TORONTO, September 26, 2011 /PRNewswire/ --
Verde Potash (TSX-V : "NPK") ("Verde" or the "Company") is pleased to announce that the Company has received an independent resource estimate for its 100% owned Calcario Limestone Project located in Minas Gerais State, Brazil ("Calcario Limestone"). The resource includes 89 million tonnes in the indicated category at an average grade of 54.71% CaO and 180 million tonnes in the inferred category at an average grade of 54.7% CaO (no cut-off applied).
The maiden resource comprises the Calcario targets with a total of 15 vertical holes drilled with drill hole spacing ranging from 200m to 400m, totaling 1,395m of drilling. The drilling was completed following a grid pattern over an area of 275 hectares.
Commenting, President and CEO, Cristiano Veloso, said: "We are excited by the evident potential of the Calcario Limestone. As a possible source of limestone for use in the production of ThermoPotash, it will give the company security of supply and price control over a major input cost. This resource could open up new opportunities to realize value for shareholders, and the company is assessing opportunities to realize additional value from the limestone in the agricultural market as a soil conditioner and as feedstock in the cement industry."
The resource estimate is reported below in Table 1 using no cut-off grade:
Table 1 - Grade Tonnage Report Calcario Project Inverse distance Weighted to Power two (IDW2) estimate (Block Model - 50mE X 50mN X 10mRL) (no cut off utilised) Tonnage SiO2 CaO K2O P2O5 Al2O3 Fe2O3 MgO TiO2 MnO Category (Mt) % % % % % % % % % Indicated 89 1.08 54.71 0.06 0.06 0.28 0.11 0.56 0.03 0.02 inferred 180 0.98 54.65 0.05 0.06 0.25 0.11 0.54 0.03 0.02
- Appropriate rounding has been applied
The Calcario Limestone project is located within the Bambuí meta-sedimentary group of rocks which host the company's Cerrado Verde Potash Project located approximately 100 km away by road. The limestone is characterized by a dolomitic limestone overlaying a darker calcitic limestone unit; it is over 50m thick and has been defined by drilling over a 4km strike. The fine-grained limestone is characterized by a low silica content. Field and development work has been initiated by Verde to support a definitive Feasibility Study for ThermoPotash to be completed first half of 2012.
Mr. Beau Nicholls, MAIG consulting geologist to Verde is the Qualified Person with respect to NI 43-101 at the Calcario Limestone Project. Reverse Circulation (RC) and Diamond Core (DC) drilling yielded samples which were collected by Verde's technical staff at intervals of between one and two meters, utilizing internationally accepted drilling and sampling techniques. All reverse circulation drill samples were weighed on site to ensure adequate recovery. DC drill holes consist predominantly of HQ core. DC is logged and sawn at the Matutina base camp, with half core samples sent to the laboratory. All samples are analyzed for K2O using standard Whole Rock XRF by SGS Geosol Laboratory, in Belo Horizonte. QA/QC programs show industry acceptable precision and accuracy limits on both Certified Laboratory internal Standards and the Companies duplicate samples. Bulk Density samples are routinely measured using core billets from DC drilling, and the company has also undertaken independent validation checks of the density results with excellent precision returned. BNA Consultoria e Sistemas Ltda, under the direction of their Resource Geologist, Mr. Volodymyr Myadzel, MAIG who is a Qualified Person with respect to NI 43-101, validated the database and QA/QC programs, undertook wire-framing of the grade shells, block modeling and resource estimation and has approved this news release.
About Verde Potash
Verde Potash is a fertilizer exploration and development company; it was founded and is led by Brazilians. Verde is developing the Cerrado Verde project in Brazil, a source of potash-rich rock from which the company plans to produce a slow-release, non-chloride, multi-nutrient, fertilizer product named ThermoPotash. Founded as Amazon Mining in 2005, the Company changed its name to Verde Potash in April 2011 to better reflect its core business. Verde is also exploring for phosphate and limestone.
About Cerrado Verde Potash Project
Cerrado Verde is a unique project: 1) its high grade potash rock is found at surface, allowing fast construction of a scalable and low Capex operation; 2) it is located in the midst of the world's third largest and fastest growing fertilizer market; 3) it connects to Brazil's largest fertilizer distribution districts via existing and high quality infra-structure.
On behalf of the Board of Directors of Verde Potash, Cristiano Veloso, President and CEO
Cautionary Language and Forward Looking Statements 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. THIS PRESS RELEASE CONTAINS CERTAIN "FORWARD LOOKING STATEMENTS", WHICH INCLUDE BUT IS NOT LIMITED TO, STATEMENTS WITH RESPECT TO THE FUTURE FINANCIAL OR OPERATING PERFORMANCE OF THE COMPANY, ITS SUBSIDIARIES AND ITS PROJECTS, STATEMENTS REGARDING USE OF PROCEEDS, EXPLORATION PROSPECTS, IDENTIFICATION OF MINERAL RESERVES, COSTS OF AND CAPITAL FOR EXPLORATION PROJECTS, EXPLORATION EXPENDITURES, TIMING OF FUTURE EXPLORATION AND PERMITTING, REQUIREMENTS FOR ADDITIONAL CAPITAL, GOVERNMENT REGULATIONS OF MINING OPERATIONS, ENVIRONMENTAL RISKS, RECLAMATION EXPENSES, TITLE DISPUTES OR CLAIMS, AND LIMITATIONS OF INSURANCE COVERAGE. FORWARD LOOKING STATEMENTS CAN GENERALLY BE IDENTIFIED BY THE USE OF WORDS SUCH AS "PLANS", "EXPECTS", OR "DOES NOT EXPECT" OR "IS EXPECTED", "ANTICIPATES" OR "DOES NOT ANTICIPATE", OR "BELIEVES", "INTENDS", "FORECASTS", "BUDGET", "SCHEDULED", "ESTIMATES" OR VARIATIONS OF SUCH WORDS OR PHRASES OR STATE THAT CERTAIN ACTIONS, EVENT, OR RESULTS "MAY", "COULD", "WOULD", "MIGHT", OR "WILL BE TAKEN", "OCCUR" OR "BE ACHIEVED". FORWARD LOOKING STATEMENTS INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS WHICH MAY CAUSE THE ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS OF THE COMPANY TO BE MATERIALLY DIFFERENT FROM ANY FUTURE RESULTS, PERFORMANCE OR ACHIEVEMENTS EXPRESSED OR IMPLIED BY SAID STATEMENTS. THERE CAN BE NO ASSURANCES THAT FORWARD-LOOKING STATEMENTS WILL PROVE TO BE ACCURATE, AS ACTUAL RESULTS AND FUTURE EVENTS COULD DIFFER MATERIALLY FROM THOSE ANTICIPATED IN SAID STATEMENTS. ACCORDINGLY, READERS SHOULD NOT PLACE UNDUE RELIANCE ON FORWARD-LOOKING STATEMENTS. Readers are cautioned not to rely solely on the summary of such information contained in this release and are directed to the complete set of drill results posted on Verde's website (http://www.verdepotash.com) and filed on SEDAR (http://www.sedar.com) and any future amendments to such. Readers are also directed to the cautionary notices and disclaimers contained herein.
For further information:
Cristiano Veloso, President & Chief Executive Officer
Tel: +44(0)20-8133-7607; Fax: +44(0)20-7405-7773; Email: email@example.com
Jed Richardson, VP Corporate Development
Tel: +1(416)866-2966; Fax: +1(416)866-8829; Email: firstname.lastname@example.org
SOURCE Verde Potash