Power Metal Resources PLC Share News (POW)

(Sharecast News) - Metals exploration and development company Power Metal Resources updated the market on exploration at the Arizona-based Alamo Gold Project on Friday, in which it has the right to earn-in up to a 75% interest.
The AIM-traded firm said the reconnaissance exploration programme undertaken during August had been completed successfully, adding that in light of the exploration work, an additional nine claim blocks had been staked, enlarging the project by 23.5% to a total 946 acres.

Follow-on exploration work would now continue, with detailed geological mapping along with trenching, pitting and mini-bulk sampling in order to further ascertain the distribution and abundance of native gold nuggets within the project area.

Given the nature of the mineralisation and its near-surface location, the company said it believed that bulk sampling would give a more accurate assessment of the gold prospectivity than drilling.

Work was currently expected to be conducted during the first three weeks of December, subject to any applicable permitting requirements.

The programme would be managed by a qualified geological contractor, Power Metal said, using local labour and logistical support.

"We are very happy to support the enlargement of the Alamo Gold Project in Arizona following the encouraging results of the August reconnaissance work and further gold nugget discoveries at the project," said chief executive officer Paul Johnson.

"The local exploration team have designed a follow on programme of trenching and bulk sampling, which is currently planned to commence in December, with a view to building an assessment of gold prospectivity."

At 1427 GMT, shares in Power Metal Resources were up 7.14% at 1.95p.