Letter of Intent with Al Masane Al Kobra Mining

Power Metal Resources PLC (AIM:POW, OTCQB:POWMF), the London listed exploration company with a global project portfolio, notes an update to its announcement of 9 December 2024. As previously notified, a Letter of Intent ("LOI") was signed to enter into a binding agreement with Al Masane Al Kobra Mining Company ("AMAK") (together, "the Parties"), a Saudi Arabian listed exploration and mining company, for Power Metal to spend US$3,000,000 to earn a 49% stake in the Qatan exploration licence in southern Saudi Arabia (the "Proposed Agreement").

After a detailed discussion regarding the outstanding legal processes still awaiting completion, the Parties have agreed to extend the deadline for the formal agreement signature date by a further three months. It is currently expected that formal agreement will be reached well within that timeframe.

Although there can be no certainty at this stage given the non-binding nature of the LOI, the Parties remain confident that the Proposed Agreement will become binding. Further announcements relating to the Proposed Agreement will be made as appropriate.