m of 3,244g/t AgEq from DDH21-8

o  2.44m of 1,306g/t AgEq from DDH21-12

o  2.43m of 2,068/t AgEq from DDH21-13

o  2.59m of 1,740/t AgEq from DDH21-15

 

·    The high-grade Cu, Sb and Pb results led to an average increase in
grade of 18.8% from Ag to AgEq for the calculated intervals. Considering these
extremely high Cu, Sb and Pb results, the updated silver equivalent values
further highlight the silver rich nature of the veins on the Silver Peak
Project.

 

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

"The bonanza grade silver results from Silver Peak are further strengthened
today with the overlimit analysis demonstrating significant copper, antimony
and lead grades and increasing the average silver equivalent grade
considerably.

Overall, the results are highly impressive and demonstrate the incredibly
silver rich veins at Silver Peak. Without question this is an important asset
for Power Metal and our partners, particularly in a world where high quality
silver projects are hard to secure."

 

Programme Data:

Silver Peak 2021 Drill Programme Assay Table

 Hole ID   From (m)  To (m)  Interval (m)  Ag (g/t)  Cu (%)  Sb (%)  Pb (%)  AgEq*
 DDH21-1   0         0.9     0.9           3,998     1.24    2.54    1.89    4,649
 Incl.     0         0.3     0.3           10,649    2.28    6.53    5.53
 DDH21-2   0         0.76    0.76          8,692     2.24    5.82    5.15    10,131
 Incl.     0         0.35    0.35          12,373    3.44    8.63    9.45
 DDH21-3   0         0.55    0.55          2,725     0.9     1.87    0.72    3,182
 Incl.     0         0.15    0.15          9,470     2.14    6.49    2.51
 DDH21-4   0         0.46    0.46          3,522     1.23    2.24    0.33    4,072
 Incl.     0         0.2     0.2           7,710     1.98    4.74    0.71
 DDH21-5   0         0.38    0.38          1,199     0.63    0.56    0.12    1,380
 Incl.     0         0.15    0.15          2,810     0.71    1.17    0.19
 DDH21-6   0         0.84    0.84          79        0.08    0.17    0.01    93
 DDH21-7   0         1.75    1.75          2,669     1.18    1.31    0.88    3,072
 Incl.     1         1.25    0.25          17,016    4.1     8.26    6.05
 DDH21-8   0         1.52    1.52          2,808     1.37    1.49    0.18    3,244
 DDH21-9   No Significant Values
 DDH21-10  No Significant Values
 DDH21-11  No Significant Values
 DDH21-12  4.26      6.7     2.44          1,060     1.03    0.48    0.98    1,306
 DDH21-13  3.66      6.09    2.43          1,632     1.83    1.07    0.52    2,068
 Incl.     4.11      4.42    0.31          7,620     7.76    5.13    2.61
 DDH21-14  No Significant Values
 DDH21-15  6.55      9.14    2.59          1,438     1.19    0.84    0.15    1,740
 DDH21-16  0.6       3.66    3.06          39        0.03    0.02    0.04    48
 DDH21-17  No Significant Values
 DDH21-18  2.59      3.35    0.76          281       0.39    0.1     0.07    350
 DDH21-19  3.2       3.43    0.23          276       0.22    0.08    0.09    322

 

*                     Silver equivalent ("AgEq")
calculated using metal prices of US$22.8/oz Ag ($332.5/lb), US$4.36/lb Cu
(ratio 0.0131), US$5.6/lb Sb (ratio 0.0168), and US$1.06/lb Pb (ratio 0.0032).

AgEq= Ag + (0.0131Cu) + (0.0168Sb) + (0.0032Pb)

 

 

Silver Peak 2021 Drill Programme Collar Table

 Drill hole ID  Dip    Azimuth  Hole Depth (m)  Northing**  Easting**
 DDH21-01       -85°   325°     2.95            5462567.8   611652.1
 DDH21-02       -80°   285°     2.44            5462567.0   611652.0
 DDH21-03       -63°   285°     2.13            5462567.5   611653.0
 DDH21-04       +4°    50°      2.13            5462567.5   611654.0
 DDH21-05       -22°   25°      1.07            5462567.8   611654.5
 DDH21-06       -39°   310°     1.98            5462568.0   611655.0
 DDH21-07       -88°   260°     2.90            5462568.0   611655.0
 DDH21-08       -48°   275°     1.52            5462566.0   611649.0
 DDH21-09       -82°   70°      5.49            5462565.0   611648.0
 DDH21-10       -55°   108°     4.11            5462566.0   611649.0
 DDH21-11       -53°   180°     0.91            5462564.0   611656.0
 DDH21-12       -65°   120°     3.66            5462565.0   611647.5
 DDH21-13       -50°   100°     7.16            5462565.0   611647.5
 DDH21-14       -50°   105°     3.66            5462562.5   611647.5
 DDH21-15       -60°   105°     9.45            5462562.5   611647.5
 DDH21-16       -68°   125°     4.27            5462559.0   611654.0
 DDH21-17       -50°   125°     3.05            5462559.0   611654.0
 DDH21-18       -42°   25°      3.66            5462554.0   611654.0
 DDH21-19       -40°   40°      3.96            5462554.0   611654.0

**  Projection: UTM Zone 10 North NAD83

 

Property Ownership

The original agreement in respect to the Silver Peak Project was announced 14
September 2020 and may be viewed through the following link:

https://www.londonstockexchange.com/news-article/POW/canadian-silver-project-option-exercised/14685210
(https://www.londonstockexchange.com/news-article/POW/canadian-silver-project-option-exercised/14685210)

Due to the positive results achieved during the due diligence sampling and
follow up 2020 work programmes, the Company announced on 15 March 2021 that it
had accelerated the earn-in on the Project and now holds a 30% interest, the
details of which may be viewed through the following link:

https://www.londonstockexchange.com/news-article/POW/canadian-silver-project-commercial-update/14899230
(https://www.londonstockexchange.com/news-article/POW/canadian-silver-project-commercial-update/14899230)

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. Mr O'Reilly
consents to the inclusion in this announcement of the matters based upon the
information in the form and context in which it appears.

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 - 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 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 results from on-site work programme.
 Athabasca Uranium           Canada     100%             Phase I field exploration completed                                           Laboratory assay results of samples collected for uranium and REEs
 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%              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 targets for near term drilling

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

 

 

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