Guerilla,
That video was a great find, so thank you.
https://www.cobaltblueholdings.com/riu-explorers-conference-2018/
Around the 10 minute 45 second mark, it talked about the scale of COB's tenements being 63 square kms but COB believes this type of similar minearalisation extends to over 10,000 square kms across NSW and South Australia.
I am betting a large portion of that covers the
Mutooroo Cobalt District in South Australia.
While Cobalt has become a much sought after commodity in recent years, due to its key role in the production of rechargeable batteries used in the manufacture of electric vehicles ('EVs') ...
... not all Cobalts are equal: Cobalt in metal form vs
Cobalt sulphate.
Cobalt sulphate will be the COB end product from its proprietary process.
Cobalt Shifts from Metal to Chemical Market
http://www.ecobalt.com/news/cobalt-news/cobalt-shifts-from-metal-to-chemical-market
NCA (Nickel Cobalt Aluminium) is fast becoming the industry standard for EVs [batteries] as opposed to LCO for conventional electronics. NCA chemistries typically have a far lower cobalt content by weight and require
cobalt sulphate as a raw material - as opposed to cobalt oxide for LCO (Lithium Cobalt Oxide) batteries used across consumer electronics.
NCA chemistries typically have a far lower cobalt content by weight and require
cobalt sulphate as a raw material - as opposed to cobalt oxide for LCO.
As a result,
cobalt sulphate will be the most widely traded cobalt chemical in the long-term, with total demand expected to reach just under 60,000 tonnes by 2026.
Despite the increasing importance of chemicals in the cobalt market, there is currently no widely-accepted benchmark price for any refined cobalt chemical products.
As battery chemistries become standardised across the EV market, it is expected that cobalt chemicals will begin to become commoditised and more widely traded as opposed to cobalt in metal form.
The majority of cobalt chemical manufacturing occurs in China, where concentrates are imported primarily from the DRC, processed into chemicals and intermediates and then sold on into various sectors.
Chemical manufacturers without the ability to process cobalt concentrates are forced to purchase 99.3% cobalt ingot or broken cathode and then use acid dissolution techniques to form cobalt intermediates.
Assuming the Mutooroo test results at the end of April 2018 are positive, the
upside is in COB/ HAV being able to supply their
cobalt sulphate to a standardised commodity grade which is accepted in the market (in the same way that 99.8% cobalt metal is widely accepted), this could effectively simplify its future supply chain and allow COB/ HAV to trade directly with end users in the battery industry.
Cheers
These are only my random thoughts and it does not constitute investment advice. Before acting on any information you read and before making any financial or investment decisions, you should always consult your advisor(s) or other relevant professional expert
(20min delay)