Allana Potash (CVE:AAA) saw its shares on the TSX Venture Exchange spike over 11% Monday as it intersected three different zones of mineralization on the southwest part of its Dallol potash project in Ethiopia through one hole, including one new area.
Hole DK-11-19 (Hole 19) returned 37.74% potash, or potassium chloride (KCl), over 7.3 metres. Within this intersection, 61.26% KCl over 0.9 metres was returned in the new Upper Sylvinite zone, alongside 30.85% KCl over 3.058 metres in the Sylvinite zone, and 22.09% KCl over 7.23 metres in the Kainitite zone.
"Hole 19, with 61.26% KCl over 0.90 metres, returned the highest grade potash on the project to date," said president and CEO, Farhad Abasov.
In addition to the results from Hole 19, hole DK-11-12 returned an intersection of 22.3% KCl over 6.83 metres.
The company said the presence of strong potash mineralization in the southwestern part of the property suggests strong continuity of the potash horizon, with the deposit remaining open to the south and east, increasing the resource potential in this direction.
The Dallol project is located in the northeastern region of Allana Potash's Danakil Depression in Ethiopia. Totaling approximately 150 square kilometres, the project is about 100 kilometres from the Red Sea coast, and 600 kilometres from the deep water port in Djibouti.
The Toronto, Ontario-based company, whose stock on the TSX Venture Exchange jumped 10.82% to $2.15 per share as of Monday afternoon, said it plans to include these results in its upcoming NI 43-101 resource report.