Getting the grades for silver, cobalt, nickel and now high-grade gold.
A junior Canadian explorer/developer is having great recent success in northern Ontario, Canada. The most exciting part is that they have been finding good grades of four extremely valuable metals – Silver, cobalt, nickel, and recently gold.
Canada Cobalt Works Inc. (TSXV: CCW | OTCQB: CCWOF) is developing three 100% owned, past-producing, high-grade silver-cobalt mines in northern Ontario, with the main focus on the historic Castle Mine where many high-grade veins of silver, cobalt, gold, and nickel have been discovered.
Canada Cobalt has a 78 km2 total claim zone NE of the town of Gowganda, Ontario. This area lies in the middle of the previously producing Gowganda silver-cobalt camp, including all 3 former Castle Mine shafts #1, #2 and #3 and the adit (near #2 and #3). The Castle Mine is close to all the needed infrastructure.
Canada Cobalt’s tenements and Castle Mine in the Gowganda Silver-Cobalt Camp region of Northern Ontario
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On January 3 Canada Cobalt announced:
“Canada Cobalt Works Inc. is pleased to announce that initial assay results from multi-directional and very short underground drill holes on the western side of the Castle mine have revealed unexpected high-grade gold in addition to more high-grade cobalt, silver and nickel. This is now considered an emerging new discovery area open for considerable potential expansion with easily accessible mineralization from the first level near the adit entrance.”
This exciting new discovery of an apparent gold system is in an underexplored area just 1.5 km east of Castle shafts/adits at the Castle Mine. Needless to say, Canada Cobalt plans to do more follow up drilling. Below are just three of the recent drill results which show the high-grade potential:
- 22.7g/t Au and 1.03% Co in drill hole C-U-19-016 from 3.3m to 3.6m within a broader 2.4-m core interval grading 5.8g/t Au and 0.78% Co (2.4m to 4.8m, drilled upward toward the surface).
- 4,970g/t Ag (144.9oz/ton) and 0.40% Co (1.2m to 1.8m), 1.6% Co and 1.1% Ni (1.8m to 2.4m) and 2.9% Co, 3.7% Ni and 0.89g/t Au (4.8m to 5.4m), all in drill hole C-U-19-006.
- 3.2% Co, 102 g/t Ag and 3.0% Ni from 0.9m to 1.2m in drill hole C-U-19-002 within 1.5m (0m to 1.5m) grading 1.7% Co and 1.6% Ni.
Note: High grade is anything above 50 g/t silver (Ag), above 5 g/t for gold (Au), and above 2% for cobalt (Co) and nickel (Ni).
On January 10 Canada Cobalt announced:
“Canada Cobalt Works Inc. is pleased to announce that assays from the second wedge hole at the Robinson Zone at Castle East, a new grass roots high-grade discovery adjacent to three past producers, have returned 70,380g/t silver (2,053 oz/ton) over 0.30 meters within a broader zone of 1.4 meters grading 20,136 g/t (587oz/ton) and 4 meters (core length) of 7,259g/t (212oz/ton).”
Drill cores showing the high grade silver discovery at Castle East
Canada Cobalt is on track to be a vertically integrated silver producer
With a planned silver production from Castle Mine material and processing of mine tailings, Canada Cobalt intends to be a vertically integrated silver producer; following their recent strategic acquisition (subject to closing conditions) of PolyMet Resources Inc.’s (“Polymet”) Processing Facility. Canada Cobalt has already demonstrated silver production capability from Castle Mine material with the pouring of silver bars at the PolyMet facility. Added to this is the Company’s proprietary Re-2OX Process that has produced cobalt sulphate exceeding battery industry specifications.
Canada Cobalt has a First Nations agreement in place, and permitting is already underway.
Canada Cobalt is making all the right moves and it is looking like 2020 could be a company making year for them. Superb silver, cobalt, and nickel grades, and now some high-grade gold. Near term catalysts will be any further drill results, any resource announcement, the Polymet Lab acquisition closing, and permitting results.
With a safe jurisdiction, precious metals, vertical integration, and a market cap of only C$62 million; investors will be sure to take a good look at Canada Cobalt Works Inc.
Matthew Bohlsen is a Senior Editor for InvestorIntel.com. With a Graduate Diploma in Applied Finance and Investment, and a Graduate Diploma in Financial Planning. He ... <Read more about Matthew Bohlsen>