VANCOUVER, April 12 /CNW/ - Encanto Potash Corp. ("Encanto" or the
"Company") is pleased to congratulate Chief Reginald Bellerose on his
recent re-election as Chief of the Muskowekwan First Nation and to
congratulate incumbent and new Council members. As previously reported
in the Company's news release of March 18th, 2011, the top agenda item for the Company and its joint venture
partners post election is to expeditiously conclude the designation
process on the project's TLE Reserve Land's mineral rights.
Chief Bellerose today stated that "Our priority is to move the
designation process forward as quickly as possible. We are confident
that an additional 15,500 acres contiguous to our Home Reserve will
soon be designated Reserve status. We are excited about what the future
holds with respect to the benefits our Nation will receive by
continuing to work closely together with Encanto."
Upon completion of the TLE designation process, currently underway,
Encanto will have access to 100% of the potash rights underlying both
the Muskowekwan First Nation Home Reserve comprising 16,830 acres and
the 15,500 acres of TLE Reserve Lands for a total of 32,220 acres.
The TLE Reserve Lands have already had widely spaced 2D seismic shot
over their entirety. In addition, the 3D seismic program covered
approximately 40% of the TLE Reserve Lands. Encanto's management and
consultants have completed an extensive review of this 2D and 3D
seismic data and have identified two (2) future resource drill hole
locations on the TLE Reserve Lands. The Company currently has in
excess of $7.5 million in its treasury and has budgeted funds to drill
the additional wells.
Drilling the additional two (2) drill holes is expected to add
significant tonnage to the current resource. Upon completion of these
two (2) drill holes North Rim Exploration Ltd., of Saskatoon, Sask.,
will be commissioned by the Company to issue an amended NI 43-101
Technical Report to include the anticipated new resources on the TLE
Encanto is further pleased to report that work on the Preliminary
Economic Assessment, which is being conducted by Wardrop, A Tetra Tech
Company, is now well under way with the draft report expected to be
delivered in the third quarter of this year.
The technical content of this news release has been reviewed by Ross
Moulton, VP of Exploration for Encanto, a qualified person as defined
by NI 43-101.
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.
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.