Power Metal Resources plc said it would focus more on creating value from its existing interests rather than on acquisitions during the remainder of 2023.
NEW PHASE
In the group’s audited financial results for the year ended 30 September 2022, Power Metal chief executive Paul Johnson added that operational targets for 2023 included “proactive exploration work” for multiple large-scale metal discoveries.
“Our focus now turns to value generation through ongoing exploration of retained interests, and through completion of those corporate activities in process, or planned.
“The next financial year we intend to report mainly on that value generation, rather than undertaking further acquisitions and therefore the business will move to a distinctly new phase in its life cycle.”
Any new acquisitions will be for uranium or lithium opportunities.
FINANCES
The company reported total comprehensive loss after tax of £137k (2021: loss of £622k), partly due to to the capital contribution on completion of the capital reorganisation of the Golden Metal Resources plc group.
The figure also reflected a rise in administration costs from increased business activities particularly in connection with the costs of planned spin-out IPO listings.
The group ended its financial year with £1.56 million cash (2021: £1.28m) with the group funding exploration through the issue of shares to raise cash.
Power Metal received £2.07m from fundraising, £1.06m from the exercise of warrants, £0.03m from the exercise of options and £2.15m relating to the acquisitions of various investments and projects.
The company also holds listed company shares and warrants (cash equivalents), representing a further pool of accessible cash available on the sale of shares in listed companies.
ESG
Power Metal also developed its internal environment, social and governance (ESG) policies and procedures to codify many of the practices in place at the company and introduce new initiatives.
“The company will continue to prudently invest in the regions in which we have business activities, in support of the communities where we operate.
“As an early-stage company, Power Metal is keen to employ workers from the areas in which we operate, and to operate in a safe, responsible and reasonable manner.”