Cobalt Offtake Agreement

In May, China`s largest cobalt producer, Huayou Cobalt, which also supplies LG Chem and Volkswagen in addition to Volkswagen, said it would stop buying artisanal miners in the Democratic Republic of Congo. As part of the agreement, PM1 and LG Chem agreed to negotiate in good faith to conclude a binding acquisition agreement for LG Chem`s purchase of nickel and cobalt on the TECH project. Artisanal cobalt production increased as metal prices rose in 2017 and early 2018, accounting for up to 20% of the Democratic Republic of Congo`s production. SK Innovation did not confirm until August its agreement to purchase 100% cobalt and nickel sulphate, produced by Australian Mines` flagship Sconi Cobalt-Nickel-Scandium project in Greenvale, North Queensland. According to official figures, more than 200,000 people live in the southeastern katanga region of southeastern Congo, with cobalt and copper. In a statement released on Monday, GEM President Xu Kaihua said the agreement will support GEM`s continued contribution to China`s new energy market. Under the agreement, Glencore will supply at least 61,200 tonnes of cobalt dioxide to GEM between 2020 and 2024. In addition, the method of direct mine procurement and exposure to ESG`s concerns within the Democratic Republic of Congo do not stop at Tesla, but also address associated suppliers. Therefore, Tesla`s priority to conclude such an agreement may have required consultation with its cobalt-using cell and cathode suppliers (z.B LG Chem and Panasonic). This underscores the growing demand for a rapprochement of sustainable development frameworks and practices and the willingness to share risks across interdependent phases of the supply chain. It also points out that the supply of materials from the Democratic Republic of Congo is largely inevitable for cobalt.

Vancouver, BC / TheNewswire / November 14, 2018 / Global Energy Metals Corporation TSXV:GEMC OTCQB:GBLEF FSE:5GE1 (“Global Energy Metals,” “Enterprise” and/or “GEMC”) is pleased to announce that partner Marquee Resources Limited (“Marquee”) has entered into a non-binding letter of intent (MoU) regarding a cobalt-copper agreement for the Werner Lake Cobalt project (“Werner Lake” and/or the “project”) with Mr. Zhejiangidu Haichu lithium Batten. (“China Hitrans”), a subsidiary of the Shanghai Stock Exchange listed on the stock exchange meidu Energy Co. Ltd (code 600175). Global Energy Metals currently holds a 70% stake in the project. The company has entered into a mandatory acquisition agreement for nickel and cobalt and will also assess the potential for an increase in project size to meet LG Chem`s support requirements. Assuming that the removal of Umicores is related to katanga and is contained about 5ktpy cobalt in hydroxide, Glencore`s committed production from the asset is 24.5ktpy cobalt in hydroxide.

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