Potash West confirms grade and continuity of glauconitic greensands

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THE DRILL SERGEANT: Potash West (ASX:PWN) has received initial assay results from resource definition drilling completed in June at the Dinner Hill prospect within the company’s Dandaragan Trough potash project.

According to Potash West the drilling has defined continuity of well-preserved Molecap Greensand at an average thickness of nine metres, thickening to a maximum of 14m to the south and to a minimum of 4m to the north.

Drilling highlights include:

–    12 metres at 4.63 per cent potassium oxide from 19 metres, including 6 metres at 5.29 per cent from 24 metres;

–    13m at 4.51 per cent potassium oxide from 21m, including 7m at 5.40 per cent from 26m;

–    10m at 4.55 per cent potassium oxide from 22m, including 7m at 5.21 per cent from 24m; and

–    7m at 3.20 per cent potassium oxide from 5m.

Mineralisation remains open to the north and south as well as to the east.

The company has identified Molecap Greensand is its primary target at Dinner Hill because of the prospect’s higher contained potassium oxide grades.

 

Dandaragan Trough potash project – Dinner Hill drill collar plan. Source: Company announcement

 

Potash West described it as being commonly overlain by a considerable thickness of lower grade, variably oxidised, Poison Hill Greensand.

This material has yet to be metallurgical tested but the company said it is confident this lower-grade material can be successfully recovered.

“The results are confirmation that the greensand is widespread, high-grade and continuous in this area,” Potash West managing director Patrick McManus said in the company’s announcement to the Australian Securities Exchange.

“Also apparent is a significant P2O5 (phosphorus pentoxide) content.

The K-Max process® we have developed, will also produce a phosphate product, significantly enhancing project economics.

“We expect a maiden JORC Resource Statement, for this area, to be completed by early October.

“This resource will underpin a scoping study to be completed this year.

“The fact that the mineralisation continues, and thickens, to the south indicates that the resource can be increased by further drilling.”

Potash West indicated it would investigate the southern extensions to Dinner Hill to confirm the thickening of the high-grade greensand beds and continuity over significant strike extensions.