VANCOUVER, British Columbia, June 20, 2017 (GLOBE NEWSWIRE) -- Western Resources Corp.
(TSX:WRX) (FSE:WR0) (“Western” or “the Company”) is pleased to announce that its wholly owned subsidiary, Western
Potash Corp. has received Environmental Assessment Approval from Saskatchewan Ministry of Environment (‘the Ministry”) for the
Milestone Phase I Project (“the Phase l Project,” previously “the Pilot Project”).
As reported in its 21/12/2016 news release, Western Potash Corp received a final engineering report from AMEC
Foster Wheeler and Agapito Associates Inc. for the proposed Milestone Phase l Plant Project. The Phase l Project was subject
to review under The Environmental Assessment Act which is regulated by the Ministry. The initial Phase l Project design
was based on a Scoping Study and was approved by the Ministry in 2015. Following changes to the Scoping Study design, namely the
introduction of a crystallization pond for potash recovery and the plant site location, Western Potash re-submitted the project
design for review by the Ministry. Subsequently, the Ministry has determined that no Environmental Impact Assessment for the Phase
l Project will be required. Western Potash is therefore authorized to proceed with the construction of the Phase l Project subject
to regulatory permitting requirements.
Mr. Bill Xue, President and CEO of Western Resources, commented, “We are very pleased to have received the
Environmental Assessment approval from the Government of Saskatchewan to proceed with the Milestone Phase I Project. We fully
appreciate the cooperation that we have received from the Government of Saskatchewan and the local Rural Municipality as we
continue to move the Milestone Project towards construction and operation.”
Western Resources secured an off-take agreement with China BlueChemical Ltd. in October 2016, through which
Western’s second largest shareholder guarantees the purchase of all the products from the Phase l Project. Given the
transportation costs and the low Chinese market price, the Company has been actively exploring the North American Market and has
achieved solid progress. In the meantime, Western Potash continues to advance detailed engineering on the Pilot Project in
advancement of construction. The Pilot Project will utilize selective solution mining techniques which result in lower CAPEX and
OPEX costs compared to conventional solution mining. The Company is actively working to close the gap of the project financing.
With these tasks completed, the plant construction is anticipated to start in early 2018 with first potash production in 2020. As
the Phase l Project proves to be successful, a feasibility study of Phases II and III of the project with a respective expansion of
1.4 million tonnes per year will follow.
ON BEHALF OF THE BOARD OF DIRECTORS
“James Moore”
James Moore
Chairman
Qualified Persons
The content of this news release has been read and approved by Gregory F. Vogelsang, P.Eng., P. Geo., Project
Manager of the Company. Mr. Vogelsang is a Qualified Person as defined by NI 43-101.
Readers are cautioned that the projected mining method, potential production profile and plan and mine plan
referred to in the Pilot Study and this release are conceptual in nature. There is no certainty that a potential mine will be
realized or that a production decision will be made.
Cautions Regarding Forward-Looking Statements
Except for statements of historical fact relating to the Company, certain information contained herein
constitutes “forward-looking information” under Canadian securities legislation. Forward-looking information includes, but is not
limited to, statements with respect to the filing and results of the Technical Report. Forward-looking statements are based on the
opinions and estimates of management as of the date such statements are made and they are subject to known and unknown risks,
uncertainties and other factors that may cause the actual results of the Company to be materially different from those expressed or
implied by such forward-looking statements or forward-looking information. Although management of the Company has attempted to
identify important factors that could cause actual results to differ materially from those contained in forward-looking
information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no
assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company
does not undertake to update any forward-looking information that is set out herein, except in accordance with applicable
securities laws.
For more information on the contents of this release please contact Jerry Zhang, Corporate Secretary, at 604-689-9378.
