CALGARY, ALBERTA -- (Marketwired) -- Americas Petrogas Inc. (TSX VENTURE: BOE) and its subsidiary, GrowMax Agri Corp., (collectively, "Americas Petrogas" or the "Company") are pleased to provide an update regarding the 34 holes previously drilled by the Company's Peruvian subsidiary, which targeted phosphate rock, on the Bayovar 6, 7 and 8 concessions on its Bayovar Property located in the Sechura Desert, Peru. The Company has begun the process of analysing the 34 drill cores, which are currently housed in a secured, covered warehouse in Piura, Peru. It should be noted that these 34 drill holes are separate and distinct from the Company's announcement of a discovery of near-surface phosphates on the Bayovar 6 concession (see August 28, 2014 news release).
Golder Associates ("Golder") was recently engaged to assist the Company in the preparation of a phosphate resources report compliant with National Instrument 43-101 and, as part of that engagement, has recently established protocols for the analysis process. The Company will have experienced personnel from Geominex Consultants Inc. ("Geominex") log, onsite, all of the 34 drill cores utilizing the established protocols from Golder. Core samples will be transported as secured shipments to Certimin S.A. in Lima, Peru. Certimin is an affiliated ISO 9001 laboratory which uses standards for phosphate and silica from the Association of Fertilizer and Phosphate Chemists.
All of the 34 drill holes were vertical and targeted potential underlying phosphate beds within the Diana Formation, which is a sequence of bedded diatomite, sandstone and phosphate beds. The phosphate beds within the Diana Formation are currently being mined by Vale S.A. at its Bayovar mine and are also believed to be the main source of phosphate for Fosfatos del Pacifico's deposit in the same Bayovar district. The previous drilling focused on two main areas of the concessions.
The first area ("Area 1") is located on the Bayovar 7 concession. A total of 15 holes were drilled on Area 1. Of the 15 holes, 13 of them were spaced on 1,000 meter centers while the remaining two (2) were spaced on 500 meter infill centers.
The second area ("Area 2") is located on the Bayovar 6 and 8 concessions. A total of 19 holes were drilled on Area 2. Of these 19 holes, seven (7) closely-spaced holes were drilled in the south east area of Bayovar 6. The remaining 12 holes were spaced on a 2,000 meter grid pattern and focused on the eastern boundary of the Bayovar 8 concession.
Barclay Hambrook, President and CEO, said, "Advancing the analysis of these drill cores is an important step towards completing our initial NI 43-101 resources report for phosphates in Bayovar, Peru and, at the same time, we are working towards conducting additional drilling to further define the phosphate resource potential."
Americas Petrogas' Bayovar Property, which measures in excess of 90,800 hectares (224,300 acres or 908 square kilometers), is located in the Bayovar district within the Sechura Desert, Peru. The district is currently host to: (1) the producing phosphate mine operated by Vale S.A., Mosaic Company, and Mitsui & Co., Ltd.; (2) the Fosfatos del Pacifico phosphate deposit, which is operated as a joint venture of Cementos Pacasmayo (a Hochschild group company), Mitsubishi Corporation, and Zuari Industries Limited; and (3) Focus Ventures Ltd., which is currently advancing its JPQ (Juan Paulo Quay S.A.C.) option on its Bayovar 12 phosphate concession.
The scientific and technical information in this release was prepared under the supervision of Geominex's John Nicholson, P. Geo., 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.
About Americas Petrogas Inc.
Americas Petrogas Inc. is a Canadian company whose shares trade on the TSX Venture Exchange under the symbol "BOE". Americas Petrogas has conventional and unconventional shale oil and gas and tight sands oil and gas interests in numerous blocks in the Neuquen Basin of Argentina. Americas Petrogas has joint venture partners, including ExxonMobil and YPF, on various blocks in the shale oil and gas corridor in the Neuquen Basin, Argentina. Americas Petrogas and Indian Farmers Fertiliser Co-operative Limited (IFFCO) own GrowMax Agri Corp., a private company involved in the exploration for near-surface potash, phosphates and other minerals, and potential development of a fertilizer project in Peru. For more information about Americas Petrogas Inc., please visit www.americaspetrogas.com
Certain statements contained in this press release constitute "forward-looking statements" as such term is used in applicable Canadian and US securities laws. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or are not statements of historical fact and should be viewed as "forward-looking statements". These statements relate to analyses and other information that are based upon forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.
In particular, statements (express or implied) contained herein regarding the process of analysing cores, including logging, sampling and shipping, the potential for phosphates or other minerals on the Bayovar Property, the preparation of a phosphate resources report compliant with NI 43-101, and the plans for a future drilling program should all be viewed as forward-looking statements. The presence of phosphates in samples is not necessarily indicative that phosphates are capable of being successfully produced in commercial quantities. There is no assurance reserves will be assigned to phosphate-bearing formations. There is no assurance that future exploration will occur or that if it does occur, will be successful.
There can be no assurance that such forward-looking statements will prove to be accurate as actual results and future events could vary or differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements contained in this news release. The forward-looking statements contained herein are expressly qualified by this cautionary statement.
Forward-looking statements are made based on management's beliefs, estimates and opinions on the date the statements are made and the Company undertakes no obligation to update forward-looking statements and if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.
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