Passport Potash Continues to Intercept Strong Potash Mineralization in 2012 Expansion and Infill Drill Program

VANCOUVER, BRITISH COLUMBIA–(Marketwire – August 1, 2012) – Passport Potash, Inc. (TSX VENTURE:PPI)(OTCQX:PPRTF) is pleased to report drill results on 4 additional holes of its 2012 Drill Campaign. All holes drilled intercepted strong potash mineralization and the results will be included in the updated resource estimate.

The analytical results received were for Holes 12-05, 12-06, 12-14 and 12-24. Holes 12-05, 12- 06 and 12-24 are part of the expansion and infill drill program designed to expand the NI 43-101 Technical Report prepared by ERCOSPLAN. Hole 12-14 was drilled on the recently acquired Fitzgerald Trust Ranch, is the first exploratory hole undertaken by Passport on that property, and is important as no mineral resource had been previously determined or estimated for the area. Hole 12-14 is strategic as it is located between the Twin Buttes Ranch and Passport’s southern land package, so as to bridge the two areas, and the results show that potash trends throughout the area with significant thickness and KCl grade.

 

The results for Holes 12-05, 12-06, 12-14 and 12-24 are listed in the Table below. Drill intercepts are believed to represent true thicknesses, as the holes were drilled vertically and the potash beds are essentially flat lying.

 

Hole ID

From(ft)

To(ft)

Thickness(ft)

Thickness(m)

%K2O

%KCL

1205

1086

1092.5

6.5

1.98

12.27

19.42

Including

1089

1090.5

1.5

0.45

25.53

40.42

1206

1109

1114

5

1.52

11.16

17.66

Including

1112

1113

1

0.30

21.35

33.80

1214

1056

1062.5

6.5

1.98

11.54

18.26

Including

1060

1061.5

1.5

0.45

26.33

41.69

1224

1143.5

1149.5

6

1.83

9.13

14.44

1224

1153.5

1158.5

5

1.52

9.03

14.30

Including

1153.5

1154.5

1

0.30

14.71

23.29

To view location of the reported 4 drill holes click here: (http://passportpotash.com/pdf/map.jpg)

 

Passport Potash President and CEO Joshua Bleak comments: “We are pleased to be nearing the end of our 2012 drill program. The holes we have completed continue to solidify our depositional layout and size, and the results will be of great importance as we begin our PEA Study. All results will be included in our upcoming updated resource calculation.”

 

About the Holbrook Potash Project

Passport Potash Inc. is a TSX-listed resource company engaged in the exploration and development of advanced potash properties. Passport has acquired a strategic position in the Holbrook Basin with land holdings encompassing over 122,000 acres. In addition, Passport has a cooperative agreement with the Hopi Tribe, allowing the company to access and conduct certain exploration activities on an additional 12,853 acres of privately held Hopi land (not reservation) while allowing the tribe to share in the study results. For more information regarding the Holbrook Basin, see or visit our website at www.passportpotash.com.

 

Quality Assurance and Quality Control

The standard operating and quality assurance procedures followed by Passport Potash employees have been instituted to make sure that all sampling techniques and results meet international reporting standards. Coring starts when the first significant gypsum interval (Upper Supai Formation) is intersected. Information about the drill holes and the on-site core descriptions are conducted according to international standards (depth intervals, recovery %, lithology, structure, alteration, rock type, weathered profile, sample intervals, remarks). Onsite field geologists collect the cuttings, bag and label them and place a small sub-sample into a chip tray for further treatment. Directly after being retrieved the cores are measured, cleaned, filed logged, packed in plastic poly sheeting and placed into sequentially numbered and labeled core boxes. Material is temporarily stored prior to transfer to the core facility in Apache Junction, Arizona, where significant intervals are dry cut in half. Half core samples are then bagged and carefully packed into boxes and shipped to the Saskatchewan Research Council in Saskatoon.

Passport is utilizing SRC’s Potash ICP Analysis package designed for multi-element analysis of potash samples. SRC includes blanks, duplicates and their internal potash 003/004 standards in the analysis. SRC’s analytical procedures have been more fully detailed in the NI 43-101 Technical Report, dated 30 March 2012, prepared for Passport Potash by ERCOSPLAN Ingenieurgesellschaft Geotechnik un Bergbau mbH. SRC is an ISO/IEC 17025:2005 certified facility.

Tim Henneberry, P.Geo., Advisor, and a Qualified Person as defined in National Instrument 43-101, has reviewed and approved the technical content of this news release.

 

On behalf of the Board of Directors

PASSPORT POTASH INC.

Joshua Bleak, President

This news release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, including the likelihood of commercial mining and possible future financings are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include unsuccessful exploration results, changes in metals prices, changes in the availability of funding for mineral exploration, unanticipated changes in key management personnel and general economic conditions. Mining is an inherently risky business. Accordingly the actual events may differ materially from those projected in the forward-looking statements. For more information on the Company and the risks and challenges of its business, investors should review the Company’s annual filings that are available at www.sedar.com.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Cultivating Global Growth