Karnalyte Resources Announces Selection of Wood Plc as Independent Lead Author of Update to Ni 43 -101 Tec Hnical Report
KARNALYTE.COM
TSX: KRN
KARNALYTE RESOURCES ANNOUNCES SELECTION OF WOOD
PLC AS INDEPENDENT LEAD AUTHOR OF UPDATE TO NI 43 -101
TEC HNICAL REPORT
Not for distribution to U.S. newswire services or dissemination in the United States.
SASKATOON, SK (CNW- January 17, 2022) – Karnalyte Resources Inc. (“Karnalyte” or the “Company”)
(TSX: KRN) is pleased to announce the selection of leading global consulting and engineering company
Wood Canada Ltd. (“Wood”) as independent lead author of the Company’s planned update to its National
Instrument 43-101 technical report (the “Technical Report”).
UPDATE OF BANKABLE FEASIBILITY STUDY TO BE COMPLETED
In light of positive potash market condition developments and in support of continuing efforts to seek
and attract investment and strategic partners to the Wynyard Potash Project, Karnalyte is updating its
2016 technical report in accordance with Canadian Securities Administrators’ National Instrument 43-101
(“NI 43-101”). Wood will serve as the primary lead author.
The key objectives of the update to the Technical Report are to:
• Update capital cost summaries;
• Update operating cost summaries;
• Review and apply Karnalyte’s internal cost savings studies; and
• Update market and economic analysis.
Wood is a global leader in preparation of NI 43-101 technical reports, and an update will serve as a
critical step in developing a strong foundation for Karnalyte’s Wynyard Potash Project. Wood has provided
services for a range of potash mining companies, including successfully preparing feasibility level studies
for various projects in Saskatchewan.
In addition to Wood, Karnalyte is please d to report that it has engaged the services of senior advisor
ProMine Project Management Ltd. , and lead Brad Straub , to assist the Company in its oversight and
evaluation of the update to the Technical Report. Mr. Straub has a long history of providing support to
current and proposed potash industry projects in various capacities over the years. This includes over 25
years of project management experience with majors BHP Billiton Potash Canada, Nutrien (formerly
PotashCorp) and Mosaic.
“We are excited to take this important step as we further our efforts to attract investment partners to
help us take the Wynyard Potash Project forward,” said Danielle Favreau, Interim CEO of Karnalyte. “We
believe the Wynyard project has significant strategic value given its environmental advantages including
no surface tailings, shorter construction lead time due to the prior completion of technical pre-work and
permitting, a strategic partner with commitment of a minimum 56% offtake, and a high quality product
in a desirable granular form with many possibilities for further upgrade.”
ABOUT KARNALYTE RESOURCES INC.
Karnalyte Resources Inc. is a development stage company focused on two fertilizer products, potash and
nitrogen, to be produced and manufactured in Saskatchewan. Karnalyte owns the Wynyard Potash
Project, with planned phase 1 production of 625,000 tonnes per year (" TPY") of high -grade granular
potash, and two subsequent phases of 750,000 TPY each, taking total production up to 2.125 million TPY.
Karnalyte is also exploring the development of the Company’s Nitrogen Project, which is a proposed
small-scale nitrogen fertilizer plant with a nameplate production capacity of approxim ately 700 metric
tonnes per day (" MTPD") of ammonia and approximately 1,200 MTPD of urea, and a target customer
market of independent fertilizer wholesalers in Central Saskatchewan.
For further information, please contact:
Karnalyte Resources Inc.
+1 (306) 986-1486
www.karnalyte.com
FORWARD -LOOKING STATEMENTS
Certain information included in this press release is forward -looking, within the meaning of applicable
Canadian securities laws. Forward-looking information is often, but not always, identified by the use of
words such as "anticipate", "believe", "could", "estimate", "expect", "plan", "intend", "forecast", "future",
"guidance", "may", "predict", "project", "should", "strategy", "tar get", "will" or similar words or phrases
suggesting future outcomes or language suggesting an outlook.
The forward-looking statements contained in this press release are based on certain key expectations
and assumptions made by Karnalyte, including, witho ut limitation, assumptions as to: projected
economics for the Company's planned Potash Project , the confirmation in an independent feasibility
study of Karnalyte's assumptions regarding the technical and economic viability of the Nitrogen Project,
the abil ity of Karnalyte to obtain financing on terms favourable to the Company, and the ability of
Karnalyte to receive, in a timely manner, the necessary approvals from the Board, shareholders,
regulatory authorities, and other third parties.
Karnalyte believes the expectations and assumptions upon which the forward -looking information is
based are reasonable. However, no assurance can be given that these assumptions and expectations will
prove to be correct. Accordingly, readers should not place undue reliance on the forward -looking
statements and information contained in this press release. Without limiting the generality of the
foregoing, readers are cautioned that the Company has not received a feasibility study prepared by a
third party with respect to the Nitrogen Project.
Actual results may vary from the forward -looking information presented in this press release, and such
variations could be material. Risk factors and uncertainties could cause actual results to vary from the
forward-looking information in this press release. Additional information on forward -looking statements
and other factors that could affect Karnalyte's operations and financial results are included in documents
on file with Canadian securities regulatory authorities and may be accessed through the Company's profile
on the SEDAR website (www.sedar.com).
These forward-looking statements are made as of the date hereof and are expressly qualified in their
entirety by this cautionary statement. Subject to applicable securities laws, the Com pany assumes no
obligation to update or revise them to reflect new events or circumstances.