Aguia Resources strikes phosphate intersections in Brazil

THE DRILL SERGEANT:  Aguia Resources (ASX: AGR) has received initial results from recent exploration activity at the company’s Joca Tavares project located in the state of Rio Grande do Sul in southern Brazil.

Aguia has completed detailed programs of mapping, rock, soil and auger sampling to delineate the dimensions of the Joca Tavares carbonatite for follow up programs of drill testing.

So far the company has completed 25 shallow auger drillholes on four 100 metre spaced lines.

Assays from the first three holes have been received and returned significant intersections of phosphate mineralisation from surface at similar grades to the recent discovery at Três Estradas.

Results include:

14.7 metres at 10.8 phosphate from surface (hole ended in mineralisation), including 10.7 metres at 12.7 per cent phosphate;

6.4m at 8.2 per cent phosphate from surface (hole ended in mineralisation), including 2.4m at 12.6 per cent phosphate; and

5.5m at 7.7 phosphate from surface (hole ended in mineralisation), including 3.5m at 9.9 per cent phosphate.

Joca Tavares has not been previously drill tested and Aguia considers these early results indicate phosphate bearing carbonatite host rock is present over an extensive area.

 

Location of Rio Grande Phosphate projects and Vale Cajati phosphate mine, SE Brazil. Source: Company announcement

 

“We are extremely pleased with the initial results from Joca Tavares and in particular the shallow auger holes that have outlined the potential for shallow oxide phosphate mineralisation,” Aguia Resources managing director Simon Taylor said in the company’s announcementto teh Australian Securities Exchange.

“Together with the JORC-compliant resource identified nearby at Três Estradas we believe the projects located in Rio Grande do Sul have the potential to form a solid basis for future project development opportunities including a potential early start up and cashflow.”

Aguia believes both the Três Estradas and Joca Tavares projects represent new phosphate discoveries with characteristics similar to existing producers in Brazil.

The grade and mineralogy is similar to that of other operating mines globally including Yara’s Siilinjärvi mine in Finland and Vale’s Cajati mine in Brazil, both of which produce a high quality concentrate from phosphate within carbonatite host rocks.