Canada-focussed Meteoric Resources (ASX: MEI) has discovered more high-grade cobalt, with grades up to 9.71%, from initial sampling at its Mulligan project in Ontario.
The rock chip and grab samples were taken from mineralised veins, outcrops and rock dumps across the project and confirm the Ontario Department of Mines’ historic rock samples which returned 12.6% cobalt, 1.03% nickel, 29.76 grams per tonne gold and 39.69g/t silver.
Additionally, Conwest Exploration identified 19% cobalt and 56.69g/t when sampling at the project and in a previously 8t bulk sample, Meteoric detected cobalt grading 10%.
In the recent sampling program, 9.71% cobalt, 14.30g/t gold and 0.29% nickel were found.
Visible cobalt bloom and cobaltite were seen in grab samples from historic mining rock dumps within the project.
According to Meteoric, Mulligan’s geological setting and mineralisation is similar to the Cobalt Mining Camp polymetallic mineralisation, which is Canada’s most prospective known cobalt province producing more than 40 million pounds of the metal and 450 million ounces of silver.
However, historically the region was primarily exploited for its silver content.
More results are anticipated soon from the soil sampling program and Meteoric has submitted an application for IP and magnetic geophysical surveying.
Approval is anticipated within the next few weeks and Meteoric has begun planning the survey which will be ground-based.
Mulligan is situated about 50km north of the Cobalt Mining Camp which produced average cobalt grades of 10%.
In late November, Meteoric announced its plan to raise A$4.34 million to fund its 2018 exploration activities at Mulligan and its two other Canadian projects Iron Mask and Midrim.
The other two projects are also polymetallic and prospective for nickel, copper, platinum group metals, cobalt, silver and gold.
Yesterday, cobalt hit US$75,000 per tonne which is the highest price the metal has commanded in a decade.
By early afternoon trade Meteoric’s stock had slid almost 3% to A$0.071.