Allana Potash stays positive in Danakil Depression

Press Release: (“Allana” or the “Company”) is pleased to announce that it has intersected potash mineralization in Hole DK-11-23 (“Hole 23”) in the eastern portion of Allana’s land position. Hole 23 intersected potash mineralization which returned 24.02% KCl over 7.02 metres from the Kainitite Zone. The presence of strong potash mineralization in Hole 23 supports the results from Hole 20 (see July 6, 2011 news release) and suggests strong continuity of the potash horizon across the southern basin and the deposit remains open in all directions. With the exception of Hole 20, there has been no previous drilling in this area and no resource has yet been calculated in this region. Management believes that due to the consistent nature of the Kainitite Zone and the continuity supported by drilling, there is strong potential to add additional resources in this region.

Farhad Abasov, President and CEO, commented: “Allana is extremely encouraged by the continuity of the Kainitite Zone in the eastern portion of the license area as exemplified by Hole 23. Until Allana drilled Hole 20, this area has experienced no previous drilling and the additional potash intersection in Hole 23 further validates our interpretations on the strong continuity of the potash throughout the southern part of the basin. This area is approximately 18 km2 and management believes there is good potential to add potash resources to the project. Road building continues east of holes 20 and 23 and drilling will commence shortly to determine if a large, shallow potash resource is present which may be amenable to open pit mining in both the eastern and western parts of the project.”

For the complete press release click here.

Image is of a sulphur lake found in the Dalol region of Ethiopia part of the Danakil Depression, a below sea level land formation within the Great Rift Valley system.