Western Potash Milestone Phase 1 Project Starts Hot Mining

Western Potash Milestone Phase 1 Project Starts Hot Mining

Vancouver BC – Western Resources Corp. (TSX: WRX) (“Western” or “the Company”) is pleased to announce that Western Potash Corp., the Company’s wholly-owned subsidiary, safely and successfully started its Hot Mining operations Tuesday, April 28, 2020 at its Milestone Phase I Plant, southeast of Regina, Saskatchewan.

Hot Mining recirculates heated saturated brine from the crystallization pond into the caverns, and preferentially extracts the dissolved potash (KCl) in the cavern which returns to the crystallization pond, while leaving the salt (NaCl) in place underground. Hot mining demonstrates the enhanced horizontal solution mining process while building an inventory of potash in the crystallization pond. By design, each cavern will be producing about 4,000 tonnes of KCl per month into the crystal pond. The horizontal selective solution mining is environmentally friendly and capital efficient, while also greatly shortening the time to production compared to traditional mining. This will be the first greenfield potash mine in Canada that will leave no salt tailings on the surface, thereby significantly reducing water and energy consumption.

The process plant is expected to be completed and ready to harvest the inventory of potash in the pond by the end of 2020. Once finished the plant will de-brine, dry and compact the potash and truck to the local Port Lajord fertilizer distribution center where Archer Daniels Midland (ADM) has signed a binding off-take agreement with Western to sell the 100% of the offtake.

Appropriate operating permits were obtained as part of the on-going permitting process, and the Company continues to work in close conjunction with the RM of Lajord, Provincial government, the local community and businesses.

Mr. Fritz Venter, President and CEO of Western Potash Corp., commented: “The start of Hot Mining is a significant milestone for the Project construction, it demonstrates the viability of the new technology, and will bring about significant economic values to investors and shareholders. This technology will disrupt the Solution Mining Potash industry.

I would like to thank everyone involved in the successful construction and startup of Hot Mining, including the Western team, a number of sub-contractors, vendors and local businesses and government who continued to give their best despite having to deal with the evolving pandemic and the challenges it presented.”


For more information on the Company, please refer to: www.westernresources.com, Tel: 604-689-9378.

Cautions Regarding Forward-Looking Statements

Except for statements of historical fact relating to the Company, certain information contained herein constitutes “forward-looking information” under Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the filing and results of the Technical Report. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results of the Company to be materially different from those expressed or implied by such forward-looking statements or forward-looking information. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information that is set out herein, except in accordance with applicable securities laws.