Thackaringa Joint Venture Update
Sydney, Nov 22, 2018 AEST (ABN Newswire) - Cobalt Blue Holdings Limited (
ASX:COB) (CBBHF:OTCMKTS) (or the Company) has received notice from Broken Hill Prospecting Limited (ASX:BPL) indicating unless COB provides an undertaking not to enforce or act upon any of the resolutions put to the vote at the adjourned meeting of the Thackaringa Joint Venture (TJV) Management Committee on 16 November 2018, BPL will seek declaratory, and possibly injunctive, relief from a Court seeking to invalidate the resolutions voted upon at that meeting. One of the resolutions which BPL seeks to invalidate relates to a revision and amendment to the 2018/2019 Drilling Campaign which was initially approved on 28 August 2018 by BPL and COB.
Drilling Programme to be Amended as Required
In August, BPL acknowledged and agreed that the 28 August 2018 Drilling programme will be amended as required as the programme progresses and develops, and that BPL understood that independent resources consultants SRK was assisting to make such amendments. The Amended Drilling Campaign put to the vote on 16 November 2018 comprises a prioritised component of the 28 August 2018 approved programme. It was developed by COB, in conjunction with SRK, and is designed to fulfil and/or advance exploration targets and objectives in a cost effective and staged manner.
Billing Statement to BPL
As the TJV is no longer operating under the Earning Period provisions of the Joint Venture agreement, COB issued a Billing Statement to BPL on 16 November 2018 requiring it to contribute $1,499,783.50, which is its 30% share of the anticipated November and December 2018 expenditure associated with the drilling campaign currently under way at Thackaringa. Under the provisions of the Joint Venture agreement, BPL is required to pay this amount within 7 days of receipt of the Billing Statement.
TJV Activities
COB sees no reason to cease TJV activities, which remain within the scope of the TJV Agreement. The Company is prepared to strongly defend its rights as the 70% equity owner of the Thackaringa Cobalt Project and rejects any unnecessary delays to current work programmes. COB's focus remains on the world class Thackaringa Cobalt Project and creating value to all project stakeholders.
About Cobalt Blue Holdings Limited
Cobalt Blue Holdings Ltd (ASX:COB) (FRA:COH) (OTCMKTS:CBBHF) has a strategic approach that positions us to be among the first wave of new entrants into the allied battery materials supply chain. We are committed to playing a leading role in securing a stable and sustainable future for critical minerals.
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