The clamour about metals used in electric vehicles remains a loud one, with constant speculation about future supply shortfalls in critical minerals like lithium and cobalt necessary to build rechargeable lithium-ion batteries that power the cars.
To that end, small companies like First Cobalt Corp. (TSX-V:FCC)(OTCQX:FTSSF) are hustling to develop American assets to supply the markets under an executive order from President Donald Trump to reduce dependence on imports. On Thursday, First Cobalt said exploration is proving fruitful, with the latest batch of drill results confirming cobalt and copper metal zones containing high-grade mineralization.
Recent drilling has focused on the western extent of First Cobalt's Iron Creek project, a region of the property that is the subject of a current Inferred resource. Mineralization in the zone remains open along strike and at depth.
Today's data was highlighted by intersects of 10 metres grading 4.04% copper and eight metres at 3.16% copper, including 1.4 metres grading 6.56% copper and 20.5 grams per tonne silver.
High copper grades were generally accompanied by silver throughout the drilling program. Cobalt highlights included a cut of 1.04% cobalt across 1.5 metres and 0.51% cobalt over 4.1 metres.
The company noted that intersects characterize a transition from cobalt-rich to copper-rich zones, with grades coming in higher than previously reported. First Cobalt CEO Trent Mell commented that he is "repeatedly impressed by the increasing potential of [the Iron Creek] resource." Mell said the company plans to update its mineral resource estimate early next year to include the latest drill results.
Despite it being widely known that the U.S. imports all of its cobalt, investors have still trended away from developmental companies focused on the metal in 2018 as evidenced by FCC shares sliding from a high of $1.58 three days into the trading year to as low as 26 cents in August.
The stock rebounded from the low, printing up to 50 cents a week later before going on another skid. As the noon hour approaches in Toronto on Thursday, shares are trading up half a penny, or 1.6%, at 32.5 cents.
