Glossary

Assay

In economic geology, to analyze the proportions of metal in a rock or overburden sample; to test an ore or mineral for composition, purity, weight or other properties of commercial interest.

BRIC

Abbreviation for the countries: Brazil, Russia, India, China

Brine

A highly concentrated solution of water and salt (in potash mining, brine is specifically a solution of water and potassium chloride). Brine is created when potash is extracted during solution mining. Water inflows in potash mines are frequently in the form of brine and can cause flooding of the mine.

Capacity

The amount of a nutrient a company can produce annually.

Carnallite

A hydrous chloride of magnesium and potassium with a chemical formula of KMgCL36H2O.

CDN

Canadian dollars.

CIM

Canadian Institute of Mining.

Cut-off grade

The lowest grade of mineralized material that qualifies as ore in a given deposit; rock of the lowest assay included in an ore estimate.

Dawson Bay Formation

The Devonian Dawson Bay Formation is located beneath the Dawson River Formation and above the Prairie Formation.

Deposit

A mineralized body which has been physically delineated by sufficient drilling, trenching, and/or underground work, and found to contain a sufficient average grade of metal or metals to warrant further exploration and/or development expenditures; such a deposit does not qualify as a commercially mineable ore body or as containing ore reserves, until final legal, technical, and economic factors have been resolved.

Dip

The angle at which a stratum is inclined from the horizontal.

Evaporite

Any of a variety of individual minerals found in the sedimentary deposit of soluble slats that result from the evaporation of water.

Feasibility Study

A comprehensive study of a mineral deposit in which all geological, engineering, legal, operating, economic, social, environmental and other relevant factors are considered in sufficient detail that it could reasonably serve as the basis for a final decision by a financial institution to finance the development of the deposit for mineral production.

FOB (Free on Board)

The cost of goods on board at point of shipment.

Grade

The amount of valuable metal in each tonne of ore, expressed as grams per tonne (g/t) for precious metals, as percent (%) for copper, lead, zinc and nickel.

Greenfield

New operation built on undeveloped site.

Halite

The mineral form of sodium chloride.

Host

A rock or mineral that is older than rocks or minerals introduced into it.

Inferred Mineral Resource

A mineral resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified geological and grade continuity. The estimate is based on limited information and sampling gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes.

K2O

Potassium oxide, a term used in the fertilizer industry to define potassium content. To convert KCl product tonnes to K2O, multiply by 0.61.

Member

A distinct portion of a particular geological formation.

Mineralization

The concentration of metals and their chemical compounds within a body of rock.

Mineral Resource

A concentration or occurrence of material including base and precious metals, coal, and
industrial minerals in or on the Earth’s crust in such form and quantity and of such a grade or quality that it has reasonable prospects for economic extraction. The location, quantity, grade, geological characteristics and continuity of a mineral resource are known, estimated or interpreted from specific geological evidence and knowledge.

Ore

A metal or mineral or a combination of these of sufficient value as to quality and quantity to enable it to be mined at a profit.

Potash (KCl)

Potash fertilizer is muriate of potash (KCl, potassium chloride). Potassium also combines with other materials in specialty fertilizers such as potassium sulphate (K2SO4), potassium magnesium sulphate (K2Mg2(SO4)3) or potassium nitrate (KNO3). 60-63.2% K2O (solid).

Potassium (K)

The seventh most common element in the earth's crust. Economically recoverable deposits are usually found combined with chlorine in the chemical compound potassium chloride, commonly referred to as potash.

Phosphate

An inorganic chemical, phosphate is a salt of phosphoric acid. Inorganic phosphates are mined to obtain phosphorus for use in agriculture and industry.

Prairie Evaporite

The salt unit of the Middle Devonian Prairie Formation, composed primarily of halite salt with lesser amounts of potassium salts such as carnallite and sylvite.

Prefeasibility Study

A comprehensive study of the viability of a mineral project that has advanced to a stage where the mining method, in the case of underground mining, or the pit configuration, in the case of an open pit, has been established and an effective method of mineral processing has been determined, and includes a financial analysis based on reasonable assumptions of technical, engineering, legal, operating, economic, social, and environmental factors and the evaluation of other relevant factors which are sufficient for a qualified person, acting reasonably, to determine if all or part of the mineral resource may be classified as a mineral reserve.

Salt Back 

A predominantly halite rich bed of salt found above a potash bearing unit.

Scoping Study

Also known as a "Preliminary Assessment". A study that includes an economic analysis of the potential viability of mineral resources taken at an early stage of the project prior to the completion of a preliminary feasibility study.

Sediment

A solid material that has settled down from a state of suspension in a liquid. More generally, solid fragmental material transported and deposited by wind, water or ice, chemically precipitated from solution, or secreted by organisms, and that forms in layers in loose unconsolidated form.

Sylvinite

A sylvite-bearing rock mixed in varying degrees with halite, carnallite, anhydrite, dolomite and clays.

Sylvite

The natural form of potassium chloride.

Tonne (MT)

A metric tonne, the equivalent of 2,204.6 pounds, or 1,000 kilograms. Most offshore sales are made in metric tonnes and US dollars. To convert to short tons, multiply by 1.1023.

USD

United States dollars.