THE BOURSE WHISPERER: Havilah Resources (ASX: HAV) and Cobalt Blue Holdings (ASX : COB) have struck a Memorandum of Understanding (MoU).
Havilah Resources explained the MoU covers a joint investigation of the applicability of Cobalt Blue’s proprietary process for the recovery of cobalt from pyrite ores.
Havilah will provide Cobalt Blue a representative 10 kilogram Mutooroo sulphide ore sample, on which COB will perform laboratory test-work using its proprietary technology including crushing, grinding, flotation, calcining and leaching.
Havilah anticipates results by 30 April 2018.
“COB’s positive metallurgical work to date has identified a potential processing path that is demonstrating strong cobalt recoveries, for its pyrite hosted cobalt at Thackaringa,” Cobalt Blue said in its ASX announcement.
“Based on ASX releases and discussions between technical staff, the parties believe HAV may have similar metallurgical requirements to commercialise cobalt from Mutooroo.
“The key question is whether the COB process has the potential to unlock economic value for Mutooroo.”
Havilah Resources CEO Walter Richards told the market that, “Given we are neighbours and face similar metallurgical challenges in the recovery of cobalt from cobaltian pyrite ores, this agreement presents a mutually beneficial opportunity for us to work with COB at this time.”
“We have been impressed by COB’s rigorous scientific approach towards the recovery of cobalt from its Thackaringa pyrite ores, and feel that we can gain much from their experience and expertise,” he continued.
“Because of the large total resources of cobaltian pyrite, with appreciable gold, that we have, not only at Mutooroo, but also at our Kalkaroo and North Portia copper-gold deposits the outcome of this work has important economic implications for Havilah.
“If COB’s processes enable the recovery of cobalt, it will be a major step forward in enhancing the economic returns from all of our projects, and could well lead to ongoing cooperation with COB.”