Pacific Rim Cobalt Commences Phase Two Drilling at Cyclops Nickel-Cobalt Project
PACIFIC RIM COBALT COMMENCES PHASE TWO DRILLING AT CYCLOPS NICKEL‐COBALT PROJECT
Highlights:
Phase One Drilling consistently confirmed elevated nickel and cobalt values
Step‐out drilling confirms and extends high‐grade nickel and cobalt mineralization
Shallow nickel and cobalt mineralization from surface
High grade intersections of up to 6m of 2.28% Nickel
Vancouver, B.C. – June 6, 2019 – Pacific Rim Cobalt Corp. (th e “Company” or “Pacific Rim Cobalt”) (CSE:
BOLT) (OTCQB: PCRCF) (FRANKFURT: NXFE) is pleased to announce the commencement of phase two
drilling at its flagship Cyclops, nickel‐cobalt development pro ject, Indonesia. The drilling is part of a multi‐
faceted exploration program aimed at confirming historical resu lts and producing a resource estimate in
late 2019.
Phase one drilling confirmed the development of a complete mine ralized laterite profile consistent with
grades and widths, which form the basis of the historical estim ate for the project. Mineralization occurs
from surface with elevated cobalt values of up to 0.48% Co encountered in the limonite zone and a highlight
intersection of 7 metres (m) @ 0.27% Co and is underlain immedia t e l y b y t h e l i m o n i t e t r a n s i t i o n a n d
saprolite zones containing elevated nickel values of up to 2.65 % Ni and a highlight intersection of 6m @
2.28%Ni.
The Cyclops cobalt‐nickel project is situated on the north coas t of Papua province, Indonesia, a country
ranked among the largest hosts of nickel laterite occurrences in the world. The project's tidewater location
offers strategic access to China, the largest battery metal market in the world.
Other laterite projects in the region include MMC's $2.1‐billio n Ramu nickel mine in Papua New Guinea at
1.0 per cent nickel, Eramet's We da Bay at 1.36 per cent nickel and Antam's Gag island at 1.63 per cent
nickel, both in Indonesia.
Pacific Rim Cobalt's efforts will continue to focus on both his torically identified and drill‐tested areas, as
well as previously undrilled prospects. Our goal for the second half of 2019 is to complete up to an
additional 50 drill holes and then establish a maiden compliant resource on the project.
"With the commencement of our phase two program guided by historical data, we are optimistic about the
unique possibility of developing this project into an asset tha t will add shareholder value and position the
company to play a future role in the battery metals supply chain," remarked Ranjeet Sundher, chief
executive officer of Pacific Rim Cobalt. "We expect the near‐surface nature of cobalt/nickel mineralization
at the Cyclops project will lend itself well to low‐cost, logistically straightforward drilling."
The project area benefits from excellent infrastructure, includ ing proximity to a work force and supplies,
sealed roads, ocean access, electrical grid power, nearby port facility, and gentle topography. The road
system enables year‐round access to the project and connects it with the large town of Sentani, located
about 15 kilometres to the east, and with Jayapura, the capital city of Papua province, located about 40
kilometres to the east.
Drilling will continue to consist of shallow holes (up to 35‐metre vertical depth each), which, based on
recent drilling, is sufficient to intersect both the upper limo nite zone, as well as the lower nickel saprolite
zone. The Cyclops project was extensively explored by previous operators with a focus on nickel
mineralization, during which time they completed 856 drill holes and 26 test pits.
The case for nickel
Batteries play a vital role in modern society, powering everyth ing from flashlights and phones to electric
cars. While the role of cobalt and lithium in these batteries is widely recognized, nickel is also critically
important. The element is a primary ingredient in the productio n of a wide range of batteries, including
those installed in the majority of electric cars.
Nickel also plays an important part in steel production, which led to a surge in demand from China 1‐1/2
decades ago. At that time, production efforts increased to meet t h e d e m a n d . T o d a y , t h e g r o w i n g
importance of nickel in batteries is causing fresh pressure, along with a supply deficit.
Nickel is further differentiated from other battery metals in i ts inability to respond quickly on the supply
side due to the fact that bringing on a new large‐scale nickel mine can often run into the billions of dollars
(Anthony Milewski, The Often Forgotten Battery Metal (Benchmark Minerals, 2018)).
Emergence of the electric vehicle
Interest in electric vehicles and demand for the batteries need ed to power them are gaining significant
momentum. One of the most compelling reasons behind that increased demand is the desire for clean
energy.
More than 40 automakers are pivoting toward electric vehicles. While Tesla is grabbing most of the
headlines, most recently by reducing the price on its Model 3 to make electric cars more affordable,
established car companies are also getting into the game. It to ok five years to sell the first million EVs but
just six months to sell the next million, and forecasts are for sales of up to 36 million units in 2030. Electric
cars are increasingly common, as are the charging stations they need, and all but one of the major electric
vehicle manufacturers use nickel in their batteries (Bloomberg NEF).
Global automaker investments in EVs now total more than $90‐billion (U.S.), with at least $19‐billion (U.S.)
attributed to the United States, $21‐billion (U.S.) to China an d $52‐billion (U.S.) to Germany. CRU predicts
that EVs will account for 30 per cent of car sales by 2030, up from just 2 per cent in 2020 ‐‐ a staggering
compound annual growth rate of above 30 per cent over this period. If EVs account for 30 per cent of
automobile sales, this will require an estimated additional 1.1 million tons of nickel and 314,000 tonnes of
cobalt.
Indonesia is nickel
One of the world's largest sources of nickel production by natio n i s I n d o n e s i a . T h e c o u n t r y i s r i c h w i t h
deposits of the metal, many of which have yet to be effectively exploited.
The dominant source of nickel in country is laterite deposits. The company's Cyclops is such an occurrence.
Nickel laterites are composed of long tabular bodies, over several hundred metres, but only tens of metres
deep.
Pacific Rim Cobalt's management in pleased to have established a presence in Indonesia, a strategically
located, ethical jurisdiction within the geographic sphere of C hina, the dominant EV market player on the
planet.
Debt Settlement
The Company also announces that it has completed a debt settlement with three creditors (the "Debt
Settlement"). The Debt Settlement will result in an aggregate of $180,000.00 of indebtedness being retired
in consideration for the issuance of 600,000 common shares at a price of $0.30 per common share. The
indebtedness is held by arm’s length parties and will not resul t in the creation of a new insider or a new
control person. The Debt Settlement is subject to Canadian Securities Exchange approval.
The securities to be issued under the Debt Settlement will be subject to a hold period expiring four months
and one day from the date of issuance.
National Instrument 43‐101 Disclosure
The technical content of this news release has been reviewed and approved by Mr. Garry Clark, PGeo,
independent director of Pacific Rim Cobalt and a Qualified Pers on as defined by National Instrument 43‐
101.
Historical Estimate (1)
A historical estimate, which dates from before the requirement for uniform regulatory compliance and
therefore fails to meet the current standards of National Instrument 43‐101, is being referenced as a guide
for Pacific Rim Cobalt's 2018 work program. This early data emp loyed measurements still in use today and
indicate mineralization from surface with an estimated potential of 37 million tonnes of 0.11 per cent cobalt
and 1.31 per cent nickel at a 0.8‐per‐cent‐nickel‐cut‐off grade. The company intends to validate the resource
and, where possible, expand upon the historical estimate, as only five of the nine known cobalt/nickel
occurrences were the subject of t he historical studies. The com pany affirms this data in no way implies an
estimated resource valuation but are offered as a basis for its current exploratory efforts and approach.
Pacific Rim Cobalt considers the cobalt and nickel tonnage and grade estimates contained herein to be
historical estimates. The historical estimates are contained in the summary geologic investigations, PT
Pacific Nikkel Indonesia 1969 (Reynolds, 1979). These historical e s t i m a t e s d o n o t u s e c a t e g o r i e s t h a t
conform to current CIM (Canadian Institute of Mining, Metallurg y and Petroleum) definition standards on
mineral resources and mineral reserves as outlined in National Instrument 43‐101 (Standards of Disclosure
for Mineral Projects) and have not been redefined to conform to current CIM definition standards. These
estimates were prepared in the 1980s prior to the adoption and implementation of NI 43‐101. A qualified
person has not done sufficient work to classify the historical estimates as current mineral resources, and
Pacific Rim Cobalt is not treating the historical estimates as current mineral resources. More work, including,
but not limited to drilling will be required to conform the est imates to current CIM definition standards.
Investors are cautioned that the historical estimates do not me an or imply that economic deposits exist on
the company's project. Efforts to obtain any additional informa tion regarding relevant historical work are
continuing, although there are no assurances that these original data will be found. Pacific Rim Cobalt
believes that the historical estimates are relevant to continuing exploration on the project. For more
information, please refer to the technical report, filed on SED AR on Dec. 8, 2017, and available under the
company's profile at SEDAR.
About Pacific Rim Cobalt
Pacific Rim Cobalt is a Canadian‐based exploration company focu sed on the acquisition and development
of production grade nickel and cobalt deposits, key raw material inputs for the growing lithium‐ion battery
industry. Visit https://pacificrimcobalt.com/ to find out more.
Pacific Rim Cobalt Corp.
Ranjeet Sundher – President and CEO
(604) 922‐8272
Steve Vanry – CFO & Director
(604) 922‐8272
Sean Bromley – Director & Investor Contact
(778) 985‐8934
Reader Advisory
This news release may contain statements which constitute “forward‐looking information” that are subject
to risks and uncertainties. All statements herein, other than s tatements of historical fact, are to be
considered forward‐looking, including statements regarding the plans, intentions, beliefs and current
expectations of the Company, its directors, or its officers with respect to the future business activities of the
Company and with respect to the results of exploration and prospective plans in regards to the Cyclops
project. The words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”,
“expect” and similar expressions, as they relate to the Company, or its management, are intended to identify
such forward‐looking statements. Although the Company believes the expectations expressed in such
forward‐looking information are based on reasonable assumptions, such information is not a guarantee of
future performance and actual results or developments may differ materially from those contained in
forward‐looking information. Information provided in this document is necessarily summarized and may not
contain all available material information. Although Pacific Rim Cobalt has attempted to identify important
factors that could cause actual results, performance or achieve ments to differ materially from those
contained in the forward‐looking statements, there can be other factors that cause results, performance or
achievements not to be as antici pated, estimated or intended. F actors that could cause actual results to
differ materially from those in f orward‐looking information inc lude, but are not limited to, fluctuations in
market prices, success of the operations of the Company, continued availability of capital and financing and
general economic, market or business conditions. There can be no assurances that such information will
prove accurate and, therefore, readers should not place undue reliance on forward‐looking statements. The
forward‐looking statements in this news release are made as of t h e d a t e o f t h i s n e w s r e l e a s e , a n d t h e
Company does not assume any obligation to update any forward‐lo oking information except as required
under the applicable securities laws.
Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this
release.