-Aguia Resources Limited - Tenements granted near Tres Estradas Project.
ENP Newswire - 23 October 2012
Release date- 22102012 - Emerging fertiliser development company Aguia Resources Limited (ASX: AGR) is pleased to announce that it has had confirmation from the National Department of Mineral Production that a further seven tenements have now been granted close to its exciting new phosphate discovery at TE located in the state of Rio Grande do Sul, southern Brazil.
After the successful discovery of the TE project in November 2011, the Company applied for an additional 13 target areas in close proximity to TE. These were targeted based on similar geological and magnetic signatures to the TE discovery.
'We are very pleased to have seven of these tenements granted and will begin reconnaissance field checking once the geological team has finished sampling and logging of the recently completed drilling program,' commented Managing Director Simon Taylor.
'Significantly the seven tenements granted are in the Brazilian border control zone. As such we look forward to further tenements in this zone being granted, in particular the southern extension to the phosphate carbonatite host rock discovery at TE where we announced an initial JORC resource in June this year.'
About the Rio Grande Phosphate Projects
Aguia has a large landholding in the area that includes an exclusive option to acquire 100 per cent of the Tres Estradas ('TE') and Joca Tavares ('JT') carbonatite style phosphate projects from Companhia Brasileira do Cobre ('CBC') and an additional 13 projects that it has acquired in its own right.
The projects are located in the state of Rio Grande do Sul - the southernmost Brazilian state adjacent to the border with Uruguay. The region has well developed infrastructure with excellent roads, rail, power, port and services.
The three southern States of Rio Grande do Sul, Santa Catarina and Parana currently consume around 1 million tonnes P2O51 or almost 30% of Brazilian consumption, however there are currently no active phosphate mines in the region.
The TE, JT and other Aguia projects will be logistically advantaged to supply the region compared with phosphate mined in Minas Gerais and Goias (neighbouring states) and imports.
Brazil is heavily reliant on imports for approximately 50 per cent of its phosphate needs.
Some of the projects are located within the Brazilian border control zone (150 kilometres from the international border) restricting foreign ownership of the tenements to 49%. The Company will be required to enter into a joint venture with a Brazilian owned company to develop the tenements.
Accordingly Aguia has set up a corporate structure, in which Aguia Resources owns 49%, and Brazilian interests 51%, and which incorporates shareholder agreements channelling all economic benefits back to Aguia Resources. This arrangement is not expected to materially alter the Company's potential economic return on the funds invested as part of the exploration program.
Simon TaylorManaging DirectorAguia Resources LimitedTel: +61 2 9210 1332Email: email@example.com
Aguia is an emerging fertiliser development company focusing on phosphate and potash projects in Brazil. Brazil is Latin America's biggest economy and is heavily reliant on imports of up to 50 per cent of its phosphate and 90 per cent of its potash needs.
Aguia is well positioned to capitalise on the growing demand for phosphorus and potash based fertilisers in the expanding agriculture sector in Brazil and controls four large projects, located close to existing infrastructure. The Company is committed to its existing projects whilst continuing to pursue other opportunities within the fertiliser sector.
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((Distributed via M2 Communications - http://www.m2.com)).END.PUB430>PDOctober 23, 2012>JNTRAVEL BUSINESS REVIEW.PRICEDATENOT APPLICABLE.DAY
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|Date:||Oct 23, 2012|
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