Next Investors logo grey

Castillo spots new cobalt targets, looks to build Resource


Published 19-APR-2018 11:00 A.M.


2 minute read

Hey! Looks like you have stumbled on the section of our website where we have archived articles from our old business model.

In 2019 the original founding team returned to run Next Investors, we changed our business model to only write about stocks we carefully research and are invested in for the long term.

The below articles were written under our previous business model. We have kept these articles online here for your reference.

Our new mission is to build a high performing ASX micro cap investment portfolio and share our research, analysis and investment strategy with our readers.

Click Here to View Latest Articles

Castillo Copper (ASX:CCZ) today announced that an updated desktop review has identified new primary cobalt targets at the Cangai Cobalt Project (previously Jackaderry North).

A key finding is the material exploration upside for cobalt mineralisation across both Cangai cobalt/copper projects.

Exploration for new cobalt targets is set to progress concurrently with the Cangai Copper Mine expansion campaign.

Moving forward, the next steps will be reviewing geophysics and implementing follow-up geochemistry and field geological mapping.

Encouragingly, the desktop review has highlighted the fact that CCZ’s ground has occurrences more than 300 parts per million cobalt surface — this is 150 parts per million than CCZ’s neighbour Corazon’s (ASX:CZN) latest soil sampling program across four new target areas.

Initial assay results from the Smelter Creek stockpile were encouraging, with up to 1.25 per cent cobalt, 2.57 per cent zinc and 357 parts per million cobalt. CCZ expects to soon receive Hetherington Exploration & Mining Title Services’ interim recommendation on how to monetise the five stockpiles.

Several outcomes of a strategic review held by the board on-site at Cangai include:

  • Expediting the Phase II drilling campaign at Cangai Copper Mine, which has been submitted to the regulator for approval and targets 39 drill-holes focused on supergene ore near the historic workings; and
  • For the Broken Hill project:
  1. Process and acquire open-and-closed-file airborne electromagnetic data (where available) over the project area; and
  2. A geology team will be sent to site to commence follow-up field work on prospective targets for cobalt mineralisation, especially with Cobalt Blue’s (ASX:COB) ground 2-3 kilometres and its recently announced strategic alliance with LG Group, enhancing the Broken Hill region’s profile

CCZ chairman, Peter Meagher, commented: “Our first on-site board meeting at Cangai Copper Mine commenced with total agreement to re-brand the project name to Cangai Cobalt and Cangai Copper, reflective of where mineralisation has been identified.”

“While the core focus remains Cangai Copper Mine, the board is keen to garner a greater understanding of the extent of cobalt mineralisation across the entire tenure and ramp up exploration efforts in Broken Hill. The board is focused on creating value for shareholders where practical, which explains the recent move to monetise the legacy stockpiles,” added Meagher.

Of course, as with all minerals exploration, success is not guaranteed — consider your own personal circumstances before investing, and seek professional financial advice.

Next Investors Image

General Information Only

S3 Consortium Pty Ltd (S3, ‘we’, ‘us’, ‘our’) (CAR No. 433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information and is for informational purposes only. Any advice is general advice only. Any advice contained in this article does not constitute personal advice and S3 has not taken into consideration your personal objectives, financial situation or needs. Please seek your own independent professional advice before making any financial investment decision. Those persons acting upon information contained in this article do so entirely at their own risk.

Conflicts of Interest Notice

S3 and its associated entities may hold investments in companies featured in its articles, including through being paid in the securities of the companies we provide commentary on. We disclose the securities held in relation to a particular company that we provide commentary on. Refer to our Disclosure Policy for information on our self-imposed trading blackouts, hold conditions and de-risking (sell conditions) which seek to mitigate against any potential conflicts of interest.

Publication Notice and Disclaimer

The information contained in this article is current as at the publication date. At the time of publishing, the information contained in this article is based on sources which are available in the public domain that we consider to be reliable, and our own analysis of those sources. The views of the author may not reflect the views of the AFSL holder. Any decision by you to purchase securities in the companies featured in this article should be done so after you have sought your own independent professional advice regarding this information and made your own inquiries as to the validity of any information in this article.

Any forward-looking statements contained in this article are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control, and which may cause actual results or performance of companies featured to differ materially from those expressed in the statements contained in this article. S3 cannot and does not give any assurance that the results or performance expressed or implied by any forward-looking statements contained in this article will actually occur and readers are cautioned not to put undue reliance on forward-looking statements.

This article may include references to our past investing performance. Past performance is not a reliable indicator of our future investing performance.