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Power Metal Resources #POW Raises £40,000 in Warrant Exercise

powPower Metal Resources plc (LON:POW) the London listed exploration company seeking large-scale metal discoveries across its global project portfolio announces it has received a notice to exercise warrants over 4,000,000 new ordinary shares of 0.1 pence each in the Company (“Warrant Shares”) raising an additional £40,000 for the Company.

The Warrant Shares are being issued pursuant to the exercise of 4,000,000 warrants at an exercise price of 1.0 pence per ordinary share of 0.1 pence each in the Company (“Ordinary Share).

ADMISSION AND TOTAL VOTING RIGHTS

Application will be made for the 4,000,000 Warrant Shares to be admitted to trading on AIM which is expected to occur on or around 29 October 2021 (“Admission”). The Warrant Shares will rank pari passu in all respects with the ordinary shares of the Company currently traded on AIM.

Following Admission, the Company’s issued share capital will comprise 1,270,387,734 ordinary shares of 0.1p each. This number will represent the total voting rights in the Company and may be used by shareholders as the denominator for the calculation by which they can determine if they are required to notify their interest in, or a change to their interest in, the Company under the Financial Conduct Authority’s Disclosure and Transparency Rules.

For further information please visit 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 Resources #POW – Ditau Project Botswana – Exploration Update

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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 regards to the Ditau Project located in southwestern Botswana targeting Rare Earth Elements (“REEs”) and base metals.

The Ditau Project is held in a 50/50 Joint Venture with Kavango Resources plc (“Kavango”). Kavango is the Operator.  

HIGHLIGHTS:

· Further to the exploration programme announced on 02 July 2021, Kavango has increased the exploration scope of Ditau to include base metals as well as REEs

 

· Accelerated drilling on I10 Target

o  Previous exploration by Kavango has identified a 2.5km by 2.8km target area at I10 with high AMT resistivity, coincidental with a gravity high anomaly.

o  Spectral Geophysics is to conduct a Time Domain Electromagnetic (“TDEM”) survey over I10 imminently.

o  Drilling of I10 planned in Q4 2021, together with a downhole electromagnetic survey (“EM”).

o  Environmental Management Plan currently in place.

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

“We believe the Ditau Project holds much potential and it is very good to see the next phase of work underway culminating in drilling of a key target planned for this year.

The interest in REEs is growing worldwide and to be actively progressing Ditau could not be more timely.

The Power Metal Botswana portfolio of projects continues to advance with exploration work underway across all interests.  Within Botswana, we expect the reverse  circulation drill programme currently underway at the Tati Project targeting gold and nickel near Francistown, to be completed in the coming days.”

Power Metal/Kavango Resources Joint Venture Structure

The Ditau Project is held by Kanye Resources Pty Ltd, a Botswana joint venture company in which Power Metal and Kavango each company hold a 50% interest. Exploration costs are equally shared. Kavango is the operator.

 

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/ 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

  

Power Metal Resources #POW – FDR Australia – Government Co-Funded Drilling

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Power Metal Resources plc (LON:POW), the London listed exploration company seeking large-scale metal discoveries across its global project portfolio, announces an update from the Wallal Project (the “Project”) located in the prolific Paterson Region of Western Australia where the Company is targeting major gold-copper discoveries.

The Wallal Project is wholly owned by First Development Resources Pty Ltd (FDR Australia). Power Metal announced a conditional acquisition of FDR Australia on 28.04.21, further details of which are provided below. Power Metal is currently working to complete this acquisition and a further announcement in respect of this is expected in the near term.

An application was submitted by FDR Australia to the Government of Western Australia Department of Mines, Industry Regulation and Safety (“DMIRS”) for government co-funded exploration drilling at the FDR Australia’s wholly owned Wallal Project (the “Application”). The funding is granted as part of Western Australia’s Exploration Incentive Scheme (“EIS”). The EIS  is a funding programme which offers up to a 50% refund (capped at A$150,000 for multi-hole drilling campaigns) for innovative exploration drilling projects undertaken within Western Australia.

The Wallal Project (the “Project”) covers 572km2 and includes three licence areas as follows:

–  E45/5816 – Wallal Main (390km2 granted licence)

–  E45/5853 – Wallal West 1 (96km2 application)

–  E45/5880 – Wallal West 2 (86km2 granted licence)

The Application submitted sought co-funding for deep drilling at the Wallal Main licence area, specifically targeting the Eastern  and Border anomalies identified from exploration to date. The Eastern and Border anomalies were originally identified following in-depth historical desktop analyses carried out by Power Metal over the entire Wallal Project. In particular, government airborne magnetic datasets identified multiple prospective concentric magnetic anomalies, including the Eastern and Border anomlies located within the Project.  

The Havieron deposit discovery, also located within the Paterson Region was originally discovered in basement rocks hidden below roughly 420m of post-mineral sedimentary cover, which resulted from the drilling of a buried magnetic geophysical anomaly. Further analysis of the Eastern and Border anomalies highlighted several similarities between the various magnetic targets. Specifically, the size and magnetic amplitudes of the Eastern and Havieron anomalies are ~2.5 x 2.5km (100 nanotesla) and  ~2 x 2km (80 nanotesla) respectively. Additionally, the Eastern, Border and Havieron anomalies were determind to lie under similar amounts of sedimentary cover.

FDR Australia has received written confirmation today that the Application has been successful and a co-funded drilling offer for up to A$165,000 has been received (including the maximum amount available under the EIS of A$150,000, plus up to A$15,000 in respect of drill mobilisation).

Work is nearing completion in respect of 2D seismic processing and passive seismic surveys undertaken at the Wallal Project and a further update to the market will follow with the findings of that work, which is focused on the refinement of current drill targets in readiness for the deep drilling campaign.

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

In 2021 we have applied resources to build our knowledge of the Wallal Project and refine our understanding of the three large scale magnetic bullseye anomalies.  That work has continuously yielded positive outcomes and we are particularly excited at the discovery potential the Wallal Project offers.

Securing government co-funding for the Project further enhances our confidence.  Aside from the benefit of co-funding to mitigate financial outlay, the co-funding further demonstrates the validity of our exploration plans in respect of this potentially company transforming opportunity.”

BACKGROUND

The Paterson projects are held by First Development Resources Pty Ltd (FDR Australia) and include Wallal Project (Wallal Main-E45/5816 (granted), Wallal West 1-E45/5853 (application) and Wallal West 2 – E45/5880 (granted), Braeside West Project (one licence application) and the Ripon Hills Project (one granted licence).

On 28 April 2021 Power Metal announced a conditional acquisition of FDR Australia and this may be viewed through the following link:

https://www.londonstockexchange.com/news-article/POW/conditional-australia-copper-gold-acquisition/14955517

The latest exploration update released by the Company on 13 September 2021 may be viewed through the following link:

https://www.londonstockexchange.com/news-article/POW/fdr-australia-paterson-region-exploration-update/15132674

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/ 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

 

Power Metal Resources #POW Completes Sale of Schreiber-Hemlo Interests to First Class Metals Ltd, which plans to list in London in Q4 2021

Power Metal Resources plc (LON:POW), the London listed exploration company seeking large-scale metal discoveries across its global project portfolio, announces completion of the sale of its Schreiber-Hemlo project interests located in Ontario, Canada, to First Class Metals Ltd (“First Class” or “FCM”).

The terms of the transaction were agreed on 07/09/21 and the related announcement may be viewed through the link below:

https://www.londonstockexchange.com/news-article/POW/sale-of-schreiber-hemlo-interests/15125039  

Power Metal has arranged for the transfer of Schreiber-Hemlo claims held by its wholly-owned Canadian subsidiary Power Metal Resources Canada Inc (“Power Metal Canada”) to FCM’s wholly owned Canadian subsidiary.

Power Metal Canada has been issued with 333,334 FCM shares at a price of £3 per share for total consideration of £1 million.

Power Metal has also now subscribed for 9,588 shares in the pre-IPO financing of FCM at £3 per FCM share.  The total subscription value of £28,764 has been paid to FCM.

Power Metal now has an interest in 342,922 FCM shares representing circa 36.1% of FCM after allowance for the pre-IPO fundraise shares issued by FCM.

Latest updates on FCM’s progress may be viewed through the FCM website and the following link:

https://www.firstclassmetalsplc.com/mining-news

Whilst it is the intention of FCM to pursue a listing on a recognised stock exchange in London targeted for late 2021, there is no guarantee that the IPO of FCM will proceed, whether it will be able to raise additional equity funding or at what price it will issue new shares to potential investors.

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

“Completion of this transaction sees Power Metal hold a significant interest in FCM, and we look forward to FCM’s progress with exploration and corporate activities in the weeks and months ahead.

Notably we look forward to the planned listing of FCM on the London capital markets and the value generative opportunity this could present for Power Metal.

This is the first completed corporate disposal/spin-out event for the Company, with a number of other potential spin-out transactions currently in progress. 

The Power Metal business is focused on exploration to secure major metal discoveries, however our corporate disposal/spin-out developments have the potential to dramatically build our working capital and provide considerable financial backing to our significant exploration ambitions across the portfolio.”

ABOUT FIRST CLASS METALS

First Class Metals Limited i s a minerals exploration company focused on proving and developing the significant potential of their flagship property North Hemlo as well as systematic exploration of the Esa, Sugar Cube, McKellar, Magical, Enable and Coco East projects, totalling 176km² in the Hemlo – Harte gold mines region in the Western portion of the Wawa-Abitibi Gold Belt of Ontario, Canada

Geologically the claim blocks are located within the Schreiber-Hemlo Greenstone Belt with target minerals gold, silver, base and battery metals in typical Archaean / Hemlo style mineralised settings.

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/ 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 and base 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.

#POW Power Metal Resources – New Copper Anomalies Identified – Garfield Nevada

 

Positive Findings from Satellite Imagery Analysed over Garfield Property; Additional Claims Staked to Cover New Target Areas

Power Metal Resources PLC (LON:POW) the London listed exploration company seeking large-scale metal discoveries across its global project portfolio announces the results from recently completed satellite imagery analysis over the Garfield Property (“Garfield” or the “Property”) located in the prolific Walker Lane Mineral Belt in Nevada, USA.

HIGHLIGHTS:

–  Analysis of Advanced Spaceborne Thermal Emission and Reflection Radiometer (ASTER) and European Space Agency Sentinel-2 datasets has been undertaken by global image processing expert Dr. Neil Pendock from Dirt Exploration based out of Cape Town, South Africa.

–  This analysis identified two strong anomalies, prospective for copper mineralisation, as evidenced by detailed mathematical analysis of spectral end members that correlate with known copper mineralistion in the area.

–  The new anomalies are located over 1km and 1.5km away from the main Garfield showings, expanding the potential copper mineralisation footprint significantly.

–  Additional claims have now been staked to cover the identified anomalies, increasing the claims held at the Property from three to eleven claims.

–  The Power Metal technical team is reviewing other strong anomalies near to the newly expanded Property which were identified by the satellite imagery analysis.

A map highlighting the newly acquired ground, as well as the copper anomalies identified by the analysis can be found at the following link:

https://www.powermetalresources.com/garfield-project/  

 

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

“Power Metal is grateful to Dr Pendock for his work which has led to the identification of prospective copper anomalies at our 100%-owned Garfield Property

This has been achieved by deploying the latest satellite imagery analysis techniques, undertaken at reasonable cost and is a material outcome from initial exploration work.

Given the findings we have intensified our exploration activities at Garfield and look forward to further updating shareholders with the outcomes from this exploration work.”

 

WORK UNDERTAKEN

Analysis of various datasets including Japanese Aster and European Space Agency Sentinel-2 was undertaken.  These datasets offer high spatial resolution visible/near infrared (VNIR), shortwave infrared (SWIR) and longwave infrared (LWIR) imagery.

The analysis was completed by global image processing expert Dr. Neil Pendock from Dirt Exploration based out of Cape Town, South Africa. As a result of the findings, additional staking has now been completed which cover two anomalies identified by the satellite analysis.

The Japanese Aster thermal camera (longwave infrared) allows for remote mapping of mobile metal ions within the earth’s upper unconsolidated bedrock and loose soil (regolith) using the emissitivity properties of minerals within the regolith.

This type of analysis is extremely well suited to Nevada, and specifically within the Walker Lake Mineral Belt (WLMB) due to the lack of vegetative cover over most of southwestern Nevada.

Detailed spectral analysis of approximately 380,000-hectares within the WLBM, cross-referenced with hundreds of known mineral occurrences mapped by the United States Geological Survey, allows for the determination of several spectral end-members which are well correlated with copper deposits within the area.

Specifically, spectral end-members represented by the minerals Serpentine (weathering product of ultramafic mireals) and Jarosite (formed by the oxidation of iron sulfides) were determind to have a strong correlation with known copper deposits within the WLMB. Serepentine is a weathering product of ultramafic minerals, and is a well known mineral associated with skarn-type mineralisation, which the Garfield Property is highly prospective for.

By amalgamating the various spectral endmembers associated with copper deposits in the region, areas highly prospective for copper mineralisation, including skarn-type mineralisation, were mapped across Garfield and within the surrounding areas.

Two strong anomlies (shown as warmer colours on map) were identified over 1km (Anomaly A), and 1.5km away (Anomaly B) from the main Garfield showings. Historic rock sampling proximal to these anomalies returned up to 2.6% Copper, and 5.53% respectively – further proving up the accuracy of the analysis completed. Interestingly, the copper indicators at the newly discovered Anomaly A and B are much stronger than dispalyed at the original Garfield showing, suggesting mineralisation may be stronger and more prospective in these newly acquired areas.

Claims have now been staked to cover these areas identified, and the company is reviewing other strong anomalies near to the newly expanded Property which were identified by the analysis which lie on ground currently open for staking.

 

OWNERSHIP STRUCTURE – GARFIELD PROPERTY

Power Metal’s wholly owned subsidiary Golden Metal Resources Limited, a UK company (“Golden Metal UK), holds a 100% interest in the Garfield Property through its wholly owned Nevada operating company, Golden Metal Resources LLC.

Golden Metal UK is currently seeking a listing on the London markets.

The acquisition of a 100% interest in the Garfield Property was announced on 17 June 2021, details of which can be found below:

https://www.londonstockexchange.com/news-article/POW/acquisition-of-gold-copper-projects-nevada-usa/15020989

 

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/ 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

Power Metal Resources #POW Alan Green talks to CEO Paul Johnson

Power Metal Resources #POW – Alan Green talks to CEO Paul Johnson. Like and Subscribe for more. Follow our social medias for the latest updates:

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LinkedIn: https://www.linkedin.com/in/alangreenbranduk/

Power Metal Resources #POW – Correction – Number of shares admitted to AIM

powPower Metal Resources plc (LON:POW) the London listed exploration company seeking large-scale metal discoveries across its global project portfolio has been informed that the AIM application process in association with the issue of equity announced on 27 October 2020 and 25 February 2021 was not completed.  As a result, the total number of new ordinary shares of 0.1p in the Company (“Ordinary Shares”) that are in issue does not match the number of Ordinary Shares for which applications have been made for admission to trading on AIM.

Accordingly, the Company has applied for 6,556,800 Ordinary Shares to be admitted to trading on AIM (“Admission”) and the date on which Admission is expected to become effective is at 8:00a.m. on or around 20 October 2021.

The Company’s issued share capital as at today’s date remains the same as previously announced and consists of 1,254,808,787 Ordinary Shares and this number represents the total voting rights in the Company and may be used by shareholders as the denominator for the calculation by which they can determine if they are required to notify their interest in, or a change to their interest in, the Company under the Financial Conduct Authority’s Disclosure and Transparency Rules. 

For further information please visit 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.

#POW Power Metal Resources – Tati Project Botswana – Drill Programme Commences

 

pow

Power Metal Resources PLC (LON:POW) the London listed exploration company seeking large-scale metal discoveries across its global project portfolio announces that the company’s inaugural drilling programme is now underway on the Tati Project located in the Tati Greenstone Belt near Francistown, Botswana (the “Project”).  The Project is targeting large scale gold and nickel discoveries.

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

“The launch of this inaugural drill programme at the Tati Project in Botswana is a great step forward for the Company.  The stunning pace of ground exploration at the Project has been matched by the positive findings to date and notably several multi-kilometre geochemical anomalies.

Drilling at such an early stage demonstrates our confidence in the Project and our sense of urgency to better understand the geology of several high-priority target areas. With successful exploration, Tati Project could become one of the leading projects in our portfolio.”

 

Highlights:

 

 

Drill Programme

Approximately 1,000m of reverse circulation (“RC”) drilling is planned across multiple target zones which is being undertaken by Power Metal’s drill partners Equity Drilling Ltd and Mindea Exploration and Drilling Services (Pty) Ltd.

All drill holes as part of this programme are planned for depths between 50 – 100m. RC drilling provides a inexpensive, and rapid testing method which is well suited for an early-stage drilling campaign.

The RC chip samples collected will be sent to Intertek Group plc’s laboratory located in Perth, Australia, for Fire Assay and multi-element analysis

 

Exploration to Date

Exploration on the Project has advanced at a rapid pace to its current stage since Power metal exercised its option to acquire a 100% interest in the Project on 28 July 2021.

To date, exciting multiple kilometre-scale arsenic, gold and nickel, as well as magnetic anomalies have been identified by geochemical sampling and ground-based geophysical surveys.

 

 

 

Rationale for Early Drilling

Kalahari sands which blanket the majority of the Project have precluded widespread geological mapping and prospecting, as a result the Company has decided to launch the drilling campaign in order to obtain bedrock RC chip samples from the various target areas below Kalahari sand cover.

The main goal of the drill programme is to test for the presence of the geological formations which host many of nearby historic and currently operating gold and nickel mines within the Tati Greenstone Belt.

The laboratory assay results, combined with geological logging of the RC bedrock samples will provide the company important geological information which will help guide future exploration and drilling campaigns on the Project.

PROJECT BACKGROUND

Power Metal exercised an option to acquire a 100% interest in the Project on 28 July 2021, through its local wholly owned operating subsidiary. Details of the option exercise can be found below.

https://www.londonstockexchange.com/news-article/POW/tati-project-botswana-option-exercised/15075700

PHASE I EXPLORATION

 

A total of 1,107 soil samples and 49 rock samples were collected across five select areas as part of the Phase I programme at the Project which was orginally announced by the Company on 28 June 2021:

https://www.londonstockexchange.com/news-article/POW/tati-project-botswana-exploration-commences/15036117

The first batch of results were analysed utilising a portable field X-ray Fluorescence (“XRF”) spectrometer, and from this work multiple large scale nickel and arsenic soil anomalies were announced by the Company on 19 August 2021:

https://www.londonstockexchange.com/news-article/POW/tati-project-large-scale-anomalies-confirmed/15104018

The second batch of results including 380 soil samples from Grid 1 (or the “Sikukwe Zone”), and 49 rock samples which were analysed by fire assay for gold at Intertek Group plc’s laboratory located in Perth, Australia. The results of this programme were announced by the Company on 14 September 2021:

https://www.londonstockexchange.com/news-article/POW/tati-project-large-scale-gold-anomaly-confirmed/15133545

PHASE II EXPLORATION

The phase II geophysics programme is nearing completion with surveys now finished on Grids 3, 4 and 5. A final survey over the Sikukwe Zone will be completed within the coming days. The preliminary results and findings from this Phase II exploration have been used for the planning of the ongoing RC drilling programme.  Further information in respect of the Phase II programme is available in the Company’s announcement dated 26 August 2021:

 

https://www.londonstockexchange.com/news-article/POW/tati-project-botswana-exploration-update/15112960

 

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/ 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

Power Metal Resources #POW Raises £99,842 in Warrant Exercise

powPower Metal Resources plc (LON:POW) the London listed exploration company seeking large-scale metal discoveries across its global project portfolio announces it has received notices to exercise warrants over 11,578,947 new ordinary shares of 0.1 pence each in the Company raising an additional £99,842 for the Company.

The Warrant Shares are being issued pursuant to the exercise of 6,000,000 warrants at an exercise price of 1.0 pence per ordinary share of 0.1 pence each in the Company, 1,578,947 warrants at an exercise price of 0.75 pence per Ordinary Share and 4,000,000 warrants at an exercise price of 0.70 pence per Ordinary Share.

ADMISSION AND TOTAL VOTING RIGHTS

Application will be made for the 11,578,947 Warrant Shares to be admitted to trading on AIM which is expected to occur on or around 15 October 2021 (“Admission”). The Warrant Shares will rank pari passu in all respects with the ordinary shares of the Company currently traded on AIM.

Following Admission, the Company’s issued share capital will comprise 1,266,387,734 ordinary shares of 0.1p each. This number will represent the total voting rights in the Company and may be used by shareholders as the denominator for the calculation by which they can determine if they are required to notify their interest in, or a change to their interest in, the Company under the Financial Conduct Authority’s Disclosure and Transparency Rules.

 

For further information please visit 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.

#POW Power Metal Resources – Quarterly Business Operational Update

pow

Power Metal Resources PLC (LON:POW) the London listed exploration company seeking large-scale metal discoveries across its global project portfolio announces the September quarterly business operational update for shareholders.

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

“We consider Power Metal to be a global project with thirteen project packages across three continents and targeting nine precious, base and strategic metals.

At the heart of our business is resource prospect generation, targeting district scale resource opportunities for internal development or value crystallisation.

Look below and you will see the results of our work to date and the potential the Power Metal business offers.

As a longstanding private investor and public company director in the junior resource space I often encounter the frustrations and the jubilations offered by a cyclical market.

Our duty, notwithstanding market conditions, is to remain focused, to continue to build and, above all, to justify shareholders’ trust in Power Metal through quantifiable delivery.”

 

Note: in addition to the material presented below, investors are guided to the Power Metal corporate presentation which is available on the Company’s website through the following link:

https://www.powermetalresources.com/presentation/

PROJECT OPERATIONS UPDATE

The tables below provide the latest status of each project within the Company’s portfolio and include:

–  Exploration project updates from African, North American and Australian interests;

 

–  Corporate development updates for project packages advancing towards spin-out into their own listed vehicles as part of the Company’s crystallisation objectives;

 

–  Further updates in respect of Power Capital Investments Ltd, the Company’s wholly-owned new project incubator;

 

–  Additional management and financial information for shareholders.

African Exploration Projects

Project

Latest Position

Molopo Farms Complex Project

Botswana

(Nickel – Platinum Group Elements (PGEs))

POW: Effective Economic Interest 50.8%

Work continues on technical analysis following the drill programme completed in early 2021. Significant nickel sulphides have been identified in the drill core with assays up to 1.7% nickel and 0.55g/t platinum.  Further selected samples are to be assayed for additional nickel sulphide and PGE content.

Discussions are in process with regard to corporate developments in respect of the Molopo Farms Complex interest together with next stage exploration including additional drilling.

Key Potential Value Drivers: Confirmation of further nickel sulphide and platinum group elements (PGEs) from assay testing, outcome(s) from corporate discussions and launch of next stage exploration.

 

 

South Ghanzi Project

Botswana

(Copper – Silver)

POW: 50%

 

 

South Ghanzi Project is held within Kanye Resources plc, a joint venture vehicle 50% held by Power Metal and 50% by partners Kavango Resources plc (LON:KAV) who are the operators of the project.

 

Drill target refinement continues at the South Ghanzi Project, together with initial exploration at the recently acquired South Ghanzi Extension Licences and the Mamuno Licences.  Together, the ground footprint in the Kalahari Copper Belt (KCB) totals 4,257km2.

 

Approval of the Environmental Management Plan (EMP) for South Ghanzi is being sought to enable drilling to be undertaken.

 

Further consideration is being given by the joint venture partners with regard to the planned IPO of Kanye Resources plc and an update in this regard will be provided in due course.

 

Key Potential Value Drivers: Approval of the EMP, drilling of South Ghanzi targets and initial exploration findings from the recently acquired KCB licences.

 

 

Ditau Camp Project

Botswana

(Rare Earths)

POW: 50%

 

Ditau Camp Project is also held within the Kanye Resources plc joint venture as outlined above.

To date three specific targets have been identified for drilling, which is expected to commence in Q4 2021.

Further exploration work is continuing on the ground including ground based geophysical surveys.

Key Potential Value Drivers: Drilling of Ditau targets and results from ongoing exploration.

 

 

Tati Project

Botswana

(Gold – Nickel)

POW: 100%

 

 

The company recently completed its Phase I and Phase II work programmes, which included high-resolution soil sampling (1,107 samples collected), mapping and prospecting (49 rock samples collected), as well as ground-based geophysics including high-resolution magnetic and radiometric surveys.

 

The results have highlighted five target areas across the two licences, which are defined by kilometre-scale geochemical anomalies that are coincident with various geological structures that were highlighted by the ground geophysical surveys.

 

The company is now in the preparatory stage for an inaugural drilling campaign, which will include roughly 1000m of reverse circulation (RC) drilling across the various target areas.

 

Drilling is expected to commence during the first week of October subject to final preparations.

 

Key Potential Value Drivers: Results of ongoing exploration including drill results.

 

Kisinka Project

The DRC

(Copper – Cobalt)

POW: 70%

Next stage exploration is drill testing of the 6.8km copper-cobalt geochemical anomaly identified from previous exploration programmes.

Preparations are continuing for drilling including target refinement and sourcing of appropriate contractors.

Drilling is expected to commence in Q4 2021.

Key Potential Value Drivers: Drill testing of copper-cobalt targets.

 

Haneti Project

Tanzania

(Polymetallic)

POW: 35%

 

The next stage of exploration is deep diamond drill testing at Haneti targeting nickel sulphide – PGE mineralisation.

 

Final preparations are underway for this drill programme which is targeted to commence in Q4 2021.

 

Key Potential Value Drivers: Drill testing of nickel sulphide – PGE targets.

 

North American Exploration Projects

Project

Latest Position

Silver Peak Project

British Columbia, Canada

(Silver)

POW: 30%

Assay results are currently pending from the recently completed summer drill programme.

Work continues on a potential IPO of the Silver Peak project as well as the consideration of a number of alternative commercialisation opportunities.

Key Potential Value Drivers: Pending assay results and confirmation of selected commercialisation approach.

 

 

Alamo Project

Arizona, USA

(Gold)

POW: Earn-in to 75%

 

 

The Notice Level Plan of Operations permit which was required to commence the next phase of exploration has been received.  In line with recently introduced provisions an additional cultural and biological assessment is being undertaken which we expect to be completed by the end of October and thereafter work will commence.

 

The work programme is expected to include trenching on one area of the Alamo Project, with associated sampling, assaying and mapping and thereafter potential drilling of a number of short percussion holes to test for gold and silver mineralisation.

 

Key Potential Value Drivers: Launch of next stage exploration and associated results.

 

 

 

Athabasca Uranium

Satskatchewan, Canada

(Uranium)

POW 100%

 

 

241km2 of ground has been staked surrounding the Athabasca Basin in Saskatchewan, Canada.

 

In total 7 property packages have been assembled, all of which are prospective for uranium mineralisation.

 

Work is being undertaken to assemble detailed project information and to determine next steps for the newly acquired properties.

 

Key Potential Value Drivers: Publication of full property information, uranium prospectivity analysis and launch of Phase I work programme.

 

 

 

Authier North

Quebec, Canada

(Lithium)

POW earn in to 100%

 

 

A programme of detailed soil sampling, prospecting and rock sampling has recently completed.

 

The programme was designed to test for the extensions of a lithium-bearing pegmatite dyke down dip to the north, and along strike to the east from the adjacent Authier Lithium Property.

 

The Authier Lithium Property is owned by Sayona Mining Limited and is scheduled to go into production in 2023. The results from the recently completed programme will be released to the market once received, compiled and interpreted by Power Metal personnel.

 

Key Potential Value Drivers: Results from the exploration programme now completed.

 

 

Disposal/Spin-Out Vehicle Packages *

* Please note other project packages within the Power Metal portfolio are also in earlier stages of spin-out preparations in addition to those listed below.

Project

Latest Position

 

New Ballarat Gold Corporation

Victoria, Australia

(Gold)

POW: 49.9%

 

Power Metal has an interest in 49.9% of New Ballarat Gold Corporation plc (“NBGC”) held in joint venture with 50.1% held by Red Rock Resources plc (LON:RRR).

Through its Australian operating subsidiary, Red Rock Australiasia Pty Ltd, NBGC has a strategic land  footprint in the Victoria Goldfields, Australia.  The footprint comprises 1,458m2 of ground under 9 licence applications and 7 granted licences covering 848km2

Extensive exploration is continuing, combining desk-based research with field exploration.  Drill targets have been identified following additional discoveries of historic mine workings within the granted licence area. A diamond drill programme has been scheduled for the end of the year.

The joint venture partners are working together to expedite a listing of NBGC on the London capital markets.  The new board of NBGC has been selected in readiness for listing and NBGC has appointed all key advisors in this regard.

Key Value Drivers: Material findings from ongoing exploration, further licence grants and the listing of NBGC on the London capital markets.

 

 

Golden Metal Resources

Nevada, USA

Gold – Base Metals

POW – Various interests (see right column)

POW 100%

 

 

During Q2/Q3 2021 Power Metal assembled a strategic package of exploration and development interests in Nevada USA under the corporate vehicle Golden Metal Resources Ltd (“Golden Metal”). Golden Metal’s project portfolio includes:

–  Golconda Summit – an exploration property targeting high grade near surface gold, where Power Metal has a right to earn-in to a 100% interest.

 

Permit has now been received allowing a trenching, sampling and mapping work programme to be undertaken. Final preparations are in hand and exploration is expected to commence at Golconda Summit in October.

 

–  Garfield/Stonewall – two 100% owned exploration properties targeting gold-silver mineralisation. 

 

Initial exploration now launched includes the processing of various Aster and Worldview-3 hyperspectal satellite imagery datasets over the Garfield Property, which will allow for the remote mapping of various iron and hydrothermal alteration minerals.

 

–  Pilot Mountain – an option to acquire a 100% interest in an advanced exploration and development property with a substantial JORC compliant tungsten, copper, silver and zinc resource.

 

Due diligence is fully underway to enable option exercise to proceed by the date of option expiry on 29/10/2021.

Golden Metal is seeking a listing on the London capital markets and is currently assembling its advisory team to complete the listing documentation.

Key Value Drivers: Positive findings from exploration work at Golconda Summit and Garfield properties and the listing of Golden Metal on the London capital markets.

 

 

First Development Resources

Western Australia

(Gold – Copper)

POW: Conditional Acquisition 75%

 

 

 

Power Metal is to acquire a 75% interest in First Development Resources Pty Ltd (FDR Australia), an Australian company holding five exploration interests in the Paterson Region of Western Australia.

Initially the licences included one granted exploration licence and four licence applications.

Power Metal has received confirmation that two additional exploration licence applications have now been granted (Wallal Main E45/5816 and Wallal West 2 E45/5880), two of the three strategic Wallal Project licences, with the remaining licence (Wallal West 1 E45/5853) expected to be granted imminently.

The Wallal Project is the focus of ongoing exploration work including 2D seismic geophysics reprocessing and a passive seismic survey which is intended to help refine drill targeting within the Wallal Main Licence area.

Drill targets comprise magnetic bullseye targets of similar geological nature to that drill tested by Greatland Gold plc leading to the discovery of the Havieron deposit in the Paterson Province.

The acquisition which is now proceeding will trigger the acquisition of FDR Australia by First Development Resources Limited, which Power Metal plans to list on the London capital markets.

Key Potential Value Drivers: Licence grants, formal acquisition of FDR Australia, listing in London and deep drill testing of magnetic bullseye targets.

 

First Class Metals

Schreiber-Hemlo, Ontario, Canada

(Gold – Base Metals)

POW c.38%

 

 

Power Metal announced the disposal of its Schreiber-Hemlo interests to First Class Metals (“First Class”) on 07/09/2021 for consideration of £1mn.  With the shares received on the disposal, and following a subscription by Power Metal of £28,764 at £3/share in the pre-IPO raise, Power Metal currently has an interest of c.38% in First Class (after reflecting the c.£400,000 pre-IPO raise undertaken by First Class).

First Class is seeking a listing on the London capital markets and provided an update to shareholders on 27/09/2021 confirming considerable progress from both from exploration and corporate perspectives.

Power Metal is working with First Class to support their listing plans and looks forward to reporting further progress in this regard. On listing Power Metal will be a significant shareholder in First Class.

Key Potential Value Drivers: Exploration updates from the Schreiber-Hemlo interests and listing of First Class on the London capital markets.

 

New Opportunities

Project

Latest Position

 

Power Capital Investments Limited

Global Resource Project Incubator

(Multi-Commodity)

POW: 100%

 

 

Power Capital Investments  (Power Capital) is currently in the early stages of three potential new projects namely:

–  Gold exploration in Europe where Power Capital has a signed agreement with a third party.  To date assay testing of samples has been undertaken demonstrating high-grade gold mineralisation in hand samples. Currently Power Capital is funding the third party to lodge licence applications covering the area of interest.  Thereafter the plan is to launch additional exploration programmes.  Power Capital may earn-in to a 50% interest by expending €100,000 on exploration and corporate costs.

 

–  Consideration of an African rare earths initiative with a specialist  geological team employing new technology to identify rare earth deposits in Africa.

Limited information will be provided in respect of the above Power Capital projects to preserve commercial sensitivity, notably where work is needed to secure exploration licences or to protect commercial partners.

At present none of the Power Capital projects above are considered material in the context of the Power Metal business overall.  Should they become so, further disclosures may be necessary.

NOTE: A maximum investment level of £100,000 per opportunity has been established and a minimum 50% Power Capital holding interest in any opportunity following Power Capital’s investment.

Key Potential Value Drivers: Advancement of any Power Capital investment into full Power Metal project status or spin-out IPO opportunity.

 

Management and Financial

 

Project

Latest Position

 

Board

 

Further to the announcement of 21 September 2021, Andrew Bell, Chairman of Power Metal stepped down from the board yesterday to focus on the large spin-out IPO of NBGC (see above).

Current Non-executive director Scott Richardson Brown is to become Interim Chairman pending the appointment of a new Chairman in due course.

 

Senior Management

 

The Company operates a hub and spoke operational management style coordinating and controlling global exploration operations from its UK Head Office.

In 2021 with the growth of our business portfolio, and the success of exploration and commercial ventures, we have built the Head Office team with exploration management, commercial management and financial and administrative support.

We are also seeking to optimise resources, and our Head Office team will be deployed to support spin-out vehicles, managerially and administratively, helping to reduce the operational costs to Power Metal of new team members.

 

Financial Position

 

Power Metal has a growing balance sheet which, as with many other exploration companies, has a core of capitalised exploration costs for ongoing exploration projects.

Power Metal can monetise its operational interests as demonstrated by the disposal of the Schreiber-Hemlo business interests (see above).

And importantly, Power Metal is planning to spin-out other business interests into listed vehicles, and any new listings will add materially to the Company’s balance sheet.

Excluding all of the above the Company also holds working capital, comprising cash and currently listed (tradable) investments, which funds day to day operations.  As at 24/09/2021 this amounted to working capital of £2.51million.

 

Audit and Compliance

 

As the financial year comes to a close Power Metal is working with One Advisory, its financial and compliance service partner, to prepare for the annual audit, with financial results for the year ended 30 September 2021 expected to be published in February 2022.

As a responsible exploration company Power Metal is further bolstering its Environmental, Social and Governance initiatives and will be publishing further information in the coming months covering the various measures implemented.

In 2020 the Company undertook a Finance, Administration and Compliance Protocols and Procedures Review to further improve its underlying Governance and is now further bolstering this with detailed business process mapping across the Company.  These measures are considered necessary as the Company expands in size, scale and breadth of corporate and exploration activities.

 

 

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/ 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

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