Confirms Shallow Potash Mineralization and ReleaseAllana Potash Confirms Shallow Potash Mineralization and Releases Drill Results
TORONTO, ONTARIO, Jun 15, 2010 (MARKETWIRE via COMTEX News Network) --
Allana Potash Corp. (TSX VENTURE: AAA) ("Allana" or the "Company") is pleased to announce confirmation of shallow potash mineralization on its Ethiopian Potash Project. Analytical results have been received and evaluated for holes DK-10-01 and DK-10-02. The highlight of these results is hole DK-10-02 which intersected 25.8 % KCl over 5.50 metres including 34.8 % KCl over 2 metres. These two holes, along with hole DK-10-03, are situated in the northwestern portion of Allana's claim block and were targeted to confirm historic drill results and test the extension of the Musley Deposit to the northeast.
Hole DK-10-02 was drilled vertically and is collared east of Parsons holes 226 and 270. Hole DK-10-02 intersected strong potash mineralization yielding 25.8% KCl over 5.5 metres (drilled width) from 150.10 metres to 155.65 metres, including 34.8% KCl over 2 metres (drilled width) from 150.10 metres to 152.10 metres. This zone is interpreted to be the upper portion of the Houston Formation and additional X-Ray Diffraction (XRD) work is ongoing to determine the potash mineralogy. The confirmation of strong potash mineralization in this hole extends the Musley Deposit approximately 750 metres to the northeast and the deposit remains open to expansion in that direction. Other potash intervals returned lower values, typically less than 5% KCl.
Drill hole DK-10-01 was drilled vertically and is located between Parsons holes 236, 226, 159, and 232. Historic drilling in this northern extension of the Musley Deposit shows isolated zones of low grade potash mineralization surrounded by higher grade potash zones. The potash zone intersected in DK-10-01 returned low potash values, KCl values are less than 5% and it is interpreted that this hole also intersected a similar isolated zone of weak potash mineralization. Sand and silt intersected immediately below the potash zone suggests a localized influx of sediment into this part of the basin which may have eroded, or inhibited, potash mineralization.
Hole DK-10-03 has been logged, sampled and samples are in transit to the Saskatchewan Research Council Laboratory in Saskatoon. Drilling is continuing at hole DK-10-04 in the centre part of the basin south of the Crescent Carnallite Deposit. Additional sampling has been completed on other prospective horizons in hole DK-10-01 and these samples are also en route to Saskatoon. As mentioned above, mineral species identification is also in progress for holes 1 and 2 as selected samples have been chosen for XRD analysis to determine the mineralogy of the complex potash and evaporite minerals.
Farhad Abasov, President and CEO, commented: "We are very pleased with the confirmation of the shallow potash mineralization in this part of our property. Both holes confirm past drilling results done by Parsons in the 1950s and 1960s. It is encouraging to see very good potash grades in DK-10-02. With continuing drilling and planned seismic programs the management expects to determine targets for the Phase II 10,000-meter drilling campaign in the southern part of our potash project."