Sage Potash Corp. said its Peterson 1 well at the Sage Plain project in southeast Utah reached a total depth of 2,248 metres and intersected the two potash-bearing intervals it was aimed at, the Upper and Lower beds of Cycle 18.
According to the August 5 release, continuous core was recovered from both mineralized intervals and is being prepared for shipment to the Saskatchewan Research Council in Saskatoon. There the core will be logged geologically and assayed \u2014 the laboratory step that establishes how much potash the rock actually contains. Continuous core means an unbroken cylinder of rock was retrieved across the interval, rather than fragments, which allows thickness and grade to be measured bed by bed.
The company also said it is finishing a set of downhole geophysical surveys, including a gamma ray log. Gamma logging responds to the natural radioactivity of potassium and is used to flag potash zones in the borehole, giving a check against the laboratory numbers once those arrive.
No grades, bed thicknesses or assay results were disclosed, and the release gave no date for when results are expected. Sage Potash said it would issue updates as results become available.
The stated purpose of the program was to confirm the continuity, thickness and grade of mineralization at Sage Plain and to gather geological data for later work. Chief Executive Patricio Varas said the company is looking to the assays "in order to expand and upgrade the resource and confirm the quality of this outstanding Potash asset." That is a statement of intent rather than a result: any change to the project's resource estimate depends on the laboratory work, and the release did not say when a revised estimate might be published or what engineering studies would follow.
The scientific and technical content of the release was reviewed by Greg Vogelsang, P.Geo., P.Eng., the company's vice-president of project development, acting as qualified person under Canada's NI 43-101 disclosure rules for mineral projects.
The release contained no information on drilling costs, cash on hand or how further work will be funded, and no figures on the existing resource base at Sage Plain beyond the company's own description of it as large and high grade. For a single-asset explorer at this stage, the assay results and the financing needed to act on them are the two items that will determine whether the drilling translates into a resource update. Sage Potash trades on the TSX Venture Exchange and the OTCQB market in the United States.
Source: Newsfile
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