Power Metal reports exploration progress at Molopo Farms

6th Oct 2023 14:56

(Sharecast News) - Power Metal Resources updated the market on exploration developments at its Molopo Farms Complex Project (MFC) in southwestern Botswana on Friday, emphasising its pursuit of a district-scale nickel (Ni) and platinum group element (PGE) discovery.

The AIM-traded company reported notable strides in exploration at the project, using data from airborne electromagnetic (EM) geophysics surveys conducted in 2018 and subsequent ground moving loop electromagnetic (MLEM) geophysics surveys completed in 2022 to identify exploration targets which were drilled during the 2022-2023 campaign.

One area, referred to as target T1-14, emerged with exceptionally high potential due to the strength of an initially identified superconductor.

However, a setback occurred when drill hole DDH1-14B from the 2022-2023 campaign did not intersect the modelled superconductor.

That prompted the firm to employ a geophysicist to analyse results from an audio-frequency magnetotelluric (AMT) survey from 2020 over the same target area.

AMT technology can measure a broader range of conductivities, even to a greater depth, than airborne or ground EM.

The company said the AMT analysis identified two distinct conductors at target T1-14.

It said the first, a solid, steeply dipping, multi-kilometre-long conductor, aligned with the keel of the feeder zone intrusion and was acknowledged as a high-priority exploration target.

That conductor, which had not been drill-tested to date, had the potential to host massive sulphide mineralisation.

The second conductor identified was deemed to be sedimentary in origin and relatively flat-lying, which led to the misleading targeting during the previous drilling campaign.

In the face of those findings, Power Metal Resources said it was coordinating with its technical consultants to devise a drill programme to test the newly modelled steeply dipping conductor at target area T1-14, substantiating its commitment to achieving a significant discovery in the nickel and platinum group elements in southwestern Botswana.

"Historical exploration work at Molopo Farms has been multi-year, extensive and absolutely necessary in order to narrow down key targets for exploration drilling within a very large licence footprint," said chief executive officer Sean Wade.

"The company is targeting significant discoveries, and the work completed to date has confirmed that the MFC has the required geological ingredients to host a significant nickel deposit as found in other mafic/ultramafic belts worldwide.

"In exploration, geophysics alone is never enough and drilling is always necessary to firm up the geological model and confirm economic deposits."

Wade said that when drilling is undertaken, the additional data gathered can, with other exploration techniques, provide a step-change enhancement of the technical understanding of a project and its potential.

"On this basis, the work focussed on target area T1-14 has delivered a superior database and is now the highest priority conductor target, based on all the evidence we have gathered thus far.

"We are particularly excited by this development and look forward to updating the market in due course with drilling plans for this target.

"This exploration work, which is currently focussed on target area T1-14, is being conducted in parallel with our ongoing engagement with third parties with regard to commercial avenues for Molopo Farms as previously highlighted."

At 1400 BST, shares in Power Metal Resources were down 1.54% at 0.64p.

Reporting by Josh White for Sharecast.com.