Allana Potash Corp.

Allana Potash Corp.

October 13, 2010 07:00 ET

Allana Potash Corp. Announces First Analyst Tour of Its Ethiopian Potash Project

TORONTO, ONTARIO--(Marketwire - Oct. 13, 2010) - Allana Potash Corp. (TSX VENTUTRE:AAA) ("Allana" or the "Company"), is pleased to announce that the Company has organized the first analyst tour for a number of mining and fertilizer analysts as well as investment fund managers of its exploration project in the Danakhil Depression, Ethiopia. The group also conducted meetings with top government officials in Addis Ababa, the capital city of Ethiopia.

Mining and fertilizer analysts from Wellington West, Dundee Securities, Cormark, Salman Partners and Fraser MacKenzie along with a number of fund managers, toured Allana's ongoing exploration project in the Danakhil Depression. The analysts reviewed drill core from Allana's four completed holes on the project as well as the new camp expansion to accommodate additional crew for the seismic program. The group visited ongoing drilling at holes DK-10-05 and DK-10-06 in the centre of the evaporite basin and observed ongoing seismic optimization studies with vibreseis units and road construction to improve access to the centre of the basin.

The analysts also met with His Excellency, the President of Ethiopia, Honourable Minister of Mines and Energy, and Honourable Minister of Transport and Telecommunications to discuss infrastructure development initiatives in Ethiopia and specifically near Allana's potash project, as well as general investment climate in the mining sector in Ethiopia. The government confirmed a published report on a railway construction initiative aimed at linking Addis Ababa to Djibouti and to developing a northern rail line close to Allana's potash project. In addition, road crews have begun preparations to pave the main project access road between the village of Hamadela (adjacent to Allana's camp) and the regional centre of Mekele greatly improving access to the project area. The Ethiopian government officials expressed their continuing full support to Allana's potash exploration project and pledged maximum assistance with ongoing infrastructure development.

Farhad Abasov, President and CEO of Allana Potash, stated: "We are very excited to have completed the first analyst tour of our potash project in Ethiopia. We are thankful to the analysts and fund managers who have shown a strong interest in our project. The group had a chance to witness Allana's progress on our project first hand including improved road infrastructure, existing drill holes, ongoing drilling and seismic programs and excellent, state-of-the-art conditions of our field camp. We express our sincere gratitude to the Government of Ethiopia for their continuous support to Allana's potash project." 

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 with Inferred Mineral Resource of over 100 million tonnes of potash mineralization (Sylvite and Kainite) with a composite grade of 20.8 % KCl (see News Release Sept. 17, 2008). Allana has approximately 118.5 million shares outstanding and trades on the TSX-Venture exchange under the symbol "AAA".

Peter J. MacLean, Ph.D., P. Geo., Allana's Senior VP Exploration, is a Qualified Person as defined under National Instrument 43-101 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. Forward-looking information includes, but is not limited to, statements with respect to the effect of the analyst tour on the Company, estimated production, the estimation of mineral reserves and mineral resources; the realization of mineral reserve estimates; the timing and amount of estimated future production; costs of production; capital expenditures; success of exploration activities; permitting time lines and permitting, mining or processing issues; government regulation of mining operations; environmental risks; unanticipated reclamation expenses; title disputes or claims; litigation liabilities; limitations on insurance coverage and the effect of terminating the investor relations contract. 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.

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