IDAHO – Vancouver-based FORMATION CAPITAL has raised over $20 million through private placement financing with which to advance its Idaho cobalt project 75 km west of Salmon. Proceeds from this placement and the exercise of existing warrants will be used to purchase certain key mine equipment including mill components.
The Idaho cobalt project includes an underground mine and a 725-t/d concentrator. The concentrate will be trucked offsite for further processing. At an annual mining rate of 250,000 t, the property has reserves and resources sufficient for 10 to 12 years of operation. Estimated annual output will be 2.6 million lb of cobalt, 2.0 million lb of copper and 3,400 oz of gold. The bankable feasibility study is due by the end of June 2007.
Formation is the 100% owner of the Idaho cobalt project and the Big Creek hydrometallurgical facility. Additional information is available at www.FormCap.com.