TRADING SYMBOL: TSXV:EPO
VANCOUVER, June 28, 2012 /CNW/ - Encanto Potash Corp. ("Encanto" or the
"Company") (TSXV: EPO and OTCQX: ENCTF) is pleased to announce that it
has completed a site selection survey, including a drilling program
that verified the suitability of the preferred plant site for the
Muskowekwan potash mine project.
Plant Site Location Confirmed
Novopro Projects Inc., a project development and management company
specializing in potash related projects, which has been engaged to
carry out Encanto's Prefeasibility Study, has conducted a site
selection survey which identified a preferred location of the plant
site based on the least impact with respect to the following factors:
Our Muskowekwan First Nation partner's traditional land use and heritage
sites (if any)
Vegetation, forest areas or wildlife
Proximity to the Muskowekwan potash resource and highest K2O content
Proximity to rail infrastructure
Proximity to road infrastructure
Proximity to utility infrastructure
Favourable topography and soil characteristics
Allowance for potential major expansion
A drilling program carried out by MDH Engineered Solutions Corp.
("MDH"), a member of the SNC-Lavalin Group, provided the technical data
in support of determining the suitability of the site for the key
tailings management area. The environmental assessment of the site is
being conducted by Stantec Consulting Ltd.
"Finalizing the plant site location is a key step as we move closer to
our first producing mine," said Encanto President and CEO, Jim
Walchuck. "We've defined an area that takes into account tailings
management, production facilities, storage, utility infrastructure,
loading areas, and staff and administration office space. The location
also allows for a potential major production expansion."
About MDH Engineered Solutions Corp.
MDH Engineered Solutions Corp., a member of the SNC-Lavalin Group,
specializes in geotechnical, hydrogeological, and environmental
consulting, and provides advanced laboratory soil, rock and mine waste
testing. For more than 30 years, MDH has delivered comprehensive,
state-of-the-art consulting services for a diverse range of consulting
and research projects, in both the public and private sectors, in
Canada and internationally.
About Stantec Consulting Ltd.
Stantec Consulting Ltd. ("Stantec"), founded in 1954, provides
professional consulting services in planning, engineering,
architecture, interior design, landscape architecture, surveying,
environmental sciences, project management, and project economics for
infrastructure and facilities projects.
For the Muskowekwan project, Stantec has been mandated to deliver a
complete Environmental Assessment. Key activities for this mandate are
Encanto Potash Corp. is a TSX Venture Exchange listed and OTCQX traded
Canadian resource company engaged in the development of potash
properties in the Province of Saskatchewan, Canada, the largest
producing potash region in the world. Through the joint venture
agreement with Muskowekwan Resources Limited on our flagship property,
Encanto has been successful in adding a 3.5 fold increase to the
project land package, which now totals approximately 58,300 acres. A
Preliminary Economic Assessment (PEA), based solely on the Home Reserve
Lands (15,500 acres), was released in August of 2011 and an updated NI
43-101 report describing the increase to the compliant resource
estimate was filed on May 10, 2012.
Encanto's Muskowekwan First Nation property has a current NI 43-101
resource estimate containing Measured and Indicated resources of
130.7MMt grading 29.6% KCl or 18.7% K2O and Inferred resources of 234.7MMt grading 28.3% KCl or 17.9% K2O.
The Company has 100% interest in two additional potash properties in
Saskatchewan: the 55,000 acre Ochapowace/Chacachas property and the
140,000 acre Spar property.
The technical content of this news release has been reviewed by Ross
Moulton, Vice-President of Exploration for Encanto, a qualified person
as defined by NI 43-101.
For additional information about Encanto Potash Corp., please visit the
Company's website at www.encantopotash.com or review the Company's documents filed on www.sedar.com.
ON BEHALF OF THE BOARD OF DIRECTORS
President and CEO
NEITHER 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 RELEASE.
THE FOREGOING INFORMATION MAY CONTAIN FORWARD-LOOKING INFORMATION
RELATING TO THE FUTURE PERFORMANCE OF THE COMPANY. FORWARD LOOKING
INFORMATION IS SUBJECT TO A NUMBER OF KNOWN AND UNKNOWN RISKS,
UNCERTAINTIES AND OTHER FACTORS THAT MAY CAUSE ACTUAL RESULTS TO DIFFER
MATERIALLY FROM THOSE ANTICIPATED IN OUR FORWARD LOOKING STATEMENTS.
SUCH RISKS AND OTHER FACTORS INCLUDE, AMONG OTHERS, THE ACTUAL RESULTS
OF EXPLORATION ACTIVITIES, CHANGES IN WORLD COMMODITY MARKETS OR EQUITY
MARKETS, THE RISKS OF THE MINING INDUSTRY INCLUDING, WITHOUT
LIMITATION, THOSE ASSOCIATED WITH THE ENVIRONMENT, DELAYS IN OBTAINING
GOVERNMENTAL APPROVALS, PERMITS OR FINANCING OR IN THE COMPLETION OF
DEVELOPMENT OR CONSTRUCTION ACTIVITIES, TITLE DISPUTES, CHANGE IN
GOVERNMENT AND CHANGES TO REGULATIONS AFFECTING THE MINING INDUSTRY,
AND OTHER RISKS AND UNCERTAINTIES DETAILED FROM TIME TO TIME IN THE
COMPANY'S FILINGS WITH THE CANADIAN SECURITIES ADMINISTRATORS
(AVAILABLE AT WWW.SEDAR.COM). FORWARD-LOOKING STATEMENTS ARE MADE BASED ON VARIOUS ASSUMPTIONS AND
ON MANAGEMENT'S BELIEFS, ESTIMATES AND OPINIONS ON THE DATE THE
STATEMENTS ARE MADE. SHOULD ONE OR MORE OF THESE RISKS AND
UNCERTAINTIES MATERIALIZE, OR SHOULD UNDERLYING ASSUMPTIONS PROVE
INCORRECT, ACTUAL RESULTS MAY VARY MATERIALLY FROM THOSE DESCRIBED IN
THE FORWARD-LOOKING INFORMATION CONTAINED HEREIN. THE COMPANY
UNDERTAKES NO OBLIGATION TO UPDATE FORWARD-LOOKING STATEMENTS IF THESE
ASSUMPTIONS, BELIEFS, ESTIMATES AND OPINIONS OR OTHER CIRCUMSTANCES
SHOULD CHANGE, EXCEPT AS REQUIRED BY APPLICABLE LAW.
SOURCE Encanto Potash Corp.
For further information:
President and CEO
Martin Gagel CFA, MBA
Vanguard Shareholder Solutions
Toll Free: 1-866-918-0824