Power Metal Resources said Golden Metal Resources, in which it has a 62.01% stake, intends to pursue a government grant to fund its 100% owned Pilot Mountain Project.
Golden Metal said it has commenced the application process for a short list of relevant grant programmes, although it cannot as of yet disclose which grants.
Securing non-dilutive financial support for its flagship project, which it believes hosts the largest undeveloped tungsten resource in the US, is a priority for the company, according to a statement from London-listed Power-Metal.
Golden Metal said it recently signed a tungsten concrete off-take letter with Global Tungsten & Powders, a leading US supplier of tungsten powders, which it believes puts it in a strong position to seek out non-dilutive grant funding.
"The time for the United States to reduce its reliance on other countries for their imports of critical and defence metals is now, and we at Golden Metal strongly believe that as 100% owners of what we consider is the largest undeveloped tungsten deposit located on US soil, we can be a part of this urgent process,” said chief executive Oliver Friesen.
“It is important for our investors to know that, while this key part of the business ticks away in the background, we will continue pushing forward exploration and development across the portfolio at pace,” Friesen added.