Athabasca Potash Inc. - Exploration Report
Athabasca Potash Inc. announced an updated National Instrument 43-101 compliant potash resource estimate for its Burr Project. The targeted mining members, including both the Upper Patience Lake and Lower Patience Lake Sub-Members, contain measured mineral resources of 125.8 million mt at a grade of 21.27% potassium oxide (K2O), indicated mineral resources of 299 million mt at a grade of 23.07 % K2O, and inferred mineral resources of 186.9 million mt at a grade of 23.55% K2O.
The updated resource estimate is based on 17 potash test wells. The company said the confidence level and sufficient tonnage of the measured and indicated mineral resource of 424.8 million mt in the Burr Project is sufficient to support API’s pre-feasibility study being led by SNC-Lavalin Inc. The study is expected to be completed in the third quarter of 2009. A new NI 43-101 compliant technical report will be prepared by SNC-Lavalin Inc. upon completion of the Pre-feasibility Study.
The company noted in a statement that due to uncertainty associated with inferred mineral resources, additional exploration work on the property may or may not succeed in upgrading the inferred mineral resource to an indicated or measured mineral resource. However, Dawn Zhou, president and CEO, said, “This resource update confirms management’s assumptions and validates the potential development of the Burr Project as a potential low operating cost conventional potash mine.” (www.athabascapotash.ca)