Castillo Copper is fast-tracking the comparatively low-cost development of a JORC compliant cobalt mineral resource, focusing exploration on four encouraging shallow zones in search of the lustrous grey metal, which is currently commanding US$71,000 a tonne.
Cobalt, a critical component used in batteries, is tipped to increase significantly over the long term, fuelled by soaring demand from EVs. Analysts expect usage to at least double to 270,000 tonnes by 2030.
The company, already well advanced with preliminary coding of the 2.5km x 600m wide target area and its 6182 holes, said it was encouraging how quickly it can move on its newfound battery metal trove.
“In the Board’s view, uncovering and leveraging high-quality legacy assays to potentially model up a JORC 2012 compliant Mineral Resource Estimate can materially advance the East Zone and create value for shareholders,” chief executive Dennis Jensen said.
The company’s next steps are to release the highly anticipated assay results from Arya Prospect and Big One Deposit in northwest Queensland.
Abroad, geophysical work is progressing on the Mkushi copper project in Zambia ahead of inaugural drilling at the nearby Luanshya copper project.
CCZ’s Australian Stock Exchange-listed price is currently trading at 2.3c (5:53am UTC+8 hours)