Sign up Australia
Proactive Investors - Run By Investors For Investors

Cobalt Blue’s shares hit all time high on mineralisation continuity at Thackaringa

Further strong assay results from New South Wales cobalt project.
Directors with core
An upgraded resource estimate is expected during the March quarter

Cobalt Blue Holdings Ltd (ASX:COB) surged to a record high as the company received further strong drilling results from the Thackaringa Cobalt Project.

Shares increased more than 30% to $0.55 in early afternoon trade.

The flow of news is set to continue with metallurgical testwork results due shortly, centred on Calcine and Leach processing steps.

Drilling demonstrates continuity of mineralisation

Drilling results from the Railway deposit have demonstrated strong continuity of cobalt mineralisation along strike and down dip.

They also boost the potential to significantly enhance upgrading resources to the indicated category from inferred.

Best results are 72 metres at 1,115 ppm cobalt, 10.1% tin and 9.8% iron from 15 metres, and 25 metres at 1,204 ppm cobalt, 9.5% tin and 10.6% iron from 154 metres.

READ: Cobalt Blue identifies further targets at Thackaringa

There are 75 holes being drilled in the current program for a total of 13,000 metres.

The results are being compiled into an upgraded resource estimate, which is expected to be released by 1 April 2018.

Drilling will also provide geotechnical information and supply samples for metallurgical testing. 

The program at the Railway, Pyrite Hill and Big Hill deposits is 70% complete and is expected to be finished by late December.

Rob Biancardi, chairman, said: “The work continues to add substantially to our geological understanding of Thackaringa, with its significant combined strike length of 4.5 kilometres and widths varying from 25 to 100 metres.”

READ: Cobalt Blue Holdings attracts funds to increase scale of Pre‐Feasibility Study

The testwork forms part of an ongoing prefeasibility study (PFS), which also includes engineering and technical studies.

The process focus is upon a mine to battery supply chain ready product and the PFS is expected by 30 June 2018.

Results continue to justify proceeding further along the pathway towards commercial development of Thackaringa.

Next steps at Thackaringa

The nature and scale of planned further work will be determined following completion of a revised mineral resource estimation.

The company will also deliver a scoping study by the end of March quarter 2018 and complete an aerial geophysical program.

By June 30 the company aims to spend $2.5 million in ground targeting indicated resources of 40 million tonnes and to deliver a preliminary feasibility study.

The Thackaringa site is close to Broken Hill, and is well connected to existing transport routes including the Barrier Highway and the Intercontinental Railway.

Availability of water and power supplies further support positive project economics. 

View full COB profile View Profile

Cobalt Blue Holdings Ltd Timeline

Related Articles

Cobalt sample on the periodic table
May 23 2018
One of Australia’s few potential cobalt producers from sulphide-based deposits, where cobalt production is underpinned by copper and gold.
Checking a Redmoor core sample
May 11 2018
The Redmoor project's inferred resource has 45,000 tonnes of contained tin equivalent.
Drilling rig at Mt Venn project
May 09 2018
The project is 30 kilometres west of the Gruyere gold deposit in the Eastern Goldfields district of Western Australia.

No investment advice

The information on this Site is of a general nature only. It does not take your specific needs or circumstances into consideration, so you should look at your own financial position, objectives and requirements and seek financial advice before making any financial decisions. You acknowledge and understand that neither the Company, its related bodies corporate, the information providers or their affiliates will advise you personally about the nature, potential value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter. You should read our FSG and any other relevant disclosure documents and if necessary seek persona advice prior to making any investment decision.

You understand and agree that no Content (as defined below) published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person.

You understand that in certain circumstances the Company, its related bodies corporate, the information providers or their affiliates may have received, or be entitled to receive, financial or other consideration in connection with promoting, and providing information about, certain entities on the Site and in communications otherwise provided to you.

You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate. From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

Before you act on any general advice we provide, please consider whether it is appropriate for your personal circumstances.

© Proactive Investors 2018

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use