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Power Metal Resources #POW – Tati Project – Large Scale Gold Anomaly Confirmed
Powe
r Metal Resources PLC (LON:POW) the London listed exploration company seeking large-scale metal discoveries across its global project portfolio announces the confirmation of a large scale gold-in-soil anomaly at the Tati project located in the Tati Greenstone Belt near Francistown, Botswana (the “Project”).
The gold anomaly was confirmed following receipt of laboratory assay testing results of soil and rock samples collected during the Company’s Phase I exploration programme at the Project, further information in respect of which is provided below.
HIGHLIGHTS:
· The second batch of samples, including 49 rock and 380 soil samples, were collected and sent for laboratory fire assay testing for gold in Perth, Australia.
· Results have confirmed a large scale gold-in-soil anomaly with coincident high-grade rock assay results up to 26.5g/t gold.
· Soil sample assay results returned up to 1,614 parts per billion (“ppb”) gold (“Au”), including 10 soil samples that returned >75ppb gold, representing an extremely high-tenor result.
· Overall, the results encountered confirm a large scale gold-in-soil anomaly further providing support for the company’s accelerated exploration on the Project.
· Phase II exploration, which was launched on August 26 2021, continues at pace and is focused on delineation of targets for drill testing, which is expected to commence by the end of September 2021.
Figure 1, which highlights the soil and rock results analysed by fire assay for gold from the Phase I programme can be viewed on the Company’s website through the following link:
https://www.powermetalresources.com/sikukwe-zone-soil-rock-results/
Paul Johnson, Chief Executive Officer of Power Metal Resources plc commented:
“The Tati Project in Botswana continues to deliver, with the multiple large scale nickel and arsenic-in-soil anomalies announced on 19 August 2021, and now followed up with the confirmation of a large scale gold-in-soil anomaly confirmed at the Sikukwe Zone from gold fire assay testing.
The new results, including up to 26.5g/t gold in rock samples, are very encouraging and the team are increasingly thrilled with the findings to date and the exploration potential offered by the Tati Project.
Since Power Metal exercised its option to acquire the Tati Project in July, we have conducted extensive accelerated exploration on the ground and that work continues today, as we vector in on targets for drill testing expected to commence later this month.
Our thanks go to the ground operational teams and those with whom we are working in Botswana for moving the Project to the cusp of potentially high-impact drilling in just two months from option exercise, which is quite a remarkable achievement.”
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 Power Metal Resources Botswana Pty Ltd. 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 – RESULTS
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:
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:
The second batch of results presented herein represent the 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 Sikukwe Zone geochemical results highlight a roughly 2100m long northwest-southeast trending high-tenor gold-in-soil anomaly which ranges in width from 1400m to 800m along its extent. The anomaly remains open in all directions. Of the 380 samples collected from the Sikukwe Zone, 10 returned greater than 75ppb Au. Of particular interest is an individual soil sample which returned 1614ppb Au (1.6g/t). Historic widely spaced soil sampling over the Sikukwe Zone returned a maximum result of 34ppb Au; the results presented herein returned 14 samples (34.8ppb – 1614ppb Au) which were above the previous highest result of 34ppb Au.
· The Sikukwe Zone is mostly overlain by Kalahari sand cover, which made prospecting and rock sampling difficult. One area with limited rock exposure located near the southern portion of the gold-in-soil anomaly was prospected and rock sampled as part of the Phase I programme. Very encouraging results were obtained from the newly discovered Goldsource Zone, where two samples returned high-grade gold including 23.6g/t Au, and 26.5g/t Au. All rock samples were taken from an exposed variable quartz-stockwork veined outcrop over a 35m strike-length.
· Due to extensive Kalahari sand cover, soil sampling within the Tati Greenstone Belt has proven to be an extremely valuable exploration tool historically, as it has led to the discovery of several gold mines within the district. Further analysis of the Sikukwe Zone soil and rock sample results were undertaken by the Company. It was determined that the highest soil result obtained proximal to the newly discovered Goldsource Zone was 78.2ppb Au. As the intensity of gold anomalism generally coorelates with underlying bedrock gold mineralisation, Power Metal is extremely encouraged by the several other areas within the Sikukwe Zone which returned significantly higher Au-in-soil results (including 1614ppb, 265ppb, 235ppb, 164ppb, 131ppb, 120ppb, and 110ppb Au), that are associated with no known rock exposures.
· Prior to Power Metal acquiring PL126/2019, the Sikukwe Zone was subject to minimal historic exploration, despite its proximity to several nearby gold mines within the Tati Greenstone belt, including Map Nora and Golden Eagle, which are located less than 5km away. The Company is extremely pleased with the Phase I results obtained and presented herein. The Sikukwe Zone is proving to be a extremely exciting target for the discovery of greenstone hosted gold mineralisation for the Company. As a result, a Phase III programme that will include at least 1000m of reverse circulation (“RC”) drilling is being planned at pace. The planned drill programme represents the first ever known drilling campaign undertaken within the Sikukwe Zone.
PHASE II EXPLORATION
The phase II geophysics programme is underway and progressing at pace. The results of this programme as well as an update on planned drilling activities across the Tati Project will be released to the market within the coming weeks.
Further information in respect of the Phase II programme is available in the Company’s announcement dated 26 August 2021:
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:
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Power Metal Resources plc |
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Paul Johnson (Chief Executive Officer) |
+44 (0) 7766 465 617 |
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SP Angel Corporate Finance (Nomad and Joint Broker) |
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Ewan Leggat/Charlie Bouverat |
+44 (0) 20 3470 0470 |
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SI Capital Limited (Joint Broker) |
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Nick Emerson |
+44 (0) 1483 413 500 |
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First Equity Limited (Joint Broker) |
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David Cockbill/Jason Robertson |
+44 (0) 20 7330 1883 |
Gold – The Timeless Currency!
Gold retaining value
The price of gold on May 1st 2021 was $1,767/oz which then rose to $1,910 in just one month. However are these changes in price normal? Yes, in the short term the price of gold can rise or fall although in the long term gold has a reputation of being a timeless currency!
For example, according to National Bureau of Economic Research – 2,000 years ago a centurion (roughly equivalent to a captain) received 38.58 ounces of gold per year (equivalent to $46,296 per year @$1,200/oz) while currently a U.S. Army captain receives about 37.11 ounces of gold (equivalent to $44,532 per year @1,200/oz). This is a perfect example of gold holding its value.
What influences the price of gold?
Monetary policies, economic data and demand and supply work hand-in-hand to determine the price of gold and the sustained growth in the gold price is driven by these factors and other small factors like ETF’s.
For example, during the covid-19 pandemic the economic data showed higher unemployment, stagnant GDP and slowdown of the economy. This led to most of the world economies to change their monetary policies to reduce their interest rate to the bare minimum. The interest rate is an opportunity cost to gold for investors as investors will invest where they receive most interest. During a very low interest rate period, investor will buy gold and thus increasing the demand of gold and driving up the prices during the times of slowdowns or recessions.
In order to satisfy this demand, companies listed on AIM and London Stock Exchange like #ECR -ECR Minerals PLC and #POW – Power Metal Resources Ltd are undertaking gold mining projects in gold rich countries like Australia.
Power Metal Resources #POW
Power Metal Resources has a 49.9% in private company Red Rock Australasia Pty Ltd (RRAL). RRAL has a portfolio of five exciting gold projects in the heart of the prolific world-class high-grade Victoria Goldfields which have produced 80+Moz Au historically.
In Western Australia, notably the Paterson Province in the eastern Pilbara Region, Power Metal Resources has a conditional agreement to acquire a 75% strategic interest in (FDR Australia).
FDR Australia holds a portfolio of copper-gold focused exploration interests in the Paterson Province, which is considered highly prospective for gold-copper and base metal mineral systems and is currently of particular focus for resource companies with a significant level of exploration activity underway across the region. Companies such as Rio Tinto are developing the Winu gold project, set to come into production by 2024, while the valuation of Greatland Gold #GGP rocketed from around £25m to highs around £1.3bn following a spectacular gold discovery at its Havieron project. This is now being jointly developed with Newcrest Mining.
ECR Minerals PLC #ECR
ECR Minerals’ Bailieston and Creswick projects are the epicentre of the current gold exploration boom in Victoria.
Bailieston is located approximately 150km north of the Victorian state capital Melbourne, with good road access which hosts successful modern gold mines including the world-class Fosterville gold mine owned by Kirkland Lake Gold.
After announcing the initial results from its first drilling campaign at Bailieston, ECR has continued drilling and exploring across the territory, and has most recently announced the acquisition of a 297 acre land package near to the Cherry Tree project on the Bailieston license area. Here the company plans to develop a mine decline, processing plant and tailings dam
The Creswick project is considered highly prospective for gold mineralisation, hosting the Dimocks Main Shale geological feature, which extends over a 15km trend from the mining centre of Ballarat to the south, through ECR’s exploration licenses and applications.
A raft of drilling and data from the campaign has supplied ECR’s geological team with a much deeper understanding of the prospectivity of the trend across the license areas, and a few weeks back the board to the decision to acquire property at Brewing Lane, Springmount to further advance drilling programmes and to eventually develop a mine decline.
These two companies are among many other’s operating, exploring and discovering new mineral resources in Australia’s exceptionally fertile territories.
How does supply affect gold prices?
Such aggressive drilling programmes and significant level of exploration activity are planned in order to cater the high demand for gold. The higher supply now shifts the supply curve outward hence reaching a new equilibrium. This is shown below:
The outward shift of both, demand from D1 to D2 and supply side for S1 to S2 has resulted in a new increased price equilibrium from P1 to P2.
This increase in price of gold is a win-win for the supplier, stakeholders of the suppliers and the consumers. As the increase in demand is being satisfied by the increase in supply by the suppliers. While for the suppliers, they are receiving a higher price of the commodity for a larger amount sold.
This is what is known as ‘economic welfare’.
All in all, gold is an investment for the long term and factors like monetary policies, economic conditions and demand and supply play a major role to determine the prices. Gold might be a volatile commodity in the short term but it is by far the safest bet over the medium and long term.
And for investors preferring to mitigate risk from direct exposure to the yellow metal, owning shares in gold exploration and production companies can result in less direct volatility, but can potentially deliver much more upside if a gold discovery such as Greatland Gold’s Havieron project is made.
#POW Power Metal Resources – FDR Australia – Paterson Region Exploration Update
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 from the Wallal Project (the “Project”) located in the prolific Paterson Region of Western Australia.
Paul Johnson, Chief Executive Officer of Power Metal Resources plc commented:
“It is important to articulate clearly the work completed in the Paterson Region to date and below we provide a summation of our overall exploration rationale, current findings, and future exploration plans. I would encourage shareholders to review this information which demonstrates the reasons for our building excitement.
We have identified geological and geophysical features within our Wallal licence that bear similarities to two major and recently discovered deposits within the Paterson Region at Winu and Havieron, both of which are under development.
Whilst awaiting licence grants at the Wallal Project we have continued to advance our review of all available existing data. We are now moving to the next stage with our own work programmes to generate new data and refine target information purposed specifically for a planned deep drilling programme.
In our view there is increasing potential for a major metal discovery at the Wallal Project, and as one would expect we are pushing ahead with some enthusiasm.”
Exploration Rationale
The Paterson Region is host to major gold-copper deposits including Winu (Rio Tinto) and Havieron (Newcrest Mining – Greatland Gold JV).
To date, Power Metal has undertaken in-depth desktop analyses with the aim of comparing the geological and geophysical features of both Winu and Havieron to those found within the Wallal Project.
Our hypothesis was that if we were able to identify geological and geophysical similarities of areas within the Wallal Project to established large-scale deposits elsewhere in the Paterson Region, it would increase the chance of a discovery and justify more detailed exploration.
Exploration Findings to Date
Important geological similarities to both Winu and Havieron have been found within Wallal Project.
Notably, as detailed in the Company’s announcement on 1 September 2021 three major buried magnetic anomalies have been confirmed within Wallal Project (Western, Eastern and Border anomalies or “Anomalies”). The announcement may be viewed here:
In particular, the Eastern anomaly posseses a similar magnetic amplitude to that found at Havieron, which is approximately 100 nanoTesla (nT) for Wallal Eastern anomaly compared to 80 nT for the magnetic anomaly which led to the discovery of the Havieron deposit.
Importance of Exploration Findings
Greatland Gold’s Havieron deposit discovery is located in basement rocks hidden below roughly 420m of post-mineral sedimentary cover which resulted from the drilling of a distinct magnetic geophysics bullseye target
Review of unprocessed 2D-seismic and ground gravity datasets have provided very rough estimations of the target depth to basement rocks of the three anomalies at Wallal Project. The depths indicated by this analysis indicate that the Eastern and Border anomalies are possibly located at depths more comparable to the Havieron deposit.
Next Steps
The Company’s progress to date has centred around the review and analysis of all publicly available historic exploration and related data at Wallal. We are now moving forward with our own Phase I work programme with the aim of generating new and more targeted information.
The geopohysical anomalies identified at Wallal represent deep targets located under post-mineral cover, therefore our Phase I work programme is focused on the development and refining of these targets prior to a potential deep drilling programme.
Phase I Work Programme
The Phase I programme includes reprocessing of three historic northeast-southwest oriented 2D-seismic lines which broadly cover the Western and Eastern magnetic “bullseye” anomalies.
The Western and Eastern anomalies measure 5km x 5km and 2.5km x 2.5km, respectively.
The reprocessing will be carried out by Velsis Inegrated Seismic Technologies Pty Ltd based out of Darra, Queensland. This desktop component of the work programme is underway.
Following the completion of the seismic reprocessing and subject to appropriate local access arrangements and work approvals, a passive seismic survey will be undertaken centered over the Eastern and newly discovered Border anomalies. The passive seismic survey will be carried out by Atlas Geophysics Pty Ltd out of Morley, Western Australia.
Phase I Expectations
The combined dataset generated by the Phase I work programme will provide critical information, including more precise depth to bedrock measurements over the Eastern and Border “bullseye” anomalies, which will be used for the planning of future work programmes, including a potential deep-diamond drilling campaign aimed at testing the two prospective anomalies.
The passive seismic survey represents the Company’s first ground exploration on the Project and will play an important step in determining various logistical aspects (e.g. access, project infrastructure, location of water sources) which will be critical for future work programmes on the Project.
BACKGROUND
The Paterson projects are held by First Development Resources Pty Ltd (FDR Australia) and include Wallal Project (three licence applications being Wallal-E45/5816, Wallal West 1-E45/5853 and Wallal West 2 – E45/5853), 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:
An updated information presentation covering FDR Australia and the Company’s plans may be viewed through the following link:
https://www.powermetalresources.com/presentation/first-development-resources-pdf/
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:
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Power Metal Resources plc |
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Paul Johnson (Chief Executive Officer) |
+44 (0) 7766 465 617 |
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SP Angel Corporate Finance (Nomad and Joint Broker) |
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Ewan Leggat/Charlie Bouverat |
+44 (0) 20 3470 0470 |
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SI Capital Limited (Joint Broker) |
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Nick Emerson |
+44 (0) 1483 413 500 |
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First Equity Limited (Joint Broker) |
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David Cockbill/Jason Robertson |
+44 (0) 20 7330 1883 |
ECR Minerals plc #ECR – Property purchase within the Bailieston License Area
ECR Minerals plc (LON: ECR), the gold exploration and development company focused on Australia, is pleased to announce that its 100% owned Australian subsidiary, Mercator Gold Holdings Pty Ltd (“MGH”), has purchased a property at 127 Nagambie-Rushworth Road, subject only to payment of the completion monies. The property is located within the Company’s 100% owned Bailieston license area (“Bailieston”).
It is anticipated that monies will be paid, and completion will occur, on or around 8 October 2021 and further updates will be provided at that time.
Highlights:
- The property is adjacent to the Company’s Cherry Tree Project, located within the Bailieston license area in Victoria, Australia.
- Bailieston neighbours Kirkland Lake Gold’s multi-million-ounce Fosterville gold mine. Newmont Mining have also submitted an application for an exploration license immediately to the north of the Black Cat property within the Bailieston license area.
- The property consists of 297 acres of land (no buildings at this time), within the 24 square kilometre Bailieston license area, with ample exploration opportunity and the future potential for the construction of a mine decline, processing plant and tailings dam.
- The purchase price of the property is A$750,000, which will be settled in two tranches consisting of a A$75,000 deposit, which has already been paid, and the remaining balance which is to be paid 30 days from the date of sale. The purchase will be funded by the Company’s existing cash resources. As at the close of business on 9 September 2021 the Group had £3,874.779.94 (USD equivalent $5,362,695.44) in the bank after paying the A$75,000 deposit.
Craig Brown, Chief Executive Officer commented: “Following the recent highly encouraging early results from the maiden drilling programmes at the Bailieston HR3 and HR4 (Cherry Tree Project), on behalf of the board, I am delighted to announce the purchase of a considerable land package located in close proximity to Cherry Tree. Based on the gold mineralisation, geological findings and data acquired from the Bailieston drilling campaigns to date, our board have taken the decision to proceed with ECR’s second land package acquisition.
“The size and scale of this land package ensures that, equipped with our own drilling rigs we can now ramp up our drilling and exploration activities across the territory, and when appropriate can develop our own mine decline, processing plant and tailings dam.”
“This is an exciting period of evolution for ECR as a company as we grow our presence across the Victoria Goldfields. I look forward to reporting the next developments.”
The property was purchased from a private individual.
MARKET ABUSE REGULATIONS (EU) No. 596/2014
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 (MAR). Upon the publication of this announcement via Regulatory Information Service (RIS), this inside information is now considered to be in the public domain.
FOR FURTHER INFORMATION, PLEASE CONTACT:
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ECR Minerals plc |
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Tel: +44 (0) 20 7929 1010 |
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David Tang, Non-Executive Chairman |
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Craig Brown, Director & CEO |
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Email: |
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Website: www.ecrminerals.com |
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WH Ireland Ltd |
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Tel: +44 (0) 161 832 2174 |
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Nominated Adviser |
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SI Capital Ltd |
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Tel: +44 (0) 1483 413500 |
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Broker |
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Nick Emerson |
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Novum Securities Limited |
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Tel: +44 (0) 20 7399 9425 |
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Broker Jon Belliss |
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Blytheweigh |
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Tel: +44 (0) 207 138 3204 |
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Public Relations |
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Tim Blythe |
Power Metal Resources #POW – New Geophysics Bullseye Target
Power Metal Resources plc (LON:POW), the London listed exploration company seeking large-scale metal discoveries across its global project portfolio, announces an update in respect the conditional acquisition of Australian Copper-Gold projects (the “Project”) in the Paterson Region ( “Paterson”) of Western Australia.
BACKGROUND
The Paterson projects are held by First Development Resources Pty Ltd (“FDR Australia”) and include the Wallal Project, Braeside West Project and the Ripon Hills Project (for exploration licence details see Table 1 below).
On 28 April 2021 Power Metal announced a conditional acquisition of FDR Australia and this may be viewed through the following link:
A map outlining the Wallal licence and the anomalies referred to in the text below may be viewed on the Company’s website through the following link:
https://www.powermetalresources.com/wallal-anomaly-map/
HIGHLIGHTS
· Additional magnetic geophysics circular anomaly, presenting as a distinct “bullseye” target, identified at the eastern border of the licence (the “Border” anomaly).
· The new magnetic anomaly measures circa 1km x 1km, with approximately 70% falling within FDR Australia Wallal licence application area and 30% within the adjacent Rio Tinto licence area.
· Three major magnetic anomalies now identified (Western, Eastern and Border anomalies), and the review suggests the initial targets for drilling will be the Eastern and Border anomalies, which are located closer to the Wallal platform edge at shallower depths than the Western anomaly.
· The Greatland Gold Havieron deposit discovery, located in basement rocks below 420m of post mineral sedimentary cover, resulted from the drilling of a distinct magnetic geophysics bullseye target.
· A Phase I work programme is currently being finalised which will include reprocessing of three historic 2D-seismic lines, as well a passive seismic survey centered over the Eastern and Border anomalies.
· A Heritage Agreement has been finalised by FDR Australia and grant of the Wallal licence application is expected within the next few weeks, allowing the completion of the conditional acquisition.
· Preparatory steps continue for listing of planned UK holding company FDR UK, which will hold 100% of FDR Australia on completion.
Paul Johnson, Chief Executive Officer of Power Metal Resources plc commented:
“Technical work has continued in the background as we await licence grants, and notably the grant of the Wallal licence which will trigger completion of the conditional acquisition.
The identification of a further geophysical anomaly is another material step forward as we continue our work to define drill targets in the highly prospective Paterson Province.
Deep targets under cover certainly represent high-risk exploration, but as we have seen with Greatland Gold’s discovery at their Havieron project, the Paterson offers great upside potential should a discovery be achieved.
Work continues corporately and technically, and further updates will follow in the coming weeks.”
TECHNICAL FINDINGS
Analysis of open-file government airborne magnetic geophysics datasets originally led to the identification of two high-amplitude ‘bullseye’ shaped strongly magnetic anomalies within the Wallal Project.
These anomalies were named the Western and Eastern anomalies and had dimensions of roughly 5km x 5km and 2.5km x 2.5km respectively.
Additional processing of the geophysical datasets were completed which has led to the successful identification of a third, highly prospective, ‘bullseye’ shaped strongly magnetic anomaly which has been named the ‘Border’ anomaly.
This anomaly has dimensions of roughly 1km x 1km and spans the border between the Wallal Project and a project owned and operated by Rio Tinto Exploration (“Rio Tinto”), with approximately 70% located on FDR’s licence and the remaining 30% on Rio Tinto’s licence.
In additional to the geophysical processing and inversions completed on the airborne magnetic datasets, ground-gravity as well as various unprocessed 2D-seismic datasets were acquired from various free, open-file sources over the entire Wallal embayment and platform, providing coverage over the Western, Eastern and Border anomalies.
These datasets used in conjunction give very rough indications of the target depth to basement for the various geophysical anomalies of interest within the Project.
Moving from west to east within the Wallal Project, the datasets highlighted that the magnetic anomalies were determined to move from deeper to shallower depths as they approached the Wallal Embayment sedimentary basin gravity edge feature, which roughly follows the claim border between the Wallal licence application and Rio Tinto’s exploration licence footprint.
As a result, the two furthest east anomalies (Eastern anomaly and the Border anomaly) were determined to lie at depths more comparable to those found at Greatland Gold’s Havieron discovery, nearby within the Paterson Province, which is located below 420m of post mineral sedimentary cover.
A Phase I work programme is currently being planned which will include processing of three historic 2D-seismic lines, as well a passive seismic survey centered over the Eastern and Border anomalies.
The passive seismic survey which should help build an understanding of the stratigraphy and the depth to basement, would represent FDR Australia’s first ground exploration at the Project, and will play an important step in determining various drill targeting and logistical aspects (e.g. access, project infrastructure, location of water sources) which will be critical for future work programmes on the Project.
The Phase I work programme will provide critical information, including more precise depth to basement measurement of the Eastern and Border anomalies, which will be used for planning of future programmes, including a possible deep-diamond drilling campaign.
PROJECT INFORMATION
Regional Background
· Paterson Province widely regarded as one of the most prospective provinces in Australia for the discovery of world class gold-copper deposits.
· Paterson Province is home to several world class mines and recent discoveries including the following which host JORC compliant resources: Winu (Rio Tinto – 503Mt at 0.45% CuEq1), Havieron (Greatland Gold – 4.2Moz AuEq1), Telfer (Newcrest Mining – 31Moz Au).
Wallal Project
§ The Wallal Project (the “Wallal”) is transacted by Highway 1 and is located less than 200km from Port Hedland, Australia and shares an extended border with Rio Tinto Exploration licence footprint.
Magnetic Targets Identified at Wallal
· Major Au-Cu deposits within the Paterson Province, including Winu (Rio Tinto) and Havieron (Newcrest Mining-Greatland Gold JV) were evaluated in comparison to the Wallal Eastern Magnetic Anomaly and determined to have many geophysical and structural similarities.
· Open-file publicly available airborne magnetic dataset (TMIRTP2 5km High-Pass) has identified three highly prospective bullseye3 magnetic targets within the Wallal Project.
· The Western Anomaly is approximately 5km x 5km; and the Eastern Anomaly is approximately 2.5km x 2.5km and is located at the transect of two northwest-southeast trending magnetic linear anomalies (representing possible major structures). The newly discovered Border anomaly is approximately 1km x 1km and spans the border between the Wallal Project and a project owned and operated by Rio Tinto.
· Greatland Gold’s Havieron discovery is coincident with a magnetic bullseye anomaly which was detected by an airborne magnetic survey flown over the region.
· The Havieron and Wallal Eastern anomaly have similar magnetic amplitudes; approximately 80nT (nanoTesla) for Havieron and 100nT for the Wallal Eastern Anomaly. The Wallal Eastern Anomaly is slightly larger than the anomaly over the Havieron deposit.
· Direct comparisons between Wallal and Havieron (geophysical)/Winu (geological), bode well for prospectivity of the Eastern and Border magnetic anomalies.
· Additional geophysical inversions are ongoing and various geophysical datasets are being acquired in order to better determine orientation and depth to bedrock of these compelling geophysical targets prior to drilling.
Table 1: First Development Resources Pty Ltd Paterson Province Exploration Licence / Application Holdings
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Project |
Granted Exploration Licence |
Exploration Licence Application |
Grant Date |
Application Lode Date |
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Ripon Hills Project |
E45/5088 |
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July 5, 2018 |
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Wallal Project |
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E45/5816 E45/5853 E45/5880 |
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Oct 6, 2020 Feb 3, 2021 Mar 10, 2021 |
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Braeside West Project |
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E45/5854 |
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Feb 3, 2021 |
Reference Notes:
1: CuEq or AuEq: Copper Equivalent grade (CuEq), Gold Equivalent grade (AuEq): Equivalent grades are often employed where a deposit is comprised of several different metals which have the potential to each contribute economic value to the deposit. The equivalent value of the individual minor metals is converted via a formula to a single major metal, usually the major metal which is the most economically dominant in the deposits. The formula used can vary but often employs metal prices and metal recoveries. ASX-listed companies are able to report metal equivalent grades provided they are accompanied by: all individual metal assays; commodity price assumptions; assumed recoveries; the formula; and confirmation that there is good potential for all metals to be recovered.
2: TMIRTP : Total magnetic intensity (TMI) reduced to pole (RTP) relates to the magnetic geophysics data processing methods employed for interpretation of the raw survey data.
3: Bullseye: A bullseye magnetic target is a distinct high-intensity anomaly comprising concentric circular bands of high gradient magnetic intensity surrounding a central point. The analogy is with a dartboard bullseye which presents a distinct central target.
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:
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Power Metal Resources plc |
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Paul Johnson (Chief Executive Officer) |
+44 (0) 7766 465 617 |
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SP Angel Corporate Finance (Nomad and Joint Broker) |
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Ewan Leggat/Charlie Bouverat |
+44 (0) 20 3470 0470 |
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SI Capital Limited (Joint Broker) |
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Nick Emerson |
+44 (0) 1483 413 500 |
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First Equity Limited (Joint Broker) |
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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.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
Power Metal Resources #POW – Strategic Option Agreement – Pilot Mountain Project Nevada USA
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 and its wholly owned subsidiary Golden Metal Resources Ltd (“Golden Metal”) have signed a Strategic Option Agreement (the “Agreement”) allowing Golden Metal to acquire a 100% interest in the Pilot Mountain Project (“Pilot Mountain” or the “Project”), in Nevada, United States of America (“USA”), subject to completion of detailed due diligence.
HIGHLIGHTS
Project:
· The Pilot Mountain Tungsten-Copper-Silver-Zinc Project is located approximately 200km southeast of Reno, in Nevada, USA
· Pilot Mountain hosts a JORC (2012)1 compliant Mineral Resource Estimate of 12.53Mt @ 0.27% WO3 for 34.3kt of contained tungsten metal plus significant silver, copper and zinc.
· The Project has undertaken metallurgical testwork and a 2018 Scoping Study for a conceptual open pit mining operation with an 8-year mine life.
· There is a clear pathway for upgrading and supplementing the scoping study work, addressing the permitting requirements and advancing the Project towards a mining Feasibility Study.
· Pilot Mountain has significant upside exploration potential.
The Option:
· Power Metal and its wholly owned subsidiary Golden Metal have secured an option (the “Option”) to acquire a 100% interest in the Pilot Mountain Project.
· 60 day Option Period to undertake detailed Project due diligence and during which it may exercise the Option.
Option Exercise:
· Upon Option exercise, Golden Metal will acquire a 100% interest in Pilot Mountain (the “Acquisition”), the consideration for which will be paid by Power Metal, as outlined in detail below, but principally including the issue of US$1.65million of Power Metal new ordinary shares of 0.1p each at an issue price of 2.5p ( 48,118,920 shares – equivalent to 3.88% of current Power Metal issued share capital and subject to a minimum 6 month hold period as outlined below).
Listing of Golden Metal:
· Power Metal plans to spin-out Golden Metal into a new listing on the London capital markets, and assuming Option exercise Golden Metal will hold 100% interests in Pilot Mountain together with the Garfield and Stonewall projects. Golden Metal will also hold the right to earn-in to a 100% interest in the Golconda Summit project. All projects are in Nevada USA.
· Further announcements will be made to outline listing plans and project exploration/development plans.
Paul Johnson, Chief Executive Officer of Power Metal Resources plc commented:
“We plan to list our wholly owned subsidiary Golden Metal as soon as possible in the London capital markets. The Pilot Mountain project, subject to due diligence, will be an important strategic interest embedded within that listing, and provide a significant increase to the value of the Golden Metal listing proposition.
In addition to the JORC (2012) compliant Mineral Resource at Pilot Mountain we are of the view that there is considerable exploration upside potential.
Historic work undertaken, including a Scoping Study completed in 2018, has demonstrated the potential viability of production from the Pilot Mountain deposit, further bolstered by strong metallurgical test results.
On a standalone basis Pilot Mountain is a significant advanced asset and complements the earlier stage exploration interests currently held by Golden Metal.
Importantly on completion of the acquisition we believe the Golden Metal portfolio will be one of the most exciting resource exploration and development opportunities in Nevada, USA.
We are now working with advisers to complete Project due diligence and undertake an accelerated listing process.”
PILOT MOUNTAIN PROJECT BACKGROUND
The Pilot Mountain Tungsten-Copper-Silver-Zinc Project is located approximately 200km southeast of Reno, in Nevada, USA, ranked first in overall Investment Attractiveness Index by Fraser Institute 2020 annual survey2, entirely on United States Bureau of Land Management (“BLM”) land.
The 5,908-acre Project is centered around four existing mineral deposits including Garnet, Good Hope, Gunmetal and Desert Scheelite all which possess significant skarn-style tungsten-copper-silver-zinc mineralisation.
The Desert Scheelite and Garnet deposits host a combined JORC (2012) compliant resource of 12.53Mt at 0.27% Tungsten Trioxide (“WO3“) with significant copper (“Cu”), silver (“Ag”) and zinc (“Zn”) credits (see Table 1).
Tabel 1: Pilot Mountain Project JORC (2012) compliant Mineral Resource Estimate , dated 13 December 2018
http://www.rns-pdf.londonstockexchange.com/rns/2315K_1-2021-8-31.pdf
PILOT MOUNTAIN CURRENT OWNERSHIP STRUCTURE
Thor Mining plc holds 100% of Black Fire Industrial Minerals Pty Ltd (Australian private company) which owns 100% of Industrial Minerals Pty (USA) Pty Ltd (Australian private company) which owns 100% of: BFM Resources Inc and Pilot Metals Inc (USA private companies) which own tenements representing the entire Pilot Mountain Project.
As at 30 June 2020 BFM Resources Inc had Gross Assets of AUD$21,449 (circa £11,317) and incurred no profit or loss (AUD$Nil) for the year ended 30 June 2020.
As at 30 June 2020 Pilot Metals Inc had Gross Assets of US$3,055,411 (circa £2,226,602) and a loss of US$106,164 (circa £77,366) for the year ended 30 June 2020.
As at 30 June 2020 Black Fire Industrial Minerals Pty Ltd on a consolidated basis had Gross Assets of AUD$5,181,951 (circa £2,738,397) and a loss of AUD$154,690 (circa £81,746) for the year ended 30 June 2020.
PROJECT STRATEGIC DEVELOPMENT POTENTIAL
There is currently no domestic United States primary tungsten production, and Tungsten is classified as a strategic mineral by the United States Department of the Interior. Set against this backdrop, the Pilot Mountain project is potentially a key strategic metal deposit in the United States.
Production Potential
Potential production viability was reinforced with a scoping study completed in 2018 on the Project indicated the potential for an inital 8-year mine life from an open pit at Desert Scheelite supplemented by production from Garnet.
Furthermore 694kg of Pilot Mountain mineralised rock tested by Guanzhou Research Institute highlighted strong metallurgical results including the successful production of two saleable concentrates (scheelite, and copper/silver) from a coarse grind treated by floatation or by flotation and wet high-intensity magnetic separators (“WHIMS”).
Shallow JORC (2012) compliant deposits at the Desert Scheelite and Garnet deposits may be amenable to shallow open-cut mining methods (as modelled in the 2018 scoping study) which would allow for rapid low-cost start-up costs.
Exploration Potential
The Company is of the view that there is the significant potential to build on the current the Pilort Mountain Mineral Resource through exploration. The Project hosts significant resource upside through the upgrading of existing but under drilled targets, as well as the potential for discovery of new zones of skarn-style mineralisation located under post-mineral alluvial and basaltic cover.
Additionally, widely-spaced drillholes recently completed indicate that significant copper-rich zones at the Desert Scheelite and Good Hope deposits remain largely untested, and will be a focus of the of exploration going forward.
The exploration upside potential under post-mineral alluvial cover includes:
· The Desert Scheelite deposit remains open to the east, west and at depth along its entire strike length. The furthest east hole drilled into the Desert Scheelite intersected a copper-rich zone which assayed 17.5m averaging 1.80% Cu. A 2013 geophysical survey completed east of Desert Scheelite highlighted a strong induced polarisation (“IP”) conductor which is much larger than known mineralisation on the Project.
· Surface outcrops and historic small scale mine workings indicate that Good Hope mineralisation may comprise multiple copper-rich sub-vertical lodes which have been subject to minimal drilling which include results of 26.6m averaging 0.21% WO3, 1.0% Cu and 1.2% Zn starting at surface.
· Kaiser Engineering in 1981 estimated that the Gunmetal South deposit comprised a historical non-compliant estimate 2-3 Mt at an average grade of 0.3 – 0.5% WO3. This area has not been subject to minimal modern exploration.
· The most recent exploration efforts conducted across the whole project area occurred in the 1970s, and minimal modern geophysical coverage and drilling has been completed in areas with alluvial cover which exists over much of the eastern part of the Project.
TRANSACTION INFORMATION
Under the terms of the Agreement Golden Metal may acquire a 100% interest in Pilot Mountain, from Thor Mining plc (“Thor Mining” or the “Vendor”)
Option Period
Under this Agreement Golden Metal will have a 60 calendar day Option Period (ending 5pm GMT on Friday 29 October 2021, the “Option Expiry Date”) during which it may conduct due diligence with regard to Pilot Mountain.
Power Metal will pay US$25,000 in cash to Thor Mining and issue to Thor Mining 500,000 new Power Metal Ordinary shares of 0.1p (“Ordinary Shares”) at an issue price of 2.5p (£12,500 of Ordinary Shares). The cash compenent is a contribution toward Bureau of Land Management fees due in respect of the PMP due 1 September 2021, which will be paid in full by Thor Mining to keep the project in good standing.
Option Exercise
Subject to written confirmation of Option Exercise by the Option Expiry Date Golden may acquire Pilot Mountain on the following terms:
Power Metal will pay US$115,000 in cash to Thor Mining and US$1,650,000 payable through issue to the THR of 48,118,920 Ordinary Shares at an issue price of 2.5 pence per share (“Initial Consideration Shares”).
Thor Mining will hold the Initial Consideration Shares in full for a minimum of 6 months after the Option Exercise date and thereafter the Initial Consideration Shares will become freely tradable in 25% instalments (25% tradable 6 months after Option Exercise date, 50% – 9 months after Option Exercise date, 75% – 12 months after Option Exercise date and 100% – 15 months after Option Exercise date.) This trading restriction period may be varied with the written agreement of both parties.
In addition, Power Metal will issue to Thor Mining 12.5 million warrants to subscribe for Ordinary Shares with an exercise price of 4p per Ordinary Share and life to expiry of 3 years from the Option Exercise date (“Initial Consideration Warrants”). Should the volume weighted average price (“VWAP”) of Power Metal shares meet or exceed 10 (ten) pence for 5 consecutive trading days Power Metal may serve notice on Thor Mining providing 14 calendar days to exercise and pay for the Initial Consideration Warrants or the Initial Consideration Warrants will be cancelled.
Should Thor Mining exercise the Initial Consideration Warrants above within 12 months from the Option Exercise date, Thor Mining will receive one for one replacement warrants to subscribe for Ordinary Shares at a fixed price of 8p per Ordinary Share, and life to expiry ending 3 years from the date of Option Exercise (“Super Warrants”). Should the Power Metal volume weighted average share price meet or exceed 20p for five consecutive trading days Power Metal may at any time issue Thor Mining with a written notice providing 14 days to exercise and pay for the Super Warrants or the Super Warrant will be cancelled.
Tail Benefit
POW will issue Thor Mining with a further US$500,000 of Ordinary Shares if Golden Metal publishes a JORC or 43-101 compliant resource at Pilot Mountain which increases against current declared levels by 25% across total indicated and inferred categories within two years after the Agreement date. The number of Ordinary Shares to be issued will be calculated based on the volume weighted average Power Metal share price in the ten trading days immediately preceding the announcement by Golden Metal of the JORC or 43-101 compliant increase.
Additional Terms
Thor Mining and their professional corporate, licensing and geological teams will continue to work with Power Metal and Golden Metal to assist with Pilot Mountain ownership transfer and to manage local corporate & exploration/development operations in the 12 months following the Option Exercise date. Power Metal and Golden Metal will pay for any assistance provided post Acquisition on reasonable commercial terms to be agreed.
ADMISSION AND VOTING RIGHTS
Application will be made for the 500,000 Option Shares to be admitted to trading on AIM which is expected to occur on or around 7 September 2021 (“Admission”). The Option 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 1,240,567,944 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.
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.
Reference Notes
1 JORC (2012): The Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (‘the JORC Code’) is a professional code of practice that sets minimum standards for Public Reporting of minerals Exploration Results, Mineral Resources and Ore Reserves. The current edition of the JORC Code was published in 2012, and is available at http://www.jorc.org/docs/JORC_code_2012.pdf
2 Fraser Institute: https://www.fraserinstitute.org/categories/mining
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:
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Power Metal Resources plc |
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Paul Johnson (Chief Executive Officer) |
+44 (0) 7766 465 617 |
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SP Angel Corporate Finance (Nomad and Joint Broker) |
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Ewan Leggat/Charlie Bouverat |
+44 (0) 20 3470 0470 |
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SI Capital Limited (Joint Broker) |
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Nick Emerson |
+44 (0) 1483 413 500 |
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First Equity Limited (Joint Broker) |
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David Cockbill/Jason Robertson |
+44 (0) 20 7330 1883 |
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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.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
Tertiary Minerals #TYM – Exploration Update – Pyramid Silver-Gold Project
Further to its announcement of 3 June 2021 Tertiary Minerals plc is pleased to provide the following update on its Pyramid Silver-Gold Project in Nevada, USA:
HIGHLIGHTS
- Phase 2 trench planning now complete.
- Three trenches to be excavated for a total of 300 m to better define North Ruth silver discovery (45m continuous thickness of mineralisation grading 61ppm silver (1.78 ounces/ton) and 0.09ppm gold in Trench 1).
- Infill soil sampling results received:
- Western Line Anomaly extended to 1,100m overall length.
- Western Line Splay Anomaly extended to 800m overall length.
- New soil results include samples containing up to 0.77g/t gold and 9.32 g/t silver
- Phase 2 trenching will include 4 trenches to test new soil anomaly extensions.
- Notice level permit being processed by US Bureau of Land Management for trenching on Public Lands. Approval expected within days.
- Drone-based magnetic survey conducted – Interpretation received.
- Drill testing to follow trenching programme.
Commenting today, Executive Chairman Patrick Cheetham said:
“We are keen to build on the exciting discovery last month of a wide zone of silver mineralisation in our Phase 1 trenching programme at the North Ruth anomaly. This mineralisation is open both along and across strike and we will now be undertaking further trenching to better define the scale and orientation of the mineralisation prior to drill testing. We are also announcing further encouraging soil sampling results from infill sampling in the southern half of the project area and the Phase 2 trenching programme will include a number of additional trenches to test newly defined soil anomalies. Permits are expected to be approved within the next week or so.”
ENQUIRIES
| Tertiary Minerals plc
Patrick Cheetham, Executive Chairman
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Tel: +44 (0)1625 838 679 |
| S P Angel Corporate Finance LLP
Nominated Adviser & Joint Broker Richard Morrison/Caroline Rowe
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Tel: +44 (0)203 470 0470 |
| Peterhouse Capital Limited
Joint Broker Lucy Williams/Duncan Vasey
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Tel: +44 (0)207 469 0930 |
Market Abuse Regulation
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 (‘MAR’). Upon the publication of this announcement via Regulatory Information Service (‘RIS’), this inside information is now considered to be in the public domain.
DETAILED INFORMATION
Background
The Pyramid Gold-Silver Project is located in north-central Nevada, USA and is targeting epithermal gold-silver mineralisation in the prolific past producing Walker Lane Mineral Belt.
The project comprises a group of patented mining claims currently being leased by the Company and a group of surrounding unpatented mining claims held by the Company on Public Lands. (Patented claims have a legacy private land status no longer available to (unpatented) mining claims on Public Lands).
On 3 June 2021, the Company announced the discovery of a wide zone of silver mineralisation at surface during a (Phase 1) trenching programme carried out on the patented claims. Trenching was conducted to investigate the source of high-grade silver and gold rock samples (see announcement of 10 May 2020) found in following up mapping of soil gold and silver anomalies previously defined by the Company (see announcement dated 11 January). A number of these soil anomalies had not been closed off by the previous Phase 1 soil sampling.
Phase 1 trenching was restricted to the North Ruth and Western Line soil anomalies and Trench 1 in the North ruth Anomaly intersected a 45m continuous thickness of mineralisation grading 61ppm silver (1.78 ounces/ton) and 0.09ppm gold starting 42.67m from the east end of the trench continuing up to the western end of this trench where it ended still in mineralisation.
Phase 2 Soil Sampling
A further 162 soil samples were taken at 30m intervals on six, 120m spaced lines to infill a 0.56sq km area in the southern half of the project area, primarily to test for extension to the Western Line and Western Splay anomalies.
Analytical results have been received with individual soil results of up to 0.77 g/t gold and 9.32 g/t silver in separate samples.
Evaluation of these results indicate a small extension to the Western Line Anomaly to a total strike length of 1,100m and a 250m extension to the Western Splay Anomaly, with a possible fault offset, to a total length of 800m. Additional isolated gold-in-soil anomalies are present in the southeast of the project area.
Phase 2 Trenching
The Company has completed planning for a follow up trenching programme to further evaluate the North Ruth silver mineralisation and the extensions of the Western Line and Western Splay anomalies.
Three trenches will be excavated at North Ruth to widen and deepen Trench 1 and test along strike. A further 4 trenches will be excavated on the soil anomalies for a total of 628 m of trenching.
The Company has submitted a Surface Disturbance Notice level permit application to the Bureau of Land Management (“BLM”) to permit trenching on BLM public lands and this permit is expected within the next several days and trenching will follow shortly thereafter.
Drone Magnetic Survey
In June 2021 a drone based magnetic survey was conducted comprising 65 line‑kilometres in order to provide additional data for drill planning.
A plan showing the location of the features mentioned in this news release will be available shortly on the Company’s website at: https://www.tertiaryminerals.com/pyramid-silver-gold-project-nevada-usa
Notes:
- All soil samples were submitted to Paragon Geochemical, Reno for sample preparation and analysis. Analysis was performed using method FSAU-25, a 51-element aqua regia ICP/MS package. Quality control samples were inserted into the sample run by the analytical laboratory for internal QA/QC purposes
- The information in this release has been compiled and reviewed by Mr. Patrick Cheetham (MIMMM, MAusIMM) who is a qualified person for the purposes of the AIM Note for Mining and Oil & Gas Companies. Mr. Cheetham is a Member of the Institute of Materials, Minerals & Mining and also a member of the Australasian Institute of Mining & Metallurgy.
- This news release may contain certain statements and expressions of belief, expectation or opinion which are forward looking statements, and which relate, inter alia, to the Company’s proposed strategy, plans and objectives or to the expectations or intentions of the Company’s directors. Such forward-looking statements involve known and unknown risks, uncertainties, and other important factors beyond the control of the Company that could cause the actual performance or achievements of the Company to be materially different from such forward-looking statements. Accordingly, you should not rely on any forward-looking statements and save as required by the AIM Rules for Companies or by law, the Company does not accept any obligation to disseminate any updates or revisions to such forward-looking statements.
Note to Editors:
Tertiary Minerals plc (ticker symbol ‘TYM’) is an AIM-traded mineral exploration and development company building a multi-commodity project portfolio.
Power Metal Resources #POW featured in What Investment article, ‘Hot Commodity’ covering the commodity supercycle
Read Alan Green’s feature in What Investment Magazine titled ‘Hot Commodity’, covering the commodity supercycle and Power Metal Resources #POW.
In the article, Alan discusses the macroeconomic picture for investment in commodities, the impact of new retail investors transforming micro-cap mining companies to mid-cap, Power Metal Resources’ current projects in Australia and Botswana, and the company’s positive prospects. This raises the question, could #POW be the next Greatland Gold? Read on to hear what Alan has to say.
