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Power Metal (POW) Shares Gapped 4.9% on New Gold Anomalies

Simon Mugo trader
Updated 15 Sep 2023

The Power Metal Resources PLC (LON: POW) share price gapped up 4.94% after announcing the results of geochemical soil sampling, which confirmed two significant gold anomalies at its 100%-owned Tati Gold Project located on the Tati Greenstone Belt (TGB) near Francistown Botswana.


YOUR CAPITAL IS AT RISK. 76% OF RETAIL CFD ACCOUNTS LOSE MONEY.


The company noted that the infill geochemical soil sampling assay results were taken from areas of historical sampling, which confirmed two critical gold-in-soil geochemical anomalies continuing within the 8km gold trend at Tati. The firm collected 280 infill soil samples about 40m apart and collected within two grids.

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YOUR CAPITAL IS AT RISK. 76% OF RETAIL CFD ACCOUNTS LOSE MONEY

The extra sampling also included the analysis of 33 elements by an independent lab, including gold, to further resolve areas of anomalous gold, helping the firm determine the obvious anomaly strike direction, which is still open within both grids. 

Additionally, the Southern anomaly shows a clear 400m southward trending extension (remaining open to the south and southwest) of the sold anomaly associated with the Cherished Hope historical mine workings, which were part of the company’s successful diamond drilling programme in Q3 2022. 

Immediate follow-up of the programme on the ground via select soil samples along the southwestern extension from Cherished Hope has located an area with evidence of disturbance (probably ancient pitting), and the area will have to undergo a follow-up during the next work programme. 

The current drilling footprint around Cherished Hope has a strike length of about 150m. Hence, confirming the Southern solid anomaly could represent a significant extension of the drill target. 

Sean Wade, Chief Executive Officer of Power Metal Resources plc, commented: “The Tati Project continues to make excellent progress, with the previously postulated 8km gold anomaly being further supported by the results of infill geochemical soil sampling announced today. Based on the soil sampling data and the 8km long gold trend, the Project appears to offer the potential to host a very large gold deposit, which we know has been, in part, the subject of historical mining activity, further underpinning its development potential. We are seeking to advance exploration at the Project expeditiously whilst also managing inbound interest in the project and its potential for near-term small-scale mining.

The Power Metal (POW) share price. 

The Power Metal (POW) share price gapped up 4.94% to 0.85p, from Thursday’s closing price of 0.81p. 


YOUR CAPITAL IS AT RISK. 76% OF RETAIL CFD ACCOUNTS LOSE MONEY.


Simon has over six years of professional trading experience across FX, commodities and equities. He has a strong passion for financial markets and is particularly focused on price action trading