StockMarketWire.com - Mining company Power Metal Resources said it had exercised an option to earn-in to the Silver Peak project in British Columbia, Canada to a 30% interest.

The project included the Eureka-Victoria silver mine, the first government-granted mineral property in British Columbia.

Power Metal would pay £129,683 to private vendors Michael Nugent and Jo Shearer, comprising CAD$30,000 (£17,183) cash and £112,500 in shares at 1.25p each.

The vendors would also be granted 9m warrants to subscribe for new shares in the company at a price of 1.75p, with a three-year life to expiry.

Power Metal must then spend CAD$250,000 (£143,193) on project exploration, within 12 months.

'The decision to exercise this option, on schedule, provides Power Metal with its first, potentially high impact, silver exploration project interest,' chief executive Paul Johnson said.

'The Silver Peak project is a material addition to the Power Metal portfolio, bringing a strategic silver project into our business, and one that offers much potential upside from positive future exploration work.'


At 2:49pm: [LON:POW] share price was +0.03p at 1.28p



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