Power Metal Resources plc has expanded its Canadian gold portfolio with a new project covering three individual interests in Hemlo North, Ontario.
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The company has signed an agreement to acquire three contiguous exploration sites of Roger Lake with 50 claims, Olga Lake (42) and Dotted East (30), covering a total 25.82km2.
The projects are east and adjacent to Panther Metals’ Dotted Lake property where surface sampling confirmed 18.9g/t gold.
Power Metal said that the acquisition presented an early-stage exploration opportunity for gold and base metal mineralisation across an underexplored part of the Hemlo-Schreiber greenstone belt.
Planned preliminary exploration includes remote sensing data interpretation and ground-based fieldwork.
Soil sampling and geophysics are expected to yield defined targets for future drill testing.
Chief executive Paul Johnson added that competition for projects was highly competitive and attracted significant investment from Canadian-listed junior explorers.
The claims are valid between 24 July to 12 December 2022 after which renewal on an annual basis is subject to an aggregate work spend of C$48,800 (£28,113) prior to the renewal dates.
The vendors are established local prospectors who will locally manage the project and identify new opportunities.
Acquisition costs of C$120,000 (£69,130) comprise C$60,000 cash and C$60,000 in 1.15 million new ordinary shares of 0.1p each in Power Metal at an issue price of 3 pence per share.