Power Metal Resources PLC Share News (POW)

(Sharecast News) - Power Metal Resources updated the market on its wholly-owned Tati Gold Project on the Tati Greenstone Belt near Francistown, Botswana on Tuesday.

The AIM-traded company reported significant findings from its 2023 soil sampling programme, which confirmed the presence of three significant gold-in-soil geochemical anomalies, providing further evidence of continuity within the eight kilometre-long gold trend at Tati.

It said the anomalies included the Northwest (NW), Southwest (SW), and Cherished Hope (CH) anomalies.

The CH anomaly, in particular, represented a noteworthy extension zone trending southwest from the original Cherished Hope historical mine workings.

During the soil sampling programme, a total of 446 individual soil samples were collected from four separate grid areas.

The firm said the primary objective was to identify additional gold mineralised zones within the eight kilometre-long gold trend extending through Tati.

Out of the 446 samples, three returned gold assay results of greater than 500 parts per billion gold, with individual soil samples showing values of 568, 831 and 1,076 parts per billion, equivalent to 1.076 grams of gold per tonne.

Additionally, 29 samples returned 100 parts per billion gold or above, with the majority forming part of the CH anomaly, which had now been identified as a greater than 600 metre-wide zone that remained open in multiple directions.

The board said the significant extension zone trended southwest from the original Cherished Hope historical mine workings, where Power Metal previously reported successful drill results in 2022.

It said the SW and NW anomalies, located about 1,500 and 3,000 metres from the CH anomaly, respectively, suggested the potential for a considerably larger anomalous gold-in-soil footprint at Tati.

Further infill sampling work was expected to shed more light on that potential.

In addition to the exploration efforts, Power Metal said it was actively engaged in commercial discussions regarding the potential for small-scale mining at the Cherished Hope Gold Mine.

The company was also continuing its exploration work, with further details expected to be announced in the near term.

"This gold soil sampling programme has delivered quite remarkable results in terms of a confirmation of the significant area mineralised and also the consistency of positive results across the areas tested," said chief executive officer Sean Wade.

"Each stage of work at Tati has delivered extremely positive findings and we are more confident than ever that the project holds very significant value for the company.

"As a result, we are positively moving forward to next stage exploration whilst in parallel continuing discussions with potential partners interested in the early-stage mining possibility that exists at Tati."

At 1530 GMT, shares in Power Metal Resources were flat at 1.1p

Reporting by Josh White for Sharecast.com.