The United Nations estimates that the world’s population will reach 7.7 billion by 2020 and 9.3 billion in 2050. Another United Nations estimate says that only 30% of the arable land in use in the 1950’s will be available per person in 2050.
“Just when we need more soil to feed the 10 billion people of the future, we’ll actually have less—only a quarter of an acre of cropland per person in 2050, versus the half-acre we use today on the most efficient farms.” David Montgomery, author of the 2007 book Dirt: The Erosion of Civilizations
Fertilizers are going to become increasingly important to improve crop yields.
Western Potash Corp is a Potash Company focused on building Canada's most efficient Potash Solution Mine. Western Potash Corp. is currently working toward the completion of a Positive Feasibility Study at its Milestone Potash Project in Saskatchewan.
Solution mining takes advantage of the fact that mineral solubility in water improves with increasing temperature. Since temperature increases with depth, deeper potash deposits become candidates for solution mining. In line or primary solution mining, water is sent down a pipe to the deposit and circulated to dissolve halite (sodium chloride) and sylvite (potassium chloride); the solution is then pumped to the surface. In secondary mining, a halite-rich brine is injected into the deposit, selectively dissolving the sylvite and leaving the mineralized halite behind.
Solution mining benefits:
- Development costs are significantly lower
- Development timelines are shorter
- Production is easily scalable
Mining risk is significantly decreased
Pacific Potash Corp. has negotiated new terms to its previously announced option and joint venture agreement, dated May 16, 2012, with Western Potash Corp. for the Amazonas basin potash claims. The amended option agreement will grant Pacific Potash a 100-per-cent undivided interest in the Amazonas basin potash claims. To earn the 100-per-cent undivided interest, the company shall issue to Western one million shares by Aug. 1, 2013. Upon the closing and the acquisition by the company of 100 per cent of Western's interest in the claims, Western will receive a continuing 1-per-cent net smelter return in the claims.
The Amending Agreement also provides that; the remaining $250,000 cash payment and Western's back-in rights to earn up to 49% of the project by taking it to a bankable feasibility stage have been formally renounced.
Balbir Johal, Executive Chairman of Pacific Potash stated "Through negotiation with Western, Pacific Potash now has the ability to increase its share of the option to acquire 100% of the Amazonas Basin Claims.
This will allow Pacific Potash the ability to market the project to a larger audience of strategic partners and investors. The Amazonas Basin has had a flurry of exciting exploration results over the last few months which have led to greater investment in the area and we plan to capitalize on this activity with some results of our own - the Company plans to complete a drill program by the end of summer this year."