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Re: Lone Clone post# 2848

Friday, 07/10/2009 6:13:30 PM

Friday, July 10, 2009 6:13:30 PM

Post# of 2904
Trigon's Intercontinental Potash Corp. Provides Update of Operations
Tue Jul 7, 2:36 PM

http://ca.news.finance.yahoo.com/s/07072009/30/link-f-cnw-trigon-s-intercontinental-potash-corp-provides-update-operations.html

/NOT FOR DISTRIBUTION IN THE UNITED STATES OR TO U.S. NEWSWIRE SERVICES/

TORONTO, July 7 /CNW/ - Mr. Sidney Himmel, President and CEO of Trigon Uranium Corp. ("Trigon") (TSXV: TEL.V) and of Intercontinental Potash Corp. ("ICP" or "the Company") is pleased to provide an update regarding recent work carried out in respect of the Ochoa Polyhalite Project ("Ochoa") in New Mexico. Polyhalite is a potash mineral which the Company anticipates will be developed as slow release, non-chloride, multinutrient potash fertilizer that can be applied directly and as a potassium sulphate fertilizer.

Ochoa, which is the primary ICP property under investigation, comprises 16 federal prospecting permits covering an area of 36,589 acres located about 20 miles east of Carlsbad, New Mexico. The Company has applied for additional exploration permits comprising approximately 9,000 acres.

Mr. Himmel, President of ICP stated: "Recent investigations have confirmed the existence of polyhalite at the Ochoa property and the likely physical characteristics of the polyhalite as a fertilizer mineral. The correlation of polyhalite presence with geophysical gamma logs and acoustic logs has also been confirmed. We have obtained polyhalite core from the Rustler Formation from historical drilling close to our Ochoa project. The anticipated results from metallurgical testing of that core will be helpful to us in establishing agricultural testing procedures and initial views on processing methods and possible milling costs."

The development concept of Polyhalite as an organic, non-chloride, slow-release and multi-nutrient fertilizer and potassium sulphate potash fertilizer is based on early investigations by the United States Department of Commerce and Bureau of Mines, and also more recent agricultural testing in the United States and internationally.

Agricultural research testing in greenhouse environments has demonstrated that Polyhalite may be an effective source of potassium, magnesium, calcium, and sulphur as plant fertilizer nutrients. ICP has concluded that Polyhalite has the potential to be developed as a significant new fertilizer which will provide, on a cost-competitive basis, the same nutrients as currently marketed langbeinite and with additional beneficial features. As a new fertilizer product, Polyhalite is comparable to other multi-nutrient potassium fertilizers such as langbeinite which has approximately one million tons of sales per year. The langbeinite market evolved over the past few years and continues to grow internationally. Supplies of langbeinite are currently being depleted through mining and this may allow for polyhalite being an attractive alternative for potassium sulphate consumers in the future.

Polyhalite has the advantage, as with potassium nitrate and sulphate salts, of being free of chlorides that are problematic in arid environments where accumulation of salts from potassium chloride fertilizers are deleterious to certain plant species. Furthermore, the slow-release aspect may result in beneficial delivery characteristics in agricultural environments where the soils are heavily leached due to high levels of rainfall. Polyhalite may also be developed as a stand-alone product in the potassium sulphate market where combined product demand is approximately 6 million tons per year.

Findings from recently completed investigations:

ICP recently completed numerous geological and metallurgical investigations including:


1. Metallurgical and processing investigation of polyhalite rock
obtained from locations in the vicinity of Ochoa in Lea County, from
the Rustler and Salado Formations that are comparable to polyhalite
beds that underlie the project area under permit.
2. Investigation of rock chip samples from historical oil and gas rotary
drilling on locations in Ochoa.
3. Review of regional oil and gas logs from the Permian Basin within
which Ochoa is located.
4. Review of additional data regarding substantial historical drilling
in the Permian Basin for potash including polyhalite as well as
sylvite.


ICP has completed new drill hole log studies and reviewed detailed reports of historical potassium drilling in the Permian Basin of west Texas and southeastern New Mexico. This information has substantially confirmed the selection of the Ochoa lands as likely large and exploitable deposits. Through the study of polyhalite rocks from various locations in the vicinity of the drill program, and examination of Ochoa rock chips, ICP has confirmed that polyhalite exists in appreciable quantities in the Ochoa permit area. Further, ICP technical staff has concluded that the thickness trends and continuity make Ochoa unique from the regional distribution of polyhalite where thinner, discontinuous beds prevail.

The Company performed a series of tests on polyhalite rock from the Salado Formation to determine the rock's physical and chemical characteristics. The polyhalite rock contains minor amounts of halite to anhydrite depending on the local conditions where the polyhalite was deposited. The physical liberation of polyhalite in analogous Salado Formation to Ochoa by size fraction and solubility were tested. It was determined that upgrading the concentration of such polyhalite concentration can be accomplished by simple washing. It was also determined that the polyhalite can occur as both large crystals and as fine grained masses. Further we have determined that early dissolution of potassium and magnesium is released in a sustained water bath and that post-bath samples indicate the presence of slower-to-release polyhalite fractions as well. Thus the fact that polyhalite can provide potassium, sulphate, and magnesium macronutrients by slow release, as well as standard "immediate" release, was confirmed from rock samples obtained in the Salado Formation to the west of the Ochoa occurrence.

ICP further obtained polyhalite core samples from the shallower Rustler Formation in the vicinity of Ochoa. From these samples, it was confirmed that the presence of polyhalite can be determined from gamma logs and physical density logs such as those utilized on the Ochoa permit. X-ray fluorescence and X-ray diffraction of the lower part of core samples obtained from the Rustler Formation, north of Ochoa, confirmed 73% to 90% or more polyhalite by weight across several feet. The upper core samples are currently at the lab and are also undergoing analyses of textures and mineral phases by microscopy and by a scanning electron microscope (SEM) before and after the samples are exposed to moisture. This will be followed by a series of tests on fresh core to determine the affects of different extractive processes to concentrate polyhalite and potassium. Results of the latter work should be available in late July or early August.

Polyhalite in the Potash Markets and Recent Pricing:

ICP believes that it can develop polyhalite as direct-application multi-nutrient and non-chloride fertilizer potassium mineral. The term "potash" is commonly limited to the mineral sylvite, which is potassium chloride. However, "potash" should include all potassium fertilizers including the nitrates and sulphates. Such potassium sulphate fertilizers include the mineral Langbeinite, mined in New Mexico at locations close to Ochoa and distributed internationally, and schoenite which is extracted from sulphate-rich brines in China and the Great Salt Lake of Utah.

New Mexico is one of the Four Corner States where Trigon has established expertise in finding potassium sulphate trends of significance in the Permian Basin. Minor polyhalite trends were also found in the Paradox Basin but these occurrences lacked the structural suitability necessary for underground mining as was found at Ochoa in New Mexico. Both The Mosaic Company and Intrepid Potash produce sylvite and langbeinite from mines in New Mexico where we understand that the occurrence of polyhalite in their mines is erratic and non-economic. The potassium sulphate fertilizer market is a proven market with current world operating capacity of approximately 8 million tonnes.

During 2008 to the spring of 2009, sylvite (potassium chloride), FOB Vancouver, was quoted in the range of $600 to $1000 with recent quotes in the range of $800. During the same period potassium sulphate was quoted at approximately $1000 FOB US Gulf and Europe.

The non-chloride fertilizer products are potassium sulphate and potassium nitrates. These meet the following demands: (i) chloride sensitive crops which include most fruits, vegetables, horticultural crops; (ii) tobacco; (iii) salty and arid soils such as soils in India and North Africa; and (iv) soils where cultivation is intense and there is therefore a tendency towards chloride build-up. Salty soils reduce water uptake which is further reduced by chloride. Arid soils allow for the buildup of chloride which reduces water uptake and causes toxicity.


Announced Planned Corporate Reorganization of Trigon and Timing of New
Mexico Drill Program:


Trigon recently issued a comprehensive news release announcing the proposed Reverse Takeover ("RTO") involving an offer to purchase the common shares of ICP that it does not already own. The process of the RTO requires that 75% of non-Trigon ICP shareholders tender their shares to the offer. The completion of the RTO process also requires that the independent shareholders of Trigon approve the acquisition by way of shareholder vote at a special meeting of the shareholders. So that required Trigon Information Circular can be completed on a timely basis, the commencement of the drill program on Ochoa will be deferred until the completion of the RTO.

The geological aspects of this press release were reviewed by Sean Muller, P. Geo., and a Qualified Person under NI43-101. Mr. Muller is an independent contractor who provides technical assistance to ICP in potash exploration and development.

About Trigon and ICP:

Trigon Uranium Corp. is an exploration and development company focused in the western and southwestern United States, with operations based in its Golden, Colorado office. Intercontinental Potash Corp. is a private company with 37% ownership by Trigon and is involved in the acquisition, exploration, and development of polyhalite and potash-related minerals in the United States southwest. The shares of Trigon traded on the TSX Venture Exchange under the symbol "TEL".

Forward-Looking Statements

Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of Trigon and ICP, including, but not limited to, the impact of general economic conditions, industry conditions, dependence upon regulatory and shareholder approvals, the execution of definitive documentation and the uncertainty of obtaining additional financing. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. Trigon does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events, or otherwise.


NEITHER THE 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.


Contacts

please visit www.trigonuraniumcorp.com or www.intercontinentalpotash.com or contact: Trigon Uranium Corp.
Sidney Himmel
President and CEO
Toronto
Ontario
T: (416) 624-3781
shimmel@intercontinentalpotash.com

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