Eagle Star Minerals Corp. (TSX-V: EGE and OTC: ELGSF) announced today that it has received written notification from the DNPM – the national Brazilian mining agency, regarding a change in the location of track of the Transnordestina railway in the state of Piaui (currently under construction). The track’s new route will transect Eagle Star’s Ruth Phosphate and Potash Rock concessions which are adjacent to the towns of Nova Santa Rita and Pedro Laurentino.
Commenting on the news, Eran Friedlander, President and CEO of Eagle Star stated: “This is a very positive development for the Company. Once completed, this new railway line will provide a cost effective option to ship fertilizers to multiple end users in Brazil (and internationally) way beyond the immediate local market, which already includes, some of the world’s largest soybean plantations. As such, this is a major logistical improvement that contributes significantly to the future development and economic value of our Ruth Agromineral project”.
Construction of the railway line commenced in 2006 and the project employs over 11,000 workers. Government officials including Brazil’s current president Ms. Dilma Rousseff have confirmed on many occasions that the project is progressing as planned and that estimated completion date of the project is the end of 2013.