Home » Golden Metal Resources (GMT) (Page 3)
Category Archives: Golden Metal Resources (GMT)
Golden Metal Resources #GMET – First Equity Limited rates as Buy
Golden Metal Resources plc (GMET.L) this morning announced the results of
a high-resolution Induced Polarisation (IP) Survey over its flagship Pilot Mountain
tungsten project, which combined with the analysis of historic IP data from 2012,
revealed three large undrilled exploration targets. Along with being prospective
for tungsten, these are also believed to host potential copper, silver and zinc
mineralisation. The CEO Oliver Friesen bullishly commented that the results
“exceeded our expectations with three significant high-priority untested zones”.
FE Comment
Today’s news underlines the potential to improve the size of what is already a
sizeable deposit at Pilot Mountain in Nevada, USA, which has an existing Mineral
Resource Estimate (MRE) of 12.53mt at 0.27% tungsten tri-oxide, with 34,290
tonnes of contained tungsten, along with significant silver, copper and zinc
GMET.L – First Equity Limited Comment 6 June 2023
credits.
Within the US, Pilot Mountain could attract a government grant to support
development as tungsten is classified as a key strategic and defence industry
metal. Moreover, with no current tungsten production in the US, the development
of Pilot Mountain into a potential mine would provide the country with a vital
domestic source of much needed tungsten.
China is currently the largest producer of tungsten in the world, dwarfing output
from all other countries. Since 2017, China has been the main source of tungsten
imported into the US, accounting for around 30% of imports. With rising tensions
between China and the US regarding the status of Taiwan and high-altitude
balloon incidents over North American airspace in February, there is a risk China
may stop exporting tungsten to the US, given the critical metals use in military
applications. Such a scenario could then lead to Pilot Mountain being fast
tracked towards production or an enhanced asset crystallisation event being
achieved in the short term.
The above opportunities seem to have been completely overlooked by investors,
given the current market cap of £6m and with the shares trading at a discount of
around 20% to the 8.5p IPO price last month. For the compelling reasons
explained above, we recommend the shares in Golden Metal Resources as a
‘Buy’.
Jason Robertson
D: +44 (0)20 7330 1883 E:jasonrobertson@firstequitylimited.com
*First Equity Limited acts as Broker to the Company. First Equity Limited, its clients and
staff members may be share and warrant holders in Golden Metal Resources plc.
Golden Metal Resources #GMET – Pilot Mountain: Significant Exploration Targets
Golden Metal Resources plc (LON:GMET), a mineral exploration company focused on tungsten, gold, copper and silver within Nevada, USA, is pleased to announce a significant outcome from the interpretation of results from the high-resolution induced polarisation (“IP”) geophysics survey completed over its 100% owned flagship Pilot Mountain Project (“Pilot Mountain” or the “Project”) located within the prolific Walker Lake Mineral Belt in Nevada, USA.
Highlights:
– Detailed analysis of the IP geophysics results have highlighted the presence of three significant undrilled exploration targets (1- Desert Scheelite Parallel West Zone; 2- Porphyry Depths Zone; and 3- Desert Scheelite East Extension Zone; collectively the “Targets”) which are highly prospective for further tungsten (“W”)-copper(“Cu”)-silver(“Ag”)-zinc(“Zn”) mineralisation.
– The Company considers that Pilot Mountain hosts the largest known undeveloped tungsten resource in the USA (with the US currently without any domestic primary tungsten production), and these newly identified targets indicate the potential for a significantly greater in-ground resource than currently known marking a significant uplift in Project potential.
– Any increase in potential mineralisation will further bolster the inherent value of the Project and its attractiveness as a target for non-dilutive grant funding for Project exploration and development, which the Company is actively working on at present.
Oliver Friesen, CEO of Golden Metal, commented:
“While it was the criticality and in-situ value of the W-Cu-Ag-Zn mineral resource that originally attracted us to Pilot Mountain, our due diligence highlighted considerable untapped exploration upside which is what ultimately led us to acquire 100% of the Project back in November 2021.
“Review of all historical data available highlighted several conceptual exploration targets, all of which lay under thin sand cover. As a result, we set out to complete IP geophysics over these targets and the results now received and presented herein have exceeded our expectations with three significant high-priority untested zones now successfully identified on our flagship Project.
“The scale of the opportunity presented to us as 100% owners of this advanced tungsten Project is large, and with these three new exploration targets now identified the opportunity has grown significantly.”
Detailed Overview:
1) Desert Scheelite Parallel West Zone (Figure 1)
o Mineralisation at Desert Scheelite (“DS”; Total Resource 10.7Mt @ 0.26% WO3, see Table 1) is hosted within a very well-defined resistivity low (conductivity high) geophysical feature that is mapped for approx. 500m in a generally east-west direction (see dark blue feature on Figure 1).
o The 2023 IP geophysical results have led to the discovery of the Desert Scheelite Parallel West Zone (“DSPW Zone”) which is defined by a resistivity low (conductivity high) with nearly identical geophysical characteristics to DS. The DSPW Zone is located approx. 200m to the north/north-west of DS and have never been drill tested. The 2023 IP results show that the DSPW Zone is larger than the DS Zone, and if drilling successfully proves that the DSPW Zone contains skarn-style W-Cu-Ag-Zn mineralisation, it would represent a highly significant discovery at Pilot Mountain.
2) Porphyry Depths Zone (Figure 2)
o The Good Hope (“GH”) and Desert Scheelite (“DS”) Zones are located approximately 1,400m apart. The area in between these two zones is blanketed by a thin layer of post-mineral sedimentary and basaltic cover which historically precluded effective exploration between these two zones (despite both zones displaying very similar skarn-type alteration and mineralisation).
o The 2023 IP geophysical results have successfully highlighted a significant geophysical feature which appears to broadly connect the DS and GH zones at depth. This feature is defined by a resistivity and chargeability high and as a result it is postulated that it is related to a porphyry intrusion at depth. Skarn-type systems are ultimately spatially related to porphyry mineral deposits at depth, and this newly identified geophysical zone may represent the ultimate source of W-Cu-Ag-Zn mineralisation found across the entire Pilot Mountain Project. As a result, the discovery of the Porphyry Depths Zone (“PDZ”)may represent a significant development at Pilot Mountain.
3) Desert Scheelite East Extension Zone (Figure 3)
o One of the furthest east historical drillholes completed at Desert Scheelite returned some of the strongest copper and tungsten mineralisation ever found at Pilot Mountain which includes 17.5m @ 1.8% Cu (incl. sub-interval of 13.9m @ 0.89% W03). Because of this, the previous operator in 2013 completed a two dimensional IP survey across and to the east of Desert Scheelite. The goal of this survey was to profile the eastern extension of mineralisation from the main Desert Scheelite Zone.
o Re-interpretation of these 2013 results by Golden Metal have clearly shown that the mineralisation at Desert Scheelite (Total Resource 10.7Mt @ 0.26% WO3) is strongly coincident with a resistivity low (conductivity high) signature which corroborates with the 2023 IP results (see DSPW Zone writeup). Review of the historical results highlight that the DS resistivity low signature extends for an additional circa 500m towards the southeast (dipping under cover) where it remains untested by drilling. This similarly represents a very high-priority exploration target for Golden Metal going forward.
Further Project Information
Overview
The Pilot Mountain tungsten-copper-silver-zinc Project is located approximately 200km southeast of Reno, in Nevada. Nevada ranked first in overall mining investment attractiveness in the Fraser Institute 2022 annual survey 1. The Project is located entirely on United States Bureau of Land Management (“BLM”) land – allowing for efficient and cost-effective permitting.
The 3,656-acre Project is centred around four existing mineral deposits including Garnet, Good Hope, Gunmetal and Desert Scheelite all which possess significant skarn-style W-Cu-Ag-Zn mineralisation.
The Desert Scheelite and Garnet deposits host a combined Mineral Resource Estimate (MRE) of 12.53Mt at 0.27% tungsten trioxide (“WO3“) with significant Cu-Ag-Zn credits (see Table 1). This in-ground resource is believed to be the largest and most advanced undeveloped tungsten resource located in the USA.
Table 1: Pilot Mountain Project Updated Mineral Resource Estimate, dated 13 December 2018 2
|
Resource |
Tungsten Tri-Oxide |
Silver |
Copper |
Zinc |
||||||
|
Mt |
Grade (%) |
Contained metal (t) |
Grade (g/t) |
Cont. metal (t) |
Grade (%) |
Cont. metal (t) |
Grade (%) |
Cont. metal (t) |
||
|
Desert Scheelite |
Ind. |
9.01 |
0.26 |
23,400 |
20.73 |
187 |
0.15 |
13,200 |
0.41 |
37,100 |
|
Inf. |
1.69 |
0.25 |
4,300 |
12.24 |
21 |
0.16 |
2,800 |
0.19 |
3,200 |
|
|
|
Total |
10.7 |
0.26 |
27,700 |
19.38 |
207 |
0.15 |
16,000 |
0.38 |
40,300 |
|
Garnet |
Ind. |
0 |
0 |
0 |
||||||
|
Inf. |
1.83 |
0.36 |
6,590 |
|||||||
|
|
Total |
1.83 |
0.36 |
6,590 |
||||||
|
Summary |
Ind. |
9.01 |
0.26 |
23,400 |
||||||
|
|
Inf. |
3.53 |
0.31 |
10,890 |
||||||
|
Total |
|
12.53 |
0.27 |
34,290 |
||||||
Notes: All figures are rounded to reflect appropriate levels of confidence. Apparent differences may occur due to rounding.
· Cut-off grade 0.15% WO₃
· Garnet deposit resource reported 22 May 2017. Thor Mining stated it is not aware of any information or data which would materially affect this previously announced resource estimate, and all assumptions and technical parameters relevant to the estimate remain unchanged.
· The estimates are considered by SRK Exploration Services Limited to be non-compliant with the JORC Code (2012) reporting standard due to insufficient disclosure of the technical and economic support for the cut-off assumptions applied and are therefore viewed as historical.
Development Potential
There is currently no known domestic United States primary tungsten production, and tungsten is classified as a strategic mineral by the United States Geological Survey (USGS) 3. Set against this backdrop, the Pilot Mountain Project is key strategic and defense metal deposit located on American soil.
Potential production viability was reinforced with a scoping study 4 commissioned by Thor Mining plc and completed in 2018 on the Project which indicated the potential for an initial 12-year operational life based on processing ore from an open pit at Desert Scheelite supplemented by potential production from Garnet.
Furthermore, previous independent metallurgical testwork on 694kg of mineralised rock from Pilot Mountain 5 highlighted strong metallurgical results including the successful production of two saleable concentrates (scheelite, and copper/silver) from a coarse grind treated by floatation or by flotation and wet high-intensity magnetic separators (“WHIMS”).
Shallow mineral resources at the Desert Scheelite and Garnet deposits may be amenable to shallow open-cut mining methods (as modelled in the 2018 scoping study) which would allow for rapid low-cost start-up costs.
Exploration Upside
The previous operator, Thor Mining plc, conducted a study which looked into exploration potential at Pilot Mountain. Thor Mining’s exploration targets were broken into Tier 1 and Tier 2 targets for which a total Exploration Target of 11.0 – 23.0Mt with an expected average grade of 0.3-0.5% WO3 was published 6 (see Table 2).
Table 2: Pilot Mountain Exploration Targets (stated by Thor Mining plc) 6
|
Target Type |
Size (Mt) |
Grade (WO3 %) |
Description |
|
Tier 1 Targets |
7-5 – 13.5 |
0.3 – 0.5 |
Based on historical drill intersections |
|
Tier 2 Targets |
3.5 – 9.1 |
0.3 – 0.5 |
Based on favourable geology and proximity to known mineralisation |
|
Total Exploration Target* |
11.0 – 23.0 |
0.3 – 0.5 |
Combined Tier 1 & 2 |
*Exploration Targets are conceptual in nature and there has been insufficient exploration to define a Mineral Resource. It is uncertain if further exploration will result in the determine of a Mineral Resource.
Considering the current Mineral Resource tonnage equates to 12.53Mt 2, should the exploration targets postulated be converted to Resources they could deliver a significant increase to the potential Pilot Mountain project value. The IP geophysics results presented today have further corroborated and supported the likelihood of proving up some of the Tier 1 and Tier 2 targets published historically.
Media
High-resolution versions of the below three figures can be found at the link below:
https://www.goldenmetalresources.com/pmgeophysical-survey/
Figure 1 – Desert Scheelite Parallel West (DSPW) Zone Resistivity Map. Eastern resistivity low (conductivity high) or dark blue feature is strongly coincident to W-Cu-Ag-Zn mineralisation found at the Desert Scheelite Zone which hosts the majority of the in-ground resource at Pilot Mountain (10.7Mt at 0.26% WO3). The sub-parallel, larger, dark blue zone (resistivity low/conductivity high) represents the undrilled DSPW Zone.
Figure 2 – Resistivity and Chargeability Cross-Sections across Porphyry Depths (PD) Zone. PD Zone is characterised by a slightly concave up resistivity and chargeability high which broadly connects the Good Hope (GH) and Desert Scheelite (DS) zones at depth.
Figure 3 – Desert Scheelite (East Extension) Target Zone. White lines represent resistivity low (conductivity high) that extends from known mineralisation at Desert Scheelite towards the east under cover where it has never been drill tested.
Property Ownership
Golden Metal holds a 100% interest in the Pilot Mountain Project through its wholly-owned Nevada-based operating companies BFM Resources Inc and Pilot Metals Inc.
Reference Notes:
1: Fraser Institute Annual Survey of Mining Companies, 2022, published 4 May 2023
(https://www.fraserinstitute.org/studies/annual-survey-of-mining-companies-2022 )
2: Thor Mining PLC, regulatory news announcement, ‘Increased Mineral Resource Estimate – Pilot Mountain Nevada USA’, dated 13 December 2018
( https://wcsecure.weblink.com.au/LSE_news/2018/12/13/Thormining_14158543.pdf )
2: News announcement: ‘The United States Geological Survey has released a new list of 50 mineral commodities critical to the U.S. economy and national security after an extensive multi-agency assessment’, 22 February 2022
( https://www.usgs.gov/news/national-news-release/us-geological-survey-releases-2022-list-critical-minerals )
4: Thor Mining PLC, regulatory news announcement, ‘Twelve Year Open Pit Life for Desert Scheelite
Pilot Mountain Scoping Study’, dated 7 September 2018
( https://wcsecure.weblink.com.au/LSE_news/2018/09/07/Thormining_14049369.pdf )
5: Unpublished metallurgical testwork report by Guangzhou Research Institute of Nonferrous Metals commissioned by Black Fire Minerals Ltd: ‘The Development of Separation Technology from the Pilot, Mountain Tungsten Project, Nevada, USA: Process Mineralogy Mineral processing Preliminary Testing’, dated 31 August 2013.
6: Thor Mining PLC, regulatory news announcement, ‘Development Plan Pilot Mountain Tungsten Project – Nevada USA’, dated 1 December 2014
( https://wcsecure.weblink.com.au/LSE_news/2014/12/01/Thormining_13057433.pdf )
COMPETENT PERSON STATEMENT
The technical information contained in this disclosure has been read and approved by Mr Nick O’Reilly (MSc, DIC, MIMMM, MAusIMM, FGS), who is a qualified geologist and acts as the Competent Person under the AIM Rules – Note for Mining and Oil & Gas Companies. Mr O’Reilly is a Principal consultant working for Mining Analyst Consulting Ltd which has been retained by Golden Metal Resources plc to provide technical support.
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 (which forms part of domestic UK law pursuant to the European Union (Withdrawal) Act 2018).
Forward Looking Statements
This announcement contains forward-looking statements relating to expected or anticipated future events and anticipated results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, competition for qualified staff, the regulatory process and actions, technical issues, new legislation, uncertainties resulting from potential delays or changes in plans, uncertainties resulting from working in a new political jurisdiction, uncertainties regarding the results of exploration, uncertainties regarding the timing and granting of prospecting rights, uncertainties regarding the timing and granting of regulatory and other third party consents and approvals, uncertainties regarding the Company’s or any third party’s ability to execute and implement future plans, and the occurrence of unexpected events.
Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors.
For further information visit www.goldenmetalresources.com or contact the following:
|
Golden Metal Resources plc Oliver Friesen (CEO) |
Tel: +44 (0) 20 7583 8304 |
|
Cairn Financial Advisers LLP Nominated Adviser Sandy Jamieson/Jo Turner/Louise O’Driscoll |
Tel: +44 20 7213 0880 |
|
First Equity Limited Broker Jonathan Brown/Jason Robertson |
Tel: +44 20 7374 2212 |
The Projects:
Pilot Mountain Project
The Pilot Mountain project is an advanced exploration and mineral resource definition stage project located in Mineral County in western Nevada. The project covers an area of 14.80 km2 (3,656.1 acres) and is located 200km southeast of Reno and 18km east of Mina, Nevada. It is well situated for the supply of power, water and skilled labour and proximity to transport infrastructure in Mineral County and is centred around four existing mineral deposits: Garnet; Good Hope; Gunmetal and Desert Scheelite, all of which possess significant skarn-style tungsten-copper-silver-zinc mineralisation. The Pilot Mountain project consists of 176 active lode mining claims and 4 filed mill site claims. The four mill site claims filed at the former Dunham mill site have secure access to groundwater supply sufficient for the proposed project.
Golconda Summit Project
Golden Metal is the operator of the Golconda Summit project, which is held under an earn-in right to acquire up to 100 per cent. of the project from the mineral claim owner pursuant to an option agreement. The Golconda Summit project is an exploration stage gold and silver project located in Humboldt County and situated at the confluence of the Getchell and Battle Mountain – Eureka metallogenic trends, and consists of 44 lode mining claims, covering a total area of approximately 3.22 km2 (795.4 acres) located approximately 27km east of Winnemucca.
Garfield Project
The Garfield project is an early exploration stage copper, gold and silver property consisting of 39 lode mining claims covering 3.23 km2 (797.9 acres) located in Mineral County, Nevada, approximately 14km due east of the town of Hawthorne and 120km due west-northwest of Tonopah.
Stonewall Project
The Stonewall project is an exploration stage gold-silver property prospective for epithermal gold-silver mineralisation. The property consists of 19 lode mining claims covering 1.59 km2 (392.5 acres) located on the northern flank of Stonewall Mountain, on the western edge of the Nellis Airforce Range Restricted Access Area, in Nye County, Nevada, approximately 24km south-east of the historic gold mining town of Goldfield and 60km due south of Tonopah.
Golden Metal Resources #GMET – Appointment of Strategic United States Government Advisor
Golden Metal Resources plc (LON:GMET), a mineral exploration company focused on tungsten, gold, copper and silver within Nevada, USA, announces the appointment of Mrs. Chang Oh Turkmani as a Strategic United States Government Advisor to the Company with immediate effect.
As Strategic United States Government Advisor to the Company, Mrs. Turkmani will be responsible for helping the company advance its critical minerals strategy within Nevada and the broader United States.
Golden Metal will be providing an update to the market in regards to its United States awards strategy shortly which will include further details on the awards process, timelines, and specific awards that the Company intends to pursue, with a particular focus on seeking US government supported funding for the Pilot Mountain Project.
Biography:
Mrs. Turkmani is a respected, multilingual businesswoman with extensive experience in the import and export of industrial commodities, as well as the mining, manufacturing, construction, energy trading, shipping, environmental remediation, renewable energy, and investment advisory industries. She leverages her expertise in investing in critical minerals ranging from lithium, cobalt, nickel, tungsten, and rare earths, government procurement, structuring major infrastructure projects, and strategic planning to help oversee corporate execution.
Mrs. Turkmani is Managing Director and Principal of The Mega Company, based in Washington, DC – a role she has held since 1990. The Mega Company is a private American development company and import and export business that principally deals with industrial raw materials and goods, including iron ore, metallurgical coal, rock phosphate and cement. She is Principal of American Construction Technologies, Mega Distribution and Key Logistics Centre, based in Bucharest, Romania, where she is responsible for the development, construction and management of one of the largest US developments in the highly specialized field of temperature-controlled warehouses and logistics. Mrs. Turkmani led the companies through significant organic growth and infrastructure development.
Other leadership roles include Managing Director at CDM Global, which is an environmental remediation and industrial waste management, environmental due diligence, permitting and impact assessment business, and Crest Energy, which is in the production of renewable energy and wholesale trading of electricity. Originally qualifying as a lawyer with Dow, Lohnes & Albertson, she moved to work for Patton, Boggs & Blow in Washington, DC.
She holds a Bachelor’s and a Master’s degree from Northwestern University and a Juris Doctorate from Georgetown University Law Center in Washington, DC where she has been Adjunct Professor of Law for more than 16 years teaching Pre-negotiation Strategies for Cross-Border Transactions. She is a qualified lawyer in the US, having specialised in International Trade, Cross-Border Negotiation, Due Diligence, and Dispute Resolution. She received a U.S. Presidential Appointment to be a Board member on the National Cancer Advisory Board, is a Board member of the American Romanian Business Council, and a Board Member and Finance Chair of Alianta – a U.S. non-profit organisation working to strengthen the cultural, economic and security ties between the United States and Romania. In addition to numerous accolades, she was knighted Dame by the Order of Knights Templar.
Oliver Friesen, CEO of Golden Metal, commented:
“Let me be the first to welcome Mrs. Turkmani to the Golden Metal team. She brings a wealth of experience and connections within Washington D.C. and the US Government which will be hugely valuable to Golden Metal as we rapidly push forward the defense and critical metals strategy of our flagship Pilot Mountain Project.
“Significant amounts of non-dilutive grant funding have recently been made available by various US government departments including the Department of Defense (DOD), Department of Commerce (DOC), Department of Energy (DOE) and Department of Minerals (DOM) among others. With Mrs. Turkmani now engaged as a Strategic United States Government Adviser to the Company, we look forward to rapidly advancing this strategy and communicating to the market the steps being taken in this regard.”
Further Details
Mrs. Turkmani will be paid a fee equivalent to £34,250 per annum and she is engaged for a 2 year period, with the possibility of extension. The total contract value over 2 years is therefore £68,500, to be satisfied through the issue to Ms. Turkmani of 805,882 new Golden Metal ordinary shares of 1.0p (“Ordinary Shares”) at an issue price of 8.5p per Ordinary Share (“Contract Shares”).
The issue price of the Contract Shares equates to Golden Metal’s share price on its admission to AIM on 10 May 2023.
Following issue of the Contract Shares, Mrs. Turkmani’s total interest in Golden Metal, including those acquired during the IPO financing by The Mega Company (which is beneficially owned by Mr Salah Turkmani, the husband of Mrs. Turkmani), will amount to 3,747,058 representing to 4.41% of the Company’s issued share capital.
Admission and Total Voting Rights
Application will be made for the 805,882 Contract Shares to be admitted to trading on AIM which is expected to occur on or around 9 June 2023 (“Admission”). The Contract Shares will rank pari passu in all respects with the existing Ordinary Shares currently traded on AIM.
Following Admission, the Company’s issued share capital will comprise 85,000,255 Ordinary Shares. This number will represent the total voting rights in the Company and may be used by shareholders as the denominator for the calculation by which they can determine if they are required to notify their interest in, or a change to their interest in, the Company under the Financial Conduct Authority’s Disclosure and Transparency Rules.
For further information visit www.goldenmetalresources.com or contact the following:
|
Golden Metal Resources plc Oliver Friesen (CEO) |
Tel: +44 (0) 20 7583 8304 |
|
Cairn Financial Advisers LLP Nominated Adviser Sandy Jamieson/Jo Turner/Louise O’Driscoll |
Tel: +44 20 7213 0880 |
|
First Equity Limited Broker Jonathan Brown/Jason Robertson |
Tel: +44 20 7374 2212 |
The Projects:
Pilot Mountain Project
The Pilot Mountain project is an advanced exploration and mineral resource definition stage project located in Mineral County in western Nevada. The project covers an area of 14.80 km2 (3,656.1 acres) and is located 200km southeast of Reno and 18km east of Mina, Nevada. It is well situated for the supply of power, water and skilled labour and proximity to transport infrastructure in Mineral County and is centred around four existing mineral deposits: Garnet; Good Hope; Gunmetal and Desert Scheelite, all of which possess significant skarn-style tungsten-copper-silver-zinc mineralisation. The Pilot Mountain project consists of 176 active lode mining claims and 4 filed mill site claims. The four mill site claims filed at the former Dunham mill site have secure access to groundwater supply sufficient for the proposed project.
Golconda Summit Project
Golden Metal is the operator of the Golconda Summit project, which is held under an earn-in right to acquire up to 100 per cent. of the project from the mineral claim owner pursuant to an option agreement. The Golconda Summit project is an exploration stage gold and silver project located in Humboldt County and situated at the confluence of the Getchell and Battle Mountain – Eureka metallogenic trends, and consists of 44 lode mining claims, covering a total area of approximately 3.22 km2 (795.4 acres) located approximately 27km east of Winnemucca.
Garfield Project
The Garfield project is an early exploration stage copper, gold and silver property consisting of 39 lode mining claims covering 3.23 km2 (797.9 acres) located in Mineral County, Nevada, approximately 14km due east of the town of Hawthorne and 120km due west-northwest of Tonopah.
Stonewall Project
The Stonewall project is an exploration stage gold-silver property prospective for epithermal gold-silver mineralisation. The property consists of 19 lode mining claims covering 1.59 km2 (392.5 acres) located on the northern flank of Stonewall Mountain, on the western edge of the Nellis Airforce Range Restricted Access Area, in Nye County, Nevada, approximately 24km south-east of the historic gold mining town of Goldfield and 60km due south of Tonopah.
Golden Metal Resources #GMET – Publication of Inaugural ESG Report
Golden Metal Resources plc (LON:GMET), a mineral exploration company focused on tungsten, gold, copper and silver within Nevada, USA, is pleased to announce the publication of its inaugural Environmental, Social and Governance (ESG) Report (the “Report”).
The link to the full Report can be found at the Company’s website:
https://www.goldenmetalresources.com/company/environmental-social-governance/
Highlights:
– The ESG Report published today includes data from the Company’s incorporation all the way until its admission to AIM on May 10, 2023. The data published will act as a benchmark for the Company as it now ramps up its exploration and development plans across its Nevada based project portfolio.
Oliver Friesen, CEO of Golden Metal, commented:
“Since our successful admission to AIM a few weeks ago, Golden Metal has been making positive strides across various work streams. This includes the recently published exploration results from our Garfield and Golconda Summit projects, and today, with the publication of our inaugural ESG report.
“In recent years, the global investment landscape has witnessed a profound shift towards ESG-focused investing, particularly in the mineral exploration and development sector. This shift has led investment houses to establish rigorous internal ESG criteria, which must be met before investment decisions are made.
“At Golden Metal, we believe in transparency when it comes to our ESG policies, not only because it is the right thing to do, but also because it is essential for best positioning ourselves to access a wide range of potential funding sources as we advance our strategy. By demonstrating our commitment to responsible ESG practices, we strengthen our credibility and attract investment partners who share our values.
“To that end, as 100% owners of the Pilot Mountain Project, which hosts one of the largest and most advanced undeveloped tungsten resources in the USA, we understand the strategic and critical nature of this venture. By adhering to industry leading ESG standards, we aim to maximize the positive impact of our activities and contribute to positive working relationships within the USA and Nevada where we are active.”
For further information visit www.goldenmetalresources.com or contact the following:
|
Golden Metal Resources plc Oliver Friesen (CEO) |
Tel: +44 (0) 20 7583 8304 |
|
Cairn Financial Advisers LLP Nominated Adviser Sandy Jamieson/Jo Turner/Louise O’Driscoll |
Tel: +44 20 7213 0880 |
|
First Equity Limited Broker Jonathan Brown/Jason Robertson |
Tel: +44 20 7374 2212 |
Golden Metal Resources #GMET – Golconda: Carlin-Type Gold Targets Identified
Golden Metal Resources plc (LON:GMET), a mineral exploration company focused on tungsten, gold, copper and silver within Nevada, USA, is pleased to announce exploration results from its Golconda Summit gold project (“Golconda”, “Golconda Summit Project” or the “Project”) located within the prolific Walker Lane Mineral Belt in Nevada, USA.
Highlights:
– Rock sampling results returned significant arsenic (As) anomalism – the main alteration element associated with Carlin-type gold systems, including:
o 11 of the 52 samples collected returned > 250ppm (or g/t) As, with an impressive 6 returning > 500ppm As (which represents the upper limit for the analytical method used); and
o both samples collected near the “Trench Zone” returned >500ppm As, this is located in the vicinity of historical trenches which yielded channel sample assay results of 7.6m @ 19.7g/t gold (Au) and 15.2m @ 7.1g/t Au.1
– Together these results further suggest the presence of a “feeder zone” and therefore the possibility that a Carlin-type gold system may exist within the Project at depth.
Oliver Friesen, CEO of Golden Metal, commented:
“Carlin-type gold systems represent globally important mineral deposits that are found almost exclusively within northern Nevada. Because of this, when we set out to build Golden Metal it was paramount to have an exciting Carlin-type gold opportunity within the portfolio, therefore allowing UK investors to get exposure to these very important gold systems.
“The results presented today give further support that a significant Carlin-type gold system may be present within the Project. With this important data now in hand we continue to work with our in-country geologist to develop and refine drill targets at Golconda.
“We look forward to providing further updates from Golconda in due course, as well as at our flagship Pilot Mountain Project where multiple technical and commercial workstreams are moving forward in tandem.”
Detailed Overview:
– Detailed geological mapping and rock sampling has recently been completed across the Golconda Summit Project, managed by Golden Metal’s (ex-Newmont) senior geological consultant. A total of 52 individual rock samples were taken and detailed mapping of the easterly dipping Golconda Thrust Fault (“Golconda Fault”) was completed. This fault represents an important conduit for mineralising fluid flow within northern Nevada.
– Of the samples collected across the Project, 11 returned >250ppm As, with 6 returning >500ppm As (which represents the upper limit for the analytical method used).
– Of the samples collected across the Golconda Fault, 6 returned >250ppm As, with 2 returning >500ppm As, highlighting the strong Carlin-type arsenic anomalism across this regionally important structural feature. This area has been named the “Thrust Zone”.
– Previous exploration on the Project by the Nerco Mineral Company is 1989 encountered significant gold mineralisation located within upper plate Havallah Sequence rocks at the “Trench Zone”, including surface mechanized trenching channel sample assay results of 7.6m @ 19.7g/t gold (Au) and 15.2m @ 7.1g/t Au.1 Both samples collected near to this zone returned >500ppm As.
– The presence of arsenic anomalism within the Trench and Thrust Zones suggests the presence of a ‘feeder zone’ at Golconda. A feeder zone would have allowed for carlin-type gold mineralisation to be remobilised from lower plate rocks below. Both of these zones represent priority targets for ongoing exploration at Golconda.
– Golconda is located within the same host rocks (Havallah Sequence upper plate rocks as well as lower plate Edna Mountain/Preble Formation and Antler Peak Limestones) as the nearby multi-million-ounce Turquoise Ridge, Lone Tree Complex, and Marigold gold mines (see Fig. 1).
Further Project Information
The Golconda Summit Project is underlain by a thrust faulted Palaeozoic sedimentary sequence which has been transported eastward to its present-day location along the major Golconda Thrust Fault. The preserved stratigraphic section includes the Antler Peak Limestone, Edna Mountain Formation and the Preble Formation (collectively “Lower Plate Rocks”), which are structurally capped by the Havallah Sequence (“Upper Plate Rocks”). Previous work has been primarily focused on surface anomalies within the Upper Plate Rocks, which are not a known host of Carlin-type mineralisation within Nevada; despite this, previous work by Nerco Mineral Company in 1989 encountered significant gold mineralisation within Upper Plate Rocks including trench sample results of 7.6m @ 19.7/t Au and 15.2m @ 7.1g/t Au, as well as shallow drilling results of 10.7m @ 3.1g/t Au.1
These results were believed to be caused by fluids remobilising gold mineralisation from favourable Lower Plate Rocks along sub-vertical and thrust fault structures leading to redeposition in the Upper Plate Rocks found at surface today. This hints at the significant potential that exists within the virtually untested Lower Plate Rocks found across the Project, directly below the Upper Plate Rocks. Most of the previous exploration at Golconda consisted of shallow, vertical drill holes which were terminated short of the more favourable Lower Plate Rocks. Only two holes penetrated through the Golconda Thrust fault testing only a short section of the upper Edna Mountain Formation.
The Antler Peak Limestone is a known host rock for both Carlin-type (Chimney Creek Mine) and replacement-skarn deposits (Fortitude and Phoenix Mines), the Edna Mountain Formation is the known host rock for the nearby Lone Tree Mine (see Figure 1), and the Preble Formation is host to the nearby Preble Mine, located less than 10km from the Project.
Using the newly acquired data, the Company is working with its in-State geological team to further refine its drill targets at Golconda. Golden Metal plans to be the first company to ever fully drill test the multiple prospective Lower Plate Rocks including the Antler Peak limestone, Edna Mountain and Preble Formations – all of which host Carlin-type gold deposits in Northern Nevada.
Media
Full size images are also available at the link below:
https://www.goldenmetalresources.com/golconda-summit-exploration-update/
Figure 1 – Carlin-Trend Regional Map
Figure 2 – Golconda Summit Property Map
Figure 3 – GS125 (253ppm As) taken from a quartz-carbonate veined outcrop along the Golconda Fault
Analysis
All rock samples were prepped and analysed at ALS USA Inc.’s laboratory in Elko, Nevada. Assays were determined using the analytical package ME-MS41 comprising aqua regia digestion with super trace inductively coupled plasma mass spectrometry (ICP-MS) analysis providing extremely low detection limits for analysis of rocks. A total of 41 elements were reported as part of this analysis. Gold determinations were completed using Au-AA23 which includes a 30g sample analysed via a Fire-Assay (FA) finish.
Property Ownership
Golden Metal holds an option to earn a 100% interest in the Golconda Summit Project through its wholly-owned Nevada operating company, Golden Metal Resources LLC.
COMPETENT PERSON STATEMENT
The technical information contained in this disclosure has been read and approved by Mr Nick O’Reilly (MSc, DIC, MIMMM, MAusIMM, FGS), who is a qualified geologist and acts as the Competent Person under the AIM Rules – Note for Mining and Oil & Gas Companies. Mr O’Reilly is a Principal consultant working for Mining Analyst Consulting Ltd which has been retained by Golden Metal Resources plc to provide technical support.
Reference Notes:
1Summary Report for the Golconda Summit Property Iron Point Mining District, Humboldt County, Nevada; unpublished report prepared for Carlin Gold Corporation and Toquima Minerals US Inc. by K. Brook, dated 4 April 2006.
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 (which forms part of domestic UK law pursuant to the European Union (Withdrawal) Act 2018).
Forward Looking Statements
This announcement contains forward-looking statements relating to expected or anticipated future events and anticipated results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, competition for qualified staff, the regulatory process and actions, technical issues, new legislation, uncertainties resulting from potential delays or changes in plans, uncertainties resulting from working in a new political jurisdiction, uncertainties regarding the results of exploration, uncertainties regarding the timing and granting of prospecting rights, uncertainties regarding the timing and granting of regulatory and other third party consents and approvals, uncertainties regarding the Company’s or any third party’s ability to execute and implement future plans, and the occurrence of unexpected events.
Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors.
For further information visit www.goldenmetalresources.com or contact the following:
|
Golden Metal Resources plc Oliver Friesen (CEO) |
Tel: +44 (0) 20 7583 8304 |
|
Cairn Financial Advisers LLP Nominated Adviser Sandy Jamieson/Jo Turner/Louise O’Driscoll |
Tel: +44 20 7213 0880 |
|
First Equity Limited Broker Jonathan Brown/Jason Robertson |
Tel: +44 20 7374 2212 |
The Projects:
Pilot Mountain Project
The Pilot Mountain project is an advanced exploration and mineral resource definition stage project located in Mineral County in western Nevada. The project covers an area of 14.80 km2 (3,656.1 acres) and is located 200km southeast of Reno and 18km east of Mina, Nevada. It is well situated for the supply of power, water and skilled labour and proximity to transport infrastructure in Mineral County and is centred around four existing mineral deposits: Garnet; Good Hope; Gunmetal and Desert Scheelite, all of which possess significant skarn-style tungsten-copper-silver-zinc mineralisation. The Pilot Mountain project consists of 176 active lode mining claims and 4 filed mill site claims. The four mill site claims filed at the former Dunham mill site have secure access to groundwater supply sufficient for the proposed project.
Golconda Summit Project
Golden Metal is the operator of the Golconda Summit project, which is held under an earn-in right to acquire up to 100 per cent. of the project from the mineral claim owner pursuant to an option agreement. The Golconda Summit project is an exploration stage gold and silver project located in Humboldt County and situated at the confluence of the Getchell and Battle Mountain – Eureka metallogenic trends, and consists of 44 lode mining claims, covering a total area of approximately 3.22 km2 (795.4 acres) located approximately 27km east of Winnemucca.
Garfield Project
The Garfield project is an early exploration stage copper, gold and silver property consisting of 39 lode mining claims covering 3.23 km2 (797.9 acres) located in Mineral County, Nevada, approximately 14km due east of the town of Hawthorne and 120km due west-northwest of Tonopah.
Stonewall Project
The Stonewall project is an exploration stage gold-silver property prospective for epithermal gold-silver mineralisation. The property consists of 19 lode mining claims covering 1.59 km2 (392.5 acres) located on the northern flank of Stonewall Mountain, on the western edge of the Nellis Airforce Range Restricted Access Area, in Nye County, Nevada, approximately 24km south-east of the historic gold mining town of Goldfield and 60km due south of Tonopah.
#POW Power Metal Resources PLC – Investee Update – #GMET Golden Metal Resources PLC
Power Metal Resources PLC (“Power Metal” or the “Company”) Investee Update – Golden Metal Resources PLC
Power Metal Resources PLC (LON:POW), the London listed exploration company seeking large-scale metal discoveries across its global project portfolio notes the announcement today by Golden Metal Resources PLC (LON:GMET)(“Golden Metal”) confirming significant copper systems identified at Golden Metal’s Garfield Project in Nevada USA.
An extract of Highlights from the announcement is provided in italics below:
Highlights:
– Discovery of two significant copper (Cu) zones which are now named the “Power Line Zone” (or “Power Line”) and “High-Grade Zone” (or “High-Grade”; collectively the “Zones”) which returned individual Cu-in-soil results of up to 851ppm and 950ppm Cu.
– Importantly, the newly discovered Zones are coincident with historical rock sampling results which returned up to 2.6% Cu at Power Line and 5.53% Cu at High-Grade, highlighting the significance of these newly defined copper mineralised systems at Garfield.
This announcement may be viewed through the following link:
Power Metal Holding in Golden Metal
Golden Metal completed a listing on the AIM market of the London Stock Exchange on 10 May 2023.
Power Metal holds 52,248,756 ordinary shares in Golden Metal (“Golden Metal Shares”)representing a 62.06% interest in the ordinary share capital of Golden Metal which, based on the closing market mid-price of Golden Metal on 19 May 2023, was valued at £4,049,279.
The total shareholding above is subject to a 12-month lock-in agreement prohibiting the sale of Golden Metal Shares until 10 May 2024, with a follow on further 12-month orderly market arrangement thereafter until 10 May 2025.
In addition to the shareholdings above, Power Metal holds 1,749,378 warrants to subscribe for a further 1,749,378 Golden Metal Shares at an exercise price of 10.75p per share and an expiry date of 10 May 2024. Power Metal also holds 1,749,378 warrants to subscribe for a further 1,749,378 Golden Metal Shares at an exercise price of 17.5p per share and an expiry date of 10 May 2025.
For further information please visit https://www.powermetalresources.com/ or contact:
|
Power Metal Resources plc |
|
|
Sean Wade (Chief Executive Officer) |
+44 (0) 20 3778 1396 |
|
SP Angel Corporate Finance (Nomad and Joint Broker) |
|
|
Ewan Leggat/Charlie Bouverat |
+44 (0) 20 3470 0470 |
|
SI Capital Limited (Joint Broker) |
|
|
Nick Emerson |
+44 (0) 1483 413 500 |
|
First Equity Limited (Joint Broker) |
|
|
David Cockbill/Jason Robertson |
+44 (0) 20 7330 1883 |
Golden Metal Resources #GMET – Garfield Project: Significant Copper Systems Identified
Golden Metal Resources plc (LON:GMET), a mineral exploration company focused on tungsten, gold, copper, silver and zinc within Nevada, USA, is pleased to announce the results of a high-resolution soil geochemical sampling survey completed over its 100% owned Garfield Project (“Garfield” or the “Project”) located within the prolific Walker Lane Mineral Belt in Nevada, USA.
Highlights:
– Discovery of two significant copper (Cu) zones which are now named the “Power Line Zone” (or “Power Line”) and “High-Grade Zone” (or “High-Grade”; collectively the “Zones”) which returned individual Cu-in-soil results of up to 851ppm and 950ppm Cu.
– Importantly, the newly discovered Zones are coincident with historical rock sampling results which returned up to 2.6% Cu at Power Line and 5.53% Cu at High-Grade, highlighting the significance of these newly defined copper mineralised systems at Garfield.
Oliver Friesen, CEO of Golden Metal, commented:
“While our admission to trading on AIM was completed less than two weeks ago, our exploration forward mandate at Golden Metal should be apparent with the release of these very positive results from Garfield, which have far exceeded our original expectations. It is important to note that the main focus remains on Pilot Mountain (tungsten) followed by Golconda Summit (gold), however, the results presented today should clearly highlight the depth, as well as quality, of our overall combined project portfolio.
“The original property acquired included only a small footprint covering the original Garfield showing. Fast forward to today, the Garfield Project has been expanded significantly from its original acquisition size and we have now identified two considerable copper zones. The newly named ‘Power Line’ and ‘High-Grade’ zones are strongly coincident with the anomalies identified by the Hyperspectral Analysis completed previously, confirming the effectiveness of this exploration tool. We have obtained Hyperspectral Analysis results for the broader district and can now look at additional exploration targets based on the confirmation of the results outlined here.
“We are looking forward to updating the market in due course with further updates from Garfield, as well as at Pilot Mountain, where we await final results from the induced polarisation survey completed there previously.”
Detailed Overview:
– The geochemical soil survey results have identified two distinct zones of significant copper anomalies:
o Power Line Zone – a northeast-southwest trending Cu-in-soil anomaly which extends for over 1,500m in length (remains open towards the southwest), located in the west of the Project area. The Power Line Zone connects up the original Garfield showing with a previously isolated zone located towards the southwest, where limited historical rock sampling results returned up to 2.6% Cu and 0.536g/t Au; and
o High-Grade Zone – a circa 1.5km by 0.8km Cu-in-soil anomaly (remains open towards north, south and east), located in the south east of the Project area and approximately 1 km southeast of the Power Line Zone. Limited historical rock sampling completed near what is now the western end of the High-Grade Zone returned up to 5.53% Cu, which highlights the potential of this large, newly defined copper mineralised system.
– Both newly discovered copper zones are of considerable size and both remain open in multiple directions within the Project’s current footprint. They are broadly coincident with mapped limestone, suggesting that the significant copper mineralised system now identified is possibly of skarn-type affinity..
– A single soil sample returned 0.83g/t Au which is located outboard of the newly discovered zones mentioned above. This result represents a very-high gold tenor for soil sampling within the district and further analysis of this area is required.
– Both newly discovered copper zones show strong coincidence with anomalies identified by the Hyperspectral Analysis completed in 2021. This supports the effectiveness of the previously completed analysis and Golden Metal will now review other strong anomalies identified within the district that may be open for staking.
Table 1 – Map highlighting the location of the Power Line and High-Grade Zones
Further Information
A total of 447 individual soil samples were collected at either 50m or 100m station spacing and along 100m spaced lines. The sample grid was set up to provide coverage over the original Garfield copper (Cu), silver (Ag) and gold (Au) showing (see attached map) located within the Garfield Project, as well as over two anomalies which were identified by a previously obtained and analysed Advanced Spaceborne Thermal Emission and Reflection Radiometer (ASTER satellite) and European Space Agency Sentinel-2 satellite datasets (“Hyperspectral Analysis” or the “Analysis”).
The previously obtained Hyperspectral Analysis results can be found at the link below:
Analysis
All soil samples were prepped and analysed at ALS’ laboratory in Reno, Nevada. Assays were determined using the analytical package ME-MS41 comprising aqua regia digestion with super trace inductively coupled plasma mass spectrometry (ICP-MS) analysis providing extremely low detection limits for analysis of soils. A total of 41 elements were reported as part of this analysis.
Property Ownership
Golden Metal holds a 100% interest in the Garfield Project through its wholly-owned Nevada operating company, Golden Metal Resources LLC.
COMPETENT PERSON STATEMENT
The technical information contained in this disclosure has been read and approved by Mr Nick O’Reilly (MSc, DIC, MIMMM, MAusIMM, FGS), who is a qualified geologist and acts as the Competent Person under the AIM Rules – Note for Mining and Oil & Gas Companies. Mr O’Reilly is a Principal consultant working for Mining Analyst Consulting Ltd which has been retained by Golden Metal Resources plc to provide technical support.
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 (which forms part of domestic UK law pursuant to the European Union (Withdrawal) Act 2018).
Forward Looking Statements
This announcement contains forward-looking statements relating to expected or anticipated future events and anticipated results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, competition for qualified staff, the regulatory process and actions, technical issues, new legislation, uncertainties resulting from potential delays or changes in plans, uncertainties resulting from working in a new political jurisdiction, uncertainties regarding the results of exploration, uncertainties regarding the timing and granting of prospecting rights, uncertainties regarding the timing and granting of regulatory and other third party consents and approvals, uncertainties regarding the Company’s or any third party’s ability to execute and implement future plans, and the occurrence of unexpected events.
Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors.
For further information visit www.goldenmetalresources.com or contact the following:
|
Golden Metal Resources plc Oliver Friesen (CEO) |
Tel: +44 (0) 20 7583 8304 |
|
Cairn Financial Advisers LLP Nominated Adviser Sandy Jamieson/Jo Turner/Louise O’Driscoll |
Tel: +44 20 7213 0880 |
|
First Equity Limited Broker Jonathan Brown/Jason Robertson |
Tel: +44 20 7374 2212 |
The Projects:
Pilot Mountain Project
The Pilot Mountain project is an advanced exploration and mineral resource definition stage project located in Mineral County in western Nevada. The project covers an area of 14.80 km2 (3,656.1 acres) and is located 200km southeast of Reno and 18km east of Mina, Nevada. It is well situated for the supply of power, water and skilled labour and proximity to transport infrastructure in Mineral County and is centred around four existing mineral deposits: Garnet; Good Hope; Gunmetal and Desert Scheelite, all of which possess significant skarn-style tungsten-copper-silver-zinc mineralisation. The Pilot Mountain project consists of 176 active lode mining claims and 4 filed mill site claims. The four mill site claims filed at the former Dunham mill site have secure access to groundwater supply sufficient for the proposed project.
Golconda Summit Project
Golden Metal is the operator of the Golconda Summit project, which is held under an earn-in right to acquire up to 100 per cent. of the project from the mineral claim owner pursuant to an option agreement. The Golconda Summit project is an exploration stage gold and silver project located in Humboldt County and situated at the confluence of the Getchell and Battle Mountain – Eureka metallogenic trends, and consists of 44 lode mining claims, covering a total area of approximately 3.22 km2 (795.4 acres) located approximately 27km east of Winnemucca.
Garfield Project
The Garfield project is an early exploration stage copper, gold and silver property consisting of 39 lode mining claims covering 3.23 km2 (797.9 acres) located in Mineral County, Nevada, approximately 14km due east of the town of Hawthorne and 120km due west-northwest of Tonopah.
Stonewall Project
The Stonewall project is an exploration stage gold-silver property prospective for epithermal gold-silver mineralisation. The property consists of 19 lode mining claims covering 1.59 km2 (392.5 acres) located on the northern flank of Stonewall Mountain, on the western edge of the Nellis Airforce Range Restricted Access Area, in Nye County, Nevada, approximately 24km south-east of the historic gold mining town of Goldfield and 60km due south of Tonopah.
Alan Green covers Premier African Minerals #PREM & Golden Metal Resources #GMET on this week’s Stockbox Research Talks
Alan Green covers Premier African Minerals #PREM & Golden Metal Resources #GMET on this week’s Stockbox Research Talks
#GMET Golden Metal Resources PLC – First Day of Dealings
Golden Metal Resources plc, a mineral exploration company focused on tungsten, gold, copper, silver and zinc within Nevada, USA, is pleased to announce that, at 08:00 today, its ordinary shares will commence trading on AIM under the ticker GMET. As part of the process of admission to trading on AIM (“Admission”), the Company has raised gross proceeds of £1.98m through the issue of 23,317,643 new ordinary shares of £0.01 each at a placing price of 8.5 pence per share, equating to a market capitalisation of £7.16 million on Admission.
Overview
The key strengths and attributes of Golden Metal can be summarised as follows:
Location:
The state of Nevada is a well-regarded, mining investment friendly jurisdiction. It was ranked third in the Fraser Institute’s global mining investment attractiveness index survey in 2021 and has a long history of mining and a strong mining and ancillary business support network. Nevada is one of the principal producers of precious metals in the world, with 25 precious metal mines currently in production, accounting for approximately 70 per cent. of the United States total gold production in 2020. In 2018 Nevada accounted for 83 per cent. of the US’s total gold production.
According to the Nevada Mining Association (2022), as of November 2021, 11,000 people were employed by the metal mining sector within the state, with a Nevada Gross Domestic Product contribution of US$3.2 billion in 2020.
Projects with Critical and High-Demand Minerals:
The Company’s 100% owned Pilot Mountain Project (“Pilot Mountain”) hosts a tungsten-copper-silver-zinc Mineral Resource Estimate (MRE) which includes 12.53Mt at 0.27% W03 (tungsten tri-oxide) with significant copper-silver-zinc credits. Tungsten is an in-demand and critical metal as outlined below:
· Tungsten is included in the British Geological Survey’s UK Critical Minerals list (2022), the US Geological Survey’s (USGS) Critical Minerals list (2022) and the European Commission’s Critical Raw Materials list (2020).
· The global demand for tungsten is forecast to rise annually (3-7 per cent. per annum according to the British Geological Survey) and is predicted to outstrip available supply, which is likely to place continued upward pressure on prices in the near-term.
Management Team:
A proven management team with:
· a broad spectrum of knowledge and capabilities;
· substantial technical and listed company experience; and
· extensive North American operating experience with connections to various in-country consulting teams.
Diverse Project Base:
The Golden Metal portfolio consists of four Nevada based projects (collectively the “Nevada Projects”) comprising the Pilot Mountain Project and three exploration stage projects: the Golconda Summit Project (gold), the Garfield Project (copper-gold-silver) and the Stonewall Project (gold-silver).
The Nevada Projects are all well located within major metallogenic belts containing active, globally important precious- and base-metal mining operations. All the assets have favourable geology which is prospective for skarn, carlin, epithermal and porphyry deposit types. The portfolio is focussed on tungsten, gold, silver and base metal mineralisation.
In particular, the Pilot Mountain Project offers significant exploration upside potential as well as the opportunity for Golden Metal to de-risk the Project on a number of fronts. These include building on the existing MRE, furthering and updating technical studies relating to the potential development of the known resources, further permitting, making relevant grant applications, including to the DOD Defence Production Act (DPA) Title III grant office as well as commodity marketing and further metallurgical studies.
In total, the Nevada Projects cover a combined area of approximately 22.83 km2.
Oliver Friesen, CEO of Golden Metal, commented:
” Golden Metal’s admission to AIM comes at a time when it is clear that the world needs more critical, precious-and base-metals. This represents an exciting opportunity for a company such as ours with ownership of four diverse exploration and development assets located wholly within one of the top mining jurisdictions in the world. I believe that our Pilot Mountain Project, with its tungsten MRE, offers the greatest potential for exploitation, given that the US currently has no domestic primary production of the metal and is looking to reduce its heavy reliance on imports of critical metals from China. We are looking forward to actively pushing forward various exploration and corporate developments both within the US and UK and will provide further updates to the market on these various plans in due course.
I would like to thank all of the Golden Metal team and pre-IPO investors for their patience as we methodically worked through the various exploration and corporate developments which have led the Company to the exciting position it is in now. “
Background
Golden Metal is a mineral exploration company focused on tungsten, gold, copper, silver and zinc within Nevada, USA. It was established for the purpose of holding all of the Nevada mining assets of Power Metal Resources plc (“Power Metal”) and progressing the exploration and development of those assets. The Company holds four mining assets comprising the 100% owned Pilot Mountain, Garfield and Stonewall Projects together with an earn in option over the Golconda Summit Project. Each Project consists of unpatented lode mining claims located entirely on land managed by the United States Bureau of Land Management.
The Directors believe that the combination of a suite of high-quality, diversified Nevada based mining assets within a single, US-focused AIM-quoted vehicle creates a compelling investment opportunity. It is their opinion that the Nevada Projects hold several underexplored, highly prospective tungsten, gold, copper, silver and zinc exploration targets. The Directors consider that the Pilot Mountain Project has the potential to increase its existing tungsten focused MRE and to expand on multiple tungsten, copper, silver and zinc-rich zones identified by minimal historical drilling. In addition, the Directors consider that the Golconda Summit Project has the potential for a major gold discovery to follow the identification of significant surface gold mineralisation during a 1989 trenching programme. Accordingly, the Company’s exploration focus will be on these two projects but the Directors also believe there is potential value to be realised at the Garfield and Stonewall Projects.
On 8 April 2022, the Company raised £750,000 through a pre-IPO Financing at a price of 6.67 pence per Ordinary Share, following which Power Metal held 83.13 per cent. of the existing ordinary shares. On Admission, Power Metal will hold 62.1 per cent. of the Company’s enlarged share capital.
Placing, Subscription, Acquisition and Use of Proceeds
The Company has raised gross proceeds of £1,982,000 through a placing and subscription through the issue of 12,449,208 Placing Shares and 10,868,435 Subscription Shares at a price of 8.5 pence per share.
The net proceeds from the Placing and Subscription will be used by the Company to:
· provide funding for the Company to further explore and develop the Nevada Projects; and
· provide the Company with ongoing working capital to support its business operations.
Warrants
Together with every two Placing Shares and every two Subscription Shares, each Placee and Subscriber will also be granted one warrant entitling the holder to subscribe for one further new Ordinary Share at 10.75 pence per Ordinary Share, for a period of 12 months from Admission, and one warrant entitling the holder to subscribe for one further new Ordinary Share at 17 pence per Ordinary Share, for a period of 24 months from Admission. Further details of the warrants are set out in Part VI of the Company’s AIM admission document.
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 (which forms part of domestic UK law pursuant to the European Union (Withdrawal) Act 2018).
Forward Looking Statements
This announcement contains forward-looking statements relating to expected or anticipated future events and anticipated results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, competition for qualified staff, the regulatory process and actions, technical issues, new legislation, uncertainties resulting from potential delays or changes in plans, uncertainties resulting from working in a new political jurisdiction, uncertainties regarding the results of exploration, uncertainties regarding the timing and granting of prospecting rights, uncertainties regarding the timing and granting of regulatory and other third party consents and approvals, uncertainties regarding the Company’s or any third party’s ability to execute and implement future plans, and the occurrence of unexpected events.
Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors.
For further information visit www.goldenmetalresources.com or contact the following:
|
Golden Metal Resources plc Oliver Friesen (CEO) |
Tel: +44 (0) 20 7583 8304 |
|
Cairn Financial Advisers LLP Nominated Adviser Sandy Jamieson/Jo Turner/Louise O’Driscoll |
Tel: +44 20 7213 0880 |
|
First Equity Limited Broker Jonathan Brown/Jason Robertson |
Tel: +44 20 7374 2212 |
The Projects:
Pilot Mountain Project
The Pilot Mountain project is an advanced exploration and mineral resource definition stage project located in Mineral County in western Nevada. The project covers an area of 14.80 km2 (3,656.1 acres) and is located 200km southeast of Reno and 18km east of Mina, Nevada. It is well situated for the supply of power, water and skilled labour and proximity to transport infrastructure in Mineral County and is centred around four existing mineral deposits: Garnet; Good Hope; Gunmetal and Desert Scheelite, all of which possess significant skarn-style tungsten-copper-silver-zinc mineralisation. The Pilot Mountain project consists of 176 active lode mining claims and 4 filed mill site claims. The four mill site claims filed at the former Dunham mill site have secure access to groundwater supply sufficient for the proposed project.
Golconda Summit Project
Golden Metal is the operator of the Golconda Summit project, which is held under an earn-in right to acquire up to 100 per cent. of the project from the mineral claim owner pursuant to an option agreement. The Golconda Summit project is an exploration stage gold and silver project located in Humboldt County and situated at the confluence of the Getchell and Battle Mountain – Eureka metallogenic trends, and consists of 44 lode mining claims, covering a total area of approximately 3.22 km2 (795.4 acres) located approximately 27km east of Winnemucca.
Garfield Project
The Garfield project is an early exploration stage copper, gold and silver property consisting of 39 lode mining claims covering 3.23 km2 (797.9 acres) located in Mineral County, Nevada, approximately 14km due east of the town of Hawthorne and 120km due west-northwest of Tonopah.
Stonewall Project
The Stonewall project is an exploration stage gold-silver property prospective for epithermal gold-silver mineralisation. The property consists of 19 lode mining claims covering 1.59 km2 (392.5 acres) located on the northern flank of Stonewall Mountain, on the western edge of the Nellis Airforce Range Restricted Access Area, in Nye County, Nevada, approximately 24km south-east of the historic gold mining town of Goldfield and 60km due south of Tonopah.
Power Metal Resources #POW – Release of Schedule One for Golden Metal Resources #GMT
Power Metal Resources PLC (LON:POW), the London listed exploration company seeking large-scale metal discoveries across its global project portfolio is pleased to announce the release today by AIM of a Schedule One announcement in respect of Golden Metal Resources PLC (“Golden Metal”), a link to which is provided below:
http://www.rns-pdf.londonstockexchange.com/rns/6686W_1-2023-4-18.pdf
Sean Wade, Chief Executive Officer of Power Metal Resources PLC commented: “I am very pleased to be able to update shareholders that the Golden Metal IPO is progressing.
Further information in respect of Power Metal’s interest in Golden Metal on admission to trading on AIM, the total IPO equity placing amount, market capitalisation and other important information is expected to be forthcoming in due course. POW will make further announcements as appropriate.”
Shareholders wishing to learn more about Golden Metal, may review the company’s website through the following link:
https://www.goldenmetalresources.com/
This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 (“MAR”), and is disclosed in accordance with the Company’s obligations under Article 17 of MAR.
For further information please visit https://www.powermetalresources.com/ or contact:
|
Power Metal Resources plc |
|
|
Sean Wade (Chief Executive Officer) |
+44 (0) 20 3778 1396 |
|
SP Angel Corporate Finance (Nomad and Joint Broker) |
|
|
Ewan Leggat/Charlie Bouverat |
+44 (0) 20 3470 0470 |
|
SI Capital Limited (Joint Broker) |
|
|
Nick Emerson |
+44 (0) 1483 413 500 |
|
First Equity Limited (Joint Broker) |
|
|
David Cockbill/Jason Robertson |
+44 (0) 20 7330 1883 |
NOTES TO EDITORS
Power Metal Resources plc – Background
Power Metal Resources plc (LON:POW) is an AIM listed metals exploration company which finances and manages global resource projects and is seeking large scale metal discoveries.
The Company has a principal focus on opportunities offering district scale potential across a global portfolio including precious, base and strategic metal exploration in North America, Africa and Australia.
Project interests range from early-stage greenfield exploration to later-stage prospects currently subject to drill programmes.
Power Metal will develop projects internally or through strategic joint ventures until a project becomes ready for disposal through outright sale or separate listing on a recognised stock exchange thereby crystallising the value generated from our internal exploration and development work.
Value generated through disposals will be deployed internally to drive the Company’s growth or may be returned to shareholders through share buy backs, dividends or in-specie distributions of assets.