First Cobalt Corp. (TSXV:FCC,OTCQX:FTSSF) was featured in an article by Epstein Research concerning their recently announced MOU with Glencore (LSE:GLEN,OTC Pink:GLCNF).
First Cobalt Corp. (TSXV:FCC,OTCQX:FTSSF) was featured in an article by Epstein Research concerning their recently announced MOU with Glencore (LSE:GLEN,OTC Pink:GLCNF). Under the terms of the agreement, Glencore will provide cobalt feedstock and financing to recommission First Cobalt refinery in Ontario, Canada. Once definitive agreements are signed, the two companies will collaborate on designing a final flowsheet that will help accelerate the restart of the refinery.
According to the article, the deal with Glencore will lend more credibility to First Cobalt and its refinery. The refinery is a hydro-metallurgical cobalt facility with the potential to produce either a cobalt sulfate or cobalt metal. These two products have application in the lithium-ion battery space and the North American aerospace industry as well as other industrial and military applications. The article also pointed out that it would be easier for First Cobalt to ramp up its operations with Glencore’s support should the refinery be successful.
If the refinery is put back into production, the company will receive a lot of interest from end users looking for an ethically-sourced product. Within the press release, First Cobalt CEO Trent Mell announced that the company had signed nondisclosure agreements with several automotive companies. According to the article, automotive and lithium-ion makers both need ethically-sourced cobalt for moral considerations, public relations and security of supply.
“With no cobalt sulfate production in North America today, the First Cobalt refinery has the potential to become the first such producer for the American electric vehicle market. The company has signed confidentiality agreements with several automotive companies interested in securing cobalt for the North American market,” said Mell in the press release.
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