Power Metallic Defines High-Grade Lion Resource at Nisk with Maiden Resource Estimate

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1. Power Metallic Mines Inc. is a billboard sponsor of Streetwise Reports. The company pays a monthly sponsorship fee of US$3,000–US$6,000 for banner advertising and an enhanced company profile page. Streetwise Reports’ editorial content is fully independent and is not influenced by sponsorship. 
2. As of the date of this article, officers, contractors, shareholders, and/or employees of Streetwise Reports LLC (including members of their household) own securities of Power Metallic Mines Inc.  
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1. Ownership and Share Structure Information

The information listed above was updated on the date this article was published and was compiled from information from the company and various other data providers.

Key Takeaways

• Power Metallic Mines defined a maiden Lion Zone resource of 4.75 million tonnes grading nearly 3.9% copper equivalent at Nisk.
• More than 85% of the Lion resource is classified as Indicated, with approximately 406 million pounds of contained copper equivalent.
• Lion mineralization begins at surface and remains open at depth, with about 59% of the resource modeled within an open-pit portion.
• Power Metallic is advancing deep drilling and metallurgical studies while assessing proposals for a PEA to evaluate potential open-pit and underground development at Lion.

Lion Resource Contains Multiple Critical Metals

On September 8, 2026, Power Metallic Mines Inc. (PNPN:TSXV; PNPNF:OTCQB; IVV1:FRA) announced an inaugural Mineral Resource Estimate (MRE) for the Lion Zone at its Nisk project in Québec, Canada, along with an updated resource estimate for the Nisk Main deposit.

The Nisk project is located in the Eeyou Istchee James Bay territory of Québec, and Power Metallic owns 80% while Critical Elements Lithium Corp. (CRE:TSX.V) owns 20%. The maiden Lion resource comprises approximately 4.75 million tonnes grading close to 3.9% copper equivalent (CuEq), with more than 85% classified as "Indicated".

Highlights of the MRE include:

• Approximately 406 million pounds of contained CuEq.
• 4.145 million tonnes of Indicated resources grading 3.86% CuEq, including 1.68% Cu, 2.61 g/t palladium, 0.85 g/t platinum, 0.49 g/t gold (Au), 12.21 g/t silver (Ag), and 0.10% nickel.
• 601,000 tonnes of Inferred resources grading 4.01% CuEq, including 1.84% Cu, 2.86 g/t palladium, 0.59 g/t platinum, 0.41 g/t Au, 12.47 g/t Ag, and 0.13% nickel.
• Approximately 59% of the tonnes fall within the open-pit portion of the resource.
• The open-pit MRE uses a 0.35% CuEq cut-off grade, while the underground MRE uses a 0.90% CuEq cut-off grade.
• Mineralization begins at surface and remains open at depth.
• The resource incorporates drilling completed through April 19, 2026, with a June 19, 2026, effective date.

According to Power Metallic, Lion was discovered in 2023 and is characterized by copper-dominant polymetallic mineralization containing copper, palladium, platinum, gold, silver, nickel, and cobalt. The company models the zone as a steeply plunging mineralized shoot extending from surface to approximately 675 m (meters) down-dip, or more than 600 m vertically.

The modeled shoot is roughly 400 m wide along strike at its widest point and consists of multiple subparallel mineralized lenses. Individual lenses range from 2 to 15 m thick within a mineralized package of up to 50 m thickness.

The deepest reported hole included in the geological interpretation intersected 1.95 meters grading 7.95% CuEqRec at approximately 610 meters vertical depth. Subsequent drilling completed after the MRE cut-off date has targeted the deposit at greater depths and intersected visible copper mineralization, although assays remain pending.

Terry Lynch, CEO of Power Metallic, said in the release: "This inaugural Lion resource confirms what the drilling has been telling us: Lion is a high-grade polymetallic deposit. Approximately 4.75 million tonnes grading close to 4% CuEq have been defined, containing approximately 406 million pounds of CuEq, with more than 85% of the resource already in the Indicated category. Importantly, high-grade mineralization begins at surface, and the deposit remains open at depth. We believe the quality of Lion has been demonstrated. Now our focus is on demonstrating its scale."

Joe Campbell, VP Exploration of Power Metallic, followed up by saying: "Lion is a textbook fractionated copper- and precious-metal-rich shoot within a magmatic sulphide system. The advantage of Lion over similar deposits of this type is that it begins at surface and is modeled continuously to more than 600 m vertical depth. The deposit remains open at depth, and our priority since the April 19, 2026, cut-off date for drill holes in the MRE has been to test the shoot below 600 m with deep step-out drilling, following up with borehole EM to delineate more mineralization."

Power Metallic currently has five rigs active on the property, with ongoing drilling targeting extensions of the Lion Zone at depth and along strike. The company is also using borehole electromagnetic surveys and deep step-out and wedge drilling to test the down-plunge extension of the Lion shoot. Results from this will be incorporated into future resource updates.

Metallurgical testing has also returned positive results. SGS Canada completed locked-cycle flotation testing using Lion samples, including both higher-grade and lower-grade composites. The testing produced a single high-grade copper concentrate containing the project's platinum, palladium, gold, silver, and nickel. According to the company, copper recoveries exceeded 98% across all composite samples tested, with concentrates grading more than 25% copper.

Testing also indicated that lower-grade disseminated mineralization could respond to conventional flotation, supporting its inclusion in the mineral resource. Further hydrometallurgical testing is underway to evaluate a potential direct-to-metal processing route.

Power Metallic is a Canadian exploration company focused on high-grade polymetallic discoveries, with copper leading the way.

Copper Supply Concerns Support Exploration

Demand for copper is expected to rise due to continued use in electronics, especially with the widespread construction of new data centers and defense applications in the U.S. A report from Businessworld claimed that "global copper demand is gradually shifting towards strategic and less price-sensitive sectors such as AI infrastructure, defense, power grids, and clean energy systems. By 2040, these categories are expected to account for nearly 45% of total copper demand, up from 32% in 2024."

Last year, the prospect of President Donald Trump's tariffs helped drive copper prices higher in the U.S. as American buyers stockpiled the metal. This contributed to elevated inventories and a widening premium between U.S. futures and physical copper markets. "Collectively, inventories at the world's main exchanges have risen by more than 500,000 tons since the start of the year," stated a March 6 article by Bloomberg News. 

Trump's July 30, 2025, proclamation imposed a 50% Section 232 tariff on the copper input value of semi-finished copper and copper-intensive derivative products, effective August 1, 2025. Effective April 6, 2026, the United States changed its Section 232 tariff regime so that tariffs on covered copper articles and derivatives were generally assessed on the full customs value rather than only the metal content. The 2025 proclamation also called for consideration of a phased universal tariff on refined copper of 15% starting in 2027 and 30% starting in 2028.

The metals sector as a whole is also showing signs of improvement. On May 7, 2026, Brian Taylor of Recycling Today said that the World Bank Group has projected that its metals and minerals price index will rise 17% in 2026.

Analysts Assess Lion and Nisk Development Potential

After the release of the latest MRE, analysts have weighed in on the results.

On September 8, 2026, Roger Bell of Hannam & Partners predicted a 78% upside from the share price at the time of the report of CA$1.52 to the target price of CA$2.70. The analyst had previously set a CA$2.38 target but raised it, writing: "We assume a mineable inventory of ~9.5Mt in the base case, assuming both the Lion and Nisk MREs are included in a combined mine plan, with the upside case incorporating our estimate of 5.7Mt in incremental upside at Lion as exploration continues. Using a 6% WACC, this delivers base case and upside H&Pe NPVs of US$309m and US$840m, respectively, with high IRRs of 47% and 71%."

On the same day, Red Cloud's Ron Stewart released a report reiterating a "Buy" target and a CA$2.50 price target. Stewart argued: "In our view, while the MRE likely came in more modest than what many investors would have liked, we believe the combined Nisk and Lion Zones have the potential to support a modestly sized but profitable mine given their grades, metallurgy, favorable geometry, and still decent scale."

Finally, on September 11, 2026, Mike Niehuser of Roth provided an update on the company, maintaining a "Buy" rating and CA$3.00 price target. He wrote: "We believe that the updated MRE on the Nisk Main deposit, including the maiden Lion Zone estimate, was completed at a higher level of confidence than our speculation at the time of our initiation of research coverage . . . the MRE sets a baseline for a low operating and capital cost starter mine scenario."

Studies Advance Alongside Technical Work

Assay results from the 2026 summer drilling program are expected to begin being released in September. Power Metallic is currently assessing proposals from engineering firms to complete a Preliminary Economic Assessment (PEA).

According to the release: "The PEA will evaluate an initial open pit followed by underground mining at Lion with processing options including the potential incorporation of Nisk Main feed. Additional work is being carried out on improving Nisk metallurgical recovery while preserving an efficient pathway to Lion development."

The company began a two-year environmental baseline survey program in January 2026. The first field season is being conducted from May to October 2026, with a second planned for summer 2027. This program has been designed to cover a broader area than the company currently expects, and its scope will continue to be reviewed as survey results are received and the project design evolves. "The currently defined program is scheduled for completion in 2027 and is progressing in parallel with the technical studies to support preparation of the Environmental and Social Impact Assessment," stated the release.

With the updated Technical Report, Power Metallic will be able to submit the last requirement in its Nasdaq application process. The company is applying for an American Depositary Receipt (ADR) on Nasdaq and expects to provide an update on its application in October.

Ownership & Share Information¹

Power Metallic Mines Inc. has a market cap of CA$341 million, with 260.4million shares outstanding. The company's 52-week range is CA$0.76-CA$1.73.

Institutions own 14% of shares, while Strategic Investors own 7.5%. Management & Insiders own 19.5% of shares, and the remaining shares are held by Retail.

Frequently Asked Questions

Q: What is the Lion Zone at Power Metallic's Nisk project?
A: The Lion Zone is a copper-dominant polymetallic mineralized zone at the Nisk project in Québec containing copper, palladium, platinum, gold, silver, nickel, and cobalt.

Q: What is the maiden Mineral Resource Estimate for the Lion Zone?
A: Power Metallic's maiden resource estimates approximately 4.75 million tonnes grading close to 3.9% copper equivalent, containing about 406 million pounds of CuEq.

Q: How much of the Lion resource is classified as Indicated?
A: Approximately 4.145 million tonnes, or more than 85% of the total Lion resource, are classified as Indicated and grade 3.86% CuEq.

Q: What does copper equivalent, or CuEq, mean?
A: Copper equivalent is a way of expressing the combined value of multiple metals as an equivalent amount of copper, allowing a polymetallic resource to be summarized using a single grade.

Q: What metals are contained in the Lion Zone?
A: The Lion resource contains copper, palladium, platinum, gold, silver, nickel, and cobalt, with copper serving as the primary metal.

Q: Is the Lion Zone open-pit or underground?
A: The Lion resource includes both open-pit and underground portions, with approximately 59% of the tonnes falling within the modeled open-pit portion. The company is assessing proposals for a PEA that would evaluate an initial open pit followed by underground mining.

Q: What does it mean that Lion mineralization is open at depth?
A: It means drilling has not yet established the full depth extent of the mineralization, leaving potential for the resource to expand below the currently modeled zone. Power Metallic is conducting deep step-out drilling to test this potential.

Q: What is the deepest high-grade drill result reported from Lion?
A: The deepest reported hole included in the geological interpretation intersected 1.95 meters grading 7.95% CuEqRec at approximately 610 meters vertical depth.

Q: What is a polymetallic deposit?
A: A polymetallic deposit contains economically or potentially economically significant concentrations of more than one metal, such as copper, palladium, platinum, gold, silver, and nickel, identified at Lion.

Q: What is a Mineral Resource Estimate?
A: A Mineral Resource Estimate is a technical assessment of the quantity and grade of mineralization that has been identified through exploration and is classified according to the level of geological confidence.

Q: What is the difference between Indicated and Inferred resources?
A: Indicated resources have a higher level of geological confidence than Inferred resources and can generally support more detailed mine planning studies, although neither classification by itself establishes that the material is economically mineable.