I am at least happy that today's announcement did not say...

I am at least happy that today's announcement did not say "drilling has been slow and we are likely to intercept bed 13 in early Feb"..

I am not an expert with grades but pattyp posted an excellent slide from the presentation a few weeks ago which made the risk/reward equation for this investment (if i can call it one) easier to interpret. For those holders understanding the resource and what expectations are built into the price is the best way to play this stock.

This slide shows expected grades for Bed 18 Upper within the property boundary. State Hole 3 is within the what is anticipated as the high grade zone (coloured to be > 24% K20 on page 19 of the September Potash Presentation) so we really need to come in at least this level to see the share price steady..

I would really like to see a few more state holes drilled if Federal Land permitting takes too long as we can hopefully get better idea of the ‘legitimacy’ of the high grade zone (as the map indicated there are two more state blocks - one to the east and another south east).

State Hole 2 was a little lower on grade but the thickness was good.. I am surprised Hole 1 was that bad on grade as its shows a huge drop off compared to Husky Fed 6-15 (even though 1 mile is a lot of distance) and the overall expected grade for the shaded area which Hole 1 lies within.

Anyway I am hanging tight. Management cannot be that naive to know why the share price has done what it has. To restore faith we need:

-Hole 3 (Bed 18 Upper) to interest greater than 20-24% K20 at a thickness of at least 4.5 metres.

-Further drilling on state blocks within high grade zone if Federal Approval will take more than 6-9 months

-conditioned on the above, management need to get more ‘street cred’ on the register if they can prove to the market the resource is investment grade.

Its a real shame that there is little sovereign risk here but real doubts about the resource!