Power Metallic Announces Expansion In the Kingdom of Saudi Arabia via Joint Venture With Amaar Mining
Power Metallic Inks Saudi JV With Amaar Mining, Opening New Frontier Beyond Quebec’s Lion Zone
The most recent announcement (2026-05-19) is a strategic joint venture framework agreement with Amaar United Mining Company to jointly pursue mining license opportunities in the Kingdom of Saudi Arabia. This follows on from the award of the Jabal Baudan exploration licence in mid‑2025. The JV establishes a 50/50 ownership and economic split for future concessions. Power Metallic will act as technical lead and operator; Amaar will handle local relationships, administration and regulatory interfaces. An initial US$10 M post‑award spending phase is structured so that Power Metallic contributes only 25% (US$2.5 M) while Amaar provides 75% (US$7.5 M). After that, funding is 50/50. The agreement is anchored to the existing 200 km² Jabal Baudan exploration licence but is explicitly designed to compete in future Saudi mining licence auction rounds.
Previous news showed the company advancing its flagship Nisk/Lion polymetallic project in Quebec – high‑grade copper‑equivalent intercepts (e.g., 22 m @ 11.46 % CuEq, 16.55 m @ 15.11 % CuEq), outstanding metallurgical recoveries (Cu 98.9 %), and a maiden resource estimate targeted for Q3 2026. Separately, Power Metallic had already obtained the Jabal Baudan licence in Saudi Arabia and flagged its interest in the Kingdom’s mining reform (Vision 2030).
The new JV with Amaar moves the Saudi strategy from a single licence to a platform for systematic bidding. It is genuinely new information – not telegraphed in prior releases – and materially broadens the company’s footprint in a jurisdiction backed by a US$182 M Exploration Enablement Program. The funding structure limits Power Metallic’s initial cash burden while preserving 50 % economics. Given the company’s market cap (~C $353 M), a credible multi‑licence Saudi Arabian growth vector adds meaningful optionality and diversifies risk away from a single‑asset Quebec focus. The news is therefore material and positive, though not a game‑changer on the scale of a takeover or first‑time mega‑investor involvement.
- Flagship project: Nisk polymetallic project, James Bay region, Quebec, Canada. The centrepiece is the Lion Zone discovery – a high‑grade copper‑palladium‑platinum‑gold‑silver‑nickel occurrence with intercepts exceeding 10 % CuEq and spectacular metal recoveries.
- Land package: ~330 km² after the Li‑FT acquisition, covering a 20 km strike length and multiple target zones (Lion, Tiger, Nisk Main, Nisk East).
- Saudi Arabian asset: Jabal Baudan exploration licence (200 km²) in the Jabal Sayid Mineralized Belt, prospective for copper‑gold‑zinc VMS deposits.
- Development stage: Exploration; first Mineral Resource Estimate expected Q3 2026, Preliminary Economic Assessment targeted for Q4 2026.
- Metallurgy: Exceptional locked‑cycle test results: Cu 98.9 %, Pd 93.9 %, Pt 96.8 %, Au 85 %, Ag 88.9 % – supporting a conventional flotation flowsheet.