GLCNF - First Cobalt Glencore poised to finalize new supply deal

First Cobalt ([[FTSSF]] -5.0%) is planning to modify its prior arrangement with Glencore ([[GLCNF]] +7.1%) and sign a a long-term feed purchase contract instead of the original tolling contract.Securing feed material under a long-term cobalt hydroxide purchase contract would allow the its refinery in Ontario to be “an active market participant and achieve market-based returns from its operations,” First Cobalt explained, adding that “this will also provide shareholders with greater leverage to the cobalt market.”The company has resumed talks with lenders. Offtake discussions with OEMs and other cobalt sulfate consumers are underway and have been “constructive”.The company intends to finalize a supply agreement with Glencore on mutually agreeable terms while securing additional feedstock from other miners of ethically produced, high-quality cobalt hydroxide. It does not anticipate any difficulties securing sufficient feedstock for the refinery’s nameplate capacity of 5,000 tonnes per annum of contained cobalt.With regards to the $5M debt agreement

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First Cobalt, Glencore poised to finalize new supply deal