President and CEO Trent Mell said the 2018 drilling programme would continue targeting 15 areas with historic mines but the Kerr area was now a high priority for exploration.

Among the latest highlights, 4.6m at 0.27% cobalt included 1.8m at 0.56% cobalt and 0.47% copper.

The company also intercepted 8m at 31g/t silver in the same vein network which highlighted "the potential for undiscovered cobalt-rich areas near the historic mines".

First Cobalt kicked off a study last month into restarting its refinery at the camp, which it described as the only fully permitted cobalt refinery in North America capable of producing battery materials.

The company had C$27.7 million (US$21.5 million) in working capital at the end of December.

Following last year's three-way merger with Cobalt One and CobalTech Mining, it announced a friendly acquisition of US Cobalt in March which will be put to a shareholder vote on May 17.

First Cobalt's shares hit a 52-week high of C$1.66 in November but are down about 38% year-to-date and last traded at 77c, capitalising it at $151.7 million.