Marifil Acquires K-4 Potash Project and Adds More Property to K-3admin
MARIFIL MINES LTD. announces that an ongoing exploration program for potash in the Neuquen Basin in Argentina resulted in the identification and acquisition of a second large area highly favourable for potash in the northern portion of the basin in Mendoza Province (see news release dated December 13, 2010).
The Company has acquired by staking four cateos (claims) totalling 30,000 hectares (300 square kilometres) that it believes are highly prospective for potash. The claims, the K-4 Project, may also be prospective for uranium, biogenic sulfur (similar to the Company’s Codihue sulfur project), Mississippi Valley type lead and zinc (similar to the Company’s Picun Lefu lead zinc project), and for asphaltites (hard bitumens which can, through heating, be a source of petroleum).
Geologic mapping and basin analysis identified this large area as having good potential for salt horizons at depths ranging from 500 m to 2,000 m. The evaporate salt horizons are believed to range from 50 m to 350 m in thickness. Analysis of electric and gamma ray logs from abandoned oil wells is ongoing. Potash (a mineral salt with the chemical formula KCl) typically occurs near the top of thick evaporate salt horizons.
Research also identified additional area adjacent to the K-3 property. The Company staked a 10,000 hectare cateo to cover this prospective zone.
The southern part of the Company’s K-3 project lies about 50 kilometers northwest of Vale’s giant Potasio Rio Colorado potash mine which has a resource of 2 billion tons of potassium chloride. The K-4 project is located about ten kilometres north of the K-3 project (see attached map below).
“Our geologists have had an ongoing program in this region,” stated John Hite, President of Marifil Mines. “Their work reveals that this part of the Neuquen Basin has high potential for potash, lead, zinc, uranium, and asphaltite. We are very pleased to have secured these highly prospective claims, one of four of the Company’s potash properties.
The K-1 property has been sold to Allana Resources; K-2, an 80,000 ha project, is subject to a Letter of Intent with Saccharum Energy Corp.; and K-3 is subject to a Right of First Offer to Saccharum. The K-4 project is not subject to the Right of First Offer clause given to Saccharum Energy. However, in keeping with our business plan, the Company intends to farm out or joint venture this property. “