Cobalt Blue Holdings Limited (ASX:COB) Signs MOU for Sulphuric Acid Supply Solution
Partnership Announcement
Cobalt Blue Holdings Limited (ASX:COB) has signed a Memorandum of Understanding (MOU) with Mount Isa City Council (MICC) to tackle a significant sulphuric acid supply shortage in North West Queensland. This shortage is anticipated following the 2030 closure of Glencore’s Mount Isa copper smelter, which will threaten industrial jobs and economic stability in the region.
Details of the MOU
The MOU outlines a collaborative effort between COB and MICC to explore the feasibility of reprocessing pyrite tailings to produce sulphuric acid. The collaboration aims to address the impending deficit while promoting sustainable mining practices in the area. COB has developed patented minerals processing technology to recover elemental sulphur and metals from pyrite deposits, and has demonstrated its ReMine+ technology at its Broken Hill facility, yielding high-purity elemental sulphur from pyrite feedstocks.
Executive Comments
Peta MacRae, Mayor of Mount Isa, commented, “This MOU with Cobalt Blue aligns with Council’s commitment to a sustainable future for our industries, economy, environment, and communities.” Joe Kaderavek, CEO of Cobalt Blue, stated, “Queensland’s North West Minerals Province offers a wealth of opportunity for sustainable mining and resource recovery.”
Next Steps
The partnership will assess the commercial viability of various technologies and processes, with COB planning to conduct proof of concept tests within 16 weeks. MICC will support the initiative by identifying suitable land for pilot-scale operations. This collaboration aims to ensure a reliable supply of sulphuric acid, thereby sustaining local industries and employment.
Cobalt Blue’s Expertise
COB’s previous experience includes the successful operation of a demonstration facility producing elemental sulphur from pyrite concentrate. The technology remains highly relevant given the anticipated market demand for sulphuric acid in the North West Minerals Province, expected to grow significantly in the coming years.
Motley Fool contributor Matt Burgess has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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