Aguia banks $2.3M in phosphate sales as Brazilian demand builds
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Andrew Todd
Aguia Resources achieved a whopping $2.3 million in sales of its Pampafos organic phosphate product in just six weeks after the commissioning of its Três Estradas facility in Brazil.
The company announced that sales volume includes $1.6 million in new sales this week from three well-established agricultural distributors in the Brazilian state of Rio Grande do Sul, as its premium Pampafos product begins to gain momentum.
The sales figures mark a major milestone for the South American multi-product company, which is now successfully generating revenue from its dual operations in gold and fertilizer.
Aguia said Pampafos has completed its first delivery to the Markus family farm, a large local soybean producer and cattle operator. The adoption of the product by a major local producer underlines the significant support for Aguia’s locally sourced product and its promise as a fertilizer unique to Brazil.
Pampafos is well positioned to support stronger security of supply for Brazilian agriculture
Timothy Hoskings, managing director and chief executive officer of Aguia Resources
The company’s wholly owned Três Estradas phosphate project is located 320 kilometers northwest of Porto Alegre in Brazil’s Rio Grande do Sul state. The development was only given approval to begin extracting phosphate material in May and wasted no time in presenting the in-demand product to a group of potential buyers.
Pampafos seems to be attracting the interest of local farmers. Southern Brazil’s widely acidic soils are ideal for the crop, which Aguia says provides both agricultural and economic advantages over traditional phosphate fertilizers.
He believes the fertilizer’s advantage lies in its gradual release profile, which maintains phosphorus levels in the soil solution longer throughout the growing season and provides a more consistent supply of nutrients to plant roots.
Timothy Hoskings, managing director and chief executive officer of Aguia Resources, said: “These developments demonstrate that Pampafos can effectively compete with conventional sources of phosphorus in relevant agricultural systems in southern Brazil. As a locally produced phosphate fertilizer, Pampafos is well positioned to support stronger security of supply for Brazilian agriculture.”
Mr Hosking continued his praise for Pampafos’ reputation, stating that the company expects sales to continue to increase as the local agricultural sector begins land preparation ahead of the summer planting season.
As the project’s processing plant is now operational, Aguia says his facility is performing beyond management’s expectations. Following an unexpected 30 per cent increase in plant capacity to over 200,000 tonnes per annum during commissioning, the plant is now well positioned to support regular customer deliveries.
While its phosphate operation in Brazil is firing on all cylinders, Aguia is also pushing forward its Santa Barbara gold operations in Colombia.
Latest updates at the mine showed that monthly production tripled to 851.9 grams of gold in June, along with significant cost reductions and the start of phase three mining a month ahead of schedule.
Although the improvement in gold production is promising, all eyes are on Brazil for now. Traveling the long road from explorer to manufacturer, Aguia put its first points on the board with impressive early sales. With a product designed specifically for the local market, a facility ready to scale, and initial revenue stabilized, the company appears to have moved on to a new chapter with a commercial focus in South America.
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