Western Potash expands resource

Western Potash (wpx-v) has boosted measured resources by 55%, indicated resources by 34% and inferred resources by 25% at its Milestone potash project in Saskatchewan, about 50 km south of Mosaic‘s (mos-n) Belle Plaine mine, one of the world’s largest producing potash solution mines.

Resources currently stand at 637 million measured tonnes grading 30.47% potassium chloride (KCl) for 64 million tonnes of contained KC1; 1.86 billion indicated tonnes at 30.35% KC1 for 180 million tonnes of contained KC1, and 8.91 billion inferred tonnes at 30.31% KC1 for 701 million tonnes of KC1.

Patricio Varas, Western Potash’s president and chief executive, said the expansion of the project’s resource is yet another step in the de-risking process, and described Milestone in a press release as “one as of the largest, most accessible, independently owned Tier 1 potash solution deposits being developed in the world today.”

The new resource was based on the Patience Lake, Belle Plaine, and Esterhazy potash-bearing beds, which are close to the potash permits held by BHP Billiton (bhp-n, blt-t), Vale (vale-n), and Potash One (kcl-t).

Western Potash owns 100% of the 500-sq.-km Milestone property.

At presstime, Western Potash was trading at $1.27 per share and over the last year has traded in a range of 36¢ per share (May 20, 2010) and $1.80 per share (Feb. 14, 2011).

It has about 161 million shares, fully diluted.

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