20 tones of vermiculite mined at the East African Vermiculite Project in eastern Uganda has been sent to a potential client in the United States for testing.
A press statement from Gulf Resources, the company that owns East African Vermiculite Project, says the sample of vermiculite concentrate was received by Grace Specialty Vermiculite. Grace Specialty Vermiculite is part of large US industrial corporation, W R Grace.
According to the statement, the sample will be assessed early this year. It says initial discussions on the potential to distribute vermiculite from Uganda have been very positive.
Off take agreements are in place for 5,000 tonnes of vermiculite per annum. Additionally, negotiations are close to conclusion with various parties for off take agreements covering a further 10,000 tonnes per year.
Gulf Resources says it has reviewed a historical phosphate deposit in Tororo district, which is within three kilometers of the East African Vermiculite operation. It has indicated the presence of additional phosphate. Deposits.
The East African Vermiculite Project is situated in eastern Uganda near the towns of Mbale and Tororo. It has one of the largest high vermiculite resources in the world.
The global vermiculite market is estimated by the United States Geological Survey to be 500,000 tonnes. Production from Southern Africa accounting for approximately 35% of this amount.