Power Metal Resources PLC (LON:POW) the AIM listed metals exploration and development company is pleased to provide an update in respect of the Kalahari Key Mineral Exploration Pty Ltd (“Kalahari Key” or “KKME”) Molopo Farms Complex Project (the “Project” or “MFC Project”), which is targeting prospective massive nickel sulphide mineralisation in Botswana.
OWNERSHIP STRUCTURE – MOLOPO FARMS COMPLEX PROJECT
Power Metal has an 18.26% shareholding in Kalahari Key and has elected to earn in (“Earn-In”) to a 40% direct interest in the MFC Project by expending US$500,000 on exploration expenditure, notably target drilling, in 2020. On completion of the Earn-In, Power Metal will have an effective economic interest of 50.96% in the MFC Project.
ENVIRONMENTAL MANAGEMENT PLAN APPROVAL
Power Metal advises that Kalahari Key has received written confirmation from the Department of Environmental Affairs (“DEA”) in Botswana, that the Environmental Management Plan (“EMP”) submitted to the DEA has now been approved.
The EMP covers planned drilling operations at the MFC Project and represented the last formal regulatory step prior to commencement of drilling.
Kalahari Key is now finalising drilling plans and is looking to commence work as soon as possible.
CHIEF EXECUTIVE OFFICER’S COMMENTS
Paul Johnson, Chief Executive Officer of Power Metal Resources PLC, commented:
” The receipt of EMP approval is a major step forward for Kalahari Key and Power Metal. We have the funds reserved in a USD account to cover the cost of drilling and are working with Kalahari Key on finalising drill plans, with a view to mobilisation at the earliest opportunity.
“Power Metal has a diverse portfolio of interests, but undeniably the launch of a drill programme targeting prospective large-scale massive nickel sulphide mineralisation must be one the key moments in a junior exploration company’s life cycle.
“As part of the preparatory work Kalahari Key, and their geophysical consultants, have been completing the Audio Magneto-tellurics survey (“AMT Survey”) to further refine drill targets, which was announced recently. The AMT Survey is well advanced and the initial results in terms of target confirmation are positive.
“I look forward to providing further information with regard to the AMT Survey and drilling plans in the near future.”
COMPETENT PERSON STATEMENT
The technical information contained in this disclosure has been read and approved by Mr Nick O’Reilly (MSc, DIC, 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.
The information contained within this announcement is considered to be inside information prior to its release, as defined in Article 7 of the Market Abuse Regulation No.596/2014 and is disclosed in accordance with the Company’s obligations under Article 17 of those Regulations.
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 and development company seeking a large scale metal discovery.
The Company has a global portfolio of project interests including precious metal exploration in North America and Australia together with base metal exploration in Africa. Project interests range from early stage greenfield exploration to later stage drill ready prospects.
The Board and its team of advisors have expertise in project generation, exploration and development and have identified an opportunity to utilise the Company’s position to become a leader in the London market for investors wishing to gain exposure to proactive global metals exploration.