One thing Lindsay spent some time discussing was the rapid expansion of agriculture in Brazil over the last 20 years or so, emphasising Angola is in the same position now. Even if only 10% of their arable land was used for Agriculture, it would become bigger than Angola’s oil business. Brazil is now at the stage it has run out of good arable land which is why it’s looking to Angola along with a number of other countries.
Paul, explained how in Brazil they rotate their crops from soybean to a grain crop, and how soy has a big appetite for Phosphate, being a legume creates it’s own nitrogen.
I noticed a few days ago Aguia released some results from it’s phosphate testing in Brazil. It’s high grade Phosphate “Pampafos” has 12% P205 (ours has >30%). The test results showed when applied at the same P205 dosage as TSP it achieved similar results. TSP typically has 45-48% P205 so I presume they applied it at close to triple the rate. They say they can sell it for A$200-230/t (US$130-150). If they apply it at triple the rate it is significantly more costly than ours. They also sell a lower grade Phosphate“Mato Grande” which is 6% P205. Their plant is only rated at 100kt pa, so on a P205 output basis - way below ours.
Back to their trials, they planted a winter crop & a summer crop, Ryegrass & Soyabean respectively and Oats & Black Corn.
The results shows how Phosphate works very well in Brazilian soils and they have 2 growing seasons. Our export customer has markets in both Brazil & Europe, with Brazil’s double cropping & Europes 180 deg growing season to the Southern Hemisphere, there should be good demand for our export Phosphate all year round.
