TIDMPOW

RNS Number : 0141O

Power Metal Resources PLC

26 January 2023

26 January 2023

Power Metal Resources PLC

("Power Metal" or the "Company")

Tati Gold Project, Botswana - 2023 Exploration Underway

Power Metal Resources PLC (LON:POW) the London listed exploration company seeking large-scale metal discoveries across its global project portfolio announces next stage exploration on its 100% owned and operated Tati Gold Project ("Tati" or the "Project") located within the Tati Greenstone Belt near Francistown, Botswana, is underway.

EXPLORATION PROGRAMME KEY OBJECTIVES

- To confirm the presence of a large gold-bearing system and delineate a deposit, through follow-on work over a larger portion of the approximately 8km long gold-in-soil anomaly.

- Through Power Metal's largest and most comprehensive exploration campaign across the Tati Project, to date.

o Programme will include mechanised trenching, geophysics surveys, high-resolution geochemical surveys, reverse circulation ("RC") drilling and diamond core drilling.

o Both geophysical survey work and mechanised trenching are currently underway, with further soil sampling scheduled and RC and diamond drilling to follow on in order to test the emerging high priority gold targets.

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

" The exploration campaign now underway is a key step forward for Power Metal with the various planned works tailored towards a single objective, namely the discovery of a large gold deposit.

Our exploration programmes in 2021 and 2022 have built a robust picture of the Project's potential and we are particularly excited as we proceed with the next stage of exploration - the largest ever completed on the Project by Power Metal.

So far, we have confirmed near surface high-grade gold from reverse circulation drilling, conducted last year, which intersected the quartz reef structure near the Cherished Hope mine and delivered high-grade and bonanza-grade gold results. Figure 1 below provides an overview of those results.

Within the table immediately below is an overview of the work we are planning to undertake, with explanatory notes on the various steps to be implemented."

EXPLORATION PROGRAMME OVERVIEW

 
           Exploration Work                  Rationale and Targeted Outcome 
 TRENCHING                              This work will look to extend 
  A circa 500 metre mechanised           the already known strike length 
  trenching programme (underway).        extension of the main quartz 
  Trenching will be focused along        reef structure at the Cherished 
  various strike-length extensions       Hope gold mine (the "Cherished 
  of the known outcropping gold          Hope") within the Project licence 
  mineralised quartz reef structure.     area. The quartz reef currently 
  Quartz reef as well as mineralised     remains open towards the northwest 
  wall rock will be sampled when         and southeast as well as down 
  intersected within the exposed         dip. 
  trenches.                              If the main quartz reef is successfully 
                                         intercepted, the trenching would 
                                         highlight quartz reef continuity 
                                         between known historical workings 
                                         at Cherished Hope, as well as 
                                         to the northwest and southeast 
                                         of current (175m) strike length 
                                         extents as defined by the recently 
                                         completed RC drilling campaign. 
                                         By extending the surficial expression 
                                         of the mineralised quartz reef 
                                         structure beyond the currently 
                                         defined 175m strike length, 
                                         Power Metal will be able to 
                                         follow up drill test these areas 
                                         to prove the downdip continuity, 
                                         therefore increasing the size 
                                         of the mineralised system in 
                                         multiple dimensions. 
                                       ----------------------------------------- 
 
 SOIL GEOCHEMISTRY                      Historical soil sampling completed 
  High-resolution soil geochemistry      over the majority of the Tati 
  programme focussed on approximately    Project was undertaken by previous 
  3km of strike-length (see red          operators along 400m spaced 
  area highlighted on figure 1           lines at 40m sample spacing. 
  below).                                This programme looks to infill 
  Approximately 500-600 individual       the line spacing so that the 
  soil samples are planned with          definition and location of already 
  follow up assay testing of samples.    proven Au-in-soil anomalies 
  Soil samples will be collected         is vastly improved. 
  along a grid which will be focussed    This work will then allow Power 
  northwest of the 2022 RC drilling      Metal to follow up with more 
  area. The goal is to improve           focussed next exploration steps 
  the resolution and definition          which could include trenching 
  over several kilometres of the         and RC drilling of these new 
  currently defined 8km long            areas during subsequent work 
  gold-in-soil anomaly.                  programmes. 
                                         By completing this work, a much 
                                         larger percentage of the 8km 
                                         long Au-in-soil anomaly can 
                                         move to next exploration steps 
                                         therefore increasing the overall 
                                         attractiveness of the Project 
                                         as well as the size of the mineralised 
                                         footprint. 
                                       ----------------------------------------- 
 
 GEOPHYSICS                             The goal of the magnetometer 
  A ground magnetometer geophysics       survey is to provide high-resolution 
  survey focussed on the northwestern    imaging of any structures or 
  strike length extension of the         geology which may have had an 
  Cherished Hope Mine (underway).        influence on the emplacement 
                                         of mineralised quartz reef structures. 
                                         Prospective structures and geology 
                                         identified by the magnetometer 
                                         survey can then be upgraded 
                                         to further work streams which 
                                         may include geochemical sampling, 
                                         trenching and RC & diamond drilling. 
                                       ----------------------------------------- 
 
 REVERSE CIRCULATION ("RC")             This RC programme is designed 
  DRILLING(1)                            to test for the along strike 
  15 RC drillholes are planned          and down dip extension of the 
  to an average planned depth            main mineralised quartz reef 
  of 100m for 1,500m in total.         structure. 
                                         The mechanised trenching programme 
                                         will be completed prior to the 
                                         RC drilling and will look to 
                                         extend the known surficial expression 
                                         of the mineralised quartz reef 
                                         structure. Once the surface 
                                         expression is well defined by 
                                         trenching, RC drilling will 
                                         be employed in order to test 
                                         for the down dip or depth extension 
                                         of the quartz reefs within the 
                                         subsurface. 
                                         The goal is to prove continuity 
                                         in the widths as well as grades 
                                         of the quartz reef structure 
                                         from surface down to depths 
                                         targeted by the RC drilling. 
                                       ----------------------------------------- 
 
 DIAMOND CORE DRILLING(2)               The diamond drilling programme 
                                         is designed to drill test select 
  5 diamond drill holes are planned     portions of the quartz reef 
  to an average expected depth           structures which were previously 
  of 100m for 500m in total.            successfully delineated by the 
                                         RC drilling conducted during 
                                         fall 2022. 
                                         Diamond drilling provides full 
                                         core rock samples, and therefore 
                                         valuable information about structure, 
                                         geology, and the nature of gold 
                                         mineralisation. 
                                         The information extracted from 
                                         diamond drilling will allow 
                                         the company to gain a better 
                                         understanding of the mineralised 
                                         quartz reefs and surrounding 
                                         wall rocks. This data will be 
                                         important as exploration continues 
                                         to develop across the broader 
                                         Tati Project. 
                                       ----------------------------------------- 
 

KEY:

(1) RC drilling involves a "hammer" piston which repeatedly strikes the target rock. Simultaneously, a powerful drill-bit at the end made of tungsten rotates at high speed. This creates small chips of rock known as drill cuttings that are sucked up with a vacuum and transported to a cyclone at the surface through dedicated tubes. The chips are then sorted into a variety of sampling bags, each of which represents a certain depth section of the drill hole. These bags are then sent off directly to the assay lab where their mineral content can be analysed. In turn, a picture of the rock types the hole encountered throughout its length can be established.

(2) Diamond core drilling involves rotating a hollow drill bit embedded with diamonds into the ground to a certain depth before extracting the solid, intact core recovered for analysis.

FURTHER INFORMATION

Figure 1 - Tati Project Overview Plan Map:

Figure 2 - Tati Project Q3 Drilling Area Zoomed Plan Map:

QUALIFIED 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 Qualified 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 
 

NOTES TO EDITORS

Power Metal Resources plc - Background

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.

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.

END

DRLUNAVROAUAUAR

(END) Dow Jones Newswires

January 26, 2023 10:16 ET (15:16 GMT)

African Battery Metals (LSE:ABM)
Historical Stock Chart
From Feb 2024 to Mar 2024 Click Here for more African Battery Metals Charts.
African Battery Metals (LSE:ABM)
Historical Stock Chart
From Mar 2023 to Mar 2024 Click Here for more African Battery Metals Charts.