--- TRH magically upgraded target to 2.5-3.8BT Potash---
Transit Holdings increases potash exploration target at Paradox Basin in Utah to 3.8Bt
Thursday, June 09, 2011
Transit Holdings (ASX: TRH) has upgraded the sylvinite ore exploration target for the Paradox Basin Potash project in Utah to 2.5 - 3.8 billion tonnes.
Potash beds 13 and 18 at the project potentially host sylvinite ore with an average grade 19% to 29% KCl (potassium oxide) delineated within the project.
Sylvinite is a high grade form of potash ore that is cheaper and more effective to process to a saleable form than any other form of potash ore.
The exploration target assumes a grade-thickness cut-off of 32% KCl-m, below which mineralisation is excluded from the estimate.
The exploration target was estimated by consultants Agapito Associates.
The state of Utah granted the company approval to commence a maiden drill campaign at the joint venture project earlier this week.
The approval was received within two months of filing the application and drilling will begin in July or August, consisting of four exploratory wells to augment a database of historical drilling.
Transit expects to have a JORC Resource after drilling the four holes and receiving analysis of subsequent results.
The company and joint venture partner, K2O Utah LLC, are currently preparing the budget and initial drill campaign as part of the project's Pre-Feasibility Study. Transit holds a 90% stake in the project with K2O Utah LLC holding the remaining interest.
The project covers applications for 386 square kilometres of prospective potash permits in the Paradox Basin in southeast Utah and, importantly, the project is in close proximity to infrastructure because of surrounding gas fields.
