The first results of 14 holes from a total of 60 planned holes for the ongoing diamond drilling campaign at Araxá confirmed the grade and spatial distribution of the REO-P2O5-Nb ore.
MBAC vice chairman and CEO Antenor Silva said the grades of the phosphate are comparable to Vale’s phosphate mine currently operating in Araxá.
"The drilling campaign of approximately 3,300 metres is expected to be completed this month and we expect to have a preliminary economic assessment completed by April 2012," added Silva.
MBAC is now undertaking a diamond drilling campaign at 40m and 20m spacing which is aimed at defining measured and indicated mineral resources.
The current drilling campaign is focused on an area of 480m by 240m, which is host to the REO mineralisation defined based on the previous work.
MBAC is an integrated producer of phosphate and potash fertilizers in the Brazilian and Latin American markets.
