07:59 AM EDT, 10/16/2025 (MT Newswires) -- Power Metallic Mines ( PNPNF ) earlier Thursday provided an update on preliminary metallurgical studies being performed by SGS Canada at its laboratories based in Quebec City, Quebec, and Lakefield, Ontario.

The company said that compositing of the samples, and flotation studies will be conducted in Quebec City, and analyses and environmental testing will be carried out at Lakefield.

A statement noted that work to date has shown that the copper mineralization is contained within coarse grained chalcopyrite and cubanite, both which should "respond well to conventional sulphide concentration methods."

The company further stated that the character of the mineralization suggests "good recoveries" of copper sulphides, and that these initial metallurgical tests will determine the recovery potential of the PGEs, Au, Ag, and Ni., which are expected to report within a conventional sulphide concentrate.

A statement further noted that the Lion deposit has two zones of mineralization defined by drilling, consisting of a High-Grade zone (HG) and a lower grade Hanging-wall Zone ((LG).

"Current understanding is that the vast majority of the metal value in the deposit is contained within the High-Grade zone, consisting of semi-massive to massive copper sulphide mineralization," said the company.

The company added that the metallurgical tests are expected to take approximately 14 weeks to complete and that it will divulge results of the testing as soon as practical, but final reporting of results is not expected before January 2026.

"While we have no immediate plans to produce a NI- 43-101 resource report the results of this study will enable independent bank, company and industry analysts to utilize the appropriate resource recovery numbers while developing economic valuations on the Nisk project," said Power Metallic's chief executive officer Terry Lynch. "In this respect we are following the path well established by projects like Filo and Great Bear, who both posted assays and azimuths for their exploration results and allowed the analysts to speak to the economic potential of these projects."