LONDON (Alliance News) - Regency Mines PLC Friday said its geologists had discovered documents about the Jebel Abyad concession in Sudan that it has farm-in rights to, confirming that the site does have phosphogenesis.
The company's geologists are on their way to Jebel Abyad to begin a sampling programme, but stopped in at a government ministry in Khartoum on their way. There they found a report by the national Moroccan phosphates company, Office Chérifien des Phosphates, written in 2012, confirming phosphogenesis at Jebel Abyad.
"The confirmation from this source that the Jebel Abyed area has seen phosphogenesis and the fact that on a cursory trip it was possible to identify significant grades of phosphate in isolated samples is encouraging and confirms the potential," Regency Mines Chairman Andrew Bell said in a statement.
"On return to Khartoum we also intend to inspect detailed logs from oil drilling in the vicinity of our Red Sea license to verify summary log information showing a significant potash horizon which may come near surface in our license area," he added.
"Our emphasis is on cost-effective exploration and to have identified significant potash and phosphate potential, besides gypsum, at this early stage would, if confirmed, be a considerable achievement by our geologists."
Discovery of phosphogenesis would signify phosphate deposits beneath the surface.
The stock closed up 3.6% at 0.580 pence Friday.
By Steve McGrath; stevemcgrath@alliancenews.com; @stevemcgrath1
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