REG - Power Metal - Tati Project, Botswana - Exploration Update

Power Metal ResourcesAnnouncement

18/07/2022 07:00

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RNS Number : 7288S  Power Metal Resources PLC  18 July 2022

18 July 2022

Power Metal Resources PLC

("Power Metal" or the "Company")

Tati Project, Botswana - Exploration Update

Site Visit Completed, Extensive Gold Workings with Dumps Identified and
Planning for Next Exploration Steps Underway

 

Power Metal Resources PLC (LON:POW) the London listed exploration company
seeking large-scale metal discoveries across its global project portfolio
announces an exploration update in respect of the Company's 100% owned Tati
Project ("Tati" or the "Project") located within the prolific Tati Greenstone
Belt near Francistown, Botswana.

Collectively the Tati Project covers three individual prospecting licences
("PLs") for gold and nickel mineralisation including PL126/2019, PL127/2019,
as well as the newly acquired 16.14km(2) PL049/2022 which covers the historic
Cherished Hope gold mine.

A map highlighting the current licences and key features can be found on the
Company's website through the following link:

https://www.powermetalresources.com/cherished-hope-gold-mine/

 

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

"It is particularly exciting to get on the ground at our newly granted
prospecting licence PL049/2022 and the initial findings are extremely
positive.  Not only have we identified extensive gold workings, but also two
large sized fines dumps.

We will be back on site to undertake further mapping and sampling, including
the fines dumps to assay test for gold as there may be sufficient gold grades
remaining to consider processing the material to generate income to fund more
extensive exploration.

Importantly we have moved to plan for the near term launch of reverse
circulation drilling to test along-strike and the down-dip extent of the
Cherished Hope mineralised quartz reef structures.

Further updates will follow in the near term on this exciting project where
Power Metal has a 100% interest."

 

Highlights

-      A site visit has been successfully completed to the historical
Cherished Hope gold mine which is located entirely within the newly acquired
PL049/2022.

 

-      Ground mapping has shown the historical gold workings are
significantly more extensive than previously understood, with at least 10
individual workings comprising a combination of vertical shafts and trial
pits, extending over approximately 175m of strike-length.

 

-      Two fines dumps (representing waste material from the Cherished
Hope gold mine) are located proximal to the historical workings.  A survey is
required to determine the volume of fines material in each dump, against
which, with sampling, the amount of contained gold may be estimated.

 

-      It is a common practice within the Tati Greenstone belt, to
excavate and truck historical fines dump material to operational processing
plants, as these modern plants are capable of extracting gold from lower grade
material rendering historical waste as potentially economic.  This
possibility is being investigated further as a potential source of low-cost
near-term revenues to help fund more extensive and expeditious exploration
activities.

 

-      The Cherished Hope gold mine and fines dumps cover only a small
portion of the gold-in-soil anomaly which extends across the majority of
PL049/2022 (see map linked above).

 

-      The Company is undergoing an in-depth review of the site visit
report covering the newly acquired licence and is finalising next exploration
steps. It is anticipated that this programme will include sampling of the
fines dump material and a volumetric survey in order to determine an average
gold grade range for each fines dump.

 

-      In addition, planning is underway for an early and low-cost
reverse circulation ("RC") drilling programme aimed at testing the
along-strike and down-dip extent of the Cherished Hope mineralised quartz reef
structures.

 

-      Further updates in regards of this programme will be announced to
the market in due course.

 

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.

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.

 

Exploration Work Overview

Power Metal has internal exploration programmes completed or underway, with
results awaited, as outlined in the table below.

 

Exploration work programmes may also be underway within planned IPO vehicles
where Power Metal has a material interest the findings from which will be
released on their respective websites, with simultaneous updates through Power
Metal regulatory announcements where required:

 

www.firstclassmetalsplc.com (http://www.firstclassmetalsplc.com)

www.goldenmetalresources.com (http://www.goldenmetalresources.com)

www.firstdevelopmentresources.com (http://www.firstdevelopmentresources.com)

 

Power Metal also holds a material investment in Kavango Resources plc with
exploration updates available through their regulatory announcements and on
their website:

 

www.kavangoresources.com (http://www.kavangoresources.com)

 

 Project                Location   Current          Work Completed or Underway                                                    Results Awaited

                                   POW %

 Alamo Gold Project     USA        Earn-in to 75%   Technical reports received following excavation of multiple test pits and     Analysis of technical reports and potential follow-on work programme under
                                                    mapping & sampling completed.                                                 review.
 Athabasca Uranium      Canada     100%             Hyperspectral data analysis conducted across all 7 properties. Updating to 7  Finalise review of data from 3 properties.  Prepare for summer exploration
                                                    data rooms for third party review.                                            programme across 4 properties.
 Authier North Lithium  Canada     Earn-in to 100%  Property Evaluation Report completed.                                         Update covering exploration plans for target areas identified during the
                                                                                                                                  Evaluation.
 Molopo Farms           Botswana   53%(#)           Comprehensive data review complete and establishment of data room for third   Finalise next exploration steps and action plan.
                                                    party review.
 Tati Project           Botswana   100%             Site visit with mapping of gold workings and mine dumps.                      Exploration planning underway including further mapping, sampling and launch
                                                                                                                                  of an RC drill programme.
 Victoria Goldfields    Australia  49.9%            Diamond drill programme completed. Review of Ajax & Berringa mine             Final drill programme results analysis and resource potential analysis from
                                                    remaining resource potential.                                                 former high-grade producing mines in granted licences.

(#) subject to completion of acquisition announced 18.5.22 interest will
increase to 87.71%

 

 

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