Power Metal raises £900 000 for exploration projects

17th January 2023

By: Darren Parker

Creamer Media Contributing Editor Online


Font size: - +

London-listed Power Metal Resources has completed a placing and subscription to raise £900 000 before expenses for the advancement of priority exploration projects and for general working capital purposes.

The financing was undertaken at the closing market bid price of 1.4p on January 13, through the issue of more than 64-million new ordinary shares of 0.1p each.

The fundraising will be applied to a comprehensive exploration programme at the company’s Tati gold project, in Botswana, and will also allow Power Metal to accelerate preparations for exploration at its strategic uranium portfolio in the Athabasca Basin region of Saskatchewan, Canada.

"Power Metal continues to drive its exploration portfolio, with drilling under way currently and with additional programmes now to be launched in the near term,” Power Metal CEO Paul Johnson said on January 16.

At Tati, the company's exploration plans include soil geochemistry, geophysics, mechanised trenching, reverse circulation and diamond drilling. This work will examine near surface gold mineralisation across large proportion of the 8 km gold-in-soil anomaly, which extends through the centre of the Tati licence footprint and, through planned drilling, test for gold mineralisation at depth.

Power Metal said it was also seeking to undertake exploration programmes at several of its Athabasca uranium properties during the upcoming Northern Hemisphere spring and summer, following snowmelt.

The work programmes will be designed to follow up on high-grade uranium rock sample results achieved by the company during exploration campaigns last year, as well as inaugural work programmes at other properties in the portfolio, which have not been worked by Power Metal yet.

Moreover, diamond drilling has restarted at the Molopo Farms Complex project, in Botswana, after the Christmas break, and specifically at drill hole DDH2-3A into target area T2-3A.

In addition, a diamond drill programme is under way at the company's Victoria Goldfields joint venture in Australia, targeting extensions of the former high-grade working Berringa gold mine.

In parallel with the company’s exploration work, Power Metal is working on various corporate initiatives targeting the generation of material value.

“The recent strong move higher in the price of gold from under $1 650 at the start of November to $1 920 at the close on [January 13] is an important event, with gold acting as a key indicator for the strength of our sector. I believe the future is bright for the junior resource sector and the proactive junior resource explorers within it,” Johnson said.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online




Rittal is a world leading provider of top-quality integrated systems for enclosures, power distribution, climate control, IT infrastructure and...


From batteries for boats and jet skis, to batteries for cars and quad bikes, SABAT Batteries has positioned itself as the lifestyle battery of...


Latest Multimedia

sponsored by

Magazine round up | 24 May 2024
Magazine round up | 24 May 2024
24th May 2024

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?







sq:0.228 0.269s - 90pq - 2rq
1: United States
Subscribe Now
2: United States