- South Harz Potash (SHP) trades higher after announcing it has kicked off the construction of a drill pad at its Ohmgebirge Project in Germany
- The company plans to drill two holes in the area to upgrade a “substantial” portion of the project’s current resource from the ‘inferred’ to the ‘indicated’ category
- According to SHP, the holes, which are both expected to be completed before the end of March 2022, will allow for the release of a scoping study for the project
- Managing Director Chris Gilchrist says these will mark the first potash drillholes to be drilled in the South Harz Potash District since the 1980s
- Shares in South Harz Potash were up 3.7 per cent and trading at 14 cents each at 11:07 am AEDT
Potash miner South Harz Potash (SHP) is trading higher this morning after announcing it had kicked off the construction of a drill pad at its Ohmgebirge Project in Germany.
The company is gearing up to drill the first of two planned resource classification upgrade holes in the area, which South Harz plans to complete early during the first quarter of 2022.
The second hole is slated for completion by the end of the March 2022 quarter, with a permit for this hole to be granted in the coming weeks.
South Harz said these two holes would allow the company to upgrade a “substantial” portion of the current Ohmgebirge resource from the ‘inferred’ to the higher-confidence ‘indicated’ category.
This, in turn, will allow for the release of a scoping study for the Ohmgebirge project. The project lies midway between Frankfurt and Berlin.
According to South Harz Potash, it’s been over three decades since a potash drillhole was completed in the area.
SHP Managing Director Chris Gilchrist said he was “delighted” that work has now begun on the drill pad for the first of two Ohmgebirge holes.
“This is the first potash drillhole drilled in the South Harz Potash District since the 1980s and we are excited to begin the process of extracting potash core from depth,” Mr Gilchrist said.
“Permitting for drilling has been straightforward and, in line with the company’s environmental and social principles, focuses on minimising impacts to the local environment and residents within the area.”
The Ohmgebirge drilling plans
The first hole to be drilled at Ohmgebirge is being targeted by SHP to 692 metres.
It’s designed to be a twin hole to the historical Kal WR 6 Liese, according to SHP, which intersected 15.72 per cent potassium oxide from 651.7 metres to 657.2 metres.
The drill pad is being built by local German civil contractor Große-Bau and will be constructed to 1.2 metres high.
Core taken from the drill hole will be analysed at labs owned by K-UTEC Salt Technologies, which are located less than 20 kilometres from the Ohmgebirge Project area.
Shares in South Harz Potash were up 3.7 per cent and trading at 14 cents each at 11:07 am AEDT. The company has a $59 million market cap.