10 May 2023
Golden Metal Resources plc ('Golden Metal' or the 'Company')
First Day of Dealings
Golden Metal Resources plc, a mineral exploration company focused on tungsten, gold, copper, silver and zinc within
Overview
The key strengths and attributes of Golden Metal can be summarised as follows:
Location:
The state of
According to the Nevada Mining Association (2022), as of November 2021, 11,000 people were employed by the metal mining sector within the state, with a Nevada Gross Domestic Product contribution of
Projects with Critical and High-Demand Minerals:
The Company's 100% owned Pilot Mountain Project ("Pilot Mountain") hosts a tungsten-copper-silver-zinc Mineral Resource Estimate (MRE) which includes 12.53Mt at 0.27% W03 (tungsten tri-oxide) with significant copper-silver-zinc credits. Tungsten is an in-demand and critical metal as outlined below:
· Tungsten is included in the British Geological Survey's
· The global demand for tungsten is forecast to rise annually (3-7 per cent. per annum according to the British Geological Survey) and is predicted to outstrip available supply, which is likely to place continued upward pressure on prices in the near-term.
Management Team:
A proven management team with:
· a broad spectrum of knowledge and capabilities;
· substantial technical and listed company experience; and
· extensive North American operating experience with connections to various in-country consulting teams.
Diverse Project Base:
The Golden Metal portfolio consists of four
The Nevada Projects are all well located within major metallogenic belts containing active, globally important precious- and base-metal mining operations. All the assets have favourable geology which is prospective for skarn, carlin, epithermal and porphyry deposit types. The portfolio is focussed on tungsten, gold, silver and base metal mineralisation.
In particular, the Pilot Mountain Project offers significant exploration upside potential as well as the opportunity for Golden Metal to de-risk the Project on a number of fronts. These include building on the existing MRE, furthering and updating technical studies relating to the potential development of the known resources, further permitting, making relevant grant applications, including to the DOD Defence Production Act (DPA) Title III grant office as well as commodity marketing and further metallurgical studies.
In total, the Nevada Projects cover a combined area of approximately 22.83 km2.
Oliver Friesen, CEO of Golden Metal, commented:
" Golden Metal's admission to AIM comes at a time when it is clear that the world needs more critical, precious-and base-metals. This represents an exciting opportunity for a company such as ours with ownership of four diverse exploration and development assets located wholly within one of the top mining jurisdictions in the world. I believe that our Pilot Mountain Project, with its tungsten MRE, offers the greatest potential for exploitation, given that the US currently has no domestic primary production of the metal and is looking to reduce its heavy reliance on imports of critical metals from
I would like to thank all of the Golden Metal team and pre-IPO investors for their patience as we methodically worked through the various exploration and corporate developments which have led the Company to the exciting position it is in now. "
Background
Golden Metal is a mineral exploration company focused on tungsten, gold, copper, silver and zinc within
The Directors believe that the combination of a suite of high-quality, diversified
On 8 April 2022, the Company raised
Placing, Subscription, Acquisition and Use of Proceeds
The Company has raised gross proceeds of
The net proceeds from the Placing and Subscription will be used by the Company to:
· provide funding for the Company to further explore and develop the Nevada Projects; and
· provide the Company with ongoing working capital to support its business operations.
Warrants
Together with every two Placing Shares and every two Subscription Shares, each Placee and Subscriber will also be granted one warrant entitling the holder to subscribe for one further new Ordinary Share at
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 (which forms part of domestic
Forward Looking Statements
This announcement contains forward-looking statements relating to expected or anticipated future events and anticipated results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, competition for qualified staff, the regulatory process and actions, technical issues, new legislation, uncertainties resulting from potential delays or changes in plans, uncertainties resulting from working in a new political jurisdiction, uncertainties regarding the results of exploration, uncertainties regarding the timing and granting of prospecting rights, uncertainties regarding the timing and granting of regulatory and other third party consents and approvals, uncertainties regarding the Company's or any third party's ability to execute and implement future plans, and the occurrence of unexpected events.
Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors.
For further information visit www.goldenmetalresources.com or contact the following:
Golden Metal Resources plc Oliver Friesen (CEO) |
Tel: +44 (0) 20 7583 8304 |
Cairn Financial Advisers LLP Nominated Adviser Sandy Jamieson/Jo Turner/Louise O'Driscoll |
Tel: +44 20 7213 0880 |
First Equity Limited Broker Jonathan Brown/Jason Robertson |
Tel: +44 20 7374 2212 |
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The Projects:
Pilot Mountain Project
The Pilot Mountain project is an advanced exploration and mineral resource definition stage project located in
Golconda Summit Project
Golden Metal is the operator of the Golconda Summit project, which is held under an earn-in right to acquire up to 100 per cent. of the project from the mineral claim owner pursuant to an option agreement. The Golconda Summit project is an exploration stage gold and silver project located in
Garfield Project
The Garfield project is an early exploration stage copper, gold and silver property consisting of 39 lode mining claims covering 3.23 km2 (797.9 acres) located in
Stonewall Project
The Stonewall project is an exploration stage gold-silver property prospective for epithermal gold-silver mineralisation. The property consists of 19 lode mining claims covering 1.59 km2 (392.5 acres) located on the northern flank of Stonewall Mountain, on the western edge of the Nellis Airforce Range Restricted Access Area, in
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