REG - Power Metal - Uranium Portfolio Update - Athabasca Basin

Power Metal ResourcesAnnouncement

14/01/2022 07:00

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RNS Number : 4657Y  Power Metal Resources PLC  14 January 2022

14 January 2022

Power Metal Resources PLC

("Power Metal" or the "Company")

Uranium Portfolio Update - Athabasca Basin

Extensive Historic Data Compilation Completed Across the Portfolio

 

Power Metal Resources PLC (LON:POW) the London listed exploration company
seeking large-scale metal discoveries across its global project portfolio
announces an update on its uranium portfolio which includes seven 100% owned
interests (the "Portfolio" or "Properties") covering 411.96km(2) surrounding
the Athabasca Basin in northern Saskatchewan, Canada.

Further information in respect of the Properties, including a location map may
be viewed in the website link below:

https://www.powermetalresources.com/project/athabasca-basin/

Portfolio Updates:

-    Power Metal has completed an in-depth historic data compilation across
its entire uranium Portfolio surrounding the prolific Athabasca Basin,
Saskatchewan, and now possesses a robust fully-digitised database covering all
historic work programmes completed across the various Properties.

 

-    Power Metal recently retained a UK-based geological consultant with
extensive Athabasca Basin experience to help push forward the Company's
various initiatives and projects within the exciting uranium space. The
consultant previously completed a M.Sc. thesis from the University of Ottawa
where they researched the geochemistry, alteration, and structural geology of
one of the many world-class unconformity-related uranium deposits located
within the Athabasca Basin.

 

-   Several extensive historical datasets were successfully procured, the
data from which, combined with the results obtained from the recently
completed Phase I work programme, will allow the Company to begin planning
various 2022 exploration initiatives across the Portfolio.

 

-    Further maps and highlights from across the Portfolio will be
released by the Company in the coming months. Select findings from the
historic data compilation programme for the Tait Hill Property are however
highlighted below, demonstrating the information gathered for one property.

 

-     Reflecting the interest shown from third parties in the Properties,
a dataroom is being prepared to provide a focal point for those parties
wishing to undertake due diligence review.

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

"Our move into uranium exploration has been planned for some time and
commenced with the September 2021 staking surrounding the Athabasca Basin. The
staking undertaken was highly selective, focusing on areas where historical
recorded work had demonstrated uranium mineralisation or where other
geological features suggested that ground would be prospective.

Although selective, the seven properties are clearly attracting some interest
and we are looking at potential commercialisation options alongside planning
for proactive 2022 exploration programmes.

To maximise any commercial outcome, and to optimise exploration we have
gathered as much data as possible in respect of the Properties, and the
information gleaned is, in our view, highly valuable."

Tait Hill Property ("Tait Hill" or the "Property") Data Compilation Highlights

-   All data from an high-resolution airborne magnetic, electromagnetic, and
radiometric survey flown by Terraquest Ltd., on behalf of Canalaska Uranium
Ltd., was obtained by Power Metal. The 2008 high-resolution survey included
4,290 total line-km flown at 150m line-spacing which covers the entire modern
day Tait Hill Property.(1)

 

-      Detailed analysis was undertaken by Canalaska Uranium Ltd., for
various radiometric products produced by the airborne survey including uranium
(U), thorium (Th) and potassium (K). Specifically, isolated points in the
dataset which have high U/Th ratios relative to background, are considered
good candidates for uranium-rich surface showings and should be prioritised
during future work programmes.(1) A total of 11 unique points were identified
by the survey within the Tait Hill Property.

 

-   The airborne survey (1(st) vertical derivative product) highlights
multiple northwest-southeast trending magnetic high features which transect
the Property. Mapping over the area determined that they correspond to
uranium-rich granite and pegmatitic dykes with anomalous scintillometer
readings ranging from 350 to 2,500 counts per second ("CPS"). Further
investigation is warranted along these structures which are mapped for a
combined 16km through the Property.(2)

 

-    Several zones of uranium-rich mineralisation were identified in the
historic results from Tait Hill including rock samples up to 15,150ppm
(1.52%), 7,653ppm, and 6,610ppm U, as well as uranium in soil samples up to
14,358ppm (1.44%), 7,049ppm, and 6,692ppm.(2,3)

 

-     The rock sample that returned 15,150ppm U was taken immediately
west of Tait Lake, and was located along a northeast-southwest oriented
uranium-rich boulder train which follows the general direction of ice movement
in the region (southwest). It was recommended that additional work be
completed on this boulder train as further work may lead to the possible
source area for these uranium-rich boulders.(2)

 

-      A new high-priority zone was identified during the 2008 field
campaign which was named the 'NE Shearika Zone'. Here, several uranium-rich
rock samples (including 7,654ppm, 6,611ppm, 3,633ppm, and 1,609ppm U) were
collected along a sharp contact zone between a granitic intrusion (magnetic
high) and the surrounding meta-sedimentary rocks (magnetic low). This contact
zone is traced for over 3km within the Tait Hill Property.(3)

 

A map highlighting some of the results from the historic data compilation
completed on the Tait Hill Property can be found at the following link:

Tait Hill Historic Data Compilation Map|Power Metal Resources plc (LON: POW)
(https://www.powermetalresources.com/tait-hill-historic-data-map/)

 

Reference Notes:

1:             Operations Report for Canalaska Uranium Ltd., High
Resolution Magnetic, XDS VLF-EM & Radiometric Airborne Survey Grease River
Project Northern Saskatchewan: April 15, 2008

2:             Canalaska Uranium, Report on the 2007 Exploration
Programme Grease River Project: July, 2008

3:             Canalaska Uranium, Report on the 2008 Exploration
Programme Grease River Project: March, 2009

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 (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 and assay results from on-site work programme.
 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%(1)           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
 Haneti Project              Tanzania   35%              Diamon drill programme underway                                               Results from field programme including drill programme underway
 Victoria Goldfields         Australia  49.9%            Ongoing exploration across 848km(2) of granted exploration licences           Results from field programme including drill programme underway

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

                                                         Ground reconnaissance work underway.

(1) should Kavango exercise their option to acquire Kalahari Key, Power Metal
interest would reduce to 40% of the Molopo Farms Complex project

(2) assuming all licences held by URE Metals Pty Limited are granted as
outlined in the Company's announcement of 19.11.21 resulting in the issue of
First Development Resources Ltd shares to URE vendors

 

 

 

 

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