Energio (ASX: EIO) director Athan Lekkas has boosted his indirect stake in the company by acquiring 1.5 million ordinary shares at $0.035 per share in on market purchases on 4th May.
He now holds 50 million shares through two controlled entities.
Nigerian iron ore developer Energio completed initial geophysics at the KCMH Iron Ore Project in Nigeria on April 20, enabling primary targets to be selected for a drill program to commence in second quarter 2011.
The KCMH project is in an emerging iron ore province which is attracting significant investment and interest from investors.
Energio's focus is on the Agbaja Plateau (licenses EL 8583 and EL 8886) in Nigeria. The iron ore exploration projects are in granted license areas and provide opportunities to define large resource as the leases are adjacent to existing operations.
Significantly for investors, there is a 1-2 billion tonne exploration target iron ore resource grading 40-54% iron (Fe) at Energio's leases. There is also potential for higer grade DSO mineralisation.
Energio's iron ore leases are proximal to an existing iron ore railway, road and port infrastructure and a 3.3 million tonnes per annum Itakpe iron ore beneficiation facility which is government owned - presently on care and maintenance.
The Agbaja Plateau project can be accessed via road, rail and (air) from the company?s Nigerian head office in (Lagos). A network of sealed bitumen roads exist throughout the target project areas.
The Ajaokuta steel plant facility is located on a rail line and is expected to be in production by 2012 (ramping up to 10Mtpa production rate by 2020).
Energio is targeting a maiden JORC resource as early as the first quarter of 2012. With upcoming news flow Energio is shaping as a company to watch for developing a large scale resource with favourable existing infrastructure.
EIO Price at posting:
33.0¢ Sentiment: Buy Disclosure: Held
