High Probability of Potash-Bearing Beds Underlying the Eyehill Creek Propertyadmin
Canasia Industries Corporation has engaged Boyd PetroSearch of Calgary, Alberta for the analysis of the pre-existing seismic data on lands presently within the Eyehill Creek Property. Boyd PetroSearch is a national leader in seismic analysis, specializing in mapping potash zones for risk analysis and mine planning. The interpretation of the data is expected to be completed in the Second Quarter of 2009, at which time a more detailed proposed drill plan will be evaluated with the expectation to commence drilling shortly thereafter.
According to the pending 43-101 compliant report submitted by Jocelyn Klarenbach, P.Geol., “The analysis of well logs has revealed a high probability of potash-bearing beds underlying the Eyehill Creek Property. More specifically, it appears the east-central and southeastern areas of the property have very high potential for economic-grade potash beds. Gamma-ray responses from historic oil and gas wells suggest that the grades of potash-bearing beds underlying the property could attain grades of up to approximately 25% K2O across thicknesses of 1 to 3 metres. These responses all occur in the uppermost 60 metres of the Prairie Evaporite Formation, which correspond to descriptions of potash deposits in Saskatchewan (Holter, 1969).” A copy of the report will be filed on SEDAR on April 7, 2009.
Graeme Sewell, a director of Canasia stated, “Management is encouraged that the Eyehill Creek Potash Project has potential for economic concentrations of Potash, in an industry friendly province such as Alberta, where the tax regime and royalty structure is far more favorable than other locations within Canada. This economic environment combined with the immense size of the project (453,058 acres) and indications of historic potash mineralization at depths favorable for solution mining, bode very well for the future of this project. The company intends to aggressively pursue the development of this project given its belief that agricultural products and foodstuffs could experience significant inflation over the next several years. Canasia is a well diversified junior exploration company with active operations in coal, copper and gold.”