Power Metal Resources plc said that drilling results had failed to show economically significant intersections of nickel at Haneti in central Tanzania.
LITHIUM
The company now plans advanced targeting and re-engagement with potential partners.
The joint venture, between Power Metal (35%) and operator Kotoro Gold (65%), includes the new Babayu lithium prospect, 40km southwest of Haneti.
In early 2022, the JV conducted diamond drilling at Haneti as well as prospecting and rock sampling at Babayu.
Rock sampling results highlighted “significant” lithium and tantalum potential with lithium-caesium-tantalum (Ta) pegmatite mineralisation outlined over a 600m strike-length.
“The chip sample results (up to >10,000ppm Li and 2,680ppm Ta) and strike length combined with the perceived shallow dip of the main pegmatite body show the potential for a significant near-surface mineralised body that warrants further assessment and evaluation,” added Power Metal.
The JV has applied for licences in the lithium prospective areas and looks to consolidate its existing lithium applications while reviewing potential partnerships with local licence holders.
Chief executive Paul Johnson added that there had previously been less focus on assessing lithium prospectivity.
“The results of this work have confirmed significant lithium potential and the JV is now implementing a lithium consolidation strategy to build our interests in this area.
“Drilling has confirmed the presence of nickel [at Haneti] albeit not as yet in economically significant intersections.
“However with the information from the programme we can now undertake more advanced targeting for next stage exploration.
“We are targeting the discovery of economic nickel with the work programme going forward.”