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Allana Hits Additional Shallow Potash in Ethiopia

Allana Potash said yesterday that it had intersected potash mineralization in Holes 24, 25 and 26 at shallow depths in the south-western portion of its land position in Ethiopia.

In addition to previous holes completed by Allana, holes 24, 25 and 26 form a region of potash mineralization which occurs at depth between 75 and 200 metres below surface, Farhad Abasov, President and CEO of Allana said.  

“Allana management believes that the potash in this region may be amenable to mining by open pit methods and future studies will focus on this potential,” Abasov said.

On June 20 the company said that it was planning a production of 1 million tonnes of potash a year, according to Abasov who said that it could increase its production goals.

Allana’s shares rose by 12 percent in June when the company found a new high-grade potash zone in its property in Ethiopia.

The company had said that results from drilling in Hole 19 at the company's Dallol property in Ethiopia's north eastern Danakil Depression yielded over 61 percent of potash over 0.90 metres. That was by far the highest grade potassium chloride (KCl) Allana had come across, Dundee Securities said in a note to clients, and rated the company as their "top pick" among small potash explorers.

Allana is focused on the acquisition and development of potash assets internationally with a major focus on a previously explored potash property in Ethiopia.

Source: Proactiveinvestors