25 June 2024

Golden Metal Resources plc

('Golden Metal' or the 'Company')

Pilot Mountain - Significant Interim Drill Update

Extensive Mineralisation in Hole 1 (Desert Scheelite) and Mineralised Porphyry Intersected Through Entire Hole 2 (Porphyry South)

Golden Metal Resources plc* (LON:GMET, OTCQB:GMTLF), a strategic development and mineral exploration company focused in Nevada, USA, is pleased to announce a drilling update at the Company's 100% owned flagship Pilot Mountain Project ("Pilot Mountain" or the "Project") located within the prolific Walker Lane Mineral Belt in Nevada, USA.

Drilling operations have been underway for over a month with two NQ diameter diamond core drill holes completed for a total combined 547.6m from the planned 2,000m programme. Details of findings in respect of visual mineralisation and alteration observed in each completed hole are outlined below, and the third hole is now underway. The first batch of laboratory assay results are pending.

*Golden Metal is to change its name to Guardian Metal Resources plc. Formal papers have been submitted and the name change confirmation is awaited from Companies House. The Company will confirm when this process is complete. The stock codes will remain as LON:GMET and OTXQB:GMTLF.

HIGHLIGHTS

Hole 1 - Desert Scheelite (PM24-001)

§ Drillhole PM24-001 was drilled near the central portion of the Desert Scheelite zone and was designed to test for extensions of the deposit to the north and south.

§ PM24-001 intersected observed scheelite (tungsten) mineralisation and skarn alteration from 12.2m (immediately below overburden) to 42.8m as well as from 65m to 151.8m (the end of hole, finished in mineralisation). Extended intervals within this hole were observed to be very strongly mineralised.

§ Subject to confirmatory assay results (which are pending), this hole has the potential to expand the deposit footprint towards both the north and south.

Hole 2 - Porphyry South (PM24-002)

§ Drillhole PM24-002 was completed to a final depth of 407.1m and was drilled to test the Porphyry South magnetic anomaly. This hole represents the first hole ever drilled into this target.

§ PM24-002 has successfully discovered a mineralised porphyry system and intersected a quartz monzonite porphyry from immediately below overburden at 22m depth through to the final hole depth of 407.1m.

§ The Company is finalising arrangements with a porphyry expert to complete a detailed review of PM24-002 in conjunction with all available Company datasets. The results of this analysis will help guide subsequent drillholes into Porphyry South which, based on the magnetic anomaly, stretches for at least 1,200m in an east-west direction and greater than 500m north-south representing a considerable target. 

Oliver Friesen, CEO of Golden Metal, commented: 

"I am extremely pleased to provide this interim drill update with our first two holes testing separate targets and both delivering very exciting visual results.

"PM24-001 has significant mineralisation/alteration observed over very large intersections and ended in mineralisation.  Based on detailed drill core review and utilising blacklight testing, strong scheelite (tungsten) mineralisation has been identified and we look forward to the drill assay results which are pending to confirm the tungsten grades from the 115 samples submitted to the laboratory.

"Drillhole PM24-002 intersected a mineralised porphyry system throughout the full extent of the hole from just below overburden at 22m to 407.1m (EOH), which we consider to be a remarkable result considering this represents the first drillhole ever completed into this target.

"Importantly, we have gone from geophysical concept, to geological confirmation, giving the team further confidence in the other priority porphyry and skarn-type targets areas our technical team has developed across Pilot Mountain (1-Porphyry South, 2-Desert Scheelite Parallel West, 3-Porphyry West) and Garfield (4-Power-Line, 5-High-Grade Zone). 

"We will now bring in a porphyry expert to assist the team in further reviewing drillhole PM24-002 as well as all existing data, to help guide subsequent drillholes into Porphyry South.

"In the current planned 2,000m drill programme, which we expect will be expanded given the positive findings to date, there are many holes remaining and the drill rig has now moved to our next target area where drilling is underway.

"The geophysical programme announced 11 June 2024 is also progressing well and should be finished in the coming days with preliminary results to be received by the Company shortly. We very much are looking forward to receiving further drill programme and geophysical results and then disseminating to the market as soon as possible."

DETAILED HOLE BREAKDOWN

PM24-001 (151.6m):

Drillhole PM24-001 was drilled near the central portion of the Desert Scheelite zone and was designed to test for extensions of the deposit to the north and south. Skarn-type alteration and visible scheelite mineralisation was intersected from immediately below overburden from 12.2m to 42.8m as well as from 65m to 151.8m end of hole (hole finished in mineralisation) including extended intervals which were considered strongly mineralised.

Considering the expected zone of mineralisation as predicated by the 2018 Mineral Resource estimate block model and subject to laboratory assays results, PM24-001 appears to have successfully increased the size of the potential deposit footprint in multiple directions. In total 115 samples are being tested at ALS Reno laboratory with assay results expected in the coming weeks.

Figure 1*: Mineralised skarn sample intersected between 100.9m to 104.1m within drillhole PM24-001.

Figure 2*: Under blacklight, mineralised skarn sample intersected between 100.9m to 104.1m within drillhole PM24-001 under blacklight highlighting scheelite (CaW0₄) mineralisation throughout (scheelite fluoresces blue-white). For reference, the 337 foot block visible in the photo lines up with the 102.7m block in Figure 1.

PM24-002 (407.1m):

PM24-002 was completed to a final depth of 407.1m and was drilled to test the Porphyry South magnetic anomaly. Detailed logging is being finalised with core cutting of the upper parts of the hole now underway.

The hole intersected a quartz monzonite porphyry from immediately below overburden at 22m to the end of hole at 407.1m

Classic porphyry type veins are distributed throughout the hole with variable intensity. The porphyry veins range between being tungsten (scheelite), pyrite and molybdenite dominated with local chalcopyrite.

Vein selvedges are often very well defined with strong up to cm-scale potassium feldspar selvedges indicating a high fluid temperature during emplacement which suggests proximity to the main potassic core, where the highest grades within a porphyry system are found.

The vein mineralisation and alteration observed is very encouraging considering this represents the first ever drill hole completed into this target.

Overall, the quartz monzonite alteration is defined by sericite, pyrite, chlorite with lesser epidote locally with variable silicification and pyritisation. This places the hole somewhere within the propylitic or phyllic alteration halo.

Further details will be announced once  detailed logging is completed, as well as further drilling plans into this now confirmed mineralised porphyry system.

Figure 3*: PM24-002 drill core, quartz-calcite vein at 190.5m downhole with abundant molybdenite and pyrite within a quartz monzonite porphyry. The vein selvedge is strongly potassic altered with strong molybdenite mineralisation noted in the vein selvedge (dark grey/blue specks).

Figure 4*: PM24-002 drill core, strong quartz-calcite veining at 224m downhole with abundant molybdenite and pyrite (± chalcopyrite) as well as scheelite within a quartz monzonite porphyry. The vein selvedge is strongly potassic altered with strong molybdenite mineralisation noted in the vein selvedge (dark grey specks). See figure 5 below of zoomed up area A.

Figure 5*: Under ultraviolet light PM24-002 drill core area A (see figure 4 above) highlighting scheelite (blue-white fluorescence) mineralisation.

Figure 6*: PM24-002 drill core, quartz-calcite vein at 103.6m downhole with coarse grained molybdenite and pyrite along vein surface within a quartz monzonite porphyry. The vein selvedge is strongly potassic altered.

Figure 7*: PM24-002 drill core, quartz-calcite vein at 335m downhole with coarse grained molybdenite and pyrite (± chalcopyrite) along vein surface within a quartz monzonite porphyry. The vein selvedge is very strongly potassic altered.

Figure 8*: PM24-002 drill core, quartz-calcite vein at 399.5m downhole (near EOH) with molybdenite and pyrite along vein surface within a quartz monzonite porphyry. The vein selvedge is very strongly potassic altered.

*Photos are selective in nature and not necessarily representative of mineralisation throughout the drill holes.

The original drillhole into Porphyry South (PM24-02) was drilled to a depth of 143.6m and then due to casing issues was restarted as drillhole PM24-02 which was then completed to 407.1m depth. Therefore, a total of 550.7m has been drilled into Porphyry South to date. Core from the first hole (PM24-02A) was geologically logged but only full sampling will be completed of PM24-02.

PROPERTY OWNERSHIP

Golden Metal holds a 100% interest in the Pilot Mountain Project through its wholly owned Nevada-based operating companies BFM Resources Inc and Pilot Metals Inc.

COMPETENT PERSON STATEMENT

The technical information contained in this disclosure has been read and approved by Mr Nick O'Reilly (MSc, DIC, MIMMM, MAusIMM, FGS), who is a qualified geologist and acts as the Competent Person under the AIM Rules - Note for Mining and Oil & Gas Companies. Mr O'Reilly is a Principal consultant working for Mining Analyst Consulting Ltd which has been retained by Golden Metal Resources plc to provide technical support.

Forward Looking Statements

This announcement contains forward-looking statements relating to expected or anticipated future events and anticipated results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, competition for qualified staff, the regulatory process and actions, technical issues, new legislation, uncertainties resulting from potential delays or changes in plans, uncertainties resulting from working in a new political jurisdiction, uncertainties regarding the results of exploration, uncertainties regarding the timing and granting of prospecting rights, uncertainties regarding the timing and granting of regulatory and other third party consents and approvals, uncertainties regarding the Company's or any third party's ability to execute and implement future plans, and the occurrence of unexpected events. 

Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors.

For further information visit www.goldenmetalresources.com or contact the following:

THE PROJECTS

Pilot Mountain Project

The Pilot Mountain project is an advanced exploration and mineral resource definition stage project located in Mineral County in western Nevada. The project covers an area of 14.80 km² (3,904.1 acres) and is located 200km southeast of Reno and 18km east of Mina, Nevada. It is well situated for the supply of power, water and skilled labour and proximity to transport infrastructure in Mineral County and is centred around four existing mineral deposits: Garnet; Good Hope; Gunmetal and Desert Scheelite, all of which possess significant skarn-style tungsten-copper-silver-zinc mineralisation. The Pilot Mountain project consists of 176 active lode mining claims and 4 filed mill site claims. The four mill site claims filed at the former Dunham mill site have secure access to groundwater supply sufficient for the proposed project.

Garfield Project

The Garfield Project is an exciting copper-gold-silver prospect consisting of 65 lode mining claims covering 5.4 km² (1,338 acres) located in Mineral County, Nevada, approximately 14km due east of the town of Hawthorne and 120km due west-northwest of Tonopah. Exploration to date has included detailed geochemical sampling and follow up analysis which highlighted the presence of both porphyry and skarn-type mineralisation and alteration at the 'High-Grade Zone'. Further to this, mapping, prospecting and rock sampling was recently completed with results confirming presence of high-grade copper, silver and gold mineralisation as well as leading to the bedrock discovery of the Pamlico Au Zone with individual rock samples up to 18.35g/t Au, 1,225g/t Ag & 1.89% Cu. Following this, geochemical analysis of the full suite of data confirmed the strong presence of porphyry style mineralisation across the Project, as well as potentially overprinting epithermal style mineralisation leading to increased gold-silver prospectivity.

Kibby Basin Lithium Project

The Kibby Basin Project covers two claim packages which are prospective for lithium brine mineralisation. The southern claim package is less than 250m from a 2022 drillhole which returned a significant interval (169m) of lithium brine mineralisation which was determined to be open in all directions. The Project is less than 5km to the southeast of the Company's flagship Pilot Mountain Project.

Golconda Summit Project

Golden Metal is the operator of the Golconda Summit project, which is held under an earn-in right to acquire up to 100 per cent. of the project from the mineral claim owner pursuant to an option agreement. The Golconda Summit project is an exploration stage gold and silver project located in Humboldt County and situated at the confluence of the Getchell and Battle Mountain - Eureka metallogenic trends, and consists of 44 lode mining claims, covering a total area of approximately 3.22 km² (795.4 acres) located approximately 27km east of Winnemucca.

Stonewall Project

The Stonewall project is an exploration stage gold-silver property prospective for epithermal gold-silver mineralisation. The property consists of 19 lode mining claims covering 1.59 km² (392.5 acres) located on the northern flank of Stonewall Mountain, on the western edge of the Nellis Airforce Range Restricted Access Area, in Nye County, Nevada, approximately 24km south-east of the historic gold mining town of Goldfield and 60km due south of Tonopah.