Power Minerals Finalizes Acquisition of High-Grade Lĺtio Niobium Project in Brazil
PNN (PNN) Share Update August 2024 Monday 5th
Power Minerals Completes Acquisition of Lĺtio Niobium Project in Brazil
Power Minerals Limited (ASX: PNN) has successfully completed the acquisition of the Lĺtio Niobium Project in Brazil, following the completion of both technical and legal due diligence.
Instant Summary:
- Acquisition of Lĺtio Niobium Project in Brazil completed.
- High-grade niobium, tantalum, and rare earth elements confirmed.
- Key sampling results include 63.7% Nb2O5 and 9.5% Ta2O5 with 2354ppm partial REO.
- Systematic sampling program to prioritize targets for further exploration.
- Utilization of existing artisanal workings as guides for prospective areas.
Acquisition Completion
Power Minerals Limited (ASX: PNN, Power or the Company) is pleased to announce it has completed the acquisition of the Lĺtio Niobium Project in Brazil. This follows the successful completion of both technical and legal due diligence processes.
The Lĺtio Project, located in Paraiba State, Brazil, comprises three permits and is highly prospective for niobium, rare earth elements (REE), and lithium. The project is adjacent to Summit Minerals' (ASX: SUM) Equador Niobium Project, which has shown high-grade sampling results.
Sampling Results
Power's initial sampling program has confirmed the presence of high-grade niobium, tantalum, and REE pegmatites within the project area. Key results include:
- 63.7% Nb2O5 and 9.5% Ta2O5 with 2354ppm partial REO
- 43.5% Ta2O5 and 17.5% Nb2O5 with 1062ppm partial REO
- 41.3% Nb2O5 and 11.99% Ta2O5 with 1793 ppm partial REO
- 48.4% Nb2O5 and 6.3% Ta2O5 with 4975ppm partial REO
Exploration Plans
With the acquisition complete, Power plans to accelerate exploration activities. A more systematic sampling program will be undertaken, including outcrop rock chip and stream samples, to prioritize targets for drilling or other follow-up activities. The company will also use existing artisanal workings (Garimperios) as guides to prospective target areas.
According to Managing Director Mena Habib, 'We are excited to have expanded our footprint in South America, adding to our Salta Lithium Project in Argentina with this strategic acquisition, and look forward to moving forward with exploration on our second project in the region.'
See the included geological map for the Lĺtio Project area, based on mapping by the Geological Survey of Brazil (CPRM). The map shows the location of recent sampling in the southern part of the project, confirming elevated niobium and tantalum in this area.
Next Steps
In the coming weeks, Power will undertake a more systematic sampling program, including the northern area of the project, to define and prioritize targets for follow-up exploration. The company will also map the location and use existing artisanal workings as guides to prospective target areas.
The successful acquisition and high-grade sampling results are likely to positively impact Power Minerals' stock price. The confirmation of high-grade niobium, tantalum, and REE pegmatites enhances the project's potential, making it an attractive asset for investors. The planned systematic exploration and utilization of artisanal workings further strengthen the project's prospects.
Investor Reaction:
Analysts are expected to react positively to the news, given the high-grade sampling results and the strategic acquisition in a region known for its mineral potential. The confirmation of high-grade niobium and REE pegmatites is likely to boost investor confidence in Power Minerals' exploration capabilities and future prospects.
Conclusion:
Investors should keep an eye on Power Minerals' upcoming exploration activities and results from the Lĺtio Niobium Project. The company's strategic acquisition and high-grade sampling results indicate significant potential for future growth. Stay tuned for further updates and consider the long-term benefits of this promising project.