The Cobalt Blue Holdings Ltd (ASX: COB) share price is rocketing in morning trade, up 11% after earlier posting gains of more than 13%.
This comes as the broader All Ordinaries Index (ASX: XAO) is struggling, currently down 0.8%.
Below we take a look at the ASX energy company's latest announcement that looks to be driving investor interest.
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What did Cobalt announce?
Cobalt Blue's share price is surging after the company reported a 35% increase in its Broken Hill tenement area in New South Wales, following the grant of Exploration Licence 9254.
With Cobalt Blue securing 2 new exploration licences in 2021, its tenement portfolio now extends across some 220 square kilometres.
The company released a mineral resource estimate for its total Broken Hill tenement on 16 September. That comprised of 118 Mt at 859 ppm cobalt-equivalent (687 ppm cobalt, 7.6% sulphur and 133 ppm nickel) for 81,100 tonnes of contained cobalt.
Commenting on the company's expanding footprint in the region, Cobalt's CEO Joe Kaderavek said:
The growth in the company's tenement portfolio reflects a considered step toward securing long-term exploration potential to complement development of the Broken Hill Cobalt Project. Having now established a strong resource base we look forward to applying this blueprint in our future targeting.
Cobalt demand has been growing as the world works to transition away from fossil fuels and towards renewables. Cobalt is found in many new batteries, including lithium-ion batteries, used in electric vehicles (EVs) and for grid storage for renewable sources, like wind and solar.
Cobalt Blue share price snapshot
Over the past 12 months, the Cobalt Blue share price is up a stellar 255%. By comparison the All Ords has gained 19% over the full past year.
Cobalt Blue's shares are down 1.5% over the past month despite today's lift.
