Canada Silver Cobalt Works Inc. (TSX-V:CCW) said it has revised the purchase and sale agreement to acquire a 10-acre property fronting Highway 11 near Cobalt, Ontario that will be used as the central hub for all of the company's Ontario and Quebec operations for $400,000 in cash.
The company announced in December last year that it had entered an agreement to purchase the industrial-zoned property for $604,000.
Canada Silver Cobalt said the property, currently being leased by the company, houses a 4,000 square-foot, fully serviced warehouse that serves as its main core processing facility. Its proximity to Highway 11 allows for easy transportation of core, samples, and distribution of company staff to projects across Ontario and Quebec, it added.
READ: Canada Silver Cobalt Works aiming to be a big player in Canada's heartland for the two metals, and targeting EV battery market
“The property is located on the power grid and does not require any generators,” the company said. "The location is close to Timiskaming Shores and Cobalt, and provides easy access to supplies and amenities for company staff. The property also contains an extra building.”
The warehouse has already been converted into a full-service facility that fits the company's current needs but will also allow for further expansion as it grows. The facility is being used for offices, core logging, sampling, core cutting, and long-term core storage.
The purchase of the property is subject to final approval by the TSX Venture Exchange, Canada Silver Cobalt said, noting that the vendor of the property is a company controlled by a family member of one of the directors and officers of the company.
Canada Silver Cobalt recently discovered a major high-grade silver vein system at Castle East located 1.5 kilometres from its 100%-owned, past-producing Castle Mine near Gowganda in the prolific and world-class silver-cobalt mining district of Northern Ontario. This discovery has the highest silver resource grade in the world, with recent drill intercepts of up to 89,853 grams per tonne silver. A drill program is underway to expand the size of the deposit.
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