Golden Metal Resources PLC (AIM:GMET) shares gained 7% in early trading as it said the interpretation of results from a high-resolution induced polarisation (IP) geophysics survey at its Pilot Mountain Project in Nevada has revealed three significant undrilled exploration targets.
The targets, known as the Desert Scheelite Parallel West Zone, the Porphyry Depths Zone and the Desert Scheelite East Extension Zone, are highly prospective for tungsten, copper, silver, and zinc mineralization, it noted.
The company said it believes that Pilot Mountain, which it fully owns, contains the largest known undeveloped tungsten resource in the US. The discovery of these new targets suggests the potential for a significantly larger resource than previously estimated, marking a substantial increase in the project's potential, it added.
In a statement, Golden Metal CEO Oliver Friesen expressed his excitement about the findings, commenting: "Our due diligence highlighted considerable untapped exploration upside, which led us to acquire 100% of the project. The results from the IP geophysics survey have exceeded our expectations, with three significant untested zones now successfully identified.
"The scale of the opportunity presented to us as 100% owners of this advanced tungsten project is large, and with these three new exploration targets, the opportunity has grown significantly."
Golden Metal Resources said it hopes that the increase in potential mineralisation will enhance the project's value and attractiveness as a target for non-dilutive grant funding for exploration and development.
Around 9.20am, Golden Metal shares were 7.5% higher at 7.13p.