May 19 2014
Potash Ridge Corporation today announced the approval of its application to appropriate the required water rights for its Blawn Mountain sulphate of potash.
The Corporation, through its wholly owned subsidiary, Utah Alunite Corporation, jointly applied with the Utah School and Institutional Trust Lands Administration ("SITLA") to the State Engineer of the State of Utah, Department of Natural Resources, Division of Water Rights in August 2012 for the appropriation of the water rights in the Wah Wah Valley near the Project site. This regulatory approval is an important step in the development of the Project, and meets the water requirements of the Project as determined in the prefeasibility study, released in late 2013. The water rights were approved for an initial term of twenty years, subject to certain conditions, with the term being eligible for additional extensions so long as the Project continues in operation.
Guy Bentinck, President & CEO of Potash Ridge said, "We are extremely pleased to have secured these water rights which represents a significant milestone in the development of the Project. I would like to thank SITLA for their support throughout this important regulatory process. We are continuing to move the project forward in our efforts to develop the Project into an anticipated future source of SOP production."
With the Project being located on SITLA lands, Utah's public education system stands to gain substantial revenue over the life of the mineral lease. Securing these water rights was a critical component of the Project's future success and the reason why SITLA aggressively engaged with Potash Ridge to secure these water rights. SITLA director Kevin Carter expressed appreciation to the Utah State Engineer for understanding the ramifications of this project and rendering this important decision.