Aguia Resources (ASX:AGR) has announced that its phosphate products are suitable for the Brazilian agricultural market following extensive field testing of materials from its Organic Phosphate Project over the winter and summer seasons. The tests, comprising 12 trials conducted at the Integrar/Agrinova Technological Centre in Capivari do Sul, assessed the agronomic performance of different phosphate sources on ryegrass and black oats during winter, followed by soybean and corn cultivation in the summer months.
The company’s results indicate that its phosphate products are well-suited for local agricultural needs. Notably, ryegrass yields exceeded 8 tons per hectare of dry matter when treated with 200kg per hectare of phosphorus pentoxide from pampafos. Similarly, applying mato grande natural phosphate at 200kg per hectare of phosphorus pentoxide resulted in high soybean yields. Aguia intends to sell its high-grade phosphate between $200 to $230 per tonne, presenting a significant discount compared to imported monoammonium phosphate priced at $1,050 per tonne.
Executive Chairman Warwick Grigor highlighted the company’s strategic decision to lease a processing facility, anticipating benefits for shareholders as the Brazilian phosphate project is scheduled to commence in late 2025. The 10-year agreement with Dagoberto Barcelos to lease its existing fertiliser plant in Caçapava do Sul, Brazil will also facilitate the operation. Grigor stated, “Aguia is making steady progress for this, the second project in the pipeline with low operational risk and strong potential cashflow. The quality of the phosphate products has been confirmed by this recent testwork.”
