TIDMPOW
RNS Number : 1281V
Power Metal Resources PLC
09 December 2021
9 December 2021
Power Metal Resources PLC
("Power Metal" or the "Company")
Golden Metal Resources - Pre-IPO Financing GBP750,000
Power Metal Subsidiary Golden Metal Resources Raises GBP750,000
in Pre-IPO Financing to Fund its Planned IPO and Operational
Expenses
Power Metal Resources PLC (LON:POW) the London listed
exploration company seeking large-scale metal discoveries across
its global project portfolio, announces its wholly-owned subsidiary
Golden Metal Resources Limited ("Golden Metal" or "GMT") has
completed its GBP750,000 Pre-IPO financing ("Financing").
Golden Metal is a Nevada, USA, focused exploration and
development company and is undertaking a planned listing on the
London capital markets in 2022.
The latest exploration update in respect of Golden Metal is
available through the following link:
https://www.londonstockexchange.com/news-article/POW/golden-metal-resources-exploration-update/15229671
Paul Johnson, Chief Executive Officer of Power Metal Resources
plc commented:
"With Golden Metal Resources we have created an attractive
Nevada, USA, focused investment opportunity, which we plan to list
on the London capital markets as soon as possible.
The Nevada portfolio is carefully balanced, including the Pilot
Mountain project which hosts a substantial JORC compliant tungsten
focused resource, (with copper, silver and zinc in addition) which
we believe has significant exploration potential and development
upside.
The portfolio also includes Golconda Summit, where Golden Metal
can earn a 100% interest, positioned in a neighbourhood of dramatic
Carlin-style gold deposits and where our initial exploration work
has indicated the potential for a significant gold discovery.
The Financing announced today means Golden Metal becomes
self-financed and Power Metal will no longer be required to fund
Golden Metal operations but instead will be a major strategic
Golden Metal shareholder.
Alongside self-financing, Golden Metal has its own dedicated
management team with broad spectrum knowledge and capabilities, and
above all with the energy and focus to drive this exciting new
junior exploration opportunity forward within the London
markets."
HIGHLIGHTS:
- Capital restructuring of Golden Metal share capital underway
to enable additional shares to be issued and to amend the
underlying Par Value in readiness for the planned listing of Golden
Metal ("Restructuring").
- Golden Metal has raised GBP750,000 through a Pre-IPO financing
undertaken with First Equity Limited, corporate broker, at a price
of 6.67p per Golden Metal new ordinary share of 1 pence each
("Ordinary Share), which will represent 18.75% of the issued share
capital of Golden Metal on completion of the Restructuring and the
Financing.
- 50% of Financing monies will be payable to Golden Metal by
31.12.21 and 50% by 31.01.22 whereupon Financing completion will
occur ("Completion") and shares will be issued to Financing
participants.
- Power Metal has subscribed for GBP75,000 of the Financing,
subscribing for 1,124,437 Ordinary Shares ("POW Subscription").
- Following the Restructuring and completion of the Financing,
Power Metal will hold a total of 49,874,437 Ordinary Shares
representing 83.13% of Golden Metal.
- On the basis of issued share capital on completion of the
Restructuring and Pre-IPO Financing the valuation of Golden Metal
will be circa GBP4million, and Power Metal's 83.13% holding will be
valued at circa GBP3.33million.
- The monies raised enable Golden Metal to fully self-finance
its operations including IPO listing advisory costs, corporate
expenses and various project expenditures.
- Paul Johnson, Chief Executive Officer of Power Metal and
director of Golden Metal has subscribed for GBP50,000 (749,625
Ordinary Shares) in the Financing.
- Should Golden Metal not be listed on a recognised stock
exchange in London within 12 months of today's date, subscribers to
the Financing may elect to sell back their Golden Metal shares to
Power Metal at the financing price of 6.67p, with the number of
Power Metal shares to be issued based on the ten day volume
weighted average price of Power Metal shares immediately prior to
the 12 month anniversary ("Buyback Right") of today's date. Paul
Johnson, CEO of Power Metal, has elected to relinquish this Buyback
Right. Power Metal will also not hold the Buyback Right.
- No warrants are included automatically with the Financing,
however should warrants be offered as part of the planned IPO
financing, participants in this Pre-IPO Financing will receive
warrants on the same terms.
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
Paul Johnson (Chief Executive Officer) +44 (0) 7766 465 617
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 (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.
Power Metal Exploration Programmes Underway/Results Awaited
Power Metal has exploration programmes completed or underway,
with results awaited, as outlined below:
Project Location POW % Work Completed Results Awaited
or Underway
Alamo Gold USA Earn-in Excavation of multiple Field results from
Project to 75% test pits and mapping on-site work programme.
& sampling.
---------- ---------- -------------------------- -------------------------
Athabasca Canada 100% Phase I field exploration Laboratory assay
Uranium completed results of samples
collected for uranium
and REEs
---------- ---------- -------------------------- -------------------------
Authier North Canada Earn-in Soil & rock sampling Laboratory assay
Lithium to 100% completed results of samples
collected
---------- ---------- -------------------------- -------------------------
Ditau Project Botswana 50% Preparatory exploration Field programme
work underway on findings and defined
target I10 leading drill targets for
to planned accelerated near term drilling.
drilling targeting
rare-earth elements
and base metals
---------- ---------- -------------------------- -------------------------
Kalahari Copper Botswana 50% Exploration programme Field programme
Belt underway across findings and defined
the South Ghanzi drill targets for
Project and further near term drilling
exploration at
the more recently
acquired South
Ghanzi Extension
and Mamuno licence
areas
---------- ---------- -------------------------- -------------------------
Molopo Farms Botswana 53% Kavango Option Results from various
to acquire an interest work activities
in local project underway as part
holding company. of the Kavango
Option fee payable Option
through defined
work programme
---------- ---------- -------------------------- -------------------------
Tati Gold/Nickel Botswana 100% Reverse circulation Laboratory assay
drill programme results awaited
completed
---------- ---------- -------------------------- -------------------------
Victoria Goldfields Australia 49.9% Ongoing exploration Results from field
across 848km(2) programme including
of granted exploration drill targets for
licences near term drilling
---------- ---------- -------------------------- -------------------------
Wallal Gold/Copper Australia 83.33%(1) Passive seismic Results awaited
Project and 2D seismic
processing work
programme completed
---------- ---------- -------------------------- -------------------------
(1) assuming all licences held by URE Metals Pty Limited are
granted as outlined in the Company's announcement of 19.11.21
resulting in the issue of First Development Resources Limited
shares to vendors.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
MSCFSDFSUEFSEFE
(END) Dow Jones Newswires
December 09, 2021 05:16 ET (10:16 GMT)
African Battery Metals (LSE:ABM)
Historical Stock Chart
From Mar 2024 to Apr 2024
African Battery Metals (LSE:ABM)
Historical Stock Chart
From Apr 2023 to Apr 2024
