Cobalt Blue Holdings has placed 6.9 million new shares at an issue price of 58 cents each to raise proceeds of $4 million (before costs).
As a result of the placement, the Cobalt Blue board welcomes two new Tier 1 long-only domestic resource funds onto the register.
The company intends to use the proceeds from the offer together with existing cash resources to advance its activities and complete the definitive feasibility study (DFS) on the Broken Hill Cobalt Project (BHCP).
In addition, the work will include:
initiation of Front-End Engineering Design (FEED) studies, to be executed post-delivery of DFS
BHCP demonstration plant maintenance and retention of operations staff beyond the BHCP DFS test work (likely to finish in Q1 2023) in order to retain a core of well-trained operators on staff through to commissioning of the BHCP (anticipated 2025)
cobalt in waste streams opportunities where current test work is expected to be expanded, potentially requiring larger scale test work at the existing demonstration plant.