VANCOUVER, CANADA--(Marketwired - Oct. 16, 2014) - Focus Ventures Ltd. (TSX VENTURE:FCV) ("Focus") is pleased to provide an update on its Bayovar 12 Phosphate project, located in northern Peru. Focus recently announced the first resource estimate for Bayovar 12 and has selected 3 consulting engineering companies to undertake a Preliminary Economic Assessment of the project (see news release dated September 8, 2014).
Metallurgical Testwork
Bench scale metallurgical testwork by Jacobs Engineering in Lakeland, Florida has started on Bayovar 12 core samples. Jacobs have extensive experience in beneficiation studies on phosphate rock throughout the world and, in particular, from the Bayovar District of northern Peru. The work will include physical, mineralogical and metallurgical testing using material from 13 individual phosphate beds to determine the best method of processing and the quality of the resultant phosphate rock concentrate. The concentrate samples will then be used to establish its suitability to make phosphoric acid and granular fertilizer.
The study is being supervised by Mr. Glenn Gruber, an advisor to Focus, and a renowned expert in phosphate beneficiation. Preliminary results from the testwork are expected in early 2015.
Marketing
The Company is in discussion with several groups with knowledge of the agribusiness industry in India, Japan, South Korea, and China to facilitate introductions to fertilizer manufacturers across the region. The objective is to secure a strategic partner for the development of the project. The Company will be attending the International Fertilizer Association conference in Singapore at the end of October and the Fertilizer Outlook and Technology Conference in Savannah, GA, USA, in November.
Phase 2 Drilling
The Company is preparing for a Phase 2 drill program which will commence as soon as permits are received from the Peruvian authorities. The initial plan is for 40 new holes which will allow an updated resource calculation to be performed as part of the PEA. Company management believes that the second phase of drilling could lead to a substantial expansion of the initial resource and is working towards a new conceptual target of *300-400 Mt at between 12-15% P2O5.
*The reader is cautioned that the potential quantity and grade of this target is conceptual in nature and there has been insufficient exploration to define this quantity of mineral resource and it is uncertain if further exploration will result in the target being delineated as a mineral resource. Calculated based on 13 phosphate beds averaging 0.67m in thickness over an area of 1,400 hectares, using a density (dry) of 1.25 g/cm3.
The Company's maiden resource estimate at Bayovar 12 was announced on September 8, 2014:
| Category | Million Tonnes Wet * | Million Tonnes Dry * | Grade (% P2O5) |
| Indicated (61%) | 151.78 | 114.99 | 12.37 |
| Inferred (39%) | 96.83 | 73.36 | 12.44 |
| * | In-Situ Resource, no minimum thickness applied. Wet Density: 1.65 g/cm3 Dry Density: 1.25 g/cm3 Dry tonnage resources are included in the wet tonnage resources. The independent estimate and report, based on Focus' initial 20-hole drill program, was prepared by GolderAssociates supervised by Jerry DeWolfe, MSc. P.Geo, and an Independent Qualified Person responsible under NI 43-101. |
The resource estimate is based on 20 boreholes (2,027m) drilled over 650 ha of the 12,575 ha property, at drill spacings of 800m. The resources are distributed between 13 individual soft, free digging, horizontal phosphate beds hosted within the Diana Formation, a sequence of diatomites that begin as shallow as 26m below surface. The mineralization is open in all directions. The grades and widths of individual beds are very consistent, unaffected by faulting or structural features, and easily correlated across the deposit. Vale is believed to be mining the same beds at its Bayovar Mine 15km to the west of Bayovar 12.
Background
The Bayovar 12 concession shows potential to host a large sedimentary phosphate deposit. The Bayovar district is situated in the Sechura Desert, a north-trending basin approximately 22,000 square kilometres in area comprising Miocene-aged sedimentary rocks. Phosphate was discovered in the 1950s during drilling for petroleum. It occurs as beds of pelletal phosphate within the Diana Formation, a sequence of phosphate-bearing diatomites and sandstones. The phosphate layers are remarkably regular in P2O5 content over long distances, a typical characteristic of marine phosphate deposits. At Vale's Bayovar mine, the soft and friable nature of the phosphate rock and diatomite permits mining by conventional truck and shovel without the use of explosives.
On January 14, 2014, the Company's Peruvian subsidiary, Agrifos Peru SAC, signed a formal option agreement for the acquisition of shares in Juan Paulo Quay SAC, the titleholder of the Bayovar 12 non-metallic mining concession. Agrifos can earn a 70 per cent interest of the issued share capital of JPQ by investing in exploration and making a series of cash payments up to the completion of a positive prefeasibility study, after which Agrifos will have the first right of refusal to purchase the remaining 30 per cent of JPQ.
Qualified Person
The scientific and technical information in this release were prepared under the supervision of David Cass, Focus's President, 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.
The Resource Estimation was prepared by Golder Associates, under the supervision of Jerry DeWolfe, MSc. P.Geo, an Independent Qualified Person defined under National Instrument 43-101.
About Focus
Phosphate rock is a raw material for fertilizers and vital to world food production. Focus is acquiring and developing quality phosphate projects in Latin America where the discovery and development of new deposits is becoming increasingly important given the growing demand and limited local supply of phosphate for fertilizer production. For further information, please call 604-630-5544 or visit our web site www.focusventuresltd.com.
ON BEHALF OF THE BOARD
David Cass, President
TSX VENTURE:FCV
Shares Issued: 76.8-million
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statements
Certain statements contained in this news release constitute forward-looking statements within the meaning of Canadian securities legislation. Forward-looking statements contained in this news release include, without limitation, statements in respect of the proposed development of the Bayovar 12 project. These statements relate to future events, business prospects or opportunities and product development. All such statements other than statements of historical fact are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek", "anticipate", "plan", "continue", "estimate", "expect, "may", "will", "project", "predict", "potential", "targeting", "intend", "could", "might", "should", "believe" and similar expressions. The Company believes that the expectations reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. Actual results and developments may differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this news release.
Forward-looking statements involve known and unknown risks, uncertainties, assumptions of management and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statement, including but not limited to: (a) the Company or any joint venture partner not having the financial ability to meet its exploration and development goals; (b) risks associated with the results of exploration and development activities, the interpretation of drilling results and other geological risks, estimation of mineral resources and the geology, grade and continuity of mineral deposits, project cost overruns or unanticipated costs and expenses; and (c) such other risks detailed from time to time in the Company's quarterly and annual filings with securities regulators and available under the Company's profile on SEDAR at www.sedar.com.
Although the Company believes that the expectations conveyed by the forward-looking statements are reasonable based on the information available to it on the date such statements were made, no assurances can be given as to future results, approvals or achievements. Such forward-looking statements have been made for the purpose of assisting investors in understanding the Company's business, financial and operational performance and plans and may not be appropriate for other purposes. The forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The Company disclaims any duty to update any of the forward-looking statements after the date of this news release to conform such statements to actual results or to changes in the Company's expectations except as otherwise required by applicable law.
Contact Information:
Ralph Rushton
(604) 630-5544
(604) 682-1514 (FAX)
info@focusventuresltd.com
www.focusventuresltd.com