Business
Karnalyte Announces Significant Increase in Potash and Magnesium Resources
CALGARY, Sept. 1, 2011 /CNW/ - Karnalyte Resources Inc. ("Karnalyte" or the "Corporation") (T...
About this update from Karnalyte Resources Inc.
[{"type":"text","content":"\n\n\n\n\n\nCALGARY, Sept. 1, 2011 /CNW/ - Karnalyte Resources Inc. (\"Karnalyte\" or\n the \"Corporation\") (TSX: KRN) today announced that it has received an\n updated resource estimate for its potash property (the \"Karnalyte\n Property\") located near Wynyard, Saskatchewan.  The technical report,\n effective August 30, 2011 and entitled \"Resource Estimate for the\n Wynyard Carnallite Project, Subsurface Mineral Permit KP 360A and\n Subsurface Mineral Lease KLSA 010, Saskatchewan, Canada\" (the\n \"Report\"), was prepared by ERCOSPLAN Ingenieurgessellschaft Geotechnik\n und Bergbau mbH (\"ERCOSPLAN\") and North Rim Exploration Ltd. (\"North\n Rim\"), and is in accordance with National Instrument 43-101 (\"NI\n 43-101\").\n\n\nHighlights of the Report include:\n\n\n● Net indicated KCl tonnage of 201.3 million metric tonnes (\"MMT\"), an\n increase of 258% from 56.19 MMT reported in previous estimates*.\n\n\n● Net indicated MgCl2 tonnage of 167.9 MMT, an increase of 235% from 50.16 MMT reported in previous estimates*. \n\n\nThe Report states \"in total the project contains 4,984 MMT of total\n Indicated Resources (carnallitite and sylvinite) with a weighted\n average KCl content of 14.4%, which includes 4,046 MMT of carnallitite\n with a weighted average MgCl2 content of 15.1%.  At a typical solution mining recovery of 27.5% from\n the carnallitite and 30% from the sylvinite this translates to 201.3\n million tonnes of extractable KCl and 167.9 million tonnes of\n extractable MgCl2.\"\n\n\n\"The updated resource estimate is incredibly encouraging as we have\n identified additional potash resources far beyond those captured in the\n 2010 Preliminary Assessment,\" said Robin Phinney, President and CEO of\n Karnalyte. \"We had previously outlined sufficient resources in the\n current development area for 30 years of production at the one 2\n million tonne-per-year facility that we are currently working towards. \n The new resources identified in this updated Report are 3.6 times the\n number of resources identified in the 2010 Preliminary Assessment.\n These resources are based on approximately 20% (17,500 acres) of our\n lease and permit area with 80% yet to be explored.\" \n\n\n*Previous resource estimates were reported in the Corporation's NI\n 43-101 compliant technical report entitled \...