Allana Potash has entered into a definitive agreement to acquire all of the issued and outstanding common shares of 
Nova-Ethio Potash Corporation. Nova holds a 100% interest in a strategically placed potash license adjacent to the Allana project in the Ethiopian Dankil Depression.
The acquisition will come into effect through the merger of subsidiary owned by Allana and Nova in line with the laws of the British Virgin Islands according to the company statement.
The Nova license in Ethiopia is found on the Western and Southern boundaries of the Allana concession and incorporates extensions of the alluvial fans and potential aquifers present on the western portion of the Allana license.
The acquisition will allow Allana to control an estimated 312km2 license of the center of the potash basin in the Dallol area explained the statement.The Allana Board of Directors and the management is excited to enter into the transaction and expects the additional ground offers a strategic advantage that augments the current land position and increases the potential shallow potash resources said Farhad Abasov, President and CEO of Allana Potash.
Allana will commence drilling immediately to assess the potential of extensions of the Potash deposits identified by Allana on its main license block and to update the Potash and water resource estimates he said.
The Nova property will be a complement to current efforts and confirms Allana’s commitment to develop potash resources in the area through exploration and consolidation when the acquisition is completed added Farhad.
Source: MarketWatch.com
