Western Potash Awards Engineering and Procurement Services Agreement and Subsurface Well Design Agreement for the Milestone Pilot Plant Project
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Apr 21, 2016) - Western Potash Corp. (TSX:WPX)(FRANKFURT:AHE) (the "Western", "the Company") is pleased to announce that its wholly owned subsidiary, Milestone Potash Corp. has awarded the Engineering Services Agreement to Amec Foster Wheeler ("Amec") for the next stage engineering of the Milestone Pilot Plant Project in Saskatchewan. Also, the Agreement to provide Pilot Well Subsurface Design has been awarded to Agapito Associates Inc. ("Agapito")
Amec will provide a full scope of engineering and procurement services as well as a Class 3 Capital Cost Estimate in advance of Western's Final Investment Decision to construct the Pilot Plant Project. Deliverables include process flow diagrams, site plans, specifications, data sheets and detailed drawings. Western is pleased to continue to work with Amec and the continuity provided by way of Amec's involvement in previous engineering studies for the Milestone project. Amec has extensive experience in potash projects in Saskatchewan through its involvement in nearly all potash operations in the province, and numerous other potash projects around the world. Western will benefit from Amec's relationships with potash project suppliers and vendors as well as Amec's reputation for delivery of projects on schedule and within budget with safety being paramount. These are key drivers for Western as the project moves towards development.
For the underground well and cavern design, Agapito of Grand Junction, Colorado will continue its engineering and design work following on from its involvement in the delivery of the Scoping Study for a Pilot Plant Scale Selective Solution Mining Operation dated July 2015. Agapito's design work will include well trajectory, well structure, cavern layout and a production schedule for the twelve-year life of mine. Agapito brings unparalleled experience in consulting management services in solution mining of potash in Saskatchewan and the United States.
The engineering and procurement scope of work and subsurface design is anticipated to complete in approximately eight months.
For more information on Western Potash Corp.'s project, please visit the Company's website at: www.westernpotash.com.
ON BEHALF OF THE BOARD OF DIRECTORS
Geoffrey Chang, Chairman
Readers are cautioned that the projected mining method, potential production profile and plan and mine plan referred to this release are conceptual in nature. There is no certainty that a potential mine will be realized or that a production decision will be made. A mine production decision that is made without a feasibility study carries additional potential risks that include, but are not limited to, the inclusion of inferred mineral resources, which are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves.
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 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.