Shares of AIM-listed Power Metal Resources (LON: POW) are climbing on Friday after the company said it is “extremely pleased” with the exploration progress made by its joint venture partner Kavango at the South Ghanzi copper-silver project in Botswana.
The South Ghanzi Project is focused on exploration for copper-silver deposits on the Kalahari Copper Belt, Botswana.
The company said that following the completion of over 1,200 line-km of airborne electromagnetic (AEM) geophysics survey flown by SkyTEM Surveys ApS over South Ghanzi, the results of AEM data processing and interpretation have delineated seven conductive anomalies constituting high priority targets for further work.
Ground-based investigation of AEM conductive anomalies delivered encouraging results, Power Metal told investors.
“Where existing soil sampling results coincide with an AEM anomaly there is a close positive correlation between elevated copper and zinc results in soil geochemistry, a conductive anomaly and regional geological mapping,” stated Power Metal.
Lines from the soil geochemical survey will now be extended to provide further coverage and resolution.
The data, along with geological logging of existing water borehole rock chips, the AEM results, and further geological modelling, will help pinpoint the placement of drill holes in a planned programme to test emerging high priority targets for copper mineralisation later in the year.
Paul Johnson, Chief Executive Officer of Power Metal Resources, commented: “We are extremely pleased with the exploration progress made by our joint venture partner Kavango at the South Ghanzi copper-silver project, centrally located within the burgeoning Kalahari Copper Belt.
“The exploration work completed over the last 12 months at South Ghanzi has been carried out in a systematic and disciplined manner which has paid off with the discovery of at least seven highly compelling exploration and drill targets.
“Power is particularly encouraged by the 4km x 4km Acacia target, as it possesses not only a high conductivity signature detected by the AEM survey, but also almost perfectly coincident Zn- and Cu-in-soil anomalies, which are key signatures typical of nearby copper-silver discoveries within the Belt.”
Power Metal Resources shares jumped to highs of 2.53p following today's announcement. They are currently trading at 2.45p, up 4.26%.
Power Metal Resources shares are traded on the London stock exchange's AIM market (the alternative investment market), which is the submarket specifically for smaller companies. AIM stocks are attractive to investors as they have tax advantages and smaller companies have the potential to benefit from rapid growth. But are POW shares the best buy? Our stock market analysts regularly review the market and share their picks for high growth companies
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage . 68 % of retail investor accounts lose money when trading CFDs with this provider . You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money .
The AskTraders Analyst Team features experts in technical and fundamental analysis, as well as traders specializing in stocks, forex, and cryptocurrency.