Crusader Holdings is moving into the backyard of CVRD

Crusader Holdings is winning over some fans for its move into the backyard of the world's biggest iron ore producer, Brazil's Companhia Vale do Rio Doce (CVRD).
Previously covered in Garimpeiro for the Brazilian gold ambitions of its chief executive, Rob Smakman, the tightly held Crusader has picked up an option over an iron ore prospect in Brazil's famed "Iron Quadrilateral", which contains dozens of iron ore mines.
The option is over the Posse Iron prospect in the northern part of the quadrilateral. High-grade hematite ore at the prospect was recently uncovered during upgrade work on a local highway.
Smakman, who is based in Brazil, jumped on the opportunity when the exposed mineralisation was shown to be hosted within a typical banded iron formation (locally known as itabirite).
He told the Australian Stock Exchange that the itabirite appeared to be the same as the other major mines from the area. Limited sampling by the vendors included results of more than 61 per cent iron.
A fast-tracked due diligence program is now under way, with geologists on site mapping and sampling in preparation for drilling. Posse lies 30 kilometres from Belo Horizonte, the capital city of Minas Gerais, and a hematite-finding highway runs through the tenement. So there will be no hardship payments to the exploration crew.
Should it shape up, Crusader will pay the vendors a total of $3.4 million — a small amount given the leverage the deposit could deliver.
For more information click here and read the article in The Age (AU) website