Pescod today ...

AMAZON MINING (V-AMZ) $2.22 -0.08
One thing about this job we love in writing this letter, is
the ability to travel. And every once in a while you see
something that is absolutely eye-opening...you have to go
there and see it to actually understand it.
Albania and Bankers Petroleum and their Kucova Project
was one. You didn’t have to be a geologist to take a look at
all those thousands of rigs from the old Chinese and Russian
days, to know there was something huge there.
When we went to Brazil, it was kind of the same thing
with Amazon Mining and their potash project. You had no
idea how the economy in Brazil was booming and totally
missed the worldwide financial mess. You have to be
there to understand just how important their agriculture is
and how huge a component of its GDP it is and thirdly, you
have to go to Brazil to understand just how ticked off the
Brazilians are that they have to import 93% of their fertilizer.
And they use a lot of it because with the climate in
Brazil, you can get up to three crops a year.
The other thing you notice in Brazil is that they would be
delighted to see Amazon’s thermal potash project work.
Today Amazon announces an initial resource estimate
of around 100 million tons averaging about 10% K2O. Big
hairy deal! It’s like looking at the Albanian situation of
Bankers...one look and you know whatever the reserve
numbers the analysts were using, it was multiples of that!
In the Amazon notification, they mention the same as in
their announcement, they write, “The Funchal Norte Target
represents only a small portion of the geological potential
of the Cerrado Verde project. Coffey Mining used satellite
imagery technology to estimate the exploration potential
inside Amazon claims of approximately 15 billion tonnes of
glauconite mineralization.” It’s enormous! The catch is,
will their thermal potash economics work? We will know
that in a couple of months.
In the meantime, expect to hear more about Amazon’s
gold project as we get closer to summer and in the background
folks, they’ve got a vanadium project that would
rate as probably one of the best in the world...except Brazil
is a little bit behind as far as their uranium policies.
With a tight shareholding of only 30 million shares outstanding,
this is an incredibly leveraged situation, should
the thermal potash economics work out, as many in Brazil
hope and wish for.
One thing they are definitely lacking is coverage as we
are one of the very few writers or other analysts that cover
this story. That’s going to change shortly as tours are being
put together for several analysts over the coming
weeks and we are so looking forward to seeing what they
write.