Fertoz Confirms Wapiti Phosphate Rock As Direct Application Fertilizer
March 27, 2014 (Source: Fertoz Limited) — Highlights:
- Tests indicate high availability of 10% phosphate (P2O5) in 23% P2O5 sample of -100 mesh material
- Results place Wapiti material in top tier of agronomic phosphate rock available commercially
- Wapiti East production is expected to commence in 2014
- Proposed production requires low capital expenditure with quick start-up
Phosphate explorer and developer Fertoz Limited (“Fertoz” or the “Company”) is pleased to announce laboratory results from the two-tonne bulk sample collected in October 2013, which demonstrated low heavy metal impurities from the Company’s Wapiti East Project in British Columbia, Canada.
The results achieved a 10% phosphate availability, which makes the Wapiti East product particularly attractive to the organic fertilizer market as a direct application product. The result can be compared to other known phosphate areas such as North Carolina, USA and Sechura, Peru which typically demonstrate 6% to 7% available phosphate and exhibit good agronomic effectiveness on suitable soils and crops (Sinclair, New Zealand Journal of Agricultural Research 1998).
Managing Director Les Szonyi said, “These high phosphate availability results combined with low heavy metals confirm the suitability of the Wapiti phosphate rock as a direct application organic fertilizer. It is particularly exciting given the project’s proximity to the North American organic market, which is the fastest growing organic agriculture sector in the world.”
Wapiti East, near Tumbler Ridge, is one of five Fertoz phosphate projects in British Columbia. Drilling on Wapiti East in September 2013 showed a consistent and continuous surface phosphate-bearing horizon along East and West Limbs for a total of 17 kilometres of strike length.
Wapiti East has the potential to move quickly into production as the bulk sample will be available for sale in 2014. Production is expected to be achieved with a very low capital cost given that the phosphate rock is exposed at surface and Fertoz can use standard small-scale grinding and screening circuits.
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Fertoz will now complete large bulk sample collection, farm trials and organic certification of the product as the next steps. The permit application for a 7,500-tonne bulk sample was approved in February 2014. The timing of the bulk sample collection is being finalised as it is subject to acceptable weather conditions.
Basis of Laboratory Tests
The tests were coordinated by Agrologist Ruth McDougall and two laboratories were engaged to undertake the analysis for quality control purposes. Both commercial laboratories, SGS Agrifood laboratories in Guelph, Ontario and A&L Analytical Laboratories Inc. in Memphis, Tennessee, are accredited to perform this analysis and both participate in a North America-wide program of accreditation for available phosphorus determination.
Both laboratories were provided with samples that had been ground and screened at -100 mesh (- 0.15mm) with the total phosphate content of the samples being 23% P2O5. The laboratories used a Neutral Ammonium Citrate (NAC) extraction method, which is the industry standard in North America, for assessing the availability of phosphorus in phosphate fertilizer sources. The NAC extraction test was performed twice as the second extraction has historically been shown to provide a higher correlation in predicting agronomic effectiveness in high calcium carbonate material like Wapiti East (Chien and Hammond Soil Science Society of America Journal 1978, Mackay New Zealand Journal of Agricultural Research 1984). The NAC second extraction test showed good consistent results which ranged between 9.7% and 9.9% P2O5 availability.
NAC extraction tests were also performed after the material had been ground and screened to -200 mesh (0.075mm) to examine the availability of phosphate of a finer material. It was concluded that there was no demonstrated benefit in grinding the material more finely than the -100 mesh for land application. This will reduce capital costs associated with preparing the Wapiti phosphate for organic farming markets in the USA and Canada.
Fertoz is exploring for high-grade phosphate resources in Canada and the United States of America, which are two of the largest agricultural economies in the world and which both import phosphate rock. Fertoz has five projects in Canada – Wapiti (East and West), Barnes Lake, Crows Nest and Marten, which are all proximate to infrastructure and an option on one project in Idaho, USA, again proximate to infrastructure. Fertoz is targeting small, high-grade resources in the Americas that can be commercialised quickly and inexpensively, with high-grade product sold to organic farmers or third- party fertilizer plants.
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Forward looking statements are only predictions and are subject to risks, uncertainties and assumptions which are outside the control of Fertoz. These risks, uncertainties and assumptions include (but are not limited to) commodity prices, currency fluctuations, economic and financial market conditions in various countries and regions, environmental risks and legislative, fiscal or regulatory developments, political risks, project delay or advancement, approvals and cost estimates.
Actual values, results or events may be materially different to those expressed or implied in this document. Given these uncertainties, readers are cautioned not to place reliance on forward looking statements. Any forward looking statement in this document is valid only at the date of issue of this document.
Subject to any continuing obligations under applicable law and the ASX Listing Rules, or any other Listing Rules or Financial Regulators’ rules, Fertoz, its agents, directors, officers, employees, advisors and consultants do not undertake any obligation to update or revise any information or any of the forward looking statements in this document if events, conditions or circumstances change or that unexpected occurrences happen to affect such a statement.
Raj Shah has professional experience working for over a half a dozen years at financial firms such as Merrill Lynch and First Allied Securities Inc., ... <Read more about Raj Shah>