Power Metal - Option to Acquire New Copper-Cobalt Interest
Option to Acquire New Copper-Cobalt Interest
We are fortunate to have secured this option at an early stage when the presence of anomalous cobalt has already been proven. However, the shallow depth at which soil sampling has been carried out means the results derive from material where the mineralisation may have been reduced by weathering.
If we test deeper in the regolith, we may get results of higher tenor that show more of the potential of the License. Initially we propose to do this by termite mound sampling across the license.
That may be followed by a small number of pit excavations to take us down to the bedrock, which we expect to encounter at about a depth of 10m.
Given the location of the License, and the results so far, this is a very exciting project where our objective is to prove up a shallow, open-pittable and high-grade resource."
· The N Tondo copper-cobalt License is close to the producing Tondo Cobalt mine in similar geology in the undifferentiated Roan breccia;
· This is a known Cobalt-prospective area that is attracting increased exploration attention;
· Soil sampling shows presence within License of anomalous cobalt at 500-750 parts per million ("ppm") and occurrences within License are on trend from nearby occurrences of R2 rocks;
· POW now intends to undertake a termite mound sampling programme across the License to test mineralization at greater depth than the 27-30cm soil sampling depth;
· The License may be viewed on the Company's website through the following link:
· POW has paid
· At any time within this period POW can notify the vendor, Société Co-Operative Minière et de Suis-Traitance SARL ("SCOMIS") of its intention to proceed with the joint venture ("JV");
· Upon execution of the JV agreement, POW will pay
· If the JV proceeds, SCOMIS will be free carried up to a decision to mine.
Further details of the License
PR 13479 is a license with an area of four mining squares (approximately 3.5 sq km) in Lualaba province of the
The License is in a geological environment known to host cobalt and copper mineralization and also contains some dispersed sections or fragments (known as écailles) of R2 mineralisation, a part of the Roan sequence that is the host of much of the Congo's cobalt endowment. Some of these sections are visible within the local area as elevated ridges.
Some 5 km to the south and west lies the Tondo mine, a cobalt mine owned by Lerexcom sprl, a company of Congolese conglomerate Groupe Ledya, and Gécamines (La Générale des Carrières et des Mines), that also produces copper.
The success of Tondo has led to an increase in exploration in the area. Neighbouring ground held by SOMIKA sarl is at advanced exploration stage and CHEMAF sarl is currently following up initial positive results with visible mineralisation at several copper and cobalt prospects.
Exploration of PR 13479 by SCOMIS has shown the presence of cobalt within the License. An early sample in the North of the license prepared as a soil sample but containing rock chips was measured at over 4% Cobalt by an x-ray fluorescence spectrometer ("XRF"). Recently, soil samples taken on a 200m x 100m grid from 27-30 cm depth across the License were tested by XRF and returned anomalous cobalt in several areas.
Samples in the South of the License also contained rock chips of Roches Argilo-Talqueuses, ("RAT" or "red RAT"), the upper subdivision of the R1 subgroup of the
The information contained within this announcement is considered to be inside information prior to its release, as defined in Article 7 of the Market Abuse Regulation No.596/2014 and is disclosed in accordance with the Company's obligations under Article 17 of those Regulations.
For further information please visit https://www.powermetalresources.com/ or contact:
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+44 (0) 7766 465 617
SP Angel Corporate Finance (Nomad and Joint Broker)
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+44 (0) 20 3470 0470
Notes to Editors:
This information is provided by RNS, the news service of the
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