Ringbolt Acquires Arizona Potash Projectadmin
The Company, through its 90% owned US subsidiary, applied for and received 15 State Exploration Leases (“Arizona Leases”) on lands located in the Holbrook Basin, Apache County, Arizona. Recently released Arizona Geological Survey open file report (OFR 08-07 Rauzi 2008) states that the Holbrook Basin is, potentially underlain by 3,500 square miles of salt beds, 600 square miles of which are also underlain by a potash bed (Rauzi 2008). The Arizona Leases cover 9,594 acres of land in what appears, from an initial review of the technical data, to be part of the thickest part of the Basin, where the salt has in the past been measured at being 600 feet thick (Rauzi 2008). It is estimated the potash bed may lie at the top of the salt sequence, at depths of 700 to 2,000 feet, shallow enough to permit possible underground mining rather than solution mining (Rauzi 2008). The Company does not imply there is a mineral resource in the Arizona Leases nor does the Company imply there is any potentially commercial ore body in or on the Arizona Leases. The information is presented here for a regional historical overview. The company has not done any work to verify the existence of Potash/Salt Beds on the property. There is no certainty that Potash will be identified on the property.
Arizona Geological Survey open file report (OFR 08-07) indicates the Holbrook Basin has been explored in the past with an excess of 240 oil and gas test wells, however no oil or gas has been produced except for minor amounts of helium (Rauzi 2008). On the Arizona Leases, 8 drill wells have some reported drill data. Several other wells drilled on lands contiguous to the Arizona Leases resulted in more detailed drill data. All data was collected in the 1960s and 1970s by the then owner, and must be regarded as historical in nature because the information was gathered before 43-101 requirements came into effect.
A detailed non 43-101 compliant feasibility study done in 1966, for Arkla Exploration Company, on the ground directly to the north of the Arizona Leases indicates the salt beds have maxuim thickness of 35 feet with an average assay of 12.6% K2O. Arkla did not proceed to production, reportedly because the potash market softened in the late 1960s. Arkla later relinquished their permits. There is no assurance that these lands may ever be opened to permit application. Results from the adjacent property may not be representative of Ringbolt’s property. The Information contained in this news release has not been verified by the Company.
The Company, through its 90% owned US subsidiary, applied for and received 9 Utah State Exploration Leases (“Utah Leases”) on lands located in the Paradox Basin in the State of Utah. These licenses form part of the Company’s ongoing plans to assemble a comprehensive and diversified portfolio of lands to allow for maximum flexibility as we examine the various alternatives available to us for a possible multi faceted exploration program in the coming months.
Potash is a general term covering several types of potassium salts, of which the most important is potassium chloride, the mineral sylvite. Potash is a nutrient essential for plant growth, and is a cornerstone of modern agricultural fertilizers. Roughly 95 per cent of world potash production goes into fertilizer, while the other five per cent is used in commercial and industrial products – everything from soap to television tubes. Currently the United States imports more the half of the Potash that it consumes. About 93 percent of this is used for agricultural purposes.
The Company presently has $2,900,000 in cash and cash equivalents on hand and is well positioned to continue its uranium and potash exploration plans in the coming months.