Introduction: an uncommon secondary species formed by the alteration of molybdenite or other molybdenum-bearing minerals, but can also form in low-temperature hydrothermal environments, such as with zeolites in vugs in basalt and within skarns and contact metamorphic environments.

Occurrence in Wales: Dossett et al. (2007) described the first and only occurrence of powellite in Wales from a single specimen collected at Benallt Mine, near Rhiw, Pen Llyn in 2006. One small (5 mm across) cavity within a specimen of altered igneous rock was discovered to contain twenty microcrystals of powellite.

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