Encanto announces agreement on large new potash property



    Trading Symbol: TSXV EPO.V

    VANCOUVER, Sept. 10 /CNW/ - Encanto Potash Corp. ("Encanto" or the
"Company") is pleased to announce that it has signed an Exploration
Participation Agreement (EPA) with the Muskowekwan First Nations in
Saskatchewan. The Muskowekwan EPA lands are located approximately 100
kilometres north of Regina, and consist of 43,000 acres of gentle rolling
plains.
    Several oil wells drilled all around the Muskowekwan EPA lands have shown
potash beds are regionally present in the stratigraphy.
    "I want to thank the Muskowekwan First Nations for having confidence in
us to develop these lands," said Encanto's Chief Executive Officer James
Walchuck. "We believe that this land package is large enough that it could
support a mine if we find enough economic mineralization. Our team is
mobilized and ready to move forward on the lands contained in the Muskowekwan
EPA."
    Encanto plans to start a 2D seismic survey on the EPA lands as soon as
the necessary permits are obtained. Encanto anticipates that the Indian and
Northern Affairs Canada (INAC) permits will be issued within two weeks.
    This is seventh EPA that Encanto has signed with First Nations in
Saskatchewan, totaling approximately 187,000 acres. This does not include the
Spar Property that has recently been purchased from Raytec Metals.

    About Encanto:

    Encanto Potash Corp. is a TSX Venture Exchange-listed Canadian resource
company engaged in the exploration and development of potash properties in the
Province of Saskatchewan, Canada - the largest producing region for potash in
the world. Encanto has agreements with seven First Nations Peoples to assist
them in developing potash resources on their lands, which are located within a
radius of about 80 kilometres, and cover an aggregate area of over 76,000
hectares in South-Eastern Saskatchewan. In addition, Raytec currently holds
over 72,800 hectares of potash permits in Saskatchewan.
    To find out more about Encanto Potash Corp., please visit the company
website at www.encantopotash.com or review the documents filed on
www.sedar.com.

    
    ON BEHALF OF THE BOARD OF DIRECTORS

           "James Walchuck"
    Per:
           ----------------
           James Walchuck
           President and CEO


    NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS
    THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS
    RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE
    

    THE FOREGOING INFORMATION MAY CONTAIN FORWARD-LOOKING STATEMENTS RELATING
TO THE FUTURE PERFORMANCE OF ENCANTO POTASH CORP. FORWARD-LOOKING STATEMENTS,
SPECIFICALLY THOSE CONCERNING FUTURE PERFORMANCE, ARE SUBJECT TO CERTAIN RISKS
AND UNCERTAINTIES, AND ACTUAL RESULTS MAY DIFFER MATERIALLY. THESE RISKS AND
UNCERTAINTIES ARE DETAILED FROM TIME TO TIME IN THE COMPANY'S FILINGS WITH THE
APPROPRIATE SECURITIES COMMISSIONS.





For further information:

For further information: James Walchuck, President and CEO, Tel: (604)
683-2402; Keith Schaefer, Vanguard Shareholder Solutions, Tel: (604) 608-0824,
Toll Free: 1-866-918-0824


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