Aim-listed metals exploration and development company Power Metal Resources has completed the drilling of the first hole at Kalahari Key Mineral Exploration's Molopo Farms Complex (MFC) project, in Botswana.
The exploration project – which involves a planned 2 505 m four-hole programme – is targeting prospective massive nickel sulphide and platinum-group metal (PGM) mineralisation, and has, thus far achieved target depth of 520 m with near 100% core recovery.
Power Metal has an 18.26% shareholding in Kalahari Key and has elected to earn in to a 40% direct interest in the MFC project by funding $500 000 of exploration expenditure this year, notably the diamond drilling of selected targets.
On completion of the earn-in, and on the basis of the current 18.26% shareholding in Kalahari Key, Power Metal will have an effective economic interest of 50.96% in the MFC project.
In respect of the earn-in spend, Power Metal has, to date, sent cash payments for initial expenses of $133 641 to Kalahari Key, leaving a balance of $366 359 remaining.
The suite of rocks encountered in the first drill hole, KKME 1-14, has confirmed the proposition that the geology at the MFC project is that of a feeder zone. About 167 m of ultramafic rock – a potential host for PGMs and nickel – has been encountered below an altered contact around 41 m down hole. Going forward, samples are being prepared and sent for assay testing.
Power Metal CEO Paul Johnson says that, for the MFC project, Power Metal has successfully and significantly validated the geological proposition that the geology at the project is that of a feeder zone. “We have some important work to undertake using the core from KKME 1-14 which includes field-based core review and sample preparation for assay testing. We are also to undertake downhole geophysics shortly to confirm the conductive structures at depth.”
While the analysis of the core and down hole geophysics is being carried out at KKME 1-14, and to keep the programme running efficiently, Power Metal will now move the drill rig to the second hole location where drilling is expected to commence imminently.