SAN FRANCISCO, CA--(Marketwired - September 20, 2017) - Numis initiated coverage with a buy rating on this "dedicated cobalt investment vehicle."
Included in this article is: Cobalt 27 Capital Corp. (TSX VENTURE: KBLT) (OTC: CBLLF) (FRANKFURT: 27O)
Numis Securities launched coverage on Cobalt 27 Capital Corp. in June. Analyst Jonathan Guy noted that Cobalt 27 is a company that "provides direct exposure to the metal through a combination of physical cobalt holdings and a series of royalty agreements with companies that hold an interest in cobalt projects."
The thesis on this minerals company includes the outlook for the current situation of "constrained supply in a high-demand growth environment," wrote Guy.
Supply is "relatively inelastic" because cobalt is primarily produced as a byproduct of copper and nickel mining, the analyst explained. "While there are 6,500 tons of idled capacity that could be brought back into operation, there is a lack of major new greenfield projects that could be brought into production."
Continue reading this article: Cobalt Pure Play Offers 'Unique Exposure and Leverage'
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