Last checked at 29 Apr 2021 15:00
29 April 2021
Power Metal Resources plc
("Power Metal" or the "Company")
Australia Gold Joint Venture - Update
Two further licences granted with the JV now holding seven granted licences
Power Metal Resources plc (LON:POW) the AIM listed metals exploration and development company is pleased to announce an update in respect of Red Rock Australasia Pty Ltd ("RRAL") a joint venture company with gold exploration interests near the historic mining centre of Ballarat in the Victoria Goldfields.
Power Metal has a 49.9% interest in RRAL, with Red Rock Resources plc ("Red Rock")(LON:RRR) holding a 50.1% interest.
Highlights:
· Following grant to RRAL of its first five gold exploration licences in Victoria, announced on 2 February 2021 and 17 March 2021, a further two licences have now been granted:
o EL007329 (Evergreen) covering 484 sq km
o EL007301 (Mt Bute), covering 85 sq km.
· The seven granted licences in Victoria now cover an exploration area of 848 sq km, including numerous old mines and workings and identified geological targets.
· With the bulk of the ground covered by the previously prepared NI 43-101 technical report (1) now at granted status, the IPO process for RRAL will accelerate.
(1) A copy of the NI 43-101 technical report may be viewed on the Power Metal website through the following link: https://www.powermetalresources.com/Uploads/2020-09-21-0078-Caracle-KineticsRM_RedRock_NI43-101_Sept21_2020_F_complete.pdf
Paul Johnson, Chief Executive Officer of Power Metal Resources commented:
"Today's news marks a key point in the development of RRAL with the grant of the Evergreen tenement which is one of the larger licence applications and sits in an area of particular interest as demonstrated by increasing investment by peer companies in project acquisition and exploration.
Grant of the two licences moves the IPO process front and centre. We believe that the core interests of RRAL forming the basis for an IPO on the Canadian capital markets represents one of the most comprehensive investment opportunities in the Victoria Goldfields for Canadian and international investors.
RRAL are therefore moving forward at pace with both project exploration and corporate listing developments."
FURTHER INFORMATION
Joint Venture Company - RRAL
RRAL is a joint venture company 50.1% owned by Red Rock and 49.9% owned by Power Metal Resources plc. Paul Johnson, CEO of Power Metal and Andrew Bell, Chairman of Power Metal and Red Rock, are directors of RRAL.
Granted Licences
RRAL has seven granted licences over an area of 848 km2 and covering high priority areas where RRAL has early drill targets that it is developing.
Licence Number | Project Name | Area (km2) |
EL007271
| Blue Whale | 133 |
EL007281
| Blue Chip | 74 |
EL007285
| Blue Ribbon | 8 |
EL007301 | Mt Bute | 85 |
EL007327 | Blue Stocking | 60 |
EL007329 | Evergreen | 484 |
EL007385 | Sardinia | 4 |
Total |
| 848 |
Applications
RRAL has licence applications in process for nine other new gold exploration licence areas covering approximately 1,488 km2 in the Victoria Goldfields of Australia as follows:
Licence Application Number | Project Name | Area (km2) |
EL007282
| Blue Sky | 489 |
EL007294 | Red Queen | 130 |
EL007328 | Blue Yonder | 168 |
EL007330 | Blue Angel | 202 |
EL007460 | Kilmore West | 349 |
State land within EL007271
(EL007505 EL007506 EL007507)
|
|
(9) (9) (8) |
EL007540* (3 competing applications)
| Outer Ballarat | 148 |
Total |
| c 1,486 |
* Balmaine Gold Pty Ltd, Mercator Gold Australia Pty Ltd, and Loddon Gold Pty Ltd have put in competing applications the same day as RRAL for the ground covered by EL007540. The application considered to have greatest merit will eventually be given priority.
In addition to the Victoria Goldfields above RRAL has also made exploration licence applications in Western Australia as included in the table below. Please note where indicated below and there is another applicant the application will be subject to a ballot.
EL45/5859 (One competing application) | Paterson | 227 |
EL45/5885 | Pilbara/Paterson | 70 |
EL45/5881 (One competing application) | Pilbara/Paterson | 33 |
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 |
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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 and development company seeking a large scale metal discovery.
The Company has a global portfolio of project interests including precious metals exploration in North America and Australia together with base and strategic metal metal exploration in Africa. Project interests range from early stage greenfield exploration to later stage prospects currently subject to drill programmes.
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.