The AIM-listed explorer said the footprint of the project now covers the area potentially containing a proximal bedrock gold source for the gold nugget mineralisation identified near surface.
The company also said that its due diligence period for the project, which had previously been extended to June 30 to reflect disruption caused by the coronavirus pandemic, had now expired and that it remained in discussions with a view to concluding due diligence and related contractual agreements. Power Metal said a further update will be provided after successful completion of discussions.
"I am eager to conclude our discussions in respect of the Alamo gold project however my primary duty is to take care of Power Metal shareholder interests by completing our work fully”, Power Metal chief executive Paul Johnson said in a statement.
“I would like to thank our local partners for their support with our work and would confirm that if we are able to conclude our review and discussions successfully shareholders will be updated accordingly", he added.
Shares in Power Metal Resources were steady at 0.48p in early trading.