Operations in Cameroon
Power Metal Resources, through its subsidiary Cobalt Blue Holdings (“CBH”) has exposure to highly prospective cobalt assets in Cameroon. CBH holds four Cameroon-based nickel-cobalt exploration licences through two 100% owned subsidiaries, LC Exploration Ltd (licences located at Ngoila Nord, Ngoila Est and Ekok) and LC Minerals Ltd (licence located at N’Dja).
CBH, through its subsidiary LC Exploration Ltd, has also applied for two further Cameroon-based nickel-cobalt exploration licences at Ntam Est and Ngaoundéré. These licences expire on various dates the first quarter of 2021 unless renewed. The licences may be renewed three times for periods of two years provided that the obligations of the licensee under the licences have been met in the prior periods.
The locations of the four licences held and the Ntam Est licence applied for are either adjacent to, or within 50km of the Nkamouna/Mada Cobalt Project (“Nkamouna/Mada”) in Cameroon, formerly owned by ex-TSX-listed Geovic Mining Corp ("Geovic").
According to a report prepared for Geovic by SRK Consulting (US) Inc. in 2011, Nkamouna/Mada has total NI 43-101 compliant resource of 323Mt (18.5% measured, 18.8% indicated and 62.7% inferred) at average grades of 0.21% cobalt, 0.61% nickel and 1.25% manganese.
According to the Nkamouna/Mada feasibility study prepared by Lycopodium Minerals Pty Ltd for Geovic in 2011, production of around 6,100 tpa of cobalt and around 3,400 tpa of nickel is envisaged, and there are proven and probable reserves of 68.1mt at 0.26% cobalt, 0.66% nickel and 1.48% manganese.
The sixth licence area, Ngaoundéré, is in the north of the country.
Project: Cobalt Blue Holdings
Target metals: Cobalt - Nickel
Objective: Discovery | By demonstrating geological similarity of POW licences which are near to, and slightly larger than, the licenced ground holding the large scale Nkamouna cobalt deposit
Status: Active | Pitting programme underway to a depth of 15m to analyse below surface and take samples for testing