11th Nov 2015 09:44
LONDON (Alliance News) - Wildhorse Energy Ltd Wednesday said it has secured a maiden mineral resource for the Lake Wells project in Western Australia that shows the company has potentially up to 29.0 million tonnes of sulphate of potash to extract.
Wildhorse shares were up 8.0% to 9.04 pence per share on Wednesday morning.
The resource has only been derived from the upper 16 metres of the lake, with 79% of the the resource being classed as a measured resource, which equates to around 23.0 million tonnes of potash. A further 11% of the resource is classed as indicated, equating to around 3.2 million tonnes.
Wildhorse said the resource shows it has "one of the largest undeveloped salt lake brine projects in the world" which can produce "highly sought" sulphate of potash to domestic and international markets.
Potash is predominantly used as a higher quality fertiliser compared to other substitutes.
The next step is to complete a scoping study for the project, which will commence shortly.
"The successful completion of our shallow drilling program and estimation of such a high quality JORC resource is a major step forward in demonstrating the potential of Lake Wells to support a substantial sulphate of potash brine project. The potential for an even larger resource at depth, as well as the project's inherent location and infrastructure advantages, indicate a really exciting future for the project and company," said Executive Director Jason Baverstock.
By Joshua Warner; [email protected]; @JoshAlliance
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