- In April of 2021 New World Resources (ASX: NWC) spun off its cobal /copper assets into a new company, listing on the ASX in May of 2022 as Koba Resources.
- Koba began with four cobalt assets in the US state of Idaho, with two having mining history, two lithium projects in Canada and one in Australia.
- In January of 2024 Koba acquired an 80% interest in the Yarramba Uranium Project in South Australia.
The Koba share price got its first post-IPO bump following announcements on two of the company’s lithium projects, with the commencement of drilling at the Canadian Whitlock Lithium project being the more significant. Since listing, the share price has dropped 24.3%, but is up 75% over the last three months.
Source: ASX
Whitlock is adjacent to an operating lithium mine in a highly prospective region. In April of 2023 Koba began initial exploration programs at Whitlock. Investor attention toward progress at Whitlock was interrupted by the 21 January 2024 announcement the company acquired an 80% interest in South Australia’s Yarramba Uranium Project, spiking the share price. By the end of January Koba had expanded the project, with the acquisition of two new tenements, wholly owned.
An analyst at Securities Vault recommends investors SELL Koba shares to take profits, citing the share price increase on the news of plans to expand its recently acquired uranium asset.
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Taking profits is standard advice for speculative start-ups like Koda Resources following a major upward surge on positive news that may or may not result in revenues and profit at an unspecified point in the future.
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