🕐02.08.12 - 22:54 Uhr

FEED STOCK: EAGLE STAR MINERALS PLANTS ITSELF INTO BRAZILIAN PHOSPHATE MARKET



VantageWire.com Add to your address book or safe list to ensure delivery of email blasts (click for instructions)  


Breaking News Release

Feed Stock: Eagle Star Minerals Plants Itself Into Brazilian Phosphate Market

For four decades now, Brazil has been emerging as a global agricultural leader, surging ahead as an extremely productive bread-basket. Today, Brazil leads in production of sugarcane, coffee and concentrated orange juice, and is the worlds largest exporter of beef, poultry, and sugar. As well, the country is among the worlds elite producers of soybean and corn crops. It seems that the world is hungry and Brazil is ready to feed it.

Todays Brazilian farmers use plenty of genetically modified seeds, no-till planting, and apply some of the largest amounts of fertilizer necessary in the world. The fertilizer helps to reduce the soils higher-than-normal levels of acidity and replenish lost nutrients due to heavy rainfall.

Its these large amounts of fertilizer required to keep this Brazilian food machine humming that have market analysts paying close attention. While the country is a leading exporter thats filling many of the worlds shopping carts, Brazil relies heavily on fertilizer imports, a reliance the government is not so keen on.

Increased fertilizer demands have exposed the possible linchpin for the growing economy, as marginal costs will only increase as long as Brazilian farmers have to compete with the rest of the world for supplies. Due to this, analysts are calling Brazil, "one of the most advantaged global regions for junior developers to advance greenfield fertilizer assets."

The response to this call to action has come from multiple sources, many of which are local to Brazil. But two Canadian based companies are also adding heft in the region, each with the same focus, yet vastly different market caps.

The first is MbAC Fertilizer Corp. [MBC:CA], which is set to ramp up full scale production and concentration at its Itaf�s project in Q4 this year. The second is Eagle Star Minerals [EGE:CA], though substantially earlier stage than MbAC, which has worked diligently to build the necessary team making them an attractive candidate to acquire a nearby concession, The Bomfim Agro-mineral Project. Only 20km away from Itafos, experts believe Bomfim is housed within the same phosphate belt and shares the very same geological characteristics.

Both companies offer North Americans the opportunity to take part in the effort to aid Brazils fertilizer needs at relatively different stages. MbAC Fertilizers, in just over 2.5 years has recognized these opportunistic trends within the Brazilian fertilizer market and has swiftly capitalized on them by developing the Itafos mine. Trading at highs of over a $400 million market cap, the path to success has been paved for the next junior to enter the limelight. Eagle Star Minerals plans to replicate that journey. With their latest acquisition of Bomfim the company plans to leverage on the experiences of MbAC and by following their proven geological, exploration and economic models at Itafos thus repeating their success in an even lesser timeframe at a lower capital cost.

FRIENDS IN HIGH PLACES

Over its history, Eagle Star has made a habit of bringing on high-profile members to its board and advisory committee. Included in this list are storied geologists with a strong handle on the agro-mineral sector, and even a former Brazilian cabinet minister. But the latest addition of Dr. Jos� Eloi Guimar�es Campos was a match made in heaven.

This man is one of the go-to experts in Brazil when it comes to agro-minerals and he comes with a built-in history specifically pertaining to Eagle Stars Bomfim project. Most importantly, he was directly involved at a hands-on level in the building of the geological model and the in depth technical study for the Itafos project which was later purchased by MbAC for $35 Million and put into production immediately.

Hes acted in consulting capacity for several projects around the country, many of which are directly involved with phosphates. In the field of agro-minerals, Dr. Campos is seen as one of the top experts in the country with regards to sedimentary phosphate deposits. Today he is a member of multiple geological organizations, and is one of the head professors at the University of Brasilia, where he most recently has taken a leave of absence to oversee the development of Bomfim on a full time basis.

It was through being invited to look over the companys first two projects (Ruth and Samba) that lured Dr. Campos to join the Eagle Star team. Not long after his enlistment, Dr. Campos delivered another opportunity in the form of the Bomfim.

Knowing that he was intimately associated with the property that would later become MbACs next production site, the owners of the Bomfim property approached Campos with an offer. Upon doing due diligence and sample testing, Dr. Campos recommended that Eagle Star take on the opportunity, as it was only 20km away from MbACs flagship, and sharing the same geological and technical merits as Itafos.

BOMFIM AGRO-MINERAL PROJECT

Of Eagle Stars three main Brazilian agro-mineral properties, the Bomfim is the latest addition, and is noteworthy due to its proximity to not only Itaf�s, but to upcoming projects from Brazilian majors such as Vale and Vetoratim. Eagle Star announced the acquisition of Bomfim in late June 2012, initially taking on 75% of the project with an option to purchase the remaining 25%. The project encapsulates 30,922 hectares across four claims.

Strategically located within Brazils main agricultural area, the Cerrado, Bomfim is surrounded by two large agricultural centers, West Bahia and NE Goias. Soil in this region is very old, and lacks the sufficient nutrients needed for agro production without the aid of fertilizers. Infrastructure wise, the property is sound, with local roads, powerlines and water available for concentration all in close proximity.

On deck for Eagle Star and the Bomfim project is continuation of mapping in conjunction with manual pit and trench opening until the end of August. Eagle Star intends to commence scout drilling in early September followed by an intensive 27,000 meter systematic drilling program with a 43-101 technical and resource calculation by July 2013

The initial impression that Dr. Campos took away from his latest Bomfim site visits was the very strong case for the extension of the Itaf�s projects mineralization passing directly through Bomfims claims.

The same main mineralization controls are present in the area and include the phosphorous source, paleo channels environment and outcropping phosphorite lenses. Its in these phosphorite lenses that the company feels it has derived proof of mineralization, and are where Eagle Star found sample results up to 28% P2O5.

THE BOTTOM LINE

Brazils agro-mineral needs are blatantly obvious when looking at their import numbers. This is leading to the push for domestic development, of which MBAC and Eagle Star are both taking part in.

Eagle Star appears to have the land it needs to make a strong impact in the area, and only time will tell if they will get there. But for those looking for the next MBAC, Eagle Star has all the markings of being a strong candidate for that label.

G. Joel Chury
for the Bottom Line Report

Legal Disclaimer/Disclosure: A fee has been paid for the production and distribution of this Report. This document is not and should not be construed as an offer to sell or the solicitation of an offer to purchase or subscribe for any investment. No information in this Report should be construed as individualized investment advice. A licensed financial advisor should be consulted prior to making any investment decision. The Bottom Line Report makes no guarantee, representation or warranty and accepts no responsibility or liability as to its accuracy or completeness. Expressions of opinion are those of the Bottom Line Report only and are subject to change without notice. The Bottom Line Report assumes no warranty, liability or guarantee for the current relevance, correctness or completeness of any information provided within this Report and will not be held liable for the consequence of reliance upon any opinion or statement contained herein or any omission. Furthermore, we assume no liability for any direct or indirect loss or damage or, in particular, for lost profit, which you may incur as a result of the use and existence of the information, provided within this Report.

Eagle Star Minerals Corp.

Suite 1170 - 666 Burrard Street
Vancouver, BC, V6C 2X8

Contact Information


as of 4:30pm EST Aug 2, 2012

Recent Press Releases
From Eagle Star Minerals:

Eagle Star Minerals Receives Excellent Solubility Results of up to 95% at Canabrava

BRITISH COLUMBIA-- Eagle Star Minerals Corp., is very pleased to announce that it has received results from chemical and metallurgical tests of rock types that compose the 15km mineralized package at Canabrava (announced July 5th, 2012). The tests have returned excellent solubility and heavy fraction recovery of results.[...]

Eagle Star Minerals Continues to Receive Assay Results That Confirm Consistency of Phosphate Mineralization at Canabrava and Show Potential for REE

BRITISH COLUMBIA-- Eagle Star Minerals Corp. is pleased to announce that the latest results from composite interval channel sampling continue to confirm consistent mineralization within the previously announced 15 kilometers strike outline at intervals grading from 1.0 to 4.7% P2O5. Complementary analysis of mineralized intervals previously reported in the news release dated July 5th also reveal an encouraging perspective for the strong presence of Rare Earth Elements within the high grade phosphate mineralization (1.8m @ 4.7% P2O5% plus 1966 ppm of TREO).;[...]

Eagle Star Minerals receives assay results from channel samples of up to 4.0m at 2.77% P2O5 (incl. 3.0m at 3.17% P2O5) that confirm the phosphate mineralization over 15 kilometers at Canabrava.

BRITISH COLUMBIA: Eagle Star Minerals Corp., is pleased to announce that composite interval channel sampling results confirm phosphate mineralization within the previously announced 7 meter mineralized package over the 15 kilometers outlined strike area (see press release dated June 21, 2012). Results for an additional eight points are still pending. [...]
 

    

Disclaimer: Vantage Communications Ltd. was paid to distribute this bulletin. Vantage Communications may or may not own securities in this particular company. THIS IS NOT A RECOMMENDATION TO BUY OR SELL ANY SECURITY! You are on this mailing list because you registered for VantageWire News. Past performance of Companies mentioned does not guarantee future performance.

If you would like to opt out click here. For more information about this service, please contact:
Vantage Communications Ltd. at 1.800.574.0901, Suite 150 - 666 Burrard St, Vancouver, British Columbia V6C 2X8, This email complies with the US Federal CAN-SPAM Act of 2003

� 2012 Copyright Vantage Communications LTD. All Rights Reserved.
 




Products & Services | Jobs