Power Metal Resources plc (LON:POW) the AIM listed metals exploration and development company is pleased to provide an exploration update for shareholders to confirm encouraging initial results from the airborne electromagnetic (“AEM”) surveys recently flown over the South Ghanzi Project (the “Project” or “South Ghanzi”) in the Kalahari Copper Belt, Botswana (“KCB”).
The South Ghanzi Project is part of a Strategic Joint Venture ("SJV") with Kavango Resources plc ("Kavango")(LON:KAV) covering precious, base and strategic metal opportunities in Botswana. Power Metal and Kavango each have a 50% interest in the SJV.
Highlights:
Paul Johnson, Chief Executive Officer of Power Metal Resources, commented:
“The pathway to major metal discoveries requires a disciplined and targeted step-by-step approach, something which is being applied to the South Ghanzi exploration model.
What stands out however, for me, is the speed at which we have been able to implement the AEM surveys and to gather initial results, which are demonstrating that the South Ghanzi Project is shaping up very nicely.
So, with our SJV partners, we are pushing ahead with the next stage of work, which is focused on delineating drill targets ASAP, the objective of which will be a large-scale copper/silver metal discovery, or discoveries.”
Initial AEM survey results
Heavy rains and low cloud cover across southern Africa slightly delayed the AEM survey, but SkyTEM completed all AEM survey work by the first week in March.
Kavango’s in-house geophysics team has plotted the preliminary electromagnetic data on maps of the Company’s licences. These maps have been overlaid on regional geological survey maps and proprietary maps, which also plots results from soil sampling and ground magnetic surveys.
The preliminary AEM anomalies are associated with a number of plunging fold hinges that represent potential drill targets. Follow-up work will require the development of geological models to determine the stratigraphic location of these anomalies and potential drill collar locations and orientations. The AEM anomalies are supported by zinc soil geochemistry anomalies and malachite staining (often formed by the near-surface weathering of copper bearing primary sulphide minerals) in PL 036/2020.
The AEM survey data will now undergo further processing and finalisation, ahead of a detailed interpretation and drill hole target planning. Further details will be provided once this work has been completed.
THE SOUTH GHANZI PROJECT
The SJV South Ghanzi Project includes two prospecting licences in the KCB (PL036/2020 and PL037/2020) covering an area of 1,294 km².
The South Ghanzi Project, located on the highly prospective Kalahri Copper Belt (“KCB”) in northern Botswana, includes lengthy geological reduction-oxidation (“redox”) boundaries and geological fold structures that represent high priority exploration targets.
The redox boundaries were formed several hundred million years ago in active sedimentary basins flooded by shallow seas. Organic matter accumulating on the sea floor created anoxic conditions, which formed a chemical barrier to metal ions rising upwards through the sediments as the basin subsided. The change in chemistry caused the precipitation of metal species (carbonates, sulphides etc.) including copper and silver on or just below the redox boundary.
Subsequent tectonic activity folded the sedimentary layers, which was often accompanied by the concentration of metals into the fold hinges and other structural trap-sites.
Several large-scale copper/silver ore deposits have been discovered on the KCB in association with fold hinges in areas now held under licence by Sandfire Resources Ltd (ASX:SFR) and Cupric Canyon (a privately owned mining development company). These deposits are relatively close to surface and may be amenable to open pit mining operations.
Accumulations of sulphide metals can be traced along the strike of redox boundaries (sometimes for many kilometres), since they often have a higher magnetic signature than the surrounding rock.
COMPETENT PERSON STATEMENT
The technical information contained in this disclosure has been read and approved by Mr Nick O'Reilly (MSc, DIC, MIMMM, MAusIMM, FGS), who is a qualified geologist and acts as the Competent Person under the AIM Rules - Note for Mining and Oil & Gas Companies. Mr O'Reilly is a Principal consultant working for Mining Analyst Consulting Ltd which has been retained by Power Metal Resources PLC to provide technical support.
17 March 2021
