Western Potash Brochure


Activities to Date

Western Potash Overview

WPX Initiates Drill Program

July 2008

Completes Initial Public Offering

May 2008

Acquires and Reprocesses 315 km of Sinclair

Seismic Geophysics

April 2008

Files Sinclair Property Applications

February 2008

Completes Additional 360km Russell 2D Seismic



Completes NI 43 – 101 Technical Report

January 2008

Files Saskatchewan Property Applications

December 2007

Acquires Initial 2d Russell Seismic Lines 73 km

No date

WPX Formed – Acquires Manitoba Property

July 2007

Rotary Drill Rig

Aggressive Plan to Develop Resource

PHASE ONE – BY Q3 2008

Drill program (5000m) $ 5.0m

Seismic Data Acquisition (540km2) $ 0.3m

Interpretation & Processing, Data Acq. $ 0.1m

Contingency 10%

$ 0.3m

Total $ 5.7m

PHASE TWO – BY Q2 2009

Drilling program (10 holes) $ 10.0m

3D Seismic Surveys $ 2.0m

2D Seismic Surveys $ 0.5m

Sampling of Initial 5 Drill Cores $ 0.4m

Mechanical Test Work $ 0.1m

Contingency 10% $ 1.2m

Total $ 14.2m

WPX applications exceed 860,000 acres.

China, India and Brazil are the three fastest growing consumers of Potash globally.

Potash has NO Commercial Substitute

Potassium (potash) is one of three nutrients

essential for plant growth.

95% of all production used in agricultural


Potash fertilizer increases crop yields and

disease / pest resistance.

Potassium Fertilization is essential to maintain soil

productivity and fertility.

The farming of soils for decades , crop after crop, and

more recently with the intensive use of high yielding

seeds and modern agrotechnologies has depleted soils

of their potassium content.

Harvests remove large amounts of potassium form the

soils and if potassium is not sufficiently replaced by

fertilization, soils become deficient in potassium.

Potash Improves Yields and Crop Quality

Potash is known as the “Quality Nutrient”

Balanced fertilizer application will sustain improved yields.

Potash improves disease resistance

Potash strengthens cell walls

Potash prices will continue to rise.

Potash Production is limited on a global scale.

Global demand for crop nutrients today is growing at double the rate of the last 10 years. Forecasts released by the

International Fertilizer Association in May 2008 indicate that demand is growing at a compound annual rate of 4.2%

since 2006. This rate is more than double the rate of 1.7% from 1995 through 2005.

Global grain and oilseed stocks remain at low levels despite record crops in 2007 and 2008. The latest USDA

statistics released on July 11, 2008 show that inventories of the sixteen leading grain and oilseed crops will increase

a mere 4.4 million tonnes this year and stocks, as a percentage of use, will decline to the lowest level since the early

1970's. The supply response to high agricultural commodity prices during the last two growing seasons was good, but

clearly not good enough to reverse the unsustainable trend in global grain and oilseed stocks.

Increasing yields is a key to meeting the world's accelerating demands for food and fuel. Yields today are growing at

the slowest rates in 35 years. For example, from 1970 to 1990, the average world wheat yield grew at a compound

annual rate of 2.6 percent. This rate slowed to 1.1 percent during the 1990's and has slowed further to 0.7 percent

during this decade. The trends are similar for corn, rice and soybeans. The proper use of crop nutrients can boost

yields per acre by as much as a third. Yet, many essential crop nutrients have not been utilized adequately,

particularly in developing countries. Improved application rates in these regions could boost production.

The world adds 74 million people per year. China and India combined account for 45% of the

population. The FAO predicts that by 2050 there will be 9 billion people on this earth.

How Potash Was Formed

Geological records tell us that approximately 400 million years ago a large sea covered most of Saskatchewan,

Alberta, Montana, North Dakota and a little bit of what we know as the Northwest Territories.

In the years that followed a reef was formed across the northern part of this sea and blocked the ocean inflow

from the North. This prevented any water from entering the sea. Over time, the warm, dry climate caused the sea to

evaporate. Eventually all that was left was a bed of mineral salts.

Today these salt beds lie about 1000 meters below the ground and are known as the Prairie Evaporite.

Prairie Potash aka KCl (Potassium Chloride)

Potash is Salt

Prairie Potash KCI

That rock that is mined in Saskatchewan

contains crystals of two common salt material.

KCl (potassium chloride ) and NaCl (table

salt). There are other mineral impurities like

sand, clay and red-colored iron oxides

present in the ore. The deposits in

Saskatchewan are considered to be the best

in the world and very economical.

Carnallite KCl

MgCl 6H20



The Devonian Elk Point Basin was formed in an inland sea.

Water flow in this sea was restricted by the Presquíle Reef,

causing evaporation and formation of the Prairie Evaporite.

The potash is part of the evaporite sequence

Extent of Prairie


Outline of

Elkpoint Basin



Prairies - Centrally Located Jurisdiction

Major markets easily serviced

Asia (via Vancouver / rail)

U.S. Heartland (via rail)

Europe (via Churchill deep water port)

Rail connections (3) to US market

Excellent Local Infrastructure:

St Lazare

CN Railway

Easy Access

540 line Km 2D seismic acquired.

Ongoing processing and


Historic Drill


Historic Oil & Gas

Seismic Lines

Seismic Data allows us to locate underground potash

CEO Pat Varas shows off first Potash

core sample

1988 Wildoats (68) Seismic Profile identifies Potash bed

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