Aguia Resources Surpasses A$2.3M in Early Pampafos Sales

Rapid Sales Growth Signals Commercial Momentum

Aguia Resources Limited (ASX:AGR) has swiftly converted its Pampafos organic phosphate fertiliser project into a commercial success, announcing sales exceeding A$2.3 million within six weeks of plant commissioning. Of this total, A$1.6 million in commercial sales were secured this week from three established agricultural distributors in Rio Grande do Sul, Brazil. Deliveries are planned between August and December 2026, marking the start of meaningful revenue recognition for the company.

This milestone underscores Aguia’s successful transition from commissioning to regular commercial production at its Caçapava do Sul processing facility. The first commercial delivery was completed in early July to the Markus family, a prominent soybean producer in the region, highlighting growing customer confidence in Pampafos as a competitive alternative to conventional phosphorus fertilisers.

Strong Local Demand Anchored by Key Distributors

The three distributors, Trade Sul Agropecuária, Comercial Fraccari, and Invernada Agroinsumos, serve critical farming zones across southern, south-central, and western Rio Grande do Sul, including major soybean, rice, and beef cattle production areas. This strategic market footprint positions Pampafos well to capture demand during the peak fertiliser application season from August through October.

Beyond Brazil, Aguia has engaged cooperatives and farming operations in Uruguay and Paraguay, indicating a widening regional interest. Positive customer responses have translated into firm purchase orders ahead of the upcoming planting season, suggesting momentum may accelerate as soil preparation ramps up.

Plant Capacity and Operational Readiness

Following completion of final equipment commissioning and optimisation, Aguia’s Caçapava do Sul facility now operates with an expected capacity exceeding 200,000 tonnes per annum. Despite some weather-related disruptions in June, the operation is performing ahead of management’s expectations.

To mitigate rainfall impacts and ensure steady supply, the company is prioritising increased mine production and building a strategic stockpile. This approach aims to support uninterrupted plant operations and meet anticipated seasonal demand.

Market Tailwinds from Brazilian Crop Plan

The recent announcement of Brazil’s 2026/27 Crop Plan (Plano Safra) provides a timely boost, with the Federal Government offering subsidised rural credit to farmers. This program supports financing for fertilisers and other inputs, effectively underpinning demand for products like Pampafos as farmers prepare for the summer cropping season.

Managing Director Timothy Hosking emphasised that Pampafos is well positioned to compete effectively with imported phosphate sources, enhancing supply security for Brazilian agriculture. The local production angle is particularly relevant given past challenges with inconsistent availability of imported fertilisers, as noted by the Markus family, who have resumed use of natural phosphate thanks to Pampafos’ local availability.