Riva Resources Limited (“Riva”) is an exploration company controlling a portfolio of tenements contained within three mineral project areas in Western Australia. The projects encompass cobalt, gold, iron ore and base metals.
Riva’s flagship asset is the Tabac Cobalt-Gold Project (Tabac Project or the Project). The Project represents a significant cobalt-gold exploration target in both scale and grade potential as demonstrated by prior drilling.
Riva sees significant upside in the pricing of cobalt to due supply pressures attributed to the increasing popularity of lithium-ion batteries in electric vehicles and a range of modern electronic devices (for example, mobile phones, tablets, portable computers, power tools). Presently 94% of the global supply of cobalt is as a by-product of copper and nickel production and therefore its availability is controlled by the fickleness of those markets. The balance of supply is mostly sourced from countries with elevated sovereign risk.
Should mining and refining capacity growth fail to keep pace with demand, Riva perceives a substantial deficit opening in the market before the end of the decade. Subject to ongoing exploration success, the Tabac Project potentially can provide a secure independent source of cobalt and leverage Riva to future market price sensitivities.