CobalTech Mining has acquired nine additional strategically located properties surrounding its Duncan Kerr Project at the Cobalt Camp in Ontario, Canada.
With this acquisition, the company increases its total area of prospective ground by eight times.
Following this purchase, ColbalTech now controls around 264ha area that includes these nine past producing mines.
CobalTech Mining president and CEO Antoine Fournier said: “It is exciting to be able to acquire such quality assets with so much potential in what is considered a mature mining camp.
“The acquisition was made to build the foundation for CobalTech’s plan to significantly expand its presence in the cobalt sector. The company now has the necessary core properties to be able to implement its business strategy.”
The newly acquired properties include the historic Drummond, Conisil, Hargraves, Belmont, Silver Cross, Campbell-Crowford, Juno, Airgiod and Silver Bird mines.
CobalTech claimed that these mines produced nearly 4.55 million ounces of silver and 253,000lb of cobalt, which never exceeded 186m from surface.
One of the last mines to continue production was the Conisil mine, which was previously owned by Agnico-Eagle.
The mine’s 1994 closure plan stated cobalt mineralisation of 78,966t at 0.17% Co for a total of 270,462lb of cobalt, as well as 500,000oz of silver.
Under the acquisition agreement, CobalTech will pay $250,000 to vendor 9920455 Canada Inc and issue five million common shares of the company as consideration.
Cobalt is generally produced as a by-product of either copper or nickel, which has substantial demand in the lithium battery industry.
Headquartered in Ontario, CobalTech Mining owns full interest in the Duncan Kerr Property.