Here is more COB info for study not too sure percentage of BPL that COB hold so far but market Cap already $19m according to current shares issued on IPO. Will see how our neighbor perform in next 6 months which could reflect value on AYR.....DYOR.
COB IPO background
Cobalt Blue plans to list in December 2016 through the offer of between 40 and 50 million shares priced at $0.20 to raise between $8 and $10 million.
The Thackaringa Cobalt Project is strategically located 23 kilometres south-west of the world class mining centre of Broken Hill within New South Wales. All leases are 100% owned by Broken Hill Prospecting Ltd (BPL) and are subject to a farm in agreement with Cobalt Blue who can earn up to 100%.
BPL’s recent exploration activities have more than doubled the resource to 35.7 million tonnes grading 0.084% cobalt for 30,000 tonnes of contained cobalt.
The total JORC resource consists of three defined outcropping cobalt deposits, which remain open at depth and along trend: Pyrite Hill, Big Hill and Railway.
The large, near-surface deposits at Thackaringa also make the project suitable for large-scale, open cut mining methods.
Analysis Access launch video here. Access the prospectus here. Or contact the marketing and communications team, by email. Click here.
With this week being the last opportunity for investors to bid for stock in the Cobalt Blue IPO, the ASX is expecting to welcome its first pure cobalt play at an opportune time.
Cobalt Blue provides investors the opportunity to gain exposure to an aspiring top five, ethical, global cobalt producer in a pricing environment experiencing supply-demand pressures. Post-offer the company will have a tight shareholder register with 95 million shares on issue for an undiluted market cap of $19 million.
This is a compelling valuation when compared to some of the recent transactional activity in the space, such as the US2.65 billion purchase by China Molybdenum of Freeport McMoRan’s 56% interest in a DRC cobalt asset.
Canadian listed cobalt company, Ecobalt Solutions Inc (TSE:ECS) has experienced over 370% price appreciation year to date.
Similarly, Fortune Minerals Limited (TSE:FT) who produced premium battery-grade cobalt sulphate samples earlier in the year are trading up 450% year to date.
