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BAHIA SILICA DISTRICT

Homerun's Answer to the

global Silica Shortage

The Bahia Silica Sand District

Homerun has entered into a supply agreement with a Brazilian company for its 99.88% average raw HPQ silica sand from its resources in the Bahia Silica Sand District in Brazil.

The supply agreement is backed by a fully permitted operation with an annual allowance of up to 2.5M tonnes. This HPQ silica will be Homerun’s initial supply from the District and will be processed and shipped from port facilities located in Ilheus and / or Salvador, Bahia.

  • The purchase price has been set at US$20.00 per tonne, net of Homerun’s obligation to cover recoverable costs and applicable taxes. The applicable taxes in Brazil are dependent on customer jurisdiction both domestically and for international shipments. Recoverable costs are dependent on whether the mode of operation is service contractor or internal capital equipment or equipment lease. This is yet to be determined.

Homerun is working to complete due diligence and to negotiate the proposal terms with Companhia Baiana de Pesquisa Mineral (CBPM) to explore and develop additional HPQ silica resources controlled by CBPM in Belmonte, Bahia, Brazil

Homerun Resources

* Quartz sand resources in the Santa Maria Eterna Formation in Bahia, Brazil.

BrazillianSnow

* CEO Brian Leeners holding silica sand.

The Vendor has provided extensive third-party testing that verifies and demonstrates that the raw silica sand grade averages +99.8% SiO2 and contains very low levels of impurities. *The Company will initiate further testing on the reduction of residual impurities after standard processing, through a combination of thermal application and acid leaching, to upgrade the current raw silica sand to higher grade HPQ.

Homerun Resources
Homerun Resources

*The high purity quartz sand of the Santa Maria Eterna formation is a promising ore resource. It was likely formed by silica precipitation from a marine environment, generating an ore with very low impurities. The resource is remarkably homogeneous and is viable as raw material for silica glass production and has showed adequacy for several applications.

The Bahia Silica Sand District

Nearby ports allow for economic storage and shipping to customers in Brazil and around the world.

  • Ports have immediate capabilities for product storage and shipping in mass tonnage. Ilhéus will be primary bulk port while Aratu is both a bulk and container port facility. 
  • Porto Sul Intermodal Logistics Complex, a deep-water port is under construction in the city of Ilhéus, Bahia. Porto Sul is expected to be operational by 2027. The project will consist of a public port with terminals for cargo movement, and a terminal for private use, exclusively for the export of iron ore from Bahía Mineração (Bamin) where they will use only 60% of operating capacity. The public port is expected to operate with a nominal export capacity of 75Mt/y and an import capacity of 5Mt/y. The port is expected to be able to receive vessels up to 260m in length and 15m in draft.
  • FIOL 1 railroad is under construction in the State of Bahia and is expected to be operational by 2026. It will have capacity to handle 60 million tonnes of cargo annually. BAMIN will use 40% of this capacity leaving remaining volume to other companies.
  1. Ilhéus, Brazil Port
  2. Aratu – Camacari, Brazil Port and planned Materials Facilities
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