Kisinka Project - Large Copper Anomaly Confirmed

RNS Number : 2429F

Power Metal Resources PLC

11 July 2019

 

11 July 2019

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

Kisinka Project - Large Copper Anomaly Confirmed

Power Metal Resources plc (LON:POW) the AIM listed African focused metal exploration and development company is pleased to announce findings drawn from the final report on its exploration programme at the Company's Kisinka Copper-Cobalt project ("Kisinka" or the "Project") in the Democratic Republic of the Congo ("DRC").

Paul Johnson, Executive Director of Power Metal Resources plc commented: "We have confirmed the presence and potential significance of copper mineralisation along the Undifferentiated Roan horizons within our license.

Undifferentiated Roan represents Roan rocks of the Roan 1, Roan 2 and Roan 3 Subgroups and the Neoproterozoic Roan Group of central Africa which are host to some of the world's largest and highest-grade sedimentary rock-hosted copper-cobalt deposits the copper belts of Zambia and the DRC.

Given the substantial 6.8km length and size of the copper anomalous area and the presence of rocks from the important mineral-bearing R2 stratum in a license along strike, there are sufficient indications that the tenement may be host to a significant copper target to justify immediate further exploration.

The Company is considering its exploration options for the next stage and expects to begin a new exploration programme shortly."

Exploration Report Summary:

Note: where referenced below the Figures may be viewed via the following link:

http://www.rns-pdf.londonstockexchange.com/rns/2429F_1-2019-7-11.pdf

Additionally, figures referenced below are also available on the Company's website through the following link:

 https://www.powermetalresources.com/gallery-drc/5/drc-termite-mound-sampling-2019

·   A total of 663 termite mound soil samples (excluding quality control samples) were collected over the entire 62 mining square tenement (approximately 50 square kilometres) using a grid of 400m x 200m on 23 North-South oriented lines (Fig 1);

·    Each 2 kg sample was taken from each termite mound at 1m height and after penetrating the mound to a depth of 50-70 cm;

·  The samples were taken to the Minerals Exploration Associated Sarl ("Minex Consulting") office in Lubumbashi. Each sample was then split into two pulp samples of 50g, with one tested by a Niton XRF (x-ray fluorescence spectrometry) analyser and the other being kept should the Company wish to send to a laboratory for ICP AES (inductively coupled plasma atomic emission spectroscopy) analysis if required;

·    XRF readings provide immediate feedback on metal content, which is useful in the exploration process as a cost-effective early identification tool. In respect of copper grades, XRF testing conducted in line with best practice (including the use of field duplicate samples correlating closely with original results to demonstrate precision and high quality sample preparation) can deliver grades that correlate closely with assay testing, however as outlined below, cobalt is less definitive;

·   At an appropriate stage of exploration and where precision data is required regarding metal grade, verification through assay testing at independent laboratories is required and POW will undertake this assay testing process where deemed necessary and provide results to the market;

·   The XRF results have identified a 6.8 km by 600m copper-in-soil anomaly oriented SE-NW with copper values up to 210 parts per million ("ppm") (Fig 2). Peak values occur in the southern part of the tenement and correlate well with the undifferentiated Roan horizon which is known as a host of copper and cobalt mineralisation in the Central African Copperbelt;

·    Two main copper-manganese anomalous zones were identified within the main copper trend, one (Zone A) extending 1200m by 400m and striking SE-NW, lying along the undifferentiated Roan (Fig 3), and one (Zone B) extending 1100m by 800m, striking W-E, and occurring in the vicinity of the nose of a fold structure to the SE (Fig 4);

·   Zone A and Zone B both partially coincide with natural clearings containing metallophytic  (copper tolerant) vegetation typical of the Copper Flora; this can be seen particularly clearly in Zone B where natural clearings are aligned in a curve parallel to the nose of the regional fold with the metal anomalous zone correlating well with the southern clearing (Fig 5);

·   Cobalt anomalism though present in the XRF readings, including samples at significant levels, was not correlated with copper and manganese anomalisms and without results from ICP AES testing it is not considered that any conclusions should be drawn as to cobalt anomalism at this stage;  

·   As noted above copper anomalism was detected at up to 210 ppm by XRF, and Zones A and B are considered highly prospective for further exploration;

·     Recommendations for future work are: (a) ground magnetics over the 6.8 km anomalous zone (Fig 6) and possible extensions to detect low magnetic lithologies and understand structure and carbonate rocks; (b) infill termite mound sampling in the anomalous zone on a 50m by 50m grid to check continuity of the anomaly; and (c) some pitting in the anomalous zone to check the lithological units lying below the regolith.

Project Background:

The current phase of exploration activities at Kisinka was announced by the Company on 12 April 2019 and can be viewed through the following link:

https://www.powermetalresources.com/n/n99/kisinka-copper-cobalt-project-exploration-commences

Updates on the Kisinka field operations and progress in sample testing were provided by the Company on 2 May 2019, 17 May 2019, and 7 June 2019 and may be viewed through the following links:

https://www.powermetalresources.com/n/n100/kisinka-copper-cobalt-project-operational-update

https://www.powermetalresources.com/n/n106/kisinka-copper-cobalt-project-field-programme-completed

https://www.powermetalresources.com/n/n109/kisinka-project-7-km-copper-anomaly-identified

Competent Person Statement

The technical and related information in this report relates to exploration results based on information from third parties and data compiled by Steffen Kalbskopf Pr.Sci.Nat, FGSSA and Barry Kazadi (MSc), Pr.Sc.Nat, MGSSA. who are members of the South African Council for Natural Scientific Professions. Mr. Kalbskopf and Mr Kazadi have sufficient experience in the style of mineralisation and type of deposit under consideration. Mr. Kalbskopf and Mr Kazadi consent to the inclusion in this announcement of the matters based on their information in the form and context in which it appears. Mr Kazadi is a managing Director of Mineral Exploration Associates SARL, Consultants (Under the name Minex Consulting) to the Company. Mr Kalbskopf is a self-employed consultant and managing director of Hidden Treasure Consulting and a senior associate of Minex Consulting, both independent of Power Metal Resources plc].

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:

Power Metal Resources plc
Paul Johnson (Executive Director)	[phone]
SP Angel Corporate Finance (Nomad and Joint Broker)
Ewan Leggat	[phone]

SI Capital Limited (Joint Broker)

Nick Emerson                                                                                                                    [phone]

Notes to Editors:

Power Metal Resources plc (LON:POW) is an AIM listed African focused metals exploration and development company exploring for the key metals used in power generation, transmission, storage and utilisation. The Board and team of advisors, who have proven expertise in exploration, mining and project generation, have identified an opportunity to utilise the Company's position to become a leader in the London market for investors to gain exposure to the power metal commodity suite, particularly cobalt, lithium, copper and nickel. 

 

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