The review comes after results from the Mt Elvire soil sampling program returned no significant mineralisation.
Tony Sage, chairman, commented: “Given the disappointing soil sampling results the company will now focus on several cobalt opportunities in the DRC and Zambia that have been offered.
“Our technical team will review these opportunities and the company will report back to the market as soon as possible.”
Fe has interests in a portfolio of mineral projects located in Australia that are prospective for iron ore, gold and base metals.
The prospective projects are in the Bryah Basin region of Western Australia with joint venture partners RNI NL (ASX:RNI), Alchemy Resources (ASX:ALY), Independence Group NL (ASX:IGO), Westgold Resources (ASX:WGR) and Billabong Gold Pty Ltd.
The project portfolio includes:
- Bryah Basin Joint Venture Projects (20%, free carried to decision to mine);
- Grosvenor Projects (20%, free carried to decision to mine);
- Alchemy Projects (20%, free carried to decision to mine);
- Mt Ida Gold Project;
- Mt Ida Iron Ore Project (iron ore rights);
- Mt Elvire Project (100%); and
- Evanston Iron Ore Royalty (1.5% royalty).
Mt Elvire Project
A total of 114 samples were extracted from E77/1842 and 118 samples were extracted from E77/1843.
The results returned from the sample program have not highlighted any significant mineralisation within the tenements but Fe remains committed to retaining E77/1842 and E77/1843 so that further soil sampling work can be implemented.
Additionally, the company is assessing surrounding tenure and vacant land with a view to acquiring more ground in the region to improve prospectivity of the project area.
Recent results at Grosvenor Projects
Operator of the Grosvenor Projects, RNI NL, recently intercepted significant mineralisation including 25 metres at 1.1% copper.
This followed up first pass aircore drilling at the Wodger prospect, which intersected volcanogenic massive sulphide (VMS) oxide mineralisation over one kilometre in length.
Significant copper intercepts from this phase of work include:
- 25 metres at 1.1% copper including 4 metres at 4.73% copper; and
- 4 metres at 1.19% copper within a broader halo of 100 metre at 0.32% copper.
The recent intercept of 25 metres at 1.1% copper is 230 metres south east along strike from the previous 9 metres at 1.30% copper and demonstrates that this mineralised system has both significant size and scale.
Cobalt is a specialty metal used in rechargeable batteries, specifically in the cathode – its properties allow it to store power for longer.
Due to its potential widespread use in smartphones and the lithium-ion batteries used in Tesla Inc (NASDAQ:TSLA) vehicles, prices have been rapidly rising.
The cobalt price has more than doubled since the end of August 2016 to trade over $US50,000 per tonne recently.
A big driver of the cobalt price in 2017 is speculation that supply won’t be able to keep up with demand.
This is further exacerbated by the cobalt market being in deficit last year for the first time since 2009.