Interview with Terry Lynch, CEO of Power Nickel
Our previous interview: https://www.cruxinvestor.com/posts/power-nickel-tsxvpnpn-growing-high-grade-resource-4918
Recording date: 4th June 2024
Power Nickel (TSXV:PNPN) is a junior mining company that has made a remarkable discovery at its NISK project in Quebec's Abitibi region. The recently uncovered Lion Zone has emerged as a game-changer for the company, boasting exceptionally high-grade nickel, copper, platinum group metals (PGMs), gold, and silver mineralization.
Drill results from the Lion Zone have been outstanding, with numerous holes yielding grades ranging from 3% to an astounding 30% copper equivalent over substantial widths. Importantly, the mineralization starts at surface and has been defined to a depth of 275m, with the main zone spanning 100m in width. The company estimates that the Lion Zone could already host a couple million tonnes of high-grade material, with significant potential for expansion.
Power Nickel's CEO, Terry Lynch, believes that there are likely multiple high-grade shoots that could be connected to the main NISK nickel sulfide body, located 5-12km away. In parallel with drilling, Power Nickel is collaborating with CVMR, the world's largest private nickel refinery, on metallurgical testing to potentially produce high-purity nickel powder. This value-added product could command a substantial premium over standard nickel concentrate, significantly enhancing project economics.
Power Nickel is well-funded to aggressively advance the NISK project, having recently raised $2M and benefiting from the exercise of in-the-money warrants. The company's strong shareholder base includes at least 11 billionaires and major mining investors such as Robert Friedland, providing both validation and financial support.
The company is launching a $2.4M, 30,000m drill program focused on the Lion Zone, with the goal of delineating a multi-million ounce gold equivalent resource by summer. Investors can anticipate a steady stream of drill results and key catalysts over the next 6-12 months.
With a tight share structure and low market capitalization (~C$30M), Power Nickel offers investors substantial leverage to exploration success. The company's partnership with CVMR and its location in a top mining jurisdiction further de-risk the project and enhance its appeal.
As the global demand for critical minerals continues to surge, driven by the accelerating trends of decarbonization and electrification, companies like Power Nickel that can make significant discoveries and quickly advance them to production are well-positioned to create substantial shareholder value.
View Power Nickel's company profile: https://www.cruxinvestor.com/companies/power-nickel
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What is Company Interviews?
An insight into junior mining and opportunities to invest.
Company Interviews, a Crux Investor show, exists to cut through the jargon, bias and bluster.
Matthew Gordon, and guest host Merlin Marr-Johnson hone in on the important factors that indicate a company's strong footing for growth and success.