A Large and Growing Proven Resource
Encanto has a 100% interest in the Muskowekwan Potash Project underlying 16,831 acres on the Muskowekwan First Nation Home Reserve. Encanto is in process to double the Muskowekwan land package in Q4 2011. Encanto released a NI 43-101 Resource Report confirming grades and favourable potash resource calculations. A positive Preliminary Economic Assessment (PEA) report prepared by Wardrop was released in August which highlights the favourable development of a solution mine. After a small two-hole drilling campaign now underway (September 2011), a new and updated 43-101 compliant resource calculation is scheduled to be released to the market.

In the Heart of Highly Active Potash Country
Encanto's potash properties are located in Saskatchewan - the Potash capital of Canada with more than 50% of the world's Potash reserves, and home to some of the world's most established potash producers; Potash Corp, Mosaic & Agrium. Resources & infrastructure are well developed & highly accessible. Recent merger and acquisition activity in the sector include recent K & S Aktiengesellschaft which acquired Potash One for ~$435 million and BHP Billiton which acquired Athabasca Potash for ~$341 million. This leaves Encanto as one of only two (2) advanced junior potash companies left active in the area.

100% Mineral Rights
The Encanto Muskowekwan lease owns 100% continuous mineral right on its property. We believe this is a critical advantage when it comes to drastically reducing length of permitting time and potentially the length of time to production. With only two stakeholders to work with (our First Nation partners and Aboriginal Affairs and Northern Development Canada, formerly INAC), the road to permitting is simplified.

Multiple Properties in Development
Encanto controls multiple properties with the potential for several potash mines.

A Strengthening Vertical Market
Potash is a key source of potassium, which is a natural component of fertilizer that increases crop yields and there is no known substitute. The world's population is growing by 75 million people per year. The only known way to feed this growing population is to increase crop yields with fertilizer - and potassium obtained from potash is one of the key components. Global potash shipments are expected to climb to 58 million tonnes in 2011, similar to the previous peak in 2007, while the spot price for the underlying commodity has been consistently rising.