Encanto Potash Corp V.EPO.H

News

[marcouey]

Encanto Potash Corp. - Update on Successful TLE Property Drilling
Encanto Potash Corp. EPO
9/30/2011 3:40:00 PM
VANCOUVER, Sep. 30, 2011, 2011 (Canada NewsWire via COMTEX News Network) --
Trading Symbol: TSXV EPO.V
Encanto Potash Corp. ("Encanto" or the "Company") (TSXV:EPO) (OTCQX:ENCTF) is pleased to report that the first of two (2) planned wells to be drilled in order to expand the resource to the northeast on the Muskowekwan Treaty Land Entitlement lands has been completed. North Rim Exploration Ltd., of Saskatoon is overseeing the drill program and handling of the core. The first hole was drilled to a depth of 1,245 metres and successfully intersected each of the Patience Lake, Belle Plaine, and Esterhazy Members. The core will be assayed and will also have engineering studies completed to determine certain cavern design and production parameters. The additional studies are necessary for the planned solution mine development. Drilling of the second test well will commence within days and is expected to be completed over the next several weeks.
Based on the results of these two holes, and previous 2D and 3D seismic work, an updated NI 43-101 compliant resource estimate is scheduled to be released in Q4 2011 or early Q1 2012 depending on assay turnaround time.
Encanto and the Muskowekwan First Nation ("MFN") also report that the treaty land designation vote has been rescheduled due to heavy caseloads within the respective Federal agencies having responsibility for this process. The agencies have now finalized the process and MFN has been advised the new voting date is Saturday November 26, 2011.
"The rescheduling of the vote is a purely procedural issue and certainly not contentious," states Encanto President and CEO Jim Walchuck. The information campaign to the MFN stakeholders was completed successfully and we remain extremely confident that we have gained the support and the trust of the MFN through this entire process." The MFN continues to keep their membership updated both on and off the MFN Home Reserve. Encanto is confident that the results of the vote will be favourable as indicated by the continued support of Chief Bellerose who was recently re-elected on a pro potash platform.
The Company and MFN look forward to the completion of the drilling program, TLE designation vote and release of a significantly expanded resource estimate over the coming weeks as the Company continues its development of the MFN Property.
About Encanto: Encanto Potash Corp. is a TSX Venture Exchange and OTCQX listed Canadian resource company engaged in the exploration and development of potash properties in the Province of Saskatchewan, Canada, the largest producing region for potash in the world.
For additional information about Encanto Potash Corp., please visit the Company's website at www.encantopotash.com or review the Company's documents filed on www.sedar.com.
ON BEHALF OF THE BOARD OF DIRECTORS
"James Walchuck" Per: _____________ James Walchuck President and CEO
NEITHER THE TSX VENTURE EXCH