Power Metal Resource PLC (LON:POW) has two key strategic objectives, according to an update document released by the company today.
The first is to make one or more major metal discoveries within its gold, base and strategic metal portfolio, and then crystallise the value of such discoveries for shareholders' benefit.
The second is to build its working capital and 'balance sheet' toward financial self-sufficiency and to reduce forward reliance on funding from the market to achieve its business objectives.
The company currently has five main projects and two additional projects in the later stage of due diligence and commercial discussions. There is a particular focus on Africa.
Following the company's financing, announced on July 6, 2020 total assets as at 10 July 2020 amounted to £3.04mln. Cash and tradable listed investments amounted to £1.7mln.
“I am keen for us to be bold and adventurous with reward weighted risk-taking, but with solid underlying principles of risk management covering geopolitical, commodity, operational and financial considerations,” Power Metals chief executive officer Paul Johnson said in the update.
“Many companies put their business case forward-focused around a single major project and concentrate their energies around that. I understand this, but it's not the Power Metal approach, where instead, in our view, we have numerous major projects, each of which is capable of delivering a transformational discovery and by virtue of this shareholder wealth.”