Allana Resources Inc.
TSX VENTURE : AAA

Allana Resources Inc.

May 04, 2009 07:30 ET

Allana Resources Appoints Former Potash Corp Vice President to Advisory Board and Provides Potash Project Update

TORONTO, ONTARIO--(Marketwire - May 4, 2009) - Allana Resources Inc. (TSX VENTURE:AAA) ("Allana" or the "Company"), is pleased to announce that Mr. Richard J. Lacroix, P. Eng. has been appointed to the Company's Advisory Board. Mr. Lacroix, now retired, is the former Sr. Vice-President, Technical Services for Potash Corporation of Saskatchewan and spent almost 30 years with Potash Corp.

Mr. Lacroix has had a long and prominent career in the potash business with Potash Corp., joining the company in 1977 as Project Manager of the company's Rocanville expansion. Mr. Lacroix rose steadily through management positions in Potash Corp. and became Sr. Vice President of Technical Services in 1987 and headed the team responsible for the corporation's Research and Development work and major capital expansions. In 1991, Mr. Lacroix became Executive Vice President of PCS Sales, responsible for Canadian Potash Sales, Industrial Sales, and Transportation & Distribution.

During this period, Mr. Lacroix also served as a board member for Canpotex and as Chairman for Canpotex Bulk Terminals Ltd. Mr. Lacroix resumed his role as Vice President Technical Services in 2001, overseeing research and development as well as managing major expansions at Rocanville, Lanigan and Allan divisions.

Mr. Lacroix obtained his Bachelor of Science in Electrical Engineering from the University of Saskatchewan.

Farhad Abasov, Allana's President and CEO, stated, "We are very pleased to welcome Richard Lacroix to our technical advisory board. Having worked as a Senior Vice President of the largest potash company in the world, Richard brings critical experience in the areas of potash sales, marketing and logistics as well as potash project development. His contribution to Allana at the development and production stage, as well as during negotiations with potential partners, will be invaluable."

In conjunction with his appointment, Allana has granted Mr. Lacroix 30,000 stock options pursuant to the stock option plan of the Company. The options will be exercisable for $0.15 per option and shall expire on May 4, 2014. Such options shall vest quarterly in eight equal installments over a two year period subject to the applicable regulatory hold period. The grant of options remains subject to receipt of all required regulatory approvals.

ETHIOPIA POTASH PROJECT UPDATE

Allana management has recently finished another round of high-level meetings with government officials in Ethiopia. Ethiopia is embarking on a massive infrastructure initiative including new rail lines and Allana senior management conducted several meetings with key ministers regarding the possibility of building a spur from the main rail corridors to the potash project in Danakil Depression.

In conjunction with these activities, Allana's exploration team is actively planning a 2,000 metre drill program comprised of confirmation drill holes and in-fill holes to increase the confidence level of the inferred mineral resource of 105,200,000 tonnes with a composite grade of 20.8 % KCl (see News Release Sept. 17, 2008).

Peter J. MacLean, Ph.D., P. Geo., Allana's 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.

About Allana Resources Inc.

Allana is a publicly traded corporation with a focus on the acquisition and development of potash assets internationally and recently optioned a previously explored potash property in Ethiopia with 43-101-compliant 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 61 million shares outstanding and trades on the TSX-Venture exchange under the symbol "AAA".

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 appointment 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.

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.

Contact Information