- Aguia Resources (AGR) secures $3.75 million loan from Brazilian development bank to fund construction of Três Estradas Phosphate Project
- The loan was approved by Banco Regional de Desenvolvimento do Extremo Sul (BRDE) and follows a letter of support from BRDE
- However the construction can only commence once the company receives the land acquisition
- Once this is received, construction is expected to take between six to eight months
- Aguia is up 2.86 per cent and trading at 7.2 cents per share at 2:55 pm AEST
Aguia Resources (AGR) has secured a $3.75 million loan from a Brazillian development bank to fund the construction of the Três Estradas Phosphate Project.
The loan was approved by Banco Regional de Desenvolvimento do Extremo Sul (BRDE). This approval follows a letter of support from BRDE after an extensive review of Três Estradas, which confirmed that the project meets its investment criteria.
The funding means Aguia has enough cash for the $7.3 million construction of the project.
However, the construction can only commence once the company receives the land acquisition. Aquia anticipates giving an update on the land purchase shortly, with the majority of the land purchases completed.
Once the land is received, construction is expected to take between six to eight months followed by the first production which is anticipated during the first quarter of 2022.
“BRDE’s funding support is a major vote of confidence in Três Estradas and a key milestone we have met to deliver the project into production,” Managing Director Fernando Tallarico said.
“I commend the whole Aguia team on the work undertaken to receive approval
and look forward to working further with BRDE as a key stakeholder that clearly recognises the value that Aguia can deliver by bringing into production Southern Brazil’s phosphate mining and processing operation.”
On the market, Aguia was up 2.86 per cent and trading at 7.2 cents per share at 2:55 pm AEST.