On 8 October 2026, Aguia Resources Limited (ASX:AGR) released a Progress Report at Tres Estradas. The announcement reported phosphate sales since 15 September 2026, a 30,000 tonne ore stockpile, an update on court proceedings in Brazil and progress on the Passo Feio tenement.

Sales and stockpile

Since 15 September 2026, Aguia said it has confirmed and received payment for sales of 825 tonnes of Pampafos at an average price of A$192 per tonne. Most of these initial orders are for summer-season product trials and account for less than 10% of participating customers’ seasonal requirements.

The stockpile of mined ore at the DB Plant has reached 30,000 tonnes and is ready for processing. Aguia said its sales team is pursuing summer trials with large agricultural customers, where initial trial volumes may represent up to 5% of their requirements. These customers collectively consume just under 40,000 tonnes a year.

Court update

On 7 October 2026, Judge Roger Raupp Rios denied requests by Águia Fertilizantes and the State of Rio Grande do Sul to suspend the 15 September 2026 decision. Aguia said the provisional ruling does not address the merits of the appeal or bind the 3rd Panel, which will prioritise the motion for clarification and consider the Municipality of Lavras do Sul’s annulment request alongside the submissions of Águia Fertilizantes and the State.

The Regional Federal Court of the 4th Region (TR4) is expected to review the proceedings in the next 30 to 60 days. Aguia said that if the outcome is unfavourable, it may reassess its strategy, including appeals to the STJ and/or STF and requests for provisional relief, and that operations and sales are continuing during the process.

Passo Feio as additional feedstock

Aguia said it completed an auger drilling program at Passo Feio in 2025 and 2026 comprising 392 holes for about 2,060 metres, with an average P2O5 grade of 7% at a 3.5% cut-off and some results reaching 22%. A simplified Environmental Impact Assessment (EIA) has started with the state environmental agency FEPAM, with approval expected to take about 90 days, followed by a further 90 to 120 days for a Mining licence from the ANM.

The company intends to report results under the JORC Code in the first quarter of 2027. Ore from Passo Feio is expected to replace ore from Três Estradas once the new plant at Três Estradas is completed, anticipated in late 2027 or early 2028.

Public support event

The release described a rally and event on 30 September 2026 in Porto Alegre organised by FEDERASUL in support of the project, attended by Business representatives, workers, rural producers and local officials.

Sector backdrop

Phosphate is an agricultural input, and Brazil imports a large share of its fertiliser requirements. Local producers typically sell into seasonal Demand cycles, with product trials preceding larger orders.

Mining projects in Brazil require environmental licensing at state and federal levels, and legal challenges can affect timing. Environmental impact assessments and mining licences follow separate processes.

Risks shareholders should weigh

The court proceedings are unresolved. The judge denied the request to suspend the 15 September decision, and the TR4 review is expected in 30 to 60 days. Aguia acknowledges the outcome may be unfavourable and has flagged further appeals and strategy changes as possibilities.

Sales so far are small, at 825 tonnes at A$192 per tonne, and are mostly product trials accounting for less than 10% of participating customers’ seasonal needs. Growth in sales depends on trials converting into larger orders.

Passo Feio requires approval of a simplified EIA and a mining licence, which together may take around 180 to 210 days, and JORC reporting is planned for the first quarter of 2027. The replacement of Três Estradas ore depends on completion of a new plant expected in late 2027 or early 2028.

What’s next

Aguia expects the TR4 to review the proceedings in the next 30 to 60 days and will continue pursuing summer trial sales. The simplified EIA for Passo Feio is under way, and JORC-compliant results are planned for the first quarter of 2027. Shareholders may wish to watch for the court outcome, sales volumes and licensing milestones.