TORONTO, October 15, 2012 /PRNewswire/ --
Verde Potash (TSX: "NPK")
("Verde" or the "Company") is pleased to provide an update with
respect to the Company's 2012 infill drilling campaign at the
Cerrado Verde potash project in Minas Gerais state, Brazil, aimed at increasing measured and
indicated resources to support the Company's upcoming bankable
feasibility study (see Table 1).
A total of 15,080m in 252 reverse circulation ("RC") holes and
785m in 12 diamond core ("DC") holes have been performed at a
spacing ranging from 200m by 200m to 100m by 100m. The objective of
this program is to increase the indicated and measured resources of
the T-7, T-10, T-11 and T-12 targets. Management does not
anticipate any further drilling prior to publication of the
bankable feasibility study in H1 2013.
The Cerrado Verde Potash Project at present has an NI 43-101
indicated resource of 71.08 million tonnes with an average grade of
9.22% K2O and an inferred resource of 2.76 billion
tonnes with an average grade of 8.91% K2O (applying a
7.5% K2O cut-off), as outlined in the Preliminary
Economic Assessment dated February 28,
2012. This resource estimate was based on 25,145m of RC
drilling performed as 443 RC holes and 932m of DC drilling
performed as 13 DC holes. Drill hole spacing ranged from 400m by
400m to 200m by 200m.
Commenting, President & CEO, Cristiano Veloso, said: "We had high
expectations for our 2012 drill program and these results have met
that objective. Data from this program will be used to support our
bankable feasibility study for the Cerrado Verde project, which is
on track for completion in H1 2013."
All the RC and DC samples have been screened by analysing with a
portable Innov-X Delta X-ray fluorescence (XRF) gun on site.
Samples showing greater than 6% K2O are then sent for
analysis at the SGS Laboratory located in Belo Horizonte ("SGS"). Verde also adheres to
a comprehensive internal quality control program which includes
analysing field duplicates, blanks and certified standards at a
rate of 5%.
The Company has received 5,126 analytical results from 5,483 RC
samples sent for assays. A DC drilling rig is also being utilized
to enable structural and bulk density data to be collected along
with twinning a number of RC holes with DC to validate the two
drilling and sampling methods being utilized.
Qualified Person
The "qualified person", within the meaning of National
Instrument 43-101, with respect to the technical information in
this press release is Bradley
Ackroyd, (MAIG (CP)), who is a principle consulting
geologist with AMS (Andes Mining Services).
About Verde
Potash
Verde Potash, a Brazilian
fertilizer exploration and development company, is focused on
advancing the Cerrado Verde Project located in the heart of
Brazil's largest agriculture
market. Cerrado Verde is the source of a potash-rich deposit from
which the Company intends to produce potassium chloride (KCl). In
addition, the Company is developing its Calcario limestone project,
limestone being a key raw material in the production of KCl.
About the Cerrado Verde Potash
Project
Cerrado Verde is a unique project: 1) its high grade potash rock
outcrops and is amenable to strip mining, allowing fast
construction of a scalable 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
infrastructure; 4) it has the potential to supply KCl to
Brazil's local agriculture market
from its large potash-rich deposit.
Cautionary Language and Forward-Looking Statements
NEITHER THE TSX EXCHANGE NOR ITS REGULATION SERVICES PROVIDER
(AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX EXCHANGE)
ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS
RELEASE. THIS PRESS RELEASE CONTAINS CERTAIN "FORWARD-LOOKING
STATEMENTS", WHICH INCLUDE BUT ARE NOT LIMITED TO, STATEMENTS WITH
RESPECT TO THE FUTURE FINANCIAL OR OPERATING PERFORMANCE OF THE
COMPANY, ITS SUBSIDIARIES AND ITS PROJECTS, AND STATEMENTS
REGARDING USE OF PROCEEDS. 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.
THE GRADES DETAILED IN THIS RELEASE ARE CONCEPTUAL IN NATURE. THERE
HAS BEEN INSUFFICIENT EXPLORATION TO DEFINE A MINERAL RESOURCE.
SHOULD THE COMPANY ENGAGE IN FURTHER EXPLORATION, IT IS UNCERTAIN
THAT IT WILL RESULT IN THE TARGETS BEING DELINEATED AS A MINERAL
RESOURCE.
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.
Image with caption: "Map of Drilling Program (CNW Group/Verde
Potash Plc)". Image available at:
http://photos.newswire.ca/images/download/20121015_C6860_PHOTO_EN_19295.jpg
Image with caption: "Table 1: Cerrado Verde 2012 Infill Drilling
Campaign Data (CNW Group/Verde Potash Plc)". Image available at:
http://photos.newswire.ca/images/download/20121015_C6860_PHOTO_EN_19294.jpg
For further information:
Cristiano Veloso,
President & Chief Executive Officer
Tel: +1(416)866-2966; Fax: +1(416)866-8829;
e-mail: cv@verdepotash.com
http://www.verdepotash.com
Jaret Anderson, CFA, VP
Corporate Development
Tel: +1(416)866-2966; ext. 223; Fax: +1(416)866-8829;
e-mail: jaret@verdepotash.com
(NPK.)