SOURCE: CobalTech Mining Inc.

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January 17, 2017 12:03 ET

CobalTech Announces Due Diligence Sampling Returns High Grade Cobalt And Grants Options

TORONTO, ON--(Marketwired - January 17, 2017) -

THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES FOR DISSEMINATION IN THE UNITED STATES

COBALTECH MINING INC. (TSX VENTURE: CSK) (the "Company" or "CobalTech"), is pleased to announce the positive results from the due diligence samples collected during a recent property visit on the Duncan Kerr Project in Cobalt, Ontario, Canada. The company also wishes to announce that it is granting stock options to directors, consultants and employees of the company.

CobalTech has successfully identified high-grade Cobalt and Silver during a field visit in the Cobalt area on its Duncan Kerr Project in Ontario. Samples from 4 lithotypes were collected and assayed to validate the Cobalt and Silver potential of the project. These are:

  • The high-grade material from the crushed concentrate piles.
  • A mineralized calcite vein typical of the ore material described in historical reports.
  • An unmineralized "barren" mafic volcanic sample.
  • An altered piece of wallrock that line the veins.

The assay results are presented in the following table:

 
Table 1 - Assay results from grab samples
           
  Ag Co Cu Ni Zn
  ppm ppm ppm ppm ppm
High-grade concentrate 1160 > 5000 > 10000 8220 8680
Vein material 36.9 > 5000 38.1 1400 7.8
Barren Volcanics 6.61 48 169 338 65.3
Altered wallrock 5.25 > 5000 100 128 98.1
      

Three (3) of the four (4) samples reached the upper instrumental assay limits for cobalt and are currently being re-assayed using a higher limit method to adequately quantify the cobalt content of these rocks. Silver content is usually very erratic on this type of deposit and these samples were selected to try to estimate a background value. It is interesting to note that even the "barren" material returned positive silver grades.

Antoine Fournier, President & CEO comments: "Although the intent was to gain an honest appraisal of the project, we were very pleased to see that cobalt grades were above detection limits for the 3 samples with visible mineralization. These are samples coming from rock piles lying directly at surface on the property. CobalTech will now put together a plan of action of evaluate the surface potential of the project".

The samples were selected to be characteristic of the different rock units observed on the project and collected from within the historic workings. It must be reminded that grab samples are selective by nature and may not be considered representative of the overall grade of the rocks from the project, they may only serve to illustrate its potential.

The samples were assayed by Actlabs in Ancaster, Ontario by a combination of Instrumental Neutron Activation Analysis (INAA), Total Digestion - Inductively Coupled Plasma (ICP) and Total Digestion - Inductively Coupled Plasma Mass Spectroscopy (ICP-MS) to quantify 63 elements from a pulverized fraction of the sample. No checks, blanks or standards were inserted in this sequence. The laboratory inserts its own standards as part of their internal QA/QC procedures.

The company also wishes to report that under its current Stock Option Plan, it has granted two (2) million options to the directors, officers and a consultants of the company. The options have an exercise price of $0.20, and expire on January 16, 2022.

Antoine Fournier, P. Geo., M.Sc. is the Qualified Person, as defined by National Instrument 43-101, for this press release and he personally collected the rock samples and reviewed the technical information of this news release.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful. The securities issued, or to be issued, under the Offering have not been, and will not be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.

About CobalTech Mining:
CobalTech Mining Inc. is a cobalt mining and processing company based in Ontario, Canada. The company owns and operates the Duncan Kerr Property located outside of Cobalt, Ontario, in an area known for its geological setting responsible for unique mineralisation composed of quartz-carbonate veins enriched in silver-cobalt-nickel-bismuth-arsenic. The company's assets and technology have provided them the foundation to become North America's first vertically integrated cobalt processing company with the capacity to take mineralised ore through production to high-tech metals for use in the lithium battery industry. The company is committed to operating within the strict environmental, health, and safety framework governed by the e3 Plus regulation put forth by the Prospectors & Developers Association of Canada (PDAC).

ON BEHALF OF THE BOARD

(signed) "Antoine Fournier"
Antoine Fournier
Chief Executive Officer

Neither TSX Venture Exchange nor its Regulations Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Cautionary Statement Regarding "Forward-Looking" Information

Some of the statements contained in this press release are forward-looking statements and information within the meaning of applicable securities laws. Forward-looking statements and information can be identified by the use of words such as "plans", "expects", "intends", "is expected", "potential", "suggests" or variations of such words or phrases, or statements that certain actions, events or results "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements and information are not historical facts and are subject to a number of risks and uncertainties beyond the Company's control. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this news release. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements, except as may be required by law.

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