Canada Silver Cobalt Works Inc (CVE:CCW) (OTCMKTS:CCWOF) (FRA:4T9B) has said it is acquiring, including by staking, over 39,000 hectares of properties in Quebec and Ontario, which are prospective for energy metals in a strategic acquisition.
The aim is to transfer the 16 assets, in exchange for shares, to another public company to capitalize on the current growing electric vehicle (EV) market, and to distribute the shares by way of a dividend to Canada Silver Cobalt's shareholders.
READ: Canada Silver Cobalt Works reports high-grade silver assays from sonic drilling at Beaver mine property
All of the acquired properties (which include copper, nickel, cobalt targets) have surface showings that have been sampled or have massive gravity anomalies. For example, the Lowney Lac Edouard South property - a gravity target - in Quebec sits adjacent to Rio Tinto Mines property, while the newly acquired Ontario property at Henry Lake is within 25 kilometers of the Sudbury basin where Glencore and Vale have multiple mines and smelters which have been in operation for over 100 years.
"Timing has never been better, which is why we are moving ahead with these acquisitions that will facilitate strategic positioning for the company to take full advantage of rapidly evolving market conditions for EV battery base metal inputs," said the firm's CEO Frank J. Basa in a statement.
"The idea is to best position the company to take full advantage of synergies, government policy and financial supports as the urgent search for massive deposits of metals needed to fulfill stated green objectives accelerates."
The company confirmed that its key focus remains the high-grade silver discovery at the Robinson Zone at the Castle property in the Gowganda district of Ontario, where drilling has uncovered grades of 89,000 grams per tonne (g/t) silver.
With the race to discover large new deposits of such metals from safe jurisdictions now on, prices are reacting with nickel, copper and cobalt, having been dormant for some time, having risen over 30% in 2021.
Contact the author at giles@proactiveinvestors.com