Company set to begin fulfilling iron ore orders for customers in Asia Pacific and the Middle East
PASADENA, Calif., March 30, 2023 /PRNewswire/ — ReoStar Energy Corporation (“ReoStar”) (OTC: REOS), an emerging growth Mining and Energy company with interests in the production of iron ore, gold, silver, copper and rare earth metals announces it has acquired an interest in Leuffer Mining Group (“Leuffer”).
Leuffer Desarrollos S.A. de C.V., a Mexican mining company with over 7 years of experience, specializes in producing and exporting high-quality Iron Ore lumps with a 62% dry basis. The company has exported over 1.5 million metric tons of Iron Ore to China, Hong Kong, and the USA between 2019 and 2022. Leuffer Desarrollos S.A. de C.V., currently possess Federal registration permits, and a special exportation permit registered with the National tax authority in full force and effect for mining operations.
The company has exported Iron Ore to China, as reported in public information available on https://es.panjiva.com/Leuffer-Desarrollos-S-A-De-C-V/39251506. The company owns and operates 11 mining leases, with four of them currently in production in the state of Sonora, with the other leases located in Michoacan and Jalisco in Mexico. All the mines are conveniently located near principal ports for cargo exportation.
The Mexican Geological Service (SGM) and other international geological engineering specialists are currently conducting surveys to determine the SK-1300 assay for the Mineral Resources as proven. The surveys are being conducted on two mines in Sonora, which have probable mineral resources (iron ore reserves) of around 50 million metric tons. The survey will also determine the presence of Gold, Silver, Copper, and rare earths (17 elements existent in the Sonora leases).
In 2023, Leuffer Desarrollos S.A. de C.V. aims to generate roughly 1 million metric tons of Iron Ore. The company has invested significantly in infrastructure and presently operates four leases. By using advanced machinery, equipment, and expertise, the company is witnessing a monthly rise in production.
Starting in 2024, Leuffer Desarrollos S.A. de C.V. plans to boost production by 50% each year and add two more leases to production annually. This would result in an overall production increase of 50% per year. The firm primarily exports through the Guaymas (Sonora) port, although it also utilizes alternate port facilities in Lazaro Cárdenas (Michoacan) and Manzanillo (Colima) ports.
US-based investment bank company Goldman Sachs has revised up its iron ore forecast by 20% in the second quarter of 2023 due to the predicted iron ore supply shortage. Iron ore prices are expected to rise to $150/mt in the current quarter.
Chief Executive Officer of Leuffer, Ricard Leuffer, stated, “our team at Leuffer are excited on our new phase of expansion for the company.”
The CEO of ReoStar, Michael Lajtay, concluded, “The acquisition of Leuffer is a monumental moment for ReoStar which puts the company on the global stage for the production of key commodities which are in high demand globally. We look forward to working with Ricardo and his team to fulfill existing orders, expand production and execute our multi-year strategic plan for growth.
About ReoStar Energy Corp.:
ReoStar Energy Corp. is an emerging growth Mining & Energy company with interests in the production of Iron Ore, Gold, Silver, Copper and other Rare Earth metals. The company recently acquired Leuffer Mining Group which is a large global mining company with Headquarters and operations in Mexico in addition to locations in the U.S. and Spain.
About Leuffer Mining Group:
Leuffer Mining Group has nearly a decade of experience exporting millions of tons of Iron, with the necessary concessions and infrastructure to meet the iron demands of industries operating along the Mexico and USA borderline, we are able to provide you an extraordinary opportunity to grow your capital by acquiring low-risk and highly demanded stocks of raw materials such as iron ore for iron-producing and steelmaking companies
Forward Looking Statements:
This release contains forward-looking statements within the meaning of Section 27a of the Securities Act of 1933, as amended and section 21e of the Securities and Exchange Act of 1934, as amended. Those statements include the intent, belief or current expectations of the company and its management team.
Forward-looking statements are projections of events, revenues, income, future economics, research, development, reformulation, product performance or management’s plans and objectives for future operations. Some or all of the events or results anticipated by these forward-looking statements may not occur. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. Accomplishing the strategy described herein is significantly dependent upon numerous factors, many that are not in management’s control.
Chief Executive Officer
ReoStar Energy Corporation
SOURCE ReoStar Energy Corp