Power Metal Resources PLC Regulatory News (POW)

17 May 2022

Power Metal Resources plc ("Power Metal" or the "Company")

Extension of Insider Options

Power Metal Resources plc (LON:POW) the London listed exploration company seeking large-scale metal discoveries across its global project portfolio announces an extension of insider options.

On 15 February 2019 Paul Johnson, Chief Executive Officer of the Company was awarded 13,613,929 options to subscribe for new ordinary shares of 0.1 pence each in the Company at an exercise price of 1.0p ("Director Options"). The Director Options had an original expiry date of 15 February 2022, which was subsequently extended to 15 May 2022.

Paul Johnson is unable to exercise the Director Options as a result of being in a close period due to finalisation of the Company's interim financial statements for the half year ended 31 March 2022 and due to possession of inside information in relation to the Company's exploration and corporate work activities.

Under the Director Option agreement clause 3.5 states:

"In the event the Option Holder is in possession of relevant price sensitive information or is restricted from dealing pursuant to the provisions of the Market Abuse Regulations or by any other share dealing code, applicable law or regulation and is thereby precluded from exercising the Options or any part thereof immediately prior to the Final Exercise Date, then the Final Exercise Date shall be deemed to be extended until the date which falls 10 business days after the later of the date on which the Option Holder ceases to be an insider or the date on which the close period or other prohibited period ends or is otherwise no longer prohibited."

The Director Options will be automatically extended under clause 3.5 as outlined above.

Recognising the Company's level of operational activity and anticipated news flow it is considered unlikely that the Director Options will be freely exercisable for some time and therefore the Company has agreed that the Director Options may be exercised up to 31 December 2022. All other terms of the Director Options remain unchanged.

Related Party Note

The extension of the Director Options held by Paul Johnson as outlined above, has been treated as a related party transaction pursuant to AIM Rule 13 of the AIM Rules for Companies.

Scott Richardson Brown and Edmund Shaw, being the independent Directors for the purposes of the extension of the expiry date of the Director Options held by Paul Johnson consider, having consulted with the Company's nominated adviser, SP Angel, that the extension of the expiry date to 31 December 2022 of the Director Options held by Paul Johnson to be fair and reasonable insofar as the Shareholders are concerned.

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:

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.

Power Metal Exploration Programmes Underway/Results Awaited

Power Metal has exploration programmes completed or underway, with results awaited, as outlined below: