LONDON (ShareCast) - (Sharecast News) - Power Metal Resources said on Monday that it had returned high-grade copper results from exploration at the Block 8 concession in Oman, as it advances its earn-in to a 12.5% interest in the project.
Recent sampling from the Al Maider prospect included copper grades as high as 7.84%, with additional targets defined at the neighbouring Al Mansur prospect.

The AIM-traded firm, which holds a majority stake in subsidiary Power Arabia, said it had now reached the first milestone of a 10% earn-in, having spent $0.5m on exploration since work began in October last year.

A further $0.24m would complete the agreed 12.5% earn-in under the terms of its deal with ASX-listed Alara Resources and Awtad Copper.

At the Al Maider prospect, rock chip samples returned copper grades of 7.84%, 4.7%, 2.8%, and 2.7%, with mineralisation strongly associated with a defined structural feature.

Geological mapping continued to confirm the area as a high-priority exploration target.

At Al Mansur, follow-up gravimetric surveying has led to the definition of a new 'H2' target northeast of the previously defined H1 anomaly.

Re-analysis of earlier trenching has confirmed positive assay results along strike from H1, and a drill target has now been established.

On a project-wide scale, Power Metal said 145 ionic leach samples had been collected to support geochemical analysis across two gravity-defined zones.

The data would guide the next phase of fieldwork.

A full technical report had also been submitted to Oman's Ministry of Mines as part of the licence renewal process.

"These results further underpin our confidence that these two key prospects have the potential to host significant mineralisation," said chief executive officer Sean Wade.

"They also demonstrate the wider potential for Block 8 to deliver value to stakeholders and shareholders."

Atmavireshwar Sthapak, managing director of Alara Resources, added: "The Al Mansur prospect, originally discovered by Alara in 2012-13, continues to demonstrate strong potential, having now progressed to the drill-testing stage.

"The discovery of a new prospect, Al Maider, by Power Metal further highlights the broader potential of Block 8 to host additional copper mineralisation."

At 1104 BST, shares in Power Metal Resources were down 4.51% at 12.18p.

Reporting by Josh White for Sharecast.com.

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