Global Cobalt Announces First Core From Fully Funded Work Program at the Karakul Cobalt Projectadmin
VANCOUVER, BC (OCTOBER 22nd, 2013)…GLOBAL COBALT CORP. ("Global Cobalt") (TSXV:GCO) (the "Company") is pleased to announce that the Company has drilled and logged first core at the Karakul Cobalt Project ("Karakul and/or the "Property") located in the Altai Republic, Russia.
As previously announced, the intent of the program is to validate the historic Soviet resources, expand the mineralized envelope within the area included in the current mine permit, expand the are of know mineralization and to increase the metallurgical understanding of the project. A metallurgical scoping study is also included in the work program. The program is expected to run for approximately six months.
The $3 Million program includes a 7,200-metre validation and expansion drill campaign. The drill plan was developed following an extensive data compilation, review, and geological modeling of the historical work by SRK Consulting Ltd. Moscow ("SRK"). The first seven holes of the program will twin Soviet era holes to confirm and validate/bring into compliance to that era of drilling. Upon completion of this first phase, the second phase will focus on more detailed drilling, expanding the known zones of mineralization and confirming the base data that the Russian resource model is built upon.
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The drill campaign has been designed to assess the merit and confirm the historical work conducted on the property during the Soviet era. The Company’s primary objective is to bring the Russian P Category resource into C2 and C1 levels of confidence for conversion to western standard resource categories. These categories are roughly equivalent to Canada’s Inferred, Indicated and Measured categories. Upon completing the work program, it is anticipated that SRK will prepare a NI 43-101 compliant Mineral Resource for the Karakul project.
To date, Global Cobalt has engaged one of two drill rigs on site and have completed two drill holes. The first hole, Hole #174, was drilled to a planned depth of 120m, twinning the existing Soviet era hole C-3. The hole was shut down as planned at 120m and visual inspection of the core indicated that the mineralized zone was intersected as expected. The historical intercept was 38.5m – 50.6m, totaling 12.1m in length of 0.041% Co, 0.14% Bi, 0.545% Cu and 0.084% WO3. The second hole, Hole #175, is complete to 160m and was drilled to test the same historic zone as Soviet era Hole C-3 in Mineralized Zone 5. Historical intercept for Hole C-2 was 88.9m – 133.8m for a 44.9m intercept of 0.194% Co, 0.123% Bi, 1.294% Cu and 0.209% WO3. The twinning intersected a thick section of mineralization at an interval approximate to that of historic core. Visual inspection suggests the zone has been confirmed and both holes are being logged and marked for sampling. The Company has started its third hole, Hole #176, which will twin Soviet era hole KK-12. Drilling by the second rig is anticipated to commence within the next week.
Dr. Michael Hitch, COO commented, "We are very pleased to finally get the first phase of drilling underway on Karakul. Core recovery has been excellent, and we are getting excellent productivity from the Russian drill crews. We are intercepting mineralization where it is expected and are encouraged by the advancement of the drill campaign thus far. We look forward to providing drill results over the coming weeks and months."
The Company also wishes to announce a subscription for a units offering, pursuant to the terms and conditions disclosed in the Company’s news release dated July 8th, 2013, for approximately 3,700,000 units at a price of $0.05 per unit ("Unit") for aggregate gross proceeds of approximately $185,000 (the "Offering").
Each Unit consists of one common share ("Share") and one Share purchase warrant ("Warrant") of the Company. Each Warrant will entitle the holder to acquire one Share (a "Warrant Share") of the Company at a price of $0.07 per Warrant Share until two years after the date of closing. The Company will use the proceeds of the Offering towards its existing operations and for working capital.
The scientific and technical data contained in this news release was prepared under the supervision of Dr. Michael Hitch, P.Geo, P.Eng who acts as a "Qualified Person" under National Instrument 43-101.
Global Cobalt Corporation is a Canada-based strategic metals company focused on the development of a new mining region in the Republic of Altai. Global Cobalt will build upon the success of the Altai Projects while aggressively expanding and exploring existing properties to meet the demand for cobalt and other strategic metals.
For Further Information:
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Cautionary Statement on Forward-Looking Information: The statements made in this News Release may contain certain forward-looking statements. Actual events or results may differ from the Company’s expectations. Certain risk factors may also affect the actual results achieved by the Company.
This news release shall not constitute an offer to sell or the solicitation of any offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The shares offered will not be and have not been registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws.
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Posted: October 22nd, 2013 under ACCESSWIRE.