The company recently raised $2.65 million via an oversubscribed placement of shares to sophisticated investors at 35 cents each.
The funds will be applied towards accelerated exploration at Marquee’s newly acquired interests in the Werner Lake Cobalt project in Ontario, Canada.
One of the largest high-grade cobalt resources in Canada
The Werner Lake project abuts First Cobalt Corporation’s (ASX:FCC) cobalt assets in north-western Ontario.
The project is one of the largest high-grade cobalt resources in Canada with over 40,000 metres of drilling previously undertaken.
Marquee will now focus on an exploration program designed to increase the existing indicated resource of 79,400 tonnes at 0.43% cobalt which remains open in all directions.
Marquee managing director Charles Thomas said: “We are very excited to embark on the aggressive exploration program, and are keen to rapidly unlock the significant potential of the deposit and regional surrounds.”
Cobalt supply shortage could boost prices even more
Prices for cobalt have quadrupled since hitting record lows two years ago, trading around decade high of US$94,000 per tonne this week.
The batteries used in mobile phones uses compounds with up to 60% cobalt and is the number one source of cobalt demand.
Only about 10% of cobalt supply currently end up in electric vehicles, but the boom in electric cars could more than quadruple demand for cobalt to more than 450,000 tonnes by 2030.
Around two-thirds of the world’s supply is mined in the highly unstable Congo, where a supply shortage is likely brewing.