First Cobalt (FCC) - Emulating the Chinese Playbook with DRC Feedstock
Matthew Gordon, Ptolemy Capital
3 Months ago
Cobalt company First Cobalt has been treading water in terms of the market, but far from treading water with regard to M&A. The market conditions have meant that the company has had to be agile and adaptive. Gone are the days of proving up 'pounds in the ground'. Four companies have been merged, and a couple of pivots have happened, during what has been a difficult time, has kept the show on the road. The main focus now is on the refinery in Ontario. The Idaho project, Iron Creek, has been parked up. Cash it tight and the company needs to be clear about the focus and plan for delivering it with limited cash. We ask if there have been discussions with other cobalt operators in Idaho. Cobalt price is still to recover, but Mell seems confident in their approach. He is looking to processing cobalt out of the DRC. We discuss the ethical landscape and emulating the playbook of the Chinese and Europeans. We also discuss their changing relationships with Glencore.
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