Harvest Minerals Ltd (LON:HMI) has declared itself very pleased with the latest update from the Arapua Fertiliser Project, in Brazil, where it has now received positive results from agronomic and metallurgical test work.
Significantly the results confirm that no toxic elements are present at Arapua, while all the other findings have fallen within required specifications.
The company highlighted that the results have exceeded its expectations while some key results, relating to solubility, were described as excellent.
Analysis shows that Harvest will have the option to produce two lines of fertiliser product, as higher grade material could be processed via a simple low-cost operation into a premium product.
It means the group will be able to offer customers different grades, and therefore address different market sectors as Arapua advances through commercial development.
"These latest results are excellent and well beyond our expectations, in particular regarding the solubility, which we believe, is better than for any similar product currently in the market,” said Brian McMaster, Harvest executive chairman.
He added: “the ability to further uplift the product grade through simple wet-sieving, demonstrates that we are developing an attractive product range, which could be varied to target specific crops and customer uses.
“We are able to sell our products without registering with MAPA and to assist in the marketing, we are planning to register them initially as a ‘stonemeal/remineraliser’ and then as a potassium and phosphorous fertiliser, which is likely to broaden the potential client base.”
Harvest Minerals told investors it is continuing through the process for an application for a trial mining permit, with an environmental permit - a precursor to securing the trial mining permit - expected in the next few weeks.
Harvest expects to hire a mining contractor within the next month, so that site works can commence once the environmental permit has been secured.
A drill programme is now planned as well, with a view to defining the limits of the project’s known resources. One objective will be to establish the depth of weathering, as well as expanding the volume of mineralisation defined within the indicated resource category.
This should allow an increase in Arupua’s mine life and/or higher rates of production, the company added.
Additional testing will also take place for Arupa’s fertiliser product, with plans for kinetic and agronomic efficiency testing (to assess impact on plant growth). It is anticipated that the scope of the testing will be finalised by late September.
McMaster added: “The works at the Arapua project are progressing on schedule and we expect to be regularly updating shareholders as developments unfold over the coming months, leading into trial mining production later this year."