Vancouver, B.C., October 18, 2017: American Potash Corporation (the “Company”) (AMP:CSE) is pleased to announce receipt of a formal letter of request from the US Bureau of Land Management (BLM) inviting AMP to submit a Potash Exploration Plan. The Potash Exploration Plan will be designed to target potential potash/potassium resources located within all or part of our 12 potash prospecting permit applications in the newly designated Moab Master Leasing Plan (Moab MLP) area of the SE Utah Paradox Basin. The 12 potash prospecting permit applications cover approximately 27,000 acres.
This invitation is a critical step in the process of reinstating our previously held exploration permits.
Recently codified Moab MLP directives mandate that all future potassium exploration occurring in its area of influence on Federal lands be confined to within the boundaries of only three separate Prospecting Leasing Areas (PLA’s), one of which is currently held by AMP’s potash prospecting application area.
Receipt of the BLM’s Exploration Plan proposal requests allows AMP to submit a Potash Exploration Plan to the BLM. An approved Exploration Plan will form the basis for conversion of AMP’s current potash prospecting permit applications within the boundaries of the existing MLP to Potash Prospecting Permits, allowing initiation of potash/potassium exploration.
BLM Potash Exploration Permits will allow AMP to conduct exploration for the element potassium in any manifestation on or beneath US Federal BLM land within the confines of AMP’s PLA in the Moab MLP. This includes potassium occurring dissolved in underground aqueous brines.
American Potash’s 6,160-acre Lithium (Li) mining claim block, located within the company’s current potash prospecting permit application area, allows exploration, development and production of lithium and other potentially economic commodities occurring in subsurface aqueous brines. Areas of coincident lithium mining claims and pending AMP’s Potash Prospecting Permit area allow exploration for and potentially production of potassium as a biproduct with lithium in brines or as co-product potash. In addition, AMP controls 11 Utah State Mineral Leases, each approximately 1-square mile in area, within the Utah potash prospecting permit application area which allow exploration and production of all relevant elements of potential commercial interest in the subsurface brines, including potassium but excluding oil and gas.
Included in AMP’s pending PLA is a large (approximately 5-square miles, or 3500 acres) area designated for AMP’s use as a mineral processing area, including construction of solar evaporation ponds, pipelines, roads, power line corridors, and buildings to house mineral processing facilities. Utah State Mineral Leases also allow construction of mineral processing facilities and ancillary infrastructure within their boundaries.
This letter is the first formal step leading to reinstatement of our prospecting permits.
The company has passed Environment Assessment and Public comments in the past on this area and feels confident in the potential outcome.
Kent Ausburn, PhD, PG is a qualified person within the meaning of NI 43-101. Dr. Ausburn has reviewed and is responsible for the technical details of this release.
On behalf of the Board of Directors
“Rudy de Jonge”
Rudy de Jonge, CEO
Neither the OTCQX nor the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.
Statements in this press release other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, are "Forward-Looking Statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended and Canadian securities laws. Forward Looking Statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in resource exploration and development. As a result, actual results may vary materially from those described in the Forward Looking Statements.
Key assumptions upon which the Company’s forward-looking statements and information are based include: the price of potash will rise and not fall significantly; the Company’s ability to secure new financing to continue its exploration and development activities; there being no significant changes in the ability of the Company to comply with environmental, safety and other regulatory requirements; the Company’s ability to obtain regulatory approvals in a timely manner; and the Company’s ability to achieve its growth strategy. These assumptions should be considered carefully by readers. Readers are further cautioned that the foregoing list of assumptions is not exhaustive. Although the Company believes that the assumptions on which the forwardlooking statements or information are made are reasonable, based on the information available to the Company on the date such statements were made, no assurances can be given as to whether these assumptions will prove to be correct.