Power Metal Resources shares surge on Saudi exploration deal

12th Jan 2024 10:43

(Sharecast News) - Shares in Power Metal Resources, the AIM-listed metals exploration company, jumped by over a tenth on Friday after it received a memorandum of understanding (MoU) to explore "high value-added investment opportunities" in Saudi Arabia.

The MoU, which was signed at the Future Minerals Forum in Riyadh this week, is aimed to "support investment in exploration activities, develop upstream and downstream projects targeting multiple strategic minerals, and attract reputed national and international mining and mineral development companies to drive the commercialisation of Saudi Arabia's mineral resources", PMR said in a statement.

The company said itself and the Ministry of Investment of the Kingdom of Saudi Arabia (MISA) are looking to establish a "mutually beneficial relationship" in order to pursue suitable exploration opportunities in in the Kingdom, where PMR will offer technical support to potential exploration projects, and MISA will provide project opportunities and potential support for such projects as applicable.

PMR's chief executive Sean Wade said the company was "honoured" by the partnership. "This MoU is indicative of our commitment to exploration in the Kingdom, and it paves the way for us to explore exciting opportunities in one of the world's most resource-rich countries," he said.

The stock was up 11.1% at 0.75p by 1101 GMT.