Goldphyre Resources Ltd:Test-Production Bore Program Commencing at Lake Wells Potash Project

Sydney - Goldphyre Resources Ltd. (ASX:GPH) is pleased to announce the test production bore installation program at its rapidly emerging Lake Wells Potash Project is due to commence early August 2016.

Highlights:

- Goldphyre set to take the next pivotal step in its strategy to become a significant WA potash producer with the installation of four test-production bores at its Lake Wells Potash Project

- These simple, low-cost bores will measure the rates at which the brine containing the potash can be produced from the aquifers; Results will underpin further economic assessments of the Project

- The bores will be installed in the core high grade zone of the Resourcei (10.5Mt of SOP at a grade of 9.03 kg/m3) less than 5km from the proposed trial evaporation pond site

- The tests are aimed at confirming Lake Wells' position as a leading WA potash project, building on its superior Resource and close proximity to existing infrastructure

- Lake Wells has the distinct advantage of not requiring the more expensive trenching brine production method or the need to build from scratch costly logistics infrastructure

- Lake Wells has a superior Resource - using specific yield1 (drainable porosity), the Inferred Mineral Resource Estimate is:

18.4 million tonnes of SOP at 8.05 kg/m3 including

High-grade zone: 10.5 Mt of SOP at 9.03 kg/m3

- Geo-technical studies have started on the clays surrounding the lake surface to assess proposed site for trial evaporation ponds

- Laboratory evaporation trials testing salt crystallisation phases underway with second stage plan (1,000L bulk sample) being developed using local and North American-based process consultants

"Lake Wells is a leading WA potash project because it has a core of high-grade palaeochannel brine mineralisation, amenable to low-cost, proven brine extraction using conventional bores, and is close to infrastructure. We enjoy a strong supportive shareholder base, and a clear strategy to bring the Project to fruition as quickly as possible." - Goldphyre Executive Chairman Matt Shackleton

Aquifer Testing

The first phase of the testing will involve the installation of four (4) test-production bores at two sites, A and B as shown in Figure 2 (see link below).

The installation of the simple, low-cost test production bores will be followed by test pumping, with the aim of confirming Lake Wells' status as a leading WA potash project, building on its superior high-grade Resource and close proximity to infrastructure.

The four test-production bores will be installed at two sites, with a shallow bore into the upper aquifer and a deeper bore into the basal aquifer at each site. The Company is reviewing consultant proposals to conduct the test-pumping program, scheduled to commence upon the completion of the bore installation program, with results expected in the December quarter.

At the same time, geotechnical test-work on potential trial evaporation pond sites, and laboratory evaporation and crystallisation trials, have commenced.

To view tables and figures, please visit:
http://abnnewswire.net/lnk/8468IEPM


About Goldphyre Resources Ltd:

Goldphyre Resources Ltd. (ASX:GPH) is a minerals exploration company focussed on advancing its key project, the Lake Wells Potash Project. Located approximately 400 kilometres north-east of the Eastern Goldfields centre of Kalgoorlie, the Lake Wells Potash Project is being explored for the premium fertiliser mineral Sulphate of Potash (SOP), contained within the lake brines. Targeting the domestic demand from Australian farmers for this essential plant macro-nutrient, the Lake Wells Potash Project's location, access to infrastructure, including roads, rail and air services, and the very strong potassium (K) grades returned to date, all highlight its very strong merits.



Contact:

Goldphyre Resources Ltd.
Matt Shackleton, Executive Chairman
e: m.shackleton@goldphyre.com.au
m: +61-438-319-841

Brenton Siggs, Technical Director
e: b.siggs@goldphyre.com.au
m: +61-427-075-225

Media:
Paul Armstrong/Nicholas Read Read Corporate
t: +61-8-9388-1474