NetworkNewsWire
Editorial Coverage: Cobalt is a key component of lithium-ion
batteries, with cobalt sulfate the preferred feedstock for the
cathodes in these batteries. During 2017, the spot price of cobalt
has seen an upward trend, surging more than 120 percent on the
London Metal Exchange (LME) since the beginning of the year to a
nine-year high (http://nnw.fm/f38iT). Predictions are that 2018 will
see growing demand for cobalt in line with the increased production
of electric vehicles (EVs) worldwide and the increasing adoption of
lithium-powered mobile technology in developing countries, and
Bloomberg New Energy Finance forecasts that the shift toward these
batteries will continue to increase, sending demand for cobalt up
an astounding 30-fold by 2030 (http://nnw.fm/dArn3). Quantum Cobalt Corp.
(CSE: QBOT) (FRA: 23B) (QBOT
Profile) is gearing up to take
advantage of this surge in demand for the metal by developing its
cobalt interests in North America. With recent significant
exploration results, Quantum is pacing alongside other companies
looking to scale up their exploration, development and production
endeavors, including Cobalt 27 Capital Corp. (TSXV:
KBLT), First Cobalt Corp. (TSXV: FCC) (OTCQB:
FTSSF), eCobalt Solutions Inc. (TSX: ECS)
(OTC: ECSIF) and Katanga Mining Limited
(TSX: KAT).
The biggest market for electric vehicles is China, where the
number of EVs sold in 2016 was double the amount in Europe and
triple the amount in the United States. Sales of electric vehicles
are likely to increase exponentially on the back of China’s
requirement that one in five cars sold by 2025 must be powered by
alternatives to fossil fuels. France and Britain have also
announced their intention to ban combustion engines for vehicles by
2040. As signatories to the Paris Agreement on Climate Change, more
countries will follow suit, leading to an even higher expected
global demand for cobalt. Lithium-ion batteries account for a third
of the cost of producing an electric vehicle. To date, battery
prices have made EVs cost-prohibitive, but the price fell by 35
percent in 2015 and has continued to decrease each year since.
Bloomberg reported on a prediction that EVs will be as affordable
as combustion-driven vehicles by 2022, and that EVs will account
for over a third of all new vehicle sales by 2040 (http://nnw.fm/bc0hI).
While impressive, these predictions are saddled with worrisome
controversy. Today, China generates 80 percent of the world’s
cobalt products; a large percentage of its feedstock is sourced
from the Democratic Republic of Congo (DRC), where more than 50
percent of the world’s cobalt is mined despite a long history of
volatile political instability and serious ethical concerns. To say
circumstances in the DRC are “troubling” is putting it mildly.
Human rights activists and NGOs are ramping up their efforts to
abolish forced labor, child labor and financial corruption concerns
in the DRC, while industry leaders Apple and Tesla – both of which
heavily rely on cobalt for their lithium batteries - are walking
away from “Conflict Cobalt” and looking for alternatives supplies
outside of the DRC (http://nnw.fm/ay9B1 http://nnw.fm/2AmMj).
Increasing global awareness also has many cobalt producers
pursuing opportunities to develop safer alternatives in North
America rather than risking their investments in the DRC. And
herein lies the opportunity for Canada.
Well-aware of the shifting supply scene, Quantum Cobalt
Corp. (CSE: QBOT) (FRA: 23B) is focusing its attention on
developing its mining interests in Canada (http://nnw.fm/0uPqp), where the company owns three
properties tucked into the core of Ontario’s cobalt belt.
Quantum earlier this week announced significant results from an
exploration program at its wholly owned Kahuna Property near the
town of Cobalt. At Kahuna, the exploration program focused on
prospecting, geological mapping and geochemical sampling included
166 soil samples and 28 grab samples. According to the press
release (http://nnw.fm/B4Vhp), Kahuna produced assay samples as
high as 10.59 percent cobalt. Keep in mind that the discovery of 2
percent cobalt is considered “high grade” – samples at 10.59
percent put Quantum in a favorable position to consider its options
to produce cobalt from the historic workings to potentially capture
its share of surging demand for cobalt.
Quantum also recently published the results of assays from its
exploration program at its Nipissing Lorrain mine (http://nnw.fm/2LX5n), reporting that from 28 grab
samples collected and 15 submitted for analysis, the average grade
at the pile was found to be over 2.33 percent cobalt, with a peak
value of 8.33 percent. Based on these positive results, the company
says it is considering options to produce cobalt from the historic
workings.
Quantum in late November acquired the Nipissing Lorrain Project,
which includes two separate claims in land packages around the
mining town of Cobalt, a historically mined area with rich deposits
of cobalt, nickel and silver, and easy access to infrastructure,
power and road transport. Past production at this property included
over 16,500 pounds of cobalt and 5,500 pounds of silver.
Located in the epicenter of past producing cobalt mines in
Ontario, Quantum is gearing up to breathe life into Canada’s supply
line, potentially providing investors and automakers an alternative
outside the ethically-crippled DRC. With Tesla alone pushing to
roll-out 500,000 electric vehicles by the year 2020 – which would
require roughly 6 percent of cobalt produced worldwide annually -
global demand is rapidly outpacing supply, triggering what many are
calling a modern-day “exploration rush.”
Leading Quantum’s aggressive push forward is CEO Greg Burns, who
has more than two decades of corporate and technical experience in
mineral exploration. He is also currently the director of M&A
for Capital Investment Partners, an investment bank headquartered
in Western Australia. Burns previously was the previous managing
director of Xenolith, which was taken over by Cline Group in 2015,
and was also formerly the director of White Canyon Uranium before
the company was taken over by Denison Mines in 2010. He has also
held senior operations roles with Goldstream Mining, Adamus
Resources Limited and Platinum Australia Limited.
With Burns at the helm, this CAD$45+ million mining company is
gaining ground on its larger counterparts.
Cobalt 27 Capital Corp. (TSXV: KBLT) is one of
the few pure-play companies in the cobalt sector. The company holds
physical cobalt stock and is focused on developing a portfolio of
revenue streams, royalties and direct interests in cobalt mineral
properties through acquisitions. It has a high-quality management
team and advisory board experts in the fields of mining, investment
management and streaming/royalty companies. Cobalt 27 holds just
over 2,160 tons of physical cobalt, consisting of 1,488 tons of
premium grade and 672 tons of standard grade cobalt. It does not
intend to actively speculate with its physical holdings, which are
stored at secure warehouses certified by the LME. Cobalt 27
provides an investment alternative for investors interested in
direct cobalt investment without the risks associated with
exploration and processing companies.
With a market cap of over $232 million, First Cobalt
Corp. (TSX.V: FCC) (OTCQB: FTSSF) is in
the process of completing mergers with Cobalt One Ltd. and
CobalTech Mining Inc., which will enable it to control over 10,000
hectares of prospective land and 50 historic mining operations
around the town of Cobalt, Ontario. Currently, the company owns
4,300 hectares that include the historic Keeley-Frontier, Drummond,
Silver Banner and Bellellen mines. These mines historically
produced more than 3.3 million pounds of cobalt and 19.1 ounces of
silver. First Cobalt’s mission is to build the largest pure-play
cobalt exploration and development company in the world. On Dec. 7,
2017, the company announced that it had purchased four contiguous
mining claims located near the historically producing Caswell Mine
within the Cobalt Camp.
eCobalt Solutions (TSX: ECS) (OTC:
ECSIF) has interests in base and precious metals, as well
as uranium projects, in Canada, the United States and Mexico. It
has made a conscious decision to distance itself from the risks
associated with unethical mining operations in the DRC. The company
has focused its cobalt efforts on its wholly owned Idaho Cobalt
Project, which is one of the few predominant cobalt deposits in the
world. This means that mining feasibility is unaffected by the
nickel and copper markets. Engineering studies have indicated that
this project has the potential to produce high-purity cobalt and is
at advanced-stage, near-term production.
Katanga Mining Ltd. (TSX: KAT) is a
well-established mining company that began exploring opportunities
in the DRC in 1997. It operates a large-scale copper-cobalt project
with substantial high-grade mineral reserves and integrated mineral
processing operations. In January 2008, the company merged with
Nikanor PLC and also holds a 75 percent stake in two joint ventures
with Gecamines, a DRC-owned mining company. Although it conducts
all its operations in the DRC, Katanga Mining is fully committed to
the socio-economic development of the community within its sphere
of influence.
Due to the surge in demand for cobalt and expectations for a
continuing trend, industry experts predict a looming cobalt
deficit, which would likely push the price of the metal even
higher. These companies are scaling up their efforts in exploration
and development to take advantage of this rising global demand.
For more information on Quantum Cobalt Corp.,
visit: Quantum Cobalt
Corp. (CSE: QBOT) (FRA: 23B)
About NetworkNewsWire
NetworkNewsWire (NNW) is an information service that provides
(1) access to our news aggregation and syndication servers, (2)
NetworkNewsBreaks that summarize corporate news and
information, (3) enhanced press release services, (4) social media
distribution and optimization services, and (5) a full array of
corporate communication solutions. As a multifaceted financial news
and content distribution company with an extensive team of
contributing journalists and writers, NNW is uniquely positioned to
best serve private and public companies that desire to reach a wide
audience of investors, consumers, journalists and the general
public. NNW has an ever-growing distribution network of more than
5,000 key syndication outlets across the country. By cutting
through the overload of information in today’s market, NNW brings
its clients unparalleled visibility, recognition and brand
awareness. NNW is where news, content and information converge.
NetworkNewsWire (NNW)
New York, New York
www.NetworkNewsWire.com
212.418.1217 Office
Editor@NetworkNewsWire.com
Please see full terms of use and disclaimers on the
NetworkNewsWire website applicable to all content provided by NNW,
wherever published or re-published: http://NNW.fm/Disclaimer
DISCLAIMER: NetworkNewsWire (NNW) is the source of the Article
and content set forth above. References to any issuer other than
the profiled issuer are intended solely to identify industry
participants and do not constitute an endorsement of any issuer and
do not constitute a comparison to the profiled issuer. The
commentary, views and opinions expressed in this release by NNW are
solely those of NNW. Readers of this Article and content agree that
they cannot and will not seek to hold liable NNW for any investment
decisions by their readers or subscribers. NNW are a news
dissemination and financial marketing solutions provider and are
NOT registered broker-dealers/analysts/investment advisers, hold no
investment licenses and may NOT sell, offer to sell or offer to buy
any security.
The Article and content related to the profiled company
represent the personal and subjective views of the Author, and are
subject to change at any time without notice. The information
provided in the Article and the content has been obtained from
sources which the Author believes to be reliable. However, the
Author has not independently verified or otherwise investigated all
such information. None of the Author, NNW, or any of their
respective affiliates, guarantee the accuracy or completeness of
any such information. This Article and content are not, and should
not be regarded as investment advice or as a recommendation
regarding any particular security or course of action; readers are
strongly urged to speak with their own investment advisor and
review all of the profiled issuer’s filings made with the
Securities and Exchange Commission before making any investment
decisions and should understand the risks associated with an
investment in the profiled issuer’s securities, including, but not
limited to, the complete loss of your investment.
NNW HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains “forward-looking statements” within the
meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E the Securities Exchange Act of 1934, as amended and
such forward-looking statements are made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act
of 1995. “Forward-looking statements” describe future expectations,
plans, results, or strategies and are generally preceded by words
such as “may”, “future”, “plan” or “planned”, “will” or “should”,
“expected,” “anticipates”, “draft”, “eventually” or “projected”.
You are cautioned that such statements are subject to a multitude
of risks and uncertainties that could cause future circumstances,
events, or results to differ materially from those projected in the
forward-looking statements, including the risks that actual results
may differ materially from those projected in the forward-looking
statements as a result of various factors, and other risks
identified in a company’s annual report on Form 10-K or 10-KSB and
other filings made by such company with the Securities and Exchange
Commission. You should consider these factors in evaluating the
forward-looking statements included herein, and not place undue
reliance on such statements. The forward-looking statements in this
release are made as of the date hereof and NNW undertake no
obligation to update such statements.
Source:
NetworkNewsWire
Contact:
NetworkNewsWire (NNW)
New York, New York
www.NetworkNewsWire.com
212.418.1217 Office
Editor@NetworkNewsWire.com
Quantum Cobalt (CSE:QBOT)
Historical Stock Chart
From Nov 2024 to Dec 2024
Quantum Cobalt (CSE:QBOT)
Historical Stock Chart
From Dec 2023 to Dec 2024
