December 15, 2009
NEWS RELEASE
ENCANTO
POTASH CORP. COMPLETES DRILLING AND 2D SEISMIC
INITIATES 3D SEISMIC AT MUSKOWEKWAN
FOR IMMEDIATE RELEASE
Trading Symbol: TSXV EPO.V
Encanto Potash Corp. CEO James Walchuck is pleased to announce the reconnaissance
drill programs at both the Ochapowace and the Muskowekwan properties have now been completed.
Assay results from the Ochapowace program
should be available by mid-January 2010, with the Muskowekwan
results following in the month of February. 2D seismic has also
been completed on both properties.
Encanto is also pleased to announce that,
further to its news release of September 10, 2009, Encanto
has paid $100,000 in cash and is in the process of issuing an aggregate
400,000 shares and 400,000 warrants to purchase an additional 400,000
shares at $0.235 per share on or before November 9, 2011 pursuant to its
two Exploration Participation Agreements ("EPA's")
signed with the Muskowekwan First Nation.
In addition, in the event Encanto and the First
Nation enter into definitive agreements under the EPA's
to establish the terms under which Encanto will
develop and conduct mining operations under the authority of a mineral
lease from the Crown pursuant to the Indian Mining Regulations (Canada), Encanto will issue a further 200,000 shares and
warrants to purchase 200,000 shares for a two year period. The
exercise price will be equal to the closing price of Encanto's
shares on the date the agreement is entered into. The security
issuances remain subject to regulatory approval.
About Encanto:
Encanto Potash Corp. is a TSX Venture
Exchange-listed Canadian resource company engaged in the exploration and
development of potash properties in the Province of Saskatchewan, Canada
- the largest producing region for potash in the world.
To find out more about Encanto Potash Corp.,
please visit the company website at www.encantopotash.com or review the
documents filed on www.sedar.com.
ON BEHALF OF THE BOARD OF DIRECTORS
"James Walchuck"
Per: James Walchuck
President and CEO
For further information, please contact:
James Walchuck
President and CEO
Tel: 604.683.2402
Keith Schaefer
Vanguard Shareholder Solutions
Tel: 604.608.0824
Toll free: 1.866.918.0824
www.encantopotash.com
ir@vanguardsolutions.ca
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION
SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX
VENTURE EXCHANGE) ACCEPTS RESPONSIBLITIY FOR THE ADEQUACY OR ACCURACY OF
THIS RELEASE.
THE FOREGOING INFORMATION MAY CONTAIN FORWARD-LOOKING INFORMATION
RELATING TO THE FUTURE PERFORMANCE OF THE COMPANY. FORWARD
LOOKING INFORMATION IS SUBJECT TO A NUMBER OF KNOWN AND UNKNOWN RISKS,
UNCERTAINTIES AND OTHER FACTORS THAT MAY CAUSE ACTUAL RESULTS TO DIFFER
MATERIALLY FROM THOSE ANTICIPATED IN OUR FORWARD LOOKING
STATEMENTS. SUCH RISKS AND OTHER FACTORS INCLUDE,
AMONG OTHERS, THE ACTUAL RESULTS OF EXPLORATION ACTIVITIES, CHANGES IN
WORLD COMMODITY MARKETS OR EQUITY MARKETS, THE RISKS OF THE MINING
INDUSTRY INCLUDING, WITHOUT LIMITATION, THOSE ASSOCIATED WITH THE
ENVIRONMENT, DELAYS IN OBTAINING GOVERNMENTAL APPROVALS, PERMITS OR
FINANCING OR IN THE COMPLETION OF DEVELOPMENT OR CONSTRUCTION ACTIVITIES,
TITLE DISPUTES, CHANGE IN GOVERNMENT AND CHANGES TO REGULATIONS AFFECTING
THE MINING INDUSTRY, AND OTHER RISKS AND UNCERTAINTIES DETAILED FROM TIME
TO TIME IN THE COMPANY'S FILINGS WITH THE CANADIAN SECURITIES
ADMINISTRATORS (AVAILABLE AT WWW.SEDAR.COM). FORWARD-LOOKING
STATEMENTS ARE MADE BASED ON VARIOUS ASSUMPTIONS AND ON MANAGEMENT'S
BELIEFS, ESTIMATES AND OPINIONS ON THE DATE THE STATEMENTS ARE
MADE. SHOULD ONE OR MORE OF THESE RISKS AND UNCERTAINTIES
MATERIALIZE, OR SHOULD UNDERLYING ASSUMPTIONS PROVE INCORRECT, ACTUAL
RESULTS MAY VARY MATERIALLY FROM THOSE DESCRIBED IN THE FORWARD-LOOKING
INFORMATION CONTAINED HEREIN. THE COMPANY UNDERTAKES NO OBLIGATION
TO UPDATE FORWARD-LOOKING STATEMENTS IF THESE ASSUMPTIONS, BELIEFS,
ESTIMATES AND OPINIONS OR OTHER CIRCUMSTANCES SHOULD CHANGE, EXCEPT AS
REQUIRED BY APPLICABLE LAW.
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