NioCorp Developments (CVE:NB)(OTCQX:NIOBF) shares rose on Monday after the company said it has signed confidentiality agreements with both Credit Suisse and Morgan Stanley to review its long-term planning strategy.
"We are extremely pleased to have two elite firms, Credit Suisse and Morgan Stanley, involved this early in the process," said chief executive officer Mark Smith.
"I believe that financial relationships with firms of this magnitude should be established now so by the time the technical studies are complete, the company can proceed immediately to the next step of the project," he said, referring to the development of NioCorp's high grade Elk Creek project in Nebraska.
NioCorp, which just recently unveiled further high grade drilling results from the project, just raised $10.6 million in a special warrant financing for continued infill drilling, pilot plant testing, and ultimately, the finalization of its full feasibility study for Elk Creek.
The property is the highest grade undeveloped niobium deposit in North America, discovered by Molycorp back in the late 1960s.
Niobium is mainly used in the form of ferro-niobium to produce high strength, low alloy steel, for use in automotive, structural and pipeline applications, and demand is seen increasing as the U.S. currently imports 100% of its niobium needs.
Shares of NioCorp rose 3.1 percent to 65 Canadian cents on Monday morning.