TORONTO, Feb. 2 /PRNewswire/ - IC Potash Corp. ("ICP" or
the "Company") (TSXV: ICP; OTCQX: ICPTF) is pleased to announce the
commencement of the Ochoa Project Sulphate of Potash ("SOP")
Pre-feasibility Study. Through this study and concurrent
environmental work, the Company will establish the
engineering basisfor the Ochoa Project for mining, processing,
and SOP marketing.
This announcement complements recent operating progress
including two successful drill programs, the establishment of
substantial measured and indicated resources, and the completion of
the Preliminary Economic Assessment, which indicated that the
project has a projected Net Present Value of $1.4 billion with a discount rate of 10% and
production level of 660,000 short tons.
Mr. Sidney Himmel, President and
Chief Executive Officer of IC Potash stated: "I am very pleased
with the operational progress made to date. We are on plan
with our primary strategic goal to be in production for 2014. To
achieve that, we have assembled an excellent team of accomplished
professionals to complete this study and will now move quickly to
establish the economic engineering parameters for the
Project."
Pre-Feasibility Team:
- Lead Engineering Firm and Project Manager: The lead
engineering firm will be Gustavson Associates, LLC. of Colorado ("Gustavson"). Gustavson will
provide the mining and processing plans, and initial detailed
engineering. Gustavson is a global consulting firm consisting
of mining engineers, geologists, economists and
geophysicists.
- Mineral Processing: Process optimization and
confirmation will be carried out by a team of highly experienced
potash processing chemical engineers. This highly experienced
team has worked with numerous global corporations as consultants
and represents some of the leading authorities on the processing of
potassium salts. Collectively, the team has over 100
years of experience directly related potash salt
processing.
- Pilot Testing: Hazen Research, Inc.
("Hazen") of Golden, Colorado,
will perform bench scale and pilot process testing, including the
evaluation of prior work carried out by the Bureau of Mines, and
prior corporate pilot plant testing of polyhalite to SOP
processing. The objectives will include the optimization of
SOP recovery, including the minimization of water usage and
required acreage for solar evaporation. Hazen's professional
staff includes over 150 highly trained professionals in the fields
of chemical and metallurgical engineering. Hazen has
internationally recognized expertise in pilot plants, minerals
beneficiation, physical separations, thermal processing, and
hydrometallurgy.
- Hydrology and Environmental Work: The hydrology
work will be managed by Intera Geosciences and Engineering
("Intera") of New Mexico. Intera is highly experienced in
water resource management related to water supply, quality, rights,
transfers, and management. Intera has expertise in the
south-western United States with
clients including industry and state, federal, and municipal
agencies, and has expertise in providing models of hydrologic
system conditions.
- Processing Equipment Design and Selection: This
work will be carried out by FLSmidth, a leading supplier of
equipment and services to the global minerals industry, employing
more than 10,000 people world-wide. Product expertise
includes ore feeding, sizing, crushing, and milling, automation and
control systems including mix optimization, conveyor engineering,
and expertise in emissions and water systems.
- Rock Mechanics: This work will be carried out by
Advanced Terra Testing of Colorado
("ATT"). ATT has expertise in the provision of physical test
data for mining engineering projects word wide, including rock
mechanics and geosynthetics.
- SOP Marketing and Pricing: This work will be
carried out by CRU. CRU, formerly known as British Sulphur
Consultants, is the leading business consultancy and publisher for
the fertilizer and chemical industries. The company forecasts
fertilizer markets internationally. CRU has established a worldwide
reputation in minerals and chemicals consulting over a period of 50
years.
Randy Foote, Chief Operating
Officer of the Company stated: "With the team of engineering,
hydrological, processing, and marketing professionals in place, I
am fully confident that we are on the right path towards the
development of a major Sulphate of Potash production
facility. We believe that this study should be completed
within approximately 9 months. I am very excited to be
managing the engineering planning and design with this team of
professionals, with many of whom I have worked with in the
past in potash production."
All scientific and technical disclosures in this press
release have been prepared under the supervision of William J
Crowl, a consultant to IC Potash who is a Qualified Person within
the meaning of National Instrument 43-101.
About IC Potash Corp.
IC Potash intends to become a primary producer of Sulphate of
Potash ("SOP") by mining its 100%-owned Polyhalite Ochoa property
in New Mexico. SOP is a
non-chloride based potash fertilizer that sells at a substantial
premium over the price of Muriate of Potash ("MOP"), the most
widely used fertilizer in the world. Typically SOP sells at a
premium of over 40% to MOP. ICP is focused on being the lowest cost
producer of SOP in the world. The SOP market is approximately six
million tonnes per year and SOP is a significant fertilizer in the
fruit, vegetable, tobacco, potato, and horticultural industries,
and for agriculture in saline and dry soils and soils in which
there is much agriculture with varieties of crops, such as for
example in China, India, the Mediterranean, and the United States. ICP's Ochoa property
consists of over 100,000 acres of federal subsurface potassium
prospecting permits and State of New Mexico Potassium mining
leases.
Forward-Looking Statements
Certain information set forth in this news release may
contain forward-looking statements that involve substantial known
and unknown risks and uncertainties. These forward-looking
statements are subject to numerous risks and uncertainties, certain
of which are beyond the control of ICP, including, but not limited
to, risks associated with mineral exploration and mining
activities, the impact of general economic conditions, industry
conditions, dependence upon regulatory approvals, and the
uncertainty of obtaining additional financing. Readers are
cautioned that the assumptions used in the preparation of such
information, although considered reasonable at the time of
preparation, may prove to be imprecise and, as such, undue reliance
should not be placed on forward-looking statements.
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES
PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX
VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR
ACCURACY OF THIS RELEASE.
SOURCE IC Potash Corp.
Copyright b. 2 PR Newswire
