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Tuesday, 06/26/2012 9:56:46 AM

Tuesday, June 26, 2012 9:56:46 AM

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Sustainable Recycled Water Source Approved... Milestone Potash Project

Vancouver BC – Western Potash Corp. (TSX: WPX) (FSE: AHE) (“the Company”) -- On Monday, June 25 the City of Regina approved the Key Commercial Terms (the “Agreement”) that will see a large portion of the City’s treated sewage effluent routed to Western Potash Corp.’s Milestone Potash mine site, located approximately 30 km Southeast of Regina and 80 km Southeast of Mosaic’s Belle Plaine mining lease.

The Agreement, if paid out annually, is worth more than $200 million to the City of Regina over the 45 year term of the Agreement and will see up to 60,000 cubic metres of treated effluent diverted daily from the Regina wastewater treatment plant to the Milestone Potash Project mine site. The City of Regina, as the proponent of the Agreement, will operate the pump house and pipeline and will be responsible for obtaining all necessary environmental approvals. Western Potash will fund the capital costs associated with the construction of the pump house and pipeline.

“Western Potash is delighted to have reached this Agreement with the City of Regina and is pleased to be working together to sustainably innovate the potash solution mining process,” says Western Potash Corp. President and CEO Patricio Varas. “There are certainly no other potash solution mines in the world utilizing treated waste water.”

Once up and running, the Milestone Project will draw between 40% and 70% of the City of Regina‘s wastewater.

“This innovation is a win-win for everyone," said Acting Deputy Mayor Louis Browne. "Not only is the City of Regina now being compensated for treating a waste product, but we are facilitating economic growth in one of Saskatchewan’s key sectors: Potash development. In addition, downstream negative effects such as increased algae will also be alleviated, making this is a prime example how creative thinking and partnerships can yield a more promising future for everyone.”

The Milestone Project holds 66.6 million tonnes of Measured recoverable resource (content and grade that can be measured with a high degree of accuracy); 186.9 million tonnes of Indicated recoverable resource (content and grade that can be measured with a reasonable level of accuracy); and 708.2 million tonnes of Inferred recoverable resource. The Milestone Project contains potash resources of sufficient size and grade to support solution mining for more than 40 years at a production rate of 2.8 million tonnes per year. The in-house qualified persons for the purposes of NI 43-101 guidelines are J. Patricio Varas, P. Geo and Dean Pekeski, P. Geo, both of whom have reviewed and approved the contents of this news release.

About Western Potash

Western Potash Corp. is a mineral exploration company engaged in the evaluation, exploration and development of potash mineral properties in Western Canada. The Company intends to develop a world-class potash deposit in an ecologically sustainable, economically efficient and socially responsible manner. For more information on Western Potash Corp.’s projects, please visit the Company’s website at: http://www.westernpotash.com .

ON BEHALF OF THE BOARD OF DIRECTORS

“J. Patricio Varas”

J. Patricio Varas
President and CEO


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. Forward-looking information includes, but is not limited to, statements with respect to the effect and estimated timeline of the drilling and assay results on the Company, the estimation of mineral reserves and mineral resources; the timing and amount of estimated future exploration; costs of exploration; capital expenditures; success of exploration activities; permitting time lines and permitting; government regulation of mining operations; environmental risks; unanticipated reclamation expenses; and title disputes or claims; 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.

http://www.westernpotash.com/news/sustainable-recycled-water-source-approved-milestone-potash-project

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