EPO - Encanto Potash Corporation TSXV

is this one finally trading oto? This deal between company and firstnations was huge and made the news here in SK

Wow, finally glad to see this one get on its feet. I met with these guys a couple years ago. The prez has a HUGE resume he's shown me of all the companies hes brought up from nothing and sold for huge bucks. I wonder how this one will turn out...? haha

There is yet no word on who this deal is with, but when it breaks, the stock will go nuts.

http://www.canada.com/Chinese+compan...543/story.html


If anyone gets a heads up on this please share.

POT up big today. The sector is in recovery stage.

From LEO.V (formerly RAY.V) web site, RAY.V was traded above $2 in June, 2008

http://www.lionenergycorp.com/potash.html

Highlights

1. Lion Energy recently formalized a deal to sell its potash assets to Encanto Potash Corp. Lion now owns 14.8% of Encanto Potash Corp.
2. Lion has further entered into a joint venture agreement with Encanto where Lion will invest $6.5 million to increase its position in the combined entity.
3. Encanto Potash has a land position of prospective potash ground with potential for both Conventional and Solution mining.
4. Spar Property contains an NI 43-101 compliant indicated resource of 12.49 million tonnes K2O and inferred resource of 12.24 million tonnes of K2O.

Extract from article "a Malthusian Check?" on http://www.aheadoftheherd.com/

Encanto Potash EPO-TSX.v

Share Structure and Cash

Shares Outstanding: 114,097,834
Fully Diluted: 141,492,324
Share Price: $0.16
Market Cap: $18 million
Cash: $5 million

Encanto Potash has a unique business model. All the good potash ground in Saskatchewan – the potash capital of the world - has been staked for years. So newcomer Encanto got creative – they signed joint venture deals with the province’s First Nations groups to develop a potash resource on their lands. And the properties Encanto has access to are right in the heart of the provinces potash belt. The other benefit of the First Nations arrangement is that all their community input comes from one group, streamlining and fast tracking approvals.

Like Amazon, Encanto has yet to prove up a resource so it’s still considered exploration. But oil wells just outside their property, on all four sides, show potash beds present, with grades up to 50%. Encanto has the backing of the Endeavour Financial group. Drilling starts this month, October 2009.

Conclusion

The potash story is just starting, unlike other resource plays there is no cycle, demand is always going to be there and its rising year over year. The total number of listed potash companies is extremely small, the best areas are already staked, most potash deposits will take 7-8 years to actually put into production and mines are extremely expensive to build.

Potash might just be the perfect investment over the short, medium and long term.

After reading up on this stock, I've got my order in for tommorow. Hoping it fills at 0.22.

.22 should be good entry level. I added more at .23 yesterday.

OK! So they swung a deal with the natives. They have the land, the company, supposedly the knowhow but no actual mine. I clearly states in the article above that it takes 7 to 8 years to get one up and running and that it's very expensive. That's a long hold for a stock that will almost certainly dilute in order to build anything.

Conclusion: This is a good one to put on a watch list. Certainly not one to buy at this time.

I want a stock that will show a profit this week.

I guess this is a common issue for all junior explorers. It's a long way for them to become a producer.

From everything I've heard, yes. The current North American producers have their own unofficial cartel and because it is such a big leap for upstarts to get into production they are able to control supply and price - to some extent. This will surely change some time in the future but until then if you want to play potash - which is in an upswing now - the best way is Potash One in my opinion.

I definitely don't want to knock the other investors on here who trade their own way (much different from me). For them, this may very well be a good place to park some money for future gain. In my case though, that would be funding my kid's inheritance fund. HaHa!

Just to add, that it looks like a buyers market still as Belarussian Potash in Russian is supplying Potash to India at $460 ton. When they inked the agreement, this was 25% below the market price.

[link: http://www.reuters.com/article/compa...5620720090711]

Edit: Another point is that Russia's Silvinit Potash company followed in suit and is delivering potash to China at again $460/ton.

So It would not be surprising if more and more Potash companies will be restricting output until demand increases. Then we'll have Potash Prices heading up quickly as the suppliers start to operate at 100%

And when the CEO of potash (saskatch) was on BNN a couple of months back, he stated that they were restricting supply as this is a buyers market still, but he was optimistic of the future.

When i talked to mr. stanton, the guy who got all this together and started and is now sitting on the side lines with alot of money and an amazing track record, pretty well told me to expect 1$ ... how you wanna take that is up to you, we'll see. These guys at the top mainly come from an oil background, hence quick money. hopefully they'll turn this into quick money as well.

looks good today

Here are all the house positions for : EPO for 10/29/2009.
13 Records Returned

House Positions
ExchHouseBought$ValueAveSold$ValueAveNet$Net
7 TD Sec 159,500 38,024 0.24 91,500 22,180 0.24 68,000 -15,844
9 BMO Nesbitt 124,500 28,837 0.23 58,500 13,455 0.23 66,000 -15,382
2 RBC 61,000 14,525 0.24 11,000 2,640 0.24 50,000 -11,885
15 UBS 17,500 4,250 0.24 0 17,500 -4,250
62 Haywood 15,000 3,675 0.25 0 15,000 -3,675
81 HSBC 12,500 2,900 0.23 0 12,500 -2,900
79 CIBC 11,000 2,595 0.24 0 11,000 -2,595
85 Scotia 4,500 1,035 0.23 0 4,500 -1,035
89 Raymond James 0 300 72 0.24 -300 72
33 Canaccord 16,300 3,894 0.24 35,000 8,224 0.23 -18,700 4,330
68 Leede 0 30,500 7,167 0.23 -30,500 7,167
88 Scotia iTRADE 0 83,000 19,740 0.24 -83,000 19,740
1 Anonymous 74,000 17,389 0.23 186,000 43,646 0.23 -112,000 26,257
Total 495,800 117,124 0.24495,800 117,124 0.24 00

Encanto Potash Corp. announces drill permit for the Ochapowace First Nations lands

Trading Symbol: TSXV EPO.V

VANCOUVER, Oct. 30 /CNW/ - Encanto Potash Corp. ("Encanto" or the "Company") is pleased to announce the granting of an INAC (Indian Northern Affairs Canada) drill permit for the Ochapowace First Nations lands, in Saskatchewan.

Barlon Engineering and Nabors Drilling of Calgary have been retained to conduct the drill program. This initial program will be comprised of a 1,350 metre hole. The purpose of the program is to evaluate the potential of the property to host economic grades of potash, as well as to calibrate the information received from the 2D and 3D seismic programs.

The Ochapowace First Nations lands are surrounded by several oil and gas boreholes that indicate there are 3 potash beds present on the property, and with significant widths.

Encanto has an agreement with the Ochapowace First Nations that gives them a 3% Gross Over Riding Royalty (GORR) upon production of any potash deposit that gets developed with Encanto on their lands.

Encanto CEO James Walchuck says "With this drill program, Encanto hopes to prove our theory that the potash found in surrounding oil wells goes completely through Ochapowace lands. Results from this program should be available in five to six weeks and will hopefully indicate potentially economic grades on the property."

The 2D seismic program continues on the Muskowekwan and Daystar First Nations land and is nearing completion. These are the fourth and fifth First Nations lands on which Encanto will have completed 2D seismic surveys.

Encanto is also pleased to announce the appointment of Gordon Keep as the independent Chairman of the Board. Mr. Keep is Executive Vice-President of Fiore Financial Corporation and has extensive business experience in investment banking, and creating public natural resource companies.

Good News，I like what he said here:

Encanto CEO James Walchuck says "With this drill program, Encanto hopes to prove our theory that the potash found in surrounding oil wells goes completely through Ochapowace lands. Results from this program should be available in five to six weeks and will hopefully indicate potentially economic grades on the property."

Survey results will be due in a few weeks.