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Asia Pacific Potash Corporation, Ltd.

Udon South Potash Project Comparison of Global Potash Mine Stratigraphy, Mine Design, and Numerical Modeling Procedures With the APPC Udon South Potash Mine

Submitted By Keith S. Crosby, P.Geo. Vice President, Exploration and Development Asia Pacific Potash Corporation, Ltd. Udon Thani, Thailand June 2003

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Asia Pacific Potash Corporation, Ltd. Udon South Potash Project Comparison of Global Potash Mine Stratigraphy Mine Design and Numerical Modeling Procedures With the APPC Udon South Potash Mine

1.0 Purpose of Paper The purpose of this paper is to dispel the myth expressed by some people that APPC has designed a potash mine for the Udon South deposit that is poorly designed, would cause unsafe mining conditions and result in excessive surface subsidence. The statement that geological conditions are unique at Udon Thani and will result in an unsafe mine design is categorically refuted. The paper provides a comparison of global potash mine stratigraphy with the APPC Udon potash deposits in Udon Thani Province, northeast Thailand. The comparison is made in respect to the ability to utilize common and reliable rock material properties during the process of designing an underground potash mine at Udon Thani. The paper compares several well-known global potash mines and demonstrates the general similarities of their respective marine, evaporite (including salt and potash) and overlying continental clastic rock types and general depositional environments. The paper also demonstrates that similar rock types found in most potash mines, possess similar material properties that are commonly used during computer numerical modeling studies for underground mine designs and layouts, related mine convergence estimates and surface subsidence predictions. 2.0 Origin of Potash Potassium (K) is present in most types of rock in combination with other elements, most commonly aluminum and silicon. In most rocks, potassium occurs in such primary minerals as feldspar orthoclase and the micas muscovite and biotite. Mica minerals are resistant to weathering but in some environments, orthoclase decomposes and the potassium goes into solution. Much of the decomposed potassium as a solution enters newly formed clay minerals, is retained in the soil or is taken up by plants. However, some of the potassium in solution is carried away from the source and reaches the sea. Many potassium minerals are unstable and contribute to the potassium accumulation in the sea. The content of potassium in igneous rocks is about equal to that of sodium. The sodium feldspars however weather more quickly than the potassium feldspars and the sodium tends to remain in solution. Consequently, as the sodium reaches the sea, the seawater

Udon South Potash Project Comparison of Global Potash Mine Stratigraphy, Mine Design, And Numerical Modeling Procedures with the APPC Udon Potash Mine

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becomes more enriched in sodium than in potassium. Under arid or very dry conditions, the gradual evaporation of sea-water, usually in isolated or landlocked basins, resulted in successive layers of sediments rich in calcium and magnesium carbonate (limestone and dolomite rocks), calcium sulphate (gypsum and anhydrite), sodium chloride (halite or rock salt), and finally the very soluble chlorides of potassium and magnesium (potash). The bittern salt minerals sylvite (KCl) and carnallite (KMgCl2.6H2O) is amongst the last minerals to precipitate within a very unique depositional environment. During the four billion year geological history of the earth, the concentration necessary for precipitation of potassium and magnesium salts was seldom reached on a global basis. When these special highly soluble potassium and magnesium deposits were reached, they were often removed by later geological events that presented environments that leached the minerals away. However, although rare, there are several very large and unique evaporite deposits that do contain potassium bearing salt minerals. All of the commercial potash deposits are in turn overlain by a varying thickness of sedimentary rock types. All potash deposits are directly overlain by sedimentary rock formations that normally exhibit low-energy depositional environments that are characterized by marine transgression and/or regressions that result in an environment of restricted circulation and increased salinity. With continued evaporation of the seawater under the influence of a restricted but continuous influx, halite and potassium chloride mineral deposition occurs. The deposition of these evaporates are normally widespread and simultaneous with minor variations or facies changes caused by topographic restrictions and local basin floor irregularities. Finally the evaporite basins are influenced by climatic changes and/or tectonic phenomena that induce a regressive cycle with seawater of lower salinity. These depositional changes result in deposition of lower order salts such as barren halite followed by sulphates and possibly carbonate deposition. In most cases, deposition of marine sediments and evaporites are found in a conformable and transitional state with overlying continental clastic sediments In understanding the natural depositional environments of evaporates it is important to understand the fact that precipitation of deep or shallow marine type rocks as carbonates, sulphates and halite is transitional and invariably followed by a retreat or regression of the sea that is followed by the depositional of lagoonal and/or intertidal depositional of claystone or mudstones that cover and protect the more soluble underlying salt and in rare cases potash strata. Consequently, a sequence of transitional continental sedimentation of deltaic to alluvial flood-plain deposition follows. Claystone and mudstone sediments are consequently observed to directly overlie many global potash deposits. Many of the global potash deposits were discovered during exploring for petroleum within a sedimentary environment. It is normal therefore, to observe global potash deposits being typically underlain and/or overlain by transgressive and regressive sedimentation cycle or multiple cycles. It is most common to observe sedimentary rock

Udon South Potash Project Comparison of Global Potash Mine Stratigraphy, Mine Design, And Numerical Modeling Procedures with the APPC Udon Potash Mine

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types such as gypsum, limestone, marl, claystone and mudstone strata occurring in a gradational sequence with younger continental rock types as siltstone, sandstone and conglomerates. Potash or evaporite deposits are never covered by igneous or metamorphic rock types, as such rocks correspond to depositional environments that are high energy and tectonically intensive or violent that would produce geological conditions that would easily destroy the friable and soluble salt minerals. The following section describes several of the larger and most economic global potash deposits that are mined today. It will become evident to the reader that all potash mines associated with these potassium and magnesium-rich mineral deposits have similar sedimentary-type rock formations that overlie the mining horizon. Consequently, all of the potash mines of the world contain a general stratigraphy signature that incorporate similar soft-rock material and mechanical properties that retain standard test results for numerical modeling and designing a safe and efficient mine layout and for estimating approximate surface subsidence over short and long-term life of mine periods. In this regard, the geology of the Thailand potash deposits is no more unique or different from most other potash deposits of the world. 3.0 Geology of Global Potash Deposits 3.1 Saskatchewan, Canada Potash Deposits The Saskatchewan, Canada potash deposits are an excellent example of discovery of potassium salt minerals during the exploration for petroleum. Salt springs and seepages near the edge of the sedimentary basin indicated widespread underground deposits in Western Canada as early as 1858. Rock salt was first discovered in 1907. Finally, exploration for oil and gas in 1942 led to the discovery of potassium salt mineralisation in Saskatchewan. The potential of commercial grades of potash mineralisation was not recognized until 1946. The Saskatchewan potash deposits are of Middle Devonian age and occur in beds that lie within the upper 60 meters and near the top of the thick marine sequence of halite and anhydrite known as the Prairie Evaporite Formation. The formation is locally greater than 500 meters thick and deeply buried beneath the plains of Saskatchewan at depths between 400 and 2750 meters. These Devonian age salts were deposited in a depositional basin referred to as the Elk Point Basin. The Prairie Evaporite formation lies unconformable on a thick limestone reef sequence called the Winnipegosis Formation that restricted inflow of water from the open sea. These restrictions coupled with arid conditions, caused concentration of brines within the basin to result in the deposition of calcium sulphate (gypsum), followed by thick halite and finally potassium chloride (sylvite) and magnesium/potassium chloride (carnallite) salts. Potash deposition was restricted to the southern part of the basin.

Udon South Potash Project Comparison of Global Potash Mine Stratigraphy, Mine Design, And Numerical Modeling Procedures with the APPC Udon Potash Mine

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The uppermost 60 meters of the Prairie Evaporite Formation include four groups of potash-bearing beds or members. Each member consists of one or more beds of potash inter-bedded with barren halite. Individual potash beds may be up to 7 meters thick of variable mineralisation of sylvite, carnallite and barren halite. Insoluble or clay material becomes increasingly prevalent upward in the succession. Similar to other marine deposits, the insolubles occur in interstices between crystals, in partings, as thin seams and as bands. Insolubles are identified as quartz, calcium sulphate, calcium/magnesium carbonate and minor clay minerals such as illite. Over the past 40-years of potash mining in Saskatchewan, the grade range has varied between 19 to 30 % K2O. Ore mined from the Esterhazy Member in eastern Saskatchewan contain minimal amounts of insolubles but considerable quantities of carnallite that reduces the average KCl grade value. The converse is true for ore mined from the Patience Lake Member in western Saskatchewan. The Saskatchewan potash mines are overlain by approximately 850 to 1100 meters of sediments. There were three evaporite cycles during the Middle Devonian representing typical transgressive regressive evaporite cycles, each recorded by a sequence of red beds or mudstones followed by carbonate and finally salts. Following deposition of salt of the Prairie Evaporite Formation, calcium carbonate (limestone) of the Dawson Bay Formation was conformably deposited. A reddish argillaceous mudstone bed, known as the second red bed occurs at the base of the Dawson Bay. The Dawson Bay Formation is in turn conformably overlain by the Lower Souris River Formation that represents a transitional and transgressive phase of carbonates during which the sea again overran the confines of the Elk Point Basin. The Souris River is unconformably overlain by Cretaceous age shale sediments. Consequently, it can be seen that the Saskatchewan potash mines are designed to withstand a sedimentary sequence of mudstone/claystone, limestone, dolomite and shales in excess of a 1000 meters thick. These are rock types with similar soft rock material properties as those modeled for the Udon South potash mine design. 3.2 New Brunswick, Canada Potash Deposits New Brunswick, Canada potash deposits were discovered by geologists of the Mineral Resources Branch of the province of New Brunswick in the early 1970s. The first potash deposit was discovered during the exploration for clean salt deposits for storage of hydrocarbons in 1969-70. Two additional potassium chloride salt deposits were discovered as a result of geophysical gravity surveys and exploration drilling programs in 1972-73. The potassium chloride (sylvite) deposits occur within a tectonically disturbed sequence of Mississippian-age (Carboniferous) evaporates. Carbonaceous sediments of eastern Canada extend from southern New Brunswick to western Newfoundland and were deposited in a large graben or rift structure. The commercial potash deposits occur within

Udon South Potash Project Comparison of Global Potash Mine Stratigraphy, Mine Design, And Numerical Modeling Procedures with the APPC Udon Potash Mine

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the Moncton Sub basin and are characterized by a thick sequence of Carboniferous age sediments. Geophysical surveys and drilling have indicated in excess of 1800 meters of continental, marine and evaporite sediments within the Moncton Sub basin. The stratigraphy of the Moncton Sub basin is characterized by coarse alluvial and deltaic clastics and intra-tidal to deep open water and deep satellite or isolated basin sediments that are complicated by rapid and numerous rock facies changes and pinchouts. The potash deposits are located within the Windsor Group, composed of calcium carbonate (limestone), marl, calcium sulphate (anhydrite and gypsum), halite or rock salt (NaCl), potassium chloride salts including sylvinite and carnallitite and finally claystone and mudstone that represent the final marine regression phase to a continental depositional environment. The Windsor Group sediments are disconformably underlain by a thick sequence of clastic sediments called the Horton Group, represented by oil shales, siltstone, sandstones and conglomerates. In turn, the Windsor Group marine sediments are overlain by a thick sequence of Carboniferous deltaic and fluvial sediments of the Hopewell and Riverdale Groups that are primarily characterized by quartzose sandstone, conglomerate, siltstone and minor limestone. The potassium chloride salts of the Windsor Group are deep satellite or sub-basin in origin and belong to the Cassidy Lake Formation. The Cassidy Lake Formation is characterized by a much more complex stratigraphy than most commercial potash deposits. However, it is also represented by perhaps the thickest sequence of potassium chloride salts in the world that are positioned near the top of this evaporite formation. The commercial Potash Member is characterized by sylvite (KCl) mineralisation that typically range between 20-30 % K2O. The high-grade sylvinite is not homogeneous but is interbedded with barren halite and low-grade sylvinite beds 2 to 30 cm thick. The true thickness of the Potash Member varies between 0 to 45 meters, depending on location within the tectonically influenced anticlinal and dome-like structures. The three recognized potash deposits of southern New Brunswick contain a variable insoluble content that range from (0.5 % to about 3 %). Similar to the Saskatchewan and Thailand deposits, the insolubles occur in interstices between crystals, in partings, and as thin seams. Insolubles are identified as primarily quartz, clays such as illite, calcium/magnesium carbonate, calcium sulphate and borates. Similar to the Thailand potash deposits, the Upper Salt cover thickness that separates the potash horizon from the overlying clastics formation is variable. In New Brunswick the salt cover unit varies in thickness from 2.5 m to 20 meters. Similar to Thailand deposits, the thickness is determined by both true deposition thickness and post-depositional erosion influences. The top of the Windsor Group is represented by the Clover Hill Formation. The contact between the upper halite beds of the Cassidy Lake Formation and the transitional Clover Hill formation is also very similar to the Udon deposits of Thailand. A local but distinct thin residual bed containing laminated clayey anhydrite, borates, quartz and sulphate as a result of post-depositional erosion and possibly sub

Udon South Potash Project Comparison of Global Potash Mine Stratigraphy, Mine Design, And Numerical Modeling Procedures with the APPC Udon Potash Mine

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erosion forms an unconformable contact. Overlying this thin bed locally, are massive to bedded anhydrite beds up to 8 meters thick, in turn conformably overlain by approximately six meters of soft and friable claystone that are in gradational contact with the red continental clastics sediments of the Hopewell Group. The three New Brunswick potash deposits are overlain by variable thickness of continental clastic sediments of the Hopewell Group. Similar too much of the area in Thailand with salt deposits, the thickness of the overburden depends on local to regional structure and whether one is positioned over the crest of a salt anticline or dome, or near the center of a synclinal or local solution collapse feature. The thickness of sediments that overlie the salt formation in New Brunswick may vary from < 150 meters to 1100 meters. The New Brunswick potash deposits and hence potash mines, represent a very typical sequence of closed basin carbonate, sulphate and chloride salt strata that are conformably and unconformably overlain by a regression facies of continental deltaic and alluvial sediments. The potash mine shafts and underground mine designs were correspondingly modeled for a total sequence of sedimentary or soft rock sediments that overlie the commercial potash horizon. All material properties of the thick sequence of continental and evaporite rock types are similar to those of the Saskatchewan, Thailand and other global potash deposits. Consequently, the related mine designs and mine convergence predictions can be confidently made based on many years of laboratory testing for mechanical rock properties. 3.3 Boulby, England Potash Deposit The Boulby potash mine is located on the southeastern boundary of Cleveland County in northeastern England. The Boulby mine is the only exploitation of potash of the Upper Permian age Zechstein Potash deposits in England. The commercial potash beds are primarily situated at the top of the Boulby Halite of the English Zechstein Cycle 3, of the Teesside Group. Once again, the Boulby potash mine is a good example of an evaporate cycle containing high-order potassium salts that are sandwiched between thick underlying and overlying sequences of marine and/or continental sedimentary strata. The first of two shafts at Boulby was completed in 1973. This provided exposure to the detailed geology that was not available in drill cores. It became apparent that the potash deposit was characterized by both brine-controlled mineral migration and gravity-induced plastic flow of the potash bed. The deformation of the potash bed, as well as the formations high temperature of 40 C degrees and gas content has lead to a number of mining problems over the years. However, the high-grade of the ore and the relative simple mineralogy (in comparison with many other European Zechstein potash ores) make processing straightforward and the deposit economic. The virtual absence of magnesium minerals is particularly relevant to the processing of the ore.

Udon South Potash Project Comparison of Global Potash Mine Stratigraphy, Mine Design, And Numerical Modeling Procedures with the APPC Udon Potash Mine

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The Boulby Potash bed consists of a sylvinite bed (KCl + NaCl) that resemble metamorphic gneiss in terms of crystal fabric and the fact it contains rounded fragments of rock from adjacent beds. The sylvinite bed has a thickness range of < 1 meter to 20 meters over laterally distances of 20 to 30 meters. The mining unit generally ranges between 0 and 8.5 meters in thickness. There are five distinct ore types that exhibit rapid facies changes, however each type may predominant in an area over a kilometer across. Due to the complexities in variation of the five ore types, the mineralogy and stratigraphy will not be described here. It is worth stating however, that the Boulby potash sylvinite ore zone is characterized by extreme flowage phenomena or high differential stress that has locally enriched several of the ore types in excess of 50 % KCl. The average KCl content is approximately 26 % KCl. On a local basis, there is also an overall high argillaceous content, anhydrite and minor amounts of magnesite, pyrite, quartz and boron minerals that can exceed 15 %. The Boulby Potash bed is underlain by a thick sequence of original or primary salt called the Boulby Halite Formation, which in turn is underlain by the Billingham Main Anhydrite and Upper Magnesian Limestone Formations of the Teesside Group. The Boulby Potash is in turn conformably overlain by a marine sequence of strata that include the Carnallitic (Rotten) Marl Formation of the Staintondale Group. The Rotten Marl is composed primarily of dehydrated clay minerals and halite. The mineral carnallite is rarely found. The rock in general is very weak as there is no significant cementing mineral to bind the clay. The bed is best described as a salt-clay that is further weakened by steeply dipping discontinuities. The Carnallitic (Rotten) Marl Formation is in sharp contact with the overlying Upgang Formation, the Upper Anhydrite Formation and Upper Halite Formation of the English Zechstein Cycle 4 of the Staintondale Group. The Staintondale Group of marine sediments and evaporites in turn are overlain by approximately 1040 meters additional Upper Permian and Triassic marine and continental clastic sediments. The above stratigraphic description of the Boulby potash mine clearly demonstrates the presence of a transitional stratigraphic sequence of thick sedimentary rock types that overlie the potash mining horizon. An interlude of dense, massive igneous or metamorphic rock terrain is not present. Consequently, the material and mechanical properties of rock types at Boulby are similar to sedimentary rock densities and physical material properties modeled at other global potash mines. This is not surprising as the general geological or stratigraphic litho-type envelope that characterizes the Boulby potash mine is similar on a worldwide basis. 3.4 German Zechstein Potash Deposits The German potash mines are commonly over a century old. Potassium salt was mined for the first time about 137 years ago in Stassfurt, Germany. Similar to all of the northwest European potash mines, German potash mines are located within the Upper

Udon South Potash Project Comparison of Global Potash Mine Stratigraphy, Mine Design, And Numerical Modeling Procedures with the APPC Udon Potash Mine

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Permian-age Zechstein Basin. This evaporite basin extends over much of Germany, Poland, Denmark, and The Neatherlands and across the North Sea along the east coast of England. The Zechstein succession was deposited in four different cycles and is divided into four evaporite cycles called the Z1, Z2, Z3 and Z4. Each of the individual cycles of progressive sedimentation begins with a clastic sediment (conglomerate at the basin margin and sand, silt and mudstone towards the basin center). The clastics are in turn overlain by a true evaporite sequence commencing with a carbonate phase (limestone/dolomite), followed by a sulphate phase (anhydrite/gypsum) and finally a chloride phase (halite and potassium sulphate and/or potassium chloride salts). Prior to the deposition of each new cycle a recessive sequence of halite followed by anhydrite occurs. The process of precipitation of these litho-types which are the result of paleoclimate and paleogeographic factors demonstrate the principal of all evaporite basins where the sequence of sediments are less soluble becoming more saline as restricted evaporation conditions dominate the depositional environment. Consequently, in rare and isolated cases, highly soluble chlorides including potassium salts are finally precipitated and recorded in the evaporite cycle. The Zechstein Z2, Z3 and Z4 cylces were deposited in a very large basin where halite formations 200 to 600 meters thick were deposited. The series of salt beds, including inter-bedded anhydrite and pelites in northwestern Germany reach about 1200 meters in thickness. The potash (K-Mg) salts are primarily 2 to 10 meters in thickness and intercalated with considerable halite. The Zechstein 2 potash bed interval is widely extended and locally attains a true thickness of about 15 meters. Potash beds of Z1 and Z2 are primarily composed of sylvite (KCl), carnallite (KCL.MgCl2.6H2O) and kieserite (MgSO4.H2O) and rapid facies changes are common. The potash seams of the Zechstein 3 occur as localized lenses that are mineable over wide areas. The seams of the Z3 are mostly sylvinite free in Mg-salts. In general the average grade of the potash (sylvinite type) is only 17 to 18 % K2O. This is low by Canadian and Thailand standards, however due to proximity of the market and mining efficiency, the products can successfully compete. In contrast to the gently dipping Zechstein formations sound south of Kassel, Germany, the formations near Hanover in northwestern Germany occur in diapiric salt domes. Salt and potash mines are often located along salt walls that trend along strike for over 20 km and are 800 to 1000 meters wide. In the Hanover area, potash is mined between depths of 300 and 900 m, along a steeply-dipping seam some 2 to 30 meters in width (the increased width is due to multiple, tight folding). Much of the halite tailings are used as backfill in the stopes where backfilling is conducted as a safeguard against surface subsidence. In the southern potash-mining district near Werra-Fulda, two seams are normally mined at depths of 300 to 900 meters with thickness of 2 to 4 meters. These seams are even lower

Udon South Potash Project Comparison of Global Potash Mine Stratigraphy, Mine Design, And Numerical Modeling Procedures with the APPC Udon Potash Mine

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in grade than in the Hanover area but unit extraction costs are lower in the gently dipping seams. The Zechstein deposits originated in a large bay of the Scandic Ocean. They were in turn covered by continental red coloured clastic sediments (sandstone and siltstone) of Triassic-age called the Buntsandstein Formations. These sediments are about 800 to 1000 meters thick. The Buntsandstein is topped by a new saline series that marks a new transgression of sea water where a lateral transition from continental to marine sediments is observed of reefal limestone, sulphates and finally a halite cycle in Western Germany. The Lower Triassic Buntsandstein is in turn overlain by the Middle Triassic-age that contain the lower , middle and upper Muschelkalk Formations where similar marine ingressions and evaporite deposition was followed by a transitional series of continental clastic sediments. The Muschelkalk series are overlain by the Upper Triassic-age, lower, middle and upper Keuper Formations that once again exhibit continental and halite strata. The Keuper Formations are in turn overlain by the Jurassic-age marine sediments where normal saline conditions covered most of Germany and marine claystones and limestones were deposited. The transition from Jurassic to Cretaceous-age is marked by an interruption to marine sedimentation by epirogenetic tectonic activity that caused a regression of the sea. At this time, only a small marine area remained in Germany where seawater flowed through a narrow channel into a saline basin of about 5,000 square km. About 200 meters of halite and sulphate rock were deposited with no known potash precipitation. Finally in northwestern Germany, the Tertiary-age geology witnessed the deposition of regular marine sediments while the remaining area saw the deposition of sediments of continental origin. From this general summation it can be seen that the German Zechstein potash deposits occur within a text-book example of sedimentary depositional environments where transitional cycles of marine, evaporite and continental sediments are the norm. The many salt and potash mines of northern and southern Germany are accessed by deep shafts that penetrate over 900 meters of marine and sedimentary rock-types similar to rock types found in all global underground potash mines. The shafts and mines of northwestern Germany have been designed to withstand over 100 years of mining without causing significant problems to surface infrastructure. Entire towns, highways and railroads are located over the old mine workings. The German potash mines are perhaps world leaders in the accumulation of geological and geotechnical knowledge that has provided the technical ability to design safe, efficient and environmentallyconscience mining operations. 3.5 New Mexico, USA Potash Deposits The potash deposits of New Mexico, USA were first discovered while exploring for hydrocarbons in the 1920s. The first potash mine was opened by the U.S. Potash

Udon South Potash Project Comparison of Global Potash Mine Stratigraphy, Mine Design, And Numerical Modeling Procedures with the APPC Udon Potash Mine

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Company, a subsidiary of U.S. Borax in 1931. American Potash Company (PCA) opened a second mine in 1934. The commercial potash deposits of New Mexico are Permian-age and are found within the McNutt member of the Salado Formation. The McNutt Formation is defined by eleven marker horizons, commencing with the First Ore Zone that occurs between Marker Beds 126 and 125, up to the Eleventh Ore Zone located above Marker Bed 117. The eleven ore zones are consistent in their stratigraphic relationship across the basin, however, the thickness and mineralogy is variable. Evaporite minerals of the Carlsbad District are extensive and include anhydrite, arcanite, bischofite, bloedite, carnallite, glaserite, glauberite, gypsum, halite, hydrophilite, kainite, kierserite, langbeinite, leonite, loeweite, mirabilite, polyhalite, schoenite, sylvite, syngenite, tachyhydrite, thenordite, vanthoffite, and others. The eleven ore zones contain mineralogy including carnallite, sylvite, leonite, kierserite and langbeinite. Only sylvite (KCl) and langbenite (K2SO4.2MgSO4) are considered ore minerals. The Carlsbad potash mining area is located within a classical marine evaporite basin known as the Southern Permian Basin that covers most of southeast New Mexico and west Texas. The entire stratigraphic section is about 5000 meters thick, two-thirds of which is Permian age. The total thickness of evaporites range from 300 m in the northern mines, to over 900 m in the south. The potash deposits are restricted to thin lenses about 1.2 to 2.5 meters thick within this thick sequence of salt and anhydrite beds. The potash mining horizons occur in the upper portion of the evaporites. The Salado Formation evaporites cover most of the Permian Basin. At times, evaporation of marine waters continued to the extreme end point where all calcium and sodium had precipitated to form gypsum and halite. The residual bittern brines became highly enriched in potassium and magnesium and eventually precipitated as potash mineral deposits. The Salado Formation is overlain by the Rustler Formation. The Rustler marks the transgression stage from potash mineralisation and chlorides to thick beds of magnesium carbonate (dolomite), sulphate (anhydrite) and salt (halite) which grade upward into clay and silt deposits. This sequence of deposition represents an initial transgression of marine waters followed by evaporation and then a final regression of the sea. Deposition of continental fluvial sediments of the Dewey Lake Formation consequently covered and preserved the underlying soluble evaporites. The fluvial beds represented the closure of Permian time. The Carlsbad district is in turn represented by the deposition of Triassic-age continental red bed deposits of sandstone, siltstone and conglomerate, or Santa Rosa Formation. These deposits rest on the Permian sediments in a moderate unconformity. The stratigraphic history is therefore missing from the Triassic to the Late Tertiary Cretaceous. The rock may have been present but were removed by erosion. In general, the Salado, Rustler and Dewey Lake Formations were deposited in a broad, shallow, tidal basin environment that has seen little disturbance, except for gentle tilting

Udon South Potash Project Comparison of Global Potash Mine Stratigraphy, Mine Design, And Numerical Modeling Procedures with the APPC Udon Potash Mine

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to the east. There have been two basic structures observed within the Permian Basin, including a thin Tertiary-age basaltic dike and solution collapsed chimneys within the Salado Formation which are believed to be the result of ground waters originating from waters within the underlying Capitan Reef that dissolved salt from the base of the Salado, or due to collapse of caverns within the reef itself. Again, it can be observed how the Carlsbad, New Mexico potash mines are represented by a thick succession of marine, evaporite and finally overlain by successions of continental clastic sediments from the mining horizon to surface. Although the potash mines were first opened in the 1930s, the operations today include the best of underground mining technology. In order for these mines to operate efficiently and compete in the potash market, the mines have conducted extensive geological and numerical modeling that has enabled the mines to improve extraction ratio and simultaneously retain excellent mine safety. The general geology and evaporite and clastic rock stratigraphy is simple although typical of other global potash mines. Hence, rock mechanical properties used during numerical modeling to design the New Mexico mine layouts and estimations for underground mine convergence and surface subsidence predictions remains generally the same as those conducted within the engineering studies for the Udon South potash deposit. Predictions of mine convergence in relation to mine safety precautions are confidently made as a result of decades of accumulated drill cores and in situ mine samples taken for rock material property testing. 3.6 Brazilian Amazon Basin Potash Deposits There are two potash-rich evaporite basins in Brazil, the Amazon Evaporite Basin and the Sergipe Evaporite Basin. The Amazon Basin is a large Paleozoic basin in northern Brazil of lower Permian age that contains a thick sequence of anhydrite and salt. Within this Permo-Carboniferous Amazon Basin, marine clastic sediments (calcarenites) are abundant, as well as lagoonal and sabkha environmental sediments (limestone and nodular anhydrite) and isolated salt lakes or sub-basins where primarily halite was precipitated. Finally as the sub-basins became isolated, basin brine reached sufficient high concentration for deposition of fine-grained halite and potassium-bearing sylvinite with high bromine concentration recorded. The Amazon Evaporite Basin was at first dominated by marine conditions that regressed into lagoonal and finally disconnected as isolated salt lakes or sub-basins. The sequence of salt and potash strata is underlain by shallow water limestone and sandstones. The potash horizon is conformably overlain by a regressive continental evaporite cycle characterised by continental - lacustrine sediments as oxygen-poor and oxygen-rich (green grey to red) mudstones of Upper Permian and Lower Triassic-age. The Amazon Basin is therefore typical of many global potash deposits such as those in Thailand and New Brunswick, Canada that exhibit a regressive depositional cycle, transitional between the open marine sequence of carbonate rock types, lagoonal and restricted sub-basin sediments where fine-grained

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halite and high-order potash mineralisation was precipitated and finally covered and protected by an overlying sequence of low-energy continental clastic sediments. In contrast, the Sergipe Evaporite Basin was an embayment of the Cretaceous-age South Atlantic salt basin, in which deep marine sediments are absent and halite was deposited in restricted to tidal-type feeding channels and marginal lagoons, isolated lakes and salt flat environments. These depositional environments are highly restrictive. Lagoonal depressions became sites of potash deposition. The Sergipe Basin depositional sequence includes a single cycle passing through halites and high-order potassium salt litho-type carnallitite, and the highest order and very soluble salt mineral tachyhydrite (CaCl2.2MgCl2.12H2O). As brine concentration decreased, deposition of the highly soluble evaporites ended. Inflow brines unsaturated in Mg leached much of the carnallite and tachyhydrite within the basin by liberating much of the KCl to precipitate several horizons of interbedded carnallite, sylvinite and associated halite. Finally conditions normalized, massive halite precipitation ceased and marine sulphate and carbonate sediments were once again deposited, followed by the gradual return to continental deposition of Upper Cretaceous clastic sediments. These evaporites were precipitated during the Middle Cretaceous split of South America and Africa in a highly restricted depositional environment. Similar to the Amazon Basin, the evaporite sequence is transitional between continental and marine sediments. However, the Sergipe Basin represents an evaporite sequence that is transgressive in contrast to the regressive Amazon Basin as the marine sediments lie below the continental sediments. The Brazilian potash mine represents a classic example of potash geology. The potash deposits contain continental clastic (sandstone) sediments that lie directly upon a hard rock (metamorphic) basement. Clastic litho-types are overlain by deep marine and/or restricted evaporation environmental litho-types represented by halite and high-order potash salts, including potassium-rich sylvinite. The evaporite strata are in turn overlain by a thick suite of marine and continental sediments that demonstrate a normal transition from evaporite to a thick sequence of sedimentary clastic rocks. This geological setting demonstrates a near duplication of several other global potash mines as described in this text. The rock type material and mechanical properties used for mine design are the same as used in all potash mines. Except for the tachyhydrite mineral material associated with the Brazilian Sergipe Evaporite Basin, the successive rock types of the potash mines are similar to other global potash mines. Rock material properties used in numerical modeling for mine design and related mine convergence, mine safety and surface subsidence control are similar to those utilized in the APPC Udon Thani engineering studies. 3.7 Geology of the APPC Thailand Potash Deposits (Sakon Nakhon Basin) The presence of large evaporite deposits beneath the Khorat Plateau in the Kingdom of Thailand has been known since 1863. During 1958, the Department of Mineral Resources

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(DMR) started a project to investigate potable groundwater by drilling. Between 1955 and 1958, brine water had also been intersected in several boreholes on a local basis. Several wells also intersected salt beds as drilling was conducted in the Khorat area and the Province of Udon Thani. By 1962, thick salt bed intersections were drilled with the objective of exploring for rock salt intervals for soda ash production. During 1965, the DMR started a mineral exploration project that included drilling and coring of rock salt. Consequently, by coring the regional evaporite formations for rock salt or halite, potassium-bearing evaporite minerals were also discovered. Potash discoveries were commonly associated with coring the crests of very shallow, dome-like or anticlinal salt structures. Between 1973 and 1982, the DMR conducted a vigorous exploration project for potash and rock salt that resulted in 194 exploration boreholes drilled throughout the Khorat and Sakon Nakhon evaporite basins. In 1981, high-grade sylvite (KCl) mineralisation was encountered in three exploration wells drilled by the DMR in the Udon Thani area. As a result of the DMR potash exploration project, additional boreholes were drilled specifically for potash in Chaiyaphum Province. This resulted in the discovery of thick, although low-grade carnallitite (admixture of halite and carnallite) deposits, characterized by short, discontinuous sylvinite lenses and the presence of the highly hygroscopic mineral tachyhydrite. During 1984 and 1986, the DMR negotiated and signed potash exploration agreements with three companies. In 1984 the Udon Thani Potash Concession covering 2333 square kilometers was granted to Thai Agrico Potash Company Limited. No exploration work was conducted for several years, until Thai Agrico commenced to conduct exploration drilling in 1993 (in 1994 Thai Agrico changed its name to Asia Pacific Potash Corporation, Ltd.). Between 1993 and 1997, APPC completed a series of exploration programs that included 160 exploration and reconnaissance boreholes within the Udon Thani Potash Concession boundary. This included 63 exploration holes and strategic geotechnical-related holes and 250 line kilometers of 2D-seismic to delineate the Udon South Potash (sylvinite) Deposit; and 92 exploration and in-fill boreholes and 275 line kilometers of 2D-seismic to partially delineate the Udon North Potash (sylvinite) Deposit. The remaining boreholes were reconnaissance wells drilled outside the currently recognized boundaries of the Udon North and Udon South deposits. The APPC potash deposits are located in the northeastern region of Thailand within the Khorat Plateau. The northern region of the plateau extends across the countrys northern boundary into Laos and the southern boundary connects into Cambodia. The Khorat Plateau is positioned in the Indochina Block of Southeast Asia and includes two large evaporite basins, the Khorat Basin and the Sakon Nakhon Basin. It is most probable that the two basins were at one time interconnected and formed a single, large, isolated depositional evaporite basin. Today however, the basins are separated by a west to east trending mountain range called the Phu Phan Uplift or anticlinorium. The two-evaporite

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basins cover an area about 36,000 square kilometers. The northern Sakon Nakhon basin covers an area of over 20,000 square kilometers (as identified in Thailand). The APPC Udon Thani Potash Concession originally occupied about 10 per cent of the Sakon Nakhon Evaporite Basin. The Indochina Block contains sedimentary rock that ranges in age from late Cambrian to Recent. The Khorat and Sakon Nakhon Evaporite Basins resulted from late tectonic relaxation or extension during late Triassic-age. Consequently, Triassic-age tectonics created half-graben basins that filled with sedimentary continental clastic deposits. During middle Triassic to early Cretaceous-age, fluvial and lacustrine (lake) silici-clastics known as the Khorat Group filled the outer fringes of the graben basins with sedimentary rock such as conglomerates, sandstones, siltstones and claystone/mudstones. Upper Cretaceous-age sediments of the Khok Kruat and Maha Sarakham Formations underlie the large central, flat-lying portions of the plateau, where all evaporate sediments of Thailand occur. The Maha Sarakham Formation is only present in the Khorat Plateau and extends over an area of about 20,000 square kilometers in the northern Sakon Nakhon evaporite basin. The Maha Sarakham Formation unconformably overlies the Khok Kruat Formation of the Khorat Group. There is a distinct and significant change in the depositional environment that marks the continental and fluvial clastic sediments of the Khok Kruat Formation, or basement rock, into an evaporite environment that dominant the Khorat and Sakon Nakhon Basins of the Central Khorat Plateau region. The Maha Sarakham Formation marks the distinct change from continental to an evaporitic environment. The maximum thickness of the Maha Sarakham could exceed 1000 meters, although the average thickness is about 250 meters. The Udon sub-basin, extensively drilled and seismic surveyed by APPC indicates the average thickness of the Maha Sarakham Formation within the basin is approximately + 500 meters. APPC has successfully delineated two potash (high-grade sylvinite) deposits within an area now referred to as the Udon sub-basin, described by APPC as the Udon South and Udon North deposits. The Udon sub-basin appears unique from other regions of the Sakon Nakhon or Khorat Evaporite Basins. The uniqueness of the Udon sub-basin is primarily demonstrated by the relatively thick, high-grade sylvinite ore horizon that contains no carnallite mineralisation, and the continuous occurrence of the sylvinite across relatively large undisturbed areas. These basic geological characteristics produce two separate potash deposits with potentially efficient and economic mining conditions not proven elsewhere in Asia. Within the Udon South and Udon North sylvinite deposits, the Maha Sarakham Formation is composed of evaporite and clastic sediments that attain a probable original thickness of 500 600 meters. The Maha Sarakham Formation is comprised of three distinctive evaporite members (Upper, Middle and Lower Salt) separated by primarily red

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sili-clastic members (Upper, Middle and Lower Clastics) of continental origin. Evaporite minerals present within the deposit include anhydrite, halite, potash (carnallite and sylvite) and associated borates. All potash mineralisation is found in the upper third of the Lower Salt member. As a result of the most extensive exploration program ever conducted in Thailand (beyond the search for hydrocarbons) and perhaps globally for potash, APPC retains a very large catalogue of new geological information. As the result of core studies, geophysical down hole log surveys, 2D and 3D-seismic surveys, geotechnical and hydrogeological research programs, etc. APPC geologists have conducted very detailed mineralogy, lithology and stratigraphy studies of all Maha Sarakham Formation members. This has included the recognition of numerous sub-units within the Lower Salt member, including two distinct sylvinite ore units and the respective diagenesis. The potash mineralogy of the Udon South and North ore deposits is simply sylvinite that contains an admixture of sylvite (KCl) and halite (NaCl) and low percentages of insolubles such as illite clay, hematite, quartz, sulphate and borates. The sylvinite ore zone in turn overlies a variable thickness of either near-barren halite and/or carnallitite that contains an admixture of carnallite (MgKCl3.6H2O) and halite (NaCl) with variable percentages of sylvite, clay, sulphates and borates. The average grade of the Udon South deposit resource base is approximately 23.5 % K2O, while the mineralisation varies in thickness up to 10 meters and averages about 3.4 meters. The potash horizon is at a relatively shallow depth compared to most other global potash deposits at 300 to 400 meters. A halite cap between 1 and 7 meters thick, typically 4-meters thick, separates the sylvinite ore horizon from the overlying sequence of alternating units of clastics and halite. To ensure stability, the mine workings are designed to retain a minimum of 2meter thick halite and/or sylvinite roof beam. The APPC Udon South and North potash deposits are similar to most other global potash deposits that are characterized by a fairly constant but variable halite cover thickness that separates the ore zone from the overlying clastics formation. The Udon South deposit contains a halite sequence or combination of halite and sylvinite inter-beds that separates the ore zone from the overlying Lower Clastics transitional claystone and mudstone sediments. This stratigraphic Upper Halite Cover unit varies in thickness from zero to 16.5 meters, with an average thickness of approximately 3.4 meters. Similar to potash deposits in Saskatchewan and New Brunswick, Canada, the cover thickness is determined by both true deposition thickness and locally by post-depositional erosion influences. The top of the Lower Salt member is represented by a localized although distinct, thin Residual Bed containing laminated residual clay, sulphate, quartz, feldspar, borate, and hematite material. This material is the result of local post depositional erosion of the upper halite and sylvinite strata of the Lower Salt member. The residual bed represents a period of early regression from an evaporitic to a continental depositional environment. The thickness of the Residual Bed varies across the deposit from zero (absent) to about

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1.0 meter. The thickness of the residual bed is believed proportional to the thickness or volume of salts eroded and/or dissolution after burial, while the chemistry is related to the insoluble fraction of the leached salts. Overlying the Lower Salt member in angular unconformity are the massive continental grey green and reddish brown claystone/mudstone beds of the Lower Clastics member. The Lower Clastics sequence of strata averages about 40 meters in thickness. The Lower Clastics member is conformably overlain by an average 90 meters of massive halite beds of the Middle Salt member, 40-meters of massive clay/mudstone beds of the Middle Clastics member, the thin Upper Salt member that ranges 0 to 25 meters in thickness, and finally the Upper Clastics member that contains an average thickness of approximately 142 meters of laminated siltstone, silty claystone, and fine-grained sandstone. In summary the Udon South potash deposit ore horizon is overlain by approximately 350 meters of continental clastic and evaporite sediments that have rock types comparable to several global potash mines. Primary lateral and vertical mineralogical and lithological facies changes are common in the Udon sub-basin. These changes are the result of many factors including proximity to continental detritus sources, proximity to fresh water sources, seasonal climatic and precipitation changes, basin depth, water chemistry and temperature, etc. On a genetic basis, the Udon sub-basin was primarily characterized by evaporite deposition with sudden changes in climate and sea water chemistry resulting in the precipitation of high-order potassium salts. The isolated evaporite depositional basin or saline pan reached a stage of complete desiccation, followed by a period of regression and deposition of continental sediments as represented by the massive claystone/mudstone intervals. The depositional basin, in this case the Udon sub-basin within the larger Sakon NakhonKhorat Basin, was not controlled by extensive regional or local tectonics such as massive down-faulting that results in graben-like structures typical of the New Brunswick Windsor or European Zechstein salt basins. Consequently, there are few indications of tectonic-related faulting or folding phenomena that characterize many global potash deposits. As described above, it is clear that the APPC Udon potash deposits contain similar sulphate and chloride salt strata overlain by transitional cycles of evaporite and continental sedimentation. Consequently, exploration activities have provided APPC with numerous rock material properties derived from numerous core samples taken for laboratory rock mechanical testing. The material properties, similar to those derived in other global potash deposits were subsequently used for conducting the numerical modeling studies for mine design and layout, for a 100 % backfill placement strategy and finally for underground mine convergence and surface subsidence predictions. These studies have provided APPC with a conservative and yet safe and efficient room and pillar mine that reduces the estimated rates of mine convergence to less than any mine in

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the world. The life of mine surface subsidence rate over the most recent and revised mine design has been reduced to significantly less than the maximum allowed within the approved 2001 EIA study. 4.0 Numerical Modeling Comparison of Global Potash Mine Designs The following statement pertaining to potash mine designing and numerical modeling was received as a technical memorandum by Golder Associates Ltd. to APPC in June 2003. Design in salt and potash mining has evolved over a period of one hundred years or more. During that time many successful mines were developed but there were also some problems, often arising from misunderstanding of the long-term behaviour of evaporite rocks. A scientific approach to mine design has been in use for at least the past 40 years. Over the past 20 years mine design has incorporated increasingly advanced computer modeling, laboratory testing and mine instrumentation, allowing many of the problems of the past to be understood and solved. Potash deposits are found within sequences of sedimentary rocks deposited in lakes or isolated seas. In these environments, generally similar sequences of salt, potash, limestone, anhydrite and clay-based rocks are deposited. After deposition, some potash deposits have been significantly disturbed by either a very great depth of burial (the reason for creation of salt domes) or large tectonic forces in the earths crust that cause faults, folding and other structures. These processes cause complexity in the behaviour of mines since both the geometry of the ore and the behaviour of the rocks surrounding it can be greatly impacted. Other potash deposits such as Udon South have not been disturbed in this way and the response of the rocks to mining is much easier to predict. The mechanical behaviour of the rocks in evaporite sequences and surrounding strata has been studied quite extensively and are well known. In the case of deposits that have no tectonic disturbance such as Udon South, the behaviour of small-scale laboratory tests can be used reliably to predict the behaviour of large rock masses. In fact, the Udon South deposit is one of the simplist from the viewpoint of predicted rock behaviour because most of the rocks are soft and will deform without fracturing. Mine design relies on the ability to predict the behaviour of rock after the stresses in it are changed by the extraction of some ore. Prediction relies on both experience (comparing the mine being designed to the behaviour of rock in other similar mines) and analysis (using the known behaviour of the rock material to predict its response to changes in stress). Both these approaches have been applied to Udon South and the simple geometry employed allows the methods to be applied to a high level of confidence. On the basis of laboratory tests, the behaviour of pillars in potash within the mine can be predicted with reasonable accuracy. The computer models used to make the predictions have been used

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for the past 20 years and are well proven. The designs can be checked against examples in numerous other mines to confirm that they are reasonable. By measuring the deformation of pillars once mining has begun, the predictions can be confirmed quickly, and any necessary changes can be made to ensure that actual pillar behaviour matches or gives less deformation than the predictions. This methodology has been successfully applied in a number of mines in Canada where changes in design have been considered and implemented. Providing that the pillars behave as they are predicted to behave (and as discussed above adjustments to the design can easily be made to ensure this is true), then the surface subsidence is predictable. More so than many mines in Germany, UK and Canada, subsidence at Udon South is quite simple to predict. The rock strata overlying the potash are all quite weak, horizontally bedded and continuous. There are no strong or highly folded strata that will delay subsidence or distort it as there are over some mines in Germany and Canada. The depth of the deposit is not great as it is in UK and some parts of Canada, leading to uncertainty in the extent of mining needed before surface impacts are experienced. As a result, surface subsidence can be measured soon after mining begins. The relationship between pillar deformation and surface deformation can be confirmed and changes to the pillar sizes can be made in the unlikely event they are required. The use of backfill within the extracted rooms limits the total amount of subsidence that is physically possible. Since the density of the backfill at the time it is placed and the maximum density after full consolidation are both known, it is possible to estimate maximum ultimate subsidence with a high degree of confidence. APPC and project consultants Golder Associates Ltd. are of the opinion 1. Potash mines are generally in simple geological settings compared to most minerals. 2. The properties of all rocks associated with potash are well understood and have been widely tested. As a result, a small number of tests can adequately characterize the rocks in any deposit. 3. A scientific approach to design has been followed for at least the past 40 years, and this has resulted in a large body of knowledge. 4. Designs in most cases use simple geometrical layouts, so it is quite easy to transfer experience and knowledge from one deposit to another. 5. Numerical analysis using computer programs has been employed for the past 20 years, and the computer programs in use are well proven. 6. Designs developed using computer programs can readily be checked against other mines so it is possible to validate the designs with reasonable confidence before starting to mine.

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7. Design reliability is such that widespread failures of pillars have not been experienced since the beginning of modern design methods. 8. Maximum subsidence values are controlled by the volume of underground space created and the amount of backfill stowed in that space. These are simple physical controls so there is a high level of confidence in the predicted ultimate subsidence. The Udon South potash deposit was extensively explored by conducting over 65boreholes and 250-line kilometers of 2D and 3D-seismic. Included in the exploration program were geotechnical boreholes drilled specifically to obtain large core samples for laboratory rock mechanical testing. Samples of halite, sylvinite, carnallitite, claystone/mudstone and siltstone were taken for numerous stress/strain related tests. The results or rock material properties of these tests, as well as the results of similar tests conducted on similar rock types on a global basis for many decades, were utilized in conducting computer numerical modeling for the Udon South deposit. Expert geotechnical engineers who conducted these tests subsequently made recommendations for the parameters used for mine design and layout. The parameters used were conservatively designed to accommodate backfilling within a relatively flat-lying room and pillar mine design. In essence, the Udon South potash mine has been designed to accommodate backfill for the disposal of 100 % salt tailings from surface within 6 years from the start of mine development. Consequently, the Udon South mine model permits limited mine convergence over a period of three-years to allow man and machine into mined-out panels. This is the first and only potash mine in the world under similar geological conditions to design a conventional potash mine that allows 100% disposal of salt tailings in a safe and efficient manner. As a result of utilizing conservative room and pillar dimensions and emplacement of backfill material, the mine design subsequently prevents excessive surface subsidence over the short-term, life of mine and beyond. In fact, surface subsidence contour maps indicate that after 40-years, subsidence does not significantly increase beyond the subsidence predictions for 22-years (life of mine). 5.0 Conclusions The purpose of this paper is to dispel the myth by some people that the Udon South potash mine has been poorly designed and would cause unsafe mining conditions and would result in excessive surface subsidence. The paper provides an insight and comparison of stratigraphic conditions of several well-known global potash deposits with those of the Udon South potash deposit in northeastern Thailand and discusses the general similarities in rock mechanics material properties, behaviour and approaches to numerical modeling that are common to most all salt and potash mine designs. The stratigraphic comparison is made to demonstrate the fact that most potash mine designs are related to similar rock types, whether they are marine, evaporite or continental sediments and therefore common or equivalent rock material properties are

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used for computer numerical modeling. The mining parameters used for the Udon South mine design and layout were recommended by expert geotechnical engineers an academics with many years of practical experience testing and modeling evaporite and sedimentary clastic rock types. The geotechnical experts utilized detailed modeling procedures; software and rock material properties derived from an extensive array of laboratory rock mechanical test results. Laboratory testing was conducted on scores of salt, potash and clastic (claystone, mudstone and siltstone) core samples taken from strategic boreholes located across the Udon South potash deposit. Based on the long history of rock mechanical testing and relevant studies from cores and in situ samples from many global salt and potash mines, there should be no doubt in the ability to design safe and efficient potash mining operations that retain both short-term and long mine life stability with minimum surface subsidence. Potash mines in Canada have 40-years of successful mining where mine safety is of highest priority and safest mine awards are won on an annual basis. This success is in part the result of designing stable underground mine plans for the long-term, conducting safe mining procedures and utilizing high-technology equipment for monitoring ground and geological conditions. Similar high-standards are utilized on a global basis. APPC has followed the trend by utilizing expert engineers to design the Udon South potash mine with the potential to exceed world safety standards by reducing mine convergence and subsequent surface subsidence to the lowest rates possible.

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Keith S. Crosby, P.Geo. Vice President, Exploration and Development Asia Pacific Potash Corporation, Ltd. Note: Keith Crosby has over 30-years experience of international potash exploration, potash mine development and potash mine operations management. His experience included 8-years in a technical management position with the worlds largest potash mine complex, in Saskatchewan, Canada. Mr. Crosby has acted in the capacity of technical consultant and management for over seven-years with the APPC Udon South and Udon North Potash Projects in northeastern Thailand.

References

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Richter-Bernburg, G., 1972. Saline Deposits in Germany: A Review and General Introduction to the Excursions. Geology of Saline Roulston, B. and Waugh, D., 1985. Stratigraphic Comparison of the Mississippian Potash Deposits in New Brunswick, Canada. Salt Symposium on Salt, Vol.1: 115-130. Sonnenfield, P., 1884. Brines and Evaporites. Academic Press, Inc. Smith, D.B. and Crosby, A., 1979. The Regional and Stratigraphic Context of the Zechstein 3 and 4 Potash Deposits in the British Sector of the Southern North Sea and Adjoining Land Areas. Economic Geology, Vol. 74: 397-408. Suwanich, P., 1986. Potash and Rock Salt in Thailand. Non metallic Minerals Bulletin No.2, Economic Geology Division, Department of Mineral Resources, Bangkok, Thailand. Szatmari, P. et al, 1979. A Comparison of Evaporite Facies in the Late Paleozoic Amazon and the Middle Cretaceous South Atlantic Salt Basins. Economic Geology, Vol. 74: 432447. Woods, P.J.E., 1979. The Geology of the Boulby Mine. Economic Geology, Vol. 74: 409-418. Worsley, N. and Fuzey, A., 1979. The Potash-bearing Members of the Devonian Prairie Evaporite of Southeastern Saskatchewan, South of the Mining Area. Economic Geology, Vol. 74: 377-388.

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