News: South Boulder Mines to reveal strategic share placement

South Boulder Mines (ASX:STB) is preparing to reveal details of a strategic share placement, with the ASX granting the company a trading halt to prepare.

The company's shares are currently in pre-open.

South Boulder and the Eritrean National Mining Company (ENAMCO) are equal shareholders of the Colluli Mining Share Company (CMSC) which will develop the Colluli Potash project.

Since announcing positive results from scoping work completed in late 2013 which considered processing all potassium bearing salts, South Boulder has reinvigorated its project with a ramp up of activity – particularly in the last quarter.

The Colluli resource is a unique combination of potassium bearing salts suitable for the production of potassium fertilisers, and hosts 1 billion tonnes of potassium salts.

The JORC Resources is comprised of 261.81Mt at 17.94% KCl or 11.33% K2O of Measured Resources, 674.48Mt at 17.98% KCl or 11.36% K2O of Indicated Resources and 143.50Mt at 18.00% KCl or 11.37% K2O of Inferred Resources.

The halt will remain in place until the opening of trade on Friday 1st August 2014, or earlier if an announcement is made to the market.