Cobalt Blue Holdings Ltd (ASX:COB) and CuDeco Ltd (ASX:CDU) have entered into a memorandum of understanding (MOU) to investigate the cobalt recovery potential at CuDeco’s Rocklands Project in Queensland.
The Rocklands Project currently produces about 1.4 tonnes/day (100% contained cobalt) cobalt-pyrite flotation circuit tailings.
Cobalt Blue will undertake due diligence studies to evaluate the applicability of its minerals processing technology to the cobalt-pyrite concentrate from the Rocklands Mine.
Further potential cooperation involving marketing/processing contracts
CuDeco is exploring opportunities to monetise the cobalt-pyrite concentrate produced from the flotation concentrator circuit and will provide Cobalt Blue a representative 5–15 kilograms cobalt-pyrite sample.
Cobalt Blue will perform laboratory test work using its proprietary technology, with the results due within 12 weeks of receiving the sample.
After reviewing the test results, Cobalt Blue and CuDeco will discuss potential cooperation involving marketing/processing contracts or joint venture development of cobalt products.
CuDeco chairman Peter Hutchison said that should the Cobalt Blue technology prove suitable for the recovery of cobalt from the Rocklands ore, then this opens up a large potential opportunity CuDeco.
Cobalt Blue’s positive metallurgical work to date has identified a processing path that is demonstrating strong recoveries of cobalt from the cobalt-pyrite resources at its Thackaringa Cobalt Project in New South Wales.