Cobalt Blue (COB) Update - Listing 31/1/17 COB is scheduled to list on 31 January, following a successful $10m IPO.
This promises to be a good vehicle for cobalt exposure with the consensus being that cobalt will be one of the more exciting commodities to play in 2017, due to shortages of the metals and potential conflict in the DRC, which contributes 50% of the world supply.
There are a number of cobalt plays coming to surface on the ASX, but very few have JORC resources. Most of them only have sniffs, and sometimes good samples from selective rock chips.
There is even one out there that is being promoted on the back of good drill intercepts, but the cobalt grades actually came from the blade used to cut the core, not from the geology. You’d be excused for calling it a fraud. COB stands out because it does have a JORC resource of 35 Mt, in the safe jurisdiction of NSW (near Broken Hill).
Like virtually all cobalt projects, the cobalt is found with other elements so that the economics depends on not just cobalt alone. Here it is found in association with pyrite, so the co-product is sulphur or sulphuric acid. COB’s earn-in deal commits it to spending real money expanding the resource and completing economic studies. Thus it plans to deliver and not just promote. It will be one of the more tangible cobalt specialist.
From the above FEC Report.
