COQUITLAM, BC, March 1, 2019 /CNW/ - Canada Cobalt Works Inc.
(TSXV: CCW) (OTC: CCWOF) (Frankfurt: 4T9B) (the "Company" or "Canada
Cobalt"), a technology leader in the Northern Ontario Cobalt-Silver
Camp, is pleased to announce that the Company has added another
catalyst to its first half 2019 strategy – a unique and
environmentally friendly program with a plan to develop
cost-effective near-term recovery of silver and gold mineralization
from an historic tailings area approximately 300 meters from the #3
Shaft at the Castle mine.
The Company considers the tailings very prospective for
high-grade silver and other metals, including gold and cobalt,
based on historical records and just-received results from SGS
Lakefield which has produced a gravity concentrate from the
tailings grading 389 g/t silver, 0.63 g/t gold and 0.20%
cobalt.
The tailings program will initially target silver and gold and
will be optimized through the Re-2OX process to recover other
metals including cobalt, nickel and copper. It will also be used as
a template by the Company for similar potential initiatives in
Gowganda and elsewhere in the
broader region where innovative approaches to decades-old tailings
issues can deliver important environmental solutions as well as
potential business growth opportunities.
Highlights:
- Canada Cobalt has acquired gravity separation spiral
concentrators, made by Mineral Technologies of Australia, for test work which is being
undertaken to complete a flow sheet for a pilot plant that can
treat a minimum of 600 tonnes of tailings per day;
- Mineral Technologies' spiral concentrators are designed to be
highly efficient and easy to install, featuring minimal maintenance
requirements and high recoveries;
- The stamp mill coarse tailings from early 20th
century mining at Castle will be processed underground at the
Castle mine near the #3 Shaft in a wide-open area on the first
level;
- The stopes on the first level will be fully cleaned out and
back-filled (cemented) with the tailings waste from the high-grade
concentrate created underground.
Frank J. Basa, Canada Cobalt
President and CEO, commented. "The tailings 'problem' in
Northeast Ontario's historic
silver-cobalt mining district is really a tailings 'opportunity',
and our intention is to capture that opportunity for Canada Cobalt
shareholders.
"We've been a leader on multiple fronts in this district. We
look forward to working closely with our First Nation partners and
the Ministry of Mines to implement a tailings program at Castle
that can be a model for similar initiatives in the Gowganda Camp
and elsewhere throughout the region from the town of Cobalt to
Silver Centre," Basa concluded.
The above program is part of an amendment to the Company's
advanced exploration permit with the Ontario Ministry of Northern
Development and Mines.
Cautionary Statement
No resource estimate or economic analysis of the Castle tailings
area has been carried out by the Company.
Canada Cobalt will not be basing a production decision at Castle
on a feasibility study of mineral reserves demonstrating economic
and technical viability, and as a result there is increased
uncertainty and there are multiple technical and economic risks of
failure associated with such a decision. These risks, among others,
include areas that are analyzed in more detail in a feasibility
study, such as applying economic analysis to resources and
reserves, more detailed metallurgy and a number of specialized
studies in areas such as mining and recovery methods, market
analysis, and environmental and community impacts.
Canada Cobalt Presents At PDAC
Canada Cobalt President and CEO Frank J.
Basa is scheduled to make a presentation to investors as
part of the Corporate Presentation Forum at PDAC 2019 in
Toronto.
The presentation will be in the Energy Metals and Specialty
Products session on Monday, March
4, starting at 11:15 am EST in
Room 803 in the South Building of the Metro Toronto Convention
Centre.
Mr. Basa's presentation will focus on Canada Cobalt's aggressive
plans and potential catalysts for 2019 including:
- Today's announcement of an innovative tailings project;
- Phase 2 underground drilling to follow up on recently announced
Phase 1 results that included multiple high-grade shallow cobalt
and silver intercepts (refer to Feb. 19,
2019, news release);
- The technological lead that the Company has achieved with its
environmentally green Re-2OX hydrometallurgical process for
recovery of cobalt, base metals and precious metals;
- Exciting Castle East discovery opportunities - gold, silver and
cobalt;
- Favorable share structure and plans to continue to keep share
dilution to a minimum, further distinguishing Canada Cobalt from
its peers in the Northern Ontario Cobalt-Silver district.
Mr. Basa will be available for questions after the presentation
and also will meet with investors during PDAC at Booth 2738 in the
Investors Exchange exhibit area on the 800 level in the South
Building.
Canada Cobalt was recently ranked by the TSX among the Top 5
Mining Companies in its 2019 Venture 50 listing of top performers
on the Venture Exchange in 2018. The Company regards this ranking
as a validation of the strategy it has pursued toward building a
vertically integrated mining company.
Quality Assurance/Quality Control
A 120-kilogram sample from the Castle mine's historic tailings
pond was randomly collected in pails and subsequently transported
by courier to SGS Laboratories, an accredited lab in Lakefield, Ontario. Samples were submitted for
assay. Aqua regia digestion and atomic absorption finish were used
for silver, gold, cobalt, nickel and copper analysis.
Qualified Person
The technical information in this news release was prepared
under the supervision of Frank J.
Basa, P.Eng., Canada Cobalt's President and Chief Executive
Officer, who is a member of Professional Engineers Ontario and a
qualified person in accordance with National Instrument 43-101.
About Canada Cobalt Works Inc.
Canada Cobalt is focused on immediate and longer-term value
drivers at its past producing Castle mine and adjoining land
package in the historic Northern Ontario Silver-Cobalt district,
Canada's cobalt heartland since
the start of the electric vehicle revolution. With underground
access at Castle, an innovative tailings program with a plan to
recover silver, gold and cobalt, a recently installed pilot plant
to produce gravity concentrates on site, and a proprietary
hydrometallurgical process known as Re-2OX, Canada Cobalt is
strategically positioned to become a vertically integrated North
American mining company.
"Frank J. Basa"
Frank J. Basa, P. Eng.
President and Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Service
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release. This news release may contain
forward-looking statements including but not limited to comments
regarding the timing and content of upcoming work programs,
geological interpretations, receipt of property titles, potential
mineral recovery processes, etc. Forward-looking statements address
future events and conditions and therefore, involve inherent risks
and uncertainties. Actual results may differ materially from those
currently anticipated in such statements.
SOURCE Canada Cobalt Works Inc.