Pacific Potash Ready To Feed Brazil

Owning a potash mine in Brazil is like controlling a water-well in the middle of the Sahara Desert.

Brazil is the world’s third-largest consumer of potash. In 2012 it imported 7.5 million tonnes of potash – about 90% of its total consumption.

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The country has a single operating potash mine operated by Vale (VALE-NYSE). This mine produces about 8% of Brazil’s potash needs. It is due to be exhausted by 2016.

The Brazilian government has stated its goal to become “fertiliser Independent” by 2020, which means a number of potash projects are going to be fast-tracked to production.

Pacific Potash (TSX-V:PP.V - News) (OTCQX:PPOTF - News) (FSE:P9P.F - News) is poised to be one of them.

Pacific Potash has a 100% interest on 795,824 hectares within the Amazonas Basin in Northern Brazil. The Properties are situated approximately 20 and 40 kilometers from Petrobas’ Arari and Fazendinha potash deposits.

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Location:

· Central location for Brazil and South American

· Access to ports, railways, airports and roads

· Claims are located near major cities

Demand:

· Brazil is the 3rd largest importer of potash

· Uses 80% of all potash supplied to South America

· Consumption in Brazil has grown 5% a year for the last 10 years.

· Brazil is attempting to reduce imported potash dependency from 93% to 60% over the next 5 years

Economics:

· Brazil is the world’s largest growing potash market

· The country exports 27% of all global meat

· By 2016 it’s meat exports will overtake U.S, Canada, Australia, and Argentina

· Agricultural exports exceed $175 billion a year

· Brazil soils are potassium deficient

· Soybeans, rice, and corn are all strategic crops

· World leader in ethanol production from sugar

Politics:

· Brazil’s government is actively trying to decrease imports of fertilizer

· Brazilian government is streamlining processes exploration and development of target areas

· World renowned companies are exploring the Amazonas Basin (Petrobras, Vale, etc.)

· Amazonas state is the country’s only free trade state.

Pacific Potash recently completed NI 43-101 compliant technical report on its Amazonas Basin Potash Project.

"The completion of this report confirms that there is a great opportunity for the development of potash within the confines of our property,” states Pacific Potash Executive Chairman Balbir Johal.

Current exploration programs by Brazil Potash and Cowley Mining affirm that the Amazonas Basin has world class potential.

Brazil Potash
Minimum 25 hole drill program, 4 rigs currently on the property NI 43-101 Resource report expected for Q3 2013 Planned Q12014 listing on the BOVESPA exchange with a planned IPO of 500 million to 1 billion dollars Claims are adjacent to Pacific Potash Private company based out of BrazilRaised 100 million + privately to date

Cowley Mining
Planned 12 hole drill program. Currently raising 25-25 million dollars privately NI 43-101 initial reserve report planned for Q4 2013 Claims are adjacent to Pacific Potash Private company based out of London

Pacific Potash’s 795,824 hectares are on trend and surrounded by Brazil Potash and Cowley.

Brazil is in desperate need of a domestic source of potash which would eliminate high transport costs.

2012 was the second consecutive year in which Brazil was the largest global importer of potash, while its production continues to decline.

Pacific Potash is currently trading at $0.16 with a market capitalization of $9 million.