ClarificationAllana Potash Corp.
TSX VENTURE:
AAA
Oct 12, 2010 16:30 ET
Allana Potash Clarifies Status of Its Economic Analysis
TORONTO, ONTARIO--(Marketwire - Oct. 12, 2010) - Allana Potash Corp. (TSX VENTURE:AAA) ("Allana" or the "Company"), is issuing the following news release to clarify its disclosure.
TheCompany's September 2010 Corporate Presentation, available on Allana'swebsite, previously referred to a "preliminary assessment report" byERCOSPLAN. This reference was to the ERCOSPLAN "Preliminary ResourceAssessment Study" dated October 30, 2008 (amended and restated December10, 2008, December 22, 2008 and February 5, 2009) filed on SEDAR. Thecompany clarifies that it has not completed a preliminary economicassessment on its potash resource (as defined in NI 43-101).
Inaddition, during Mr. Farhad Abasov's recently held interview, Mr.Abasov stated that the 'potential exists to increase the inferredresource by at least 5 to 10 times'. Allana wishes to clarify that theabove disclosure of exploration potential is not compliant with NI43-101 requirements for disclosure of a potential mineral deposit orexploration target, and retracts guidance about potential additionalquantity ranges. Although Allana management believes that based oncurrent and historical drilling there is potential to increase themineral deposit, there can be no assurances that further drilling willresult in delineation of additional potash resources.
Followingcompletion of the 2010 drill program, the Company plans to update itsmineral resource estimate and will announce any material changes to itsresources when received.
About Allana Potash Corp.
Allanais a publicly traded corporation with a focus on the acquisition anddevelopment of potash assets internationally with its major focus on apreviously explored potash property in Ethiopia with an InferredMineral Resource of 105 million tonnes of potash mineralization(Sylvite and Kainite) with a composite grade of 20.8 % KCl (see NewsRelease Sept. 17, 2008). Allana has approximately 118.5 million sharesoutstanding and trades on the TSX-Venture exchange under the symbol"AAA".
Peter J. MacLean, Ph.D., P. Geo., Allana'sSenior VP Exploration, is a Qualified Person as defined under NationalInstrument 43-101 and has reviewed and approved the technicalinformation presented in this release.