Newly formed Canadian potash and salt exploration company Red Moon Potash will take the opportunity afforded by participating at this year’s Prospectors and Developers Association of Canada (PDAC) event to convey its story and outline its plans for the year.
Red Moon Potash president Patrick J Laracy tells Mining Weekly that the company has a prospective discovery near deep-water ports with excellent infrastructure on the Atlantic Ocean, strategically situated to supply world markets. He adds that the geology of the discovery is analogous to Potash Corporation of Saskatchewan’s mine, currently under expansion in New Brunswick.
“Our aim is to delineate a commercial potash/salt deposit. An estimated eight to ten holes will be required and we will start with the first round of drilling this year,” says Laracy.
In August last year TSX-listed Vulcan Minerals spun out Red Moon as a new public company to its shareholders. Vulcan now owns an estimated 60% of Red Moon Potash, which itself owns 100% interest in 1 455 mineral claims (89 884 acres) in the Bay St. George basin of Western Newfoundland, which is part of the regional Maritimes basin.
Laracy explains that the regional Maritimes basin contains Potash Corporation of Saskatchewan’s potash and salt mine, near Sussex, New Brunswick, which has been in operation since 1983 and which is expanding its capacity to 2-million tons of potash a year.
“Our claims were systematically acquired over the course of the last ten years as the Bay St. George basin was the primary focus of the company’s exploration efforts for petroleum and minerals. We believe the claims have the potential to host an economically viable potash/salt deposit,” says Laracy.
Red Moon has discovered a potash intersection in the Captain Cook area of the Bay St. George basin with varying potassium oxide grades up to 20.40% over a 5 m gross interval at a depth of 287 m. This discovery has not been delineated and will be the primary focus of its exploration strategy.
Laracy reports that access to infrastructure is excellent, with two deep-water ports available within 6 km and 20 km respectively. An airport is located within 20 km and the Trans Canada Highway and high voltage power grids cross the property.
Vulcan is a diversified junior exploration company focused on petroleum exploration in the underexplored Bay St. George basin in Western Newfoundland and also holds mineral interests in areas strategic to its operations in Newfoundland and Labrador.
Visit Red Moon Potash at PDAC 2013 at booth #3007.