The Mt Cobalt project is located about 40 kilometers west of Gympie, its an historic mining area which has been mining gold, copper and cobalt there since the 1850s. It's actually located at the northern end of the Tasman fault belt so it is very prospective for a range of minerals.

Cobalt prices are up 35 per cent over the last three months, in fact its up 80 per cent since this time last year. The demand for portable electronic devices is strong and rechargeable batteries particularly lithium cobalt batteries are seeing the consumption of cobalt increase.