Power Metal Resources PLC (LON:POW) the AIM listed metals exploration and development company is pleased to provide a drilling progress update on the Kalahari Key Mineral Exploration Pty Ltd Molopo Farms Complex Project, which is targeting prospective massive nickel sulphide and platinum-group metal (“PGM”) 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 funding US$500,000 of exploration expenditure in 2020, notably the diamond drilling of selected targets. On completion of the Earn-In, Power Metal will have an effective economic interest of 50.96% in the MFC Project.
For clarity, the US$500,000 cost is fully funded and covered by Power Metal existing cash resources.
Paul Johnson Chief Executive Officer of Power Metal Resources commented:
“We are very pleased to provide a drilling update for our first drill hole at the Molopo Farms Complex where high-resolution geophysics has identified a series of exciting high conductivity bodies which could be related to massive sulphide mineralisation.
The drilling is progressing well with the results thus far supporting the geophysical model, for an intrusion feeder zone which could host the potentially mineralised conductive bodies we are targeting with this drilling programme.
We look forward to providing further updates as the drill programme progresses.”
· Drilling of Hole 1 at the MFC Project is progressing well with a depth attained of 283m at end of shift on Saturday 24th October. Monday work involved a drilling bit change following a Sunday rest day. The hole is cased to a depth of 17m with HQ diameter (63.5mm) core drilling to a depth of 150m and NQ diameter (46.7mm) core drilling thereafter.
· The drill hole intersected calcretes and serpentinite immediately below the 35m thick Kalahari cover and has then continued through ultramafic rocks, including harzburgite and dunite, which through core inspection are characteristic of the Molopo Farms Complex geology.
· Hole 1 on is now over halfway to the upper side of the modelled conductive body (target 1-14) which is expected to commence from a depth of approximately 505m.
· Drilling results thus far are supporting the, Time Domain Electromagnetic (“EM”) and Natural Field Audio Magneto Telluric (“NF-AMT”), geophysical modelling with lithological boundaries seen in the core occurring very close to the modelled depth and lithologies intersected supporting the intrusive feeder zone exploration model. Geological and structural logging of the drill core will allow the geological model to be further refined as the programme progresses.
· The drilling is utilising a Boyles BBS 56 rig with a 7 man drilling and support crew working on a single 12 hour drilling shift (06.00-18.00, 5.5 days / week). The phase 1 Drilling programme is for an initial planned 2,505m across four diamond core drill holes. Target hole depths vary from 525m to 710m.
· Photographs from site can be viewed at the company website https://www.powermetalresources.com/gallery/7/molopo-farms-complex-botswana.
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.
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.