Passport Potash has been very busy these last couple weeks. In the last few weeks they have managed to oversubscribed their PP, receive Permits for their flag ship Twin Buttle Ranch project in the Arizona Holbrook Potash Basin. The TBR ranch covers 8.61% of the Holrbook basin hosting some of the thickest portions of the basin. Intercepts up to 6 meters at shallow depth. This equates to a potential potash resource estimate of 220 million tonnes of potash. Recently PPI has acquired more land in the basin adding another 2000 acres to their already impressive land positioning. This new land has not been equated into this potential resource estimate. PPI plans on drilling the TBR in very short order. With a low OS of under 40 million and a market cap of just 3 million PPI has potential to give shareholders some serious gains.
Passport Potash Inc. (PPI : TSX.V) wishes to announce that it has received approval for the eight proposed drill holes on the Twin Buttes Ranch property located in the Holbrook Basin in northeastern Arizona. The proposed drill holes are located in the southeastern corner of the property where previous drilling by Arkla Exploration intersected in excess of 20 feet (6.1 metres) of potash and where according to the isopach map with Mr. Rauzi's (an Arizona Geological Survey state geologist) report, the potash horizon underlying this portion of the Twin Butte Ranch property appears to thicken from 10 feet (three metres) to in excess of 20 feet (6.1 metres) from northwest to southeast across the ranch property. The depth to the top of the potash horizon ranges from 990 to 1,440 feet (301.8 to 438.9 metres). Total depth of these holes is expected to vary from 1,300 to 1,600 feet (396 to 487.8 metres). The company plans to commence drilling of these holes as soon as possible.
Approvals are still pending on the applications submitted to the ASLD for 10 holes that are located on Passport’s state land holdings.
The Company wishes to announce that it has granted 496,000 incentive stock options at a price of .10 to two directors. The options have a 5 year term.
Vancouver, B.C. June 16, 2010. Passport Potash Inc. (PPI : TSX.V) wishes to announce that the non-brokered private placement of 4 million units at .05 announced May 27th 2010 has been oversubscribed by $50,000. Each unit will consist of one common share and one full warrant exercisable at .10 for a period of 2 years.
Proceeds will be used for working capital.
PASSPORT POTASH INC. SIGNS LETTER OF INTENT ON THE HOLBROOK POTASH PROJECT
Passport Potash Inc. has signed a non-binding letter of intent with Mesa Uranium Corp. on the Holbrook potash project. The project consists of Arizona State Land Department exploration leases covering 1,950 acres and is 100-per-cent wholly owned by Mesa.
Under the letter of intent, Mesa will receive 500,000 shares of Passport, $20,000 in cash and a 2-per-cent net smelter royalty (NSR) subject to a buyback for $300,000. The transaction will be subject to approval by the TSX Venture Exchange.
Passport has the right to acquire a 75-per-cent interest by performing the following:
Issuing 500,000 shares upon the signing of the forthcoming agreement, that each share certificate shall imprinted thereon a legend restricting transfer in Canada for four months plus one day from the date of issuance of the shares; Paying $20,000 (U.S.) cash within 90 days of the completion of Passport's next financing; Meeting the minimum exploration expenditures as required by the Arizona State Land Department; Paying exploration expenditures on the leases on a 100-per-cent basis with the right to acquire the remaining 25-per-cent interest by paying $100,000 (U.S.) cash or stock equivalent; The joint venture is subject to a 2-per-cent NSR royalty with Passport retaining the option to purchase the royalty at the price of $150,000 (U.S.) per 1 per cent, or $300,000 (U.S.) for 2 per cent.
About the new land pakcage:
Exploration permits have been granted from the Arizona State Land Department covering 1,950 acres (3 square miles) in the Holbrook Evaporite Basin. Historic data from a core hole drilled on Mesa's Holbrook Project in 1965 describes potash mineralization grading 13.7% potash over a thickness of 9.5 feet. One additional hole intercepted 13 feet of potash, analytical data has yet to be secured. Both of these drill holes were included in a resource calculation done by the Arizona Geological Survey (AGS) documented in a 2008 publication 'Potash and Related Resources of the Holbrook Basin, Arizona' (OFR-08-07). The study estimates the Basin could host 2.27 billion metric tons of potash. Below is a link to a summary of the AGS report: