Encanto was created to work with First Nations Peoples in Saskatchewan to assist them in developing potash resources on their lands. Encanto is focused on exploring for potash in five southeastern Saskatchewan prospects, working with the Chacachas, Day Star, Muskowekwan, Muscowpetung and Ochapowace First Nations.
Encanto Potash, along with its partners the Muskowekwan First Nations, is rapidly moving towards an initial resource calculation on its Muskowekwan project in Saskatchewan, Canada
Encanto Potash Corp. has completed the first of two planned wells to be drilled in order to expand the resource to the northeast on the Muskowekwan treaty land entitlement lands. North Rim Exploration Ltd. of Saskatoon is overseeing the drill program and handling of the core. The first hole was drilled to a depth of 1,245 metres and successfully intersected each of the Patience Lake, Belle Plaine and Esterhazy members. The core will be assayed and will also have engineering studies completed to determine certain cavern design and production parameters.
The additional studies are necessary for the planned solution mine development. Drilling of the second test well will commence within days and is expected to be completed over the next several weeks.
Based on the results of these two holes and previous 2-D and 3-D seismic work, an updated NI 43-101-compliant resource estimate is scheduled to be released in fourth-quarter 2011 or early first-quarter 2012 depending on assay turnaround time.
Encanto and the Muskowekwan First Nation ("MFN") also report that the treaty land designation vote has been rescheduled due to heavy caseloads within the respective Federal agencies having responsibility for this process. The agencies have now finalized the process and MFN has been advised the new voting date is Saturday November 26, 2011.
"The rescheduling of the vote is a purely procedural issue and certainly not contentious," states Encanto President and CEO Jim Walchuck. The information campaign to the MFN stakeholders was completed successfully and we remain extremely confident that we have gained the support and the trust of the MFN through this entire process." The MFN continues to keep their membership updated both on and off the MFN Home Reserve.
Encanto is confident that the results of the vote will be favourable as indicated by the continued support of Chief Bellerose who was recently re-elected on a pro potash platform.
The Company and MFN look forward to the completion of the drilling program, TLE designation vote and release of a significantly expanded resource estimate over the coming weeks as the Company continues its development of the MFN Property.