[Marinir] {Disarmed} Mesa (TSX-V: MSA) Acquires 5-Million-Tonne Bounty Potash Project
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Tue Jan 31 14:44:53 CET 2012
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http://www.mesaexploration.com/s/Home.asp
Mesa Exploration Acquires the Bounty Potash Project
Mesa Exploration Corp. (TSX-V: MSA
http://www.stockwatch.com/Quote/Detail.aspx?action=go&symbol=MSA®ion=C&lookup=symbol&snapshot=default
) is pleased to announce the acquisition of the 104 square mile Bounty
potash project in the Great Salt Lake Desert of western Utah. The
project is 15 miles north of Intrepid Potash's Wendover operation, a
potash mine which is chemically and physically analogous to the deposit
at the Bounty project. The Wendover mine has been in production for 75
years utilizing a system of potash brine collection ditches and solar
evaporation ponds, with potash and salt being processed in a simple
flotation mill. The Wendover mine has annual production of 100,000 tons
of potash and 200,000 tons of magnesium chloride, grossing $60 million
per year.
The Bounty project consists of 90 square miles of potash prospecting
permit applications from the Bureau of Land Management (BLM) and 14
square miles of Potash Leases from the State of Utah.
The Bounty project area is a remnant of a regional Pleistocene lake
which deposited a salt flat underlain by a potash brine aquifer at
depths of 2 to 6 feet. The aquifer is contained in a bed of sand, silt
and clay. Several potash brine mines in the area are operating on
similar lake remnants, producing muriate of potassium (MOP) and sulphate
of potassium (SOP), at operating costs of $180 per ton. MOP sells for
$500 per ton and SOP for $650 per ton.
Historic exploration work was conducted in 1966 at the project and
adjacent areas by Quintana Petroleum. Quintana drilled 35 auger holes
terminating at depths of 16 feet, resulting in the definition of 5.1
million tons of potash (MOP) grading 6.8 grams/liter. Quintana limited
the estimation of the resource to the top 10 feet of the brine aquifer,
the depth limits of the auger drilling equipment. Mesa controls 80% of
the resource, including sites for a mill and evaporation ponds. The
Quintana resource is historical in nature and was calculated using a
polygonal contour estimation method, the industry standard prior to NI
43-101 standards, thus it is not NI 43-101 compliant and should not be
considered as a current resource.
Mesa is designing an exploration program of forty auger holes to be
drilled to the base of the shallow aquifer. Drilling will infill and
verify the historic sampling and map brine aquifer depth, thickness,
lithology and potash content. Additionally a minimum of six reverse
circulation drill holes will be drilled to 500 feet to test for deeper
brine aquifers typically found in the region. Historic assay, specific
gravity and lithology data have been acquired and are being digitized.
An evaluation of the assay data is being made to determine if the
deposit is MOP or if there is sufficient sulphate for SOP production.
"The Bounty project is a very attractive asset. With confirmation and
infill drilling success, the existing resource has good potential to be
confirmed, upgraded and enlarged. Shallow brine mines have historically
demonstrated multiple benefits over conventional underground and open
pit mines. Benefits include easier access for development, enhanced
operator safety, lower capital investment and operating costs and
significantly lower exploration costs. Bounty is located in a
mine-friendly area, close to an interstate highway, a railroad and the
town of Wendover." stated Foster Wilson, President and CEO.
About Mesa Exploration
Mesa is developing and exploring a portfolio of mineral properties in
the United States where it controls significant land holdings. All
projects are within proven mining districts with excellent access and
infrastructure. Mesa currently has 14 million shares issued and
outstanding, 50% of the shares are controlled by insiders and
institutions.
For further information please visit our website at
www.MesaExploration.com
http://www.MesaExploration.com
.
Qualified Person
This Press Release has been prepared and revised under the supervision
of Dana Durgin, AIPG Certified Professional Geologist, a Qualified
Person as defined by National Instrument 43-101 guidelines.
ON BEHALF OF THE BOARD
MESA EXPLORATION CORP.
(signed) Foster Wilson, President and CEO
This news release includes certain statements that may be deemed
"forward-looking statements". All statements in this release, other than
statements of historical facts, including the likelihood of commercial
mining and possible future financings are forward-looking statements.
Although the Company believes the expectations expressed in such
forward-looking statements are based on reasonable assumptions, such
statements are not guarantees of future performance and actual results
or developments may differ materially from those in the forward-looking
statements. Factors that could cause actual results to differ materially
from those in forward-looking statements include unsuccessful
exploration results, changes in metals prices, changes in the
availability of funding for mineral exploration, unanticipated changes
in key management personnel and general economic conditions. Mining is
an inherently risky business. Accordingly the actual events may differ
materially from those projected in the forward-looking statements. For
more information on the Company and the risks and challenges of its
business, investors should review the Company's annual filings that are
available at www.sedar.com
http://www.sedar.com
For further information call:
Corporate Communications, 775-379-3993
The TSX Venture Exchange has neither approved nor disapproved of the
contents of this news release.
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