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South Harz Potash signs drilling contract for Ohmgebirge project

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World Fertilizer,

South Harz Potash (SHP) has signed the drilling contract for the first confirmatory hole at its Ohmgebirge Mining Licence area with deep drilling specialist company H. Anger's Söhne Bohr- und Brunnenbaugesellschaft (Angers), conditional on permit approval.

SHP plans to drill two holes, OHM-02 and OHM-01 within the Ohmgebirge Mining Licence area. The first drillhole, OHM-02, is planned in 4Q21 to a depth of 665 m which is expected to fully penetrate the known potash horizon in the area.

The aim of the drilling is to collect potash core samples from depth to assist in verifying historical drilling in the licence area by the former East German state in the 1980s. The confirmation drillholes will allow the company to upgrade its current inferred resources to indicated within the mining licence area, thus allowing the release of a Technical and Economic Assessment (Scoping Study) in the first quarter of CY22.

To further progress and complete the drilling programme, SHP applied to the regulatory authority, TLUBN, in August for permission to a drill second hole, OHM-01, which is currently being processed. For reasons of shorter hole depth and other logistic considerations however, it was decided to drill OHM-02 first.

SHP’s Managing Director, Dr Chris Gilchrist, commented: “Signing the drilling contract with Angers is a significant milestone in the project development as it enables the Company to drill this first confirmatory hole at the Ohmgebirge Mining Licence with the objective of upgrading the JORC inferred resource to the indicated category. Angers has a wealth of experience in drilling potash within the region and we have therefore appointed them with the highest measure of confidence. We are now on track to commence drilling following permitting which will allow us to progress unhindered with our development plans for Ohmgebirge.”

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