Cobalt Miners News For The Month Of September 2018

Summary

Cobalt spot prices were slightly down in September but appear to have stabilized just below US$30/lb.

Cobalt market news - Any reduction of the cobalt content would likely be far outweighed by a four-to-five-fold increase in demand for batteries.

Mining News - "Cobalt heading towards 2020s deficit."

DRC H1 2018 - Cobalt production jumped 37.6% to 52,491 tonnes.

Cobalt miners news - China Molybdenum increases net profit by 162.95% year on year. RNC Minerals hits a massive high grade gold deposit at their Beta Hunt mine in Australia, ~C$38m so far in 2 weeks.

Welcome to the September 2018 cobalt miner news. For some background on the cobalt miners, please check out my earlier articles:

The past month saw cobalt prices fall slightly but begin to stabilize, and LME inventory levels rise slightly.

Cobalt price news

As of September 19, the cobalt spot price was US$28.46, reduced from US$29.26/lb last month. The LME cobalt price is US$59,500/tonne. The London Metals Exchange [LME] inventory remains low for the past month (see graph below), despite a slight rise.

Cobalt spot prices - 1-year chart - USD 28.46/lb

1 Year Cobalt Prices - Cobalt Price Chart

Source: InfoMine.com

LME cobalt 1 year inventory

1 Year Cobalt LME Warehouse Levels - Cobalt Levels Chart

Source: Infomine.com

Cobalt demand and supply

On August 24 Mining News reported:

Reduced cobalt electric car batteries delayed amid price fall. This month provided further evidence that cobalt bulls may rest a little bit easier – rapidly rising global battery production volumes should more than make up for ongoing cobalt thrifting….South Korean battery giants SK Innovation and LG Chem have both announced delays in the roll-out of NCM 811 batteries which were promised for the second half of this year. SK will stick to 622 batteries for EVs like the popular Kia Niro while using 811 for energy storage units. LG Chem will use 811 in e-buses only…Simon Moores, MD of Benchmark Mineral Intelligence, a provider of price information and research on battery supply chains, says the firm has been "consistently advising that 811 cathode usage in electric vehicles is some years away from major adoption.".."Poorer life cycle, reduced safety and misrepresented relative cost savings are all major concerns for electric vehicle producers…"811 will have its day, but it won’t be before 2021.”..Benchmark calculates that even with the most ambitious roll-out of 811 battery technology – 40% market share by 2026 – output of battery grade cobalt would have to more than triple from last year’s production of 50,000 tonnes (out of total cobalt production of just over 100,000 tonnes).

On September 5 Reuters reported: "Congo's H1 copper production rises 8 pct; cobalt output up 38 pct. Copper output in Democratic Republic of Congo rose 7.9% year-on-year in the first half of 2018 to 597 249 tonnes and cobalt production jumped 37.6% to 52 491 tonnes, the central bank said on Thursday."

Bloomberg - Rising demand for cobalt risks supply shock in early 2020s

Source: Bloomberg.com

Investors can read my article on Trend Investing - "My Cobalt Demand Versus Supply Model - May 2018 "

Cobalt market news

On August 28 MiningNews.net reported: "Cobalt heading towards 2020s deficit. The price of cobalt may have retreated from the dizzy heights of early 2018, but the outlook for the blue metal remains positive, with some sector analysts particularly bullish about prospects beyond 2020. LME cobalt prices closed at US$63,806 per tonne on Friday, down from $75,000/t at the start of the year and a peak of $94,500/t on March 21."

On August 30 Mining.com reported: "Congo's H1 copper production rises 8%, cobalt output up 38%. Copper output in Democratic Republic of Congo rose 7.9 percent year-on-year in the first half of 2018 to 597,249 tonnes and cobalt production jumped 37.6 percent to 52,491 tonnes, the central bank said on Thursday."

On September 6 Cobalt27 published: "Cobalt’s Much-Anticipated Demise (Not) - An Insider’s Opinion." A worthy read.

On September 13 Roskill reported: "Cobalt: prices rebound in early September. Low-grade cobalt metal prices ticked upwards in early September, bringing to an end a period of decline that began in April. Prices, as reported by Metal Bulletin, bottomed out at US$33/lb in late August."

On September 15 Mining.com reported: "Congo will declare cobalt and other minerals as "strategic" in coming days – mines minister. The prime minister of the Democratic Republic of Congo will sign a decree in the coming days to designate cobalt and other minerals as "strategic" and therefore subject to higher royalties, Mines Minister Martin Kabwelulu said on Saturday. The change is part of a new mining code, which mining companies including Glencore and Randgold oppose as it axes tax exemptions and hikes royalties and profit taxes. They have been holding out the hope it might be watered down in further negotiations." It is expected to be a 10% royalty tax on producers. You can read more here.

Cobalt company news

China Molybdenum [HKSE:3993] [SHE:603993] (OTC:CMCLF)

On September 5 China Molybdenum announced:

Interim report 2018. Operating revenue amounted to RMB14,060 million, an increase of 20.63% year on year; net profit amounted to RMB3,601 million, an increase of 162.95% year on year, among which: net profit attributable to the parent company amounted to RMB3,123 million, an increase of 273.89% year on year. Net cash flow from operating activities amounted to RMB5,412 million, an increase of 55.45% year on year. Total EBITDA amounted to RMB7,303 million, an increase of 41.15% year on year; the balance of cash and cash equivalents amounted to RMB26,600 million. Cobalt production of TFM Copper/Cobalt Mine in the DRC reached a historical high in the first half of 2018 with volume of 9,029 tonnes; mainly attributable to the long-lasting rise in cobalt price, C1 cash cost of TFM copper was US$-1.04 per pound.

Glencore [HK:805] [LSE:GLEN] (OTCPK:GLCNF)

On September 7 Glencore announced: "Stake in Rosneft held by Glencore-QIA Consortium: completion of sale. Glencore refers to the announcement on 4 May 2018 concerning the Consortium’s agreement to sell a 14.16% stake in Rosneft to a wholly owned subsidiary of QIA. This transaction has now completed."

On September 19 Glencore announced: "Glencore plc successfully placed a tap issue of non-dilutive zero coupon cash settled guaranteed convertible bonds for USD 125 million to be consolidated with its USD 500 million non-dilutive zero coupon cash settled guaranteed convertible bonds due 2025."

Katanga Mining [TSX:KAT] (OTCPK:KATFF)

No news for the month.

You can also read my original article from January 1, 2017, "Katanga Mining is a potential turnaround story." Followers of mine who bought back then with me at CAD 0.13 and sold when I recommended Trend Investing subscribers to reduce at CAD 2.89 made a nice 2,123% gain in just over a year.

Sherritt International [TSX:S] (OTCPK:SHERF)

On September 10 Sherritt Internarional announced: "Sherritt publishes cobalt reference price and warrant conversion ratio for September 2018. Sherritt International Corporation, a world leader in the mining and refining of nickel and cobalt from lateritic ores, today published the Applicable Reference Cobalt Price US$37.77 and Applicable Common Shares per Warrant Ratio 1.05 for the three-month period ended August 31, 2018."

Umicore SA [Brussels:UMI] (OTCPK:UMICY)

On September 13 4-traders reported: "Umicore: patent issued for bimodal lithium transition metal based oxide powder for use in a rechargeable battery (USPTO 10,069,140)."

Sumitomo Metal Mining Co. (TYO:5713) (OTCPK:SMMYY)

No significant news for the month.

MMC Norilsk Nickel [LSX:MNOD] [GR:NNIC] (OTCPK:NILSY)

On September 20 MMC Norilsk Nickel announced: "Shareholders of MMC Norilsk Nickel approved the interim dividend for the first half of 2018."

Investors can also read my article: "Time To Buy Norilsk Nickel Before The Nickel Boom Perhaps Starts In 2018."

Freeport-McMoRan Inc. (NYSE:FCX)

No cobalt related news for the month.

Highlands Pacific [ASX:HIG] (OTC:HLPCF)

On September 10 Highlands Pacific announced:

Ramu Mineral Resource and Ore Reserve update. Highlands Pacific Limited has received updated Mineral Resource and Ore Reserve estimates for the Ramu nickel and cobalt deposit from the project manager Ramu NiCo Management Limited [MCC]. The updated Mineral Resource estimate, as at 15 June 2018, is a total of 136 million tonnes at an average grade of 0.9% nickel and 0.1% cobalt. This compares with the previous estimate, as at December 2016, of 124 million tonnes at 1.0% nickel and 0.1% cobalt, which has been depleted by mining and increased by drilling in the intervening period.

On September 12 Highlands Pacific announced:

Highlands Pacific half-year results. A strong operating performance at the Ramu Nickel and Cobalt mine has enabled Highlands Pacific Ltd to report a net profit of US$36.1 million for the six months to June 2018, up from US$1.5 million for the prior corresponding half year. The Company holds an 8.56% interest in the Ramu project, which generated earnings of US$9.2 million for Highlands for the six months to June 2018, compared with US$1.05 million in the previous June half. Ramu recorded an excellent operational result, producing 17,370 tonnes of nickel and 1,644 tonnes of cobalt in the half year at the project level (100%), which was well above plant design capacity and slightly up from 16,956 tonnes of nickel and 1,624 tonnes of cobalt in the prior corresponding six months.

Of interest, 4-traders shows an analyst price target of AUD 0.33, representing ~214% upside.

Possible mid-term producers (by ~2020)

eCobalt Solutions [TSX:ECS] (OTCQX:ECSIF)

On September 11 eCobalt Solutions announced: "eCobalt announces successful completion of pilot testing to produce clean cobalt concentrate. eCobalt Solutions announces the successful completion of pilot-level metallurgical testing for the Company’s 100% owned Idaho Cobalt Project (the “ICP”), located near the town of Salmon, in the heart of the historic Idaho Cobalt Belt. The ICP remains the sole, near-term environmentally-permitted primary cobalt deposit in the United States."

On September 18 eCobalt Solutions announced: "eCobalt provides Idaho Cobalt Project construction update." Highlights include:

  • "Water Treatment Plant (“WTP”) building completed. Placement of large components and mechanical assembly to commence September 18th.
  • Lining of the Tailings Waste Storage Facility (“TWSF”) and ponds advancing with expected completion in September for ponds and October for TWSF, including gravel topping.
  • Pumpback system pipelines installation now 65% complete.
  • Bulk fuel storage and distribution system complete.
  • Construction of surface mobile equipment maintenance facility initiated on September 6th.
  • Construction of the mill building foundation commenced on September 10th."

Upcoming catalysts include:

  • 2018 - Project financing and off-take agreements.

Fortune Minerals [TSX:FT] (OTCQX:FTMDF)

On September 17 Fortune Minerals announced:

Fortune announces successful tests to produce upgraded and clean cobalt concentrate from the Nico Project. Significant improvement in sale value of cobalt and bismuth concentrates to third party processors and anticipated material reduction in capital and operating costs for development. Fortune Minerals Limited is pleased to announce that it has received successful results of metallurgical test work verifying that it can produce an upgraded and essentially arsenic-free cobalt concentrate for the NICO Cobalt-Gold-Bismuth-Copper development in Canada ("NICO Project"). Gold can also be recovered by Fortune from its metal concentrates at the mine site allowing the Company to control the gold revenue stream, while producing separate cobalt and bismuth concentrates for sale to third party processors after arsenic that is typically penalized is removed. The 100% owned NICO Project is a development stage primary cobalt asset with significant gold and bismuth by-products. Fortune has already received environmental assessment ("EA") approval and the major permits for the mine and concentrator in the Northwest Territories as well as EA approval for a refinery in Saskatchewan.

Investors can read the latest company presentation here.

Upcoming catalysts include:

  • H2 2018 - Updated Feasibility Study capital and operating costs
  • 2018 - Possible off-take or equity partners; project financing

RNC Minerals [TSX:RNX] (OTCQX:RNKLF)(formerly Royal Nickel Corporation)

On September 4 RNC Minerals announced:

RNC Minerals proceeds with Dumont Feasibility Study update. The updated feasibility study will incorporate the results of the market value-in-use study recently completed by the Joint Venture, updated macro-economic assumptions and several other optimizations and updates, including an updated mine plan, optimization of tailings deposition, and updated capital and operating costs. The results of the updated feasibility study are expected to be announced in the first half of 2019.

It has to be mentioned that during the month RNC Minerals made a huge gold discovery (perhaps the biggest gold nugget ever found) at their 100% owned Beta Hunt mine in Western Australia. It made global headlines as you can read here and here ("Once-in-a-lifetime discovery"). You can view my CEO interview here, discussing the discovery and potential for more. Also a BNN TV interview here.

Massive gold nuggets found from Beta Hunt Gold mine - September 2018

Source

On September 20 RNC Minerals announced: "Father's Day vein yields 24,000 ounces of gold worth $38 million." Not bad for 2 weeks, and potential for a lot more to come.

Investors can view the company presentations here, my very recent update on RNC Minerals article here, or my CEO Mark Selby interview on Trend Investing here.

Clean TeQ [ASX:CLQ] [TSX:CLQ] (OTCQX:CTEQF)

On August 30 Clean TeQ announced: "Metallurgical Corporation of China Ltd [MCC] selected as a key project delivery partner for Clean TeQ Sunrise. Heads of Agreement with MCC for a fixed-price EPC contract covering detailed engineering and on-site construction of Clean TeQ Sunrise."

Clean TeQ has 132kt contained cobalt at their Sunrise project.

Investors can also read my article, "Top 6 Cobalt Junior Developer Miners To Boom By 2021/2022", and the latest company presentation here.

Upcoming catalysts include:

2018 - Further off-take agreements and project funding.

Australian Mines [ASX:AUZ] (OTCQB:AMSLF)

On August 27 Australia Mines reported:

Australian Mines to acquire 100% interest in Flemington Cobalt-Nickel-Scandium Project, New South Wales. Under the terms of the Option Agreement, Australian Mines, through its wholly-owned subsidiary Flemington Mining Operations Pty Ltd has now paid the option exercise fee of $600,000 to Jervois Mining Limited [ASX: JRV]. Completion of the Sale Agreement will occur over the next 20 business days at which time Australian Mines will make the final payment of $3,400,000 to Jervois Mining Limited. The original Option Agreement also included a 1.5% gross sales royalty on all proceeds from the sale of products derived from the Flemington assets. In an unrelated transaction this royalty has since been sold by Jervois Mining Limited to Cobalt 27 Capital Corp, a physical commodity trading house focused on cobalt.

On September 9 Australian Mines announced: "Australian Mines secures $12 million investment from US fund. Company remains funded through to Final Investment Decision on flagship Sconi Cobalt-Nickel-Scandium Project in Queensland."

On September 14 Australian Mines announced: "Drilling extends nickel-cobalt resource potential at Sconi; Project financing negotiations accelerated."

Investors can read my recent article here, my CEO interview here, or view the latest company presentation here.

Upcoming catalysts include:

  • Q4 2018 - BFS result due for a Sconi. Project funding update.
  • Late 2018/ early 2019 - First drill results for Thackaringa.
  • April 2019 - Resource upgrade for Sconi. Sconi construction hoped to begin.
  • 2019 - Updated resource and a PFS for Flemington to commence.
  • 2021 - Possible Sconi production start with a 3 year ramp.

Ardea Resources [ASX:ARL] (OTC:ARRRF)

On September 5 4-traders reported: "Ardea Resources Ltd [ASX:ARL]. Exceptional gold-silver rock chip results Black Bullock prospect, NSW. Up to 38 g/t gold and 348 g/t silver. Significant samples have greater than 1 g/t gold."

In total, Ardea has 405kt of contained cobalt and 5.46mt of contained nickel at their KNP project near Kalgoorlie in Western Australia.

Investors can view their latest company presentation here, and my interview with former Managing Director Dr. Matt Painter on Trend Investing here.

Upcoming catalysts include:

  • H2 2018 - Goongarrie Resource & Reserve Upgrade.
  • Mid 2019 - DFS results - KNP cobalt project.
  • 2021 - Possible production start.

Cobalt Blue Holdings [ASX:COB] (OTCPK:CBBHF)

On September 5 ABS Newswire reported:

Cobalt Blue Holdings Limited Thackaringa Joint Venture - Completion of Stage 2 earning obligations. Cobalt Blue Holdings Limited advises that it has received notice from Broken Hill Prospecting Limited [ASX:BPL] (OTCMKTS:OTC:BPLNF) that BPL has accepted to its satisfaction the completion of the Stage Two earning obligations under the Joint Venture Agreement on the Thackaringa Cobalt Project in Broken Hill NSW.

On September 11 ABS Newswire reported:

Cobalt Blue Holdings Limited CuDeco Rocklands Project Testwork MOU. Cobalt Blue Holdings Limited and CuDeco Limited announce that they have entered into a Memorandum of Understanding [MOU], an important stepping stone to determine if the cobalt-pyrite at the Rocklands project can produce cobalt products and create additional revenue for both companies. Investors should note that the CDU Rocklands Project: [I] currently produces approximately 1.4t/day (100% contained cobalt) cobalt-pyrite flotation circuit tailings; and [II] the 2015 Updated Resource Estimate identified 16,500t contained cobalt.

On September 13 Cobalt Blue reported: "Bankable Feasibility Study commences with drilling campaign and project optimisation studies."

On September 18 Cobalt Blue announced a Letter to Shareholders that stated:

Wood concluded that the pre-BFS work, completion of flowsheet development, additional bulk scale testwork, demonstration operations and BFS will take about 24 months. Whilst COB will make full use of the Wood review and recommendations, including its conclusions as noted above, it will remain focused on a timeline that allows a final investment decision by mid-2020.

On September 19 Cobalt Blue announced: "Update on progress with the Bankable Feasibility Study [BFS]."

In total Cobalt Blue currently has 61kt of contained cobalt at their Thackaringa Cobalt Project in NSW, Australia.

Trend Investing subscribers would have been able to buy Cobalt Blue when I wrote about them back in November 2017 at AUD 0.23. My interview with CEO Joe Kaderavek is on Trend Investing here, with an updated interview discussing the LG deal here.

Upcoming catalysts include:

  • H2 2018 - Possible further LG agreements (off-take, funding).
  • H2 2018 -2019 - Optimisation improvements on the PFS, drill results.
  • End Q2 2019 - Resource update.
  • H1 2020 - BFS to be released. Reach 85% farm in. Project approvals completed.
  • 2022 - Possible producer.

Aeon Metals [ASX:AML](OTC:AEOMF)

Aeon Metals 100% own their Walford Creek copper-cobalt project in Queensland Australia. The 2012 JORC stated Indicated and Inferred Resources of 73Mt at 1.43% Cu equivalent containing: 296,000t of copper, 60,000t of cobalt, 623,000t of zinc, 626,000t of lead, 55moz of silver. Recent previous announcements have confirmed mineralization strikes at 4.6km and 7.4km along strike from the defined existing resource.

On August 30 Aeon Metals announced: "42 metres at 2.55% copper and 0.29% cobalt 4.6km west of current Walford Resources."

On September 6 Aeon Metals announced: "Further high grade copper-cobalt drill assays. WFDH313 32m @ 2.02% Cu, 0.17% Co and 33gt Ag from 171m: Including 19m @ 3.20% Cu, 0.21% Co and 38gt Ag from183m."

On September 18 Aeon Metals announced: "Drilling shows excellent continuity west of current resource."

For more information you can read my article "Aeon Metals May Have A World Class Copper And Cobalt Sulphide Resource In Northern Australia."

Investors can view a 4-traders analyst consensus PT of AUD ??0.54, and the latest company presentation here.

Upcoming catalysts include:

  • 2018 - Further drilling and drill results, further upgrades to the resource.

GME Resources [ASX:GME][GR:GM9] (OTC:GMRSF)

GME Resources own the NiWest Nickel-Cobalt Project located adjacent to Glencore’s Murrin Murrin Nickel operations in the North Eastern Goldfields of Western Australia. The NiWest Project which has a total resource (0.8% Ni cut-off): 81Mt at 1.03% Ni and 0.06% Co (~75% in M&I categories) for an estimated 830,000 tonnes of nickel metal and 52,000 tonnes of cobalt.

No news for the month.

Investors can read the latest activities report here, or an excellent investor presentation here.

Havilah Resources [ASX:HAV] [GR:FWL]

Havilah 100% own the Mutooroo copper-cobalt project about 60km west of Broken Hill in South Australia, with an average cobalt grade of 0.13% and 17,100 tonnes of contained cobalt in sulphide ore. They also have the nearby Kalkaroo copper-cobalt project. Havilah also have a 15% royalty on the Portia gold mine which assists their cash flow, and their soon to be developed North Portia gold project. They also have a massive iron ore project called Grants iron (within the Mutorroo area), and several other very promising exploration projects including the massive Jupiter Iron Oxide Copper Gold Target.

On August 28 Havilah Resources announced: "Copper-cobalt prospects upgraded by new sampling at Mutooroo." Highlights include:

  • "Copper-cobalt prospects in the Mutooroo Cobalt District confirmed and better defined by new surface sampling results.
  • Sidewinder Prospect emerging as a large new Mutooroo style copper-cobalt target with maximum copper to 2,230 ppm (0.22%) and cobalt up to 3,460 ppm (0.35%).
  • Potential southern extension to the Mutooroo copper-cobalt-gold deposit identified.
  • Taipan Prospect expanded, including cobalt values up to 3,870 ppm (0.39%).
  • Planning for initial drill targeting on highest priority prospects."

On August 31 Havilah Resources announced: "Quarterly activities report – period ending July 2018. North Portia project divestment–for $14.7 million cash and 2% NSR royalty delivering future cash flow and allowing Havilah to focus on higher priority projects."

On September 11 Havilah Resources announced: "Kalkaroo PFS metallurgical program update. Three large diameter core holes for new metallurgical samples recently completed. Long ore grade intercepts of typical Kalkaroo replacement style mineralisation reported for each hole. Additional program of metallurgical testing using these samples has commenced."

Note: Investors can learn more by reading my recent articles - "The Broken Hill District May Grow To Become Australia's Premiere Cobalt Mining Center", and Havilah Resources Has Huge Potential."

Investors can view my CEO interview here, and the company presentation here.

The very promising Broken Hill cobalt district (Havilah Resource's Mutooroo is not shown but would be at the bottom left if shown)

Source

Note: Other neighbors to Cobalt Blue include Alloy Resources [ASX:AYR], Castillo Copper [ASX:CCZ], Broken Hill Prospecting [ASX:BPL], and Archer Exploration [ASX:AXE].

Castillo Copper [ASX:CCZ]

In an article titled "Castillo identifies six Himalaya-style cobalt targets" by Finfeed they stated: "CCZ’s project is situated 17 kilometres west of the historic Broken Hill mining centre, within a prolific region of NSW steadily emerging as a hub for battery metals. Broken Hill in particular is thought to contain one of the largest undeveloped cobalt reserves in the world; however previous exploration in the area has predominantly focused on zinc, lead and gold."

On September 3 Castillo Copper announced: "Assays verify extensive massive sulphide mineralisation. Excellent assays from the first five drill-holes at Cangai with results up to 10.25% Cu, 6.04% Zn & 32.5g/t Ag recorded."

On September 10 Castillo Copper announced: "Assays infer mineralisation extension from Cangai’s line of lode. Rock-chip samples delivered calibre results with up to 23.9% Cu & 55.5g/t Ag recorded."

Investors can view my CEO interview here, and an investor presentation here.

Alloy Resources [ASX:AYR]

On September 21 Alloy Resources announced: "Ophara Project exploration update. Big new copper-gold targets over at least 3 kilometres strike at Kitchies Reward prospect. Air-core drill results confirm mineralised trends from soil anomalies."

Cassini Resources [ASX:CZI] [GR:ICR] (OTC:CSSQF)

Cassini's flagship is the West Musgrave Project hosting over 1.0 million tonnes of contained nickel and 2.0 million tonnes of contained copper in resource. The company has a buy in JV with OZ Minerals [ASX:OZL] (OTCPK:OZMLF) for West Musgrave. The company also has several other promising projects.

On September 10 Cassini Resources announced: "Further success at Yappsu Prospect. A narrow disseminated zone of mineralisation returning 5.75m @ 0.28% Ni, 0.63% Cu, 0.01% Co, 0.30g/t PGE and 0.15g/t Au from 545m. An underlying broad disseminated zone of disseminated mineralisation of 70.25m @ 0.48% Ni, 0.44% Cu, 0.02% Co, 0.34g/t PGE and 0.08g/t Au from 555.05m. Including a massive sulphide zone of 0.80m @ 4.39% Ni, 0.11% Cu, 0.13% Co, 1.45g/t PGE and 0.02g/t Au from 555.75m. Including the barren interval between the two main zones, the diluted intercept is 80.3m @ 0.44% Ni, 0.44% Cu, 0.02% Co, 0.32g/t PGE and 0.09g/t Au, which is the thickest intercept of mineralisation drilled so far."

On September 18 Cassini Resources announced: "New near-mine discovery at Nebo." Highlights include:

  • "Resource extension drilling targeting the eastern end of the Nebo deposit has discovered a significant new body of mineralisation, named as the Angie Lode.
  • Better results include 5.6m @ 2.68% Ni, 2.09% Cu, 0.09% Co & 0.33g/t PGE, within a broader zone of 50.35m @ 0.62% Ni, 0.54% Cu, 0.02% Co & 0.15g/t PGE.
  • The Angie Lode is located close to, but outside of, the current mine design and may extend over 550m of strike-length.
  • Follow-up resource delineation drilling now planned.
  • Further opportunities for the discovery of additional high-grade mineralisation with the potential to positively impact mine development."

Investors can read the latest company presentation here.

Nzuri Copper [ASX:NZC] (OTCPK:NZRIF)

Nzuri 85% own the Kalongwe copper-cobalt project in the Kolwezi region of the Democratic Republic of Congo [DRC]. The Kalongwe resource is a near surface oxide resource of 302,000t contained copper at an average grade of 2.72% copper, that also includes 42,000t contained Cobalt (at an average 0.62% grade). In late 2017, China’s Huayou Cobalt invested US$10m in Nzuri Copper buying a 14.8% stake.

No news for the month

Investors can read the latest company presentation here.

Celsius Resources [ASX:CLA] [GR:FX8]

Celsius owns 100% of Opuwo Cobalt Pty Ltd, which in turn holds the right to earn up to 76% of the Opuwo Cobalt (sulphide) Project in Namibia. Mineralisation has already been intersected over a 15 km zone in the initial Celsius drilling program. Celsius has ~126,000 tonnes of contained cobalt at an average grade of 0.11%.

On September 5 Celsius Resources announced: "Drilling continues to expand mineralisation at Opuwo." Highlights include:

  • "Latest drilling results, all outside the current JORC Mineral Resource, include: 8 m @ 0.18% Co, 0.51% Cu and 0.64% Zn, including 2 m @ 0.30% Co, 0.70% Cu and 0.97% Zn. 6.43 m @ 0.13% Co, 0.38% Cu and 0.53% Zn. 7 m @ 0.12% Co, 0.41% Cu and 0.62% Zn. 5 m @ 0.13% Co, 0.60% Cu and 0.61% Zn. 8 m @ 0.08% Co, 0.54% Cu and 0.55% Zn. 5 m @ 0.12% Co, 0.58% Cu and 0.55% Zn.
  • New results to be included in Mineral Resource update in Q4, 2018.
  • Scoping Study on track for completion by the end of October, 2018."

Investors can view the company presentations here.

Barra Resources Ltd. (OTC:BRCSF) [ASX:BAR] / Conico Ltd [ASX:CNJ]

Barra is developing the Mt Thirsty project, which is a 50/50 joint venture with Conico, to produce cobalt suitable for the metal, chemical and battery markets.

On September 10 Investing News Australia reported:

Mineral Resources buys 10-percent stake in cobalt developer Barra. Mineral Resources, which is focused on iron ore and lithium projects in Western Australia, bought AU$2 million shares at a five-day volume-weighted average price of 3.5 cents per share. “As Barra’s new second largest shareholder we will welcome the opportunity to provide input and support when Barra brings its projects into production,” Chris Ellison, managing director of Mineral Resources, said. Perth-based Barra will use the capital to complete a prefeasibility study [PFS] on the Mt Thristy cobalt-nickel oxide project, continue its systematic gold exploration programs at Coolgardie gold assets and for general working capital.

Cruz Cobalt [CUZ] (OTCPK:BKTPF)

On September 18 4-traders reported:

Cruz Cobalt: samples 2.0% cobalt in rock and defines multiple cobalt soil anomalies at the Hector Cobalt Property, Cobalt Ontario. A total of 5 rock grab samples returned greater than 0.1% cobalt and up to 2.02% cobalt (2018BKP040) from the Gillies East anomaly, in addition to anomalous silver and gold values. Mineralization in outcrop occurs as narrow diabase-hosted potassium feldspar-carbonate veins ranging in width from less than 5 and up to 25 cm in width.

First Cobalt [TSXV:FCC] (OTCQB:FTSSF)

On September 4 First Cobalt announced: "First Cobalt acquires 100% ownership of Iron Creek Project. First Cobalt Corp. is pleased to announce the acquisition of 100% ownership and elimination of the outstanding royalty on the Iron Creek property in Idaho, USA."

Investors can view the company presentations here.

Bankers Cobalt [TSXV:BANC] [GR:BC2] (NDENF)

On August 29 Bankers Cobalt announced:

Bankers provides update on exploration in DRC and Namibia. Grant Dempsey, President and COO of Bankers stated: "Bankers has completed a significant amount of exploration work on 12 concessions in the DRC in the past eight months. A large portion of the exploration was completed during the operationally difficult wet season, a testament to the quality of our DRC team. Those efforts have resulted in multiple drill ready targets now being tested. The work being conducted is necessary to adequately and methodically evaluate our portfolio of green field projects. Bankers is one of the few companies in the DRC undertaking the exploration effort that is fundamental for the discovery of new mineral resources.

Investors can view the company presentations here, or my CEO Stephen Barley interview on Trend Investing here.

Cobalt27 Capital Corp. [TSXV:KBLT] [GR:27O][LN:OUPZ] (OTC:CBLLF)

Cobalt27 is a listed investment company that offers unique exposure to a portfolio of cobalt assets - Cobalt metal, cobalt royalties and direct cobalt properties. Cobalt27 owns 2,905.7 tonnes of cobalt.

No cobalt related news for the month.

Investors can read my articles "Cobalt 27: Don't Forget The Nickel Exposure", and "Cobalt 27 Has A Rapidly Growing Portfolio Of 11 (Now 12) Cobalt And Nickel Streaming And Royalty Deals."

Other juniors and miners with cobalt

I am happy to hear any news updates from commentators. Tickers of cobalt juniors I will be following include:

African Battery Metals [AIM:ABM], Artemis Resources Ltd [ASX:ARV] (OTCPK:ARTTF), Auroch [ASX:AOU] [GR:T59], Azure Minerals [ASX:AZS] (OTC:AZRMF), Blackstone Minerals [ASX:BSX], BHP (NYSE:BHP), Berkut Minerals [ASX:BMT], Bluebird Battery Metals Inc. [TSXV:BATT] (OTCPK:BBBMF), Brixton Metals Corporation [TSXV:BBB](OTC:BXTMD), Canadian International Minerals [TSXV:CIN], Canada Cobalt Works Inc [TSXV:CCW], Centaurus Metals [ASX:CTM], Cobalt Power Group [TSX:CPO], Cohiba Minerals [ASX:CHK], Corazon Mining Ltd [ASX:CZN], Cudeco Ltd [ASX:CDU] [GR:AMR], Dragon Energy [ASX:DLE], European Cobalt Ltd. [ASX:EUC], First Quantum Minerals (OTCPK:FQVLF), Galileo [ASX:GAL], Global Energy Metals [TSXV:GEMC] (OTC:GBLEF), GME Resources [ASX:GME] (OTC:GMRSF), Global Energy Metals [TSXV:GEMC] [GR:5GE1] (GBLEF), Hinterland Metals Inc. (OTC:HNLMF), Hylea Metals [ASX:HCO], Independence Group [ASX:IGO] (OTC:IIDDY), King's Bay Res (OTC:KBGCF) [TSXV:KBG], Latin American Resources, LiCo Energy Metals [TSXV:LIC] (OTCQB:WCTXF), M2 Cobalt Corp. (TSXV: MC) (OTCQB: OTCQB:MCCBF), MetalsTech [ASE:MTC], Metals X (ASX:MLX) (OTCPK:MLXEF), Meteoric Resources [ASX:MEI], Mincor Resources (OTCPK:MCRZF) [ASX:MCR], Northern Cobalt [ASX:N27], Pacific Rim Cobalt [BOLT:CSE], PolyMet Mining [TSXV:POM] (NYSEMKT:PLM), OreCorp [ASX:ORR], Power Americas Minerals [TSXV:PAM], Panoramic Resources (OTCPK:PANRF) [ASX:PAN], Pioneer Resources Limited [ASX:PIO], Platina Resources (OTCPK:PTNUF) [ASX:PGM], Quantum Cobalt Corp [CSE:QBOT] GR:23BA] (OTCPK:BRVVF), Regal Resources (OTC:RGARF), Hylea Metals (ASX:HCO), Sienna Resources [TSXV:SIE], (OTCPK:SNNAF), US Cobalt [TSXV:USCO] (OTCQB:USCFF), and Victory Mines [ASX:VIC].

Conclusion

Cobalt spot prices look to have stabilized in September after falling since May 2018. It appears that strong cobalt demand and the new Congo supply are now back in balance.

My highlights for the month were:

  • Cobalt spot prices stabilizing near US$30/lb.
  • Any reduction of the cobalt content would likely be far outweighed by a four-to-five-fold increase in demand for batteries.
  • Mining News - "Cobalt heading towards 2020s deficit."
  • China Molybdenum increases net profit by 162.95% year on year.
  • Highlands Pacific reports a net profit of US$36.1 million for the six months to June 2018, up from US$1.5 million for the prior corresponding half year.
  • RNC Minerals hits a massive high grade gold deposit at their Beta Hunt mine in Australia, ~C$38m so far in 2 weeks.
  • Aeon Metals continues to get outstanding drill results at their 100% owned Walford Creek copper-cobalt project in Queensland Australia.
  • Havilah Resources - "Copper-cobalt prospects upgraded by new sampling at Mutooroo."
  • Castillo Copper delivers amazing results - "Assays verify extensive massive sulphide mineralisation. Excellent assays from the first five drill-holes at Cangai with results up to 10.25% Cu, 6.04% Zn & 32.5g/t Ag recorded."
  • Mineral Resources buys 10-percent stake in cobalt developer Barra.

As usual, all comments are welcome.

Disclosure: I am/we are long GLENCORE (LSX:GLEN), KATANGA MINING [TSX:KAT], NORSILK NICKEL (LME:MNOD), HIGHLANDS PACIFIC [ASX:HIG], AUSTRALIA MINES [ASX:AUZ], FORTUNE MINERALS [TSX:FT], RNC MINERALS [TSX:RNX] , ARDEA RESOURCES [ASX:ARL], COBALT BLUE [ASX:COB], AEON METALS [ASX:AML], GME RESOURCES [ASX:GME], CASSINI RESOURCES (ASX:CZI) , HAVILLAH RESOURCES [ASX:HAV], CONICO LTD [ASX:CNJ], CRUZ COBALT CORP [TSXV:CUZ], BANKERS COBALT [TSXV:BANC], POSEIDON NICKEL [ASX:POS], ALLOY RESOURCES (ASX:AYR), CASTILLO COPPER (ASX:CCZ), CELSIUS RESOURCES [ASX:CLA], COBALT27 [TSV:KBLT]. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Additional disclosure: The information in this article is general in nature and should not be relied upon as personal financial advice.

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