Power Metal Resources PLC (LON:POW) said six high priority drill targets have been identified at the Molopo Farms Complex project in Botswana following a ground geophysics programme that was completed earlier this month.
The geophysics programme was undertaken by the project’s owner Kalahari Key Mineral Exploration, in which Power Metal holds an 18.26% stake. The programme included 11 loops over a total of 14 nickel- platinum group metals (PGM) mineralisation targets.
Six high priority drilling targets have been identified from the data gathered and Power Metal expects four key targets out of that to become the focus for Phase 1 drilling.
The data is subject to a technical review in South Africa with consultant geophysicist Cas Lotter.
Paul Johnson, executive director of Power Metal Resources said: “A full technical report is being finalised and we look forward to receipt of that document whereupon we can provide much more information to shareholders.
“Given the surge in nickel prices of late, and what we believe are compelling supply/demand dynamics into the future, Power Metal Resources is fortunate to have this exposure to Kalahari Key and the promising MFC project in Botswana."
The project has licenses covering an area of 2,725 square kilometres that are considered prospective for nickel-copper-PGM mineralisation.
Under an earn-in agreement, Power Metal has until the end of this year to decide whether to take a 40% direct project interest in Molopo Farms in exchange for investing US$500,000 in the project.
If the company elects to earn in, it will hold an effective economic interest of 50.96% in the project.