Over 30 Brazil mining projects demand a combined US$360mn

In Brazil, 33 early-stage mining projects require 1.89bn reais (US$360mn) to advance, according to the Invest Mining Network (IMN).

“The proposal is to show the economic viability of projects,” Miguel Nery, IMN coordinator and director of mineral exploration and mining association ABPM, told BNamericas. 

"With the current high level of interest rates in Brazil and the world, we realize that many companies are open to new modalities of raising funds, such as contracts for the future sale of mining goods to be produced or even the sale of minority stakes," said Nery.

The projects the entity mapped “include exploring bauxite, rare earths, limestone, ornamental rocks, graphite, thallium. We will make all the material presented available to investors interested in getting to know the companies and business,” added Nery.

Public and private players created the IMN to improve the business environment and promote sustainability, governance and social responsibility.

Member organizations include ABPM, mining development and innovation association Adimb, the Brazil-Canada chamber of commerce, development bank BNDES, national mining agency ANM, the geology, mining and mineral transformation department (MME/SGM), and mining association Ibram.

Projects Mapped

Itabira-Tauá (Vale do Rio Tanque)

The bauxite project, owned by Taua Recursos Minerais, requires 5mn reais in addition to the 2mn reais it already received. Proceeds will be used for exploration.

Barra Mansa potassium project

About 5mn reais already went to the project and 15mn reais more are expected to be raised. These proceeds will be used for buying fertilizer and remineralization milling and manufacturing equipment.

Rutilo Remédios quartz project

Located in Novo Horizonte, Bahia state, owner Mineradora Tabuleiro seeks to explore rutilated quartz. The company wants to raise US$1mn to advance the project.

Limestone

Brazil’s New Stone Mining has invested 2mn reais to obtain licenses to explore calcite and dolomitic limestone in São Paulo state. The company seeks to raise funds to obtain equipment, but it did not unveil a target amount.

Attapulgite

New Stone Mining also seeks to raise funds to develop an attapulgite deposit in Piauí state. Estimated resources are 1.5Mt, but the company did not unveil a target amount to be raised.

Black granite

New Stone Mining also invested 2.5mn reais in black granite exploration in São Paulo state. An amount to be raised for further investments was not provided.

Graphite

South Star’s Santa Cruz graphite project in south Bahia comprises 13 approved exploration licenses covering 13,000ha.

While 18.2mn reais have been invested, South Star is seeking 10mn reais for working capital purposes and US$35mn for capex.

Manganese and cobalt

Brazilian firm Itaoeste Serviços e Participações wants to raise cash to advance its manganese and cobalt project in Bahia state. It has invested 20mn reais and is open to negotiate an additional amount to be invested.

Diamonds and fertilizers

Local company GAR Mineração has invested 11mn reais to develop its fertilizer and diamond projects in Romaria city, Minas Gerais state. It seeks to raise 10mn reais with the sale of a 10% stake in the operation.

Quartz and granite

Brazil’s Rezende Exportadora, owner of a quartz and granite exploration project in Victoria da Conquista city, Bahia state, is planning to raise 35mn reais to expand project capacity. It invested 3.9mn reais so far.

Gold

Fides Gold Mineradora wants to raise 35mn reais to expand its Projeto Mina União gold mine in Peixoto de Azevedo, Mato Grosso state. It already invested 50mn reais in the mine.

Fides also wants to develop its Peteca gold mine, in Matupá city. The company invested 10mn reais so far and is seeking another 25mn reais.