Celsius Resources is currently engaged in preliminary discussions with potential strategic partners regarding a prospective transaction involving its 95% stake in the Opuwo Cobalt Project.
Located 730km northwest of Windhoek, Namibia’s capital city, the project is operated by Opuwo Cobalt Holdings, a subsidiary of Celsius Resources.
Despite the renewal of the mining license by Namibia’s mines ministry in November 2023, there was no mining production or development during the March 31, 2024, quarter.
However, Celsius Resources allocated approximately N$12.2 million (A$1 million) for exploration activities during this period.
Celsius Resources initially acquired a 30% interest in the Opuwo Cobalt Project in August 2017, with the remaining 70% held by a joint venture between Gazania Investments 196 (Pty) Ltd and Amor Investments (Pty) Ltd.
Subsequently, Celsius Resources agreed to purchase an additional 20% interest from Gecko Namibia for A$1.3 million, subject to completing a bankable feasibility study.
As part of its expansion strategy, Gecko Namibia exchanged a 95% interest in three other licenses covering 782 square kilometers in the Opuwo region for 12.5 million Celsius Resources shares.
This transaction increased the landholding of the Opuwo project to approximately 1,470 square kilometers, with Amor Investments retaining a 5% interest in all licenses.
The updated Mineral Resources estimate for the Opuwo project indicates significant potential, with 259,000 tonnes of contained cobalt and 970,000 tonnes of copper.
Celsius Resources views these resources as essential for meeting future demand in the battery market, particularly for cobalt, and enhancing the project’s economic viability given current and projected copper prices.
In addition to the Opuwo Cobalt Project, Celsius Resources holds interests in the Sagay Copper-Gold Project and the Maalinao-Caigutan-Biyog Copper-Gold Project in the Philippines through its subsidiaries Tambuli Mining Company and Makilala Mining Company, respectively.
