Power Metal Resources PLC Regulatory News (POW)

14 November 2014 Sula Iron and Gold plc ("Sula" or the "Company") Placing to raise £585,000 and Operational Update Sula Iron and Gold plc, a multi-commodity exploration company focused on SierraLeone, announces that it has conditionally raised £585,000, through a placingof 39,000,000 new ordinary shares of 1p each in the Company (the "PlacingShares") at a price of 1.5p per Placing Share with institutional investors (the"Placing"). The net proceeds of the Placing will be used to progress Sula's gold and coltanexploration activities to pre-drilling stage over the next six months, asfurther described below. Gold Follow-on exploration to further define drill targets within the FerensolaLicence is planned. A ground magnetic survey is expected to be completed bylate 2014 with this survey covering both the potential BIF-2 ironmineralisation extension as well as areas thought to be prospective for goldmineralisation. Additional exploration activities may include: * Ground magnetic data analysis and interpretation; * Trenching and geological mapping over the previously identified Dalakuru and Lagunda gold targets; * IP over historic mineralisation at Dalakuru and newly identified anomalies; and * Re-logging Mano River Resources Inc. drill cores and potentially re-assaying best intersections. Coltan Since the realisation of the potential for tantalum and niobium mineralisationwithin the Ferensola Licence and the subsequent successful identification ofcoltan mineralised alluvial material, the Company has quickly moved to advancethe understanding and value potential of this third commodity. Coltan, which isa generic term used for describing a particular mineral with a variableniobium-tantalum composition, has a number of high-tech uses and its supply isbecoming increasingly important to the electronic industry in particular. Whiletantalum is not traded on any recognised metal exchange, the pricing has rangedfrom US$160 - US$205/kg of contained Ta2O5 during the last 12 months. SRK ES confirmed that pegmatites of interest are located within the FerensolaLicence; these are thought to be the primary source of the alluvial coltan thathas been identified throughout the Licence. Sula has an initial explorationprogramme currently under way which will now increase to include the following: * Geological mapping and sampling of the pegmatites to identify the primary source of coltan mineralisation; * Trenching and pitting over areas of identified coltan alluvial bearing material; and * Bulk samples (+200kg) of alluvial material and subsequent analyses enabling a better understanding of the distribution of coltan within the alluvial systems. The exploration for tantalum and niobium, or coltan, falls within the existingLicence parameters. Further, any coltan, if produced in the future, would befully compliant with the Dodd-Frank Act. In parallel with the above exploration activities, a leading tantalum off-takerhas been identified and preliminary discussions have commenced. Sula CEO Nick Warrell said: "I am pleased to announce that we have raised these funds. Having successfullydrilled the main BIF unit within our Licence earlier in the year ahead ofschedule and under budget, these funds will enable us to take our gold andcoltan exploration targets up to pre-drilling stage. We have proven our abilityto carry out extensive drilling campaigns with the work on the main BIF unitand we look forward to receiving the JORC compliant MRE as planned before theend of 2014." The Placing Shares will, when issued, rank pari passu in all respects with theexisting ordinary shares of 1p each in the Company ("Ordinary Shares"). Application will be made to the London Stock Exchange for admission totrading on AIM of the Placing Shares ("Admission"). Completion of the Placingis conditional on, inter alia, Admission. It is expected that Admission will become effective and that dealings in thePlacing Shares will commence at 8.00 a.m. on or around 27 November 2014. Following the issue and allotment of the Placing Shares, the Company's enlargedissued ordinary share capital will comprise 320,484,958 Ordinary Shares ("Enlarged Share Capital"). The Company does not hold any Ordinary Shares intreasury. This figure of 320,484,958 Ordinary Shares may be used byshareholders in the Company as the denominator for the calculations by whichthey will determine if they are required to notify their interest in, or achange in their interest in, the share capital of the Company under theFinancial Conduct Authority's Disclosure and Transparency Rules. **ENDS** For further information please visit www.sulaironandgold.com or contact thefollowing: Sula Iron & Gold plc +44 (0) 20 7583 8304Nick Warrell / Matt Wood Cairn Financial Advisers LLP (Nominated Adviser) +44 (0) 20 7148 7900James Caithie / Avi Robinson VSA Capital Limited (Broker) +44 (0) 20 3617 5177Bhavesh Patel / Richard Buckle Strand Hanson (Financial Adviser) +44 (0) 20 7409 3494Simon Raggett / James Harris Yellow Jersey PR (Financial PR) +44 (0) 7768 537 739Dominic Barretto / Kelsey Traynor Notes Sula Iron & Gold plc is a multi-commodity exploration company focused in WestAfrica. The Company's main objective is to explore and advance its 153 sq. kmFerensola Project in Northern Sierra Leone, which is highly prospective foriron, gold and coltan.