Global Cobalt Corporation is a strategic metals company focused on the development of a new mining region in the Republic of Altai, Russia.
As first mover into this new region, Global Cobalt will be able to leverage the world-class Karakul Cobalt Project and bring on stream a number of projects creating a mining district with enormous potential.
The Republic of Altai is a mineral rich, pro-mining region of southern Siberia, Russia, which neighbours the similarly mineral-endowed countries of Kazakhstan, Mongolia and China.
Recognizing strategic metals, and more specifically cobalt, as essential to the world's ever growing need due to the increasing focus on environmental sustainability, the electrification of the modern vehicle and the escalating appetite for consumer electronics such as mobile phones, tablets and laptops, Global Cobalt's primary objective is to define economically feasible projects through the acquisition of tactical mineral assets while aggressively expanding and exploring existing properties to supply the growing demand for cobalt and other strategic metals.
The TSX Venture Exchange has accepted for filing a mining lease agreement with an option to acquire dated Oct. 2, 2014, between Global Cobalt Corp. and Chester Mining Company, pursuant to which the company has an initial 20-year lease with an option to extend the lease for up to two successive terms of 20 years each in seven patented mining claims covering approximately 118 acres in Lemhi county, Idaho, called the Iron Creek cobalt-copper property. In order to maintain the agreement, the company must complete a minimum of $500,000 in work on the property during the first three years of the term of the lease, issue one million common shares in the company to the lessor and pay $1,250 per month per year as an advance on against royalties on each anniversary of the agreement. There is a 2.5-per-cent net smelter royalty payable to the lessor on all development and production ores and minerals extracted, milled and sold from the leased premises. At any time following completion of the agreement, the lessee may purchase one-half the royalty in the form of cash or stock or combination consideration of $2.5-million.
The company has an option to acquire the property at any time for a one-time payment in the form of cash or shares or combination and with prior approval of the exchange.