Cobalt Blue Offer Successfully Closes
Following is the Company's announcement.
STRONG INVESTOR DEMAND AS COBALT BLUE IPO CLOSES
Green energy company Cobalt Blue Holdings Ltd (ASX:COB) today announced that its IPO had closed after investors applied for more than the A$10 million maximum offer. Allotment of shares is being undertaken, with some scaling back required. Cobalt Blue is expected to list on the Australian Securities Exchange on Tuesday, 31 January, with the ticker code "COB".
"We anticipated strong support thanks to the strength of our cobalt assets and management at a time when demand and pricing is strong," said Cobalt Blue's Chairman Robert Biancardi. Reflecting increasing market tightness, as demand for alloys and Li ion batteries increase, cobalt spot pricing on the London Metal Exchange has risen by more than 60% in the last 12 months to hit a new five-year high this week of US$36,000/tonne.
The world class Thackaringa cobalt project (located near Broken Hill, NSW) is subject to a Joint Venture Agreement between COB and Broken Hill Prospecting Ltd, "BPL". A significant exploration drilling program started last quarter and, in parallel, historic drilling results have recently been upgraded to the required JORC 2012 standard.
The company will issue 50 million new 20c shares (plus one free loyalty option for every four shares issued) and distribute 35 million (in specie) shares (plus one free loyalty option for every four shares issued) to BPL shareholders. The raising also included a priority offer to shareholders of BPL.
About Broken Hill Prospecting Ltd
Broken Hill Prospecting Ltd (ASX:BPL) is an Australian exploration company focussed on the discovery and development of strategic mineral resources across two primary geographical areas; the Murray Basin Region (Heavy Mineral Sands) and the Broken Hill Region (industrial, base and precious metals, including the Thackaringa Cobalt & Base/Precious Metal Project).
About Cobalt Blue Holdings Limited
Cobalt Blue Holdings Ltd (ASX:COB) is an exploration company focussed on green energy technology and a strategy of fast-tracking development of the Thackaringa Cobalt Project in New South Wales to achieve commercial production of cobalt. This strategic metal is in strong demand for new generation batteries, particularly lithium-ion batteries now widely used in clean energy systems.
COB has entered into a farm-in joint venture agreement with Broken Hill Prospecting Limited (“BPL”) in which COB seeks to acquire an initial 51% interest in the Thackaringa Cobalt Project. COB will undertake exploration and development programs on the Thackaringa Cobalt Project and, subject to the achievement of milestones, will acquire 100% of the Thackaringa Cobalt Project.
Cobalt Blue Holdings Limited
Broken Hill Prospecting Ltd