13 July article translated The results of the drill cores from...

13 July article translated



The results of the drill cores from the two exploration drilling in the Ohm Mountains between Worbis and Haynrode have been available to Südharz Kali GmbH for several weeks. The evaluation confirmed the data of the historical drilling. Our results were even better, says Babette Winter, Regional Director at Südharz Kali.

South Harz Potash Limited, parent company of Südharz Kali, has now published the updated stock estimate for the Ohmgebirge licensed area. According to winter, this is the smallest area for the revitalisation of potash salt mining in northern Thuringia. South Harz Kali has acquired other licenses in the Norththuringian Kalirevier in addition to the mining property Ohmgebirge. The stock estimate was carried out according to the Australian JORC Code. This is the standard for public reporting on exploration results and the evaluation of geological and profitable stocks.

In total, the deposit under the Ohmgebirge contains 338 million tons of geological stocks with the equivalent of 12.9 percent potassium oxide recyclable material content, which means about 44 million tons of potassium dioxide, which could be mined. Thus, the stocks are in the order of magnitude between the former Kali Mines Bleicherode and Bischofferode, explains Babette Winter.

The updated estimate of stocks according to JORC for the Ohm Mountains has upgraded a large part of the total stock from the status of suspected stocks to the status of the displayed stocks. According to Babette Winter, the assessment of deposit stocks was carried out by a leading geological consulting company based on the results of this year's exploration drilling and the data from historical exploration drilling.

The updated stock estimate for the Ohm Mountains significantly exceeded our expectations, especially with regard to the degree of conversion to the displayed category. Once again, our confidence in the value of the data of over 300 historical holes is underpinned. I see ourselves very well positioned for further planning," says Ian Farmer, acting CEO of South Harz Potash Limited.

An overview study is currently being worked on, which is then accompanied by a detailed feasibility study. According to winter, the first study evaluates technical and economic factors. In other words, a market analysis is already carried out that estimates the demand for potash salt on the markets. In addition, the existing infrastructure for the construction of a new mine is also considered. These factors are then deepened in the feasibility study. The first results of the summary study are expected in the third quarter of this year. Then they also want to talk to the public, such as municipal councillors and citizens.

The worldwide ongoing and rather increasing demand for potash fertilisers for agriculture underpins the importance of the project. With the development of the deposits in northern Thuringia, Europe's supply of domestic supplies can be secured over many decades," says Winter.