Allana Potash Corp. (TSX:AAA)(OTCQX:ALLRF) ("Allana" or the "Company") is
pleased to announce the issue of its Mining Licence for the Danakhil Potash
Project (the "Project") by the Ethiopian Ministry of Mines, after receiving
approval of the Ethiopian Council of Ministers. 


"Allana is proud to have achieved this major milestone in the development of the
Project and very much appreciates the extensive work done by Ethiopian
government staff and Allana's consultants and employees in reaching this goal",
said Allana President and CEO, Farhad Abasov, further noting that, "Allana is
now positioned as one of the leading mining companies in Ethiopia and is
committed to working with the Ethiopian government, our communities, investors,
lenders and contractors to deliver on the significant potential of Ethiopia's
potash resources." 


Allana's Mining Licence was issued after a detailed review by the Ministry of
Mines and other Ethiopian government departments of the Project's Feasibility
Study and Environmental, Social and Health Impacts Assessment (ESHIA), which was
approved in May 2013 by the Ethiopian Environmental Protection Authority and
Ministry of Mines.


With the receipt of the Mining Licence, Allana now has the required regulatory
approvals to complete the development phase of the Project and move directly to
contracting, construction and operations. Allana is continuing to work with
various parties in completing final development aspects including the
contracting, financing and infrastructure for the Project, and expects to
provide updates on these initiatives in the near future.


About Allana Potash Corp.

Allana is a publicly traded corporation with a focus on the acquisition and
development of potash assets internationally with its major focus on a
previously explored potash property in Ethiopia. Allana has secured financial
support from two significant strategic investors: IFC, a member of World Bank
Group, and Liberty Metals and Mining, a member of Liberty Mutual Group. Allana
has estimated measured and indicated Sylvinitemineral resources of 327.4 million
tonnes of 28.3% KCl; and an estimated inferred Sylvinite mineral resource of
90.8 million tonnes grading 27.8% KCl, In addition, the Danakhil Project hosts
estimated measured and indicated Kainitite mineral resources of 1,150.5 million
tonnes at 19.4% KCl, an estimated inferred Kainitite mineral resource of 481.8
million tonnes of 19.8%KCl; estimated measured and indicated Upper Carnallitite
mineral resources of 411.3 million tonnes grading 17.3% KCl, estimated inferred
Upper Carnallitite mineral resources of 175.5 million tonnes of 16.5% KCl;
estimated measured and indicated Lower Carnallitite mineral resources of 557.2
million tonnes of 9.2%KCl, and estimated inferred Lower Carnallitite mineral
resources of 369.3 million tonnes grading 7.7% KCl. The foregoing mineral
resource estimates are as at April 17, 2013. For more information with respect
to the data verification procedures undertaken and the key assumptions,
parameters and risks associated with the foregoing estimates, refer to Allana's
Technical Report entitled "Resource Update for the Danakhil Potash Deposit,
Danakhil Depression, Afar State, Ethiopia" dated effective April 17, 2013 filed
under the Company's SEDAR profile at www.sedar.com on August 7, 2013. Allana has
approximately 277.7 million shares outstanding. Allana trades on the Toronto
Stock Exchange under the symbol "AAA".


Dr. Peter J. MacLean, Ph.D., P. Geo., Allana's Senior VP Exploration, is the
Company's designated Qualified Person and has reviewed and approved the
technical information presented in this release.


Forward-Looking Statement 

Except for statements of historical fact relating to the Company, certain
information contained herein constitutes "forward-looking information" under
Canadian securities legislation. Generally, forward-looking information can be
identified by the use of forward-looking terminology such as "plans", "expects"
or "does not expect", "is expected", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates" or "does not anticipate", or "believes",
or variations of such words and phrases or statements that certain actions,
events or results "may", "could", "would", "might" or "will be taken", "occur"
or "be achieved". 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, level of activity, performance or achievements 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
statements or 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
statements and forward-looking information. The Company does not undertake to
update any forward-looking statements or forward-looking information that are
incorporated by reference herein, except in accordance with applicable
securities laws.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Allana Potash Corp.
Richard Kelertas
Senior Vice President, Corporate Development
514 717 6256
rkelertas@allanapotash.com