Power Metal

Insider Warrant Extension

RNS Number : 3307F
Power Metal Resources PLC
18 March 2022

18 March 2022

Power Metal Resources PLC

("Power Metal" or the "Company")

Insider Warrant Extension


Power Metal Resources plc (LON:POW),  the London listed exploration company seeking large-scale metal discoveries across its global project portfolio, announces an extension of December 2019 financing warrants held by Paul Johnson and Edmund Shaw, Directors of the Company (the "Insider Warrants").

Extension of Insider Warrants

As 17 March 2022 the following Insider Warrants remained outstanding:

Warrant Holder

Number of Warrants

Exercise Price

Paul Johnson



Ed Shaw




The Insider Warrants were issued following participation in the December 2019 financing and had an original expiry date of 17 December 2021 which was extended by 3 months to 17 March 2022 as announced on 17 December 2021.

The Company is undertaking numerous exploration programmes and corporate activities across its portfolio where current and near term expected work streams include:

North America:

-  Progression of the First Class Metals plc and Golden Metal Resources plc listing processes, and administrative matters related thereto.


-  Commercialisation activities in respect of the Silver Peak project in British Columbia, Canada.


-  Technical data compilation review across five of the Company's seven uranium exploration projects surrounding the Athabasca Basin, Saskatchewan, Canada, and commercialisation activities in respect of the Athabasca uranium portfolio.


-  Technical review of the Authier North Lithium project, including additional information following publication of an updated Mineral Resource by neighbour Sayona Mining1


-  Matters in relation to the Kavango Resources plc option to acquire Kalahari Key Mineral Exploration Pty Limited and become a Molopo Farms Complex ("MFC") project partner with Power Metal (expiry 18.3.22) and development of next stage exploration plans for the MFC project.


-  For the Tati Project in Botswana targeting gold/nickel, receipt and technical review of assay results from the completed reverse circulation programme, potential additional assay testing and various commercial matters relating to the Tati Project.


-  Preparations in Botswana for upcoming drill programmes at the Ditau Camp Project targeting rare earth elements and the Kalahari Copper Belt Project targeting copper/silver mineralisation.


-  For the Haneti Project in Tanzania, receipt and technical review of assay results following the completed diamond drill programme.



-  For the Victoria Goldfield's project in Victoria, Australia, exploration field updates and the receipt and review of assay results from a diamond drill programme. Also, progression of the listing process for the project holding company, New Ballarat Gold Corporation plc, and administrative matters related thereto.


-  Findings from the field reconnaissance site visits currently underway for the Wallal Project in Western Australia and Selta Project in the Northern Territory.  In addition, findings from in-depth desktop reviews of the Ripon Hills and Braeside West projects in Western Australia. Also, progression of the listing process for the projects holding company, First Development Resources Limited, and administrative matters related thereto.


As a result, the December 2019 Warrants held by Paul Johnson (Chief Executive Officer of Power Metal) and Ed Shaw (Non-executive Director of Power Metal) could not be exercised by the expiry date of 17 March 2022 and may be extended under the warrant instrument, as outlined below.

Under the December 2019 Warrant instrument clause 2.3 provides that should any December 2019 Warrant holder be in the possession of price sensitive information and be thereby precluded from exercising warrant subscription rights, the exercise period shall be extended until 20 business days following the date on which the Warrant holder ceases to be an insider.

Given the level of ongoing operational activity there is a material likelihood that the receipt of price sensitive information could frequently restrict the ability of Paul Johnson and Ed Shaw to exercise the December 2019 warrants.

Reflecting the above the Company has extended the Insider Warrants expiry date by three months to a new expiry date of 17 June 2022.




Related Party Note


The extension of the Insider Warrants held by Paul Johnson and Ed Shaw as outlined above, have been treated as related party transactions for the purposes of AIM Rule 13.

Scott Richardson Brown being the independent Director for the purposes of the extension of the expiry date of the Insider Warrants held by Paul Johnson and Ed Shaw considers, having consulted with the Company's nominated adviser, SP Angel, that the extension of the warrant expiry date to 17 June 2022 to such related parties is fair and reasonable insofar as the Shareholders are concerned.


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



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.

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