AMERICAS PETROGAS INC. CALGARY, ALBERTA--(Marketwired - Aug 28, 2014) - Americas Petrogas Inc. (TSX VENTURE:BOE) and its subsidiary, GrowMax Agri Corp., (collectively, "Americas Petrogas" or the "Company") are pleased to announce that its Peruvian subsidiary, America Potash Peru S.A., has received favourable initial trench and near-surface results from its Bayovar Property phosphates area.
Americas Petrogas' Bayovar Property, which measures in excess of 820 square kilometres (82,000 hectares or 202,600 acres), is located in the Bayovar district within the Sechura Desert, Peru. The district is currently host to: (1) the producing phosphate mine operated by Vale S.A., Mosaic Company, and Mitsui & Co., Ltd.; (2) the Fosfatos del Pacifico phosphate deposit, which is operated as a joint venture of Cementos Pacasmayo (a Hochschild group company), Mitsubishi Corporation, and Zuari Industries Limited; and (3) Focus Ventures Ltd., which is currently advancing its JPQ (Juan Paulo Quay S.A.C.) option on Bayovar concession 12 involving phosphates.
Americas Petrogas' Bayovar Property includes blocks 5, 6, 7 and 8. The area sampled was on the Bayovar 6 concession within a localized basinal area of reported near-surface Sechura phosphate rock showings. All samples obtained were from a series of exposed manually-dug surface trenches which measured approximately 2 meters by 2 meters in size and varied up to 1.64 meters in depth. All trenches tested a series of surface to near-surface flat lying phosphate beds within a sequence of diatomite, sandstone and fossil debris. All samples were continuous from surface to the bottom of the trench. Attention was given to stratigraphic differences. Where a sample could not be obtained due to collapsed trench walls, a random grab-sample of material from a surface pile was taken. A total of five (5) trenches were sampled over a distance of 350 meters.
Trench Number | Location | Sample Depth | Percentage of P2O5(2) | |||
|
From (meters) |
To (meters) |
Length (1) (meters) | ||||
| 014TP01 | 541299E Bed 1 | 9354898N | 0.00 | 1.15 | 1.15 | 11.53% |
| 014TP02 | 541273E Bed 1 | 9354811N | 0.00 | 0.88 | 0.88 | 16.45% |
| 014TP03 | 541246E Bed 1 | 9354767N | 0.88 | 1.35 | 0.47 | 14.89% |
| 014TP04 | 541225E Bed 1 | 9354727N | 0.00 | 0.60 | 0.60 | 13.83% |
| 014TP05 | 541255E Surface sample | 9354547N | N/A | N/A | N/A | 21.75% |
| (1) | All sample lengths are weighted composites. |
| (2) | Phosphorus, P, is a primary nutrient in plant growth. The word phosphate, P2O5, refers to the ionic compound containing two atoms of phosphorus with five atoms of oxygen. The phosphorus content of fertilizers is measured in percent phosphate. (source: Colorado State University) |
The five (5) trenches sampled show a good correlation from one trench to the other of flat lying phosphate beds.
With the confirmation of surface and near-surface phosphate beds on the Bayovar 6 concession, the Company has opted to pursue a further program of surface trenches in the immediate area of the initial phosphate findings. The trenches are planned to be laid out on a systematic 400 meter center grid pattern. Trenches will be optimized in size and depth so as to maximize the potential of the flat lying phosphate beds. All results are expected to be incorporated into a surface resource calculation. Permitting for the new trenching program is currently in progress.
In addition to the planned surface trenching program, the Company has begun the permitting process for a 40 drill hole program, to be split into two (2) sub-programs, on its Bayovar Property. All holes being permitted are expected to be vertical and will be targeting the recently recognized near-surface phosphate beds as well as beds within the prolific Diana Formation, which is a sequence of bedded diatomite, sandstone and phosphate beds. The phosphate beds within the Diana Formation are currently being mined by Vale at its Bayovar Mine and are also believed to be the main source of phosphate for Fosfatos del Pacifico's deposit. This planned drilling program is in addition to the 15-hole and 19-hole reconnaissance drilling performed by GrowMax in 2011 and 2012.
Sampling of trenches was undertaken by personnel of Geominex Consultants Inc. ("Geominex"), a third party consulting firm which is independent of the Company. All samples were placed in plastic sample bags, tagged and then placed in security sealed bags. Samples were accompanied by Geominex personnel from site to Certimin Laboratories in Lima for analysis. Phosphorous is determined by gravimetric methods. Major oxides are determined by ICPOES, and silica by gravimetric analysis. Multi-elemental analysis was determined by ICPMS. Certimin Laboratories is an affiliated ISO 9001 laboratory and uses standards for phosphate and silica from the Association of Fertilizer and Phosphate Chemists.
The scientific and technical information in this release was prepared under the supervision of Geominex's John Nicholson, P. Geo., who is a member of the Association of Professional Engineers and Geoscientists of British Columbia, and a qualified person in accordance with National Instrument 43-101.
About Americas Petrogas Inc.
Americas Petrogas Inc. is a Canadian company whose shares trade on the TSX Venture Exchange under the symbol "BOE". Americas Petrogas has conventional and unconventional shale oil and gas and tight sands oil and gas interests in numerous blocks in the Neuquén Basin of Argentina. Americas Petrogas has joint venture partners, including ExxonMobil and YPF, on various blocks in the shale oil and gas corridor in the Neuquén Basin, Argentina. Americas Petrogas also owns an 80% interest in GrowMax Agri Corp., a private company involved in the exploration for near-surface potash, phosphates and other minerals, and potential development of a fertilizer project in Peru. Indian Farmers Fertiliser Co-operative Limited (IFFCO) owns a 20% interest in GrowMax Agri Corp. For more information about Americas Petrogas Inc., please visit www.americaspetrogas.com
Certain statements contained in this press release constitute "forward-looking statements" as such term is used in applicable Canadian and US securities laws. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or are not statements of historical fact and should be viewed as "forward-looking statements". These statements relate to analyses and other information that are based upon forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.
In particular, statements (express or implied) contained herein regarding digging new trenches, drilling programs, and potential for phosphates or other minerals on the Bayovar Property should be viewed as forward-looking statements. The presence of phosphates in samples is not necessarily indicative that phosphates are capable of being successfully produced in commercial quantities. There is no assurance reserves will be assigned to such phosphate-bearing formations. There is no assurance that future trenches will be dug or that future wells will be drilled on the Bayovar Property or that if dug/drilled, will be successful.
There can be no assurance that such forward-looking statements will prove to be accurate as actual results and future events could vary or differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements contained in this news release. The forward-looking statements contained herein are expressly qualified by this cautionary statement.
Forward-looking statements are made based on management's beliefs, estimates and opinions on the date the statements are made and the Company undertakes no obligation to update forward-looking statements and if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
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