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 Golden Metal Resources PLC (“Golden Metal” or “Golden Metal Resources”), the Company’s 83.13% owned subsidiary, which is planning to list in the London capital markets.
Golden Metal holds a 100% interest in three projects (Pilot Mountain, Garfield and Stonewall) and a right to earn-in to a 100% interest in one further project (Golconda). All projects are situated in Nevada USA, ranked number 3 in the Fraser Institute Survey of Mining Companies 2021 – Investment Attractiveness Index.1
– 3D induced polarisation (“IP”) survey over Pilot Mountain project is now underway, a significant milestone, enabling a more detailed assessment of high priority targets, with follow up drilling planned to commence later this year to target additional tungsten, copper, silver and zinc resources.
– Detailed planning has been undertaken for initial exploration programmes at the Golconda project, including utilising historical datasets which would expedite exploration plans and targeting a gold discovery in the known Carlin-type geological environment surrounding Golconda.
– High resolution soil geochemical survey currently underway across the Garfield project targeting additional copper-gold-silver mineralisation and building on the significant evidence of skarn-type mineralisation established to date which led to the staking of additional claims expanding the project.
– Detailed desktop study undertaken for the Stonewall project has identified multiple targets for follow up exploration programmes.
· The most complex area of the pre-IPO process has been undertaken, namely the removal of the various Australian subsidiaries from the holding company structure of the Pilot Mountain Project. Golden Metal Resources plc now has 100% ownership of the two US private companies holding the Pilot Mountain project.
· The re-registration of Golden Metal to a PLC was completed earlier this year, the pre-IPO funds were received in full, and the key technical work streams (Competent Person’s technical reporting, legal due diligence, financial accounting due diligence and multiple related work streams) have now been progressed successfully.
· Golden Metal is in the final stages of finalising its inaugural Environment Social and Governance (“ESG”) report, demonstrating to the market that it plans on being an ESG leader in the resource exploration and development space.
· Following the United States Geological Survey (“USGS”) including tungsten in its 2022 list of critical minerals (released February 2022), Golden Metal is making progress building connections with various governmental groups in the USA, in order to increase the awareness of its projects, notably Pilot Mountain, and exposing the company to various governmental initiatives to stimulate the production of homeland based critical metal projects.
· The preparations for Golden Metal’s listing on the London capital markets are now nearing completion and Golden Metal expects to be in a position shortly where it can move towards the launch of its Initial Public Offer (“IPO”) financing and subject to regulatory approvals, complete its listing process.
Following the reorganisation of the Pilot Mountain holding company structure the new Golden Metal organisation structure may be viewed on the Golden Metal website through the following link:
Paul Johnson, Chief Executive Officer of Power Metal Resources PLC, commented:
“Since our last report earlier this year Golden Metal has made extensive progress and is now in the final stages of preparation for its planned listing. This has been a complex process where we have removed the Australian holding companies for the flagship project, Pilot Mountain, and structured its ownership more appropriately, particularly when it comes to seeking project engagement with the USA authorities and the private sector, as a wholly owned subsidiary of a UK company.
We look forward to Golden Metal taking the final steps towards its planned listing in the London capital markets, where we believe it will attract considerable investment interest.”
Oliver Friesen, Chief Executive Officer of Golden Metal Resources PLC, commented:
“The team at Golden Metal Resources has done a fantastic job over the past several months preparing the company for our listing on the London capital markets. Not only have we achieved several important corporate milestones, but we have been able to launch exploration on the ground allowing us to push forward some of the exciting 100% owned projects in the Golden Metal portfolio.
We are starting to see a very important shift happening globally, and specifically in the United States of America where governments are not only realising the importance of securing domestic sources of critical metals such as tungsten – but actively making policy changes in order to support companies who are exploring and developing these strategic projects.
Our 100% owned Pilot Mountain project is now held within a simplified corporate structure, we have officially launched a very exciting IP geophysics programme and have begun preparations for a robust diamond drilling campaign planned for later in the year. All of these factors combined have our team very excited about what is in store for Golden Metal Resources during the second half of 2022 and beyond.”
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.