Go Cobalt Mining (GOCO-Cse) Options Barachois Vanadium Project
Nov 8, '18 - NR
Go Cobalt Mining is pleased to announce it has signed an option agreement (the Agreement") with Contigo Resources Ltd. ("Contigo"), whereby Go Cobalt may earn an undivided 100% interest in the highly prospective Barachois Vanadium Property located in Gaspe Peninsula, Quebec, Canada. The transaction is subject to CSE ("Exchange") approval.
"Barachois is an excellent addition to our battery metal portfolio. This is a Canadian project with good grade and easy access. The area of mineralization presents the company with ways to add value at a relatively low cost", said Go Cobalt President Scott Sheldon. "Our company is very excited to get into the Vanadium space. Industrial demand combined with a future market for rechargeable electrochemical cells like the Vanadium redox flow battery looks very encouraging."
About Vanadium
Vanadium has been the best performing metal among the battery metals sector in 2018. Go Cobalt attributes part of this strength to policy in China, the world's top vanadium producer. China recently implemented new building code requirements increasing the need for high strength steel and implemented new pollution policies limiting the Chinese production of vanadium. Currently approximately 90% of vanadium is used in strengthening steel. Advances in battery technology and more competitive production costs could signal a significant increase in demand.
The Barachois Project (Quebec)
The Barachois Project is a sedimentary hosted Vanadium-Selenium-Silver-Lead-Zinc prospect in the Gaspe area of Quebec. The project covers 1,801 hectares where Carboniferous aged sediments have been shown to host sedimentary vanadium-zinc-lead mineralization. Historical work has identified three showings with samples yielding Vanadium Pentoxide grades in excess of 2%, lead over 8% and zinc over 5%.
The Go Cobalt technical team will commence a thorough review and compilation of the project data to develop an exploration program aimed at expanding the historic zones of mineralization.
Go Cobalt has not independently verified the samples referenced in this release and considers them historic in nature.
The Option Agreement
The Option Agreement calls for Go Cobalt to make cash payment of $40,000 and issue 1 million Go Cobalt common shares ("GOCO Shares") staged over a 12-month period. The Option Agreement does not require Go Cobalt to make any minimum amount of exploration expenditures.
Upon completion of these payments and shares issuances, Go Cobalt will proceed as the 100% owner of the Barachois subject to a 2.0% NSR royalty retained by Contigo. That royalty agreement provides that half of the 2% NSR may be purchased from the royalty holders for lump-sum cash payment of 1.5 million at any time.
Qualified Persons
Adrian Smith, P.Geo., is the qualified person for the Company as defined in the National Instrument 43-101 and has reviewed the technical information presented within this news release.
About Go Cobalt Mining Corp.
Go Cobalt is a Vancouver based mining exploration company. We develop exciting and relevant energy metal projects to help meet demand for a battery powered future.
For further information, please contact:
Scott Sheldon, President
604.725.1857
scott@gocobalt.ca |
