Allana Potash & ICL Sponsor Program to Be Conducted by
Ethiopia's Agricultural Transformation Agency
- ICL and Allana will contribute $330,000 and $200,000,
respectively, to a $590,000 agricultural program to be conducted by
the Ethiopian Agricultural Transformation Agency.
- The two-year program will map fertility levels of Ethiopia's
agricultural lands and include 600 field trials and demonstrations
in 30 districts.
TORONTO, ONTARIO--(Marketwired - May 5, 2014) - Allana Potash
Corp. (TSX:AAA) ("Allana" or the "Company") is pleased to announce
that ICL, Allana's strategic investor, has joined Allana in its
efforts to support the development of fertilizer application in
Ethiopia via a contribution to the Agricultural Transformation
Agency of Ethiopia.
As part of ICL's sustained efforts to support the communities in
which it operates, and to encourage the proper application of
fertilizers to enhance agricultural yields, ICL entered into a
Memorandum of Understanding ("MOU") with Ethiopia's Agriculture
Transformation Agency ("ATA"), an Ethiopian governmental agency, to
conduct 600 field trials and demonstrations in 30 Ethiopian
'woredas', or districts, for the purpose of determining optimal
nutrient levels for Ethiopia's agricultural areas. ICL will
contribute $330,000 and ATA will contribute $60,000 to the two-year
governmental program which will also develop an agricultural growth
strategy for Ethiopia, engage in soil fertility mapping, and
sponsor the training of a post-graduate PhD students to develop
expertise on the benefits of potassium fertilizers for increased
production of crops.
Farhad Abasov, Allana's President and CEO commented, "Allana has
contributed approximately US$200,000 to the Ethiopian ATA since
February 2013 and will continue to contribute (in cash or potash
volume equivalent once production begins) to ensure the success of
this very important program. In conjunction with our partner, ICL,
we plan to assist in the development and expansion of a thriving
fertilizer market in Ethiopia and in much of east Africa. We
believe that this region and the entire African continent represent
immense market potential for all nutrient consumption, especially
potash. Agriculture is Ethiopia's largest and most important sector
with significant growth opportunities. 16 million hectares of land
are used for agricultural purposes in the country. Our commitment
to the development and expansion of the agriculture sector and
related agriculture businesses in Ethiopia is a fundamental
cornerstone of our operating philosophy as a future potash producer
in the country."
Yoram Cohen, ICL's General Manager for Africa and a member of
Allana's Board of Directors added, "With these ATA initiatives in
full swing over the course of the next several months, Allana
Potash and ICL will be able to supply potash for Africa as well as
provide value to our respective companies' shareholders as we
develop these new markets."
ICL is one of the world's largest producers of fertilizers and a
leader in plant nutrition technology and development. It is
currently engaged in a large-scale market development project in
India in collaboration with the largest fertilizers importer in the
country. ICL's global marketing network possesses extensive
know-how in plant nutrition, and is supported by a team of
agronomists and several ICL R&D centers around the world.
The primary objective of ICL's collaboration with Ethiopia's ATA
is to map the fertility levels of the country's agricultural land
in order to recommend appropriate fertilizer strategies, improve
fertilizer use and to demonstrate to Ethiopian farmers the benefits
of potassium fertilizers for use on various crops and soil types.
It is also designed to bolster Ethiopia's agricultural research
capabilities in the area of soil fertility and nutrient management,
as well as to establish government-approved fertilizers and
fertilizers facilities.
The sustainability of agricultural systems depends, in large
part, on balanced fertilization to improve soil fertility for
secure and sustainable food production. Potassium fertilizers play
a crucial role in improving the quality and yield of crops and thus
contribute to improving the welfare of farming communities.
As a global producer of potash, phosphates and other specialty
minerals that fulfill humanity's essential needs in agriculture,
food and engineered materials, ICL intends to extend this project
to other African countries and is currently in discussions with
similar organizations in Kenya and Tanzania.
About ICL
ICL is a global manufacturer of products based on unique
minerals that fulfill humanity's essential needs, primarily in
three markets: agriculture, food and engineered materials. The
agricultural products that ICL produce help to feed the world's
growing population. The potash and phosphates that it mines and
manufactures are used as ingredients in fertilizers and serve as an
essential component in the pharmaceutical and food additives
industries. The food additives that we produce enable people to
have greater access to more varied and higher quality food; ICL's
water treatment products supply clean water to millions of people
as well as industry around the world; and other substances, based
on bromine and phosphates help to create energy that is more
efficient and environmentally friendly, prevent the spread of
forest fires and allow the safe and widespread use of a variety of
products and materials. ICL benefits from a broad presence
throughout the world and proximity to large markets, including in
developing regions. ICL operates within a strategic framework of
sustainability that includes a commitment to the environment,
support of communities in which ICL's manufacturing operations are
located and where its employees live, and a commitment to all its
employees, customers, suppliers and other stakeholders.
ICL is a public company whose shares are traded on the Tel Aviv
Stock Exchange (TASE:ICL). The company employs around 12,000 people
worldwide, and its sales in 2013 totaled $6.3 billion. For more
information, visit the company's website at www.icl-group.com.
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 three
significant strategic investors: ICL, one of the world's largest
potash producers, IFC, a member of World Bank Group, and LMM, a
member of Liberty Mutual Group. Allana has estimated measured and
indicated Sylvinite mineral 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 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 325 million common shares outstanding. Allana
trades on the Toronto Stock Exchange under the symbol "AAA". For
more information, please visit the Company's website at
www.allanapotash.com.
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". Statements with respect to mineral resource estimates,
production timelines adthe effect and timing of the fertilizer
program and blending plant construction are forward-looking
statements. Forward-looking statements are based on the opinions,
assumptions 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. Such
risks include the uncertainty with respect to the shareholder
approval of the Second Tranche not being obtained, the fact that
the expected benefits of the strategic alliance may not
materialize, the inherent capital markets consequences of an equity
controlling position, regulatory risks and such other risks as
discussed in the risk factors sections of our latest annual
information form, our technical reports and other continuous
disclosure documents filed from time to time at www.sedar.com.
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.
Allana Potash Corp.Richard KelertasSenior Vice President,
Corporate Development514 717
6256rkelertas@allanapotash.comwww.allanapotash.com