TSX.V: CPO, PINK SHEETS: CBBWF COBALT POWER GROUP INC. is a publicly traded Canadian cobalt exploration and development company listed on the TSX Venture Exchange (CPO.V) and the US Pink Sheets (CBBWF). Between fall 2016 and spring 2017, the company amassed the 1,170 ha (2,890 acre) Smith Cobalt Project located in the Cobalt Camp region of Northern Ontario, Canada. In September 2017, the company acquired the 7,567 ha (18,700 acre) Canadian Cobalt Project located in the Silver Centre region of the Cobalt Camp, along with several exploration license applications in historic cobalt mining areas of southern Sweden.
WHY COBALT? As a critical component of lithium-ion batteries, cobalt has seen a dramatic rise in price over the last year. With global appetite for these batteries experiencing steady growth, demand for cobalt has increased accordingly. A supply shortfall, which began in 2016 related primarily to the anticipated surge in electric vehicle production, will continue to sustain prices.
COBALT DEMAND • • •
Cobalt prices have risen steadily from approximately $10 USD/lb in early 2016 to over $34 USD/lb by early 2018. France, the UK, & China will ban the sale of fossil fuel based vehicles by 2040- increasing the demand for electric cars. Tesla plans to source materials for its lithium-ion battery Gigafactory from North America.
COBALT SUPPLY • •
60% of global supply comes from the Democratic Republic of Congo- a geopolitically sensitive jurisdiction. A supply shortfall will create a sustained price increase moving forward.
COBALT POWER GROUP CAPITAL STRUCTURE Share Price (Jan 18, 2018) Shares Outstanding
$0.27 CDN 118.5 million
Warrants Outstanding
9.4 million
Options Outstanding
4.6 million
Fully Diluted Market Cap
132.8 million $32.0 million CDN
THE SMITH COBALT PROJECT Located in the heart of the prolific Cobalt Camp, the Smith Cobalt Project is comprised of 20 patented claims and 10 staked mineral claims covering 1,169.7 ha (2,890 acres). Contiguous to the Smith Cobalt Project is the historic Deer Horn Mine, which produced approximately 11 million oz of silver and 100,000 lbs of cobalt. Silver-cobalt producing veins found on the Deer Horn property extend onto the Smith Cobalt project and were encountered in the underground workings. Exploration in 2016-17 included surface sampling, airborne geophysics, and an induced polarization survey. A Phase 1 1,897-m (6,224 ft.), 9-hole drill program was completed in summer 2017. Phase 2 drilling, 16-holes 2,306-m (7,566 ft.), followed and was completed in late October 2017, results are pending.
THE CANADIAN COBALT PROJECT The Canadian Cobalt Project consists of 43 unpatented mining claims and 1 mining lease on patented land covering approximately 7,567 ha (18,700 acres) located in the Silver Center of the Cobalt Camp, Ontario. This claim group is within close proximity to several historic mines, including the former producing Keeley and Frontier
mines in the South Lorrain Township, Ontario, as well as the recently announced First Cobalt/Cobalt One lands. The Keeley and Frontier mines produced more than 19 million oz of silver and 3 million lbs of cobalt over their 60 years of mine life. Located on Canadian Cobalt property, the Silver Eagle mine (which operated around 1918) produced 8,000 oz of silver from a 6-meter section of mine workings that crossed the property from the adjacent Wettlaufer Mine (cobalt was not recovered, as was typical for that era). This historic production proves to be one of the most prolific within the Silver Center.
COBALT POWER GROUP ASSETS
Location: close proximity to several historic mines (including the former producing Deer Horn, Keeley and Frontier), as well as the recently announced First Cobalt/Cobalt One claims. Exploration Potential: properties cover projected strike extent along a trend of known mineralized veins; presence of historical showings on properties- prolific geological setting.
ANTICIPATED PROJECT TIMELINE & MILESTONES
REGIONAL PEER GROUP COMPARISON
COMPANY ASSETS HIGHLIGHTS
CONTACT INFORMATION
Size: approximately 8,736 ha (21,600 acres) of strategically located claims in the prolific Cobalt Camp, Ontario, Canada. Infrastructure: historical workings, including 4 mine shafts, on the Smith Cobalt project and the Silver Eagle mine on the Canadian Cobalt project.
Chris Hopkins, Director c.hopkins@live.ca Glenda Kelly VP of Communications, Corporate Secretary glendakelly@icloud.com
WWW.COBALTPOWERGROUP.COM