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Vancouver, British Columbia – (February 5, 2018) – Bankers Cobalt Corp. (TSX Venture: BANC) (the “Corporation” or “Bankers”) provided an update on activities in the DRC.
Stephen Barley, President and CEO stated, “Bankers has made substantial progress in the Democratic Republic of Congo (DRC). The Corporation has 26 highly prospective copper-cobalt concessions within the Katanga province in the DRC, where 60 percent of the world’s known cobalt resources are located. A key market driver for cobalt is the global electrification of transport – driven mainly by batteries for plug-in electric vehicles (EVs). On average an EV requires approximately five times as much copper per vehicle than conventional vehicles and substantially more cobalt. Bankers is well positioned to benefit from this expected growth in demand for both battery metals. Bankers has assembled a strong operational team to efficiently and effectively execute on the exploration plan. Bankers is continuing to add to this strong operational group while accelerating exploration and development on the Corporation’s land holdings.”
The Kabolela Project is 3.6 km2 in area and located 130km northwest of Lubumbashi and 10km northwest of the historical mining town of Kambove. The concession is in an area of significant mining and processing activity and is contiguous to two operating mines. In November 2017, a small HQ diamond drilling program was commenced. To date, seven holes have been completed for a total of 871.4m. This exploration program targeted cobalt/copper mineralization found in mechanically dug pits (up to 80m long) located in the central west part of the concession. A total of 96 half core samples were submitted for assay at SGS Lubumbashi. Narrow high-grade copper zones have been noted. The mineralization in the pits trends to the NE which is the same direction as the northern pit at Congo Cobalt Corp. (“CCC”) operations 3km away. Based on this interpretation and geological and structural knowledge obtained from initial drilling, an additional six holes will be drilled from the NW to the SE. An additional three to five DDH holes are planned to target the Roan Formation which is the host formation of the mineralization at the CCC mine and directly along strike from the CCC mine 3.8km to the NW. Several Induced Polarization (IP) geophysical test lines and soil sampling is planned in the central and southern portions of the concession. Bankers will release assay results from the Kabolela drill program as deemed appropriate.
A low-grade stockpile of +500,000t is located along the southern end of the Kabolela concession. This stockpile came from previous mining operations at the 48Hrs pit located immediately contiguous to the southern end of the concession. To obtain an indication of potential grade of the stockpile, 120 surface channel samples were taken using a 1m piece of 50mm PVC cut in half on a 20m by 20m grid across the surface of the stockpile. These have been submitted to SGS Lubumbashi for cobalt-copper analysis. The results will determine if an RC drilling program is justified to test the grade of the stockpile. Visually, the east dump contains at surface, visual cobalt and copper, however, this may not be reflective of the overall grade of the stockpile.
The Kankutu project is 14.2 km2 in area and is located approximately 110 km south east of Lubumbashi and is contiguous to and 3km from the operating Kimpe cobalt-copper mine. The project is now comprised of four contiguous concessions. Exploration activity to date has consisted of 1,110 soil samples taken on a 200m by 50m grid and analyzed with a hand held XRF mineralization analyzer which showed encouraging copper values. A total of 149 pits were dug to bedrock and pit samples were taken and XRF analyzed and, of these, 51 samples have been sent to SGS Lubumbashi lab for cobalt-copper assay and then will be sent to SGS Zambia for a multi-element ICP assay. Ground magnetics geophysics lines totaling 140.9 kms have been run over the entire property and the generated data has been processed by MSA Group in South Africa. The anomalous soils and pits results tend to trend NW-SE which is the same trend as the Kimpe Mine. Additionally, the geophysics processing shows interpreted targets in the northern most of the contiguous concessions and sit 5km directly along strike to the NW of the Kimpe Mine. Additional pitting or auger drilling and IP geophysics are planned to obtain information to develop drill collar locations.
The Comipad-Comima concessions are 3.4 km2 in area and are located 35 km southwest of Likasi, DRC with ready access by road and tracks. Historical data searches found Belgian maps of the area which confirm the EW trending breccia zone straddles the concession. Breccia zones are interesting as they represent a zone of dilation (fluid overpressure) where mineralizing fluids precipitate metals due to the drop-in pressure associated with the formation of the breccia. A total of 371 soil samples were collected on a 100m by 100m grid and analyzed with by XRF. The XRF results highlight a semi-coincident zone of cobalt-copper anomalism which follows the EW trending breccia zone. A selection of samples was collected for multi-element assay by SGS Lubumbashi to determine if other elements show coincident anomalies. Infill soil sampling will be undertaken to better define the anomaly before trenching and drilling planned for Q2 18. In addition, 53 rock samples from the central and surrounding areas were taken and will be submitted for assay to SGS Lubumbashi. Ground geophysics are also planned to be completed in the same quarter.
Bankers has a substantial land package. The business model of the Corporation is to conduct thorough and systematic exploration to National Instrument 43-101 standards to adequately assess the potential of each concession. The process followed by Bankers is to gather archived data that exists for the concession area and have a geologist complete a site reconnaissance visit and assess whether the site is suitable for soil sampling or requires geochemical auger work as a first pass technique. Soils are then collected on a regular grid and dried, sieved to -80mesh and then analyzed with the XRF and sent to the laboratory for multi-element ICP assays. Anomalies are then assessed for downslope effects and infill soils completed to refine the anomalies which are then trenched and if required these are then drill tested. Concurrent with the work being conducted on Kabolela, Kankutu, and Comipad-Comima, initial field reconnaissance and work plans are being developed on other concessions. Due diligence is continuously being carried out on further concessions to add to Bankers’ portfolio.
All core samples are picked up on site by Bankers geologists or delivered by the drillers to Bankers personnel. All samples are delivered by Bankers personnel to SGS Laboratory in Lubumbashi, DRC, for cobalt and copper assays. The pulps are then sent to the SGS laboratory in Zambia for a 49-element analysis. Check assay standards are submitted with each assay job and reviewed for accuracy. Check assaying will be performed by ALS in Johannesburg, South Africa.
The geological information in this announcement has been reviewed by Mr. Adam Anderson, a competent person (as defined in the JORC code, 2012 edition) and Member of the Australian Institute of Geoscientists (AIG), a recognized professional organization for the purposes of the Australian Securities Exchange listing rules. Mr. Anderson is also the Qualified Person as defined by National Instrument 43-101 and has reviewed and approved the contents of this news release.
Mr. Anderson has sufficient experience that is relevant to the style of mineralization, the type of deposit under consideration and to the activity being undertaken to qualify as a competent person as defined in the JORC code and under National Instrument 43-101.
Bankers is a natural resource company focused on the acquisition, exploration and development of cobalt and copper mineral properties in the DRC to world class Canadian standards. Bankers efforts will address the supply chain custody and verifiable sources of ore issue being imposed on processors in the DRC by consumers. Bankers holds rights to 26 separate mineral concessions strategically located in the southern DRC Copperbelt and having a total area of more than 391 km². Bankers has the intention to acquire interests in additional concessions. All concessions were obtained as either new grants or through reputable DRC partners and have clean title with no government involvement, making Bankers one of the few, and perhaps only, junior public mining company in the DRC to have 26 concessions capable of being currently explored and developed. Bankers has an experienced operations team operating in the southern Copperbelt of the DRC. Bankers believes it is one of the front runners in advancing cobalt and copper exploration by a junior mining company in the DRC.
ON BEHALF OF THE BOARD OF BANKERS COBALT CORP.
President & CEO.
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This news release contains “forward-looking information” within the meaning of applicable securities laws relating to the proposal to complete the Transaction and associated transactions, including statements regarding the terms and conditions of the Transaction, the proposed closing the Transaction, and the outlook of the business of Katanga, including whether Katanga will be successful in developing and selling mineral resources. Although the Corporation believes in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because the Corporation can give no assurance that they will prove to be correct. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, the risks that the parties will not proceed with the Transaction and associated transactions, that the ultimate terms of the Transaction and associated transactions will differ from those that currently are contemplated, and that the Transaction and associated transactions will not be successfully completed for any reason (including the failure to obtain the required approvals or clearances from regulatory authorities). The terms and conditions of the Transaction may change based on the Corporation’s due diligence and the receipt of tax, corporate and securities law advice for both the Corporation and Katanga. The statements in this press release are made as of the date of this release. The Corporation undertakes no obligation to comment on analyses, expectations or statements made by third-parties in respect of the Corporation, Katanga, their securities, or their respective financial or operating results (as applicable).