South Boulder Mines Ltd (ASX: STB) said mineralisation at the...

South Boulder Mines Ltd (ASX: STB) said mineralisation at the Colluli project has now been defined over 4.5 square kilometres and was considered open in all directions and was providing a target ranging between 300-500 million tonnes and grading between 21-25% KCI.

South Boulder, which is also listed on the Frankfurt and Berlin exchanges, made the puzzling qualification that it was uncertain if further exploration "will result in the determination of a mineral resource."

Managing director Lorry Hughes said the potential quantity and grade is conceptual in nature and there has been insufficient exploration to define a resource.

Exploration and resource extension drilling is set to resume in one week.

He said it was considered that one drill hole may contain further potash mineralisation that was missed during the collaring process of the drill hole.

"No samples were taken above 57m due to excessively deep installation of the hole collar as it was unclear at what depth mineralisation was expected," he said.

"Certainly we are encouraged by the confirmation of the earlier visual results; this really is looking like an incredibly large project, Hughes said.

The project was considered close to the coast and an abandoned railway line to the coast goes right through part of the deposit.

"Overwhelmingly though, it is the shallow nature of the mineralisation that sets Colluli apart from other projects. It is virtually impossible to compare the Colluli project to other producing assets." said Hughes.

Hughes said the impact of this project was not well comprehended by Australian investors who don't understand the processing, the capital costs and the markets for potash.it is now 3.50 from 10c two years ago