Pilot Plant Project to Produce Battery Metals Yields Positive First Steps

Last week, Canada Silver Cobalt Works Inc. (TSXV: CCW | OTC: CCWOF) (“CCW”) announced that bench-scale test work has yielded positive results in producing a concentrate required for its Re-2Ox process.

In addition to owning a silver-cobalt exploration project, CCW also owns a proprietary hydrometallurgical process known as Re-2OX that can process mineral concentrates into cobalt sulphate, an important component for making Electric Vehicle (“EV”) batteries.

Re-2OX Process

The environmentally-friendly Re-2OX process, bypasses the smelting process, to produce a cobalt sulphate hexahydrate from feed material such as mineral ore, tailings or recycled batteries.

While the Re-2OX process recovers cobalt, manganese, nickel, silver and other metals, it can also remove toxic compounds. The recovered metals can be sold without smelting or further processing.

In 2018, the Company extracted an 82-kg sample of vein material from its Castle Mine in northern Ontario, Canada and sent it to SGS Laboratories in Lakefield, Ontario.

The vein material was processed into cobalt-rich gravity concentrates and then run through the Re-2OX process. The process produced EV battery-grade cobalt sulphate at 22.6% cobalt that exceeded the specifications required by battery manufacturers at that time.

The Re-2OX process recovered 99% of the cobalt, 81% of the nickel and 84% of the manganese from the concentrate and, importantly, removed 99% of the arsenic.

Canada Silver Cobalt Works - Re-2Ox Process


Battery Metal Pilot Plant Underway

CCW is now working with SGS on a Pilot plant to scale up the Re-2OX process for the production of cobalt-nickel-rich gravity concentrates. The Company believes the process can be an economic method of producing, locally sourced, client-specific battery metals for the North American EV market.

The plan calls for the Pilot plant to be built and operated by SGS in Lakefield, Ontario and use silver-cobalt ore from the region including the Castle Mine property.

In May 2020, CCW released a maiden NI 43-101 mineral resource estimate for the Castle Mine project of 27,400 tonnes of material at an average silver grade of 8,582 g/t (250.2 oz/ton) for a total of 7.56 million Inferred ounces, and 2.54 million cobalt ounces at a grade of 3,260 g/t cobalt.

Frank Basa, CEO and Director commented, “The economics of harvesting both the base metals and silver, then adding value by processing it into premium EV battery metals will provide the Company with two solid income streams and we are excited for the future as the High-Grade and Technology Leader in Canada’s Silver Cobalt Heartland.”

Battery Recycling Using the Re-2Ox Process

Earlier this month, CCW announced that it has begun studies at SGS Canada to use the Re-2Ox process to extract minerals from old batteries. The Re-2Ox process is adaptable to recover rare earth metals from lithium-ion, nickel-hydride and nickel-cadmium batteries.

“We strongly considered this initiative a few years ago but initial research turned up a lack of feedstock at that time, but this has now changed. With feedstock currently available and coupled with the Re-2Ox process, the path is clear for the Company to develop what can be a robust and ever-increasing potential income stream by providing future tolling services for the treatment of used batteries,” remarked Frank Basa.

Acquiring EV Properties with the Potential for a Spin-out Battery Metals Company

Last month, CCW announced the acquisition of 39,200 hectares of EV properties in Quebec and Ontario.

The Company also reported that it was their intention to transfer the properties to another public company, in order to capitalize on the current EV market, and to dividend the shares to CCW’s existing shareholders.

Final Thoughts

CCW’s is focusing on becoming a producer of both silver, cobalt and other battery metals for the North American EV market. With its high-grade silver-cobalt mine and Re-2OX process, the Company is well positioned to become a Canadian leader in the production of silver, cobalt and other metals used in the EV industry.

CCW closed yesterday at C$0.46 with a market cap of C$56.0 million.

Canada Silver Cobalt Works finds gold as they progress towards silver production at Castle property

Finding cobalt is good, finding silver is great, but finding gold is the best. One Company has managed to find all three valuable metals on their Castle Property in Canada.

The Company is Canada Silver Cobalt Works Inc. (TSXV: CCW | OTCQB: CCWOF) (‘Canada Silver Cobalt’). Canada Silver Cobalt 100% owns the past producing Castle Mine and the 78 sq. km Castle Property in the Northern Ontario Silver-Cobalt Camp in Canada.

Source: Company presentation

Canada Silver Cobalt finds new gold, cobalt, and silver

On December 17, 2020, Canada Silver Cobalt announced that they had intersected high-grade gold mineralisation with cobalt within the high-grade silver-cobalt mineralized vein structures at the Castle property. This really is good news with gold (Au) trading at US$1,920/oz, cobalt (Co) at US$15.42/lb, and silver (Ag) at US$27.05/oz.

Clearly Canada Silver Cobalt is excited as drilling continues around the clock, seven days a week with 2 drills. A 50,000-meter drill program is in place of which 18,000 meters have been completed. Below are some of the results, the highlight being the 24.95 g/t gold finding over 0.3m.

Canada Silver Cobalt Works finds gold


Matt Halliday, P.Geo., Canada Silver Cobalt’s President, commented:

“Hole CS-20-25 is confirming the working hypothesis regarding the potential correlation between the gold mineralization in the Robinson Zone and that previously identified in the gold zone immediately west of the Robinson where substantial Archean alteration typically associated with gold mineralisation has been recorded. Significantly, in hole CS-20-31, a gold structure within the Robinson Zone, that is associated with the silver-cobalt veins of the diabase, has been identified. Given the reports from this historic Camp of silver bars containing recoverable amounts of gold, this newly identified gold mineralization is extremely exciting. Additionally, CS-20-31 has visible gold near surface. This, and identifying further gold mineralization near surface, will dramatically impact the economics of the Robinson Zone vein system.”

Canada Silver Cobalt also stated : “If the gold in the cobalt-silver veins comes from reactivated Archean structures, this could also indicate gold at depth below the diabase.

Note: Bold emphasis done by the author.

In another recent announcement (Dec. 29, 2020) Canada Silver Cobalt reported the intersection of a new, additional, high-grade silver vein within 60 metres of the Robinson Zone Discovery hole CA-1108. Assays are still pending however the Company stated: “Visually, mineralization in the new vein rivals the discovery intersection of hole CA-11-08 (40,944 g/t silver (1,194 oz/ton) over a core length of 0.45 meters…..”

Canada Silver Cobalt has a maiden Inferred Resource of 7,560,200 oz of silver@ 8,582 g/t (250.2 oz/ton) at the Castle Property (Castle East). Anything over 50 g/t silver is considered high grade, so clearly Canada Silver Cobalt’s average grade is exceptional.

Canada Silver Cobalt is also currently advancing the permitting process for an underground ramp construction in 2021 for the Robinson Zone on the Castle Property. This includes project advancement in environmental studies, site development, and community engagement (noting First Nations Agreement is in place). Initially the ramp construction will act to provide underground exploration platforms to greatly enhance new discovery opportunities.

Canada Silver Cobalt has already acquired a facility for metals processing in the town of Cobalt and in Q4 2019 successfully poured 3 silver bars from Castle Mine waste material.

Source: Company presentation

Closing remarks

If Canada Silver Cobalt continues to find more gold they may need a name change to Canada Silver Cobalt ‘Gold’ Works. I would think investors would not mind.

Canada Silver Cobalt’s market cap is C$69 million and the Company already has a maiden Inferred Resource of 7.5 million oz of silver at exceptional grades, boosted by excellent grade cobalt, and now some gold and potential for more. Added to this the Company is well funded after a recent C$4.9 million flow though financing, owns their own nearby processing facility, and has several catalysts in 2021 as the ongoing drill campaign reports results.

2021 could possibly be a breakout year for Canada Silver Cobalt Works. Stay tuned.

Canada Silver Cobalt Works talks about their Castle Property with 7.5 million inferred oz silver

InvestorIntel’s Tracy Weslosky talks with Canada Silver Cobalt Works Inc.’s (TSXV: CCW | OTCQB: CCWOF) CEO Frank Basa and President & COO Matthew Halliday about Canada Silver Cobalt Works’ Castle Property, located 85 kilometres northwest of Ontario’s historic Gowganda Cobalt silver mining camp.

“Since mining started at the camp, grades were known to be exceptionally high,” Frank said. “We’ll mine the asset for silver, and we will produce cobalt, nickel and copper for free. So, we can compete on a global scale.”

“Our new main resource at Gowganda is extremely exciting,” Matthew said. “We are the first company to put a 43-101 compliant in-situ resource in the whole Cobalt camp. We have a resource of 7.5 million ounces at over 8000 grams per ton inferred.” Matthew added, “When you compare to other places in the world, we are 10-20 times higher in grade than most camps in the world.”

To watch the complete interview, click here

Disclaimer: Canada Silver Cobalt Works Inc. is an advertorial member of InvestorIntel Corp.

Canada Silver Cobalt Works announces new name and maiden resource with high-grade silver

Silver prices have recovered ~45% since their low yet they are still about 50% below where they should be. This means silver miners right now represent extraordinary value, and should do well if the current silver price recovery continues as history would suggest is likely.

The gold-silver ratio is near an all-time high and currently at 98.5 to 1. This means gold is today worth a staggering 98.5 times more than silver. History tells us that the gold-silver ratio should be about 50:1. This is based on the 20th century average gold-silver ratio of 47:1. This means that silver is currently extremely undervalued to gold right now. Or put another way, based on the historical rate of 50:1, that would mean silver should be trading at US$ 34.34/oz (US$ 1,717 gold price/50). The current silver price is just US$ 17.45. Silver prices should be almost double based on the historical average gold-silver ratio, or about US$ 34/oz.

Based on the gold to silver historical ratio of 50, silver prices should now be about double

Source & Source

One very promising junior silver and cobalt miner is Canada Silver Cobalt Works Inc. (TSXV: CCW | OTCQB: CCWOF). The Company is developing three 100% owned, past-producing, high-grade silver-cobalt mines in the prolific Northern Ontario Silver-Cobalt Camp.

Canada Silver Cobalt Works three key historic mines in Northern Ontario, Canada


The Castle Mine

Canada Silver Cobalt Work’s flagship Castle Mine and 78 sq. km Castle Property features strong exploration upside for silver, cobalt, nickel, gold and copper including exceptionally high grade veins of silver. Canada Silver Cobalt Works released yesterday a strong maiden resource estimate for the Castle East Robinson Zone.

The result was: Zones 1A and 1B have an average silver grade of 8,582 g/t (250.2 oz/ton) in a combined 27,400 tonnes of material for a total of 7,560,200 Inferred ounces of contained silver using a cut-off grade of 258 g/t AgEq. After adding in the lower grade Zone 2A the total is 7,567,000 inferred ounces of contained silver.


Note: High grade is anything above 50 g/t silver (Ag). The above resource average grade was an exceptional 8,582 g/t.

Given the outstanding silver grades and strong maiden resource it helps explain the recent name change from Canada Cobalt Works Inc. to Canada Silver Cobalt Works Inc.

The Castle Property also has some gold potential. The only gold-focused drill hole at Castle East completed in 2019 (CS19-19) cut 4.3 g/t Au over 4 meters and 1.5 g/t Au over 12.5 meters within a 30-meter mineralized zone grading 0.70 g/t Au (vertical depth approximately 240 meters). This broad interval included 1 meter that returned 15.2g/t Au.

Matt Halliday, VP-Exploration, commented:

“We’re excited to continue drilling numerous remaining exploration targets. We’re seeing some phenomenal grades at Castle East, consistent with historical discoveries in the broader district going back to the early 1900’s. We see strong potential to expand and upgrade the known Inferred resource estimate, including higher up in the diabase, given the multiple targets we have.”

Canada Silver Cobalt Works is on track to be a vertically integrated silver producer with very valuable by-products. As well as planned silver production from Castle Mine material and processing of mine tailings, Canada Silver Cobalt Works intend to be a vertical integrated silver producer due to their strategic acquisition of PolyMet Resources Inc.’s Processing Facility located in the nearby town of Cobalt. The company 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 Silver Cobalt Works has a First Nations agreement in place, and permitting is already underway. Other next steps include:

  • Continued exploration for silver, cobalt, gold and other metals in various vein structures at Level 1 underground at Castle Mine as well as surface drilling and a potential ramp in the Castle East Robinson Zone and further surface exploration in the new gold zone 1.5 km east of mine shafts and adit. Only a fraction of Castle East has been drill-tested and it is open in all directions. New drilling has commenced now on this high priority exploration zone.
  • Proceed with assaying, bulk sampling and bullion pouring operations at the newly acquired Temiskaming Testing Labs.
  • Tailings Program –Test work using gravity separation spiral concentrators towards establishing a mill for the processing of 600 tonnes of tailings per day.
  • Continued permitting work for the tailings program, a ramp at Castle East, and for constructing a state-of-the-art 600 t/d gravity, flotation, cyanidation mill.
  • Ongoing metallurgical testing using the proprietary Re-2OX process aimed at producing cobalt, nickel and manganese sulphates for end-buyer evaluation.

Closing remarks

Sometimes the stars all just align and everything comes together in a positive way.

With Canada Silver Cobalt Works we have a low market cap (C$51 million) vertically integrated miner with not one, but three promising projects in Canada with very high silver grades and exploration upside; all when the silver price looks set to surge. The Company also has other high value metals such as cobalt, nickel, gold and copper. The cobalt price is also currently very low with demand expected to surge and lift prices over the next few years as the EV boom takes off.

Investors should definitely have Canada Silver Cobalt Works on their radar as the company continues to progress very well.