Power Metallic Mines reveals positive preliminary metallurgical study update on Lion deposit

Power Metallic Mines Inc. (TSX-V:PNPN) announced positive preliminary metallurgical study results for its Lion deposit at the Nisk Project in Quebec, indicating that copper mineralization is coarse-grained and amenable to conventional sulphide concentration methods, suggesting good recoveries. This update is expected to de-risk project development and enable independent analysts to utilize appropriate resource recovery numbers for economic valuations of the Nisk project. Further testing will assess the recovery potential of platinum group elements, gold, silver, and nickel, with final results anticipated by January 2026.

Analysis

Power Metallic Mines Inc. (TSX-V:PNPN) has reported positive preliminary metallurgical study results for its Lion deposit at the Nisk Project in Quebec. The study indicates that copper mineralization, specifically chalcopyrite and cubanite, is coarse-grained and highly amenable to conventional sulphide concentration methods, suggesting strong recovery potential for copper sulphides. This initial finding significantly de-risks the project's development pathway.

CEO Terry Lynch emphasized that these results are crucial for enabling independent bank, company, and industry analysts to utilize appropriate resource recovery numbers for economic valuations of the Nisk project. While a formal NI 43-101 resource report is not immediately planned, this data provides foundational insights for future economic assessments.

Further metallurgical testing is underway to determine the recovery potential of platinum group elements (PGEs), gold, silver, and nickel, which are also expected to report within a conventional sulphide concentrate. These additional tests are anticipated to conclude in approximately 14 weeks, with final reporting of all results expected no earlier than January 2026.

Key Decisions for Investors

• Monitor upcoming metallurgical test results for PGEs, gold, silver, and nickel, expected by January 2026, as these will further define the project's polymetallic economic potential.
• Evaluate the implications of these preliminary positive copper recovery indications on future resource estimates and the Nisk project's overall valuation, considering the de-risking aspect.
• Assess the company's progress towards a formal NI 43-101 resource report, which will be critical for a comprehensive economic assessment and potential project financing.