Business
Update on Formation of Uranium-Focused JV
Update on Formation of Uranium-Focused JV.
About this update from Power Metal Resources Plc
[{"type":"text","content":"\n\n30 September 2024\nPower Metal Resources plc\n(\"Power Metal\" or the \"Company\")\nUpdate on Formation of Uranium-Focused Joint Venture \nAcquisition of Drake Lake-Silas Uranium Project, Newfoundland & Labrador\nUpdate on 2024 Fieldwork Programme\nPower Metal Resources plc (AIM:POW, OTCQB:POWMF), the London-listed exploration company with a global project portfolio, is pleased to provide an update on the formation of a uranium-focused joint venture (the \"Joint Venture\") involving Power Metal's entire portfolio of uranium licences, with UCAM Ltd (\"UCAM or the \"Investor\", together the \"Parties\").\n \nThe Company has been informed by the Investor that it is in the process of completing certain administrative tasks relating to the finalisation of the Joint Venture transaction, and expects to be in a position to enter into definitive documentation shortly. Given the advanced state of the transaction, the Company does not feel it is necessary to formally extend the period of exclusivity for the transaction, and currently expects to be able to inform shareholders imminently that the transaction has completed.\nThe Company also announces, that subject to the approval of its Nominated Adviser, it intends to extend the date of the Company's financial year end.\nSeparately, the Company is pleased to announce that it has acquired the Drake Lake-Silas uranium project (\"Drake Lake-Silas\" or the \"Property\"), within a prolific uranium district in Newfoundland and Labrador. The Property will be vended into the Joint Venture on completion of the transaction. A substantial fieldwork programme has already been undertaken in the current field season with further work planned for the current year.\n \nDrake Lake-Silas is composed of two non-contiguous licences covering 1,250-hectares (12.5 kilometres squared (\"km2\")) and 500-hectares (5.0km2) respectively. The mapped geology is contiguous with a resource of 5 million pounds (\"lbs\") U3O8 indicated and 5.82 million lbs U3O-8 inferred1, and a vanadium resource of 15.81 million lbs inferred of V2O5, at 0.088% V2O5 within 1 kilometre (\"km\") of the Property's boundaries.\nThe Property hosts two known uranium occurrences, along trend of the identified off-Property resource; the two occurrences include up to 798 parts per million uranium in soil results and an in...