Focus and Stonegate Enter Into Letter of Intent for Focus to Acquire a 70% Interest in Stonegate's Mantaro Phosphate Deposit ...

Focus Ventures Ltd. (TSX VENTURE:FCV) ("Focus") and Stonegate Agricom Ltd.
(TSX:ST) ("Stonegate") are pleased to announce that they have signed a Letter of
Intent pursuant to which Focus has the right to acquire, subject to successful
due diligence, a 70% interest in the Mantaro phosphate deposit, located 250 km
east of Lima in the District of Junin, central Peru. Phosphate is a key nutrient
used in the manufacture of fertilizers and is an integral part of the food
supply chain. 


Mantaro, one of only a small number of phosphate deposits known in the Andes, is
also one of the world's largest undeveloped phosphate deposits. Phosphate
mineralization is hosted in the Aramachay Formation, a moderately dipping
sequence of Jurassic-aged marine sedimentary unit that has been folded and
faulted, resulting in three parallel mineralized zones termed the West, East and
Far East Zones. Each Zone has been mapped on surface over a strike length of
over 20 km with a total of over 60 km of phosphate-bearing units defined by
surface mapping and trenching, averaging approximately 25m in width. 


Drilling and trenching in the West Zone during 2009 by Stonegate resulted in the
definition of Measured, Indicated and Inferred Mineral Resources, described in
the table below.(i) To the best of Focus's and Stonegate's knowledge,
information and belief, there is no new material scientific or technical
information that would make the disclosure of these mineral resource estimates
inaccurate or misleading.




----------------------------------------------------------------------------
Resource Category (West Zone)               Million Tonnes            % P2O5
----------------------------------------------------------------------------
Measured                                               5.5              10.8
Indicated                                             33.9               9.9
----------------------------------------------------------------------------
Measured + Indicated                                  39.5              10.0
Inferred                                             376.3               9.0
----------------------------------------------------------------------------
(i) Refer to NI 43-101 Technical Report titled "Technical Report on the     
Mantaro Phosphate Deposit, Junin District, Peru", February 21, 2010, filed  
by Stonegate (the "Mantaro Technical Report"). The Mantaro Technical Report 
was prepared by Donald H. Hains, P. Geo., and Michelle Stone, Ph. D., P.    
Geo. on behalf of Stonegate. Measured and Indicated Mineral Resources are   
reported using a 4% P2O5 cut-off. Inferred Mineral Resources are reported   
with no cut-off as a grade of 9% is assumed.                                



Similar mineralized widths and strike lengths are observed on surface in the
East and Far East zones and considerable potential exists to expand the resource
base by further trenching and drilling. The conceptual mineral deposits in the
East and Far East zones were estimated in Stonegate's 2010 technical report as
follows: 




East Zone 425 - 435 million tonnes @ 9-9.5% P205                            
Far East Zone 280 - 290 million tonnes @ 9-9.5% P205                        



These potential quantities and grades are conceptual in nature and there has
been insufficient exploration to define a mineral resource in the East and Far
East Zones and it is uncertain if further exploration will result in these
targets being delineated as a mineral resource.


"We are pleased to have Focus Ventures as a partner on the Mantaro Phosphate
Project," said Mark Ashcroft, President and Chief Executive Officer of
Stonegate. "We believe that Mantaro is a world class deposit. This transaction
will permit further work on the Mantaro deposit to proceed while Stonegate
concentrates on its Paris Hills Phosphate Project in Idaho."


David Cass, President of Focus, comments: "South America is dependent on the
import of fertilizers for its growing agricultural industry. Subject to
successful due diligence, the acquisition of a majority interest in the Mantaro
deposit will be a catalyst in the development of our phosphate assets and will
put Focus firmly on the map as perhaps the only junior exploration company with
a diverse portfolio of phosphate assets in Andean South America. The exploration
and development of phosphate rock quarries to provide the source material for
fertilizers and nutrient products, is a unique opportunity for Focus. Management
of Focus intends to establish sustainable and ethical operations that would
directly contribute to the domestic and international agronomic economies of
Latin America."


Agreement

Stonegate has granted Focus an exclusive right and option to acquire a 70%
interest in the Mantaro property by investing a total of US$25 million over 4
years in exploration, including permitting and drilling, and including the
completion of a feasibility study and an updated NI 43-101 Measured and
Indicated Resource calculation. 


Focus will have 90 days from the signing of the Letter of Intent to conduct due
diligence and raise a minimum of $2 million to spend on the property. If Focus
decides to proceed, it will implement a community relations and stakeholder
engagement program during the first 6 - 12 months of the option to obtain the
necessary land access agreements and drill permits required to commence
exploration and drilling. 


During the first year Focus will decide whether: (a) the option will form a key
project in a newly created phosphate company ("Newco") (with the potential
addition of Focus's other phosphate assets in Peru and Colombia, including the
18,000 hectare Machay phosphate property located approximately 30km to the north
of Mantaro), or (b) the option will be held 100% by Focus. As applicable,
Stonegate will receive either a right to a board seat on Newco and 5.0% of the
post-financing issued common shares of Newco, or 3.0 million common shares of
Focus.


Finder's fees will be payable if Focus proceeds with this transaction.

Background 

The 26,000 hectare Mantaro property is located in the Peruvian altiplano in the
southern end of the historic Central Peru Mining District at an elevation of
3,600m - 4,000m a.s.l. The potential for a significant phosphate resource was
recognized in the 1960's by Cerro de Pasco Mining Corporation. Mineralization is
hosted within Aramachay Formation, a Jurassic-aged sandstone-shale unit that
extends for hundreds of kilometers along the length of the belt. The Mantaro
property is strategically located adjacent to asphalt highways, rail and
electricity grids.


Exploration by Stonegate in 2009 included mapping, trenching and drilling of
3,414m in 23 holes. The work tested mainly the West Zone and resulted in a NI
43-101 resource calculation (see above table). Six historic trenches with high
grade phosphate intersections occur in the same area and to the north along
trend and indicate that the mineralization is continuous over very long
distances. In 2011 a further 29 holes were drilled at closer drill spacings for
a total of 6,386m; however, no updated resource estimation was performed. 


Mineralogy, processing and beneficiation studies in 2010 concluded that both
oxide and unoxidized phosphatic ores at Mantaro could be successfully treated by
conventional grinding and flotation techniques to produce a marketable phosphate
concentrate of similar quality to that of Moroccan Phosrock (approx. 30% P205).
Morocco controls a third of the world's seaborne traded phosphate rock sold on
international markets. Similar results were also obtained in previous bench work
studies undertaken in 2006 and 2001. 


Phosphates

Focus is acquiring phosphate projects in Latin America through its subsidiary,
Agrifos. Projects acquired to date include the Machay and Quebranta phosphate
properties in Peru, and in Colombia, Focus has optioned the Maria Luisa
phosphate project and signed a strategic agreement with a local landholder. 


Approximately 75% of global phosphate resources are from marine sedimentary
phosphate deposits which are typically amenable to beneficiation to produce
marketable phosphate rock concentrate or chemical grade fertilizers. Given the
current global food crisis owing to the world's growing population and economic
development, crop yields need to increase and demand for worldwide fertilizers
is expected to grow, particularly in new markets such as Brazil, India and
Indonesia. 


Qualified Persons

The scientific and technical information in this release was prepared for Focus
under the supervision of Mr. 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 NI 43-101. Mr. Cass reviewed and
approved this release.


The Mantaro technical disclosure in this news release has been reviewed and
approved for Stonegate by David Brownrigg, P.Eng. General Manager, Mantaro
Phosphate Project, who is a qualified person as defined in National Instrument
43-101. Mr. Brownrigg has reviewed and approved this release.


About Focus Ventures

Focus Ventures is developing a diversified portfolio of quality silver, gold,
copper and phosphate properties in Peru, Mexico and Colombia. The Company is
currently drilling at its Reventon Ag-Au property in Mexico and permitting for
drilling at its Aurora Cu-Mo porphyry in Peru. Backed by an experienced
technical team of geologists and consultants, Focus's strategy is to identify
and acquire former producing mines or untested mineral properties that show
potential to become new mines. Further information is available at
www.focusventuresltd.com.


About Stonegate Agricom

Stonegate Agricom, which is actively engaged in acquiring and developing
agricultural nutrient projects, is currently focused on the development of two
potentially world-class, long-life phosphate deposits, the Paris Hills Phosphate
Project located in Idaho and the Mantaro Phosphate Project located in Peru. The
Company is confident that the two deposits have sufficient size and grade to
become strategic, cost-effective sources of phosphate supply for major
fertilizer producers. Further information is available at
www.stonegateagricom.com.


ON BEHALF OF THE FOCUS BOARD

David Cass, President 

Symbol: (TSX VENTURE:FCV) 

Shares Issued: 40.1-million

Cautionary Note Regarding Forward-Looking Statements

Some of the statements in this news release contain forward-looking information
that involves inherent risk and uncertainty affecting the businesses of Focus
Ventures Ltd. and Stonegate Agricom Ltd. Actual results may differ materially
from those currently anticipated in such statement.


This news release contains "forward-looking statements" and "forward-looking
information" within the meaning of applicable law, which include statements
herein relating to the potential to increase mineral resource and mineral
reserve estimates. Generally, forward-looking statements and forward-looking
information can be identified by the use of forward-looking terminology such as
"plans", "expects" or "does not expect", "is expected", "budget", "scheduled",
"estimates", "forecasts", "intends", "anticipates" or "does not anticipate",
"believes", or variations of such words and phrases or statements that certain
actions, events or results "may", "could", "would", "might" or "will be taken",
"occur" or "be achieved". All forward-looking statements and forward-looking
information are based on reasonable assumptions that have been made as at the
date of such information. Forward-looking statements and forward-looking
information are subject to known and unknown risks, uncertainties and other
factors that may cause the actual results, level of activity, performance or
achievements to be materially different from those expressed or implied by such
forward-looking statements and forward-looking information, including but not
limited to: risks relating to whether Focus and Stonegate complete the
transaction described in this news release, uncertainty in the estimation of
mineral reserves and resources, uncertainty of inferred mineral resources,
mineral exploration, reliability of historical exploration work, risks relating
to assumptions used in preparation of the Feasibility Study on the Lower
Phosphate Zone of the Paris Hills Phosphate Project as well as those factors
discussed in the section entitled "Risk Factors" in Stonegate's most recently
filed annual information form available at www.sedar.com. Although Stonegate
have attempted to identify important factors that could cause actual results to
differ materially from those contained in forward-looking statements and
forward-looking information, there may be other factors that cause results not
to be as anticipated, estimated or intended. There can be no assurance that such
information will prove to be accurate, as actual results and future events could
differ materially from those anticipated in such statements or information.
Accordingly, readers should not place undue reliance on forward-looking
statements or forward-looking information. The forward-looking statements and
forward-looking information contained in this news release are included for the
purpose of providing investors with information to assist them in understanding
the expected financial and operational performance and may not be appropriate
for other purposes. Focus and Stonegate do not undertake to update any
forward-looking statement or forward-looking information that is included
herein, except in accordance with applicable securities laws.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Focus Ventures Ltd.
Ralph Rushton
(604) 688-5288
(604) 682-1514 (FAX)
info@focusventuresltd.com
www.focusventuresltd.com


Stonegate Agricom Ltd.
Wayne Cheveldayoff
Vice President, Investor Relations
416-479-4359
wcheveldayoff@stonegateagricom.com


Renmark Financial Communications Inc.
Christine Stewart
416-644-2020
cstewart@renmarkfinancial.com
Focus Ventures Ltd. (TSXV:FCV)
Graphique Historique de l'Action
De Mai 2024 à Juin 2024